Container ship owner Euroseas says it is turning its attention to the post-pandemic world, safe in the knowledge that it will continue to rake in bumper profits for at least two years.
A recent decision to double its newbuilding orderbook to four “eco” feeder boxships reflects a shift in strategic focus beyond Covid-19, chief executive Aristides Pittas said as the company released fourth-quarter results on Tuesday.
Pittas called the quarter a “seminal” one for his company, which posted the highest net income in its history at $22.7m, up from a wafer-thin $400,000 profit in the same period of 2020.
For 2021 as a whole, New York-listed Euroseas’ profit surged to $42.9m from $4m the previous year.
Like other container ship owners, Pittas doesn’t expect the bonanza to end any time soon.
“The high level of our contracted revenues secures extremely high profitability levels ... over the next two to three years,” he said.
The optimism comes despite any foreseeable easing in port congestion, as it expects newbuilding deliveries to remain limited in the near term and emissions regulations to put a lid on the number and speed of ships sailing the oceans.
Alongside the four ships it has ordered since July and two it bought on the secondhand market since September, Euroseas managers “continuously monitor market developments and evaluate investment opportunities”, Pittas said.
In line with previous policy, the company did not announce a dividend payment to common shareholders.
