Years Ended December 31,
2015 2014 2013 2012 2011
(in thousands of U.S. $, except number of shares, per common share data, fleet and other financial data)
Statement of Operations Data: (1)
Total operating revenues 102,674 106,155 99,828 410,345 299,848
Vessel operating expenses 56,347 49,570 43,750 86,672 62,872
Depreciation and amortization 73,732 49,811 36,871 85,524 70,286
Total operating expenses 234,604 146,488 118,332 207,562 173,379
Gain on disposals to Golar Partners 102,884 43,783 65,619 - -
Operating (loss) income (35,902) (1,620) 47,115 202,756 121,031
Total other non-operating income 12,513 27,484 27,605 857,929 541
Net financial expenses (income) 174,619 87,852 (41,768) 42,868 53,102
(Loss) income before equity in net earnings (losses) of affiliates, income taxes and non-controlling interests (198,008) (61,988) 116,488 1,017,817 68,470
Net (loss) income (178,501) (41,466) 135,713 1,014,443 68,275
Net (loss) income attributable to the shareholders (197,659) (43,121) 135,713 971,303 46,650
(Loss) earnings per common share
- basic (2) (2.12) (0.50) 1.69 12.09 0.62
- diluted (2) (2.12) (0.50) 1.59 11.66 0.62
Cash dividends declared and paid per common share 1.35 1.80 1.35 1.93 1.13
Weighted average number of shares – basic (2) (in thousands) 93,357 87,013 80,530 80,324 74,707
Weighted average number of shares – diluted (2) (in thousands) 93,357 87,013 80,911 84,243 75,033
Balance Sheet Data (as of end of year):
Cash and cash equivalents 105,235 191,410 125,347 424,714 66,913
Restricted cash and short-term receivables (3) 228,202 74,162 23,432 1,551 28,012
Assets held-for-sale 269,459 284,955 - - -
Long-term restricted cash (3) 180,361 425 3,111 - 185,270
Investments in affiliates 313,021 335,372 350,918 367,656 22,529
Cost method investments 204,172 204,172 204,172 198,524 7,347
Newbuildings 13,561 344,543 767,525 435,859 190,100
Asset under development 501,022 345,205 - - -
Vessels and equipment, net 2,336,144 1,648,888 811,715 573,615 1,203,003
Vessels under capital lease, net - - - - 501,904
Total assets 4,307,588 3,991,993 2,665,221 2,414,399 2,232,634
Current portion of long-term debt 501,618 116,431 30,784 14,400 64,306
Liabilities held-for-sale 203,638 164,401 - - -
Long-term debt (including debt due to a related party) 1,376,443 1,264,356 686,244 490,506 707,243
Long-term obligations under capital leases - - - - 399,934
Stockholders' equity 1,894,339 2,282,507 1,804,137 1,764,319 677,765
Common shares outstanding (2) (in thousands) 93,547 93,415 80,580 80,504 80,237
Cash Flow Data (1):
Net cash (used in) provided by operating activities (344,649) 24,873 67,722 233,810 116,608
Net cash used in investing activities (255,956) (1,429,270) (533,067) (290,700) (298,644)
Net cash provided by financing activities 514,430 1,470,460 165,978 414,691 84,232
Fleet Data (unaudited)
Number of vessels at end of year 17 13 7 6 12
Average number of vessels during year 14.0 8.8 5.5 12.6 12
Average age of vessels (years) 9.7 10.8 18.7 25.4 18.8
Total calendar days for fleet 5,647 2,133 2,012 4,615 4,380
Total operating days for fleet (4) 4,481 2,059 1,501 3,684 3,255
Other Financial Data (unaudited):
Average daily time charter equivalent earnings, or TCE (5) (to the closest $100) $ 14,900 $ 33,100 $ 38,300 $ 94,200 $ 87,700
Average daily vessel operating costs (6) $ 11,783 $ 23,240 $ 21,745 $ 18,780 $ 14,354

(1) From the initial public offering of our former subsidiary, Golar Partners, in April 2011, or the IPO, until the time of the first annual general meeting of unitholders of Golar Partners, or the AGM, on December 13, 2012, pursuant to the partnership agreement of Golar Partners, we retained the sole power to appoint, remove and replace all of the members of the Partnership's board of directors. Accordingly, Golar Partners was treated as our controlled subsidiary and Golar Partners' results were consolidated with the results of the Company. From the first AGM held by Golar Partners, the majority of the Partnership's board members became electable by the common unitholders, and from such date, we no longer retain the power to control the board of directors and hence the Partnership and accordingly, we deconsolidated Golar Partners and its subsidiaries from our consolidated financial statements. As a result, from December 13, 2012, Golar Partners has been considered our affiliate entity. The deconsolidation of Golar Partners resulted in a gain of $854 million recognized in 2012.

