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ADS Maritime Holding
Quarterly Report • Nov 21, 2019
8170_rns_2019-11-21_365a0db9-212d-4839-a68b-1ec779ac3a88.pdf
Quarterly Report
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Q3 2019 REPORT
HEADLINES Q3 2019:
- Completion of fleet wide scrubber installation and intermediate survey program post quarter end
- Net revenue¹ down USD 2.6 million (55%) from Q2 2019 due to reduction in available vessel days as a result of time spent at yard performing planned intermediate survey and scrubber installations
- TCE¹ per day of USD 16,801, down 4% from Q2 2019
- Net loss of USD 2.9 million, down from net profit USD 0.6 million in Q2 2019
- Approximately 25% of vessel days in Q4 2019 expected to be related to intermediate survey & scrubber fitting
- Backlog estimated for around 60% of vessel days in Q4 2019 booked at an average TCE per day of USD 27,000
- Terms agreed for USD 7.5 million Revolving Credit Facility post-quarter end
| Quarter ended | 9 months | ||||||
|---|---|---|---|---|---|---|---|
| (In thousands of USD) | 30-Sep-19 | 30-Jun-19 | 31-Mar-19 | 31-Dec-18 | 30-Sep-18 | 30-Sep-19 | 30-Apr-18 to 31-Dec-18 |
| Revenue | 6 984 | 11 161 | 11 700 | 10 466 | 2 967 | 29 845 | 13 432 |
| Net revenue¹ | 2 134 | 4 767 | 6 505 | 6 816 | 1 091 | 13 406 | 7 907 |
| Vessel operating days | 127 | 273 | 270 | 276 | 141 | 670 | 417 |
| TCE¹ per day (in USD) | 16 801 | 17 463 | 24 093 | 24 697 | 7 736 | 20 010 | 18 962 |
| Operating profit | (2 102) | 1 115 | 2 374 | 2 642 | (1 738) | 1 387 | 903 |
| Net profit | (2 914) | 601 | 1 835 | 2 168 | (2 066) | (478) | 102 |
| EPS (in USD per share) | (0.12) | 0.03 | 0.08 | 0.09 | (0.11) | (0.02) | 0.01 |
| Cash flow from operations | 3 847 | (806) | 3 989 | 3 221 | (5 815) | 7 032 | (2 595) |
| Net cash flow | (3 964) | 910 | 2 284 | 2 336 | 11 352 | (769) | 13 689 |
| Cash and cash equivalents | 12 920 | 16 884 | 15 974 | 13 689 | 11 353 | 12 920 | 13 689 |
| Equity ratio | 55 % | 58 % | 64 % | 61 % | 64 % | 55 % | 61 % |
| Net interest-bearing debt¹ | 23 095 | 19 131 | 13 502 | 15 787 | 18 123 | 23 095 | 15 787 |
KEY FINANCIALS
¹ Net revenue, TCE per day and NIBD are non-IFRS measures. Please refer to Note 8 for explanation and reconciliation
FINANCIAL PERFORMANCE
Revenue and operating costs
Of the total 276 fleet days in Q3 2019, 149 days (54%) were off-hire due to yard stays to perform mandatory intermediate surveys and scrubber installations across the Company's fleet. All of the 127 vessel operating days in the quarter were spent operating in the spot market, generating net revenue of USD 2.1 million, down from USD 4.8 million in Q2 2019 as a result of the reduced vessel operating days. Net revenue was negatively impacted by USD 0.4 million higher than originally expected voyage related costs on one voyage. TCE per day was USD 16,801 in the quarter, down 4% from USD 17,463 in Q2 2019.
Vessel operating expenses increased from a low level the previous quarter to USD 2.7 million in Q3 2019, up 30% from Q2 2019. The increase was driven by higher non-capitalizable repairs and maintenance costs and spending on spare parts, driven by work done during the yard stays. General and administrative costs were down 48% to USD 0.1 million from USD 0.3 million the previous quarter, while depreciation was up 6% to USD 1.3 million in the quarter.
Operating profit was negative USD 2.1 million in Q3 2019, down from positive USD 1.1 million the previous quarter. The decrease in operating profit was due to the reduction in net revenue.
Net profit and EPS
Net financial costs increased to USD 0.8 million in Q3 2019, up from USD 0.5 million the previous quarter, driven by an increase in interest cost following the increase in interest-bearing debt from 28 June 2019 as a result of the amended vessel loan.
