Uni-Fuels Holdings (Uni-Fuels), the ultimate parent of Singapore-based marine fuels trading and brokerage firm Uni-Fuels Pte Ltd, on Friday (25 October) announced plans for an initial public offering (IPO) on Nasdaq Capital Market.

In a filing with the United States Securities and Exchange Commission (SEC), the firm said it intends to offer 3 million shares at a price range of between USD 4 to USD 5 per share; leading it to raise between USD 12 to USD 15 million for the IPO.

It expects a market capitalisation of around USD 150 million after listing.

In the SEC filing, Uni-Fuels said it is a service provider of marine fuels solutions headquartered in Singapore. The Group’s history can be traced back to October 2021 when its operating subsidiary, Uni-Fuels Pte Ltd, was established in Singapore.

The company markets, resells and brokers marine fuels products such as very low sulphur fuel oil (VLSFO), high sulphur fuel oil (HSFO), and marine gas oil (MGO). It offers these products to shipping companies and marine fuels suppliers worldwide in-port and offshore.

Uni-Fuels operates an integrated business model where it serves customers through two operating models, sales of marine fuels solutions and brokerage (i.e. acting as intermediary between marine fuels suppliers and customers for a commission).

In the sales model, it controls and manages the customer relationship throughout the entire transaction and provides value-added solutions such as trade credit, financing, risk management, market intelligence and operational expertise.

In the broker model, the company refers the customer to a third-party supplier in exchange for a brokerage fee. In a sales transaction, it manages and guarantees the supply of marine fuels to the customer while it procures the marine fuel, including its delivery, from a third-party supplier. In a brokerage transaction, the third-party supplier will manage and guarantee the supply of marine fuels to the customer.

During the two years ended December 31, 2023, the company have arranged for marine fuel supply, under both its reselling and brokerage business, at 103 geographical ports worldwide, of which 35.9% of the supplies were carried out in South East Asia, 27.2% in North East Asia, 8.7% in South Asia, 8.7% in North America, 7.8% in Europe, 3.9% in South America, 3.9% in Middle East, 2.9% in Africa and 1.0% in Central America.

During the two years ended December 31, 2023, Uni-Fuels arranged for marine fuel supply to 88 customers, of which 77.3% are based in South East Asia, 15.9% in North East Asia, 4.6% in Europe and 2.3% in Middle East.

“Our customers are mainly shipping companies operating in market sectors such as bulk, tanker, offshore, container, general cargo, tug and barge, car carrier, cruise, yacht and dredging. Our customers also include other marine fuel suppliers operating in similar capacity as our Group,” it said in the filing.

The company recorded a net income of USD 1.2 million and USD 2 million for the years ending on December 31, 2023 and December 31, 2022 respectively.

Sales of marine fuels increased by approximately USD 40.6 million, or 137%, from approximately USD 29.6 million for the year ended December 31, 2022, to approximately USD 70.2 million for the year ended December 31, 2023.

“This increase was due to our strategic efforts to enhance our core business activities within the sales sector. We successfully expanded our team by increasing the number of employees in our sales and marketing department to conduct sales of marine fuels using our own resources, which led to a significant expansion of our customer base and an increase in the number of ports served during the year ended December 31, 2023,” the company said in the filing.

“The number of customers and ports related to the sales of marine fuels increased significantly from 13 customers and 30 ports in the year ended December 31, 2022 to 83 customers and 51 ports during the year ended December 31, 2023.”

“Our successful expansion into new customer base and supply ports led to in an increase in the number of customers and ports where we arrange marine fuels supply for our customers, and resulted in a substantial increase in our revenues.”

Photo credit: Uni-Fuels Holdings
Published: 4 November, 2024

New York-listed global energy management company World Kinect Corporation on Thursday (24 October) recorded a 4% on year decrease in net income for the third quarter (Q3) of 2024.

The company posted net income of USD 33.5 million in Q3 2024, 4% lower than net income of USD 34.9 million seen during Q3 2023.

Revenue for its combined aviation, land and marine segments in Q3 2024 was USD 10.49 billion, a 0.09% decrease from revenue of USD 12.25 billion in Q3 2023.

Specifically, the marine segment generated gross profit of USD 37.2 million in Q3 2024, an increase of 7% on year from USD 34.6 million in Q3 2023, principally due to a higher profit contribution from the company’s resale businesses.

In total, WFS sold 4.0 million metric tonnes (mt) of bunker fuel during Q3 2024, marking no changes from 4.1 million mt of marine fuels during the similar period of last year.

"We delivered solid results in the third quarter, with our aviation business delivering strong seasonal performance," said Michael J. Kasbar, Chairman and Chief Executive Officer. 

