Business

WFS Q2 profit increases by 29%, ‘extremely well prepared’ for IMO 2020

The marine segment sold 5.1 million mt of bunkers in Q2 2019, down 775,000 mt when compared to Q2 2018.

Published

7 years ago

July 26, 2019

Admin

New York-listed oil and bunker trading firm World Fuel Services (WFS) on Friday (26 July) posted a 29% on year increase in net profit for the three months ended June 30 (Q2) 2019.

The company recorded $37 million of net profit during Q2 2019, higher when compared to net profit of $28.7 million seen in Q2 2018.

Total revenue from its aviation, land and marine segments in Q2 2019 was $9.46 billion, 6.8% lower than revenue of $10.15 billion during Q2 2018.

Specifically, its marine segment posted revenue of $2.01 billion in Q2 2019, lower than revenue of $2.29 billion in Q2 2018.

Gross profit from the marine segment in Q2 2019 was $36.4 million, higher than gross profit of $30.2 million in Q1 2018.

“Our marine segment continues to deliver strong earnings comparisons, consistent with the trend established in the first quarter of 2018,” said Michael Kasbar, Chairman and CEO of WFS, in a recent earnings call.

“The earnings growth has primarily resulted from a heightened focused on segmenting and satisfying demand that represents greater value to the customer, concentrating on enhancing fuel supply capabilities in specific geographies where customers are experiencing supply challenges.

“Following strong performance in Q1, core resale margins remain solid in Q2. We remain committed to deploying capital prudently, while remaining focused on financial returns, counterparty risk exposure and cost management.”

Volume in the marine segment for the second quarter was 5.1 million metric tonnes (mt), down 775,000 mt compared to the second quarter of last year.

“The volume reduction year-over-year principally related to the exit of certain low margin business activities in Asia, which we had mentioned for the past several quarters,” added Kasbar.

“Looking ahead to the third quarter, we expect a sequential increase in marine gross profit, principally due to seasonal activity, which we have now experienced for the past few summers.”

Moving forward, Kasbar noted WFS to be in an “extremely well prepared and well positioned” to handle the marine fuel needs of its clients heading into IMO 2020.

“Well, there's going to be more planning and logistics and quality control. Not every fuel is going to be available at every location, and you're going to see some amount of experimentation, perhaps on both buyers and sellers. So, I think one of the things we’re expecting is that there is going to be more interaction, there may be more frequent fueling, there's certainly going to be the market wanting to leverage external expertise, we certainly have a lot of it,” he states.

“One of our calling cards way back when from the 80s and we still have it, it was the way that we differentiated us. And I’d like to say that, we were a leader in the industry in terms of technical capabilities. So, there's certainly going to be that. There will be different sourcing and logistics and a lot of advisory. So, that will give an opportunity for additional value add. So, I think that it is generally a positive because there's going to be a greater demand for our services. All remains to be seen, it's not like it's a surprise, and it happened overnight.

“This thing was years with advance notice. So, we feel like we're extremely well prepared and well positioned, and certainly by virtue of our land business, and sourcing distillate and then with our Kinect business, in terms of, LNG, we've got a tremendous amount of internal capability. So, I'm not sure what else I could say in terms of giving color. It all remains to be seen in terms of how it's going to shake out, but we feel prepared and it should generally be positive for us.”

Photo credit: World Fuel Services
Published: 26 July, 2019

Winding up

Singapore: Nan Shan Maritime liquidator issues notice of intended dividend

Creditors will need to produce proofs of debt to liquidator of Nan Shan Maritime by 14 July, according to Government Gazette notice.

Published

19 hours ago

July 1, 2026

Admin

A notice to declare intended dividend of Nan Shan Maritime Pte Ltd to its creditors has been posted on the Government Gazette on Tuesday (30 June).

The following are the details of the notice of intended dividend:

Name of Company : Nan Shan Maritime (Pte.) Ltd. (In Creditors’ Voluntary Liquidation)
Unique Entity No. / Registration No. : 201701967H
Address of Registered Office : 10 Anson Road, #10-10, International Plaza, Singapore 079903
Last Day for Receiving Proofs : 14 July 2026
Name of Liquidator : Tam Chee Chong
Address : c/o 10 Anson Road, #10-10, International Plaza, Singapore 079903

Photo credit: steve pb from Pixabay
Published: 1 July, 2026

Fuel Testing

VPS strengthens China presence with new Shanghai marine fuel testing facility

Investment in the new testing laboratory comes as marine fuel volumes in Chinese ports continue to grow and customers increasingly demand faster testing and advisory services.

Published

19 hours ago

July 1, 2026

Admin

VPS strengthens China presence with new Shanghai marine fuel testing facility

Marine fuels testing company VPS on Tuesday (1 July) announced the opening of its brand new testing laboratory in Shanghai, China.

