Global Oceanic Carriers Share Discussion Threads

[kneath] 10/7/2007 08:04

Yup - and at hotter 'pricing' than last year. Should see margin improvement this year regardless of supply / demand based price movements as several contracts have 2-3 yr longevity.

[papalpower] 10/7/2007 08:00

The new "GO Friendship" is also on a higher charter rate, which is good news.

[papalpower] 10/7/2007 07:57

More income.

[saucepan] 10/7/2007 07:51

Another ship acquired!

[saucepan] 07/7/2007 09:42

Thanks, Courant.

[courant] 07/7/2007 01:17

Saucepan

I emailed them a few weeks asking for confirmation of the results date (seeing that, while down on their website as a July results date, last year they were released in October - I assume because of the mess) and got this reply:

"As correctly stated, there will be a preliminary results announcement in July 07. An RNS statement will be released in due course."

Sit tight, I guess.

Courant

[luckyjonah] 25/6/2007 16:25

I see Globus (GLBS) announced their new charter rate for their own Handymax today. Here's how it compares with GOC's new GO Star charter:

GLBS Sea Globe 43,216dwt $22,000/day (12m) + $17,000/day (5-7m)
GOC GO Star 43,656dwt $26,500/day (36m)

So GOC have achieved a 30% better rate and for twice as long. Provided the BDI Index doesn't rise significantly, that's a *much* better performance and much bigger profit after operating expenses than GLBS are generating.

[rik shaw] 22/6/2007 12:53

No but Digital Look showing 22p and 33p 2008 and 2009. I guess these will be upgraded with the extra ship due later in the year.

[luckyjonah] 22/6/2007 11:32

I have revalued based upon the new ship and the 2 charter updates in May - I now have EPS for 0708 rising from 18.8p to 25.0p (PE=4.1 @ 102.5p), although my initial figures were 2.8p less than Jeffries so hopefully I'm being pessimistic! (Full figures on TMF)

That EPS figure also only includes 8 months of the new GO Star ship. Current market value of ships is about $200m on the balance sheet at around $122m. $20m cash at hand with $70m long term debt with banks. Still looks very cheap to me, especially compared to GPRT with a PE of 10.

Has anyone else calculated their own figures?

[Edit: fixed typo]

[lonrho] 22/6/2007 09:55

looks a great freight rate esp when compared to GO Patoro.Anyone care to estimate our net asset value based on that purchase ,must be way over the share price.

[saucepan] 22/6/2007 09:31

Tuckswood8: thanks for sharing that important link. Gepetto was right, of course, to raise the issue of size comparability. My gut instinct that this is a good deal appears to be confirmed. Idioterna's comment also adds to such a view.

[tuckswood8] 22/6/2007 09:11

GO Star is a Handymax built in Japan in 1994 and has a DWT of 43,656.

Fleet details are at:

[idioterna] 22/6/2007 09:09

Nice, a new ship effectively paid off after 3 years, with a life span of another 12 thereafter.

[abubryn] 22/6/2007 09:06

There are 2 rns first one gives size .

[lonrho] 22/6/2007 09:05

I see the baltic index is now bouncing so all things being equal we should recover our share price loss as it was going down.

[gepetto] 22/6/2007 09:03

Sorry, just to throw a bit more of my own research into it: Handymax vessels can be 35000 to 60000 tonnes, although being recent japanese build this one is more likely to be around 55000 and less than 190m in length, therefore only about 1/3rd of a capesize carrier. The GO Trader (Handymax), though, at only 45000 currently goes for $ 19250 pd, so the new deal looks better.

[gepetto] 22/6/2007 08:54

Has anyone found out what size this new ship is ? Bit meaningless to compare hire rates otherwise...

[saucepan] 22/6/2007 08:48

According to the 15 May RNS:

GO Pride: has been fixed for a period of 12 months at the rate of US$18,500 per
day, which is almost double the previous rate of US$9,275. The new charter is
scheduled to commence on June 2007.

GO Faith: has been fixed for a period of 12 to 14 months at the rate of US$
28,000 per day commencing end of May 2007.

A the time, these were described by CEO Michael Tartsinis as "very favourable rates"

Today's purchase, GO Star, will operate under a fixed-rate period time charter of 3 years with BREAKBULK MARINE SERVICES LTD (BMS) at a rate of USD 26,500 per day.

That looks like more good business, then.

I also like the fact that the purchase has been achieved WITHOUT share dilution.

[saucepan] 22/6/2007 08:16

Exciting RNS this morning:

Another ship purchased and contract arrangements made for it already to be put into use profitably!

we have secured a fixed rate period of employment for GO Star,
which will further strengthen the profitability of the Company.

I wonder how long it will take for the market to wake up to the value of GOC?

[pbracken] 11/6/2007 09:31

BDI down again. GOC is a proxy for this index for obvious reasons: although current charter rates (for most but not all its ships) are good and fixed for 18-24months, the mkt will clearly keep an eye on the likely future impact of a weaker drybulk market.

I think the current pullback in the BDI is a healthy one - no one is suggesting it's anything more than a correction. But it will weigh on the share price of GOC, as it should.

[abubryn] 08/6/2007 12:35

Did say I wasnt into charts and at my age dont really want to waste nonreplaceable brain cells learning about them .I will be buying more nevertheless .

[the drewster] 08/6/2007 12:14

You need to analyse a lot more than just a pretty pattern.

[abubryn] 08/6/2007 11:40

Not a Chartist but, have I heard cup and handle said about a chart like goc,s.
My long dormant buc shares are just coming right to switch into this as soon as possible .

[papalpower] 08/6/2007 11:37

Hope so. :)