Horizon reports smaller first quarter loss

The ocean carrier benefited from better recovery of fuel costs and higher volumes in first quarter 2015.    Ocean carrier Horizon Lines reported a net loss of $16.4 million in its first quarter ending March 22, 2015 compared with a loss of $20.6 million in the first quarter of 2014.
   The Jones Act container carrier, which operates services to Hawaii and Alaska after ending service to Puerto Rico earlier this year, had revenues of $180.9 million in its first fiscal quarter compared with $183.3 million in the first quarter last year.
   Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) was $13.3 million in the first quarter compared with $8.1 million in the first quarter of 2014.
   Steve Rubin, president and chief executive officer said the improvement in adjusted EBITDA “was driven largely by improved fuel recovery, lower transit and replacement vessel costs associated with dry-docking of our vessels and higher volume” offset by “modestly lower rates, net of fuel; productivity losses in connection with the west coast ILWU negotiations and the resulting congestion impact and higher vessel operating costs.”
   Horizon has agreed to sell its Hawaii business to Pasha and have its remaining Alaska business be acquired by Matson later this year.