d’Amico International Shipping S.A. Interim Management Statements Third Quarter 2011

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

31 Oct 2011

DIS Q3 2011 results reflected the current uncertain macro-economic scenario affecting also the Product tankers industry. However the Company was still able to maintain its strong

financial position and to generate a very good level of Cash flow.
The first nine months  of 2011  ever changing Economic environment has been characterized by  European sovereign debt issues and by the continued uncertain geo-political situation within North Africa and the Middle East.  Oil Product demand increase expectations are continually being revised downward as GDP growth is being re-evaluated.
In this context, DIS was able to reach a better spot performance than originally expected, especially in the second part of H1 2011, followed by a weaker third quarter of the year.
At the same time, DIS maintained a high level of fixed contract coverage throughout the first nine months of 2011, securing an average of 48.1% of its revenues. Other than securing revenues and supporting the operating cash flow generation, those contracts pursue the objective of strengthening DIS historical relationships with the main oil majors, which is one of the pillars of its commercial strategy.
Despite  such tough market conditions, DIS confirmed, once again, its capability of maintaining a strong financial position and generating a very good level of Operating Cash flow.
In 2011 DIS confirmed to be a leading participant also in the sale and purchase product tanker market. The Company was able to negotiate a very attractive price for the purchase of a modern MR vessel in June that was resold in September, realizing a very rewarding capital gain.
DIS created value for its shareholders through its buy-back program started early in July 2011. As at the end of Q3 2011 DIS  has repurchased nr. 604,890 shares, representing the 0.403% of the outstanding share capital of the Company, for a total consideration of Euro 425,388.
Even in this uncertain macro scenario, DIS proves to have a very well balanced business model, with the flexibility of taking full advantage of any market upside.
Source: d’Amico International Shipping