Scorpio Tankers Inc. (NYSE: STNG) ("Scorpio Tankers", or the
"Company") today reported its results for the three months and year
ended December 31, 2019. The Company also announced that its
Board of Directors has declared a quarterly cash dividend
of $0.10 per share on the Company’s common stock.
Results for the three months ended
December 31, 2019 and 2018
For the three months ended December 31, 2019,
the Company had a net income of $12.0 million, or $0.22 basic and
$0.21 diluted earnings per share. For the three months ended
December 31, 2019, the Company's adjusted net income (see Non-IFRS
Measures section below) was $12.8 million, or $0.23 basic and
diluted earnings per share, which excludes from the net income a
$0.7 million, or $0.01 per basic and diluted share,
write-off of deferred financing fees.
For the three months ended December 31, 2018,
the Company had a net loss of $17.7 million,
or $0.38 basic and diluted loss per share. For the three
months ended December 31, 2018, the Company’s adjusted net loss
(see Non-IFRS Measures section below) was $17.4 million,
or $0.38 basic and diluted loss per share, which excludes
from the net loss a $0.3 million, or $0.01 per basic
and diluted share, write-off of deferred financing fees.
Results for the year ended December 31,
2019 and 2018
For the year ended December 31, 2019, the
Company had a net loss of $48.5 million, or $0.97 basic and diluted
loss per share. For the year ended December 31, 2019, the Company's
adjusted net loss (see Non-IFRS Measures section below) was $47.0
million, or $0.94 basic and diluted loss per share, which excludes
from the net loss a $1.5 million, or $0.03 per basic and
diluted share, write-off of deferred financing fees.
For the year ended December 31, 2018, the
Company had a net loss of $190.1 million,
or $5.46 basic and diluted loss per share. For the year
ended December 31, 2018, the Company’s adjusted net loss (see
Non-IFRS Measures section below) was $158.7 million,
or $4.56 basic and diluted loss per share, which excludes
from the net loss (i) an aggregate loss
of $17.8 million recorded on the Company’s exchange
of an aggregate of $203.5 million principal amount of its
Convertible Notes due 2019 in the second and third quarters of
2018, (ii) a $13.2 million write-off of deferred
financing fees, and (iii) $0.3 million of transaction
costs related to the 2017 merger with Navig8 Product Tankers
Inc, together resulting in an aggregate reduction of the
Company’s net loss of $31.3
million or $0.90 per basic and diluted share.
Declaration of Dividend
On February 18, 2020, the Company's Board
of Directors declared a quarterly cash dividend of $0.10 per common
share, payable on or about March 13, 2020 to all shareholders of
record as of March 2, 2020 (the record date). As of
February 17, 2020, there were 58,672,080 common shares of the
Company outstanding.
Summary of Other Recent and Fourth
Quarter Significant Events
- Below is a summary of the average
daily Time Charter Equivalent (TCE) revenue (see Non-IFRS Measures
section below) and duration for voyages fixed for the Company's
vessels thus far in the first quarter of 2020 as of the date hereof
(See footnotes to "Other operating data" table below for the
definition of daily TCE revenue):
• For the LR2s in the
pool (which includes both scrubber fitted and non-scrubber fitted
vessels): an average of approximately $25,000 per day for 70%
of the days. Scrubber fitted vessels earned a premium
of approximately $5,300 per day during January 2020 when compared
to non-scrubber fitted vessels in the pool.• For the LR1s in
the pool (which includes both scrubber fitted and non-scrubber
fitted vessels): an average of approximately $19,000 per day
for 80% of the days. Scrubber fitted vessels earned a
premium of approximately $5,400 per day during January 2020 when
compared to non-scrubber fitted vessels in the pool.
• For the MRs in
the pool (which includes both scrubber fitted and non-scrubber
fitted vessels): an average of approximately $22,000 per day
for 60% of the days. Scrubber fitted vessels earned a
premium of approximately $2,800 per day during January 2020 when
compared to non-scrubber fitted vessels in the pool.
• For the
ice-class 1A Handymaxes in the pool: an average of
approximately $24,000 per day for 60% of the days.
- Below is a summary of the average
daily TCE revenue earned on the Company's vessels during the fourth
quarter of 2019:
• For the LR2s
in the pool: an average of $25,230 per revenue day.
• For the LR1s
in the pool: an average of $17,653 per revenue day.
• For the MRs in
the pool: an average of $17,429 per revenue day.
• For the
ice-class 1A Handymaxes in the pool: an average of $19,294 per
revenue day.
- In November 2019, the Company
entered into an “at the market” offering program (the "ATM
Program") pursuant to which the Company may sell up to $100
million of its common shares, par value $0.01 per
share. No shares have been sold under this Program through the date
of this press release.
- In November and December 2019, the
Company executed two term loan facilities with Hamburg Commercial
Bank AG and Prudential Private Capital, respectively, for
approximately $99.1 million in aggregate. These facilities were
partially drawn in December 2019 and the proceeds were used to
refinance the existing indebtedness on five vessels that were
previously financed under the Company’s KEXIM Credit Facility. The
Company's liquidity increased by approximately $31.0 million in
aggregate as a result of these transactions. There is
currently $1.5 million available to be drawn under the facility
with Hamburg Commercial Bank AG, which is expected to be utilized
to partially finance the purchase and installation of a scrubber on
one of the Company's LR2 tankers.
- In December 2019, the Company drew
down an aggregate of approximately $11.0 million from an upsized
lease financing arrangement with CSSC (Hong Kong) Shipping Company
Limited ("CSSC") to partially finance the purchase and installation
of scrubbers on seven of its vessels.
- As of the date of this press
release, the Company has received commitments from financial
institutions for an additional eight different facilities to
partially finance the purchase and installation of scrubbers on
certain of the Company's vessels. These commitments are
expected to increase the Company's liquidity by approximately
$118.7 million, after the repayment of existing indebtedness.
Subject to the negotiation and execution of definitive
documentation for these facilities, the drawdowns are expected to
occur as the scrubbers are installed throughout the remainder of
2020.
- In December 2019, the Company paid
a quarterly cash dividend with respect to the third quarter of 2019
on the Company's common stock of $0.10 per common share.
- In January 2020, the Company took
delivery of two scrubber-fitted 2020-built MR product tankers (STI
Miracle and STI Maestro) under eight-year bareboat leases.
The leasehold interests in these vessels were acquired as part of
the Company's transaction with Trafigura Maritime Logistics Pte.
Ltd. ( the "Trafigura Transaction") that was announced in September
2019. The bareboat leases have similar terms and conditions
as the original leased vessels in the Trafigura Transaction.
At the Market Share Issuance
Program
In November 2019, the Company entered into the
ATM Program pursuant to which the Company may sell up to $100
million of its common shares, par value $0.01 per
share. As part of the ATM Program, the Company entered into an
equity distribution agreement dated November 7, 2019 (the “Sales
Agreement”), with BTIG, LLC, as sales agent (the “Agent”). In
accordance with the terms of the Sales Agreement, the Company may
offer and sell its common shares from time to time through the
Agent by means of ordinary brokers’ transactions on the New York
Stock Exchange at market prices, in block transactions, or as
otherwise agreed upon by the Agent and the Company. The Company
intends to use the net proceeds from any sales under the Program
for general corporate and working capital purposes.
No shares have been sold under the ATM Program
through the date of this press release.
Diluted Weighted Number of
Shares
Diluted earnings per share is determined using
the if-converted method. Under this method, the Company assumes
that its Convertible Notes due 2022, which were issued in May and
July 2018, were converted into common shares at the beginning of
each period and the interest and non-cash amortization expense
associated with these notes of $3.7 million and $14.7 million,
respectively, during the three months and year ended December 31,
2019 were not incurred. Conversion is not assumed if the results of
this calculation are anti-dilutive.
For the three months and year ended December 31,
2019, the Company's basic weighted average number of shares were
54,626,119 and 49,857,998, respectively. For the three months
and year ended December 31, 2019, the Company's diluted weighted
average number of shares were 56,780,849 and 51,735,977,
respectively, excluding the impact of the Convertible Notes due
2022, and 62,009,488 and 57,656,484, respectively, under the
if-converted method.
The diluted weighted average number of shares
was anti-dilutive for the year ended December 31, 2019 as the
Company incurred a net loss.
The weighted average number of shares under the
if-converted method was anti-dilutive for the three months and year
ended December 31, 2019.
$250 Million Securities Repurchase
Program
In May 2015, the Company's Board of Directors
authorized a Securities Repurchase Program to purchase up to an
aggregate of $250 million of the Company's securities which, in
addition to its common shares, currently consist of its Unsecured
Senior Notes due 2020 (NYSE: SBNA), which were issued in May 2014,
and Convertible Notes due 2022, which were issued in May and July
2018.
No securities were repurchased under this
program during the fourth quarter of 2019 and through the date of
this press release.
As of the date hereof, the Company has
repurchased a total of $128.4 million of its securities under the
Securities Repurchase Program and has the authority to purchase up
to an additional $121.6 million of its securities. The Company may
repurchase its securities in the open market, at times and prices
that are considered to be appropriate by the Company, but is not
obligated under the terms of the Securities Repurchase Program to
repurchase any of its securities.
