GC Rieber Shipping Fleet Utilisation Hits 100%

Norwegian shipping company GC Rieber Shipping ASA had a fleet utilization of 100% in the second quarter of 2019.

The operator of offshore subsea support vessels, marine seismic vessels and polar logistics and research expeditions said that the subsea and ice/support vessels have contract coverage of 44% for the remainder of the year while Shearwater GeoServices Shearwater has confirmed backlog of more than 26 vessel-months in the third and fourth quarter of 2019 following the award of multiple seismic acquisition contracts.

GC Rieber Shipping had operating income of NOK 91.9 million in the second quarter of 2019, compared with NOK 60.7 million in the corresponding period 2018. EBITDA was NOK 41.3 million, compared with NOK 9.3 million in the second quarter of 2018. The year-on-year increase was mainly due to higher vessel utilization and early redelivery fee for the Ernest Shackleton.

Net profit for GC Rieber Shipping was NOK 93.9 million for the quarter, compared with a loss of NOK 9.0 million in the second quarter 2018.  The positive result in the second quarter of 2019 reflected a book gain of NOK 101.6 million kroner from the Ernest Shackleton sale.

"We are very pleased with achieving full utilization in the second quarter for our subsea and ice/support vessels. Despite an uptick in rates and activity for the summer season, the offshore market remains challenging with current market rates at an unsustainable level.,” said Einar Ytredal the CEO of GC Rieber Shipping.

“In the marine seismic market, Shearwater has seen increased tendering activity with a positive effect on utilization levels and pricing," he added.