[050515.EN.SEA] Costamare Net Profit Flattens At US$26.3 Million With All Ships Chartered

ATHENS based Costamare, one of the world's leading shipowners and providers of containerships for charter, has posted a year on year flat first quarter net profit of $26.3 million, drawn on revenues of $120.9 million, which increased 5.2 per cent.

"We placed an order, together with our partners York Capital, for one additional 11,000-TEU containership, to be built by Hanjin (Heavy Industries and Construction) in Philippines," said chief financial officer Gregory Zikos.

"The ship is expected to be delivered in December 2016 and Costamare will own a 49 per cent stake," he said.

Pursuant to the framework agreement with York Capital, the company holds a 49 per cent equity interest in the relevant vessel-owning entity. Under the terms of the agreement the investment period with York Capital is set to expire on May 28, Hellenic Shipping News reported.

"Our joint venture with York has been progressing quite well and since inception we have done deals of US$1.1 billion. All investments have been performing well and we are in discussions with our partner regarding the extension of the investment period," said Mr Zikos.

"Regarding the market, there is a positive momentum; charter rates have been rising, the number of idle fleet is below two per cent and activity remains high," he said.

"We have no ships laid up, while the ships coming out of charter this year provide an upside based on today's market conditions."

During the first quarter the company entered into five chartering arrangements, with ships ranging in size from 1,504 TEU to 2,526 TEU for daily rates of between $7,000 and $9,500. They include two ships chartered to Evergreen, one to Yang Ming and one to Sea Consortium.

Source : HKSG.