LNG shipping company Flex LNG reported a rise in profit during the fourth quarter of 2019 as it closed an ‘eventful year’.
The company reported a net profit of $23.9 million for the quarter under review, which compares to a net income of $0.5 million in the previous quarter.
The company also reported revenues of $53 million during the quarter which compares to $29.8 million in the previous quarter.
Average time charter equivalent (TCE) rate of $94,000 per day for the fourth quarter of 2019, compared to $58,222 per day for the third quarter of 2019.
Commenting on the results, Flex LNG CEO Øystein Kalleklev , said, “We took delivery of two LNG carriers in June and August 2019, and these two vessels were put directly into a strong spot market in the second half of 2019. Given the fact that we positioned our fleet for a stronger winter market we were able to achieve trading results in fourth quarter of 2019 similar to what we did in the fourth quarter of 2018, when rates were at all-time high.”
He added that the results posted by the company are the best-ever for Flex LNG.
“Based on fixtures to date, we anticipate the TCE for the first quarter 2020 to be close to $70,000 per day, despite the demand slump in the first quarter due to a record warm winter and the recent coronavirus outbreak,” Kalleklev said.
He further added that the company has named Ben Martin as a chief commercial officer who will join Flex LNG from the Swiss trader Trafigura.