
Western Bulk Chartering AS reported a net profit of USD 2.5 million for the first half of 2024, a solid performance driven by favorable market conditions in the dry bulk sector. With a Net TC (Time Charter) of USD 15.1 million and a Net TC Margin per ship day of USD 626, the company showed robust growth compared to the previous year. The number of vessels operated by Western Bulk increased to an average of 133, up from 125 in the same period last year, reflecting expansion primarily within the Panamax segment.
The dry bulk market showed strong performance in H1 2024, with the Baltic Supramax Index (BSI) 58’ averaging USD 13,975 per day—a significant improvement of 17% over the USD 11,974 per day recorded in H2 2023, and 33% higher than H1 2023. The spread between the Atlantic and Pacific markets narrowed, averaging USD 924 per day, a decrease from USD 2,151 per day in the same period last year.
Western Bulk strategically entered the year with a long position, holding more vessels than cargo commitments. This allowed the company to capitalize on the strong market, particularly in repositioning vessels from the Pacific to the higher-paying Atlantic market. The costs associated with these repositioning efforts were lower than historical averages, thanks in part to higher-paying steel exports out of China. As a result, the company expects substantial returns in the second half of 2024, particularly with the upcoming U.S. grain export season and sustained healthy volumes from the South Atlantic, which are anticipated to drive further outperformance in the Atlantic market.
Despite the strong financial performance, the Board of Directors has opted not to declare a dividend for Q2 2024. The decision was made to preserve working capital headroom to support volume growth moving forward.
Western Bulk’s interim CEO, Ørjan Svanevik, alongside the newly appointed CEO, Torbjørn Gjervik, and CFO, Kenneth Thu, will host a digital investor presentation on Tuesday, August 20th, at 13:00 CET to discuss these results in further detail.