Euronav’s profits slide 54% in 2007, more optimistic for 2008

Euronav’s profits slide 54% in 2007, more optimistic for 2008 Antwerp, Belgium-based independent tanker company Euronav has reported net income of $100.1 million for 2007, a 54.1 percent drop from $218 million posted for 2006.
   The company’s annual earnings before interest and tax (EBIT) dropped 34.4 percent to $189.3 million with turnover down 20.1 percent to $550.1 million.
   Euronav’s management said it is more optimistic for 2008 due to increased oil production by OPEC from late November and the high number of vessels that will be removed from the market for conversion from single-hull VLCCs to dry cargo ships. From 2006, Euronav has only owned and operated double-hull vessels.
   “The timing of the vessel removals will be key influence the market,” Euronav said in a statement. “The earlier they go, the more pressure will be put on the market before the newbuildings, to be delivered in 2008, operate fully in the world fleet. The catastrophic oil spill in Korea should reconfirm or even accelerate the phase out of single-hull tankers.”
   Meanwhile, Hugo De Stoop has been promoted to Euronav’s chief financial officer, from deputy, replacing Ludwig Criel.