US-based owner and operator of very large gas carriers (VLGCs) Dorian LPG has plunged into a net loss of USD 7.1 million during the second quarter of the fiscal year 2017 from a net income of USD 41.2 million seen in the same period a year earlier.
The company’s revenue stood at USD 33.6 million for the three-month period, down from USD 74.9 million reported in the three months ended September 30, 2015.
“Our results for the quarter reflect the benefit of our mix of time charter and spot employment in a freight market which, only recently, started to rebound from multi-year low rates,” John Hadjipateras, Chairman, President and Chief Executive Officer, said.
“I am confident in the abilities of our very experienced operational, commercial and financial management teams to ensure the company retains its leadership place amongst its peers and is best positioned to reward its shareholders,” he added.
The decrease in revenue is primarily attributable to lower VLGC rates and vessel utilization.
The TCE rate for the company’s fleet was USD 19,137 for the three months ended September 30, 2016, a 72% decrease from the USD 68,330 TCE rate from the same period in the prior year, reflecting more subdued market conditions.
Total fleet utilization, including the utilization of Dorian LPG’s vessels deployed in the Helios Pool, decreased from 98% in the quarter ended September 30, 2015 to 85.7% in the quarter ended September 30, 2016.