Original news was published on 8 August, 2014
BERMUDA based Textainer, the world's largest lessor of containers, posted a first half adjusted net profit increase of 6.8 per cent year on year to US$99.2 million, drawn on revenues of $274.9 million, up 6.2 per cent. Second quarter adjusted net profit declined 14.6 per cent to $40.1 million from revenues of $139.5 million, down 7.3 per cent. "We are pleased with our second quarter results. Utilisation has increased almost three per cent since its low point in the first quarter," said Textainer CEO Philip Brewer.
"Lease rental income grew seven per cent year over year to $124 million, primarily due to our larger owned fleet," he said."We continue to see pressure on rental rates due to the high level of liquidity among container lessors and the low level of new container prices and interest rates.
"We also see reduced gains on container sales due to the declines in used container prices. We expect these conditions to continue for the near term," he said. Conceding that profitability was hurt by these factors, Mr Brewer said: "We remain the lowest cost operator among our public peers and we have lowered our financing costs." The company invested $598 million year to date, purchasing more than 314,000 TEU including new, purchase leaseback and previously managed containers. "Our fleet has grown seven per cent over the past 12 months to over three million TEU. We believe new container prices are close to the cost of production and that returns on containers purchased at today's prices can be expected to increase," he said.