Rand Logistics, Inc. (RLOG) saw its loss narrow to $0.19 million, or $0.03 a share for the quarter ended Dec. 31, 2016. In the previous year period, the company reported a loss of $3.85 million, or $0.23 a share. Revenue during the quarter dropped 17.41 percent to $37.80 million from $45.76 million in the previous year period. Total expenses were 86.21 percent of quarterly revenues, down from 93.24 percent for the same period last year. This has led to an improvement of 703 basis points in operating margin to 13.79 percent.
Operating income for the quarter was $5.21 million, compared with $3.09 million in the previous year period.
"We were generally pleased with our operating and financial performance in both our fiscal 2017 third quarter and the 2016 sailing season," commented Ed Levy, president and chief executive officer of Rand. "Improving demand conditions in the quarter ended December 31, 2016, including incremental business generated from both new and existing customers, helped to drive a 26.7% increase in EBITDA, bringing year to date EBITDA near to the prior year level. We achieved our 2016 sailing season results while sailing 363, or 9.6%, fewer days and carrying 6.7% less tons versus the 2015 season. We successfully offset weak demand for certain of the commodities we transport and the continued weakness in the Canadian dollar through effective operating cost controls and aggressive management of our vessel capacity. These initiatives resulted in an increase in vessel margin per day of 7.9%, or $994, on a year over year basis."
Working capital increases sharplyRand Logistics, Inc. has recorded an increase in the working capital over the last year. It stood at $3.15 million as at Dec. 31, 2016, up 2,012.08 percent or $3 million from $0.15 million on Dec. 31, 2015. Current ratio was at 1.17 as on Dec. 31, 2016, up from 1.01 on Dec. 31, 2015. Days sales outstanding went up to 47 days for the quarter compared with 36 days for the same period last year.
Debt moves up marginally
Rand Logistics, Inc. has witnessed an increase in total debt over the last one year. It stood at $192.04 million as on Dec. 31, 2016, up 4.18 percent or $7.70 million from $184.35 million on Dec. 31, 2015. Rand Logistics, Inc. has witnessed an increase in long-term debt over the last one year. Total debt was 75.45 percent of total assets as on Dec. 31, 2016, compared with 69.68 percent on Dec. 31, 2015. Debt to equity ratio was at 5.06 as on Dec. 31, 2016, up from 3.45 as on Dec. 31, 2015. Interest coverage ratio improved to 0.96 for the quarter from 1 for the same period last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