Conference Call
The Company has scheduled a conference call on
February 19, 2020 at 8:30 AM Eastern Standard Time and 2:30 PM
Central European Time. The dial-in information is as
follows:
US Dial-In Number: 1 (855) 861-2416
International Dial-In Number: +1 (703) 736-7422
Conference ID: 9755054
Participants should dial into the call 10
minutes before the scheduled time. The information provided on the
teleconference is only accurate at the time of the conference call,
and the Company will take no responsibility for providing updated
information.
There will also be a simultaneous live webcast
over the internet, through the Scorpio Tankers Inc. website
www.scorpiotankers.com. Participants to the live webcast should
register on the website approximately 10 minutes prior to the start
of the webcast.
Webcast URL:
https://edge.media-server.com/mmc/p/8jjse99m
Current Liquidity
As of February 17, 2020, the Company had
$164.7 million in unrestricted cash and cash equivalents.
Drydock, Scrubber and Ballast Water
Treatment Update
Set forth below is a table summarizing the
drydock, scrubber and ballast water treatment system activity that
occurred during the fourth quarter of 2019 and that is in progress
as of January 1, 2020:
|
|
|
|
|
|
|
|
|
|
Number ofVessels |
Drydock |
Ballast WaterTreatmentSystems |
Scrubbers |
AggregateCosts($ in millions) |
AggregateOffhire Daysin Q4 2019 |
| Completed in fourth quarter of
2019 |
|
|
|
|
|
|
| LR2 |
5 |
3 |
2 |
5 |
$21.8 |
216 |
| LR1 |
2 |
— |
— |
2 |
5.2 |
41 |
| MR |
7 |
7 |
5 |
7 |
30.8 |
348 |
| Handymax |
6 |
6 |
6 |
— |
18.1 |
135 |
| |
20 |
16 |
13 |
14 |
$75.9 |
740 |
| |
|
|
|
|
|
|
| In progress as of December 31,
2019 |
|
|
|
|
|
|
| LR2 |
6 |
5 |
5 |
6 |
$29.0 |
382 |
| LR1 |
1 |
— |
— |
1 |
2.5 |
— |
| MR |
5 |
5 |
4 |
5 |
22.3 |
104 |
| Handymax |
1 |
1 |
1 |
— |
2.8 |
27 |
| |
13 |
11 |
10 |
12 |
$56.6 |
513 |
| |
|
|
|
|
|
|
Set forth below are the estimated expected
payments for the Company's drydocks, ballast water treatment system
installations, and scrubber installations through 2020 (which also
include actual payments made during the first quarter of 2020
through February 17, 2020):
| |
|
| In millions of U.S.
dollars |
As of February 17, 2020 (1) |
| |
|
|
Q1 2020 - payments made through February 17, 2020 |
$ |
7.9 |
|
| Q1 2020 - remaining
payments |
50.3 |
|
| Q2 2020 |
54.8 |
|
| Q3 2020 |
34.5 |
|
| Q4 2020 |
14.4 |
|
| FY 2021 |
27.0 |
|
| |
|
|
|
(1) |
Includes estimated cash payments for drydocks, ballast water
treatment system installations and scrubber installations.
These amounts include installment payments that are due in advance
of the scheduled service and may be scheduled to occur in quarters
prior to the actual installation. In addition to these
installment payments, these amounts also include estimates of the
installation costs of such systems. The timing of the
payments set forth are estimates only and may vary as the timing of
the related drydocks and installations finalize. |
| |
|
Set forth below are the expected, estimated
number of ships and estimated off-hire days for the Company's
drydocks, ballast water treatment system installations, and
scrubber installations (2):
| |
|
|
| |
Q1 2020 |
|
| |
Ships Scheduled for (3): |
Off-hire |
| |
Drydock |
Ballast WaterTreatment Systems |
Scrubbers |
Days (4) |
|
LR2 |
6 |
|
4 |
|
8 |
|
488 |
|
|
LR1 |
— |
|
— |
|
4 |
|
212 |
|
|
MR |
5 |
|
5 |
|
9 |
|
671 |
|
|
Handymax |
1 |
|
1 |
|
— |
|
11 |
|
| |
|
|
|
|
| Total Q1
2020 |
12 |
|
10 |
|
21 |
|
1,382 |
|
| |
|
|
|
|
| |
Q2 2020 |
|
| |
Ships Scheduled for (3): |
Off-hire |
| |
Drydock |
Ballast WaterTreatment Systems |
Scrubbers |
Days (4) |
|
LR2 |
5 |
|
1 |
|
8 |
|
476 |
|
|
LR1 |
— |
|
— |
|
— |
|
88 |
|
|
MR |
5 |
|
5 |
|
10 |
|
484 |
|
|
Handymax |
— |
|
— |
|
— |
|
— |
|
| |
|
|
|
|
| Total Q2
2020 |
10 |
|
6 |
|
18 |
|
1,048 |
|
| |
|
|
|
|
| |
Q3 2020 |
|
| |
Ships Scheduled for (3): |
Off-hire |
| |
Drydock |
Ballast WaterTreatment Systems |
Scrubbers |
Days (4) |
|
LR2 |
1 |
|
— |
|
2 |
|
90 |
|
|
LR1 |
5 |
|
— |
|
5 |
|
200 |
|
|
MR |
— |
|
— |
|
7 |
|
270 |
|
|
Handymax |
— |
|
— |
|
— |
|
— |
|
| |
|
|
|
|
| Total Q3
2020 |
6 |
|
— |
|
14 |
|
560 |
|
| |
|
|
|
|
| |
Q4 2020 |
|
| |
Ships Scheduled for (3): |
Off-hire |
| |
Drydock |
Ballast WaterTreatment Systems |
Scrubbers |
Days (4) |
|
LR2 |
— |
|
— |
|
— |
|
— |
|
|
LR1 |
— |
|
— |
|
— |
|
— |
|
|
MR |
— |
|
— |
|
4 |
|
170 |
|
|
Handymax |
— |
|
— |
|
— |
|
— |
|
| |
|
|
|
|
| Total Q4
2020 |
— |
|
— |
|
4 |
|
170 |
|
| |
|
|
|
|
| |
FY 2021 |
|
| |
Ships Scheduled for (3): |
Off-hire |
| |
Drydock |
Ballast WaterTreatment Systems |
Scrubbers |
Days (4) |
|
LR2 |
12 |
|
— |
|
— |
|
240 |
|
|
LR1 |
7 |
|
— |
|
— |
|
140 |
|
|
MR |
— |
|
— |
|
— |
|
— |
|
|
Handymax |
— |
|
— |
|
— |
|
— |
|
| |
|
|
|
|
| Total FY
2021 |
19 |
|
— |
|
— |
|
380 |
|
|
(2) |
The number of vessels in these tables reflect a certain amount of
overlap where certain vessels are expected to be drydocked and have
ballast water treatment systems and/or scrubbers installed
simultaneously. Additionally, the timing set forth may vary
as drydock, ballast water treatment system installation and
scrubber installation times are finalized. |
|
(3) |
Represents the number of vessels scheduled to commence drydock,
ballast water treatment system, and/or scrubber installations
during the period. Does not include vessels that commenced
work in prior periods but will be completed in the current
period. |
|
(4) |
Represents total estimated offhire days during the period,
including vessels that commenced work during the period or that
commenced work in previous periods which are scheduled for
completion in the current period. |
| |
|
Debt
Set forth below is a summary of the Company’s
outstanding indebtedness as of the dates presented:
| |
In thousands of U.S.
