Aries Maritime Transport, Limited reported its financial results for the three and six months ended June 30, 2008. The following financial review discusses the results for the three months ended June 30, 2008 compared with the results for the three months ended June 30, 2007 as well as results for the six months ended June 30, 2008 compared with the results for the six months ended June 30, 2007. In June 2008, Aries completed the sale of its three oldest vessels, the Energy 1, MSC Oslo and the Arius, which resulted in a book profit totaling US$13.6 million during the second quarter of 2008. The results for these vessels are reported as discontinued operations.
SECOND QUARTER RESULTS
Revenues of US$19.3 million from continuing operations were recorded for the three months ended June 30, 2008, compared to revenues of US$21.3 million recorded for the three months ended June 30, 2007. Excluding deferred revenue due to the assumption of charters associated with certain vessel acquisitions, total revenues were US$18.1 million and US$19.4 million for the three-month periods ended June 30, 2008 and June 30, 2007, respectively. The decrease in revenues is primarily attributable to the lower utilization during the three months ended June 30, 2008 compared to the three months ended June 30, 2007. Vessel operating days totaled 1,092 for both quarters. The Company defines operating days as the total days the vessels were in the Company's possession for the relevant period. Total actual revenue days for the three months ended June 30, 2008 were 1,038 and total actual revenue days for the three months ended June 30, 2007 were 1,065. The Company defines revenue days as the total days the vessels were not out of service.
Net income from continuing operations was US$1.7 million, or US$0.06 basic and diluted earnings per share, for the three months ended June 30, 2008, compared to net income of US$5.4 million, or US$0.19 basic and diluted earnings per share, recorded for the three months ended June 30, 2007.
Results for the three-month period ended June 30, 2008, included an unrealized gain of US$3.6 million from the change in the fair value of derivatives. Results for the three-month period ended June 30, 2007 include an unrealized gain of US$2.2 million from the aforementioned derivatives.
Net income from continuing and discontinued operations for the three months ended June 30, 2008 was US$13.2 million, or US$0.46 basic and diluted earnings per share, compared to net income of US$4.2 million, or US$0.15 basic and diluted earnings per share, recorded for the three months ended June 30, 2007.
Adjusted EBITDA for the three months ended June 30, 2008 was US$7.8 million compared to US$12.3 million for the three months ended June 30, 2007. (Please refer to the Summary of Selected Data table later in this document for a reconciliation of Adjusted EBITDA to net income.)
Jeff Parry, Chief Executive Officer, commented, "At the onset of the current third quarter, our new management team initiated a review of the Company and developed a comprehensive turnaround plan focused on improving future performance and enhancing shareholder value. Consistent with our period charter approach, we have secured new contracts at favorable rates for the Stena Compass, the Stena Compassion and the MSC Seine. We have also transferred the commercial management of our container vessels in-house as we work to further improve our operating platform. Management remains dedicated to positioning Aries for long-term success and realizing the inherent value in the Company."
SIX-MONTH RESULTS Revenues of US$39.3 million were recorded for the six months ended June 30, 2008, compared to revenues of US$43.3 million recorded for the six months ended June 30, 2007. Excluding deferred revenue due to the assumption of charters associated with certain vessel acquisitions, total revenues were US$36.9 million and US$39.2 million for the six-month periods ended June 30,