"Looking forward, we remain dedicated to driving growth in our core business activities, worldwide, while continuing to refine our land portfolio, which should further enhance our operating efficiencies and improve returns."

Photo credit: Shaah Shahidh on Unsplash
Published: 25 October 2024

CBL International Limited (CBL), the listing vehicle of Banle Group (Banle), a marine fuel logistic company in the Asia-Pacific region, on Thursday (12 September) announced its unaudited financial results for the six months ended 30 June.

CBL said its gross profit for the period was approximately USD 2.72 million, a decrease of 32.2% compared to USD 4.01 million for 1H 2023. 

The firm said the decline was primarily driven by the reduction in premium sold to customers and led to lower gross profit per tonne, which was partially offset by an increase in volume sold.

CBL also reported its Consolidated revenue for 1H 2024 increased by 44.4% to approximately USD 277.23 million, compared to USD 191.96 million in the same period in 2023. 

“This significant growth was driven by a 39.4% year-over-year increase in sales volume, attributed to the expansion of the Company's global supply network and higher marine fuel demand due to geopolitical factors,” it said. 

The company announced the pricing of its initial public offering on Nasdaq Capital Market on 22 March last year.

“We are pleased with the robust growth in our revenue and sales volume during the first half of 2024, despite the challenging market conditions. Our strategic initiatives, including the expansion of our service network and our focus on sustainable fuel solutions, have positioned us well to navigate these challenges and capitalise on emerging opportunities,” said Teck Lim Chia, Chairman & CEO of Banle Group. 

“While the current market environment has pressured our margins, we remain confident in our long-term strategy and our ability to deliver value to our shareholders.”

Other Financial Highlights:

• Operating Expenses: Operating expenses rose by 64.0% to approximately USD 4.12 million, up from USD 2.51 million in 1H 2023. This increase was attributed to higher selling and distribution expenses related to our sales growth, strategic expansion in the Company's supply network to new geographic areas, and the development of our biofuel operations.
• Net Income: The company reported a net loss of approximately USD 1.62 million, compared to a net income of USD 1.15 million in 1H 2023. The loss was driven by lower gross margin and higher operating costs.
• Cash Flow: Net cash provided by operating activities was approximately USD 2.30 million, a significant improvement from a cash outflow of USD 7.24 million in 1H 2023, reflecting better management of working capital.
• Cash position: As of June 30, 2024, Banle's consolidated cash balance increased by approximately USD 2.29 million, or 30.9%, to USD 9.69 million, compared to USD 7.40 million as of December 31, 2023. This increase was primarily driven by improved working capital management. The Company also reported a significant increase in accounts receivable and accounts payable balances, reflecting the growth in its sales activities.

Operational Highlights:

• Global Network Expansion: As of June 30, 2024, Banle expanded its global service network from 36 ports at our IPO in March 2023 to over 60 ports across Asia, Europe and Africa. This strategic expansion has enabled the Company to secure new bunkering business opportunities, particularly in European markets where environmental regulations are increasingly stringent. The opening of the Company's new office in Ireland in late 2023 has bolstered our market coverage and enhanced local sourcing capabilities. Notably, the Company completed inaugural bunkering services through a local physical supplier in Mauritius in May 2024, further strengthening our market presence.
• Biofuel Initiatives: Banle continued its commitment to sustainability by expanding its B24 biofuel operations, obtaining ISCC EU and ISCC Plus certifications in 2023. The Company successfully commenced biofuel bunkering services through local physical suppliers in Hong Kong, China, and Malaysia, positioning itself as a pioneer in sustainable fuel solutions. The B24 biofuel blend, which includes 24% UCOME (used cooking oil methyl ester), offers a 20% reduction in greenhouse gas emissions compared to conventional marine fuels, aligning with global decarbonisation efforts.
•  Response to Macroeconomic Environment: The global economy has shown signs of moderate growth in 2024, with emerging markets, particularly in Asia, driving this recovery. However, the shipping industry continues to face challenges such as fluctuating freight rates, port congestion, and disruptions in major trade routes due to the ongoing Red Sea Crisis. Banle has proactively adapted to these conditions, coordinating increased fuel supplies in Asian ports to meet heightened demand, ensuring that our customers' needs are met despite logistical challenges.

Looking ahead, Banle said it remains focused on expanding its market presence, particularly in the biofuel sector, and continuing to enhance its global supply network. 

Related: Banle Group achieves 70% increase in port coverage since Nasdaq listing
Related: Exclusive: Banle Group sets sights on expanding bunker supply network with successful IPO on Nasdaq
Related: Malaysia: Straits Energy associate CBL International to be listed on Nasdaq

Photo credit: Essow on Pexels
Published: 13 September, 2024