HAMILTON, Bermuda, May 9, 2014 (GLOBE NEWSWIRE) -- Nordic American Offshore Ltd. ("NAO" or "the Company") today announced that it has declared its first dividend, $0.45 per share for 1Q2014. The record date is June 17, 2014 and the payment of dividend is expected to take place on or about June 30, 2014.
For 1Q2014 the Company had earnings per share of $0.10, and a positive operating cash flow i of $6.5 million. The operating result for the quarter reflects 94 % of the earnings capacity for our fleet, as three of our six operating vessels were delivered in January 2014.
Financial InformationThe Board has declared a dividend of $0.45 per share for 1Q2014 to shareholders of record as of June 17, 2014. As of the time of this report, the number of shares in NAO is 16,666,666. Our net income of $1.7 million for the first quarter of 2014 was impacted by a tax charge on operations of $1.2 million. In March 2014 we entered into the UK Tonnage Tax system, which will replace the taxation on operations and result in minor future tax charges. Our fleet currently operates in the North Sea. The Company's operating cash flow was $6.5 million for 1Q2014. As a matter of policy, the Company will always try to keep a strong balance sheet with low net debt and a focus on limiting the Company's financial risk. At the end of 1Q2014 the net debt per NAO vessel in operation was $3.0 million. The Company has in place a non-amortizing credit facility of $60 million, of which $40m has been drawn at this time. Net working capital, undrawn amounts of the credit facility and cash on hand amounted to $34 million. We concentrate on keeping our vessel operating costs low, while always maintaining our strong commitment to safe operations. As we expand our fleet, we do not anticipate that our administrative costs will rise correspondingly.