Highlights | |||
(in million USD except LPS) | Q1 2024 | Q1 2023 | |
Net Revenues | |||
Net Loss | ( | ( | |
Adjusted Net Loss1 | ( | ( | |
EBITDA1 | ( | ||
Adjusted EBITDA1 | ( | ||
Loss per share Basic & Diluted | ( | ( | |
Adjusted Loss per share Basic1 & Diluted1 | ( | ( |
Other Highlights and Developments:
- Quarterly cash dividend of
$0.075 per share declared for Q1 2024 - Total cash dividends of
$11.4 million , or$1.45 per share, declared sinceNovember 2022 , representing approximately 46% of United’s market capitalization2 - Agreement to acquire a 2016-built Japanese Kamsarmax3
- Agreement to sell a 2010-built Chinese Kamsarmax at a profit
- A new
$18.0 million sale and leaseback arrangement – aggregate financings of$31.8 million year-to-date
GLYFADA,
For the quarter ended
Cash and cash-equivalents and restricted cash as of
“In the first quarter of the year, we witnessed a strong start for the dry bulk market, reflecting positively on the Capesize segment of our fleet, while our smaller vessels recorded a moderate performance. The strong market conditions are paving the way for high returns on capital for our shareholders, mainly through the appreciation of our Capesize and Panamax acquisitions concluded in 2023. Our results for the quarter were affected by our hedging activities, as we had converted about half of our operating days ahead of the counter-seasonal increase in the market as a means of ensuring downside protection. Our performance in the first quarter of 2024 was also affected by lower utilization rates due to increased scheduled dry-docking activity.
“Consistent with our practice of returning capital to our shareholders, we declared our sixth consecutive quarterly dividend of
“In terms of major transactions relating to our fleet development, we have recently agreed to sell the 2010-built M/V Oasea, at a profit over its acquisition price. We have already agreed to replace the M/V Oasea, with the previously announced acquisition of a 2016-built Japanese vessel, the M/V Nisea. Besides the financial profit from the sale of the M/V Oasea, these transactions will significantly benefit United commercially based on the improved fuel efficiency and considerably better environmental rating of our newest acquisition. Following these deliveries, our fleet will consist of 8 dry bulk vessels with a total carrying capacity of approximately 1 million dwt. We are optimistic that our focus on larger vessels and favorable capital structure should allow us to benefit considerably from the positive market environment.
“Turning to our commercial highlights, we have fixed approximately 95% of our second quarter days at an average rate of
“With regards to the market outlook, the recent dry bulk strength has been driven by higher seaborne trade across most commodities in the face of limited vessel deliveries, while disruptions involving the
Current Company Fleet:
Sector | Capacity (DWT) | Year Built | Yard | Employment Type | Minimum | Maximum | |
Goodship | Dry Bulk / Capesize | 177,536 | 2005 | Mitsui | T/C Index Linked(2) | Aug-24 | Nov-24 |
Tradership | Dry Bulk / Capesize | 176,925 | 2006 | Namura | T/C Index Linked(2) | Jan-25 | Jun-25 |
Gloriuship | Dry Bulk / Capesize | 171,314 | 2004 | Hyundai | Time Charter Trip | N/A | N/A |
Oasea(3) | Dry Bulk / Kamsarmax | 82,217 | 2010 | Time Charter Trip | N/A | N/A | |
Cretansea | Dry Bulk / Kamsarmax | 81,508 | 2009 | Universal | T/C Index Linked(2) | Apr-24 | Jul-24 |
Chrisea(4) | Dry Bulk / Panamax | 78,173 | 2013 | T/C Index Linked(2) | May-25 | Sep-25 | |
Synthesea(5) | Dry Bulk / Panamax | 78,020 | 2015 | Sasebo | T/C Index Linked(2) | Oct-24 | Dec-24 |
Sector | Capacity (DWT) | Year Built | Yard | Employment Type | Minimum | Maximum | |
Exelixsea | Dry Bulk / Panamax | 76,361 | 2011 | Oshima | T/C Index Linked(2) | Jul-24 | Nov-24 |
Total/Average age | 922,054 | 14.9 years |
(1) The latest redelivery dates do not include any additional optional periods.