dollars |
|
OutstandingPrincipal as ofSeptember 30,2019 |
Drawdowns and(repayments), net |
OutstandingPrincipal as ofDecember 31,2019 |
Drawdowns and(repayments),net |
OutstandingPrincipal as ofFebruary 17,2020 |
|
1 |
KEXIM Credit Facility |
|
$ |
265,650 |
|
$ |
(66,637 |
) |
$ |
199,013 |
|
$ |
(3,239 |
) |
$ |
195,774 |
|
| 2 |
ABN AMRO Credit Facility |
|
94,091 |
|
(2,139 |
) |
91,952 |
|
(1,602 |
) |
90,350 |
|
| 3 |
ING Credit Facility |
|
134,624 |
|
(3,184 |
) |
131,440 |
|
(1,071 |
) |
130,369 |
|
| 4 |
$35.7 Million Term Loan
Facility |
|
32,426 |
|
(808 |
) |
31,618 |
|
(808 |
) |
30,810 |
|
| 5 |
2017 Credit Facility |
|
134,817 |
|
(3,316 |
) |
131,501 |
|
— |
|
131,501 |
|
| 6 |
Credit Agricole Credit
Facility |
|
92,869 |
|
(2,142 |
) |
90,727 |
|
— |
|
90,727 |
|
| 7 |
ABN AMRO/K-Sure Credit
Facility |
|
46,641 |
|
(963 |
) |
45,678 |
|
— |
|
45,678 |
|
| 8 |
Citi/K-Sure Credit
Facility |
|
97,338 |
|
(2,104 |
) |
95,234 |
|
— |
|
95,234 |
|
| 9 |
ABN AMRO/SEB Credit
Facility |
|
106,200 |
|
(2,875 |
) |
103,325 |
|
— |
|
103,325 |
|
| 10 |
Hamburg Commercial Bank Credit
Facility (1) |
|
— |
|
42,150 |
|
42,150 |
|
— |
|
42,150 |
|
| 11 |
Prudential Credit Facility
(2) |
|
— |
|
55,463 |
|
55,463 |
|
(462 |
) |
55,001 |
|
| 12 |
Ocean Yield Lease
Financing |
|
152,304 |
|
(2,773 |
) |
149,531 |
|
(1,779 |
) |
147,752 |
|
| 13 |
CMBFL Lease Financing |
|
58,290 |
|
(1,227 |
) |
57,063 |
|
— |
|
57,063 |
|
| 14 |
BCFL Lease Financing
(LR2s) |
|
95,126 |
|
(1,978 |
) |
93,148 |
|
(1,345 |
) |
91,803 |
|
| 15 |
CSSC Lease Financing |
|
233,545 |
|
(4,327 |
) |
229,218 |
|
(2,885 |
) |
226,333 |
|
| 16 |
BCFL Lease Financing
(MRs) |
|
90,614 |
|
(2,804 |
) |
87,810 |
|
(1,953 |
) |
85,857 |
|
| 17 |
2018 CMB Lease Financing |
|
128,956 |
|
(2,529 |
) |
126,427 |
|
(2,529 |
) |
123,898 |
|
| 18 |
$116.0 Million Lease
Financing |
|
107,731 |
|
(1,690 |
) |
106,041 |
|
(1,193 |
) |
104,848 |
|
| 19 |
AVIC International Lease
Financing |
|
130,259 |
|
(2,948 |
) |
127,311 |
|
— |
|
127,311 |
|
| 20 |
China Huarong Shipping Lease
Financing |
|
127,125 |
|
(3,375 |
) |
123,750 |
|
— |
|
123,750 |
|
| 21 |
$157.5 Million Lease
Financing |
|
141,478 |
|
(3,536 |
) |
137,942 |
|
— |
|
137,942 |
|
| 22 |
COSCO Lease
Financing |
|
78,375 |
|
(1,925 |
) |
76,450 |
|
— |
|
76,450 |
|
| 23 |
IFRS 16 - Leases - 3 MRs |
|
45,927 |
|
(1,735 |
) |
44,192 |
|
(1,206 |
) |
42,986 |
|
| 24 |
IFRS 16 - Leases - 7
Handymax |
|
16,621 |
|
(3,842 |
) |
12,779 |
|
(2,533 |
) |
10,246 |
|
| 25 |
IFRS 16 - Leases - acquired
from Trafigura (3) |
|
525,737 |
|
(12,733 |
) |
513,004 |
|
59,631 |
|
572,635 |
|
| 26 |
CSSC Scrubber Financing
(4) |
|
— |
|
10,976 |
|
10,976 |
|
(915 |
) |
10,061 |
|
| 27 |
2020 Senior Unsecured
Notes |
|
53,750 |
|
— |
|
53,750 |
|
— |
|
53,750 |
|
| 28 |
Convertible Notes due
2022 |
|
203,500 |
|
— |
|
203,500 |
|
— |
|
203,500 |
|
| |
|
|
$ |
3,193,994 |
|
$ |
(23,001 |
) |
$ |
3,170,993 |
|
$ |
36,111 |
|
$ |
3,207,104 |
|
|
(1) |
In December 2019, the Company executed an agreement with Hamburg
Commercial Bank AG for a senior secured term loan facility of
approximately $43.7 million. A portion of the proceeds of
this facility were used to refinance the existing indebtedness on
two vessels that were previously financed under the KEXIM Credit
Facility (STI Poplar and STI Veneto). There is currently $1.5
million available to be drawn under this facility, which is
expected to be utilized to partially finance the purchase and
installation of a scrubber on one of the Company's LR2 tankers. The
loan is scheduled to be repaid in quarterly aggregate installment
payments of $0.8 million and bears interest at LIBOR plus a margin
of 2.25% per annum. A balloon payment is due upon the
maturity date of November 2024. Approximately $0.3 million of
deferred financing fees were written off as part of the repayment
of the amounts previously borrowed under the KEXIM Credit
Facility. |
|
(2) |
In November 2019, the Company executed an agreement with Prudential
Private Capital for a senior secured term loan facility of
approximately $55.5 million. This facility was fully drawn in
December 2019 and the proceeds were used to refinance the existing
indebtedness on three vessels that were previously financed under
the KEXIM Credit Facility (STI Clapham, STI Camden and STI
Acton). The loan will be repaid in monthly aggregate
installment payments of $0.5 million and bears interest at LIBOR
plus a margin of 3.00% per annum. A balloon payment is due
upon the maturity date of December 2025. Approximately $0.2
million of deferred financing fees were written off as part of the
repayment of the amounts previously borrowed under the KEXIM Credit
Facility. |
|
(3) |
In January 2020, the Company took delivery of two scrubber-fitted
2020-built MR product tankers (STI Miracle and STI Maestro) under
eight-year bareboat leases. The leasehold interests in these
vessels were acquired as part of the Trafigura Transaction and a
$68.7 million lease liability was recorded at the commencement date
of these leases, which are being accounted for as lease liabilities
under IFRS 16. |
|
(4) |
In December 2019, the Company drew down an aggregate of
approximately $11.0 million from its upsized lease financing
agreement with CSSC to partially finance the purchase and
installation of scrubbers on seven of the Company’s vessels.
The upsized portion of the lease financing bears interest at LIBOR
plus a margin of 3.8% per annum, matures two years from the date of
the drawdown and will be repaid in monthly installment payments of
approximately $0.5 million in aggregate. There is currently $1.6
million available under this arrangement, which is expected to be
utilized to partially finance the purchase and installation of a
scrubber on the eighth remaining vessel under this agreement. |
| |
|
Set forth below are the estimated expected
future principal repayments on the Company's outstanding
indebtedness as of December 31, 2019, which includes principal
amounts due under secured credit facilities, the Senior Unsecured
Notes due 2020, lease financing arrangements, and lease liabilities
under IFRS 16 (which also include actual payments made during the
first quarter of 2020 through February 17, 2020):
| |
|
In millions of U.S. dollars |
|
Q1 2020 - principal payments made through February 17, 2020 |
|
$ |
32.6 |
|
| Q1 2020 - remaining principal
payments |
|
49.9 |
|
| Q2 2020 (1) |
|
122.6 |
|
| Q3 2020 (2) |
|
165.7 |
|
| Q4 2020 |
|
62.9 |
|
| Q1 2021 |
|
273.5 |
|
| Q2 2021 |
|
94.0 |
|
| Q3 2021 |
|
65.7 |
|
| Q4 2021 |
|
65.8 |
|
| 2022 and thereafter |
|
2,307.0 |
|
| |
|
$ |
3,239.7 |
|
|
(1) |
Repayments include $53.8 million due upon the maturity of the
Company's Senior Unsecured Notes due 2020. |
|
(2) |
Repayments include $87.7 million due upon the maturity of the
Company's ABN AMRO Credit Facility. |
| |
|
Explanation of Variances on the Fourth
Quarter of 2019 Financial Results Compared to the Fourth Quarter of
2018
For the three months ended December 31, 2019,
the Company recorded a net income of $12.0 million compared to a
net loss of $17.7 million for the three months ended December 31,
2018. The following were the significant changes between the two
periods:
- TCE revenue, a Non-IFRS measure, is
vessel revenues less voyage expenses (including bunkers and port
charges). TCE revenue is included herein because it is a standard
shipping industry performance measure used primarily to compare
period-to-period changes in a shipping company's performance
irrespective of changes in the mix of charter types (i.e., spot
voyages, time charters, and pool charters), and it provides useful
information to investors and management. The following table sets
forth TCE revenue for the three months ended December 31, 2019 and
2018:
| |
|
|
|
| |
|
|
For the
three months ended December 31, |
| In thousands of U.S. dollars |
|
2019 |
|
2018 |
|
|
Vessel
revenue |
|
$ |
221,622 |
|
|
$ |
167,525 |
|
| |
Voyage expenses |
|
(2,483 |
) |
|
(304 |
) |
| |
TCE
revenue |
|
$ |
219,139 |
|
|
$ |
167,221 |
|
| |
|
|
|
|
|
|
|
|
|
- TCE revenue for the three months
ended December 31, 2019 increased by $51.9 million to $219.1
million, from $167.2 million for the three months ended December
31, 2018. The increase was the result of quarter over quarter
improvements in TCE revenue per day across all of the Company's
operating segments. Overall average TCE revenue per day
increased to $19,910 per day during the three months ended December
31, 2019, from $15,008 per day during the three months ended
December 31, 2018. The fourth quarter of 2019 reflected
significant improvements in TCE revenue per day, both sequentially,
and as compared to the fourth quarter of 2018. Supply and
demand dynamics shifted favorably during the fourth quarter of
2019, driven by the January 1, 2020 implementation date of the
International Maritime Organization’s ("IMO") low sulfur emissions
standards. The implementation of these standards has impacted
the trade flows of both crude and refined petroleum products which,
combined with favorable supply and demand dynamics, has resulted in
improvements in daily spot market TCE rates across all of the
Company's operating segments during the fourth quarter of
2019.These results were mitigated by several factors including (i)
higher than expected offhire days during the fourth quarter of 2019
as a result of port congestion and delays at the shipyards where
the Company's drydocks, ballast water treatment system and scrubber
installations are taking place, (ii) below-market positioning
voyages both to and from these shipyards as vessels deviated from
their normal trading patterns, and (iii) the purchase and
consumption of higher cost low sulfur fuel in anticipation of the
IMO's January 1, 2020 implementation date for the Company's vessels
that do not yet have scrubbers installed.The increase in TCE
revenue in the fourth quarter of 2019 as compared to the fourth
quarter of 2018 was also affected by an increase in the number of
the Company's vessels to an average of 134.0 operating vessels
during the three months ended December 31, 2019 from an average of
121.9 operating vessels during the three months ended December 31,
2018, which was primarily the result of the acquisition of 15
vessels (11 MRs and four LR2s) in connection with the Trafigura
Transaction in September 2019. This increase was offset by
the redelivery of time chartered-in vessels in the fourth quarter
of 2018 and in the first quarter of 2019.
