Container ship owner-charterer Seaspan reported $35.5 million in normalized net earnings for the fourth quarter, a 31.5 percent increase from a year earlier, and authorized the repurchase of up to $50 million of its stock.
Normalized net earnings exclude special items such as adjustments in the value of financial instruments that fluctuate widely over the life of the instruments. Including those items, net earnings dropped 83 percent to $23.5 million.
For all of 2011, Seaspan’s normalized net earnings rose 29.9 percent to $123.4 million. CEO Gerry Wang said the company “grew both its fleet and revenue stream under contract, achieved strong utilization and increased net earnings and cash flow.”
Adjusted earnings before interest, taxes, depreciation and amortization rose 38.6 percent to $118.4 million in the fourth quarter and 43.8 percent to $416.4 million for the year.
The company took delivery of 10 ships last year that were immediately chartered out, bringing its fleet to 65 ships at the end of 2011. The new ships included four ships with capacities of 13,100 20-foot-equivalent units that were chartered to Cosco.
Vessel utilization equaled 99.5 percent in the fourth quarter and 99.3 percent for the full year.
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