Thu 12 Aug 2010, 06:32 GMT

Aegean posts 26% rise in H1 net income


Supplier sees sales volumes increase by 61.8 percent during the first six months of 2010.



Aegean Marine Petroleum Network Inc. has announced that net income for the second quarter of 2010 dipped by $0.1 million year-on-year and by $2.1 million compared to the previous quarter, whilst net income for the first half of 2010 rose by $5.4 million, or 26 percent, in a comparison with the corresponding period last year.

Net income for the three months ended June 30, 2010 was $12.0 million, or $0.25 basic and diluted earnings per share, compared to net income of $12.1 million, excluding a one-time gain of $4.2 million, or $0.29 basic and $0.28 diluted earnings per share during the second quarter of 2009.

Total revenues for the April to June period increased by 146.3 percent to $1,336.6 million compared to $542.6 million for the same period in 2009. Sales of marine petroleum products increased by 147.5 percent to $1,331.8 million compared to $538.2 million for the year-earlier period.

Net revenue, which equals total revenue less cost of goods sold and cargo transportation expenses, increased by 44.7 percent to $68.3 million compared to $47.2 million in 2009.

Sales volumes of marine fuel rose by 88.5 percent to 2,825,046 metric tonnes compared to 1,498,937 metric tonnes in the year-earlier period, as volumes increased across major markets. Results for the second quarter included sales from Aegean's acquisition of Verbeke Bunkering N.V., which closed on April 1, 2010.

Operating income for the second quarter of 2010 was $19.2 million compared to $17.6 million including a non-recurring gain of $4.2 million on the sale of vessels for the same period in 2009. Operating expenses, excluding the cost of fuel and cargo transportation costs, increased to $49.1 million for the three months ended June 30, 2010 compared to $33.8 million for the same period in 2009.

Six-month results

For the first six months of 2010, Aegean recorded a $5.4 million, or 26 percent, rise in net income to $26.1 million, or $0.56 basic and diluted earnings per share, compared to net income of $20.7 million, or $0.49 basic and diluted earnings per share, for the year-earlier period.

The volume of marine fuel sold increased 61.8 percent to 4,545,559 metric tonnes compared to 2,808,974 metric tonnes in the year-earlier period.

Operating income for the six-month period was $36.6 million compared to $25.9 million in 2009.

Commenting on the results, E. Nikolas Tavlarios, President commented, "During the second quarter, Aegean Marine continued to expand its global market share for the physical supply of marine fuel, enabling the Company to increase both sales volumes and EBITDA by 88.5% and 12.7%, respectively, compared to the year-earlier period. Consistent with management's strategy to expand its brand and scale, we completed the acquisition of Verbeke Bunkering at the onset of the second quarter, cementing our presence in the world's second largest bunkering market.

"Building upon our success, we acquired the Shell Las Palmas terminal in the Canary Islands, which lie along major trans-Atlantic seaborne trade routes. Importantly, the terminal includes dedicated land storage facilities that broaden our new onshore storage facilities under development in, Jamaica, Morocco and the UAE where we expect to commence construction of a facility with approximate capacity of 3 million barrels in September 2010. Including our latest acquisition, which closed in July 2010, Aegean Marine has more than tripled its vast global network to 16 markets covering over 40 ports compared to 5 at the time of our IPO in December 2006."

Tavlarios continued, "In addition to penetrating new markets and increasing our in-land storage capacity, we further enhanced our high-quality logistics infrastructure with the delivery of three double-hull bunkering tanker newbuildings in the second quarter and one to date in the current third quarter. Going forward, we expect to complete our fully financed newbuild program with the delivery of nine remaining double-hull bunkering tanker newbuildings over the next six months. By expanding our fully integrated marine fuel platform from procurement to delivery, combined with our burgeoning marine lubricant business, we remain well positioned to strengthen our global brand recognition and increase the Company's earnings power."

Greece 

Luxomar delivery ceremony. ESL Shipping completes Green Coaster fleet with delivery of twelfth vessel Luxomar  

Baltic dry bulk carrier has finalised a twelve-vessel plug-in hybrid coaster programme built in India.

Hybrid ro-ro vessel render. Compagnie Maritime Nantaise orders hybrid ro-ro vessel for European space cargo runs  

French shipping company commissions wind-assisted vessel with biofuel capability to serve growing European space industry.

HMM and Vale logos. HMM signs KRW 4.7 trillion long-term iron ore contract with Vale  

Latest contract backed by tri-fuel Newcastlemax newbuilds capable of operating on methanol, ethanol and conventional marine fuel.

DNV and GRSE MoU signing. DNV and India’s GRSE sign MoU on green propulsion and advanced shipbuilding  

The agreement covers alternative fuels, digital technologies and defence vessel development.

VPS Carbon Reduction seminar in Rotterdam graphic. VPS to host Dutch seminar on marine fuel quality, lubricants and decarbonisation  

Free-to-attend event will bring together speakers from VPS, DNV and SulNOx.

Seaspan Lions ship-to-ship (STS) LNG bunkering operation. LNG bunker fleet may need to more than double by 2030, DNV warns  

Classification society says bunkering infrastructure investment must accelerate to match LNG shipping growth.

Bunkering operation in Amoyfjorden. Burando Energies completes first physical bunker operation in Norway  

Marine fuel supplier delivers to Heerema's semi-submersible crane vessel Balder in Åmøyfjorden.

Bound4blue received Bureau Veritas (BV) Design Assessment. Bound4blue wins Bureau Veritas design assessment for Model 3-24 eSAIL at SMM 2026  

Independent design assessment adds credibility as bound4blue’s suction sail fleet reaches 13 vessels.

TRAnsverse 2900 tug render. Svitzer orders six TRAnsverse 2900 biofuel-ready tugs from Cheoy Lee  

Towage provider expands next-generation TRAnsverse fleet with fresh Hong Kong order.

UK alternative maritime fuels coalition logos. UK shipping bodies launch alternative fuels coalition to drive net zero transition  

New cross-industry body aims to align fuels, infrastructure and policy for shipping decarbonisation.