NAP Reports Improved Results
Navios Maritime Midstream Partners L.P., an owner and operator of tanker vessels, has earned USD 18.4 million of revenue in the second quarter of 2015, up by USD 2.7 million when compared to USD 15.7 million for the same period in 2014.
The company also reported USD 14 million of EBITDA and had USD 5.4 million of net income, as released in the company’s financial report.
Net income for the three month period ended June 30, 2015 was negatively affected by USD 1.7 million write-off of deferred finance cost in association with debt prepayment. Excluding that item, adjusted net income for the period was USD 7.1 million compared to a USD 0.7 million loss for the same period in 2014.
The company also declared a cash distribution of USD 0.4125 per unit, providing an annualized distribution of USD 1.65 per unit and a current yield of 10.7%.
“As a consequence of the recent acquisition of two VLCCs, we anticipate increasing our distribution, commencing in the third quarter of 2015, by 2.4% — to USD 0.4225 per unit (USD 1.69 per unit annualized) and overall expect a 10% distribution growth reaching a quarterly distribution of USD 0.4525 per unit (USD 1.81 per unit annualized) by mid-2016,” said Angeliki Frangou, Chairman and Chief Executive Officer of Navios Midstream.
According to Frangou, the VLCC market fundamentals continue to improve.
“The decline in the price of oil helps to increase oil consumption and oil transportation. As a result, the 2015 year-to-date VLCC spot rate improved more than 100% to an average of approximately USD 56,000. Not only was the spot rate up significantly, but the charter market has become very active, with the number of long-term time charters fixed in 2015 year-to-date already significantly greater than the number of long term fixtures in each of the last four years,” he added.
Revenue for the six month period ended June 30, 2015 increased by USD 3.7 million to USD 35.1 million, as compared to USD 31.4 million for the same period in 2014.
The increase in revenue was mainly attributed to the profit share of USD 2.4 million and the acquisition of the Nave Celeste and the C. Dream in June 2015.