Upcoming AWS Coverage on Matson Post-Earnings Results

LONDON, UK / ACCESSWIRE / February 21, 2017 / Active Wall St. announces its post-earnings coverage on Scorpio Tankers Inc. (NYSE: STNG). The Company released its financial results for the fourth quarter and fiscal 2016 results on February 13, 2017. The shipping Company's revenue numbers declined on a y-o-y basis, but came in above market expectations. Register with us now for your free membership at:

http://www.activewallst.com/register/

One of Scorpio Tankers' competitors within the Shipping space, Matson, Inc. (NYSE: MATX), announced on February 02, 2017, that it will release its financial results for Q4 and full year 2016 on Tuesday, February 21, 2017, at 4:30 p.m. ET. AWS will be initiating a research report on Matson in the coming days.

Today, AWS is promoting its earnings coverage on STNG; touching on MATX. Get our free coverage by signing up to:

http://www.activewallst.com/register/

Earnings Reviewed

For the three months ended December 31, 2016, Scorpio Tankers reported Vessel revenue of $106.07 million compared to Vessel revenue of $178.40 million in Q4 2015. The Company's revenue numbers surpassed analysts' consensus of $105.3 million.

For Q4 2016, Scorpio Tankers posted net loss of $29.7 million, or $0.18 basic and diluted loss per share, compared to net income of $34.2 million, or $0.21 basic and $0.20 diluted earnings per share. On an adjusted basis, the Company reported adjusted net loss of $29.4 million, or $0.18 basic and diluted loss per share, which excludes a $0.2 million, or $0.00 per basic and diluted share, unrealized loss on derivative financial instruments. The Company's results topped Wall Street's expectations of a loss of $0.20 per share.

For FY16, Scorpio Tankers reported adjusted net loss of $10.7 million, or $0.07 basic and diluted loss per share, compared to the Company's adjusted net income of $221.3 million, or $1.37 basic and $1.21 diluted earnings per share, for FY15.

Significant events during Q4 2016

Scorpio tankers reported that it signed a non-binding term sheet to sell and leaseback three MR tankers to an unaffiliated third party. Upon completion, the Company's liquidity is expected to increase by approximately $29.0 million after the repayment of debt.

Scorpio Tankers received a commitment for a credit facility of up to $81.4 million with a final maturity of December 2021 from DVB Bank SE to refinance a previous facility with DVB Bank SE, which financed four product tankers.

Scorpio Tankers took delivery of STI Selatar, an LR2 product tanker that was under construction at Sungdong Shipbuilding and Marine Engineering Co., Ltd. ("SSME"), in February 2017.

Scorpio Tankers upsized the Company's BNP Paribas Credit Facility by $27.6 million, the proceeds of which were used to refinance the existing indebtedness on two MR product tankers.

Time and Bareboat Charter-in Update

In December 2016, Scorpio Tankers entered into agreements to bareboat-in seven Handymax ice-class 1A product tankers. The agreements include purchase options, which can be exercised through December 31, 2018. If the purchase options are not exercised, the bareboat-in agreements will expire on March 31, 2019. Scorpio Tankers noted that three of its vessels were previously time chartered-in by the Company for $15,600 per day. These time charter-in contracts were cancelled in January 2017 and replaced by the new bareboat contracts at a rate of $7,500 per day. The remaining four vessels will be chartered-in, on a bareboat basis, for $6,000 per day. Two of these vessels were delivered in February 2017 and the remaining two are expected to be delivered within Q1 2017.

In November 2016, Scorpio Tankers extended the time charter-in agreement for an MR product tanker that is currently time chartered-in for an additional year at $13,050 per day effective January 2017. The Company also has an option to extend the charter for an additional year at $15,000 per day.

In October 2016, the Company time chartered-in a 2006 built MR product tanker for one year at $13,500 per day. The Company also has an option to extend the charter for an additional year at $15,000 per day.

Securities Repurchase Program

In May 2015, Scorpio Tankers' Board of Directors authorized a Securities Repurchase Program to purchase up to an aggregate of $250 million of the Company's securities, which currently consist of its convertible Notes, which were issued in June 2014, Unsecured Senior Notes Due 2020 (SBNA), which were issued in May 2014, and unsecured Senior Notes Due 2017 (SBNB), which were issued in October 2014. As of the date of the earnings release, the Company had the authority to purchase up to an additional $153.3 million of its securities under its Securities Repurchase Program.

Since January 01, 2016, Scorpio Tankers repurchased an aggregate of 2,956,760 of its common shares at an average price of $5.58 per share; the repurchased shares are being held as treasury shares. The Company also repurchased $10.0 million aggregate principal amount of its Convertible Notes at an average price of $839.28 per $1,000 principal amount.

On February 13, 2017, Scorpio Tankers' Board of Directors declared a quarterly cash dividend of $0.01 per share, payable on or about March 30, 2017, to all shareholders as of February 23, 2017.

Stock Performance

At the close of trading session on Friday, February 17, 2017, Scorpio Tankers' stock price rose 2.87% to end the day at $4.30. A total volume of 3.56 million shares were exchanged during the session, which was above the 3-month average volume of 2.95 million shares. The Company's shares have a dividend yield of 0.93%. Additionally, the stock currently has a market cap of $730.01 million.

Active Wall Street:

Active Wall Street (AWS) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and micro-cap stocks. AWS has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

AWS has not been compensated; directly or indirectly; for producing or publishing this document.

PRESS RELEASE PROCEDURES:

The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst, for further information on analyst credentials, please email info@activewallst.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by AWS. AWS is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.

NO WARRANTY

AWS, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. AWS, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, AWS, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

NOT AN OFFERING

This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither AWS nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://www.activewallst.com/disclaimer/.

CONTACT

For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: info@activewallst.com
Phone number: 1-858-257-3144
Office Address: 3rd floor, 207 Regent Street, London, W1B 3HH, United Kingdom

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Active Wall Street