Financial Highlights of the Fourth Quarter of 2022:
- Net income:
$36.5 million - Adjusted net income1:
$39.8 million - EBITDA1:
$38.9 million - Earnings per share (“EPS”) (basic & diluted):
$4.86 &$3.55 - Adjusted EPS1 (basic & diluted):
$5.36 &$3.90
Financial Highlights of the period from commencement of operations:
- Net income:
$37.5 million - Adjusted net income1:
$40.9 million - EBITDA1:
$41.8 million - Earnings per share (“EPS”) (basic & diluted):
$7.79 &$4.92 - Adjusted EPS1 (basic & diluted):
$8.54 &$5.39 - Completed shareholder rewards of
$23.4 million $7.4 million in special dividend distribution$6.0 million in stock buybacks$10.0 million of convertible preferred shares redemption
Other Highlights and Developments:
- Initiates a regular quarterly dividend of
$0.075 per share - Commences second investment cycle of
$98 million 2 consisting of:- Two Capesize vessels for a total purchase price of
$36.25 million - Two Kamsarmax vessels for a total purchase price of
$39.2 million - One Panamax vessel under a bareboat charter agreement with a purchase option
- Two Capesize vessels for a total purchase price of
GLYFADA,
For the quarter ended
For the period from commencement of its operation to
Cash, cash-equivalents and restricted cash, as of
“We are pleased to report a very profitable first operating period. We generated a net income of
“Consistent with our commitment to reward our shareholders, we paid a special dividend of
“As regards our financial performance during the quarter, we generated net revenue of
“As regards United’s next steps, we believe that the most compelling opportunities are currently in the dry bulk space, and we position the Company in order to benefit from the anticipated recovery, into a diversified range of vessel sizes. The recent weakness in the dry bulk market has been driven mainly by temporary factors, while the long-term supply and demand fundamentals remain fully intact and are stronger than what is implied by current vessel market values and spot rates. As the economic reality in
“We have recently agreed to acquire five dry bulk vessels for a total consideration of approximately
“We strongly believe that the dry bulk market will improve substantially within 2023 and our solid balance sheet will allow us to take advantage of opportunities arising in the market. We intend to follow through on our successful investment strategy, produce strong returns and continue rewarding our shareholders.”
______________________________
1 Adjusted EPS, Adjusted Net Income, EBITDA and Adjusted EBITDA are non-GAAP measures. Please see the reconciliation below of Adjusted EPS, Adjusted Net Income, EBITDA and Adjusted EBITDA to net income, the most directly comparable
2 Including the bareboat hire payable throughout the 18-month period and upon exercising purchase option at the end of bareboat period.
3 TCE rate is a non-GAAP measure. Please see the reconciliation below of TCE rate to net revenues from vessels, the most directly comparable
4 Includes restricted cash.
5 Upon exercising purchase option at the end of bareboat period.
Current Company Fleet:
Sector | Capacity (DWT) | Year Built | Yard | Employment Type | Minimum | Maximum | |
Gloriuship | Dry Bulk / Capesize | 171,314 | 2004 | Hyundai | T/C Index Linked(2) | Dec-22 | Apr-23 |
Goodship | Dry Bulk / Capesize | 177,536 | 2005 | Mitsui | T/C Index Linked(2) | Jun-23 | Dec-23 |
Chrisea(3) | Dry Bulk / Panamax | 78,173 | 2013 | Spot | |||
Epanastasea | Tanker / LR2 | 109,647 | 2008 | Fixed Rate T/C(4) | Mar-23 | Apr-23 | |
Total/Average age | 536,670 | 15.3 years |
(1) The latest redelivery dates do not include any additional optional periods.
(2) The Company has the option to convert the index-linked rate to fixed for periods ranging between 1 and 12 months, based on the prevailing Capesize FFA Rate for the selected period.
(3) The vessel is technically and commercially operated by United 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.
(4) The vessel was delivered to the charterer on
Fleet to be delivered*:
Sector | Capacity (DWT) | Year Built | Yard | |
Tradership | Dry Bulk / Capesize | 176,925 | 2006 | Namura |
Liberty K tbr Oasea | Dry Bulk / Kamsarmax | 82,217 | 2010 | |
Dry Bulk / Kamsarmax | 81,508 | 2009 | Universal | |
Total/Average age | 340,650 | 14.6 years |
*The M/V Tradership is expected to be delivered to the Company by the end of
Fleet Data:
(Amounts in
Q4 2022 | From | |||||
Ownership days(1) | 366 | 614 | ||||
Operating days(2) | 366 | 610 | ||||
Fleet utilization(3) | 100% | 99.3% | ||||
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 in. 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 in 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
Q4 2022 | From | |||
Vessel revenue, net | 14,932 | 22,784 | ||
Less: Voyage expenses | 3,161 | 5,245 | ||
Time charter equivalent revenues | 11,771 | 17,539 | ||
Operating days | 366 | 610 | ||
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
Q4 2022 | From | |||
Vessel operating expenses | 3,000 | 5,179 | ||
Less: Pre-delivery expenses | 417 | 718 | ||
Vessel operating expenses before pre-delivery expenses | 2,583 | 4,461 | ||
Ownership days | 366 | 614 | ||
Daily Vessel Operating Expenses | ||||
Net Income to EBITDA and Adjusted EBITDA Reconciliation:
(In thousands of
Q4 2022 | From | |
Net income | 36,462 | 37,490 |
Add: Interest and finance costs, net | 1,466 | 2,413 |
Add: Depreciation and amortization | 957 | 1,903 |
EBITDA | 38,885 | 41,806 |
Add: Stock based compensation | 2,789 | 2,789 |
Add: Loss on extinguishment of debt | 593 | 593 |
Adjusted EBITDA | 42,267 | 45,188 |
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 this measure is 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. This non-GAAP measure should not be considered in isolation from, as a substitute for, or superior to, financial measures prepared in accordance with
Net Income and Adjusted Net income Reconciliation and calculation of Adjusted Earnings Per Share
(In thousands of
Q4 2022 | From | |
Net income | 36,462 | 37,490 |
Add: Stock based compensation | 2,789 | 2,789 |
Add: Loss on extinguishment of debt | 593 | 593 |
Adjusted net income | 39,844 | 40,872 |
Adjusted net income – common stockholders, basic | 36,279 | 38,469 |
Adjusted net income – common stockholders, diluted | 37,328 | 39,317 |
Adjusted net income per common share, basic | 5.36 | 8.54 |
Weighted average number of common shares outstanding, basic | 6,769,246 | 4,503,397 |
Adjusted net income per common share, diluted | 3.90 | 5.39 |
Weighted average number of common shares outstanding, diluted | 9,565,410 | 7,299,561 |
To derive Adjusted Net Income and Adjusted Earnings Per Share from Net Income, we exclude certain non-cash items, as provided in the table above. We believe that Adjusted Net Income and Adjusted Earnings 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 measure 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 Income and Adjusted Earnings Per Share may not necessarily be comparable to other similarly titled captions of other companies due to differences in methods of calculation.
