[120511.EN.SEA] Textainer First Quarter Profit Up 39pc To US$45.5 Million On 31pc More Sales

SAN FRANCISCO's big container lessor, Textainer, has posted a 39 per cent first quarter year-on-year profit increase to US$45.5 million drawn on revenue a 31 per cent increase in revenue to $91.2 million.

The company also announced that it has ordered 166,000 TEU in new dry boxes and 9,000 TEU in reefers for $506.5 million, augmenting its stock of 2.4 million TEU, thus making Textainer the biggest lessor in the industry, reported Newark's Journal of Commerce. 

The new containers will be delivered before July. Textainer reported that daily rental revenue rose 8.2 per cent and utilisation rates increased 8.1 per cent to 98.2 per cent in the quarter.

"We expect utilisation to remain in the mid- to high-90 per cent range during 2011," said CEO John Maccarone. "So far this year, returns of older containers by our customers have been minimal primarily due to the high cost required to buy or lease replacements, which resulted in extensions of expired leases, usually at higher rental rates."

Container lessors have benefited from tight supply that has boosted lease rates and pushed up prices for new and used containers, said JoC. Many shipping companies are leasing containers instead of buying as they rebuild their balance sheets after 2009, when container lines lost more than $15 billion, it said.

Separately, CAI International reported a 282 per cent profit increase last month after 82 per cent more sales. TAL International reported a 160 per cent profit increase and announced that it had ordered $450 million in containers for delivery this year.

Source : HKSG, 10.05.11.