DHT Holdings, Inc. Reports Third Quarter Results

 
 

DHT Holdings, Inc. reports third quarter results

ST. HELIER, CHANNEL ISLANDS, October 23, 2012 - DHT Holdings, Inc. (NYSE:DHT) ("DHT" or the "Company") today announced:

Financial and operational highlights:
USD mill. (except per share)

Q3 2012 Q2 2012 Q1 2012 2011 2010
Net Revenue 18.0 23.7 28.3 100.1 89.7
EBITDA* 7.3 11.0 15.0 52.7 51.6
Adjusted Net Income** (4.9) 3.5 6.9 14.8 6.1
Adjusted EPS** (0.32) 0.30 1.29 2.83 1.50
Interest bearing debt 216.7 219.8 267.4 280.6 265.2
Cash 72.2 70.9 29.6 42.6 58.6
Dividend*** 0.02 0.24 0.24 3.12 4.80
Fleet (dwt) 2,086,315 2,384,602 2,574,304 2,574,304 1,659,802
Spot days**** 41% 27% 17% 13% 0
Unscheduled off hire**** 0.32% 0.05% 0.30% 0.27% 1.69%
Scheduled off hire**** 0 2.63% 0.64% 1.90% 0

*adjusted for impairment charges of $56 million in 2011 and $92.5 million in Q3 2012.
** adjusted for loss on sale of vessels in Q1 and Q2 2012, non-cash impairment charge in 2011 and Q3 2012 and non-cash swap related items. EPS is calculated assuming all preferred shares issued on May 3, 2012 have been exchanged for common stock and applying the 12:1 reverse stock split which was effective on July 17, 2012 retrospectively.
*** per common share. Historical dividend per share adjusted for 12:1 reverse split.
**** as % of total operating days in period.

Highlights of the quarter:

  • EBITDA for the quarter of $7.3 million and net loss for the quarter of $4.2 million ($0.27 per share) after adjusting for a non-cash impairment charge of $92.5 million.  Net cash provided by operating activities for the quarter was $8.5 million. 

  • The Company will pay a dividend of $0.02 per common share and $0.28 per preferred share for the quarter payable on November 12, 2012 for shareholders of record as of November 6, 2012. When determining the dividend our Board has taken into account general business conditions, the continued weak tanker market and the recent 8-K filing by OSG.  

  • Following the recent announcement by OSG regarding its solvency and due to the continued weak tanker markets, the Company adjusted the carrying value of its fleet through a non-cash impairment charge of $92.5 million. 

  • The decline in revenues during 2012 is primarily due two vessels being sold during the second quarter and increased spot exposure as vessels have come off charters. 

  • The Company is in compliance with its loan facilities and had an unencumbered cash balance of $72.2 million as of September 30, 2012. The Company has no scheduled principal installments under its three credit facilities in 2013 and 2014. Scheduled principal installments total $12.0 million in 2015. However, further decline in vessel values may result in additional prepayments in order to remain in compliance with minimum value covenants. 

  • One vessel was redelivered from time charter with OSG during the quarter and two more vessels are expected to be redelivered from OSG during the next six months. Following these redeliveries, the remaining charters to OSG will be two Suezmax vessels which are on long-term bareboat charters to December 2014 and January 2018, respectively.  

  • Following the fleet appraisal for the third quarter, DHT repaid $3.1 million under the RBS credit facility.  Following the fleet appraisal for the fourth quarter conducted in early October, DHT repaid $4.0 million in October. The next scheduled principal installment under the RBS facility is in Q4 2015. 

  • The VLCC Venture Spirit, which was chartered in, was redelivered to its owner in September.  The vessel traded in the spot market during the quarter.  

  • At the Company's 2012 annual general meeting of shareholders, the shareholders voted to authorize a 12-for-1 reverse stock split of DHT's common stock, par value $0.01 per share.  The reverse stock split became effective after the close of business on July 16, 2012. 

The full report can be found on the link below.

EARNINGS CONFERENCE CALL INFORMATION

DHT will host a conference call at 8:00 a.m. EDT on Wednesday October 24, 2012, to discuss the results for the quarter.  All shareholders and other interested parties are invited to join the conference call, which may be accessed by calling 1 646 254 3369 within the United States, 23500485 within Norway and +44 203 450 9571 for international callers. The passcode is "DHT".  A live webcast of the conference call will be available in the Investor Relations section on DHT's website at http://www.dhtankers.com.

An audio replay of the conference call will be available through October 31, 2012.  To access the replay, dial 1 347 366 9565 within the United States or +44 203 427 0598 for international callers and enter 8144064# as the pass code.

About DHT Holdings, Inc.

DHT is an independent crude oil tanker company. Our fleet trades internationally and consists of crude oil tankers in the VLCC, Aframax and Suezmax segments. We operate out of Oslo, Norway, through our wholly owned management company. You shall recognize us by our business approach with an experienced organization with focus on first rate operations and customer service, quality ships built at quality shipyards, prudent capital structure with robust cash break even levels to accommodate staying power through the business cycles, a combination of market exposure and fixed income contracts for our fleet and a clean corporate structure maintaining a high level of integrity and good governance.  For further information: www.dhtankers.com.
Forward Looking Statements

This press release contains assumptions, expectations, projections, intentions and beliefs about future events, in particular regarding daily charter rates, vessel utilization, the future number of newbuilding deliveries, oil prices and seasonal fluctuations in vessel supply and demand. When used in this document, words such as "believe," "intend," "anticipate," "estimate," "project," "forecast," "plan," "potential," "will," "may," "should" and "expect" and similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.  These statements reflect the Company's current views with respect to future events and are based on assumptions and subject to risks and uncertainties.  Given these uncertainties, you should not place undue reliance on these forward-looking statements.  These forward-looking statements represent the Company's estimates and assumptions only as of the date of this press release and are not intended to give any assurance as to future results.  For a detailed discussion of the risk factors that might cause future results to differ, please refer to the Company's Annual Report on Form 20-F, filed with the Securities and Exchange Commission on March 19, 2012.

The Company undertakes no obligation to publicly update or revise any forward-looking statements contained in this press release, whether as a result of new information, future events or otherwise, except as required by law.  In light of these risks, uncertainties and assumptions, the forward-looking events discussed in this press release might not occur, and the Company's actual results could differ materially from those anticipated in these forward-looking statements.

CONTACT:
Eirik Ub√łe, CFO
Phone: +44 1534 639 759 and +47 412 92 712
E-mail: eu@dhtankers.com


Q3 2012 Financial Statements