Net loss was USD 2.9 million, down from a profit of USD 0.6 million in Q2 2019, resulting in EPS of negative USD 0.12 in Q3 2019, down from USD 0.03 in Q2 2019. The reduction in net profit and EPS was driven by the reduced net profit compared to the previous quarter.
CASH FLOW
Net cash flow from operations was USD 3.8 million in the quarter, up USD 4.7 million from negative USD 0.8 million in Q2 2019, mainly due to an increase of USD 7.9 million in working capital movements, which was partially offset by a reduction of USD 3.5 million in operating profit compared to the previous quarter. Working capital movements were positive USD 4.7 million, compared to negative USD 3.2 million in Q2 2019.
Cash invested in property, plant and equipment was USD 6.5 million in Q3 2019, all of which was due to payments related to intermediate surveys and scrubber investments on all three of the Company's vessels.
Cash flow from investing activities decreased to an outflow of USD 1.3 million in Q3 2019, down from an inflow of USD 4.5 million in Q2 2019, mainly due to amendments to the Company's vessel loans that positively impacted the previous quarter. The Company made a dividend payment of USD 0.5 million in September 2019, which was the dividend announced on 21 August in relation to the Q2 2019 report.
The Company recorded net cash movement of negative USD 4.0 million, down from an inflow of USD 0.9 million in Q2 2019. Cash and cash equivalents held at 30 September 2019 totaled USD 12.9 million, down from USD 16.9 million at 30 June 2019. In addition, the Company had restricted cash deposits of USD 1.5 million at 30 September 2019.
DIVIDENDS
As a result of the negative financial result for the period which was driven by over half of the total fleet days spent offhire due to yard stays, no dividend is declared in relation to Q3 2019.
The Board aims to distribute dividends to shareholders for financial periods the Company generates sufficient net profits and has available excess cash. Future dividend payments will depend on the underlying Company financial performance and market development, as well as expectations about the future. In evaluating dividend distributions, the Board will take into consideration the Company's forecasted liquidity, investment plans, financing requirements and level of financial flexibility that the Board believes is appropriate for the Company.
OUTLOOK
Scrubber investment and intermediate surveys
All three of the Company's vessels have completed yard stays during Q3 2019 and post-quarter end, at which installation of open loop scrubber systems during mandatory 17.5-year intermediate classing surveys have been completed.
The total investment in intermediate surveys, including amounts paid as at 30 September 2019, is expected to average USD 3.5 million per vessel, up from the previously guided USD 2.5 million per vessel. There is no change to the expected USD 4 million per vessel average cost of investment in scrubber systems.
Revolving Credit Facility
Post-quarter end, the Company agreed terms for an unsecured USD 7.5 million credit facility which provides a working capital buffer to the Company following the recent fleet-wide yard stays (the "Revolving Credit Facility" or "RCF"). The RCF is provided by the Company's two largest shareholders, Ship Finance International Ltd and ADS Shipping Ltd, at market terms. Completion of the RCF is subject to satisfactory documentation, which is expected to occur before 31 December 2019.
Backlog
As expected, the first vessel voyages after completion of intermediate surveys are at lower than the market benchmark and all three of our vessels will have their first voyage after intermediate survey impacting the fourth quarter. As at the date of this report, the Company has secured estimated backlog for approximately 60% of days in Q4 2019 booked at an average TCE of approximately USD 27,000 per day. The Company estimates that approximately 25% of days in Q4 2019 will be off-hire related to completion of the intermediate surveys and scrubber installations.