(2) “T/C” refers to a time charter agreement. Under these index-linked T/Cs, the Company has the option to convert the index-linked rate to fixed for a period of minimum two months, based on the prevailing FFA Rates for the selected period, and has done so for certain vessels as part of its freight hedging strategy, as described below under “Second Quarter 2024 TCE Rate Guidance.”
(3) The vessel is expected to be delivered to her new owners in
(4) The vessel is technically and commercially operated by the Company on the basis of an 18-month bareboat charter-in contract with the owners of the vessel, including a purchase option at the end of the bareboat charter in favour of the Company.
(5) The vessel is technically and commercially operated by the Company on the basis of a 12-month bareboat charter-in contract with the owners of the vessel, including a purchase option at the end of the bareboat charter in favour of the Company.
Vessel to be delivered
Sector | Capacity (DWT) | Year Built | Yard | |
tbr Nisea | Dry Bulk / Kamsarmax | 82,235 | 2016 | Oshima |
Fleet Data:
(Amounts in
Q1 2024 | Q1 2023 | |||
Ownership days (1) | 728 | 305 | ||
Operating days (2) | 659 | 245 | ||
Fleet utilization (3) | 90.5% | 80.3% | ||
TCE rate (4) | ||||
Daily Vessel Operating Expenses (5) |
(1) Ownership days are the total number of calendar days in a period during which the vessels in a fleet have been owned or chartered. Ownership days are an indicator of the size of the Company’s fleet over a period and affect both the amount of revenues and the amount of expenses that the Company recorded during a period.
(2) Operating days are the number of available days in a period less the aggregate number of days that the vessels are off-hire due to unforeseen circumstances. Operating days include the days that our vessels are on ballast voyages without having finalized agreements for their next employment.
(3) Fleet utilization is the percentage of time that the vessels are generating revenue and is determined by dividing operating days by ownership days for the relevant period.
(4) TCE rate is defined as the Company’s net revenue less voyage expenses during a period divided by the number of the Company’s operating days during the period. Voyage expenses include port charges, bunker (fuel oil and diesel oil) expenses, canal charges and other commissions. The Company includes the TCE rate, a non-GAAP measure, as it believes it provides additional meaningful information in conjunction with net revenues from vessels, the most directly comparable
(In thousands of
Q1 2024 | Q1 2023 | |||
Vessel revenue, net | 10,598 | 2,821 | ||
Less: Voyage expenses | 604 | 299 | ||
Time charter equivalent revenues | 9,994 | 2,522 | ||
Operating days | 659 | 245 | ||
TCE rate |
(5) Vessel operating expenses include crew costs, provisions, deck and engine stores, lubricants, insurance, maintenance and repairs. Daily Vessel Operating Expenses are calculated by dividing vessel operating expenses, excluding pre-delivery costs of acquired vessels, by ownership days for the relevant time periods. The Company’s calculation of daily vessel operating expenses may not be comparable to that reported by other companies. The following table reconciles the Company’s vessel operating expenses to daily vessel operating expenses.
