Bahri’s quarterly profit jumps 891% as freight rates climb
- Bahri's third-quarter net profit surged 890.7% year on year to SR5.09 billion ($1.36 billion), driven by increased freight rates and oil transportation activity.
- Revenue grew 503.7% to SR14.83 billion during the same period, with Bahri Oil leading the expansion with a 913% rise in quarterly revenue to SR13.33 billion.
- Freight rates for very large crude carriers on the Middle East Gulf–China route reached a record $28.28 per barrel in September, up significantly from August.
- Bahri has faced regional shipping disruptions and security risks, impacting vessel availability and increasing tanker rates.
- Despite significant profit growth, Bahri's earnings margin fell from 51% to 39%, attributed to a larger share of lower-margin hired vessels.
- The company is diversifying its fleet to include liquefied petroleum gas and ammonia transportation, with contracts for new vessels already in place.
