Bunker Holding profit before tax drops by 43% to USD 127 million in 2023/2024 FY

The financial year 2023/2024 stood out as a challenging year for Bunker Holding due to encountering geopolitical tensions, macroeconomic shifts, and mixed demands across shipping segments, according to the firm on Tuesday (25 June). 

In addition, by cause of unfavourable market conditions and political instability, Bunker Holding terminated its cargo activities in Africa that focused on non-maritime onshore customers.

Despite these challenges, Bunker Holding said it has managed to deliver a gross profit of USD 418 million and a profit before tax of USD 127 million, a drop by 43% from USD 222.7 million the year before, from continuing operations. 

This achievement is attributable to Bunker Holding’s well-diversified income stream across its broad range of trading clusters. In addition, owing to Bunker Holding’s financial robustness and resilient business model, the Group can report an equity base of USD 359 million.

Bunker Holding’s decline in revenue from USD 16.6 billion to USD 14.5 billion during the past financial year is a result of a decrease in price for marine fuel. Bunker Holding continues to sustain a strong market share and trading results in the market.

Throughout 2023/2024, Bunker Holding has continued investing in the green transition and actively engaging on multiple levels. Bunker Holding has been extending its reach and collaborating closely with strategic partners around developing low- and zero-carbon fuels and building the infrastructure for last-mile delivery.

“This past year, the green transition has really begun to take hold, and we have been experiencing an increase in demand for especially lower-carbon fuels. Bunker Holding has thus been mobilising to respond to this rise in demand as well as the increase in complexity as a result of the implementation of new environmental regulations,” says Keld R. Demant.

For 2024/25, Bunker Holding anticipates continued investments in low- and zero-carbon fuel projects.

Bunker Holding’s Annual Report will be submitted to the Danish Business Authority in July, once it has been finally approved by the boards and shareholders.

Related: Bunker Holding Group delivers ‘excellent annual result’ of USD 222.7 million in EBT

Photo credit: Bunker Holding
Published: 26 June, 2024