23 Jul 2008 07:00
Goldenport Holdings Inc.
Athens, 23rd July 2008
INTERIM MANAGEMENT STATEMENT
Goldenport Holdings Inc. ("Goldenport" or "the Company"), (LSE: GPRT) the international shipping company that owns and operates a fleet of containers and dry-bulk vessels, releases today the update on trading of its fleet as of 22nd July 2008 and the second Interim Management Statement for the period from 1 April 2008 to 30 June 2008.
Operational Fleet Forward Coverage:
The percentage of available days of the fleet already fixed under contracts (assuming latest charter expiration and exercise of all additional hire periods under charter) is as follows, as of 22nd July:
| 2008(1) (2) | 2009(1) (2) | 2010(1) (2) | |
| Total Fleet | 100% (95%) | 84% (74%) | 55% (49%) |
| Containers | 100% (96%) | 90% (89%) | 71% (67%) |
| Bulk Carriers | 100% (93%) | 73% (50%) | 26% (21%) |
(1) Percentage of available days of the fleet fixed under contract as reported on 8 May 2008 is given in brackets
(2) The percentages above include only the currently operational fleet of 22 vessels and the vessel 'Fortune' (after the sale of 'Ios' and 'Samos') and exclude the eight new-build vessels for which we expect delivery in the future.
Estimated Revenue Coverage from Operational Fleet:
The estimated total revenue for the years 2008, 2009 and 2010 deriving from contracts already fixed for the operational part of the fleet is US$ 354 million (US$ 308 million as of 8th May), assuming latest charter expiration and exercise of all additional hire periods under charter. This calculation reflects the sale of 'Ios' and 'Samos' and excludes the eight new-build vessels for which we expect delivery in the future.
Fleet Employment Profile:
| Operational fleet | ||||||
| Vessel | Type | Capacity | Rate (US$) per day | Charter Expiration | ||
| Earliest | Latest (1) | |||||
| Containers | TEU | |||||
| 1 | Fortune (2) | Post Panamax | 5,551 | 38,000 | Nov-12 | Jan-13 |
| 2 | Bosporus Bridge | Sub Panamax | 3,720 | 14,750 | Feb-12 | Aug-12 |
| 3 | MSC Finland | Sub Panamax | 3,032 | 16,500 | Feb-10 | Apr-10 |
| 4 | MSC Scotland | Sub Panamax | 3,007 | 20,770 | Sep-09 | Nov-09 |
| 5 | MSC Anafi | Sub Panamax | 2,420 | 20,500 | Apr-09 | Apr-09 |
| 23,000 | Jun-11 | Jul-11 | ||||
| 6 | MSC Socotra | Sub Panamax | 2,258 | 14,350 | Mar-13 | May-13 |
| 7 | Howrah Bridge | Sub Panamax | 2,257 | 14,180 | Jul-09 | Sep-09 |
| 8 | MSC Himalaya | Sub Panamax | 2,108 | 12,700 | Dec-08 | Dec-08 |
| 14,500 | Jul-10 | Sep-10 | ||||
| 9 | MSC Accra | Sub Panamax | 1,889 | 14,200 | Jun-12 | Aug-12 |
| 10 | Gitte (3) | Handy | 976 | Euro 9,300 | Aug-09 | Dec-10 |
| 11 | Brilliant | Handy | 976 | 10,750 | Nov-08 | Dec-08 |
| 12 | MSC Mekong | Handy | 962 | 6,150 | Mar-09 | Mar-09 |
| 7,000 | Jan-11 | Mar-11 | ||||
| 13 | MSC Emirates | Handy | 934 | 7,000 | Feb-09 | Feb-09 |
| 7,000 | Dec-11 | Feb-12 | ||||
| 14 | Glory D | Handy | 946 | 9,600 | Feb-09 | Apr-09 |
| 15 | Achim | Handy | 930 | 8,000 | Oct-08 | Dec-08 |
