Stolt Nielsen said it had a net profit of $6.7 million in the third quarter ending Aug. 31, compared to $22.2 million in the same period a year earlier.
Operating revenue was $516.4 million in the third quarter of this year, compared to $529.8 million in the third quarter of 2011.
Stolt Nielsen is a diversified company whose operations include parcel tankers, tank terminals, tank containers, and aquaculture. It is also a partner in a company that owns eight very large gas carriers (VLGCs) that transport liquefied petroleum gas.
Niels G. Stolt-Nielsen, chief executive officer, said "Stolt-Nielsen
Limited's weakened result in the third quarter reflects the underlying
weakness in the parcel tanker market driven by a slowing global
economy. Stolt Tankers reported an operating loss, as overall market
conditions remained soft and unscheduled drydockings resulted in fewer
"Lower results at Stolthaven Terminals were attributable
to a provision taken towards the costs from the flooding of our New
Orleans terminal due to Hurricane Isaac. At Stolt Tank Containers,
excluding the change to the salvage value of the containers, results
were slightly down. However, fundamentals remain healthy.
Farm reported an operating loss due to a negative inventory adjustment,
but revenues were also down on seasonally lower volumes sold. A bright
spot to report is the strengthening VLGC market," he said.