GLOBAL Ship Lease (GSL) has posted a third-quarter net loss of US$41.1 million, mainly due to a $44.7 million non-cash impairment charge relating to two vessels.
Revenue during the third quarter amounted to $42.18 million.
For the first nine months of the year the company suffered a net loss of $38.2 million, after the impairment charge, on revenue of $120.9 million, reported MarineLink.com.
GSL purchased OOCL Ningbo, a 2004-built 8,063-TEU containership for $53.6 million. Immediately upon delivery in mid-September, it chartered the vessel to Orient Overseas Container Line (UK) Limited, an affiliate of the seller, for a period of 36 to 39 months at $34,500 per day.
The charter is expected to generate annual EBITDA of $9.4 million and raise contracted revenue by between $37.7 million and $40.9 million.
The company is to sell the 4,113-TEU Ville d'Aquarius, following her re-delivery from charter at the end of October for estimated net proceeds of $4.5 million. The sale is expected to be wrapped up by the end of November.
Chief executive officer of Global Ship Lease, Ian Webber, said: "Subsequent to the quarter, and with challenging near-term employment prospects for the 4,113 TEU Ville d'Aquarius, the oldest vessel in our fleet, we made the decision to sell the vessel for scrap upon completion of her charter to Sea Consortium.
"We are thus further insulated from the volatility of the short-term charter market, with only one vessel out of 19 coming off charter before late 2017," he said.
WORLD SHIPPING
12 November 2015 - 20:50
Global Ship Lease reports Q3 loss of US$41.1 million
GLOBAL Ship Lease (GSL) has posted a third-quarter net loss of US$41.1 million, mainly due to a $44.7 million non-cash impairment charge relating to two vessels.
WORLD SHIPPING
12 November 2015 - 20:50
Global Ship Lease reports Q3 loss of US$41.1 million
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