Maersk Tankers reported an underlying loss of USD 17m (profit of USD 26m) in the second quarter of 2017. The result was negatively impacted by declining spot market rates, which were the main driver for Maersk Tankers’ average Time Charter Equivalent (TCE) earnings declining by 27%.Due to an expected continuation of the current low asset valuation, A.P. Møller – Mærsk A/S has made an impairment of USD 464m related to Maersk Tankers.
“Maersk Tankers delivered an unsatisfactory underlying result in the second quarter. The result was negatively impacted by freight rates declining 21% across markets and a fleet that only took advantage of some temporary regional market spikes,” said Christian M. Ingerslev, CEO of Maersk Tankers.
In the weakened markets, Maersk Tankers managed to reduce the vessels’ daily running costs by 3% compared to Q2 2016, through lower repair and maintenance costs, crewing efficiencies and procurement optimisations.
“We continued to show solid operational performance driven by our technical capabilities. This contributed to further reductions in our daily running costs, which is important for our competitiveness,” said Ingerslev.
Maersk Tankers established a global Aframax pool in April, consisting of five vessels by the end of the quarter. The company operates 55 vessels for other owners, creating partnerships, growing the fleet of vessels and generating asset-light income.
Maersk Tankers continues the work to deliver on its business strategy, enabled by digitisation.