Ardmore Shipping Corporation has reported a net loss of $6 million for the year, or 18 cents per share. That includes a $6.5 million loss on the sale of the tanker Ardmore Seamariner, and compares with a net loss of $22.9 million in 2019.

Adjusted profit for 2020 was $500,000, or two cents per share.

The Bermudian-based company had a fleet of 27 vessels in operation at the end of 2020, including 21 medium range tankers and six product/chemical tankers.

The product tanker market experienced an extreme period of volatility last year. Anthony Gurnee, chief executive officer of Ardmore Shipping, said: “During the first half, MR [medium range] charter rates rose to record highs, peaking at $77,000 per day, while the second half saw charter rates reach new lows as the pandemic impacted oil demand and cargo volumes.

“Overall, despite the pronounced weakness in the fourth quarter, we are pleased to report a profitable year, with adjusted earnings of $0.5 million, eco-design spot MR performance of $15,990, and year-end cash at $58 million.”

Mr Gurnee said rates had increased in the first quarter of this year, driven by “modest economic recovery”.

He said: “Overall, we remain cautious about the first half of 2021, but believe the second half will bring rapidly improving market conditions and set the stage for a full recovery driven by above-trend demand growth and constrained product tanker supply growth.”

Mr Gurnee added: “We must not forget the challenges and hardships the ongoing pandemic presents, most of all for our seafarers, but also our shore staff in lockdown and in travel-related quarantine on our behalf. We acknowledge their sacrifices and want to thank them sincerely for their perseverance and professionalism.”

The company sold Ardmore Seamariner, a medium range tanker, for $10 million in December, which was paid upon delivery of the vessel last month.

Ardmore Shipping’s total net debt at the end of December was $347 million, down from $368 million in 2019.

The company plans to publish its first annual progress report on February 15.