Revised expected Profit Before Tax for 2021

On 3 January 2022, each of the three wholly-owned subsidiaries of Nordic Shipholding A/S, namely Nordic Anne Pte. Ltd., Nordic Amy Pte. Ltd., and Nordic Agnetha Pte. Ltd., entered into a Sale and Purchase Memorandum of Agreement to sell the Nordic Anne, Nordic Amy and Nordic Agnetha, respectively.

Nordic Shipholding Signs Agreement to Sell Nordic Anne, Nordic Amy and Nordic Agnetha
Caption: Crude oil tanker Nordic Anne - Image courtesy of Marcel Coster

The agreed aggregate gross sale price of USD 37.1 million exceeds the current aggregate carrying value for the three vessels. 

As a result, Nordic Shipholding A/S expects to recognise a reversal of impairment loss of approximately USD 2.6M for the quarter ended 31 December 2021. 

As the expected reversal of impairment loss would not impact the TCE revenue nor operating expenditure, the forecasted Group’s TCE revenue and EBITDA (earnings before interest, tax, depreciation and amortisation) for 2021 is expected to remain unchanged as stated in the Company announcement 15/2021 on 23 November 2021. The Group’s TCE revenue for 2021 is thus unchanged expected to be in the region of USD 8.5 million – USD 10.5 million, while EBITDA for 2021 unchanged is expected to be in the range of USD -1.0 million – USD 1.0 million.

Due to the expected reversal of impairment loss, the Group’s result before tax is now forecasted at USD -7.0 million – USD -5.0 million (previous forecast was USD -9.5 million – USD -7.5 million).