Pacific Shipping Trust says it will distribute 0.793 US cents per unit to unitholders for the first quarter ended 31 March, 2010 (Q1 FY2010), representing a tax-free annualised yield of 10.8%.

Gross revenue from the 12 vessels which are all on long-term charter remained stable at US$15.2 million ($20.9 million), recording a net profit after tax in Q1 FY2010 of US$6.7 million. In the corresponding quarter of the previous year (Q1 FY2009), net profit after tax was US$6.6 million on the back of a gross revenue of US$15.25 million.

One of PST’s charterers, Compania Sud Americana de Vapores S.A. (CSAV), has recently completed the third round of capital increase, which has raised a total of US$773 million in new capital from its series of equity issues. S&P has also removed CSAV from its negative watch list on Sept 22 2009.

The recovery of the containership market in the fourth quarter of 2009 continued into the first quarter of 2010. The container market has witnessed an increase in freight rates in addition to a rise in asset prices in recent months.