The news brings Odfjell's year-to-date net result to -$6m, a massive improvement over the previous year's figure of -$71m. Odfjell's full-year net result was a $111m loss in 2012.
Earnings were driven by stable performance in Odfjell chemical tankers, revenue grew 7% from $245m to $262m for the third quarter year on year, and the fleet remained 52% covered by contracts.
Odfjell’s troubled Rotterdam terminal (OTR) is considering redeveloping most of the older parts of the terminal as part of a new business plan. The move could see the book value of OTR assets drop from $241m, with asset impairments totalling $54m. For the quarter, OTR saw a marginal improvement in its deficit, to -$7.9m compared to -$8.4m in the previous quarter.
Overall, the tank terminals segment contributed a third-quarter EBITDA of $7m, spurred by a continuation of increased throughput in the United States.
The company signed a four-vessel order at Nantong Sinopacific Offshore & Engineering in September, for four LPG/Ethylene carriers of 17,000cu m each, costing $180m.
Despite its positive outlook on the US and European economy, Odfjell considers the possible developments in the East to be of significance to its progress, “the big question is the strength of China’s economy. Excessive credit growth, rising local government debt and weaker export momentum may cap the Chinese recovery, from the last two quarters of slowdown,” the company said in its earnings release.
“Based on the above we expect a slow but steady increase in demand for our services. Ordering of product tankers is picking up, whilst the orderbook within the core chemical segment still remains modest.
“We expect the final quarter of 2013 to be similar to or slightly better for our chemical tankers than the third quarter. As to terminals, with the exception of OTR we expect continued stable results.”
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