Bruce Barnard, Special Correspondent | May 10, 2012 9:25AM EDT
Greek container shipowner Danaos reported first quarter net income surged 72 percent from a year ago to $9.34 million as charter revenue grew 35.6 percent to $134.2 million.
The NYSE-listed owner of 62 container vessels said adjusted net income rose to $17.6 million in the three months to March 31 from $11.4 million in the same period in 2011.
Chief Executive John Coustas said the first quarter saw evidence of “the seeds of the container market recovery” as ocean carriers successfully pushed through freight rate increases.
“This development will put most liner companies back in the black for 2012 and will greatly reduce the counterparty risk that was troubling the market,” Coustas said.
The charter market became more active during the quarter with rates for some post-Panamax ships almost doubling and having a trickledown effect on large Panamax vessels.
Athens-based Danaos added 10 new ships to its fleet in the past year, which contributed $32.6 million revenue in the first quarter of 2012.
The company will take delivery of the final two 13,100 20-foot equivalent unit vessels on order by the end of June.
Contact Bruce Barnard at brucebarnard47@hotmail.com.
