Business Highlights


Record low dry bulk market conditions significantly undermined our ability to generate satisfactory results in 2016

We recorded a net loss of US$86.5 million and positive operating cash flows of US$49.5 million

Our Handysize daily TCE earnings outperformed the market by 34%

Our rights issue raised new capital of US$143 million net

We generated cash proceeds of US$22million from the sale of towage and other non-core assets, and our exit from the towage sector is substantially complete

Our year-end cash position was US$269 million with net gearing of 34%

US$158 million of undrawn committed loan facilities exceeds US$119 million of remaining newbuilding capital commitments


Our market leading Handysize and Supramax business is operating more owned ships enabling greater control and service quality

Our fleet comprises 220 dry bulk ships including 96 owned, with a further 3 owned newbuildings joining our fleet by mid-2017

We continue to operate a large number of short-term chartered ships with which we can make a margin throughout the market cycle

We have covered 44% of our Handysize and 71% of our Supramax revenue days for 2017 at US$8,200 and US$8,680 per day net respectively

We have further reduced our owned Handysize operating costs to US$3,970 per day through scale benefits and careful cost control

Outlook & Position

Dry bulk market rates improved in the fourth quarter; indices have followed their typical seasonal decline in early 2017 but are well above levels of one year ago and sentiment in the industry is recovering

However, the market continues to be oversupplied and freight earnings are still below breakeven for many shipowners

We expect continued uncertain markets in 2017 and will continue to conduct our business efficiently and safely while astutely combining ships and cargoes to maximise our margins

Positive actions taken to stay strong and competitive, generate cash, grow our owned fleet and make ourselves a leaner dry bulk company should position us well both for continued challenging market conditions and a market recovery

Strategic Model

KEY VALUE DELIVERED: Our Ability to Outperform Market TCE Earnings

Matters of Key Strategic Focus

  • What We’re Doing to Deliver Our Strategy
  • Deepening our customer relationships
  • Investing in our people
  • Investing in our high-quality fleet
  • Safeguarding health, safety & environment
  • Increasing efficiencies & reducing costs
  • Enhancing corporate & financial profile
  • Evolving management & governance practices


My Annual Report

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