Oslo Stock Exchange-listed Belships has reported a jump in profits and revenue in the second quarter of this year after expanding its fleet. The company reported a net profit of $31.6m, compared to $22.5m in the same period last year. Operating income also increased from $140.4m to $190.4m over the same period. “The increase in net result is mainly caused by the improved freight market and Belships’ increased fleet,” the company said in its earnings statement.

Belships owns and operates a fleet of 31 bulk carriers. Net freight revenue for owned vessels was $54.6m in the second quarter of 2022, compared to $32.6m in 2021. The company acquired five modern ultramax bulk carriers, and sold one vessel, in the second quarter period.

However, EBITDA contribution from inhouse cargo trading division Lighthouse Navigation fell to $9.4m in the second quarter, compared to $14.5m last year. Despite the dip Belships said Lighthouse Navigation “continues to deliver good results.”

In a positive development for Belships, it declared several purchase options on Japanese-leased vessels at prices below the current sale and purchase market. “Belships’ fleet has increased and improved with only modest cash investments, signaling the competitive advantage Belships has in sourcing ship finance. The Japanese-designed bulk carriers entering the fleet represent the highest quality and lowest fuel consumption available in the market today,” the company said.

Belships remains confident about the prospects for the supramax and ultramax markets in the future despite a recent softening of rates since July. “Looking ahead, towards 2023 and 2024, the supply side as observed from the number of deliveries and the publicly quoted orderbook for our segment is historically low. On the back of stable demand, we remain optimistic in terms of market prospects,” Belships said.