The Greek ship owner and operator, Euroseas has announced a new time charter for its 2,008TEU container vessel, Diamantis P, at a gross daily rate of US$27,000.
The new charter rate is more than four times higher than the vessel’s current charter rate (US$6,700).
The company said that the 1998-built boxship was chartered for a period between a minimum of 36 and a maximum of 40 months at the option of the charterer, while the new rate will commence between 5-15 October 2021, after the vessel completes its upcoming drydocking.
“Chartering-wise, we have pursued to-date a staggered expiration strategy which has allowed us to follow the upward path of the market having charters coming due for renewal on a rolling basis,” commented Aristides Pittas, Chairman and CEO of Euroseas, who went on to add, “we announced the three-year long charter of our vessel, Diamantis P., at a rate of US$27,000 per day which will provide us with more than US$28.5 million of contracted revenues and US$21 million EBITDA during the term of the charter.”
Euroseas has not disclosed details of its client, which will charter Diamantis P at the new increased rate.
The Athens-based company has also announced increased first half and second quarter financial results.
Euroseas has reported total net revenues of US$32.6 million and US$18.3 million for 2021 H1 and Q2 respectively, while its net income reached US$11.7 million and US$7.9 million and earnings before interest, taxes, depreciation, and amortization (EBITDA) growing to US$15.9 million and US$10.3 million for the first half and the second quarter of the year respectively.
“The results of the second quarter of 2021 reflect the increased charter rates our vessels earned due to the major recovery of the market compared to the same period of 2020, despite the decrease in the number of vessels we operated during the second quarter of 2021 to 14 vessels, from 19 vessels operated during the same period last year,” noted Tasos Aslidis, Chief Financial Officer of Euroseas.
Euroseas believes that the favorable market fundamentals will continue as incremental regulatory requirements coming in 2023 will further restrict the effective supply of vessels and assist in absorbing increased new deliveries starting from the latter part of 2023 onwards as a result of recently placed newbuilding orders, according to Aristides Pittas.