- Vessel operating costs for the
three months ended December 31, 2019 increased by $14.2 million to
$85.4 million, from $71.2 million for the three months ended
December 31, 2018. This increase was primarily due to the
acquisition of 15 vessels (11 MRs and four LR2s) that were acquired
in connection with the Trafigura Transaction in September
2019. Vessel operating costs per day increased to $6,928 per
day for the three months ended December 31, 2019 from $6,505 per
day for the three months ended December 31, 2018. This
increase was largely due to timing, in addition to various
miscellaneous repairs that were undertaken while certain vessels
were drydocked for scrubber or ballast water treatment system
installations during the period.
- Charterhire expense for the three
months ended December 31, 2019 decreased by $10.6 million to $0.0
million, from $10.6 million for the three months ended December 31,
2018. This decrease was the result of (i) a decrease in the
number of time chartered-in vessels when comparing the three months
ended December 31, 2019 to the three months ended December 31,
2018, and (ii) the implementation of IFRS 16 - Leases beginning on
January 1, 2019. The Company's time and bareboat chartered-in
fleet consisted of 27 bareboat chartered-in vessels for the three
months ended December 31, 2019, which operated for the entire
period. The Company's time and bareboat chartered-in fleet
consisted of an average of 2.9 time chartered-in vessels and 10
bareboat chartered-in vessels for the three months ended December
31, 2018. As of December 31, 2019, the Company had 27 bareboat
chartered-in vessels which are being accounted for under IFRS 16 as
right of use assets and related lease liabilities. Under IFRS 16,
there is no charterhire expense for these vessels as the right of
use assets are depreciated on a straight-line basis (through
depreciation expense) over the lease term and the lease liability
is amortized over that same period (with a portion of each payment
allocated to principal and a portion allocated to interest
expense).
- Depreciation expense - owned or
finance leased vessels for the three months ended December 31,
2019 increased slightly by $1.9 million to $46.5 million,
from $44.6 million for the three months ended December 31,
2018. Depreciation expense in future periods is expected to
increase as the Company installs ballast water treatment systems
and/or scrubbers on certain of its vessels in 2020. The Company
expects to depreciate the majority of the cost of this equipment
over each vessel's remaining useful life.
- Depreciation expense - right of use
assets for the three months ended December 31, 2019 was $12.6
million. Depreciation expense - right of use assets reflects
the straight-line depreciation expense recorded during the three
months ended December 31, 2019, as a result of the Company's
transition to IFRS 16 - Leases on January 1, 2019. Right of
use asset depreciation is approximately $0.2 million per vessel per
month for the 10 vessels (seven Handymax and three MR) previously
bareboat chartered-in prior to the Trafigura Transaction in
September 2019. Additionally, as part of the Trafigura
Transaction, the Company acquired the leasehold interests in 15
vessels (11 MR and four LR2), which are being accounted for as
right of use assets under IFRS 16. The right of use asset
depreciation for these vessels is approximately $0.2 million per MR
per month and $0.3 million per LR2 per month. Additionally, in
January 2020, the Company took delivery of two MRs that were
previously under construction and were acquired as part of the
Trafigura Transaction. The right of use asset depreciation for
these vessels is expected to be similar to the MR vessels acquired
in September 2019.
- General and administrative expenses
for the three months ended December 31, 2019, increased by $2.8
million to $15.8 million, from $12.9 million for the three months
ended December 31, 2018. This increase was primarily driven
by compensation expenses, including an increase in restricted stock
amortization. General and administrative expenses in future periods
are expected to reflect a similar run-rate to that which was
incurred in the fourth quarter of 2019.
- Financial expenses for the three
months ended December 31, 2019 decreased by $0.9 million to $47.3
million, from $48.2 million for the three months ended December 31,
2018. The decrease was primarily driven by an increase of
$0.8 million of capitalized interest expense during the three
months ended December 31, 2019 as a result of the Company's
scrubber and ballast water treatment system investments. No
interest was capitalized during the three months ended December 31,
2018.
Scorpio Tankers Inc. and
SubsidiariesCondensed Consolidated Statements of
Income or Loss(unaudited)
| |
|
For the three months endedDecember 31, |
|
For the year endedDecember 31, |
| In thousands of
U.S. dollars except per share and share data |
2019 |
|
2018 |
|
2019 |
|
2018 |
|
Revenue |
|
|
|
|
|
|
|
|
|
Vessel revenue |
$ |
221,622 |
|
|
$ |
167,525 |
|
|
$ |
704,325 |
|
|
$ |
585,047 |
|
| |
|
|
|
|
|
|
|
|
| Operating
expenses |
|
|
|
|
|
|
|
| |
Vessel operating costs |
(85,412 |
) |
|
(71,219 |
) |
|
(294,531 |
) |
|
(280,460 |
) |
| |
Voyage expenses |
(2,483 |
) |
|
(304 |
) |
|
(6,160 |
) |
|
(5,146 |
) |
| |
Charterhire |
— |
|
|
(10,644 |
) |
|
(4,399 |
) |
|
(59,632 |
) |
| |
Depreciation - owned or
finance leased vessels |
(46,477 |
) |
|
(44,592 |
) |
|
(180,052 |
) |
|
(176,723 |
) |
| |
Depreciation - right of use
assets |
(12,636 |
) |
|
— |
|
|
(26,916 |
) |
|
— |
|
| |
General and administrative
expenses |
(15,758 |
) |
|
(12,927 |
) |
|
(62,295 |
) |
|
(52,272 |
) |
| |
Merger transaction related
costs |
— |
|
|
— |
|
|
— |
|
|
(272 |
) |
| |
Total operating expenses |
(162,766 |
) |
|
(139,686 |
) |
|
(574,353 |
) |
|
(574,505 |
) |
| Operating
income |
58,856 |
|
|
27,839 |
|
|
129,972 |
|
|
10,542 |
|
| Other
(expense) and income, net |
|
|
|
|
|
|
|
| |
Financial expenses |
(47,287 |
) |
|
(48,156 |
) |
|
(186,235 |
) |
|
(186,628 |
) |
| |
Loss on exchange of
Convertible Notes |
— |
|
|
— |
|
|
— |
|
|
(17,838 |
) |
| |
Financial income |
756 |
|
|
2,908 |
|
|
8,182 |
|
|
4,458 |
|
| |
Other expenses, net |
(283 |
) |
|
(259 |
) |
|
(409 |
) |
|
(605 |
) |
| |
Total other expense, net |
(46,814 |
) |
|
(45,507 |
) |
|
(178,462 |
) |
|
(200,613 |
) |
| Net income
/ (loss) |
$ |
12,042 |
|
|
$ |
(17,668 |
) |
|
$ |
(48,490 |
) |
|
$ |
(190,071 |
) |
| |
|
|
|
|
|
|
|
|
| Earnings /
(Loss) per share |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
| |
Basic |
$ |
0.22 |
|
|
$ |
(0.38 |
) |
|
$ |
(0.97 |
) |
|
$ |
(5.46 |
) |
| |
Diluted |
$ |
0.21 |
|
|
$ |
(0.38 |
) |
|
$ |
(0.97 |
) |
|
$ |
(5.46 |
) |
| |
Basic weighted average shares
outstanding |
54,626,119 |
|
|
46,382,795 |
|
|
49,857,998 |
|
|
34,824,311 |
|
| |
Diluted weighted average
shares outstanding (1) |
56,780,849 |
|
|
46,382,795 |
|
|
49,857,998 |
|
|
34,824,311 |
|
|
(1) |
The effect of potentially dilutive securities relating to the
Company's Convertible Notes due 2022 were excluded from the
computation of diluted earnings per share for the three months
ended December 31, 2019 because their effect would have been
anti-dilutive. The effect of potentially dilutive unvested
shares of restricted stock and the Convertible Notes due 2022 were
excluded from the computation of diluted earnings per share for the
year ended December 31, 2019 because their effect would have been
anti-dilutive. Weighted average shares under the if-converted
method (which includes the potential dilutive effect of the
unvested shares of restricted stock, and the Convertible Notes due
2022) were 62,009,488 and 57,656,484 for the three months and year
ended December 31, 2019, respectively. |
| |
|
Scorpio Tankers Inc. and
SubsidiariesCondensed Consolidated Balance
Sheets(unaudited)
| |
As of |
| In thousands of U.S.
