Dubai-based shipping company Gulf Navigation has reported an increase in its revenue during the first half of 2019, while net loss for the same period expanded.
The company delivered a net loss of AED 27.8 million (USD 7.5 million) in first half of 2019 compared to loss of AED 14.8 million (USD 4 million) during the same period last year.
Revenues however increased to AED 85.7 million (USD 23.3 million) from AED 71.1 million (USD 19.3 million) seen in the first half of 2018, representing a year-on-year rise of 21%.
During the first half, one of the company’s petrochemical tankers had an extended dry dock for the mandatory special survey work, which impacted the revenue and led to additional costs in the first half.
Gulf Navigation also incurred increased depreciation and finance costs on account of acquisitions in Q4 2018 and amortisation of the special survey drydock that was carried out on its chemical tankers, which impacted the net profit.
“We continue to work on the turnaround for GNH. The board has approved refinancing of certain liabilities, which we expect to improve the cash flow situation and clear long outstanding issues. Furthermore, we are preparing for the upcoming IMO 2020 regulations with the installation of scrubbers and completion of special survey this year,” Saeed Mubarak Al Hajeri, Chairman of the board, said.