Interim consolidated statement of comprehensive income
| Quarter ended | 9 months | ||||
|---|---|---|---|---|---|
| (In thousands of USD) | Note | 30-Sep-19 | 30-Sep-18 | 30-Sep-19 | 30-Apr-18 to 31-Dec-18 |
| Revenue | 6 984 | 2 967 | 29 845 | 13 432 | |
| Operating expenses | |||||
| Voyage expenses | (4 850) | (1 876) | (16 439) | (5 525) | |
| Vessel operating expenses | (2 748) | (1 872) | (7 339) | (4 562) | |
| General & administrative costs | (149) | (384) | (784) | (606) | |
| Depreciation | 4 | (1 339) | (573) | (3 897) | (1 835) |
| Total operating expenses | (9 086) | (4 705) | (28 458) | (12 529) | |
| Operating profit | (2 102) | (1 738) | 1 387 | 903 | |
| Finance cost | (812) | (328) | (1 956) | (859) | |
| Finance income | - | - | 91 | 57 | |
| Profit before tax | (2 914) | (2 066) | (478) | 102 | |
| Income tax | - | - | - | - | |
| Profit after tax and total comprehensive income | (2 914) | (2 066) | (478) | 102 | |
| (In USD) | |||||
| Earnings per share attributable to equity holders | |||||
| - Basic | 6 | (0.12) | (0.11) | (0.02) | 0.01 |
| - Diluted | 6 | (0.12) | (0.11) | (0.02) | 0.01 |
Interim consolidated statement of financial position
| (In thousands of USD) | Note | 30-Sep-19 | 30-Sep-18 | 31-Dec-18 |
|---|---|---|---|---|
| Assets | ||||
| Non-current assets | ||||
| Vessels | 4 | 79 222 | 67 292 | 67 714 |
| Total non-current assets | 79 222 | 67 292 | 67 714 | |
| Current assets | ||||
| Receivables from customers | 954 | 3 159 | 4 745 | |
| Other current assets | 4 457 | 2 109 | 5 488 | |
| Restricted cash | 1 485 | 524 | 524 | |
| Cash and cash equivalents | 12 920 | 11 353 | 13 689 | |
| Total current assets | 19 816 | 17 145 | 24 447 | |
| Total assets | 99 038 | 84 437 | 92 161 | |
| Equity and liabilities | ||||
| Equity | ||||
| Issued share capital | 4 678 | 4 678 | 4 678 | |
| Share premium | 51 207 | 51 207 | 51 207 | |
| Retained earnings | (1 876) | (2 066) | 102 | |
| Total equity | 54 009 | 53 819 | 55 987 | |
| Non-current liabilities | ||||
| Interest-bearing debt | 5 | 36 466 | 29 710 | 29 729 |
| Total non-current liabilities | 36 466 | 29 710 | 29 729 | |
| Current liabilities | ||||
| Other current liabilities | 6 971 | 773 | 1 333 | |
| Trade payables | 1 592 | 134 | 5 113 | |
| Total current liabilities | 8 563 | 908 | 6 446 | |
| Total equity and liabilities | 99 038 | 84 437 | 92 161 |
Interim consolidated statement of cash flows
| Quarter ended | 9 months | |||
|---|---|---|---|---|
| (In thousands of USD) | 30-Sep-19 | 30-Sep-18 | 30-Sep-19 | 30-Apr-18 to 31-Dec-18 |
| Cash flow from operating activities | ||||
| Profit for the period | (2 914) | (2 066) | (477) | 102 |
| Adjustment for non-operating cash flow items | ||||
| Depreciation | 1 339 | 573 | 3 897 | 1 835 |
| Interest expenses | 711 | 288 | 1 809 | 793 |
| Interest income | - | - | (91) | (35) |
| Net operating cash flow before working capital items | (864) | (1 205) | 5 138 | 2 695 |
| Working capital movements | 4 711 | (4 611) | 1 894 | (5 290) |
| Total operating cash flow | 3 847 | (5 815) | 7 032 | (2 595) |
| Cash flow from investing activities | ||||
| Payments for vessels and equipment | (6 537) | (67 865) | (10 489) | (68 387) |
| Total cash flow used in investing activities | (6 537) | (67 865) | (10 489) | (68 387) |
| Cash flow from financing activities | ||||
| Proceeds from share issue | - | 56 932 | - | 56 933 |
| Transaction cost on issue of shares | - | (1 048) | - | (1 048) |
| Receipt from bank loan | - | 30 000 | 7 500 | 30 000 |
| Transaction cost related to bank loan | (338) | (300) | (900) | (300) |
| Interest paid | (436) | (28) | (1 499) | (391) |
| Decrease/(increase) in restricted cash | - | (524) | (961) | (524) |
| Interest received | - | - | 49 | 1 |
| Dividends paid | (500) | - | (1 500) | - |
| Total cash flow from financing activities | (1 274) | 85 032 | 2 689 | 84 671 |
| Net increase in cash and cash equivalents | (3 964) | 11 352 | (769) | 13 689 |
| Cash and cash equivalents at the beginning of the period | 16 884 | 1 | 13 689 | - |
| Cash and cash equivalents at the end of the period | 12 920 | 11 353 | 12 920 | 13 689 |
Interim consolidated statement of changes in equity
| (In thousands of USD apart from number of shares) | Number of shares |
Issued share capital |
Share premium |
Retained earnings |
Total equity |
|---|---|---|---|---|---|
| Balance at incorporation on 30 April 2018 | - | - | - | - | - |
| Issue of share capital | |||||
| 30 April 2018 at USD 0.20 per share | 5 860 | 1 | - | - | 1 |
| 16 July 2018 at NOK 20 per share | 23 384 440 | 4 677 | 52 255 | - | 56 932 |
| Transaction costs of issue of shares | - | - | (1 048) | - | (1 048) |
| Total comprehensive income for the period | - | - | - | 102 | 102 |
| Balance at 31 December 2018 | 23 390 300 | 4 678 | 51 207 | 102 | 55 987 |
| (In thousands of USD apart from number of shares) | Number of shares |
Issued share capital |
Share premium |
Retained earnings |
Total equity |
|---|---|---|---|---|---|
| Balance at 1 January 2019 | 23 390 300 | 4 678 | 51 207 | 102 | 55 987 |
| Total comprehensive income for the period | - | - | - | (478) | (478) |
| Dividends paid | - | - | - | (1 500) | (1 500) |
| Balance at 30 September 2019 | 23 390 300 | 4 678 | 51 207 | (1 876) | 54 009 |
The nominal value of the Company's authorized share capital, including issued and non-issued shares, at 30 September 2019 is USD 4.7 million, consisting of 23,390,300 shares with par value USD 0.20 per share.