Interest and Finance Costs to Cash Interest and Finance Costs Reconciliation:
(In thousands of
Q4 2022 | From | |||
Interest and finance costs, net | (1,466 | ) | (2,413 | ) |
Add: Amortization of deferred finance charges and other discounts | 234 | 352 | ||
Cash interest and finance costs | (1,232 | ) | (2,061 | ) |
Fourth Quarter and Recent Developments:
Distributions to shareholders
Introduction of regular quarterly dividend
The Company announced the initiation of a regular quarterly cash dividend of
Special Dividend Distribution
In
Share Buybacks
In September and
In
Redemption of the Series C Preferred Shares
In
Vessel transactions and commercial updates
Sale of LR2 tanker (M/T Minoansea)
In
Capesize Acquisitions (M/V Goodship and M/V Tradership)
In
Kamsarmax Acquisitions (
In
Bareboat Agreement for one Panamax bulk carrier
In
Financing Updates
Amended “August 2022 Entrust” Facility (Previous Four Tankers Facility)
In
Update on Number of Common Shares Issued and Outstanding
As of
Conference Call:
The Company’s management will host a conference call to discuss the financial results today,
Audio Webcast:
There will be a live, and then archived, webcast of the conference call through the Company’s website. To listen to the archived audio file, visit our website, in the “Investors” section. Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast, following this link.
Conference Call Details:
Participants have the option to register for the call using the following link. You can use any number from the list or add your phone number and let the system call you right away.
Unaudited Condensed Consolidated Balance Sheets (In thousands of | |||
2022 | |||
ASSETS | |||
Cash and cash equivalents and restricted cash | 69,932 | ||
Vessels, net and advances for vessels’ acquisitions | 50,199 | ||
Other assets | 5,524 | ||
TOTAL ASSETS | 125,655 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||
Long-term debt | 42,606 | ||
Other liabilities | 18,481 | ||
Stockholders’ equity | 64,568 | ||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | 125,655 | ||
Unaudited Condensed Consolidated Statements of Operations (In thousands of and per share data, unless otherwise stated) | ||||||
Three months period ended | From (date of inception) to | |||||
Vessel revenue, net | 14,932 | 22,784 | ||||
Expenses: | ||||||
Voyage expenses | (3,161 | ) | (5,245 | ) | ||
Vessel operating expenses | (3,000 | ) | (5,179 | ) | ||
Management fees | (295 | ) | (526 | ) | ||
General and administrative expenses | (5,082 | ) | (5,524 | ) | ||
Depreciation and amortization | (957 | ) | (1,903 | ) | ||
Gain on sale of vessels | 36,095 | 36,095 | ||||
Operating income | 38,532 | 40,502 | ||||
Other expenses: | ||||||
Interest and finance costs, net | (1,466 | ) | (2,413 | ) | ||
Loss on extinguishment of debt | (593 | ) | (593 | ) | ||
Other, net | (11 | ) | (6 | ) | ||
Total other expenses, net: | (2,070 | ) | (3,012 | ) | ||
Net income | 36,462 | 37,490 | ||||
Net income attributable to common stockholders | 32,897 | 35,086 | ||||
Net income per common share, basic | 4.86 | 7.79 | ||||
Net income per common share, diluted | 3.55 | 4.92 | ||||
Weighted average number of common shares outstanding, basic | 6,769,246 | 4,503,397 | ||||
Weighted average number of common shares outstanding, diluted | 9,565,410 | 7,299,561 | ||||
Unaudited Condensed Consolidated Cash Flow Data (In thousands of | |||
From (date of inception) to | |||
Net cash provided by operating activities | 6,737 | ||
Net cash provided by investing activities | 36,327 | ||
Net cash provided by financing activities | 26,868 | ||
About
Upon completion of the previously announced transactions, the Company's fleet will consist of 7 vessels (1 LR2 tanker, 3 Capesize, 2 Kamsarmax, 1 Panamax), with an aggregate cargo carrying capacity of 877,320 dwt.
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; 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
Source:
2023 GlobeNewswire, Inc., source