Focus on good margins lifts net profit at Chemoil Energy

Marine fuel supplier Chemoil Energy has posted a 296 per cent rise in second quarter net profit to US$11.7 million (S$14.8 million).

Revenue for the three months ended June 20 fell by 8 per cent to US$3.2 billion.

Gross contribution per metric ton improved 47 per cent to US$10.1 per metric ton. However, volumes of fuels sold decreased 5.3 per cent to 4.7 million tons.

The decrease came mainly from reduced retail and cargo sales in the Americas.

Chemoil chief executive Tom Reilly said it was a relatively good performance in the second quarter, with the group focusing on ensuring good margins.

"Although, volumes improved slightly in Asia and Europe, volume reduction in the Americas led to our overall volume reduction as a group. However, going forward we expect volume growth in the Americas from our recent acquisition of the marine fuels business of Colonial Marine in south eastern United States," he said.

Earnings per share grew to 0.91 US cent from 0.23 US cent while net asset value per share grew to 39 US cents compared to 37.5 US cents as at Dec 31.