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Gulf Navigation Holding (Gulfnav), the Dubai Financial Market-listed maritime and shipping company, has announced financial results for the period ended September 30th, 2024, which show net profits of AED 1.1 million in the third quarter, supported by higher revenues and improved operational efficiencies.
Revenue growth has been particularly strong, rising to AED 23 million, 26% up on the same period of last year, boosted in particular by increased vessel chartering activity. The AED 2.85 million operating profit represented a significant turnround from the operating loss of AED 4.89 million recorded in the third quarter of 2023.
According to a company statement, “Growth in revenue for the third quarter was primarily driven by robust performance in the vessel chartering segment, which benefitted from heightened demand and favourable utilisation rates across the fleet. The increase in chartered vessels and higher operating efficiency have positioned Gulfnav as a resilient player amid challenging conditions within the maritime sector.”
The company also points out that it achieved further reductions in general and administrative expenses, demonstrating a commitment to a lean operating model. The stabilisation of the cost structure has provided a foundation for sustained profitability, it suggests.
Also benefitting the company in the third quarter was the return to service of one of the two petrochemical tankers that underwent extensive drydocking in the first half of the year, with the second tanker expected to complete its necessary upgrades in the fourth quarter of 2024. These maintenance and upgrade initiatives have extended the tankers’ operational life by an additional five years and Gulfnav anticipates that the improved efficiency and reliability and enhanced degree of compliance of these vessels with international maritime standards will boost revenues and enhance fleet performance going forward. With the tankers’ re-entry into service, the company says it expects higher utilisation and charter rates in the next few quarters, positioning the company for even stronger revenue growth in the future.
