Costamare’s net income sinks in 2016

The Athens-based containership leasing company’s net income for 2016 totaled $81.7 million, a 43.2 percent decline from 2015.    Costamare Inc. saw net income sink 43.2 percent year-over-year in 2016 to $81.7 million, according to the company’s latest financial statements.
   The Athens-based containership leasing company had earnings of $0.79 per share for the year, down from $1.68 per share for 2015.
   Voyage revenues for 2016 fell 4.5 percent year-over-year to $468.2 million. Costamare attributed the decline in voyage revenues to lower charter rates for some of its vessels; revenue not earned by two vessels, which were sold for demolition in November 2015 and August 2016, respectively; and decreased revenue days of its fleet. However, these headwinds were partially offset by decreased off-hire days of its fleet in 2016, and thanks to 2016 being a leap year.
   In the fourth quarter of 2016, Costamare reported a net loss of $11 million, compared to a net income of $38.3 million for the fourth quarter of 2015.
   Earnings per share fell from $0.44 for the fourth quarter of 2015 to a loss of $0.20 per share for the fourth quarter of 2016.
   In addition, Costamare’s voyage revenues for the fourth quarter of 2016 fell 10 percent year-over-year to $110.1 million.
   “On the chartering side, we continue to employ our vessels, having chartered in total eight ships opening during the last three months,” Costamare Chief Financial Officer Gregory Zikos said.
   “Regarding our financing arrangements, we have refinanced a loan facility which was originally expiring in 2018,” he said. “Under the new agreement, the balloon payment of $30 million due in 2018, has been extended to be amortized over a three-year period until 2021.”
   Zikos added, “As mentioned in the past, our goal is to strengthen the company and enhance long term shareholder value. At the same time we are actively looking at new transactions in a distressed asset value environment.”
   On Jan. 3, 2017, Costamare declared a fourth quarter 2016 dividend of $0.10 per share on its common stock, payable Feb. 6, 2017 to stockholders of record on Jan. 23, 2017.
   Costamare has a fleet of 70 containerships with a total capacity of about 459,000 TEUs, six of which are on order. Eighteen of Costamare’s containerships, including the six on order, have been acquired pursuant to the framework deed with York Capital Management by vessel-owning joint venture entities in which it holds a minority equity interest.