In a defining moment across the oil and shipping industries, the Monjasa Group reports an increase of 10% in volumes and significantly improved business fundamentals.
Fuelling global trade in a year of transition
In recent years, Monjasa has been focusing on exceeding regulatory and customer demand for compliance and quality. Investments which were put to the test in 2019 leading up to the IMO 2020 regulations, where new quality norms for supply of low sulphur marine fuels were introduced globally.
Monjasa’s role in this transition has been clear from the beginning: enabling the smoothest possible transition for our customers. This was done by seizing further ownership of the logistics surrounding marine fuel operations and cultivating IMO 2020 technical knowledge across supply chain relations.
Concluding on 2019, the Annual Report shows a slight increase in total revenue to USD 2.2bn (USD 2.1bn), Group operations (EBIT) of USD 36.1m (USD 8.3m) and a result of the year of USD 26.5m (USD 5m), which is above expectations.
At a Group level, total volumes increased by 10% to 4.5m mts (4.1m mts), with the Americas representing the most significant increase of 35% reaching a total of 1,150,000 mts.
Group CEO, Anders Østergaard comments:
“We are proud to present this strong set of results for 2019. A special year leading up to one of the most defining moments in global shipping since the shift away from coal a century ago. For Monjasa, this much-anticipated shift to the more environmentally friendly marine fuels meant that our role of matching supply and demand with logistical solutions, became a critical factor across the shipping industry.
Through extensive preparations together with our business partners, including suppliers, our oil terminals and fleet operations, Monjasa ended up strongly positioned to respond to a highly volatile market. The result was an increasing demand for our products and services, and a successful transition for our customers.”
Credit facilities increased by USD 160m
During the year, Monjasa was also pleased to welcome four dedicated trade finance banks to our existing banking pool. By increasing the overall credit facilities by an additional USD 160m, Monjasa secured adequate working capital for developing our global activities in and beyond 2020.
With consolidated Group equity increasing to USD 135m and a high solvency ratio of 29%, Monjasa is positioned among the world’s most robust marine fuel suppliers.
Given the unfolding global Covid-19 health situation, 2020 will be another demanding year for most global industries, including the maritime. However, confirming a solid position among the world’s top-10 marine fuel suppliers in 2019, Monjasa remains confident of representing a safe port for new and loyal customers throughout 2020 as well.
The Monjasa Holding A/S Annual Report 2019 is available here.
Group Communications Senior Manager
Tel. +45 76 317 286