Feb 10 2017
The year 2016 was a very good year for Nordic American Tankers (NAT) in a volatile tanker market, the company claimed.
the third quarter. Thus far, 2017 has started at levels of $25,000 per day, well above the fourth quarter.
“We are now reaping the benefits of increasing our fleet over the last few years,” NAT said in its results roundup.
NAT’s adjusted net operating earnings in 4Q16 was $28.2 mill, compared with $21.7 mill in 3Q16 and $57.2 mill in 4Q15.
A total of 180 days offhire was recorded during 4Q16, of which 159
For example, the TCE rates for the fourth quarter of last year of $21,600 per day were higher than the $16,700 per day recorded in days were planned. The average time at the yard during drydocking of four vessels was about 14 days.
NAT continued to maintain a strong balance sheet with low net debt and is focusing on keeping a low financial risk. At the end of 4Q16, the company had net debt of about $305 mill or about $10.5 mill per vessel.
The success of the placement of $120 mill in the autumn of 2016 was due to the proven business model, NAT said. The capital raised enabled the company to enter into agreements with Samsung Heavy Industries for the construction of three Suezmaxes to be delivered during the second half of 2018.
These newbuildings are expected to be financed mostly with proceeds from the offering, cash from operations and with debt, the company explained.
Homogenous Suezmax fleet growth is a key success factor, NAT said. The three additional newbuildings will increase the fleet by 10%, enlarging dividend and earnings capacity.
Including the three newbuildings, the NAT fleet will consist of a minimum of 33 vessels. The delivery of the newbuilding ‘Nordic Space’ is due to take place at the end of February this year.
NAT’s Suezmaxes have a cash breakeven rate below $11,000 per day per ship, including financial charges and G&A costs. Operating expenses were claimed to be low - about $8,400 per vessel per day. The operating expenses for all of the vessels were more or less the same. The drydocking costs for the vessels that are more than 15 years old are on average less than $2 mill per vessel, which is at the same level as the rest of the fleet.
Whether a ship has been around five years or 15 years or longer does not matter, as long as they are well maintained, the company stressed.
In the tanker sector, the NAT stock has significant liquidity, allowing investors to buy and sell shares whenever they wish. In 4Q2016 about 2m shares on average were traded daily with an average daily trading value of around $18m per day. The average volume for 2016 for NAT was about 1.7m shares per day.
On January 23, 2017, NAT declared a cash dividend of $0.20 per share for 4Q2016, payable to shareholders of record as of February 10, 2017. Payment of the dividend is expected to be on or about February 24, 2017.
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Recent NAT News
- Nordic American Tankers Ltd (NYSE: NAT) – Shareholder/Investor conference Thursday September 12, 2024 • GlobeNewswire Inc. • 09/11/2024 09:49:49 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 09/03/2024 08:23:12 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Investor Conference September 12, 2024 • GlobeNewswire Inc. • 09/02/2024 12:57:50 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Report as per June 30, 2024 – A dividend company with good prospects • GlobeNewswire Inc. • 08/29/2024 10:31:46 AM
- Nordic American Tankers Ltd (NYSE: NAT) – Fall on some stock exchanges • GlobeNewswire Inc. • 08/05/2024 01:09:53 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Non-Executive Vice Chairman of NAT, Alexander Hansson buys more shares • GlobeNewswire Inc. • 07/30/2024 02:17:27 PM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 05/30/2024 09:11:16 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Non-Executive Vice Chairman of NAT, Alexander Hansson buys more shares • GlobeNewswire Inc. • 05/30/2024 01:47:15 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Report as per March 31, 2024 – Dividend is a top priority. • GlobeNewswire Inc. • 05/29/2024 12:09:52 PM
- US Index Futures Drop Amid Rising Treasury Yields and Inflation Concerns, Oil Prices Increase • IH Market News • 05/29/2024 11:28:38 AM
- Nordic American Tankers Ltd (NYSE: NAT) – 1Q 2024 Earnings Report • GlobeNewswire Inc. • 05/14/2024 01:45:33 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Alexander Hansson buys more NAT shares • GlobeNewswire Inc. • 04/04/2024 01:50:49 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Alexander Hansson buys more NAT shares • GlobeNewswire Inc. • 03/12/2024 01:57:22 PM
- Nordic American Tankers Ltd (NYSE: NAT) – A snapshot of the present market conditions • GlobeNewswire Inc. • 03/07/2024 02:08:12 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Alexander Hansson buys more NAT shares • GlobeNewswire Inc. • 03/04/2024 02:53:56 PM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 03/01/2024 10:09:14 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Report as per December 31, 2023 – Dividend is up and solid prospects going forward • GlobeNewswire Inc. • 02/29/2024 10:23:30 AM
- Nordic American Tankers Ltd (NYSE: NAT) – Founder, Chairman & CEO outlines the international reach of the NAT operations • GlobeNewswire Inc. • 02/15/2024 02:39:35 PM
- Form SC 13G/A - Statement of acquisition of beneficial ownership by individuals: [Amend] • Edgar (US Regulatory) • 02/02/2024 07:18:07 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Greetings for the Season • GlobeNewswire Inc. • 12/14/2023 11:50:26 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 11/30/2023 09:37:40 PM
- Correction: Nordic American Tankers Ltd (NYSE: NAT) – Board Member Alexander Hansson buys more NAT shares • GlobeNewswire Inc. • 11/30/2023 03:00:20 PM
- Nordic American Tankers Ltd (NYSE: NAT) – • GlobeNewswire Inc. • 11/30/2023 02:56:38 PM
- Nordic American Tankers Ltd (NYSE: NAT) – Report as per September 30, 2023 – The direction is up in a strong market • GlobeNewswire Inc. • 11/29/2023 11:54:54 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 11/16/2023 09:26:56 PM
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