USA: Conditions in Dry Bulk Market Remain Challenging, Eagle Bulk Shipping

 Conditions in Dry Bulk Market Remain Challenging, Eagle Bulk Shipping

Eagle Bulk Shipping Inc.  announced on May 15th its results for the first quarter ended March 31, 2013. 

For the first quarter of 2013, the Company reported net income of $1.4 million compared with net loss of $17.4 million,  for the comparable quarter of 2012.

In the comparable first quarter of 2012, the Company reported net loss of $17,433,529 or $1.11 per share, based on a weighted average of 15,750,821 diluted shares outstanding. Gross time and voyage charter revenues in the quarter ended March 31, 2013 were $73,618,991, compared with $54,823,130 recorded in the comparable quarter in 2012.

The increase in revenue is attributable to the settlement agreement with KLC, pursuant to which the Company recognized revenue of approximately $32.8 million, offset by lower time charter rates earned by the fleet and a marginal decrease in voyage charter revenues.

Sophocles N. Zoullas, Chairman and CEO, commented, “Conditions in the dry bulk market remain challenging and, for the most part, unchanged from our most recent earnings report.”

Net revenues during the quarter ended March 31, 2013 and 2012, were $72.2 million and $52.6 million, respectively.

“Though vessel supply dynamics are steadily improving, they have not yet aligned with demand fundamentals. Our focus in this environment continues to emphasize a flexible, opportunistic chartering strategy, access to the relatively stable minor bulk trade, and operational excellence and efficiency,” Mr.  Zoullas added.

The Company operated 45 vessels in both first quarters of 2013 and 2012.

Eagle Bulk Shipping, May 16, 2013