Scorpio Tankers Inc. (NYSE:STNG) released its financial report for the quarter and year closed December 31, 2016 and announcement of a quarterly dividend. For the quarter closed December 31, 2016, the firm’s adjusted net loss was $29.4 million, which excludes a $0.2 million unrealized decline on derivative financial instruments. Net loss came at $29.7 million in the reported period.
The details
For the quarter closed December 31, 2015, the firm’s adjusted net income came at $36.3 million, which excludes write-off of deferred financing costs of $0.7 million and also a write-off of deposits worth a $0.7 million done for options to manufacture MR product tankers that perished unexercised. It also discounted an unrealized loss of $0.7 million on derivative financial instruments. The changes resulted in a total jump of the firm’s net income by $2.1 million. For the quarter closed December 31, 2015, the net income was $34.2 million.
On February 13, 2017, Scorpio Tankers announced a quarterly cash payout of $0.01 per share to shareholders as of February 23. The payment date is reported to be March 30, 2017. As of February 10, 2017, the shares outstanding stood at over 174 million shares.
Scorpio Tankers finalized a non-binding term sheet to offer and leaseback 3 MR tankers to an unrelated third party. Upon closure, the firm’s liquidity is anticipated to surge by almost $29 million after the debt repayment. It obtained a guarantee for a credit facility of up to $81.4 million from DVB Bank SE to refinance a preceding facility with DVB Bank, which financed 4 product tankers.
The company also obtained loan commitments from DekaBank Deutsche Girozentrale, Macquarie Bank Limited, the KEXIM and GIEK for an aggregate loan facility of up to $172 million. These proceeds of the facility are anticipated to be used to partly finance 8 MR product tankers that are presently under construction at HMD.
