Tanker performance impacted by market uncertainty, non-tanker portfolio continues to perform well
LONDON, April 3, 2025 - Stolt-Nielsen Limited (Oslo Børs ticker: SNI) today reported unaudited results for the first quarter ending February 28, 2025. The Company reported a first-quarter net profit of $151.4 million with revenue of $675.6 million, compared with a net profit of $104.0 million with revenue of $707.3 million in the first quarter of 2024. Excluding $75.2 million in one-off gains, due to the step-up of equity investments in Avenir LNG Limited (Avenir) and Hassel Shipping 4 (HS4), first-quarter net profit was $76.2 million.
Highlights for the first quarter of 2025, compared with the first quarter of 2024, were:
- Stolt-Nielsen Limited (SNL) consolidated EBITDA of $192.0 million, down from $210.3 million.
- Earnings per share (EPS) was $2.83, up from $1.94. Excluding the one-off gains, EPS was $1.42 per share.
- Stolt Tankers reported operating profit of $66.6 million, compared to $93.0 million.
- The STJS average time-charter equivalent (TCE) revenue1 was $27,620 per operating day, compared to $29,944.
- Stolthaven Terminals reported operating profit of $28.5 million, level with the same quarter last year.
- Stolt Tank Containers reported operating profit of $15.2 million, up from $13.3 million.
- Stolt Sea Farm reported an operating profit before fair value adjustment of biomass of $7.4 million, up from $6.9 million.
- Stolt-Nielsen Gas reported an operating loss of $3.5 million, compared to a loss of $2.0 million.
- Corporate and Other reported an operating loss of $10.5 million compared to a loss of $10.7 million.
Udo Lange, Chief Executive Officer of Stolt-Nielsen Limited, commented:
"In an increasingly uncertain environment, the Company produced solid results with EBITDA of $192 million. While Stolt Tankers' EBITDA fell 17%, our non-shipping business was up 6%, so overall the Company was down 9%, demonstrating the benefit of our diversified portfolio. The breadth of our business brings some resilience and risk mitigation in an otherwise volatile macroeconomic situation.
"Stolt Tankers faces significant uncertainties in its markets, driven by geopolitics. Tariffs on traded goods and potential higher US port fees could significantly impact trade flows, and we are closely monitoring the development of trade policies. Average TCE revenue for the first quarter was $27,620 per day, a further decline from previous quarters, but still 39% above the historical average2.
"Storage markets have been more stable, and at Stolthaven Terminals utilisation continues to trend upwards. Revenue and operating profit were flat year-over-year at record levels, despite a negative currency impact.
"Ongoing margin improvement at Stolt Tank Containers has supported a strong year-on-year performance in the first quarter. A decline in volumes impacted revenue, however operating profit increased, as spot rates booked were up, and the ongoing focus on cost control continues to pay off.
"Strong Christmas sales and margin performance positioned Stolt Sea Farm well for the first quarter of the year. With inventory levels remaining tight, sales prices were at record-high levels, which has positively impacted operating profit.
"During the quarter, we continued to invest in our business. We completed the acquisitions of the remaining 50% of the HS4 joint venture and an additional 48.8% in Avenir. The combined outcome of these transactions should generate an annualised additional contribution to EBITDA of around $50 million, subject to market conditions."
1 TCE revenue per operating day refers to deep-sea sailed-in revenue per day, which is calculated as voyage revenue less voyage related expenses and trading overhead expense, divided by total operating days during the period
2 2018-2022 average TCE revenue was $19,825
This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act
