Danaos(DAC) Prnewswire·2025-05-13 20:30Core Viewpoint - Danaos Corporation reported strong financial performance for Q1 2025, with total operating revenues of 253.4 million in Q1 2024, while net income decreased to 150.5 million in the same period last year [2][20][21]. Financial Summary - Operating revenues for container vessels increased by 1.2% to 17.1 million due to lower charter rates and utilization [21][23]. - Adjusted net income for Q1 2025 was 6.04 per diluted share, compared to 7.15 per diluted share in Q1 2024 [15][20]. - Adjusted EBITDA decreased by 3.1% to 177.2 million year-over-year, attributed to increased operating expenses and finance costs [42]. Operational Metrics - The average number of container vessels increased to 73.7 in Q1 2025 from 68.0 in Q1 2024, with fleet utilization for container vessels at 97.2% compared to 97.3% in the previous year [14]. - Dry bulk vessel utilization decreased to 92.4% from 93.6% year-over-year [14]. Recent Developments - The company secured a syndicated loan facility of up to 3.7 billion, with a charter coverage of 99% for 2025 and 85% for 2026 [10][11]. - A dividend of $0.85 per share was declared for Q1 2025, payable on June 5, 2025 [44]. Market Insights - The dry bulk market has shown modest recovery, but significant growth is contingent on further initiatives in China [9]. - The company is currently focusing on optimizing its existing fleet performance rather than new vessel investments [13]. Environmental Regulations - Proposed IMO regulations on greenhouse gas emissions are seen as insufficient to drive meaningful progress in decarbonization, with limited incentives for using expensive green fuels [11][12].