Performance Shipping has posted another quarterly loss, having been held back by a reduction in timecharter revenue and vessel impairment charges.
The company, formerly Diana Containerships, reported a net loss of $1.6m for the second quarter, which includes a $300,000 impairment charge on one vessel.
This is a step backwards when compared to the $200,000 loss Performance recorded during the first quarter this year.
But, with 12 months of hindsight, the result is an improvement on the loss of $42.3m posted during the same period last year.
The quarterly result last year included a $15.6m impairment from one vessel and a $19m loss on the sale of three vessels.
Revenue reduction
Timecharter revenue was $4.5m for the second quarter, a 29% reduction on earnings during the same period last year and 18% lower than last quarter.
"This decrease was primarily due to the decrease in size of the company’s fleet, and was partially offset by the increased timecharter rates achieved as a result of improved market conditions," Performance said in its quarterly report.
The Nasdaq-listed company sold six containerships during 2018, of which two were panamaxes and the rest were post-panamaxes.
Road ahead
Performance's net loss was $1.7m for the six months ended June 30, compared to a net loss of $46.2m for the same period last year.
The 2018 result included a total of $32.3m in impairments and losses made on vessel sales.
In June, Performance signalled its diversification from being a pure-play containership owner when it emerged as the buyer of an aframax pair from Maersk Tankers.
Performance expects to take delivery of the first tanker by the end of this month, plus another by the beginning of November, according to its website.
Its current fleet consists of four small containerships of up to 6,500 teu.
