Seanergy Maritime Reports Third Quarter and Nine Months Financial Results for the Periods Ended September 30, 2024
Declares Cash Dividend of $0.26 Per Share Reflecting Strong Financial Results
Highlights
(in million USD, except EPS)
Q3 2024
Q3 2023
9M 2024
9M 2023
Net Revenues
$44.4
$24.5
$125.8
$70.8
Net income / (loss)
$12.5
($5.0)
$36.8
($8.5)
Adjusted net income / (loss)1
$14.1
($2.6)
$41.7
$0.4
EBITDA1
$25.2
$7.1
$72.7
$27.9
Adjusted EBITDA1
$26.8
$9.5
$78.0
$29.1
Earnings / (loss) per share Basic
$0.61
($0.28)
$1.80
($0.48)
Earnings / (loss) per share Diluted
$0.61
($0.28)
$1.79
($0.48)
Adjusted earnings / (loss) per share Basic1
$0.69
($0.14)
$2.05
$0.02
Adjusted earnings / (loss) per share Diluted1
$0.69
($0.14)
$2.04
$0.02
Other Highlights and Developments:
Record Nine-Month Net Income of $36.8 million
Quarterly cash dividend of $0.26 per share declared for Q3 20242, representing an annualized yield of 11.1%3
Total cash dividends of $0.66 per share, or $13.6 million, declared in the first three quarters of 2024
Fleet outperformance with Time Charter Equivalent ("TCE"4) exceeding the Baltic Capesize Index ("BCI") by 7% for both the quarter and first nine months of 2024
Delivery of the recently acquired M/V Kaizenship and commencement of period employment
Successful completion of $62.5 million financing and refinancing transactions
______________________________1 Adjusted earnings / (loss) per share, Adjusted Net Income / (loss), EBITDA and Adjusted EBITDA are non-GAAP measures. Please see the reconciliation below of Adjusted earnings / (loss) per share, Adjusted Net Income / (loss), EBITDA and Adjusted EBITDA to net income, the most directly comparable U.S. GAAP measure.2 Pursuant to revised divided policy tied to the Company's operating cash flow after debt service and any discretionary reserves.3 Based on the closing price of November 1, 2024. 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 U.S. GAAP measure.
ATHENS, Greece, Nov. 05, 2024 (GLOBE NEWSWIRE) -- Seanergy Maritime Holdings Corp. ("Seanergy" or the "Company") (NASDAQ:SHIP), announced today its financial results for the third quarter and nine months ended September 30, 2024. The Company also declared a quarterly cash dividend of $0.26 per common share for the third quarter of 2024 pursuant to its updated dividend policy announced during the last quarter.
For the quarter ended September 30, 2024, the Company generated Net Revenues of $44.4 million, compared to $24.5 million in the third quarter of 2023, representing an increase of 81%. Adjusted EBITDA for the quarter was $26.8 million, 182% higher than $9.5 million in the same period of 2023. Net Income and Adjusted Net Income for the quarter were $12.5 million and $14.1 million, respectively, compared to Net Loss of $5.0 million and Adjusted Net Loss of $2.6 million in the third quarter of 2023. The daily TCE rate of the fleet for the third quarter of 2024 was $26,529, compared to $15,298 in the same period of 2023.
For the nine-month period ended September 30, 2024, the Company generated Net Revenues of $125.8 million, compared to $70.8 million in the same period of 2023, marking an increase of 78%. Net Income and Adjusted Net Income for the nine months were $36.8 million and $41.7 million, respectively, compared to Net Loss of $8.5 million and Adjusted Net Income of $0.4 million in the respective period of 2023. Adjusted EBITDA for the nine months was $78.0 million, compared to $29.1 million for the same period of 2023. The daily TCE rate of the fleet for the nine-month period of 2024 was $25,762, compared to $14,935 in the same period of 2023. The average daily OPEX was $6,873 compared to $6,942 in the respective period of 2023.
Cash and cash-equivalents and restricted cash, as of September 30, 2024, stood at $41.3 million. Shareholders' equity at the end of the third quarter was $262.6 million. Long-term debt (senior loans, finance lease liability and other financial liabilities) net of deferred charges stood at $238.1 million, while the book value of the fleet, including a chartered-in vessel and the advance for vessel acquisition, was $462.9 million.
Stamatis Tsantanis, the Company's Chairman & Chief Executive Officer, stated:
"In the third quarter, Seanergy sustained its profitable trajectory by continuing to execute on our focused strategy as a dedicated Capesize operator. During this period, the Capesize segment led the dry bulk sector in performance, with the BCI averaging $24,900. Seanergy's fleet achieved a notable TCE rate of $26,500, outperforming the BCI by approximately 7%. This outperformance highlights the effectiveness of our hedging strategy, which has been instrumental in reducing charter rate volatility and increasing our revenue visibility. Our objective remains to maintain a balanced risk-return profile throughout the market cycle, ensuring stability and resilience in our earnings.