| 16 | Tuas Express | Feeder | 485 | 6,750 | Nov-08 | Dec-08 |
| Dry Bulk | DWT | |||||
| 17 | Vasos (4) | Capesize | 152,065 | 23,950 | Feb-11 | Aug-12 |
| 18 | Gianni D | Panamax | 69,100 | 51,500 | Dec-08 | Apr-09 |
| 19 | Athos | Panamax | 67,515 | 19,300 | Apr-10 | Aug-10 |
| 20 | Alex D | Handymax | 52,315 | 57,000 | May-09 | Jun-09 |
| 21 | Limnos | Handymax | 52,266 | 50,000 | Jan-09 | Apr-09 |
| 22 | Lindos | Handymax | 52,266 | 14,500 | Jul-09 | Nov-09 |
| 23 | Tilos | Handymax | 52,266 | 43,500 | Sep-09 | Nov-09 |
| Vessels under construction | ||||||
| Vessel / Yard name | Type | Capacity | Scheduled Delivery | |||
| Containers | TEU | |||||
| 24 | Jiangsu Yangzijiang | Sub Panamax | 2,500 | 2010 | ||
| 25 | Jiangsu Yangzijiang | Sub Panamax | 2,500 | 2011 | ||
| Vessel or Yard name | Type | Capacity | Scheduled Delivery | Rate (US$) per day | ||
| Dry Bulk | DWT | |||||
| 26 | COSCO (6) | Supramax | 57,000 | 2009 | 17,650+50% profit share at BSI + 5% | |
| 27 | COSCO (6) | Supramax | 57,000 | 2009 | 17,700+50% profit share at BSI + 5% over 18,200 | |
| 28 | COSCO (6) | Supramax | 57,000 | 2009 | 25,000 | |
| 29 | COSCO | Supramax | 57,000 | 2009 | - | |
| 30 | JES (5) (6) | Supramax | 53,800 | 2008 | 18,000 | |
| 31 | JES (5) | Supramax | 53,800 | 2009 | Commercially managed by Glencore AG | |
| (1) Represents last day on which the charter may redeliver the vessel assuming exercise of all additional hire periods under charter | ||||||
| (2) The vessel Fortune is under reconstruction and is expected to commence service within quarter 4 | ||||||
| (3) The new charter of the vessel Gitte is received in Euros | ||||||
| (4) Vasos will undergo scheduled dry-docking within Quarter 4, 2008. No other vessel has scheduled dry-docking in 2008 | ||||||
| (5) Both vessels owned under a 50:50 joint venture with Glencore AG | ||||||
| (6) The charter term is for three years from delivery | ||||||
Second Quarter 2008, Selected Financial and Operating Data:
| Balance Sheet Data (in US$ million): |
| 30 June 2008 (Unaudited) |
| Gross Debt | 144.0 | |
| Cash | 47.7 | |
| Net Debt | 96.3 | |
| Net Debt to book capitalization | 28.2% | |
| FLEET DATA: |
| Quarter 2, 2008 |
| Average number of vessels in operation | (1) | 23.2 |
| Vessels on dry-docking within the period | (2) | 4 |
| Number of vessels at end of period: | ||
| -Operating | (1) | 22 |
| -Under reconstruction | 1 | |
| -New Buildings under construction | 8 | |
| Ownership days | (1) (3) | 2,112 |
| Available days | (1) (3) | 1,941 |
| Operating days | (1) (3) | 1,865 |
| Fleet utilization | 96.1% | |
(1): Number of vessels in operation, ownership, available and operating days in first quarter, include the vessel 'Ios' that was sold on 5th May 2008 and 'Samos' that was sold on 17 June 2008.
(2): The vessels MSC Socotra, Gianni D, MSC Finland and Ios underwent scheduled dry-docking within the second quarter.
(3): Ownership, available and operating days exclude the vessel Fortune and the 8 vessels that will be delivered in a future date.