Notes to the interim consolidated financial statements
1. General information
These interim consolidated financial statements of ADS Crude Carriers Plc ("ADS Crude Carriers" or the "Company") for the quarter ended 30 September 2019 were authorized for issue in accordance with a resolution of the Board of Directors passed on 20 November 2019.
ADS Crude Carriers Plc is a public limited company listed on the Merkur Market at the Oslo Stock Exchange.
The Company is incorporated in Cyprus and the address of its registered office is OSM House, 22 Amathountos, 4532 Agios Tychonas, Limassol, Cyprus. The Company is domiciled in Cyprus and has Norwegian subsidiaries based in Arendal, Norway. The principal activities of the Company are operating tanker vessels in the global tanker market. The Company owns and operates a fleet of three VLCCs: ADS Page, ADS Stratus and ADS Serenade.
The Company is managed by Arendals Dampskibsselskab AS. Commercial management of the vessels is provided by Frontline Ltd, while technical management of the vessels is provided by OSM Maritime Group.
2. Significant accounting policies
2.1. Basis of preparation
These interim financial statements are prepared in accordance with IAS 34 Interim financial reporting as issued by the International Accounting Standards Board (IASB) and as adopted by the EU. The interim financial statements do not include all the information and disclosures required by International Financial Reporting Standards (IFRS) for a complete set of financial statements.
The accounting principles applied by the Company in these interim consolidated financial statements are consistent with those applied in the audited annual consolidated financial statements for the year ended 31 December 2018. Please refer to Note 2 Significant accounting policies in the 2018 Annual Report for information on the Company's accounting policies.
2.2. Going concern
The Company was incorporated on 30 April 2018 as a limited liability company, converted to a public limited company on 10 August 2018 and subsequently admitted to trading on the Oslo Børs Merkur Market on 28 August 2018. On 16 July 2018, the Company raised gross proceeds of USD 57 million in a private placement equity issue. The purpose of the equity issue was to provide proceeds to part-finance purchase of three VLCCs, finance scrubber installments planned for 2019 on the acquired vessels, as well as provide liquidity for working capital build-up, cover general corporate purposes and equity transaction fees. During the second half of 2018 the Company purchased three vessels for a total price of USD 67.5 million, or USD 22.5 million per vessel. In addition to the equity contribution, the vessel purchase was partly financed by a USD 30 million loan, or USD 10 million per vessel (the "Old Loan"). During Q2 2019, the Company agreed terms with the lender of the vessel loan whereby a new loan of nominal value USD 37.5 million (the "New Loan") replaced the Old Loan. The New Loan was drawdown on 28 June 2019, providing gross proceeds of USD 7.5 million after the repayment of the Old Loan. Less loan issue costs amounting to USD 0.6 million paid in Q2 2019, net proceeds of USD 6.9 million were received. The proceeds of the New Loan are to be used towards the vessel intermediate surveys (dry dockings) that have been completed during the second half of 2019.
Post-quarter end, the Company agreed terms for an unsecured USD 7.5 million credit facility which provides a working capital buffer to the Company following the recent fleet-wide yard stays (the "Revolving Credit Facility" or "RCF"). The RCF is provided by the Company's two largest shareholders, Ship Finance International Ltd and ADS Shipping Ltd, at
market terms. Completion of the RCF is subject to satisfactory documentation, which is expected to occur before 31 December 2019.
