Ship Finance International Limited (NYSE: SFL) – Earnings Release
Reports preliminary 4Q 2015 results and quarterly dividend of $0.45 per share
Hamilton, Bermuda, February 29, 2016. Ship Finance International Limited (“Ship Finance” or the “Company”) today announced its preliminary financial results for the quarter ended December 31, 2015.
Highlights
- Declaration of fourth quarter dividend of $0.45 per share, our 48th consecutive dividend
- Charter backlog increased to $4.4 billion
- $20.6 million in profit share from Frontline in the quarter as a result of a strong tanker market
- Acquisition of two 18-20,000 TEU class container vessels with long term charters, adding $460 million to the charter backlog
- Acquisition of two 114,000 dwt LR2 product tanker vessels with long term charters, adding $113 million to the charter backlog
- Successful delivery of two 9,500 TEU container vessel in combination with charters to Maersk Line
- Sale of three older vessels, including two Suezmax tankers and an offshore support vessel subsequent to quarter end, a continuation of the Company’s strategy to renew and diversify its fleet
- Selected key financial data:
| Three Months Ended | ||||
| Dec 31, 2015 | Sep 30, 2015 | |||
| Charter revenues(1) | $170m | $167m | ||
| EBITDA(2) | $142m | $136m | ||
| Net income | $ 54m | $ 45m | ||
| Earnings per share | $0.58 | $0.49 | ||
Ole B. Hjertaker, CEO of Ship Finance Management AS, said in a comment: “We are pleased to report a strong quarter with sequential growth in revenue, EBITDA and net income. Throughout the course of 2015, we further diversified our revenues across additional segments and counterparts and ended the year with an increased charter backlog of $4.4 billion.
Investor and Analyst Contact:
Harald Gurvin, Chief Financial Officer: +47 23114009
André Reppen, Senior Vice President: +47 23114055
About Ship Finance
Ship Finance International Limited (NYSE: SFL) has an unprecedented track record in the maritime industry, being consistently profitable and paying dividends every quarter since 2004. The Company’s fleet of more than 70 vessels is split between tankers, bulkers, container vessels and offshore assets, and Ship Finance’s long term distribution capacity is supported by a portfolio of long term charters and significant growth in the asset base over time. More information can be found on the Company’s website: www.shipfinance.bm
Cautionary Statement Regarding Forward Looking Statements
This press release may contain forward looking statements. These statements are based upon various assumptions, many of which are based, in turn, upon further assumptions, including Ship Finance management’s examination of historical operating trends. Although Ship Finance believes that these assumptions were reasonable when made, because assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond its control, Ship Finance cannot give assurance that it will achieve or accomplish these expectations, beliefs or intentions.
Important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in this presentation include the strength of world economies and currencies, general market conditions including fluctuations in charter hire rates and vessel values, changes in demand in the tanker market as a result of changes in OPEC’s petroleum production levels and worldwide oil consumption and storage, changes in the Company’s operating expenses including bunker prices, dry-docking and insurance costs, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, and other important factors described from time to time in the reports filed by the Company with the United States Securities and Exchange Commission.