Stolt-Nielsen Limited Reports Unaudited Results For the Second Quarter and First Half of 2021
STOLT-NIELSEN, Stolt-Nielsen Limited 17/22 6,375% USD, Stolt-Nielsen Limited 20/23 FRN FLOOR, Stolt-Nielsen Limited 20/24 FRN FLOOR
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LONDON, July 1, 2021 - Stolt-Nielsen Limited (Oslo Børs: SNI) today reported
unaudited results for the second quarter and first half of 2021. The Company
reported a second-quarter net profit attributable to shareholders of $7.8
million, with revenue of $526.9 million, compared with a net profit attributable
to shareholders of $2.5 million, with revenue of $480.2 million, in the first
quarter of 2021. The net profit attributable to shareholders for the first six
months was $10.3 million, with revenue of $1,007.1 million, compared with a net
loss attributable to shareholders of $16.3 million, with revenue of $1,000.5
million, in the first half of 2020.
Highlights for the second quarter, compared with the first quarter, were:
* Stolt Tankers reported operating profit of $12.6 million, marginally down
from $12.9 million.
* The Stolt Tankers Joint Service (STJS) Sailed-in Time-Charter Index fell
slightly to 0.51 from 0.52.
* Stolthaven Terminals reported operating profit of $18.3 million, up from
$15.7 million driven by $2.7 million higher revenue and the reversal of a
first-quarter tax charge at a JV terminal with a favourable quarter-on-
quarter impact of $1.8 million.
* Stolt Tank Containers reported operating profit of $12.5 million, up from
$8.0 million, reflecting strong volumes and improved margins.
* Stolt Sea Farm reported an operating loss before fair value adjustment of
$1.4 million compared with an operating loss of $0.4 million.
* Corporate and Other reported an operating loss of $0.9 million compared with
a loss of $2.2 million. The improvement was mainly due to a reduction in
profit sharing accruals.
Niels G. Stolt-Nielsen, Chief Executive Officer of Stolt-Nielsen Limited,
commented: "During the second quarter we saw an increase in activity across the
board, although this is not fully reflected in the financial results. At Stolt
Tankers we saw an increase in overall volume following the delivery of the CTG
ships. However, a reduction in contract volumes resulting from the Houston
freeze in February and reduced acid nominations, required us to fill capacity
with lower-paying spot business while bunker prices continued to rise, which
resulted in a slightly lower time-charter equivalent. At Stolt Tank Containers
the improvement in earnings was due to a continued strong increase in shipments.
At Stolthaven Terminals we saw an increase in utilisation and throughput
volumes, but pockets of weakness in Asia Pacific and Australia held the overall
results down. At Stolt Sea Farm we are seeing strong demand for our species in
all markets due to the end of the wild-catch season. Further price increases are
expected during the traditionally strong summer season.
"With the delivery of the five CTG ships and the 2,600 newly leased tank
containers, and the commissioning of additional storage capacity, the three
logistics businesses are well positioned to capitalise on the pending recovery.
I remain positive about the market outlook for Stolt Tankers, where we have seen
a recovery in COA volumes. At Stolthaven Terminals utilisation has continued to
improve steadily over recent months, with an expectation that rates will follow.
Stolt Tank Containers continue to set new shipment records on a monthly basis
driven by strong demand across a number of regions. At Stolt Sea Farm, the new
Cervo and Tocha farms are both performing beyond our expectations. Biomass
growth is stronger than we first anticipated, and we expect harvesting to begin
at Tocha as early as August, four months ahead of schedule. This additional
volume is welcome as we have seen a rapid rise in prices subsequent to quarter-
end, which is set to continue through the peak summer season.
"In an effort to accelerate the roll-out of vaccines, Stolt Tankers has begun
its own vaccination programme for crew members. During the quarter
approximately 350 crew were vaccinated, with a further 800 targeted during the
This information is subject to the disclosure requirements pursuant to Section
5-12 the Norwegian Securities Trading Act