Bulk and container ship owner Euroseas Ltd. ESEA released their first quarter earning last week and the report shows how tough things are in both sectors. Euroseas is a company that buys older (10 years +) and works to keep their operating costs as low as possible. They are also committed to paying a dividend and the stock is currently yielding 7.5%.
Throwing out all of the one time adds & subtractions, in the 1st quarter ESEA saw EBIDTA fall by 67% and net earnings by 80%. They are keeping their dry bulk vessels busy and profitable but really struggling in the container market.
The company has restricted and unrestricted cash in a greater amount than outstanding debt, a good thing. If Euroseas was just in the dry bulk business they would be interesting due to their low cost structure, but at this time the very weak container market continues to be a drag on the company’s revenues.
Euroseas lays up ships, revenues fall
EUROSEAS LTD.
Bulk and container ship owner Euroseas Ltd. ESEA released their first quarter earning last week and the report shows how tough things are in both sectors. Euroseas is a company that buys older (10 years +) and works to keep their operating costs as low as possible. They are also committed to paying a dividend and the stock is currently yielding 7.5%.
Throwing out all of the one time adds & subtractions, in the 1st quarter ESEA saw EBIDTA fall by 67% and net earnings by 80%. They are keeping their dry bulk vessels busy and profitable but really struggling in the container market.
The company has restricted and unrestricted cash in a greater amount than outstanding debt, a good thing. If Euroseas was just in the dry bulk business they would be interesting due to their low cost structure, but at this time the very weak container market continues to be a drag on the company’s revenues.