Torm’s 1st quarter profits slide 25%

Torm’s 1st quarter profits slide 25%    Danish tanker and bulk-shipping operator A/S Dampskibsselskabet Torm, Tuesday reported first quarter net profit of $57.7 million, down 25 percent compared to $76.9 million a year ago.
   Operating income was down 18 percent to $66.9 million from $81.6 million. Revenue for the quarter was $161.8 million, a 22 percent increase from $132.3 million in the first quarter 2005.
   “The year started better than expected, but the product tanker rates have been lower than expected during the end of the first and into the second quarter,” said Klaus Kjaerulff, Torm’s president and chief executive officer. “This was attributable to an ongoing large influx of vessels combined with large inventories in the U.S. and maintenance of refineries in the U.S. and Asia.
   “The period time charter market continues to be relatively strong, which together with a recent increase in freight rates is a positive indicator for the remainder of the year,” Kjaerulff said.