Danaos Corp. presented improved Q3 2018 results on Thursday, amid a still “soft” container shipping market. Moreover, a recent restructuring of its loan portfolio also brightened its balance sheet.
The NYSE-listed shipping company, led by Dr. John Coustas, reported loan restructuring for 2.2 billion USD worth of loans maturing in December 2018. Additionally, 99.3 million shares, representing 47.5 percent of the company’s share capital, were distributed to creditors.
Harmonized profits in Q3 2018 reached 37.5 million USD, or 0.23 USD per share, compared to 30.1 USD during the same quarter of 2017, an increase of 24.6 percent.
Over the first nine-month period of 2018, profits reached 94.6 million USD, up from 83.7 million USD during the same period in 2017.
Danaos revenue in the third quarter of 2018 reached 117.8 million USD, up by 3.7 percent in Q3 2017; 343.1 million USD over the Jan-Sep 2018 period, from 337.6 million USD in the first nine months of 2017.
EBITDA for Q3 2018 increased by 3.6 percent compared to Q3 2017: 82.7 million USD compared to 79.8 million USD.
Danaos decided to install scrubbers on six vessels and is looking to equip a further five ships with these systems.
Danaos said it has committed to installing exhaust cleaning systems on six boxships of which two are owned by the company’s joint venture Gemini Shipholding Corporation.
“These vessels have been chartered out for periods of at least three years in duration and since these are all vessels that are currently on short term charters, these transactions significantly improve income visibility,” John Coustas, Danaos’ CEO, commented.
In addition, Danaos unveiled it is currently in discussions to install scrubbers on five more containerships.
“Danaos has been actively focused on positioning our fleet ahead of the implementation of the new regulations,” Coustas said.