Jotun Marine Coatings is a world leading provider of marine coatings to the Newbuilding, DryDock and SeaStock markets. In addition, Jotun supplies coating solutions for megayachts and leisure yachts.
Adapting to a changing market
The newbuilding market improved in 2018, gaining strength in the second half of the year. While it is premature to assume this modest recovery signals the beginning of a sustainable, long term growth trend, Jotun anticipates improved results in the newbuilding market by the end of 2019. In the drydock market, activity slowed compared to last year, but Jotun recorded a modest increase in sales for the SeaStock concept. Jotun maintained its top market position in marine coatings, although profits were slowed by high prices for raw materials.
Meeting customer demand
The effects of low freight rates over the past five years have resulted in consolidation in all shipping segments, creating fewer, larger owners. At the same time, the introduction of strict regulations on emissions and ballast water treatment have put pressure on both yards and owners to stay in compliance. To help customers achieve their business goals, Jotun has realigned its business to develop products, solutions and digital tools to meet their challenges. For example, to help owners in the chemical tanker segment avoid lengthy cleaning and ventilation periods between loadings, Jotun launched Tankguard Flexline, a cargo tank coating that allows owners greater flexibility, long-term performance and improved vessel utilisation.
In the Drydock concept, Jotun utilises digital tools to collect data on the specific trade, average speed, cargo and time between scheduled vessel maintenance to recommend the best coating solution. In the SeaStock concept, Jotun has launched the SeaStock Management Solution, a service that includes strategic planning, product recommendations, improved order processing and logistics, training, and technical and business reviews.
Investing in data analytics
Looking ahead, Jotun will continue to meet demand for solutions that help owners to improve operational efficiency and comply with emerging regulations. While product development will continue to play an important role in Jotun’s offering, the company is investing in enhanced data analytics and decision support tools to help owners reduce costs and improve efficiency. Internally, Jotun will focus both on selling valued-added premium products and implementing cost control measures to improve profitability.