Rickmers Maritime is a Singapore business trust formed to own and operate containerships under long-term, fixed-rate time charters to leading container liner companies. Financial highlights for the third quarter and nine months ended 30 September 2013 are as follows:
- Charter revenue stable at US$36.6 million
- Net profit surged 59% year-on-year to US$13.1 million
- Achieved vessel utilisation rate of 99.9%; Kaethe C. Rickmers’ charter extended for a
- further six months
- Distribution per unit of 0.6 US cent to be paid on 27 November 2013
Rickmers Maritime achieved an outstanding vessel utilisation rate of 99.9% in 3Q2013. Its fleet of 16 containerships is fully chartered out, all of which are on fixed-rate time charters with an average remaining charter period of 2.5 years. Moreover, the vessel Kaethe C. Rickmers’ charter to Mediterranean Shipping Company S.A. was extended during the quarter by a further six months, from 25 September 2013 to 24 March 20141.
Through existing charter agreements, the Trust has US$372.1 million of secured revenue between 1 October 2013 and the expiry of the last charter party contract in 2019. Rickmers Maritime’s fleet is fully employed in 2013 and, at this point, 83% employed in 2014. With the majority of the Trust’s fleet employed till 2015, the existing leases will continue to generate ongoing positive cash flow, barring any unforeseen circumstances.
Mr Thomas Preben Hansen, the Chief Executive Officer of RTM, commented, “Given hopes of an expected beginning of recovery in the container shipping industry next year, we will continue strengthening our balance sheet, positioning us to capitalise on growth opportunities as and when they arise. Until then, we remain in a resilient position, with our defensive fixed-rate charter agreements providing us with stable and positive cash flows.”