MPC Container Ships posts first quarterly profit in Q3 2017

The fledgling containership owner and operator (together with its subsidiaries) recorded a profit before taxes of $200,000 on revenues of $7 million for the quarter, according to the company’s most recent financial statements.    Norway-based containership owner and operator MPC Container Ships AS (together with its subsidiaries) reported a profit before taxes of $200,000 for the third quarter of 2017, compared to a loss of $400,000 for the second quarter of 2017, according to the company’s most recent financial statements.
   Third quarter revenues stood at $7 million, a sharp increase from revenues of $1.2 million for the second quarter of this year. MPC Container Ships attributed the revenues boost primarily to an increased number of operating days due to the growth of the group’s fleet. The company was incorporated on Jan. 9, 2017 and operating activity started in April 2017, meaning the third quarter was the first in which the MPC Container Ships turned a profit.
   “The present financial performance of the group needs to be put in perspective, given that the group is in the start-up phase of its operation,” MPC Container Ships said.
   At the close of the third quarter, the fleet operated by MPC Container Ships and its joint ventures consisted of 22 feeder vessels – ranging in size from 966 TEUs to 2,824 TEUs – with an average age of 12 years.
   “During the third quarter of 2017, the group took over 10 feeder vessels,” the company said. “In addition, four feeder vessels have been acquired with expected takeover during the fourth quarter of 2017.”
   Meanwhile, on Nov. 24, MPC Container Ships revealed it entered into a commitment to acquire a fleet of feeder container vessels for a total purchase price of $130 million.
   Looking ahead, MPC Container Ships said yesterday, “Despite observable increases in secondhand vessel prices, in the view of the company, the current price level still offers an attractive entry point for further acquisitions. Therefore, the group is focused on the strategy to pursue further fleet growth. The group has taken on moderate leverage through the successful placement of a senior secured bond of $100 million in September for further acquisitions of secondhand feeder containerships.”