dollars |
December 31, 2019 |
|
December 31, 2018 |
| Assets |
|
|
|
| Current
assets |
|
|
|
|
Cash and cash equivalents |
$ |
202,303 |
|
|
$ |
593,652 |
|
| Accounts receivable |
78,174 |
|
|
69,718 |
|
| Prepaid expenses and other
current assets |
13,855 |
|
|
15,671 |
|
| Inventories |
8,646 |
|
|
8,300 |
|
| Total current
assets |
302,978 |
|
|
687,341 |
|
| Non-current
assets |
|
|
|
| Vessels and drydock |
4,008,158 |
|
|
3,997,789 |
|
| Right of use assets |
697,903 |
|
|
— |
|
| Other assets |
131,139 |
|
|
75,210 |
|
| Goodwill |
11,539 |
|
|
11,539 |
|
| Restricted cash |
12,293 |
|
|
12,285 |
|
| Total non-current
assets |
4,861,032 |
|
|
4,096,823 |
|
| Total
assets |
$ |
5,164,010 |
|
|
$ |
4,784,164 |
|
| Current
liabilities |
|
|
|
| Current portion of long-term
debt |
$ |
235,482 |
|
|
$ |
297,934 |
|
| Finance lease liability |
122,229 |
|
|
114,429 |
|
| Lease liability - IFRS 16 |
63,946 |
|
|
— |
|
| Accounts payable |
23,122 |
|
|
11,865 |
|
| Accrued expenses |
41,452 |
|
|
22,972 |
|
| Total current
liabilities |
486,231 |
|
|
447,200 |
|
| Non-current
liabilities |
|
|
|
| Long-term debt |
999,268 |
|
|
1,192,000 |
|
| Finance lease liability |
1,195,494 |
|
|
1,305,952 |
|
| Lease liability - IFRS 16 |
506,028 |
|
|
— |
|
| Total non-current
liabilities |
2,700,790 |
|
|
2,497,952 |
|
| Total
liabilities |
3,187,021 |
|
|
2,945,152 |
|
| Shareholders'
equity |
|
|
|
| Issued, authorized and fully
paid-in share capital: |
|
|
|
| Share capital |
646 |
|
|
5,776 |
|
| Additional paid-in
capital |
2,842,446 |
|
|
2,648,599 |
|
| Treasury shares |
(467,057 |
) |
|
(467,056 |
) |
| Accumulated deficit (1) |
(399,046 |
) |
|
(348,307 |
) |
| Total shareholders'
equity |
1,976,989 |
|
|
1,839,012 |
|
| Total liabilities and
shareholders' equity |
$ |
5,164,010 |
|
|
$ |
4,784,164 |
|
|
(1) |
Accumulated deficit reflects the impact of the adoption of IFRS 16
- Leases. IFRS 16 amended the existing accounting standards
to require lessees to recognize as of January 1, 2019, on a
discounted basis, the rights and obligations created by the
commitment to lease assets on the balance sheet, unless the term of
the lease is 12 months or less. Accordingly, the standard
resulted in the recognition of right of use assets and
corresponding liabilities, on the basis of the discounted remaining
future minimum lease payments, relating to the existing bareboat
chartered-in vessel commitments for three bareboat chartered-in
vessels, which are scheduled to expire in April 2025. Upon
transition, a lessee shall apply IFRS 16 to its leases either
retrospectively to each prior reporting period presented (the "full
retrospective approach") or retrospectively with the cumulative
effect of initially applying IFRS 16 recognized at the date of
initial application (the "modified retrospective approach").
We applied the modified retrospective approach upon transition. The
impact of the application of this standard on the opening balance
sheet as of January 1, 2019 was the recognition of a $48.5
million right of use asset, a $50.7
million operating lease liability and a $2.2
million reduction in retained earnings relating to these three
vessels. |
| |
|
Scorpio Tankers Inc. and
SubsidiariesCondensed Consolidated Statements of
Cash Flows(unaudited)
| |
For the year ended December 31, |
| In thousands of U.S.
dollars |
2019 |
|
2018 |
| Operating
activities |
|
|
|
|
Net loss |
$ |
(48,490 |
) |
|
$ |
(190,071 |
) |
| Depreciation - owned or
finance leased vessels |
180,052 |
|
|
176,723 |
|
| Depreciation - right of use
assets |
26,916 |
|
|
— |
|
| Amortization of restricted
stock |
27,421 |
|
|
25,547 |
|
| Amortization of deferred
financing fees |
7,041 |
|
|
10,541 |
|
| Write-off of deferred
financing fees |
1,466 |
|
|
13,212 |
|
| Accretion of convertible
notes |
11,375 |
|
|
13,225 |
|
| Accretion of fair value
measurement on debt assumed in business combinations |
3,615 |
|
|
3,779 |
|
| Loss on exchange of
convertible notes |
— |
|
|
17,838 |
|
| |
209,396 |
|
|
70,794 |
|
| Changes in assets and
liabilities: |
|
|
|
| (Increase) / decrease in
inventories |
(346 |
) |
|
1,535 |
|
| Increase in accounts
receivable |
(8,458 |
) |
|
(4,298 |
) |
| Decrease in prepaid expenses
and other current assets |
1,816 |
|
|
2,227 |
|
| Increase in other assets |
(7,177 |
) |
|
(1,226 |
) |
| Increase / (decrease) in
accounts payable |
4,019 |
|
|
(1,382 |
) |
| Increase / (decrease) in
accrued expenses |
10,262 |
|
|
(9,860 |
) |
| |
116 |
|
|
(13,004 |
) |
| Net cash inflow from
operating activities |
209,512 |
|
|
57,790 |
|
| Investing
activities |
|
|
|
| Acquisition of vessels and
payments for vessels under construction |
(2,998 |
) |
|
(26,057 |
) |
| Drydock, scrubber, ballast
water treatment system and other vessel related payments (owned,
finance leased and bareboat-in vessels) |
(203,975 |
) |
|
(26,680 |
) |
| Net cash outflow from
investing activities |
(206,973 |
) |
|
(52,737 |
) |
| Financing
activities |
|
|
|
| Debt repayments |
(343,351 |
) |
|
(865,594 |
) |
| Issuance of debt |
108,589 |
|
|
1,007,298 |
|
| Debt issuance costs |
(5,744 |
) |
|
(23,056 |
) |
| Refund of debt issuance costs
due to early debt repayment |
— |
|
|
2,826 |
|
| Principal repayments on lease
liability - IFRS 16 |
(36,761 |
) |
|
|
| Increase in restricted
cash |
(9 |
) |
|
(897 |
) |
| Repayment of convertible
notes |
(145,000 |
) |
|
— |
|
| Gross proceeds from issuance
of common stock |
50,000 |
|
|
337,000 |
|
| Equity issuance costs |
(333 |
) |
|
(17,073 |
) |
| Dividends paid |
(21,278 |
) |
|
(15,127 |
) |
| Repurchase of common
stock |
(1 |
) |
|
(23,240 |
) |
| Net cash (outflow)
/ inflow from financing activities |
(393,888 |
) |
|
402,137 |
|
| (Decrease) / increase
in cash and cash equivalents |
(391,349 |
) |
|
407,190 |
|
| Cash and cash equivalents at
January 1, |
593,652 |
|
|
186,462 |
|
| Cash and cash
equivalents at December 31, |
$ |
202,303 |
|
|
$ |
593,652 |
|
| |
|
|
|
|
|
|
|
As described in the preceding sections, on
September 26, 2019, the Company acquired subsidiaries of Trafigura
which have leasehold interests in 19 product tankers under bareboat
charter agreements with subsidiaries of an international financial
institution for aggregate consideration of $803 million. Of
the 19 vessels, 15 (consisting of 11 MRs and four LR2s) were
delivered during 2019, two were delivered in January 2020, and two
MRs are currently under construction. For the delivered
vessels in 2019, the Company assumed the obligations under the
bareboat charter agreements of $531.5 million and issued 3,981,619
shares of common stock at $29.00 per share to a nominee
of Trafigura with an aggregate market value of $115.5
million. For the four vessels under construction as of
September 26, 2019, the Company agreed to assume the commitments on
the bareboat charter agreements of $138.9 million and issued
591,254 shares of common stock at $29.00 per share to a nominee of
Trafigura with an aggregate market value of $17.1 million. The
obligations under the bareboat charter agreements for the
undelivered vessels will be recorded upon the delivery of each
vessel (the lease commencement date).
This transaction represents a significant non-cash transaction
that occurred during the year ended December 31, 2019.
