Navios Holdings Benefits from Improved Charter Markets
Greek shipping firm Navios Maritime Holdings delivered higher revenue in the first quarter of 2018 driven by healthier charter markets.
Revenue from dry bulk vessel operations for the three months ended March 31, 2018 was USD 64.7 million as compared to USD 51.5 million for the same period in 2017.
The increase was mainly attributable to a rise in the time charter equivalent (TCE) per day by 39.8% to USD 10,983 per day in the first quarter, as compared to USD 7,857 per day in 2017.
The company’s net loss for the quarter reached USD 40.9 million against a net loss of USD 48.7 million reported in the same quarter a year earlier.
“I am pleased with the results of the first quarter of 2018,” Angeliki Frangou, Chairman and Chief Executive Officer, said, adding that the company is “beginning to see the effect of healthier charter markets on our business results.”
In April 2018, Navios Holdings agreed to charter-in one Panamax vessel under a ten-year bareboat charter with purchase option. This vessel is expected to be delivered in the fourth quarter of 2019.
Navios Holdings increased its fleet by 11% through the addition of one Capesize and nine Kamsarmax vessels during 2017-2018 YTD. In addition, the company has sold three vessels during the same period having an average age of 16.8 years. The fleet average age has decreased by 13%, basis fully delivered fleet.
As of May 6, 2018, Navios Holdings has chartered-out 78.5% of available days for the remaining nine months of 2018, out of which 36.5% on fixed rate and 42% on index or having profit sharing arrangements.
The average contracted daily charter-in rate for the long-term charter-in vessels for the remaining nine months of 2018 is USD 12,878.