Rickmers Maritime Q1 2014 Profit Slips a Little YoY

Posted by George Backwell
Monday, May 05, 2014
Shareholders' ship visit: Photo Rickmers Maritime

Container ship owners & charterers out Rickmers Maritime describe a stable set of results in the first quarter of 2014. Charter revenue decreased slightly by 4% from the US$35.5 million reported for the first quarter ended 31 March 2013 to US$33.9 million, largely due to the redelivery of two vessels during the period.

In the lead up to their new charters to Maersk Line, the two vessels, Henry Rickmers (formerly Ital Fastosa) and Richard Rickmers (formerly Ital Festosa) spent 19.7 days and 31.3 days respectively as at 31, March 2014 for preparation and positioning.

In addition, the fleet incurred a total of 31.1 days of unscheduled off-hire, with Kaethe C. Rickmers incurring 20.0 days of off-hire due to engine problems. As a result, fleet utilisation for 1Q2014 fell to 94.3%.

Vessel operating expenses increased by 13% to US$9.9 million in 1Q2014 from US$8.8 million in 1Q2013. A considerable percentage of this increase was due to bunker fuel consumed for Henry Rickmers’ and Richard Rickmers’ positioning voyages to their new charterer and certain expenses incurred due to Kaethe C. Rickmers’ engine problems.

Finance expenses, however, were reduced from US$7.0 million in 1Q2013 to US$5.5 million in 1Q2014 as a result of reduced outstanding loan balances and the expiry of interest rate swap contracts. Overall, Rickmers Maritime recorded a net profit after tax of US$9.8 million in 1Q2014, compared to US$10.7 million in 1Q2013.

Dividend
Maintaining a distribution per unit of 0.6 US cents for 1Q 2014, the Trust will distribute US$5.1 million to unitholders. The declared distribution will be paid to unitholders on 4 June 2014.

Outlook
Mr Thomas Preben Hansen, the Chief Executive Officer of RTM, commented, “Whilst the charter market remains under pressure as a result of the persistent over-supply of container ships in the market, Rickmers Maritime’s performance has been consistent due to its existing charter agreements
with reputable counter parties."

"As a result of our recent chartering activities, we have succeeded in locking in 98% of our tonnage exposure for 2014, bringing our secured revenue between 31 March 2014 and the expiry of our last charter party contract in 2019 to a total of US$311.3 million. With a number of our existing charter agreements expiring during 4Q 2014 and 2015, the uncertainty surrounding the timing of a charter market recovery poses a risk to the earnings and cash flows of the Trust. To this end, we will continue our chartering activities to ensure the best possible future employment for our fleet of quality vessels.”

About the Company
Managed by Rickmers Trust Management Pte. Ltd., Rickmers Maritime is a Singapore business trust formed to own and operate containerships mainly under long-term, fixed-rate time charters to leading container liner companies including CMA CGM, Hanjin Shipping Co. Ltd., Italia Marittima S.p.A., Maersk Line, Mediterranean Shipping Company S.A. and Mitsui O.S.K. Lines Ltd. Its objectives are to offer first class services to its customers, generate stable and growing cash flows and maximise value for its unitholders.
 

Maritime Reporter August 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

RYDLYME Marine Selects GoM Distributor

RYDLYME Marine has named R Carter & Associates, Inc. of Mobile, Ala. a new stocking distributor for the Gulf of Mexico area, targeting shipyards, larger workboats,

MN 100: Elliott Bay Design Group

The Company: Elliott Bay Design Group (EBDG) is a Seattle-based, employee-owned enterprise with offices in New Orleans and Ketchikan that provides full-service naval architecture,

MN 100: Dometic Marine

The Company: Dometic Marine is an engineering leader of innovative products for the global marine industry and offers a large worldwide sales and service network.

Contracts

Willard to Supply Patrol Boats for the Philippines

The U.S. Department of State awarded a contract to boatbuilder Willard Marine, Inc., to provide the Philippine National Police Maritime Group with patrol vessels

RYDLYME Marine Selects GoM Distributor

RYDLYME Marine has named R Carter & Associates, Inc. of Mobile, Ala. a new stocking distributor for the Gulf of Mexico area, targeting shipyards, larger workboats,

Kirby Selects ABS as Subchapter M Solutions Provider

Proactive effort shows commitment to safety and environmental protection. ABS, a provider of maritime shipping and offshore classification services, has been

Finance

Former CIA Spy Ship Becomes Victim of Oil Slump

A ship built by the CIA for a secret Cold War mission in 1974 to raise a sunken Soviet sub is heading to the scrap yard, a victim of the slide in oil prices.   Christened the Hughes Glomar Explorer,

Greece Wants EU Funding to Tackle Migrant Influx

Greece will ask the European Union for about 700 million euros to build infrastructure to shelter the hundreds of refugees and migrants arriving on its shores daily, the government said on Thursday.

Asia-Europe Box Rates Soar Again

Shipping freight rates for transporting containers from ports in Asia to Northern Europe jumped 29 percent to $763 per 20-foot container (TEU) this week data from

Container Ships

CMA CGM Launches 18,000 TEU Containership

Container shipping firm CMA CGM Group has taken delivery of its newest colossal containership, the 18,000 TEU, 400-meter-long CMA CGM Bougainville.   Now the

A Great Passion for Small Ships

Gottfried Knöbel owns almost 1,500 miniature model ships, many of them are Hapag-Lloyd ships. How did he end up with this collection?   In a quiet residential district in Cologne,

Busan Port Names Woo Ye-jong as New CEO

The Busan Port Authority (BPA) announced Woo Ye-jong has been named as its new CEO, as appointed by the Korean Ministry of Oceans and Fisheries.   Woo took office on July 31,

 
 
Maritime Careers / Shipboard Positions Maritime Security Maritime Standards Navigation Pipelines Port Authority Salvage Ship Electronics Ship Simulators Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.3430 sec (3 req/sec)