Danaos beats analysts as profit slides 41.2pc to US$16.4 million

MAJOR Greek container shipowner and charterer, Danaos Corp, has announced a better-than-expected third quarter profit that fell 41.2pc year on year to US$16.4 million.
In September, the company said one of its charterering clients, Israel flag carrier, Zim, unilaterally reduced all of its long-term charter hire payments to shipowners 35 per cent, but Danaos refused these terms.
"Last week, we agreed with Zim the revisions to charter parties we have in place for six of our vessels in operation, which reflect significantly improved terms compared to the initial unilateral imposed reductions in payments," said Danaos CEO John Coustas.
"The revisions keep the original charter terms in place with deferred, interest bearing payment terms," said Dr Coustas.
Revenue increased four per cent to $79.8 million, but fell short of analysts` estimates of $81.3 million. Fleet utilisation for the quarter was 99 per cent, up from 98.8 per cent a year ago.