"Bermuda Container Line Ltd. benefited from an increase of $941,000 or 69% in net earnings for the first half of 2001 compared to the first half of 2000. The improved earnings were due to an increase in cargo volume and so freight revenue coupled with reductions in certain key expense categories.
Consolidated revenues were up $1,057,000 or 7.9% due to significant cargo volume increases experienced by both the BCL and SISL services. The increased cargo volume was primarily driven by the construction industry and the outfitting of new offices. Net fuel expenses declined for both BCL and SISL due to the impact of the fuel surcharge implemented in the middle of 2000. BCL also had reduced US stevedoring costs due to a new stevedoring agreement, part of these cost savings were passed on to customers in a freight rate reduction in September 2000. Smaller savings were also achieved in some other expense categories.
The rate of volume growth has slowed substantially in both the second and third quarters of the year. In addition the terrible events of Tuesday 11th September have made the immediate outlook very cloudy."
Financial Highlights:
2001 2000
Revenues $14,496,565 $13,439,105
Expenses $12,198,785 $12,082,223
Net Earnings $2,297,780 $1,356,882
Net Earnings per share $ 0.77 $0.45
Dividend per share $ 0.18 $0.16