After loss, Rand bullish on coming year
Rand Logistics Inc. reported a net loss of $11.2 million for the fiscal year ended March 31, compared to a $3.1 million loss in the prior fiscal year.
Revenue was higher for the year, $94.8 million, compared to $79.2 million the same period the prior year.
Laurence S. Levy, chairman and chief executive of the New York-based company, said that “despite the fact that our financial results in fiscal year 2008 were impacted by the strike at Wisconsin and Michigan Steamship (WMS), we nevertheless enjoyed a material increase in vessel margins, primarily due to an increase in freight rates, a significant improvement in the performance of our U.S. fleet and the continued strong performance of our Canadian fleet.”
Rand provides bulk freight shipping services throughout the Great Lakes region. Through its subsidiaries, the company operates a fleet of 10 self-unloading bulk carriers, including eight river-class vessels and one river-class integrated tug/barge unit, and three conventional bulk carriers, of which one is operated under a contract of affreightment.
Rand said river-class vessels represent the smaller end of Great Lakes vessels with maximum dimensions of about 650 feet long, 72 feet in beam and carrying capacities of 15,000 to 20,000 tons.
Since the company’s fiscal year ended Rand said it has repowered one of its Canadian-flagged vessels, Saginaw, with a new highly automated emissions-compliant power plant.
Levy said Rand is “in a unique position to take advantage of the strong demand for capacity and the firm freight rate environment. Our vessels are fully committed for the current fiscal year. We are excited about the outlook of our business for this year and beyond. Based on our preliminary actual results thus far in fiscal 2009, we are confident that our operations for the quarter ended June 30, will demonstrate Rand’s inherent earnings capability. We anticipate a significant increase in Rand’s earnings from those reported in the comparable quarter last year.”