Navios Partners Reports Quarterly, Full-Year Losses
- Business & Finance
Greek owner and operator of dry bulk and container vessels Navios Maritime Partners wrapped up the fourth quarter of 2017 with a loss of USD 22.8 million, compared to a loss of USD 2.1 million in the corresponding period a year earlier.
Net loss for the year ended December 31, 2017, was USD 14.9 million, against a loss of USD 52.5 million posted a year earlier.
Revenue for the fourth quarter of 2017 was USD 59.3 milllion, up from USD 49.7 million seen in the same quarter of 2016.
Furthermore, revenue for 2017 rose to USD 211.7 million from USD 190.5 million reported in 2016.
During 2017, Navios Partners acquired seven drybulk vessels with an average age of 7.4 years for USD 156.2 million. The vessels had a combined capacity of 925,832 dwt.
Also in 2017, the company disposed of two older vessels, Navios Gemini S and Navios Apollon, for a sale price of USD 4.1 million and USD 4.8 million, respectively.
Moreover, Navios Partners inked a 10-year bareboat charter-in agreement for a Kamsarmax vessel of approximately 81,000 dwt, with the option to acquire the vessel after the end of the fourth year. The vessel is expected to be delivered within the second half of 2019.
In Janury 2018, the company agreed to buy two 2006-built Panamaxes for USD 22 million. The vessels are expected to be delivered to Navios Partners’ owned fleet within the first quarter of 2018. The company will finance the acquisition with cash on its balance sheet and USD 14.3 million bank debt maturing in 2023 and bearing interest at LIBOR plus 300 bps per annum.
Commenting on the quarterly and full-year results, Angeliki Frangou, Chairman and Chief Executive Officer of Navios Partners, said: “Navios Partners is a dynamic growth platform, with favorable operating costs and no near-term cash requirements. We have been investing in the future by enlarging and renewing our drybulk fleet; during the past 12 months, Navios Partners expanded its drybulk fleet by 37% and reduced the average age of this fleet by 12%.”
“In a recovering market, we are positioned to generate significant free cash flow,” Frangou added.
Navios Partners currently operates 37 vessels with a carrying capacity of 4.2 million tons and an average age of 9.8 years on a dwt basis, the company’s data shows.