The Company's financial projections used in its going concern evaluation are based on certain assumptions about the future, including those related to the VLCC market, vessel utilization, productivity and operating cost level, and the expected cost of scrubber investment and intermediate vessel surveys, as well as timing of payments of those investments. Based on these assumptions, the Company expects to have sufficient liquidity to operate for at least 12 months from the date of this interim report and, therefore, these interim financial statements are prepared using the going concern assumption.
3. Segment reporting
The Company's business is limited to operating a fleet of three VLCC tankers. Management has organized and manages the entity as one business segment based upon the service provided. The Company's chief operating decision maker, being the Board of Directors, reviews the Company's operating results on a consolidated basis as one operating segment (as defined by IFRS 8 Operating segments).
4. Property, plant and equipment
| Quarter ended | 9 months | |||
|---|---|---|---|---|
| 30-Apr-18 | ||||
| 30-Sep-19 | 30-Sep-18 | 30-Sep-19 | to | |
| (In thousands of USD) | 31-Dec-18 | |||
| Costs | ||||
| Balance at start of period | 72 804 | - | 69 550 | - |
| Additional capital expenditures | 12 150 | 67 865 | 15 404 | 69 550 |
| Balance at end of period | 84 954 | 67 865 | 84 954 | 69 550 |
| Depreciation | ||||
| Balance at start of period | 4 393 | - | 1 835 | - |
| Depreciation for period | 1 339 | 573 | 3 897 | 1 835 |
| Balance at end of period | 5 732 | 573 | 5 732 | 1 835 |
| Net book value at start of period | 66 429 | - | 71 385 | - |
| Net book value at end period | 79 222 | 67 292 | 79 222 | 67 714 |
| Carrying value of pledged assets | 62 153 | 66 256 | 62 153 | 66 050 |
The Company has invested in yard stays for its fleet of three vessels to install scrubber systems and perform mandatory intermediate surveys on its vessels. Including amounts already paid as at 30 September 2019, the total expected investment is approximately USD 7.5 million per vessel, of which an estimated USD 4 million relates to scrubber installation. The total investment in the intermediate surveys and scrubber systems has occurred across Q4 2018 through Q3 2019, with the remaining investment expected to be capitalized in Q4 2019, while the remaining payments will be spread across Q4 2019 and Q1 2020.
5. Interest bearing debt
| (In thousands of USD) | Maturity | Interest | 30-Sep-19 | 30-Sep-18 | 31-Dec-18 |
|---|---|---|---|---|---|
| Fleet Loan | |||||
| Nominal USD 30 million | - | 29 710 | 29 729 | ||
| Nominal USD 37.5 million | 31-Dec-22 | LIBOR + 5.1% | 36 466 | - | - |
| Total interest-bearing debt | 36 466 | 29 710 | 29 729 |
Under the terms of the USD 37.5 million Fleet Loan, there is no fixed amortization until maturity on 31 December 2022, apart from a Cash Sweep and a Dividend Amortization mechanism:
- i. Cash Sweep from and including Q1 2020, all liquidity above the Minimum Liquidity, on a quarterly basis is paid as prepayment of the New Loan up to a maximum amount of USD 250,000 per vessel per quarter. Applied until outstanding loan balance is USD 30 million.
- ii. Dividend Amortization whereby 50% of any dividend exceeding USD 2 million per quarter, USD 4 million per half-year and USD 6 million per annum is applied towards prepayment of the New Loan. Applied until outstanding loan balance is USD 27 million.
Any amount paid for a quarter under the Cash Sweep mechanism shall reduce accordingly the prepayment obligation under the Dividend Amortization clause.
6. Earnings per share
| Quarter ended | 9 months | |||
|---|---|---|---|---|
| (In thousands of USD) | 30-Sep-19 30-Sep-18 |
30-Sep-19 | 30-Apr-18 to 31-Dec-18 |
|
| Profit for the period | (2 914) | (2 066) | (478) | 102 |
| Weighted average shares outstanding | 23 390 300 | 23 390 300 | 23 390 300 | 16 070 780 |
| Basic and diluted EPS | (0.12) | (0.11) | (0.02) | 0.01 |
The Company has no dilutive or potential dilutive shares.
