3 rd Quarter 2016 results
Team Tankers International Ltd. (OSE: TEAM) reported EBITDA for the 3 rd quarter of $6.0 million, compared with $9.7 million in the 2 nd quarter of 2016 (Q3'15: $19.6 million). Net loss in the 3 rd quarter of 2016 was $4.2 million, compared with a net loss of $4.4 million in the 2 nd quarter (net profit Q3'15: $7.4 million). The average time charter equivalent rate for the fleet was $10,926 per day in the 3 rd quarter, compared with $13,242 per day in the previous quarter.
In the 3 rd quarter, the Company completed the sale of the Sichem Contester, a 19,822 dwt stainless steel ship, the Sichem Edinburgh, a 13,153 dwt coated ship, and the disposition of the Siteam Anja, a 44,640 dwt coated ship, resulting in a combined net gain of $0.4 million.
Team Tankers' CEO Hans Feringa commented, "With the vessel disposals in the 3 rd quarter, we have now completed the strategic realignment of the Team fleet. Even though the freight environment in our industry has been challenging, Team has approximately $100 million of cash versus $97 million of debt and therefore has one of the strongest balance sheets in the publicly traded shipping universe. With very low leverage, Team is well-positioned to capitalize on strategic opportunities that will drive further consolidation of the chemical tanker industry."
Update on Share Repurchase Program
As reported last quarter, the Board of Directors of Team Tankers International Ltd. authorized the Company to commence a $10 million share repurchase program on August 22, 2016. In the third quarter of 2016, the Company repurchased 986,550 shares at an average price of NOK 12.77. As of November 10, 2016, the Company held 1,263,988 treasury shares.
Forward looking statements
This press release may contain forward-looking statements. These statements are based upon various assumptions, many of which are based, in turn, upon further assumptions, including Team Tankers International's management's examination of historical operating trends. Although Team Tankers International believes that these assumptions were reasonable when made, because assumptions are inherently subject to significant uncertainties and contingencies, which are difficult or impossible to predict and are beyond its control, the Company cannot give assurance that it will achieve or accomplish these expectations, beliefs or intentions.
Important factors that, in the Company's view, could cause actual results to differ materially from those discussed in this report include the strength of world economies and currencies, general market conditions including fluctuations in charter hire rates and vessel values, changes in demand in the chemical tanker market, changes in the Company's operating expenses including bunker prices, dry-docking and insurance costs, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, and other important factors described from time to time in the reports filed by the Company. Neither Team Tankers International nor any other person assumes responsibility for the accuracy and completeness of the forward-looking statements.
The 3 rd quarter 2016 financial report is attached.
The Board of Directors
Team Tankers International Ltd.
Hamilton, Bermuda
Questions should be directed to:
Hans Feringa: President and CEO
T: +1 203 341 3600
Kevin Kilcullen: CFO
T: +1 203 341 3600
About Team Tankers International Ltd.: Team Tankers International Ltd. is a leading chemical tanker company committed to providing safe, reliable and incident free transport services to our worldwide customer base. The Company transports a wide variety of cargoes including organic chemicals, non-organic chemicals, petroleum products, vegetable oils and lube oils. Team Tankers International Ltd. is listed on the Oslo Stock Exchange (OSE: TEAM).
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
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