GOGL - Fourth Quarter and Preliminary Year End 2011 Results

16-02-2012

Highlights

• Golden Ocean reports profit of $6.1 million for the fourth quarter of 2011
• The operating profit is in line with the third quarter 2011 results, save for an impairment on the shareholdings in Knightsbridge Tankers Limited
• The Company took delivery of Golden Suek in November 2011
• The Company has entered into a new financing for four of the newbuildings from Jinhaiwan Shipyard
• Golden Ocean will not pay dividends for the fourth quarter of 2011

Fourth Quarter and Preliminary Year End 2011 Results

Golden Ocean Group Limited (the "Company" or "Golden Ocean") reports a profit of $6.1 million and earnings per share of $0.01 for the fourth quarter of 2011. This compares with the profit and earnings per share of $23.9 million and $0.05 respectively for the fourth quarter of 2010. Total operating revenues for the fourth quarter were $66.1 million, total operating expenses were $40.4 million and other gains/losses net were a loss of $15.3 million. Net financial items were negative with $4.2 million.

The Company reports a profit of $14.3 million and earnings per share of $0.03 for the full year 2011. Total operating revenues were $317.1 million, total operating expenses were $263.0 million and other gain/losses net were negative with $7.5 million. Net financial items for the year ended December 31, 2011 were negative with $32.4 million.

Cash and cash equivalents increased by $3.3 million during the quarter. The Company generated cash from operating activities of $36.0 million during the quarter. The Company paid $28.9 million in installments and other predelivery costs in the quarter. Restricted cash increased by $10.2 million, this is mainly related to security put up under one loan facility to comply with minimum value covenants. Financing activities used $2.4 million net during the quarter. This includes drawdown of long term debt related to the newbuildings of $26.8 million, interest paid of $6.7 million and repayment of long term debt of $20.2 million.

The full report is available in www.goldenocean.no

Golden Ocean Group Limited press release