International Shipholding Corp. had a profit of $1.78 million in the third quarter ending Sept. 30, compared to $2.85 million in the same 2011 period.
Revenue was $61.2 million in the third quarter, compared to $67.1 million in the same 2011 period.
During the third quarter, the company acquired a railcar repair facility in Mobile, Ala., for $4.5 million. Mobile is the northern terminus of the company’s rail ferry service to Mexico.
In October, the company entered into a definitive agreement to acquire U.S. United Ocean Services, and acquired a 1999-built pure car truck carrier valued at $27.5 million. The company said the vessel will be reflagged under the U.S. flag and deployed on a long-term time charter.
Niels M. Johnsen, chairman and chief executive officer, said those deals “demonstrate our ability to identify opportunities that increase our contracted revenue stream, enhance our presence in niche markets and realize value in our fleet.”
Commenting on the outlook for 2013, Manny Estrada, chief financial officer, said, “Following the completion of our pending acquisition of U.S. United Ocean Services, LLC (“UOS”), we expect our full year 2013 pro forma net income will be $18 to $20 million and our EBITDA will be $65 to $75 million.
“Both measures represent a significant improvement over our expected full year 2012 results. When setting our 2013 guidance, management took into account the additional contracted revenue from the operations of UOS, as well as our expectations for conditions in the dry bulk market,” he said.
Tonight, Johnsen along with Robert Johnston, senior vice president and head of the U.S.-flag strategic business unit for Overseas Shipholding Group, and Sen. Mary Landrieu, D-La., will be presented with the United Seamen’s Service’s (USS) 2012 Admiral of the Ocean Sea (AOTOS) awards. – Chris Dupin
International Shipholding reports smaller 3Q profit
