Monjasa, the Danish bunker trader, has reported a big rise in bunker fuel sales during 2018. The company said that it sold a total of 4.1m tons, which is estimated as a 17% increase on annual basis.
Year 2018 was great for Monjasa, despite the turbulence and volatile environment in the bunker industry, the group said. From a regional perspective, group’s sales in America experienced an increase of 31%, with Southeast Asia to follow with a rise of 25%, while bunker sales in Europe were reported 23% higher than those in 2017. As a result, revenue was up at $2.1 billion, from $1.4 billion the previous year.
However, such increase is not evident on the bottom line of its results since the company’s net profits have experienced a drop of $2 million during the year; from $7m in 2017, down to $5m in 2018. According to a company’s statement, that happened due to some non-recurring costs in the beginning of the year.
The Group’s CEO, Anders Ostergaard, in a statement mentioned that the company succeeded to increase its sales volume of bunker fuels significantly across all markets, while at the same time it improved its core business fundamentals.
Ostergaard also notes that the company has taken actions to establish its position in the market and strengthen its financial capabilities. First, the company has managed to expand its banking facilities with two new partnerships which can support the company’s working capital needs in its bunkering activities in the US and in the Middle East. Furthermore, according to Ostergaard, the company has succeeded to build close relationships with oil majors in an effort to secure future availability of low-sulfur fuels to comply with the IMO 2020 regulations.
In the company statement Anders Ostergaard says: Tomorrow’s success comes from extended transparency, getting all details right and daring to be rated by those around us. In these challenging shipping markets, I am pleased to say that Monjasa is in a good position in the global bunker industry.”
Going forward, Monjasa will continue to focus on quality and extended transparency on bunker purchases, which is vital for a company to grow in the bunkering industry, the company said in its statement. “The increasing regulatory framework across the shipping industry only confirms that the investments made to provide clear document trails are indeed relevant” it concluded.
Link to the statement on the company’s website: https://monjasa.com/news-archive/monjasa-increases-sales-volume-by-17-and-delivers-positive-result-for-2018/