Danaos Corporation reported its first-quarter 2025 financial results, with operating revenues remaining flat at $253.3 million compared to $253.4 million in Q1 2024. Adjusted net income decreased to $113.4 million, or $6.04 per diluted share, from $140.0 million, or $7.15 per diluted share, in the prior year period. Non-adjusted net income also fell to $115.1 million, or $6.13 per diluted share, from $150.5 million, or $7.68 per diluted share, in Q1 2024.
The decline in adjusted net income was primarily driven by a $19.8 million increase in total operating expenses and a $6.0 million rise in net finance expenses. Vessel operating expenses increased by $8.6 million to $51.7 million, with daily operating costs rising to $7,028 per vessel per day from $6,493. Interest expense also increased significantly by $6.9 million to $10.0 million.
As of March 31, 2025, outstanding debt, gross of deferred finance costs, increased to $779.7 million from $458.6 million at March 31, 2024, primarily due to financing for container vessel newbuilding deliveries. Management expressed concern that proposed IMO regulations on greenhouse gas emissions fall short of industry ambitions and stated the company is holding off on new vessel investments, focusing instead on optimizing its existing fleet.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.