D/S Norden (DNORD DC, Neutral, DKK 130)–1Q17 Results-Improvement in Dry Bulk Market Not Capitalised

DMFR – D/S NORDEN (DNORD) – Company Update – Product Tankers to Join the Dry Bulk Bandwagon?

Can Dry-Bulk Earnings Offset the Losses from the Tanker Segment?

Equity Research Analyst, Maritime sector, Drewry Maritime Financial Research

Ankush Kathuria CFA, FRM

Equity Research Analyst, Maritime sector

Maritime Sector, Equity & Credit Research

Drewry Maritime Financial Research

With no ties to other players in the shipping, finance or banking world, we provide a uniquely impartial view of the markets and companies we cover. Our parent organization, Drewry is a leading independent provider of research services to the maritime and shipping industry, employing over 100 professionals across an international network of offices in London, Delhi, Singapore and Shanghai. Combining our market-leading resources with seasoned sector expertise DFRS offers a highly differentiated and comprehensive range of investment and financial research services to lenders and prospective investors in publicly listed maritime and shipping companies. The full service of reports, supporting resources and sector orientated webinars provides our clients with the most complete picture of the organisations under coverage as is possible. We have been charting and analysing the world’s maritime markets for more than 40 years. This unrivalled intelligence and understanding provides the foundation of our research service. Our analysts have access to one of the most up-to-date, comprehensive and reliable sources of market insight and research data available today. We look at globally listed companies within the following sectors: Port Operators, Container Shipping, Container Manufacturing & Leasing, LNG Shipping, Dry Bulk Shipping and Tanker Shipping. Combine in-depth sector expertise with financial analysis focusing on over 50 stocks globally.

Equity Bottom-Up

D/S NORDEN ( DNORD DC) - Tanker Segment Continues to Drag Earnings<ul><li>
Tanker segment continues to drag earnings: D/S NORDEN’s (DNORD’s) TCE revenue declined 29% y/y to USD 170m in 3Q16, and was broadly in line with our estimate of USD 162m. TCE revenue for the dry bulk segment was USD 123m, lower than 2Q15, but was 10% higher than 2Q16 as rates have trended up since February. Meanwhile, the TCE revenue in the Tanker segment was down 47% y/y and 16% q/q to USD 47m as average rates for the MR vessels…</li></ul>

D/S NORDEN ( DNORD DC) - Tanker Segment Continues to Drag Earnings
Tanker segment continues to drag earnings: D/S NORDEN’s (DNORD’s) TCE revenue declined 29% y/y to USD 170m in 3Q16, and was broadly in line with our estimate of USD 162m. TCE revenue for the dry bulk segment was USD 123m, lower than 2Q15, but was 10% higher than 2Q16 as rates have trended up since February. Meanwhile, the TCE revenue in the Tanker segment was down 47% y/y and 16% q/q to USD 47m as average rates for the MR vessels…

D/S NORDEN ( DNORD DC) - Tanker Segment Continues to Drag Earnings