Scorpio Tankers Inc. and
SubsidiariesOther operating data for the three
months and year ended December 31, 2019 and
2018(unaudited)
| |
|
For the three months endedDecember 31 |
|
For the year endedDecember 31, |
| |
|
2019 |
|
2018 |
|
2019 |
|
2018 |
|
Adjusted EBITDA(1) (in thousands of U.S. dollars
except Fleet Data) |
|
$ |
124,399 |
|
|
$ |
78,316 |
|
|
$ |
363,952 |
|
|
$ |
212,479 |
|
| |
|
|
|
|
|
|
|
|
| Average Daily
Results |
|
|
|
|
|
|
|
|
| TCE per day(2) |
|
$ |
19,910 |
|
|
$ |
15,008 |
|
|
$ |
16,682 |
|
|
$ |
12,782 |
|
| Vessel operating costs per
day(3) |
|
$ |
6,928 |
|
|
6,505 |
|
|
$ |
6,563 |
|
|
$ |
6,463 |
|
| |
|
|
|
|
|
|
|
|
| LR2 |
|
|
|
|
|
|
|
|
| TCE per revenue day (2) |
|
$ |
24,987 |
|
|
$ |
16,228 |
|
|
$ |
20,254 |
|
|
$ |
13,968 |
|
| Vessel operating costs per
day(3) |
|
$ |
7,123 |
|
|
6,574 |
|
|
$ |
6,829 |
|
|
$ |
6,631 |
|
| Average number of owned or
finance leased vessels |
|
42.0 |
|
|
38.0 |
|
|
39.1 |
|
|
38.0 |
|
| Average number of time
chartered-in vessels |
|
— |
|
|
1.0 |
|
|
— |
|
|
1.5 |
|
| |
|
|
|
|
|
|
|
|
| LR1 |
|
|
|
|
|
|
|
|
| TCE per revenue day (2) |
|
$ |
17,648 |
|
|
$ |
13,548 |
|
|
$ |
15,846 |
|
|
$ |
10,775 |
|
| Vessel operating costs per
day(3) |
|
$ |
7,570 |
|
|
$ |
6,595 |
|
|
$ |
6,658 |
|
|
$ |
6,608 |
|
| Average number of owned or
finance leased vessels |
|
12.0 |
|
|
12.0 |
|
|
12.0 |
|
|
12.0 |
|
| Average number of time
chartered-in vessels |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
| |
|
|
|
|
|
|
|
|
| MR |
|
|
|
|
|
|
|
|
| TCE per revenue day (2) |
|
$ |
17,261 |
|
|
$ |
14,412 |
|
|
$ |
15,095 |
|
|
$ |
12,589 |
|
| Vessel operating costs per
day(3) |
|
$ |
6,505 |
|
|
$ |
6,504 |
|
|
$ |
6,312 |
|
|
$ |
6,366 |
|
| Average number of owned or
finance leased vessels |
|
56.0 |
|
|
45.0 |
|
|
47.9 |
|
|
44.9 |
|
| Average number of time
chartered-in vessels |
|
— |
|
|
1.9 |
|
|
0.1 |
|
|
4.3 |
|
| Average number of bareboat
chartered-in vessels |
|
3.0 |
|
|
3.0 |
|
|
3.0 |
|
|
3.0 |
|
| |
|
|
|
|
|
|
|
|
| Handymax |
|
|
|
|
|
|
|
|
| TCE per revenue day (2) |
|
$ |
19,294 |
|
|
$ |
14,999 |
|
|
$ |
14,575 |
|
|
$ |
12,196 |
|
| Vessel operating costs per
day(3) |
|
$ |
7,351 |
|
|
$ |
6,331 |
|
|
$ |
6,621 |
|
|
$ |
6,295 |
|
| Average number of owned or
finance leased vessels |
|
14.0 |
|
|
14.0 |
|
|
14.0 |
|
|
14.0 |
|
| Average number of time
chartered-in vessels |
|
— |
|
|
— |
|
|
— |
|
|
0.5 |
|
| Average number of bareboat
chartered-in vessels |
|
7.0 |
|
|
7.0 |
|
|
7.0 |
|
|
7.0 |
|
| |
|
|
|
|
|
|
|
|
| Fleet
data |
|
|
|
|
|
|
|
|
| Average number of owned or
finance leased vessels |
|
124.0 |
|
|
109.0 |
|
|
113.0 |
|
|
108.9 |
|
| Average number of time
chartered-in vessels |
|
— |
|
|
2.9 |
|
|
0.1 |
|
|
6.3 |
|
| Average number of bareboat
chartered-in vessels |
|
10.0 |
|
|
10.0 |
|
|
10.0 |
|
|
10.0 |
|
| |
|
|
|
|
|
|
|
|
| Drydock |
|
|
|
|
|
|
|
|
| Drydock, scrubber, ballast
water treatment system and other vessel related payments for owned,
finance leased and bareboat chartered-in vessels (in thousands of
U.S. dollars) |
|
$ |
75,406 |
|
|
$ |
14,137 |
|
|
$ |
203,975 |
|
|
$ |
26,680 |
|
|
(1) |
See Non-IFRS Measures section below. |
|
(2) |
Freight rates are commonly measured in the shipping industry in
terms of time charter equivalent per day (or TCE per day), which is
calculated by subtracting voyage expenses, including bunkers and
port charges, from vessel revenue and dividing the net amount (time
charter equivalent revenues) by the number of revenue days in the
period. Revenue days are the number of days the vessel is owned,
finance leased or chartered-in less the number of days the vessel
is off-hire for drydock and repairs. |
|
(3) |
Vessel operating costs per day represent vessel operating costs
divided by the number of operating days during the period.
Operating days are the total number of available days in a period
with respect to the owned, finance leased or bareboat chartered-in
vessels, before deducting available days due to off-hire days and
days in drydock. Operating days is a measurement that is only
applicable to our owned, finance leased or bareboat chartered-in
vessels, not our time chartered-in vessels. |
|
|
|
Fleet list as of February 17,
2020
| |
Vessel
Name |
|
YearBuilt |
|
DWT |
|
Iceclass |
|
Employment |
|
Vessel type |
|
Scrubber |
| |
Owned or financeleased
vessels |
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
STI Brixton |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
2 |
STI Comandante |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
3 |
STI Pimlico |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
4 |
STI Hackney |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
5 |
STI Acton |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
6 |
STI Fulham |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
7 |
STI Camden |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
8 |
STI Battersea |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
9 |
STI Wembley |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
10 |
STI Finchley |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
11 |
STI Clapham |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
12 |
STI Poplar |
|
2014 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
13 |
STI Hammersmith |
|
2015 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
14 |
STI Rotherhithe |
|
2015 |
|
38,734 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
N/A |
|
15 |
STI Amber |
|
2012 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
16 |
STI Topaz |
|
2012 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
17 |
STI Ruby |
|
2012 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
18 |
STI Garnet |
|
2012 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
19 |
STI Onyx |
|
2012 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
20 |
STI Fontvieille |
|
2013 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
21 |
STI Ville |
|
2013 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
22 |
STI Duchessa |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
23 |
STI Opera |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
24 |
STI Texas City |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
25 |
STI Meraux |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
26 |
STI San Antonio |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
27 |
STI Venere |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
28 |
STI Virtus |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
29 |
STI Aqua |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
30 |
STI Dama |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
31 |
STI Benicia |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
32 |
STI Regina |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
33 |
STI St. Charles |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
34 |
STI Mayfair |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
35 |
STI Yorkville |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
36 |
STI Milwaukee |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
37 |
STI Battery |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
38 |
STI Soho |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
39 |
STI Memphis |
|
2014 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
40 |
STI Tribeca |
|
2015 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
41 |
STI Gramercy |
|
2015 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
42 |
STI Bronx |
|
2015 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
43 |
STI Pontiac |
|
2015 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
44 |
STI Manhattan |
|
2015 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
45 |
STI Queens |
|
2015 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
46 |
STI Osceola |
|
2015 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
47 |
STI Notting Hill |
|
2015 |
|
49,687 |
|
|
1B |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
48 |
STI Seneca |
|
2015 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
49 |
STI Westminster |
|
2015 |
|
49,687 |
|
|
1B |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
50 |
STI Brooklyn |
|
2015 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
51 |
STI Black Hawk |
|
2015 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
52 |
STI Galata |
|
2017 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
53 |
STI Bosphorus |
|
2017 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
54 |
STI Leblon |
|
2017 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
55 |
STI La Boca |
|
2017 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
56 |
STI San Telmo |
|
2017 |
|
49,990 |
|
|
1B |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
57 |
STI Donald C Trauscht |
|
2017 |
|
49,990 |
|
|
1B |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
58 |
STI Esles II |
|
2018 |
|
49,990 |
|
|
1B |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
59 |
STI Jardins |
|
2018 |
|
49,990 |
|
|
1B |
|
SMRP (2) |
|
MR |
|
Not Yet Installed |
|
60 |
STI Magic |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
61 |
STI Majestic |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
62 |
STI Mystery |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
63 |
STI Marvel |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
64 |
STI Magnetic |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
65 |
STI Millennia |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
66 |
STI Master |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
67 |
STI Mythic |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
68 |
STI Marshall |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
69 |
STI Modest |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
70 |
STI Maverick |
|
2019 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
71 |
STI Miracle |
|
2020 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
72 |
STI Maestro |
|
2020 |
|
50,000 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Yes |
|
73 |
STI Excel |
|
2015 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Not Yet Installed |
|
74 |
STI Excelsior |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Not Yet Installed |
|
75 |
STI Expedite |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Not Yet Installed |
|
76 |
STI Exceed |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Not Yet Installed |
|
77 |
STI Executive |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Yes |
|
78 |
STI Excellence |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Yes |
|
79 |
STI Experience |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Not Yet Installed |
|
80 |
