NYSE-listed tanker company Navios Maritime Acquisition has reported its net income at USD 23.8 million, an increase of 19 percent in for the first quarter of 2016, against the USD 20 million recorded in the same period a year earlier.
The company said that the increase is mainly attributed to the gain on sale of the Nave Lucida and a rise of USD 1.9 million in adjusted EBITDA.
Revenue for the period was up by 2.3 percent to USD 80.4 million, against USD 78.6 million for the same period in 2015, mainly attributed to the rise in revenue following deliveries of four vessels from January 2015 until March 31, 2016.
Navios Acquisition fixed the fees of its vessels under its existing management agreement with Navios Tankers Management Inc., a wholly-owned subsidiary of Navios Maritime Holdings Inc., for an additional two-year period from May 29, 2016, following the expiration of the current fixed fee period, until May 28, 2018.
The company’s MR2 product tanker and chemical tanker vessels were fixed at a daily fee of USD 6,350 per vessel, while LR1 product tankers and VLCCs were fixed at USD 7,150 and USD 9,500 per ship, respectively.
The increase represents a weighted average increase of 3% in the management fees of the fleet.
“Navios Acquisition continues to harness the economies of scale created by Navios Holdings. Under the arrangement, Navios Holdings provides Navios Acquisition technical and commercial management services for a fixed fee and administrative services at cost,” Angeliki Frangou, Chairman and Chief Executive Officer of Navios Acquisition, said.
During the quarter, Navios Acquisition sold its 2005-built MR2 product tanker Nave Lucida for USD 18.6 million, and in April 2016, the company agreed to sell the Nave Constellation, a 2013-built chemical tanker of 45,281 dwt, and the Nave Universe, a 2013-built chemical tanker of 45,513 dwt, for an aggregate of USD 74.6 million.
The vessels are expected to be sold in the third quarter of 2016, following the completion of their chartering commitments, expected in the third quarter of 2016.
Navios Acquisition currently owns 38 vessels of which eight are VLCCs, 26 are product tankers and four are chemical tankers.