Western Bulk Reports $66 Million Profit for 2022

For the second half of 2022, Oslo-headquartered dry bulk shipping company Western Bulk generated a record net profit after tax of $28.6 million, reaching a full-year net profit after tax of $66 million from $1.6 billion in gross revenues. That is the second-best full year result in the company’s history, only outperformed by last year’s net profit after tax of $81 million for the full-year of 2021.

Entering the second half of 2022, Supramax market rates were at about $25,200/day and declined more or less continuously over the six-month period, ending the year at about $10,600/day.

"With focus on good craftsmanship, and by trading the short-term market, Western Bulk managed to utilize the market decline by covering cargo commitments with vessels at lower rates," the company said. "In particular spot arbitrage trading did well, as decision-making has been improved through the use of data combined with good cooperation between regions.

"The high market volatility measured in USD as seen in 2021 and 2022 has come down as rates have declined. Currrent Supramax spot rates are at about $7.500/day, and the global dry bulk market is expected to face continued headwinds in the near term before starting another upward cycle towards the end of 2023. The company therefore anticipates lower results in the first half of 2023 compared to the second half of 2022."

Based on the results, Western Bulk declared a quarterly dividend of NOK 3 per share for the fourth quarter, totaling a dividend of $10 million.