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SFL - Fourth Quarter 2013 Results

HAMILTON, Bermuda, Feb. 27, 2014 (GLOBE NEWSWIRE) -- Ship Finance International Limited ("Ship Finance" or the "Company") today announced its preliminary financial results for the quarter ended December 31, 2013.

Highlights

  • Increased fourth quarter dividend of $0.40 per share
  • Delivery of harsh-environment jack-up drilling rig
  • $390 million refinancing of ultra-deepwater drilling rig
  • Disposal of two older VLCCs
  • Selected key financial data:

Three Months Ended
Dec 31, 2013 Sep 30, 2013
Charter revenues(1) $152m $157m
EBITDA(2) $114m $121m
Net income $18m $13m
Earnings per share $0.20 $0.14

Dividends and Results for the Quarter Ended December 31, 2013

The Board of Directors has declared an increased quarterly cash dividend of $0.40 per share, and Ship Finance has now declared dividends for 40 consecutive quarters. The dividend will be paid on or about March 28, 2014 to shareholders of record as of March 12, 2014. The ex-dividend date will be March 10, 2014.

The Company reported total U.S. GAAP operating revenues on a consolidated basis of $71.7 million, or $0.77 per share, in the fourth quarter of 2013. This number excludes $11.6 million of revenues classified as 'repayment of investments in finance lease', and also excludes $70.9 million of charter revenues earned by assets classified as 'investment in associate'.

Reported net operating income pursuant to U.S. GAAP for the quarter was $23.4 million, or $0.25 per share, and reported net income was $18.3 million, or $0.20 per share. This includes approximately $1.0 million of non-cash expense of theoretical equity cost relating to one of our convertible bonds and $0.8 million of drydocking costs which were fully expensed in the quarter.

Ole B. Hjertaker, Chief Executive Officer of Ship Finance Management AS said in a comment: "The improved tanker market seen in the fourth quarter continued into the first quarter this year. Ship Finance is well positioned with two modern Suezmax tankers operating in the spot market and twenty crude oil tankers chartered to Frontline with a cash sweep feature in the agreements."

Mr Hjertaker continued: "We have paid more than $17 per share in cash dividends over the last 10 years, never missing a quarter despite significant volatility in the financial and shipping markets. Our objective remains, as always, to continue building a sustainable long-term distribution capacity, and with our healthy capital structure and low capital commitments, the Company is positioned to take advantage of new investment opportunities."

The full report can be found in the link below.

Questions can be directed to Ship Finance Management AS: Investor and Analyst Contact: Harald Gurvin, Chief Financial Officer: +47 23114009

Magnus T. Valeberg, Senior Vice President: +47 23114012 Media Contact: Ole B. Hjertaker, Chief Executive Officer: +47 23114011

About Ship Finance

Ship Finance is a major ship owning company listed on the New York Stock Exchange (NYSE: SFL). Including newbuildings, the Company has a fleet of 64 vessels, including 22 crude oil tankers (VLCC and Suezmax), two chemical tankers, 12 drybulk carriers, 15 container vessels (including six newbuildings), two car carriers, six offshore supply vessels, three jack-up drilling rigs, two ultra-deepwater semi-submersible drilling rigs and one ultra-deepwater drillship. The fleet is one of the largest in the world and most of the vessels are employed on long-term charters. More information can be found on the Company's website: www.shipfinance.org

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.

Fourth Quarter 2013 Results http://hugin.info/134876/R/1765237/598932.pdf

HUG#1765237

Source:Ship Finance International Limited