Genco guides for loss

Genco Shipping & Trading has braced investors for a loss of over $40m in the first quarter of 2014.

Genco, which filed Chapter 11 papers a few weeks ago, revealed only a snapshot of the quarter for which it anticipates a deficit of $42.2m.

This would mark an improvement on the $52.0m loss produced at the same point last year.

In a filing to the SEC, Genco says the progress comes as revenue is projected to increase from $39.7m to $63.2m year-on-year.

On an operating level its loss is forecast to shrink from $30.5m to $20.8m, the filing said.

In late April Genco became the second company founded by Peter Georgiopoulos to enter the US bankruptcy courts.

It sought protection with debt of $1.48bn and assets of $2.45bn, its court filing said.

The petition aims to reduce the company's total debt by approximately $1.2bn and enhance its financial flexibility, a statement said.