Nakilat’s profit edges down

Qatar’s Nakilat, the world’s largest LNG shipper, said its net profit for the year 2016 dropped 3 percent compared to the previous year. 

Nakilat reported a net profit of 955 million Qatari riyals (Approx: US$262.3 million) compared to 984 million Qatari riyals (Approx: $270.2 million) the previous year.

In its report on Monday, Nakilat said its long-term contracts continue to underpin the company’s strong financial performance despite the challenging market conditions.

The company’s LNG vessels are chartered through long-term time charter agreements with Qatargas and RasGas.

“The decline in oil and gas prices and overcapacity in the shipping industry has placed a downward pressure on the shipping markets and asset prices,” the company said.

Nakilat’s fleet comprises 67 wholly- and jointly-owned LNG and four LPG vessels. The LNG vessels represent a total investment of approximately $11 billion and have a combined carrying capacity of over 8.5 million cubic meters or 15 percent of the world capacity.

1 QR = 0.274620 USD