Ltd. reported a 14 percent decline in first-quarter profit as revenue fell and operating costs rose.
-based company reported quarterly net income of $14.2m, or 83 cents per share, compared with $17.1m, or $1 per share, in last year's first quarter. Operating revenue fell to $27.2m from $29.4m. Analysts were expecting a profit of 87 cents per share.
Prices for very large crude carriers continued downward early in the quarter, the company said, following a downward trend that began in November. The industry enjoyed a pricing spike in late January and early February, but rates then eased through the rest of the quarter, the company said. The company's total operating expenses grew to $11.8m from $11.4m in last year's first quarter. The company said the market for very large crude carriers has improved from April levels, but refinery maintenance in some areas may lower demand for oil, which could drag down rates. (Source: Houston Chronicle)