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SFL - First Quarter 2017 Results

Ship Finance International Limited (NYSE: SFL) - Earnings Release


Reports preliminary Q1 2017 results and quarterly dividend of $0.45 per share


Hamilton, Bermuda, May 30, 2017. Ship Finance International Limited ("Ship Finance" or the "Company") today announced its preliminary financial results for the quarter ended March 31, 2017.

Highlights

  • Declaration of first quarter dividend of $0.45 per share, the Company's 53rd consecutive quarterly dividend
  • Earned $152 million of total charter revenues during the first quarter
  • Continued diversification and renewal of the fleet with the delivery of a second 19,200 TEU container vessel with long term charter to MSC and the sale of two older crude oil tanker vessels
  • Secured charter for the 2007-built drilling rig Soehanah with a national oil company in Asia for a minimum period of 12 months
  • Agreed to five-year hire-purchase lease for a 1,700 TEU container vessel

Selected key financial data

Three Months Ended
March 31, 2017 Dec 31, 2016
Long term charter revenues(1) $135 million $134 million
Short term charters and profit share income(2) $17 million $20 million
Total charter revenues(1)(2) $152 million $154 million
Adjusted EBITDA(3) $119 million $121 million
Net Income $32 million $29 million
Earnings per share $0.35 $0.31

Ole B. Hjertaker, CEO of Ship Finance Management AS, said in a comment: "Ship Finance continues to take steps to strengthen its balance sheet and diversify its contracted backlog. In the first quarter, we took delivery of our second 19,200 TEU container vessel, and we expect to take delivery of two product tankers in the third quarter this year. These three vessels, backed by long term charters, will add approximately $26 million in annual EBITDA following their deliveries. We are also pleased to have secured employment for our sole uncontracted drilling rig.

We are of course focused on the restructuring of Seadrill, one of our large counterparties, which we hope will be finalized in the coming months. At the same time, we have significant capital available for investments, and our objectives remain to find accretive investment opportunities across our core markets and to maximize returns from our existing portfolio of assets."

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
André Reppen, Senior Vice President: +47 23114055

Media Contact:
Ole B. Hjertaker, Chief Executive Officer: +47 23114011

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.

Attachments:

http://www.globenewswire.com/NewsRoom/AttachmentNg/cb1a0bf7-c6d9-48cb-9759-cc1ed9ea0eee

Source:Ship Finance International Limited