STI Express |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Not Yet Installed |
|
81 |
STI Precision |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Not Yet Installed |
|
82 |
STI Prestige |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Not Yet Installed |
|
83 |
STI Pride |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Yes |
|
84 |
STI Providence |
|
2016 |
|
74,000 |
|
|
— |
|
SLR1P (3) |
|
LR1 |
|
Not Yet Installed |
|
85 |
STI Elysees |
|
2014 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
86 |
STI Madison |
|
2014 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
87 |
STI Park |
|
2014 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
88 |
STI Orchard |
|
2014 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
89 |
STI Sloane |
|
2014 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
90 |
STI Broadway |
|
2014 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
91 |
STI Condotti |
|
2014 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
92 |
STI Rose |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
93 |
STI Veneto |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
94 |
STI Alexis |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
95 |
STI Winnie |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
96 |
STI Oxford |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
97 |
STI Lauren |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
98 |
STI Connaught |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
99 |
STI Spiga |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
100 |
STI Savile Row |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
101 |
STI Kingsway |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
102 |
STI Carnaby |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
103 |
STI Solidarity |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
104 |
STI Lombard |
|
2015 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
105 |
STI Grace |
|
2016 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
106 |
STI Jermyn |
|
2016 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
107 |
STI Sanctity |
|
2016 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
108 |
STI Solace |
|
2016 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
109 |
STI Stability |
|
2016 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
110 |
STI Steadfast |
|
2016 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
111 |
STI Supreme |
|
2016 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
112 |
STI Symphony |
|
2016 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
113 |
STI Gallantry |
|
2016 |
|
113,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
114 |
STI Goal |
|
2016 |
|
113,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
115 |
STI Nautilus |
|
2016 |
|
113,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
116 |
STI Guard |
|
2016 |
|
113,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
117 |
STI Guide |
|
2016 |
|
113,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
118 |
STI Selatar |
|
2017 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
119 |
STI Rambla |
|
2017 |
|
109,999 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
120 |
STI Gauntlet |
|
2017 |
|
113,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
121 |
STI Gladiator |
|
2017 |
|
113,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
122 |
STI Gratitude |
|
2017 |
|
113,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Not Yet Installed |
|
123 |
STI Lobelia |
|
2018 |
|
110,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
124 |
STI Lotus |
|
2018 |
|
110,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
125 |
STI Lily |
|
2019 |
|
110,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
|
126 |
STI Lavender |
|
2019 |
|
110,000 |
|
|
— |
|
SLR2P (4) |
|
LR2 |
|
Yes |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Total owned or finance leased
DWT |
|
|
|
8,973,190 |
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Vessel
Name |
|
YearBuilt |
|
DWT |
|
Iceclass |
|
Employment |
|
Vessel type |
|
Charter type |
|
DailyBaseRate |
|
Expiry (5) |
|
| |
Bareboat
chartered-invessels |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
127 |
Silent |
|
2007 |
|
37,847 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
Bareboat |
|
$ |
6,300 |
|
|
31-Mar-20 |
|
|
128 |
Single |
|
2007 |
|
37,847 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
Bareboat |
|
$ |
6,300 |
|
|
31-Mar-20 |
|
|
129 |
Star I |
|
2007 |
|
37,847 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
Bareboat |
|
$ |
6,300 |
|
|
31-Mar-20 |
|
|
130 |
Sky |
|
2007 |
|
37,847 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
Bareboat |
|
$ |
6,300 |
|
|
31-Mar-21 |
|
|
131 |
Steel |
|
2008 |
|
37,847 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
Bareboat |
|
$ |
6,300 |
|
|
31-Mar-21 |
|
|
132 |
Stone I |
|
2008 |
|
37,847 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
Bareboat |
|
$ |
6,300 |
|
|
31-Mar-21 |
|
|
133 |
Style |
|
2008 |
|
37,847 |
|
|
1A |
|
SHTP (1) |
|
Handymax |
|
Bareboat |
|
$ |
6,300 |
|
|
31-Mar-21 |
|
|
134 |
STI Beryl |
|
2013 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Bareboat |
|
$ |
8,800 |
|
|
18-Apr-25 |
(6 |
) |
|
135 |
STI Le Rocher |
|
2013 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Bareboat |
|
$ |
8,800 |
|
|
21-Apr-25 |
(6 |
) |
|
136 |
STI Larvotto |
|
2013 |
|
49,990 |
|
|
— |
|
SMRP (2) |
|
MR |
|
Bareboat |
|
$ |
8,800 |
|
|
28-Apr-25 |
(6 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Total bareboat chartered-in
DWT |
|
|
|
414,899 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Newbuildings currently under
construction |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Vessel
Name |
|
Yard |
|
DWT |
|
Vessel type |
|
|
|
|
|
|
|
|
|
|
|
|
137 |
|
Hull S470 - TBN STI
Mighty |
|
HVS |
|
50,000 |
|
|
MR |
|
(7) |
|
|
|
|
|
|
|
|
|
|
|
138 |
|
Hull S471 - TBN STI
Maximus |
|
HVS |
|
50,000 |
|
|
MR |
|
(7) |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Total newbuilding product
tankers DWT |
|
|
|
100,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Total Fleet DWT |
|
|
|
9,488,089 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) |
This vessel operates in the Scorpio Handymax Tanker Pool, or SHTP.
SHTP is a Scorpio Pool and is operated by Scorpio Commercial
Management S.A.M., or SCM. SHTP and SCM are related parties to the
Company. |
|
(2) |
This vessel operates in the Scorpio MR Pool, or SMRP. SMRP is a
Scorpio Pool and is operated by SCM. SMRP and SCM are related
parties to the Company. |
|
(3) |
This vessel operates in the Scorpio LR1 Pool, or SLR1P. SLR1P is a
Scorpio Pool and is operated by SCM. SLR1P and SCM are related
parties to the Company. |
|
(4) |
This vessel operates in the Scorpio LR2 Pool, or SLR2P. SLR2P is a
Scorpio Pool and is operated by SCM. SLR2P and SCM are related
parties to the Company. |
|
(5) |
Redelivery from the charterer is plus or minus 30 days from the
expiry date. |
|
(6) |
In April 2017, we sold and leased back this vessel, on a bareboat
basis, for a period of up to eight years for $8,800 per day.
The sales price was $29.0 million per vessel, and we have the
option to purchase this vessel beginning at the end of the fifth
year of the agreement through the end of the eighth year of the
agreement, at market-based prices. Additionally, a deposit of $4.35
million per vessel was retained by the buyer and will either be
applied to the purchase price of the vessel if a purchase option is
exercised or refunded to us at the expiration of the
agreement. |
|
(7) |
The leasehold interests in these vessels were acquired from
Trafigura in September 2019 as part of the Trafigura Transaction
and these vessels are currently under construction at Hyundai
Vinashin Shipyard Co., Ltd. One vessel is expected to be
delivered in March 2020 and one vessel is expected to be delivered
in the third quarter of 2020. |
|
|
|
Dividend Policy
The declaration and payment of dividends is
subject at all times to the discretion of the Company's Board of
Directors. The timing and the amount of dividends, if any, depends
on the Company's earnings, financial condition, cash requirements
and availability, fleet renewal and expansion, restrictions in loan
agreements, the provisions of Marshall Islands law affecting the
payment of dividends and other factors.
The Company's dividends paid during 2018 and 2019 were as
follows:
|
|
|
|
Date paid |
Dividends per commonshare |
|
March 2018 |
$0.100 |
|
June 2018 |
$0.100 |
|
September 2018 |
$0.100 |
|
December 2018 |
$0.100 |
|
March 2019 |
$0.100 |
|
June 2019 |
$0.100 |
|
September 2019 |
$0.100 |
|
December 2019 |
$0.100 |
|
|
|
On February 18, 2020, the Company's Board
of Directors declared a quarterly cash dividend of $0.10 per share,
payable on or about March 13, 2020 to all shareholders of record as
of March 2, 2020 (the record date). As of February 17,
2020, there were 58,672,080 common shares of the Company
outstanding.
Securities Repurchase Program
In May 2015, the Company's Board of Directors
authorized a Securities Repurchase Program to purchase up to an
aggregate of $250 million of the Company's securities which, in
addition to its common shares, currently consist of its Unsecured
Senior Notes due 2020 (NYSE: SBNA), which were issued in May 2014,
and Convertible Notes due 2022, which were issued in May and July
2018.
No securities were repurchased under this
program during the fourth quarter of 2019 and through the date of
this press release.
As of the date hereof, the Company has
repurchased a total of $128.4 million of its securities under the
Securities Repurchase Program and has the authority to purchase up
to an additional $121.6 million of its securities. The Company may
repurchase its securities in the open market, at times and prices
that are considered to be appropriate by the Company, but is not
obligated under the terms of the Securities Repurchase Program to
repurchase any of its securities.
About Scorpio Tankers Inc.
Scorpio Tankers Inc. is a provider of marine
transportation of petroleum products worldwide. Scorpio Tankers
Inc. currently owns or finance leases 126 product tankers (42 LR2
tankers, 12 LR1 tankers, 58 MR tankers and 14 Handymax tankers)
with an average age of 4.1 years and bareboat charters-in 10
product tankers (three MR tankers and seven Handymax tankers). In
addition, the Company will bareboat charter-in two MR tankers that
are currently under construction and are scheduled to be delivered
in 2020 (one in March, and one in September). Additional
information about the Company is available at the Company's website
www.scorpiotankers.com, which is not a part of this press
release.
