Horizon Lines Reports 2Q Results
Horizon Lines, Inc. reported solid earnings for the second quarter of 2007. Net income for the second quarter of 2007 was $9.6m or $.28 per diluted share compared to net income of $6.4m or $.19 per diluted share for the second quarter of 2006. After adjustment to exclude the non-recurring loss on extinguishment of debt in 2007 and secondary offering expenses in 2006, and to retroactively apply tonnage tax to 2006, adjusted net income was $10.0 million or $.29 per diluted share in 2007's second quarter, versus $9.7 million or $.29 per diluted share in the second quarter of 2006. Operating revenue grew by $5.9 million or 2.0% in the second quarter of 2007 to $295.7 million, compared to $289.8 million for the second quarter of 2006. Operating income in the second quarter of 2007 was $22.9 million versus $22.4 million in 2006's second quarter. Absent non-recurring secondary offering expenses, adjusted operating income in the second quarter of 2006 would have been $23.3 million.Earnings before net interest expense, taxes, depreciation and amortization (EBITDA) was $39.5 million for the second quarter of 2007 compared to $39.8 million for the 2006 second quarter. Excluding the non-recurring loss on extinguishment of debt in 2007 and secondary offering expenses in 2006, adjusted EBITDA would have been $40.0 million in the second quarter of 2007 in contrast to $40.7 million for the second quarter of 2006.