Bulker owner Pioneer Marine has fallen into the red in the first quarter despite its rates beating market averages.
The Oslo over-the-counter-listed company said it made a net loss of $0.9m, from a profit of $1.5m a year ago.
Revenue was $9.7m, down from $14.4m, as global markets faced "unprecedented challenges across all aspects of economic activity" due to the coronavirus outbreak, it said.
"The first quarter results are satisfactory as we report a positive Ebitda of $2.5m, considering that many segments of our industry were severely affected by the coronavirus outbreak," said chief executive Jim Papoulis.
"The market was weaker due to many countries imposing strict lockdown measures and implementing the reduced operational mode of many ports worldwide, making it a challenge to send our vessels to trade throughout Europe and the Atlantic."
But Pioneer achieved a high utilisation rate of 98%.
Rates down but ahead of average
"Despite these global difficulties, Pioneer managed to achieve a TCE rate of $6,681 which was above market levels," Papoulis added.
The rate was down 21.6% compared to the same period of 2019, however.
The company remains optimistic that the market will recover during the coming quarters, and that it can weather the storm with the best possible outcome.
It is implementing cost rationalisation projects and is working constantly on optimising efficiencies and revenue earning capacity.
Pioneer is also closely cooperating with its lenders, monitoring all financial covenants and ensuring prompt compliance, it added.
As of 31 March, the company had total liquidity of $21.2m, with no capital commitments.
Pioneer has 22 ships, 16 of which are owned.