Non-IFRS Measures
Reconciliation of IFRS Financial Information to Non-IFRS
Financial Information
This press release describes time charter
equivalent revenue, or TCE revenue, adjusted net income or loss and
adjusted EBITDA, which are not measures prepared in accordance with
IFRS ("Non-IFRS" measures). The Non-IFRS measures are presented in
this press release as we believe that they provide investors and
other users of our financial statements, such as our lenders, with
a means of evaluating and understanding how the Company's
management evaluates the Company's operating performance. These
Non-IFRS measures should not be considered in isolation from, as
substitutes for, or superior to financial measures prepared in
accordance with IFRS.
The Company believes that the presentation of
TCE revenue, adjusted net income or loss with adjusted earnings or
loss per share, basic and diluted, and adjusted EBITDA are useful
to investors or other users of our financial statements, such as
our lenders, because they facilitate the comparability and the
evaluation of companies in the Company’s industry. In addition, the
Company believes that TCE revenue, adjusted net income or loss with
adjusted earnings or loss per share, basic and diluted, and
adjusted EBITDA are useful in evaluating its operating performance
compared to that of other companies in the Company’s industry. The
Company’s definitions of TCE revenue, adjusted net income or loss
with adjusted earnings or loss per share, basic and diluted, and
adjusted EBITDA may not be the same as reported by other companies
in the shipping industry or other industries.
TCE revenue is reconciled above in the section
entitled "Explanation of Variances on the Fourth Quarter of 2019
Financial Results Compared to the Fourth Quarter of 2018".
Reconciliation of Net Income / (Loss) to Adjusted Net
Income / (Loss)
| |
|
|
For the
three months ended December 31, 2019 |
| |
|
|
|
|
Per share |
|
Per share |
|
| In thousands of U.S. dollars except per share
data |
|
Amount |
|
basic |
|
diluted |
|
|
|
Net
income |
|
$ |
12,042 |
|
|
$ |
0.22 |
|
|
$ |
0.21 |
|
|
| |
Adjustment: |
|
|
|
|
|
|
|
| |
Deferred financing fees write-off |
|
748 |
|
|
|
0.01 |
|
|
|
0.01 |
|
|
| |
Adjusted net income |
|
$ |
12,790 |
|
|
$ |
0.23 |
|
(1) |
$ |
0.23 |
|
(1) |
| |
|
|
|
| |
|
|
For the
three months ended December 31, 2018 |
| |
|
|
|
|
Per share |
|
Per share |
|
| In thousands of U.S. dollars except per share
data |
|
Amount |
|
basic |
|
diluted |
|
|
|
Net loss |
|
$ |
(17,668 |
) |
|
$ |
(0.38 |
) |
|
$ |
(0.38 |
) |
|
| |
Adjustment: |
|
|
|
|
|
|
|
| |
Deferred financing fees write-off |
|
266 |
|
|
0.01 |
|
|
0.01 |
|
|
| |
Adjusted net loss |
|
$ |
(17,402 |
) |
|
$ |
(0.38 |
) |
(1) |
$ |
(0.38 |
) |
(1) |
| |
|
|
|
| |
|
|
For the year
ended December 31, 2019 |
| |
|
|
|
|
Per share |
|
Per share |
|
| In thousands of U.S. dollars except per share
data |
|
Amount |
|
basic |
|
diluted |
|
|
|
Net loss |
|
$ |
(48,490 |
) |
|
$ |
(0.97 |
) |
|
$ |
(0.97 |
) |
|
| |
Adjustment: |
|
|
|
|
|
|
| |
Deferred financing fees write-off |
|
1,466 |
|
|
|
0.03 |
|
|
|
0.03 |
|
|
| |
Adjusted net loss |
|
$ |
(47,024 |
) |
|
$ |
(0.94 |
) |
|
$ |
(0.94 |
) |
|
| |
|
|
|
| |
|
|
For the year
ended December 31, 2018 |
| |
|
|
|
|
Per share |
|
Per share |
|
| In thousands of U.S. dollars except per share
data |
|
Amount |
|
basic |
|
diluted |
|
|
|
Net loss |
|
$ |
(190,071 |
) |
|
$ |
(5.46 |
) |
|
$ |
(5.46 |
) |
|
| |
Adjustments: |
|
|
|
|
|
|
| |
Merger transaction
related costs |
|
272 |
|
|
|
0.01 |
|
|
|
0.01 |
|
|
| |
Deferred financing fees write-off |
|
13,212 |
|
|
|
0.38 |
|
|
|
0.38 |
|
|
| |
Loss on exchange of Convertible Notes due 2019 |
|
17,838 |
|
|
0.51 |
|
|
0.51 |
|
|
| |
Adjusted net loss |
|
$ |
(158,749 |
) |
|
$ |
(4.56 |
) |
|
$ |
(4.56 |
) |
|
(1) Summation differences due to rounding.
Reconciliation of Net Income / (Loss) to Adjusted
EBITDA
| |
|
|
For the
three months endedDecember 31, |
|
For the year
endedDecember 31, |
| In thousands of U.S. dollars |
|
2019 |
|
2018 |
|
2019 |
|
2018 |
|
|
Net income /
(loss) |
|
$ |
12,042 |
|
|
$ |
(17,668 |
) |
|
$ |
(48,490 |
) |
|
$ |
(190,071 |
) |
| |
Financial expenses |
|
47,287 |
|
|
48,156 |
|
|
186,235 |
|
|
186,628 |
|
| |
Financial income |
|
(756 |
) |
|
(2,908 |
) |
|
(8,182 |
) |
|
(4,458 |
) |
| |
Depreciation - owned or
finance leased vessels |
|
46,477 |
|
|
44,592 |
|
|
180,052 |
|
|
176,723 |
|
| |
Depreciation - right of use assets |
|
12,636 |
|
|
— |
|
|
26,916 |
|
|
— |
|
| |
Merger transaction related costs |
|
— |
|
|
— |
|
|
— |
|
|
272 |
|
| |
Amortization of
restricted stock |
|
6,713 |
|
|
6,144 |
|
|
27,421 |
|
|
25,547 |
|
| |
Loss on exchange of
Convertible Notes due 2019 |
|
— |
|
|
— |
|
|
— |
|
|
17,838 |
|
| |
Adjusted EBITDA |
|
$ |
124,399 |
|
|
$ |
78,316 |
|
|
$ |
363,952 |
|
|
$ |
212,479 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Forward-Looking Statements
Matters discussed in this press release may
constitute forward‐looking statements. The Private Securities
Litigation Reform Act of 1995 provides safe harbor protections for
forward‐looking statements in order to encourage companies to
provide prospective information about their business.
Forward‐looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements, which are other than
statements of historical facts. The Company desires to take
advantage of the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995 and is including this cautionary
statement in connection with this safe harbor legislation. The
words "believe," "expect," "anticipate," "estimate," "intend,"
"plan," "target," "project," "likely," "may," "will," "would,"
"could" and similar expressions identify forward‐looking
statements.
The forward‐looking statements in this press
release are based upon various assumptions, many of which are
based, in turn, upon further assumptions, including without
limitation, management’s examination of historical operating
trends, data contained in the Company’s records and other data
available from third parties. Although management believes that
these assumptions were reasonable when made, because these
assumptions are inherently subject to significant uncertainties and
contingencies which are difficult or impossible to predict and are
beyond the Company’s control, there can be no assurance that the
Company will achieve or accomplish these expectations, beliefs or
projections. The Company undertakes no obligation, and specifically
declines any obligation, except as required by law, to publicly
update or revise any forward‐looking statements, whether as a
result of new information, future events or otherwise.
In addition to these important factors, other
important factors that, in the Company’s view, could cause actual
results to differ materially from those discussed in the
forward‐looking statements include unforeseen liabilities, future
capital expenditures, revenues, expenses, earnings, synergies,
economic performance, indebtedness, financial condition, losses,
future prospects, business and management strategies for the
management, expansion and growth of the Company’s operations, risks
relating to the integration of assets or operations of entities
that it has or may in the future acquire and the possibility that
the anticipated synergies and other benefits of such acquisitions
may not be realized within expected timeframes or at all, the
failure of counterparties to fully perform their contracts with the
Company, the strength of world economies and currencies, general
market conditions, including fluctuations in charter rates and
vessel values, changes in demand for tanker vessel capacity,
changes in the Company’s operating expenses, including bunker
prices, drydocking and insurance costs, the market for the
Company’s vessels, availability of financing and refinancing,
charter counterparty performance, ability to obtain financing and
comply with covenants in such financing arrangements, changes in
governmental rules and regulations or actions taken by regulatory
authorities, potential liability from pending or future litigation,
general domestic and international political conditions, potential
disruption of shipping routes due to accidents or political events,
vessels breakdowns and instances of off‐hires, and other factors.
Please see the Company's filings with the SEC for a more complete
discussion of certain of these and other risks and
uncertainties.
Scorpio Tankers Inc.212-542-1616
Scorpio Tankers (NYSE:SBNA)
Historical Stock Chart
From Nov 2024 to Dec 2024
Scorpio Tankers (NYSE:SBNA)
Historical Stock Chart
From Dec 2023 to Dec 2024
