Avance Gas Holding Ltd 217 0 Kommentare Fourth Quarter 2023 Earnings Release

BERMUDA, February 14, 2024 – Avance Gas Holding Ltd (OSE: AGAS) (“Avance Gas” or the “Company”) today reports unaudited results for the fourth quarter 2023.

HIGHLIGHTS

The average time charter equivalent (TCE) rate basis discharge-to-discharge was $76,200/day, ahead of guidance of $70-75,000/day and compares to $55,300/day for the third quarter.
TCE/day on load-to-discharge basis was $71,900/day compared to $46,700/day for the third quarter 2023. Adjustment related to load-to-discharge was negative $5.4 million or $4,300/day in TCE/day for the fourth quarter compared to negative $10.9 million or $8,600/day for the third quarter.
For the fourth quarter, we had a TC coverage of 29% at an average TCE rate of $48,900/day and spot voyages of 71% at $101,000/day corresponding to an average fleet TCE of $85,900/day excluding FFA loss of $9,700/day and negative load-to-discharge adjustment of $4,300/day.
For the full year 2023, TCE/day came in at $57,200/day compared to $38,200/day in 2022 load-to-discharge.
Daily operating expenses (OPEX) were $8,090/day, compared to $8,070/day for the third quarter of 2023.
Net profit of $61.5 million compared to $30.1 million for the third quarter 2023, or earnings per share (EPS) of 80 cents compared to 39 cents for the third quarter.
Net profit of $163.6 million and EPS of $2.14 for the full year 2023 compared to $89.0 million and EPS of $1.16 for the full year 2022.
During the fourth quarter, the Company paid $0.50 per share in dividend, or $38.3 million, for the third quarter 2023. During the year 2023, total cash dividend paid was $153.2 million or $2.0 per share.
In December 2023, the Company announced the sale of the two remaining VLGC newbuildings scheduled for delivery in March and May 2024 at a total cash consideration of $240 million en bloc or $120 million per vessel less broker commission. The Company expect to book a gain on sale of $72 million from the sales and a cash release of $120 million.
In January 2024, the Company completed the sale of VLGC Iris Glory (2008) for a cash consideration of $60 million less broker commission. The Company will record a book gain on sale of $21 million and net cash proceeds of $25 million for the first quarter 2024.
In January 2024, the Company announced the sale of Venus Glory (2008) for a cash consideration of $66 million less broker commission. The Company expect to record a book gain on sale of $27 million and a net cash release of approximately $40 million for the first quarter 2024.
In January 2024, the Company signed the $43 million bank facility previously announced for the refinancing of VLGC Pampero (2015) at attractive financing terms. The facility will be drawn in March 2024 which will result in a cash release of approximately $5 million.
In February 2024, the Company signed and drew on the $135 million sale lease agreement (SLB). As previously announced, the SLB was intended for the two remaining VLGC newbuildings (2024) which was sold thereby the financing was swapped to Avance Polaris (2022) and Avance Capella (2022). The transaction resulted in net cash proceeds of $40 million which will be recorded in the first quarter 2024.
For the first quarter of 2024, we have booked ~70% at an average TCE/day of ~$70,000 on a discharge-to-discharge basis. Load-to-discharge adjustment is expected to be substantial positive as the freight market had a significant downturn in the first quarter. As such, we expect to reverse most of the $16.3 million negative load-to-discharge adjustment recorded in the third and fourth quarter when the freight market elevated.
The board declared a dividend of $0.65 per share or $49.8 million for the fourth quarter 2023. Hence, total dividend declared to the year 2023 amounts to $164.7 million or $2.15 per share (101% of net profit).