7. Events after the balance sheet date
Revolving Credit Facility
Post-quarter end, the Company agreed terms for an unsecured USD 7.5 million credit facility which provides a working capital buffer to the Company following the recent fleet-wide yard stays (the "Revolving Credit Facility" or "RCF"). The RCF is provided by the Company's two largest shareholders, Ship Finance International Ltd and ADS Shipping Ltd, at market terms. Completion of the RCF is subject to satisfactory documentation, which is expected to occur before 31 December 2019.
8. Alternative performance measures
In order to measure financial performance and position, the Company makes use of the Alternative Performance Measures (APMs) described below. The APMs are non-IFRS measures which provide supplemental information to the IFRS financial measures.
8.1. Net revenue
Net revenue is calculated as revenue less voyage expenses. The Company uses net revenue as an indication of the profitability of voyages and charters. Net revenue is used as the numerator when calculating TCE per day.
| Quarter ended | 9 months | ||||||
|---|---|---|---|---|---|---|---|
| (In thousands of USD) | 30-Sep-19 | 30-Jun-19 | 31-Mar-19 | 31-Dec-18 | 30-Sep-18 | 30-Sep-19 | 30-Apr-18 to 31-Dec-18 |
| Net revenue | |||||||
| Revenue | 6 984 | 11 161 | 11 700 | 10 466 | 2 967 | 29 845 | 13 432 |
| Voyage expenses | (4 850) | (6 394) | (5 195) | (3 649) | (1 876) | (16 439) | (5 525) |
| Total net revenue | 2 134 | 4 767 | 6 505 | 6 816 | 1 091 | 13 406 | 7 907 |
8.2. TCE per day
Time charter equivalent (TCE) per day is calculated by dividing net revenue by the number of vessel operating days in the period. Vessel operating days are the calendar days in the period as calculated from the date of delivery of a newly acquired vessel, excluding any days associated with drydocking or off-hire. TCE is a common shipping industry measure of performance on a per day basis. The Company uses TCE per day as it enables comparison of financial performance between periods regardless of changes in the mix of charter types.
| Quarter ended | 9 months | ||||||
|---|---|---|---|---|---|---|---|
| (In thousands of USD) | 30-Sep-19 | 30-Jun-19 | 31-Mar-19 | 31-Dec-18 | 30-Sep-18 | 30-Sep-19 | 30-Apr-18 to 31-Dec-18 |
| TCE | |||||||
| Net revenue | 2 134 | 4 767 | 6 505 | 6 816 | 1 091 | 13 406 | 7 907 |
| Vessel operating days | 127 | 273 | 270 | 276 | 141 | 670 | 417 |
| TCE (in whole USD) | 16 801 | 17 463 | 24 093 | 24 697 | 7 736 | 20 010 | 18 962 |
The Company's vessels were delivered on 20 July, 9 August and 13 September 2018.
8.3. Net interest-bearing debt (NIBD)
NIBD is calculated as the nominal outstanding value of the Company's total interest-bearing debt, less the balance of cash and cash equivalents, as well as any restricted cash that is restricted for the purposes of repaying debt.
| As at | ||||||
|---|---|---|---|---|---|---|
| (In thousands of USD) | 30-Sep-19 | 30-Jun-19 | 31-Mar-19 | 31-Dec-18 | 30-Sep-18 | |
| Net interest-bearing debt (NIBD) | ||||||
| Nominal value of interest-bearing debt | 37 500 | 37 500 | 30 000 | 30 000 | 30 000 | |
| Cash and cash equivalents | 12 920 | 16 884 | 15 974 | 13 689 | 13 353 | |
| Restricted cash available for debt repayment | 1 485 | 1 485 | 524 | 524 | 524 | |
| NIBD | 23 095 | 19 131 | 13 502 | 15 787 | 18 123 |
The Company uses NIBD as it provides an indication of the Company's debt position by indicating the ability of the Company to pay off all its debt if it became due simultaneously and only using cash.
8.4. Backlog
Backlog shows the estimated proportion of vessel operating days of a future financial reporting period for which the Company has secured commitments with clients (eg. charter parties), as well as the average TCE per day for those days. The Company uses backlog since it provides the amount of committed operating activity in future periods, thus providing an indication of the Company's future net revenue.
Cyprus :
ADS Crude Carriers Plc, OSM House, 22 Amathountos, 4532 Agios Tychonas Limassol, Cyprus
Tel +357 25335501
Norway :
ADS Crude Holding AS, PO Box 198, 4802 Arendal, Norway
Tel: +47 41 49 40 00
Email: [email protected]
Visiting Address Norway: Sandvigveien 19, 4816 Kolbjørnsvik, Norway