FreeSeas swings to a profit in Q1
Provider of seaborne transportation for dry bulk cargoes FreeSeas Inc. (Nasdaq: FREE) reported unaudited operating results for the first quarter after the close Thursday.
For the first three months ended March 31, 2007, FreeSeas reported net income of $0.9 million, or $0.15 per share, compared with a net loss of $1.66 million, or $0.26 per share, in the same quarter last year.
"The first quarter of 2007 exhibited increased financial strength and a clear direction for the company," said Ion Varouxakis, Chairman of the Board, President and CEO. "Our operating revenue showed a healthy increase, and we noted improvement in G&A expenses. We believe this is the result of a combination of our employment strategy, in which the company was able to benefit from favorable charter rates in the first quarter of the year, as well as cost-cutting efforts which led to the reduction in G&A expenses in the quarter."
The Greek company reported operating revenue of $4.27 million, compared with $2.44 million for the first quarter of 2006. Income from operations for the quarter was $1.10 million, compared with a loss from operations of $1.37 million in 2006.
Shares of FreeSeas soared 32.22% or $2.12 to $8.70 in after-hours trading.
