The profit for the first half-year was USD 598 million. The profit is 110% up on the same period last year and is the best half-year result in the Company’s history. The profit for the period of DKK 2.9 billion - translated - corresponds to earnings of DKK 68 per share. The profit is influenced by profits from the sale of 5 vessels totalling USD 177 million and a positive fair value adjustment of certain hedging instruments of USD 103 million, primarily as a consequence of the high oil prices at the end of June. EBITDA for the first half-year increased by 57% to USD 303 million. The increase is a result of a considerably higher freight income in a strong and volatile dry cargo market combined with increased activity in the Dry Cargo Department. The Tanker Department's EBITDA decreased primarily due to higher costs of chartered tonnage and a weak spot market in the first quarter.
The profit was achieved in volatile markets in both the dry cargo and tanker segments. The first quarter was influenced by a substantial adjustment in the very strong dry cargo market and a weak winter tanker market. On the other hand, the second quarter was favourable for both the dry cargo and tanker segments.
In the first half-year, the Company's operations generated a positive cash flow of USD 323 million.
At the end of the first half-year, the active fleet consisted of 220 vessels, and the number of vessels for delivery amounted to 97 units.
At the beginning of August, 87% of the year's known capacity in the Dry Cargo Department and 42% of the known capacity in the Tanker Department had been covered. For 2009, the coverage was 53% in the Dry Cargo Department and 19% in the Tanker Department.
At the end of the first half-year of 2008, the Company's total theoretical Net Asset Value (including the value of charter parties with purchase or extension option) is estimated to be DKK 652 per share against DKK 452 per share at the end of the first half-year of 2007.
NORDEN increases its profit guidance for 2008 by USD 65 million and expects it to be in the range of USD 950-1,030 million, including realised profits from the sale of vessels of USD 269 million and a fair value adjustment of certain hedging instruments (IAS 39) of USD 30 million. Previously, the annual profit for 2008 was expected to be in the range of USD 885-965 million. EBITDA is revised upwards for the tanker segment with a total of USD 15 million. The remaining part is ascribed to the development of IAS 39 which is adjusted upwards with USD 50 million.
The profit was achieved in volatile markets in both the dry cargo and tanker segments. The first quarter was influenced by a substantial adjustment in the very strong dry cargo market and a weak winter tanker market. On the other hand, the second quarter was favourable for both the dry cargo and tanker segments.
In the first half-year, the Company's operations generated a positive cash flow of USD 323 million.
At the end of the first half-year, the active fleet consisted of 220 vessels, and the number of vessels for delivery amounted to 97 units.
At the beginning of August, 87% of the year's known capacity in the Dry Cargo Department and 42% of the known capacity in the Tanker Department had been covered. For 2009, the coverage was 53% in the Dry Cargo Department and 19% in the Tanker Department.
At the end of the first half-year of 2008, the Company's total theoretical Net Asset Value (including the value of charter parties with purchase or extension option) is estimated to be DKK 652 per share against DKK 452 per share at the end of the first half-year of 2007.
NORDEN increases its profit guidance for 2008 by USD 65 million and expects it to be in the range of USD 950-1,030 million, including realised profits from the sale of vessels of USD 269 million and a fair value adjustment of certain hedging instruments (IAS 39) of USD 30 million. Previously, the annual profit for 2008 was expected to be in the range of USD 885-965 million. EBITDA is revised upwards for the tanker segment with a total of USD 15 million. The remaining part is ascribed to the development of IAS 39 which is adjusted upwards with USD 50 million.