D’Amico Loses In The First Quarter But Optimistic About Market Recovery

- May 09, 2018-

D’Amico International Shipping S.A. (DIS) suffered a loss in the first quarter of 2018 due to the weak performance of product tankers, but the company is still optimistic about the market recovery.


DIS had a net loss of $3.6 million in the first quarter of this year, and in the same period last year the company received $1.8 million in profits.welding overlay fittings


However, DIS CEO Marco Fiori said that all current macro variables point to a rebound in the market, and existing issues are only a matter of time. With the increase in global economic activity, the demand for refined oil shipping will be expected to grow strongly in the next few years.pipe fittings


In addition, the company said that the refineries in the Middle East have an important share in the global oil refining market, plus the strong demand for refined oil in some regions, which will drive the growth in the shipping demand for refined oil tankers.welding overlay flanges


The inventory level of refined oil has been exerting pressure on freight rates since 2016, and the current freight rate has returned to the average of the past five years. In addition, the growth of the global product oil fleet in the first quarter was almost flat, with 15 MR product tankers and 6 LR1 product tankers delivered on the market, while 14 MR product tankers and 2 LR1 product tankers were dismantled.


Since the beginning of the year, DIS has completed the sale and leaseback of a ship, as well as the sale and time charter of another ship, resulting in US$20.3 million in funding. The company announced that it has agreed to a two-year renewal agreement for the "M/T Carina" and a one-year renewal agreement for the "M/T SW Cap Ferrat 1" round. In addition, the company also acquired four MR product tankers and one LR1 product tanker for lease renewals. piping spool


In January 2018, DIS received the "M/T Cielo di Rotterdam" new environmentally friendly LR1 product tanker from Vietnam's Hyundai Vinashin shipyard. The company also has four ships under construction at the Hyundai Vinashin shipyard, of which two ships will be delivered in July 2018 and the other two ships will be delivered in January 2019.