A summary of the key significant changes in our financial results, as a consequence of the deconsolidation, include:

  • A decrease in operating income and individual line items therein, in relation to Golar Partner’s fleet; and
  • A decrease in net financial expense in respect of Golar Partner’s debt and capital lease obligations, net of restricted cash deposits.

Offset by recognition of:

  • Gains on disposals to Golar Partners;
  • Management fee income from the provision of services to Golar Partners under each of the management and administrative services and the fleet management agreements;
  • Dividend income in respect of our interests in common units, general partner interests (during the subordination period) and incentive distribution rights, or IDRs, of Golar Partners; and
  • Equity in net earnings of affiliates, will change to reflect our share of the results of Golar Partners calculated with respect to our interests in its subordinated units only, but offset by a charge for the amortization of the basis difference in relation to the $854 million gain on loss of control.

In addition, our Balance Sheet as at December 31, 2012 was affected in the following ways by the deconsolidation:

Balance Sheet:

  • "Investment in affiliates" of $362.1 million was initially recognized representing our subordinated unit interests held in Golar Partners that during the subordination period will be accounted for under the equity method.
  • "Cost method investments"of $191.2 million was initially recognized representing our 2% general partner interest and 100% of the IDRs held in Golar Partners.
  • The net book value of "Vessels and equipment" was reduced by $707.1 million.
  • The net book value of "Vessels under capital leases" was reduced by $485.6 million.
  • Restricted cash was reduced by $221.4 million.
  • Capital lease obligations were eliminated.
  • Long-term debt was reduced by $704.5 million.

(2) Basic earnings per share are calculated based on the income available to common shareholders and the weighted average number of our common shares outstanding. Treasury shares are not included in this calculation. The calculation of diluted earnings per share assumes the conversion of potentially dilutive instruments.

(3) Restricted cash and short-term receivables consist of bank deposits, which may only be used to settle certain pre-arranged loans or lease payments or deposits made in accordance with our contractual obligations under our equity swap line facilities, bid or performance bonds for projects we may enter.

(4) The total operating days for our fleet is the total number of days in a given period that our vessels were in our possession less the total number of days off-hire. We define days off-hire as days lost to, among other things, operational deficiencies, drydocking for repairs, maintenance or inspection, equipment breakdowns, special surveys and vessel upgrades, delays due to accidents, crewing strikes, certain vessel detentions or similar problems, or our failure to maintain the vessel in compliance with its specifications and contractual standards or to provide the required crew, or periods of commercial waiting time during which we do not earn charter hire.

(5) Non-U.S. GAAP Financial Measure: Time charter equivalent, or TCE, rate is a measure of the average daily performance of a vessel. This is calculated by dividing time and voyage charter revenues, less any voyage expenses, by the number of calendar days minus days for scheduled off-hire. Under a time charter, the charterer pays substantially all of the vessel voyage related expenses. However, we may incur voyage related expenses when positioning or repositioning vessels before or after the period of a time charter, during periods of commercial waiting time or while off-hire during drydocking. TCE rate is a standard shipping industry performance measure used primarily to compare period-to-period changes in a company's performance despite changes in the mix of charter types (i.e. spot charters, time charters and bareboat charters) under which the vessels may be employed between the periods. We include average daily TCE rate, a non-U.S. GAAP measure, as we believe it provides additional meaningful information in conjunction with total operating revenues, the most directly comparable U.S. GAAP measure, because it assists our management in making decisions regarding the deployment and use of our vessels and in evaluating their financial performance. Our calculation of TCE rate may not be comparable to that reported by other companies. The following table reconciles our total operating revenues to average daily TCE rate.

Years Ended December 31,
2015 2014 2013 2012 2011
(in thousands of U.S. $, except number of shares, per common share data, fleet and other financial data)
Time and voyage charter revenues 90,127 95,399 90,558 409,593 299,848
Voyage expenses* (23,434) (27,340) (14,259) (9,853) (6,042)
66,693 68,059 76,299 399,740 293,806
Calendar days less scheduled off-hire days 4,481 2,059 1,994 4,245 3,352
Average daily TCE rate (to the closest $100) 14,900 33,100 38,300 94,200 87,700

* The TCE calculation in 2015 excludes charter-hire expenses, which arose on the charter back of the Golar Eskimo and the Golar Grand.

(6) We calculate average daily vessel operating costs by dividing vessel operating costs by the number of calendar days. Calendar days exclude those from vessels chartered in where the vessel operating costs are borne by the legal owner, and those of vessels undergoing conversion.