(In thousands of
Q1 2024 | Q1 2023 | |||
Vessel operating expenses | 5,158 | 3,111 | ||
Less: Pre-delivery expenses | - | 743 | ||
Vessel operating expenses before pre-delivery expenses | 5,158 | 2,368 | ||
Ownership days | 728 | 305 | ||
Daily Vessel Operating Expenses |
Net loss to EBITDA and Adjusted EBITDA Reconciliation:
(In thousands of
Q1 2024 | Q1 2023 | |||
Net loss | (1,340 | ) | (4,887 | ) |
Interest and finance costs, net | 2,031 | 970 | ||
Depreciation and amortization | 2,810 | 1,226 | ||
EBITDA | 3,501 | (2,691 | ) | |
Stock based compensation | 190 | 1,218 | ||
Loss on extinguishment of debt | 22 | - | ||
Adjusted EBITDA | 3,713 | (1,473 | ) |
Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”) represents the sum of net income, net interest and finance costs, depreciation and amortization and, if any, income taxes during a period. EBITDA is not a recognized measurement under
EBITDA and Adjusted EBITDA are presented as we believe that these measures are useful to investors as a widely used means of evaluating operating profitability. EBITDA and Adjusted EBITDA as presented here may not be comparable to similarly titled measures presented by other companies. These non-GAAP measures should not be considered in isolation from, as a substitute for, or superior to, financial measures prepared in accordance with
Net loss and Adjusted net loss Reconciliation and calculation of Adjusted loss Per Share
(In thousands of
Q1 2024 | Q1 2023 | |||
Net loss | (1,340 | ) | (4,887 | ) |
Stock based compensation | 190 | 1,218 | ||
Loss on extinguishment of debt | 22 | - | ||
Adjusted net loss | (1,128 | ) | (3,669 | ) |
Adjusted net loss – common stockholders, basic and diluted | (1,128 | ) | (3,729 | ) |
Adjusted loss per common share, basic and diluted | (0.13 | ) | (0.48 | ) |
Weighted average number of common shares outstanding, basic and diluted | 8,688,498 | 7,766,681 |
To derive Adjusted Net loss and Adjusted Net loss Per Share, both non-GAAP measures, from Net loss, we exclude certain non-cash items, as provided in the table above. We believe that Adjusted Net loss and Adjusted Net loss Per Share assist our management and investors by increasing the comparability of our performance from period to period since each such measure eliminates the effects of such non-cash items as stock-based compensation, loss on extinguishment of debt and other items which may vary from year to year, for reasons unrelated to overall operating performance. In addition, we believe that the presentation of the respective measures provides investors with supplemental data relating to our results of operations, and therefore, with a more complete understanding of factors affecting our business than with GAAP measures alone. Our method of computing Adjusted Net loss and Adjusted Net loss per Share may not necessarily be comparable to other similarly titled captions of other companies due to differences in methods of calculation.
Second Quarter 2024 TCE Rate Guidance:
As of the date hereof, approximately 95% of the Company’s fleet expected operating days in the second quarter of 2024 have already been fixed at an estimated TCE rate of approximately
The following table provides the breakdown of index-linked charters and fixed-rate charters in the second quarter of 2024:
Operating Days | TCE Rate | ||
TCE - fixed rate (index-linked conversions) | 455 | ||
TCE - fixed rate | 117 | ||
TCE – index-linked | 124 | ||
Total / Average | 696 | $17,256 |
First Quarter and Recent Developments:
Dividend Distribution for Q4 2023 and Declaration of Dividend for Q1 2024
On
On
Financing Updates
Sale and Leaseback of M/V Exelixsea
In
Sale and Leaseback of M/V Synthesea
In
Vessel Transactions and Commercial Updates
M/V Nisea – Bareboat charter agreement
In
Exercise of purchase option and Sale of M/V Oasea
In
In
M/V Chrisea - New time-charter agreement
In
M/V Tradership – Time-charter extension
In
M/V Oasea – Time-charter trip
In
M/V Gloriuship – Time-charter trip
In
Unaudited Condensed Consolidated Balance Sheets (In thousands of | ||||||
March 31, 2024 | ||||||
ASSETS | ||||||
Cash and cash equivalents and restricted cash | 9,756 | 14,501 | ||||
Vessels, net and, Right-of-use assets | 150,213 | 152,525 | ||||
Other assets | 17,011 | 7,779 | ||||
TOTAL ASSETS | 176,980 | 174,805 | ||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||
Long-term debt, finance lease liability and other financial liabilities, net of deferred finance costs | 93,535 | 95,954 | ||||
Other liabilities | 19,462 | 12,982 | ||||
Stockholders’ equity | 63,983 | 65,869 | ||||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | 176,980 | 174,805 |