The company said this strategic investment strengthens VPS’ global laboratory network and reinforces the company’s commitment to delivering faster, locally-based testing services to customers operating in one of the world’s most important maritime markets.

“Shanghai has emerged as one of the fastest growing marine bunkering hubs and is expected to play a major role in the future supply of both traditional fossil fuels and emerging low-to-zero carbon fuels,” it said in a statement.

“The new Shanghai laboratory will provide comprehensive marine fuel testing services, enabling customers to benefit from further improved turnaround times and enhanced operational decision making.”

The facility will support vessel owners, operators, charterers and fuel suppliers, with rapid, independent analysis and technical expertise, helping stakeholders to manage fuel quality risks, protect assets and maintain regulatory compliance.

Dr. Malcolm Cooper, CEO at VPS, said: “VPS is pleased to announce the opening of our new Shanghai Laboratory, which will provide fuel quality testing for bunker fuels including methanol. China is central to the global shipping industry being the world’s largest shipbuilder, producer of shipping containers and operator of the biggest commercial fleet. Shanghai is therefore the perfect home for our latest laboratory, as VPS is the world’s leading fuel testing company”.

The investment comes as marine fuel volumes in Chinese ports continue to grow and customers increasingly demand faster testing and advisory services. The new facility further enhances the VPS global footprint, which already includes laboratories in Rotterdam, Singapore, Fujairah, Houston and Manchester, supported by an international team of technical experts, sales professionals and customer service specialists.

In addition to supporting conventional marine fuels, the Shanghai laboratory will provide testing and advisory services relevant to the industry’s growing adoption of low-to-zero carbon fuels, assisting customers to navigate emerging fuel quality performance and compliance challenges.

Andrew Morton, VPS MD-AMEA, stated: “The opening of our new laboratory in Shanghai’s Lingang New Area, positions VPS at the heart of one of China’s most important maritime and industrial growth hubs. This investment reflects our confidence in the Chinese maritime market, our commitment to supporting customers closer to where they operate and our belief that Asia will remain at the forefront of shipping’s energy transition.”

The Shanghai laboratory will serve both domestic and international customers operating throughout China and across the wider Asia-Pacific region, supporting ongoing growth in marine fuel testing demand and providing a platform for future expansion of VPS services within the Chinese maritime sector.

Photo credit: VPS
Published: 1 July, 2026

Bunker Fuel

AD Ports Group and IRH Global Trading to advance bunkering at Khalifa Port

Both signed a MoU, outlining potential collaboration in bunkering services to vessels calling at Khalifa Port and the development of alternative bunker fuels such as LNG, biofuels, and methanol.

Published

19 hours ago

July 1, 2026

Admin

AD Ports Group and IRH Global Trading to advance bunkering at Khalifa Port

AD Ports Group on Tuesday (30 June) said it has signed a Memorandum of Understanding (MoU) with IRH Global Trading Ltd. to explore strategic cooperation in bunkering services and alternative marine fuels at Khalifa Port.

The MoU outlines potential collaboration across a range of areas, including the provision of bunkering services to vessels calling at Khalifa Port, the development of alternative fuel solutions such as Liquefied Natural Gas (LNG), biofuels, and methanol, and the exploration of opportunities related to fuel storage infrastructure, terminal facilities, and fuel sampling and testing capabilities.

Saif Al Mazrouei, CEO, Ports Cluster – AD Ports Group, said: “This collaboration reflects our commitment to forging strategic alliances that create long-term, sustainable value.

“By working alongside trusted partners such as IRH, we are enhancing our capabilities and supporting the development of future-ready infrastructure and services that reinforce the UAE’s position as a leading global trade and logistics hub, in line with the vision of our wise leadership.”

Ali Rashed Alrashdi, Group CEO – International Resources Holding, said: “This collaboration with AD Ports Group reflects IRH’s commitment to build strategic partnerships that drive real economic impact.

“As we continue to develop our global energy trading platform, bunkering and alternative marine fuels represent a high-potential area of growth. We see Khalifa Port as an ideal base from which to explore these opportunities, and we look forward to working closely with AD Ports Group to bring them to life.”

Through this collaboration, AD Ports Group and IRH Global Trading aim to further enhance Khalifa Port’s value proposition as a multi-purpose, deep-water port that supports efficient, sustainable, and future-oriented maritime operations.

IRH Global Trading is a global commodities trading firm with interests across the mining and energy value chain and plans to build a diversified global minerals and energy trading platform, including LNG, Liquefied Petroleum Gas (LPG), crude oil, and petroleum products.

Photo credit: AD Ports Group
Published: 1 July, 2026