Trailer Bridge’s posts $1.8 million 1st quarter net loss
Jacksonville, Fla.-based Trailer Bridge today reported a first quarter net loss of $1.8 million, due in part to $3.1 million expense related to the dry-docking of one of its roll-on/roll-off vessels.
In the first quarter 2005, Trailer Bridge posted a net income of $975,801. Trailer Bridge said its net income would have been $1.2 million for the first quarter 2006 with the dry-docking accounted for under the defer-and-amortize method that is used by most shipping companies. Trailer Bridge has historically accounted for dry-docking under the expense-as-incurred method, but a request to switch to the same method as its peers was refused by the Securities and Exchange Commission.
Trailer Bridge’s operating income in the latest quarter slumped 86 percent to $490,838, from $3.5 million in the same quarter last year. The company’s operating revenue, “driven by fuel surcharge increases,” increased 3.7 percent to $25.3 million from $27.8 million.
For all southbound cargo, the effective revenue per container equivalent increased 7.9 percent from the year-earlier period, although that was negated by a volume shortfall of 7.1 percent compared to the first quarter 2005
Trailer Bridge’s Jacksonville/San Juan deployed vessel capacity utilization was 87.9 percent to Puerto Rico and 23.2 percent from Puerto Rico, compared to 92.2 percent and 19.3 percent, respectively, during the first quarter 2005.
“We can point to some slight improvement in our liner business on a year-over-year basis, with this being the 12th straight quarter where we had such an improvement, but we are nevertheless disappointed in our volume performance,” said John D. McCown, Trailer Bridge’s chairman and chief executive officer.
Trailer Bridge said a second ro/ro vessel is undergoing dry-dock repairs.