Danaos Corporation reports fourth quarter and full year results for the year ended December 31, 2012.
Financial highlights:
- Operating revenues of $151.8 million for the three months ended December 31, 2012 compared to $128.3 million for the three months ended December 31, 2011, an increase of 18.3%. Operating revenues of $589.0 million for the year ended December 31, 2012 compared to $468.1 million for the year ended December 31, 2011, an increase of 25.8%.
- Adjusted EBITDA1 of $112.4 million for the three months ended December 31, 2012 compared to $88.8 million for the three months ended December 31, 2011, an increase of 26.6%. Adjusted EBITDA1 of $431.7 million for the year ended December 31, 2012 compared to $318.6 million for the year ended December 31, 2011, an increase of 35.5%.
- Adjusted net income of $11.7 million, or $0.11 per share, for the three months ended December 31, 2012 compared to $16.1 million, or $0.15 per share, for the three months ended December 31, 2011. Adjusted net income1 of $60.5 million, or $0.55 per share, for the year ended December 31, 2012 compared to $61.2 million, or $0.56 per share, for the year ended December 31, 2011.
- We recorded an impairment loss of $129.6 million for thirteen of our older vessels, which are currently either on lay-up or on short-term charters expiring in 2013.
- We managed to improve our daily vessel operating cost by 7.3%, to $5,857 per day for the three months ended December 31, 2012 compared to $6,318 per day for the three months ended December 31, 2011.
- The remaining average charter duration of our fleet was 9.7 years as of December 31, 2012 (weighted by aggregate contracted charter hire).
- Total contracted operating revenues were $4.9 billion as of December 31, 2012, through 2028.
- Charter coverage of 81% for the next 12 months in terms of contracted operating days and 97% in terms of operating revenues
Danaos' CEO Dr. John Coustas commented:
Despite the challenging container market environment, in 2012 we managed to maintain the Company's profitability at the 2011 levels. Adjusted Net Income for 2012 came in at $60.5 million or 55 cents per share, compared to $61.2 million or 56 cents per share for 2011, effectively remaining stable, while Adjusted EBITDA increased by 35.5% to $431.7 million for 2012 compared to $318.6 million in 2011 as a result of our fleet expansion program that was concluded this year.