HAMILTON, Bermuda, May 16, 2007 (PRIME NEWSWIRE) -- Knightsbridge Tankers Limited (Nasdaq:VLCCF) (the "Company") reports net income of $9.7 million and earnings per share of $0.57 for the first quarter of 2007. This compares with net income of $14.2 million and earnings per share of $0.83 for the first quarter of 2006. The average daily time charter equivalent ("TCEs") earned by the Company's five VLCCs was $43,800 compared with $41,700 in the preceding quarter. The increase represents recovery from the seasonal weakening of the tanker market which had occurred in the prior quarter. Net operating income was $11.1 million (2006 comparable quarter: $15.4 million) and net interest expense for the quarter was $1.4 million (2006 comparable quarter: $1.3 million) At March 31, 2007 all of the Company's debt is floating rate debt.
The net decrease in cash and cash equivalents in the quarter was $3.9 million. The Company generated cash from operating activities of $12.6 million, used $2.8 million to repay loan facilities and distributed $13.7 million in dividend payments. As of May 14, 2007, the Company has an average cash breakeven rate for its vessels of $18,439 per vessel compared to $18,540 on February 5, 2007.
During the quarter the Company terminated the pooling arrangement with Frontline Ltd for the two vessels Mayfair and Chelsea. On March 27, 2007 the Mayfair began a three year time charter with third party at a rate of $45,000 per day while the Chelsea continues to trade on the spot market.
On May 15, 2007 the Board declared a dividend of $0.60 per share. The record date for the dividend is May 26, 2007 and the dividend will be paid on or about June 11, 2007.
The full report is available in the link below.
May 15, 2007 The Board of Directors Knightsbridge Tankers Limited Hamilton, Bermuda