Odfjell 1Q24 results: A record quarter

7 May 2024

Odfjell SE today reported its results for the first quarter of 2024, showing a record quarter driven by strong markets.

The rerouting of vessels away from the Red Sea has elevated freight rates further.

Highlights - 1Q24:

• Record net result of USD 68 million. Net result adjusted for one-off items was USD 69 million compared to USD 50 million in 4Q23.

• Time charter earnings in Odfjell Tankers ended at USD 195 million, compared to USD 182 million in 4Q23.

• EBIT of USD 89 million compared to USD 71 million in 4Q23.

• Rates on renewed COAs in the quarter were up 14% on average, covering 22% of estimated annual contract volume.

• Net result contribution from Odfjell Terminals increased to USD 3.2 million, compared to USD 2.4 million in 4Q23.

• Fleet carbon intensity (AER) for 1Q24 of 7.14, slightly better than 4Q23.

• During the quarter, Odfjell took delivery of one newbuild on long-term time charter and signed an agreement for one owned newbuilding. A further four newbuildings on long-term time charter were concluded in April. These vessels are all scheduled to be delivered in 2026 and 2027, bringing Odfjell's total number of newbuildings on order to 16 vessels. By that, ~20% of the orderbook in the chemical tanker segment is on Odfjell's account.

"Odfjell delivered a record result in the first quarter of 2024. This reflects the tightened market situation due to the increased ton-mile demand. We also continued to increase the rates in our COA portfolio. This, in combination with a very professional and dedicated organization, gives a solid basis for future earnings. We expect our earnings to further increase in 2Q24," said Harald Fotland, CEO of Odfjell SE.

Please see attached for the 1Q24 report and presentation. Tomorrow, Wednesday, May 8, at 09:00 CET, Odfjell SE will present the results in a live webcast, followed by a Q&A session. Watch the presentation at https://www.odfjell.com/investor/webcast. The presentation will be held in English.

Odfjell press release