* Derived from the audited consolidated financial statements as of the period as of that date
Unaudited Condensed Consolidated Statements of Operations (In thousands of and per share data, unless otherwise stated) | |||||
Three months ended | Three months ended | ||||
Vessel Revenue, net | 10,598 | 2,821 | |||
Expenses: | |||||
Voyage expenses | (604 | ) | (299 | ) | |
Vessel operating expenses | (5,158 | ) | (3,111 | ) | |
Management fees | (592 | ) | (232 | ) | |
General and administrative expenses | (778 | ) | (1,819 | ) | |
Depreciation and amortization | (2,810 | ) | (1,226 | ) | |
Operating income / (loss) | 656 | (3,866 | ) | ||
Other income / (expenses): | |||||
Interest and finance costs | (2,123 | ) | (1,179 | ) | |
Interest and other income | 92 | 209 | |||
Loss on extinguishment of debt | (22 | ) | - | ||
Other, net | 57 | (51 | ) | ||
Total other expenses, net: | (1,996 | ) | (1,021 | ) | |
Net loss | (1,340 | ) | (4,887 | ) | |
Net loss attributable to common stockholders | (1,340 | ) | (4,947 | ) | |
Net loss per common share, basic and diluted | (0.15 | ) | (0.64 | ) | |
Weighted average number of common shares outstanding, basic and diluted | 8,688,498 | 7,766,681 |
Unaudited Condensed Consolidated Cash Flow Data (In thousands of | |||||
Three months ended | Three months ended | ||||
Net cash provided by / (used in) operating activities | 2,296 | (4,060 | ) | ||
Net cash used in investing activities | (3,750 | ) | (52,135 | ) | |
Net cash (used in) / provided by financing activities | (3,291 | ) | 6,264 |
About
The Company is incorporated under the laws of the Republic of the
Please visit the Company’s website at: www.unitedmaritime.gr.
Forward-Looking Statements
This press release contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events. Words such as "may", "should", "expects", "intends", "plans", "believes", "anticipates", "hopes", "estimates" and variations of such words and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These statements involve known and unknown risks and are based upon a number of assumptions and estimates, which are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of the Company. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, shipping industry trends, including charter rates, vessel values and factors affecting vessel supply and demand; the impact of changes in regulatory requirements or actions taken by regulatory authorities on the Company's operating or financial results; the Company's financial condition and liquidity, including its ability to service its indebtedness or to pay dividends; competitive factors in the market in which the Company operates; increased operating costs associated with vessel aging; vessel damage; future, pending or recent acquisitions and dispositions, business strategy, areas of possible expansion or contraction, and expected capital spending or operating expenses; dependence on affiliates of the Company’s former parent and third-party managers to operate the Company’s business; availability of crew, number of off-hire days, classification survey requirements and insurance costs; changes in the Company’s relationships with contract counterparties; potential liability from future litigation and incidents involving the Company’s vessels; broader market impacts arising from war (or threatened war) or international hostilities, such as between
For further information please contact:
United Investor Relations
Tel: +30 213 0181 522
E-mail: ir@usea.gr
Capital Link, Inc.
Paul Lampoutis
230 Park Avenue Suite 1540
Tel: (212) 661-7566
E-mail: usea@capitallink.com
___________________
1 Adjusted loss per share, Adjusted Net loss, EBITDA and Adjusted EBITDA are non-GAAP measures. Please see the reconciliation below of Adjusted loss per share, Adjusted Net loss, EBITDA and Adjusted EBITDA to Net loss, the most directly comparable
2 Based on the closing price on
3 Through an 18-month bareboat charter with purchase option.
4 TCE Rate is a non-GAAP measure. Please see the reconciliation below of TCE Rate to net revenues from vessels, the most directly comparable
5 This guidance is based on certain assumptions and there can be no assurance that these TCE rate estimates, or projected utilization will be realized. TCE rate estimates include certain floating (index) to fixed rate conversions concluded in previous periods. For the only vessel on unhedged index-linked
![](https://ml.globenewswire.com/media/ZWUyMDk2MjYtMTZmYi00ZjJkLTliNDAtMDc5YWNmMjMxZjA0LTUwMDEwNjYxNg==/tiny/United-Maritime-Corporation.png)
2024 GlobeNewswire, Inc., source