New Ships Drive Navig8 Chemical Tankers’ Income Up
Navig8 Chemical Tankers, a joint venture between the Navig8 Group and Oaktree Capital Management, reported its net income at USD 9.6 million, against a net income of USD 2.9 million seen in the three months ended June 30, 2015.
The increase in net income is mainly attributable to the larger size of the company’s fleet, as Navig8 Chemical Tankers continues to take delivery of its newbuilding program.
Revenue for the three months was USD 39.9 million, compared to USD 14 million recorded in the same period a year earlier.
“The chemical tanker market softened in the second quarter, driven by typical seasonality that was exacerbated by a weak CPP environment,” Nicolas Busch, Chief Executive Officer of Navig8 Chemical Tankers said.
Three vessels joined Navig8 Chemical Tankers’ fleet during the quarter, the 49,000 DWT IMO2 Interline-coated chemical tanker Navig8 Turquoise, the 25,000 DWT stainless steel chemical tanker Navig8 Sirius, and 49,000 DWT IMO2 Interline-coated chemical tanker Navig8 Topaz, which was delivered in July.
Furthermore, the company secured USD 286.2 million to finance its newbuilding program.
The company still has 14 vessels on order, all off which are scheduled to join their owner by September 2017. Once delivered, the new ships will be deployed in commercial pools managed by the Navig8 Group, including the Chronos8, Delta8 and Stainless8 pools.