Second Quarter 2008, Review of Operations:
During the second quarter, trading was in line with management's expectations.
During the quarter, four vessels underwent scheduled dry-docking, thus reducing the fleet available days. The Company utilised the dry-docking period to perform additional maintenance to the vessels, which has been accounted for as part of operating expenses.
Fleet utilisation for the quarter was 96.1% (98.9% in the previous quarter) mainly due to the 1977-built vessel 'Athos', which incurred an electrical failure of its cranes while discharging. The failure resulted in significant delays in the discharging process due to lack of ashore facilities.
During the quarter, the Company has repaid US$ 6.8 million of scheduled loan instalments and US$ 10 million to the committed credit line. As of 30th June the net debt was US$ 96.3 million and net debt to book capitalisation was 28.2% in line with the Company's conservative gearing policy.
Notification of interim results:
Goldenport Holdings Inc. will be announcing its interim results for the six months ended 30th June 2008 on Thursday 28th August 2008.
CEO Statement:
Captain Paris Dragnis, Chief Executive Officer of Goldenport, commented: "Our defensive chartering strategy of employing our vessels on time charters allows us to provide to our shareholders high visibility of earnings and sustainable cash flows, which we believe is vital in the current uncertain capital market conditions.
We have already secured under period employment 100% of the available days for 2008, 84% for 2009 and 55% for 2010 for our operational fleet with some contracts also extending out to 2013, especially in the containers segment. This translates to US$ 354 million of revenue already fixed under period employment.
As of today we have also secured period employment for four of our six new build bulk carriers for a period of three years from their respective delivery dates. Although these contracts are not included in the calculations of forward coverage and fixed revenue, they secure our cash flows from the delivery of the vessels.
We welcome the first charter of the vessel 'Fortune' which has been employed at US$ 38,000 per day for four years from fourth quarter 2008. The vessel will contribute in full to 2009 profitability. The acquisition and full reconstruction of this 1996-built fire damaged vessel, demonstrates our ability to enter into innovative and accretive transactions which enhance shareholder value for the longer term.
During the second quarter of the year four vessels underwent scheduled dry-dockings which reduced our operating days. For the remaining of the year, we have only one more dry-docking scheduled in the fourth quarter, so we expect a commensurate increase in our operating days in the second half of the year.
In May and June we took advantage of the firm second-hand market in the dry-bulk sector by selling the fully depreciated bulk carriers 'Ios' and 'Samos', realising more than US$ 33 million of profit on the disposals. The proceeds from the sales will be utilised in full to expand the fleet with younger tonnage, thereby expanding the economic life and improving the quality of revenues of the Company's asset base.
With our strong and stable cash flows and low gearing, Goldenport is today strategically placed to take full advantage of market opportunities further enhancing shareholder value. In this context we continue to evaluate and consider a number of opportunities for the acquisition of second hand containers and new build bulk carriers, to enhance our fleet in accordance with our investment strategy".
- ENDS -
For further information, please contact:
Goldenport Holdings Inc.:
Christos Varsos, Chief Financial Officer +30 210 8910500
John Dragnis, Commercial Director +30 210 8910500
Investor Relations Coordinators:
Capital link:
Victoria Simmons - London +44 203 206 1320
Nicolas Bornozis - New York +1 212 661 7566
E-mail: goldenport@capitallink.com
Further Information:
Overview of Goldenport
Goldenport is an international shipping company that owns and operates a fleet of thirty-one container and dry bulk vessels that transport cargo worldwide. The fleet consists of eighteen container vessels (including two new-build vessels with deliveries scheduled for 2010 and 2011) and thirteen dry bulk carriers (including six new-build vessels with deliveries scheduled for 2008 and 2009). Goldenport is listed on the London Stock Exchange under the ticker GPRT.
Website: www.goldenportholdings.com or www.goldenport.biz