Safe Bulkers Profit Falls On Lower Revenue, Expenses - Update

(RTTNews) - Marine dry bulk transportation service provider Safe Bulkers Inc (SB), Wednesday reported a 30 percent decline in first-quarter profit, as lower time charter rates impacted revenue, along with increased vessel operating expenses. Quarterly earnings missed Wall Street estimates, while revenue surpassed expectations.

Safe Bulkers, based in Greece, posted quarterly net income of $11.2 million or $0.13 per share, compared with $16.1 million or $0.21 per share a year ago.

Excluding items, adjusted earnings for the quarter were $8.6 million or $0.10 per share.

On average, 10 analysts polled by Thomson Reuters expected earnings of $0.11 per share for the quarter. Analysts' estimates typically exclude special items.

Revenue for the first quarter slid 7 percent to $41.3 million from $44.2 million a year ago. Analysts expected revenue of $37.43 million for the quarter.

Results were further impacted by vessel operating expenses that increased 27 percent to $12.6 million for the quarter.

As of May 22, Safe Bulkers' operational fleet comprised of 31 drybulk vessels, and agreed to acquire 13 new build vessels.

In March, Safe Bulkers, following an arbitration award issued in favor of the company by a London arbitration tribunal, collected $36.3 million in proceeds in relation to a canceled Capesize class vessel.

The company also declared a quarterly dividend of $0.06 per share.

Safe Bulkers stock closed Wednesday at $8.47, down $0.11 or 1.28%, on a volume of 342k shares on the NYSE.