"As evidenced by our recently implemented updated dividend policy, which targets a distribution of approximately 50% of our operating cash flow after debt service, we are committed to delivering strong capital returns to our shareholders, consistent with our earnings performance, while continuing to grow our fleet and maintain a healthy balance sheet. In line with this policy, the Board has approved a quarterly dividend of $0.26 per share for the third quarter of 2024. We have also continued stock repurchases since our last update and into the fourth quarter. Buybacks continue to be an important part of our capital allocation strategy and we remain committed to optimizing the ways in which we return capital to our shareholders.
"In October, as anticipated, we welcomed the 2012-built M/V Kaizenship to our fleet. This vessel, along with the 2013-built M/V Iconship also acquired in 2024, has reduced our fleet's average age and both vessels have been chartered at a premium over the BCI, outperforming our fleet-wide average. These younger, high-performing additions align with our disciplined growth strategy and strengthen our competitive edge in the Capesize sector.
"Our balance sheet remains robust, reflecting our commitment to sustainable leverage as we expand our fleet. With positive Capesize market trends, we are well-positioned to continue delivering strong returns, while advancing our growth strategy.
"For the fourth quarter of the year, our TCE guidance is approximately $23,400, reflecting current FFA levels and our effective hedging strategy. Notably, we have secured 42% of our available days at a fixed average daily rate of around $28,000, outperforming the BCI which has averaged $20,900 quarter-to-date. Looking ahead to 2025, we have locked in daily earnings for two vessels at an average rate of $24,000, with one agreement incorporating a 50-50 profit-sharing scheme on top of the fixed hire rate, based on a premium over the BCI. These initiatives position us to capture stable, high returns while optimizing earnings potential in line with market movements.
"The Capesize market has performed relatively strong in 2024, with the BCI averaging around $24,000. Key drivers include a 6% rise in Brazilian iron ore exports, a 17% increase in Guinea's bauxite exports, and higher seaborne coal trade as demand in India and China outpaces local production. Geopolitical factors and the shift toward distant sourcing regions, such as West Africa, have further boosted ton-mile demand.
"Limited new vessel deliveries, as well as increased global fleet drydockings in 2025, are likely to constrain supply in 2025, supporting continued Capesize rate strength. With these favorable dynamics, Seanergy is well-positioned to continue to deliver robust returns for shareholders.
"Finally, we are pleased with the recent decision by the High Court of the Republic of the Marshall Islands to dismiss the litigation brought against the Company by Sphinx Investment Corp., an entity of G. Economou. This outcome reaffirms our adherence to good corporate governance processes. We are also pleased with the strong support for our Board demonstrated by our recent annual meeting results. We remain fully focused on executing our value-creating strategy, reinforcing our commitment to delivering strong returns for our shareholders."
Company Fleet:
Vessel Name
Capacity (DWT)
YearBuilt
Yard
Scrubber Fitted
Employment Type
FFA conversion option(1)
Minimum time charter ("T/C") expiration
Maximum T/C expiration(2)
Charterer
Titanship
207,855
2011
NACKS
-
T/C Index Linked
Yes
09/2026
03/2027
Costamare
Patriotship
181,709
2010
Imabari
Yes
T/C Index Linked
Yes
01/2025
04/2025
Glencore
Dukeship
181,453
2010
Sasebo
-
T/C Index Linked
Yes
06/2025
09/2025
NYK
Paroship
181,415
2012
Koyo -Imabari
Yes
T/C Index Linked
Yes
08/2025
01/2026
Oldendorff
Worldship
181,415
2012
Koyo, Imabari
Yes
T/C Index Linked
Yes
10/2025
02/2026
NYK
Kaizenship
181,396
2012
Koyo Dock
-
T/C Index Linked
Yes
07/2025
10/2025
MOL
Iconship
181,392
2013
Imabari
-
T/C Index Linked
Yes
03/2026
06/2026
Costamare
Hellasship
181,325
2012
Imabari
-
T/C Index Linked
Yes
12/2024
04/2025
NYK
Honorship
180,242
2010
Imabari
-
T/C Index Linked
Yes
03/2025
07/2025
NYK
Fellowship
179,701
2010
Daewoo
-
T/C Index Linked
Yes
06/2026
11/2026
Anglo American
Championship
179,238
2011
Sungdong SB
Yes
T/C Index Linked
Yes
04/2025
11/2025
Cargill
Partnership
179,213
2012
Hyundai
Yes
T/C Index Linked
Yes
09/2024
12/2024
Uniper
Knightship
178,978
2010
Hyundai
Yes
T/C Index Linked
Yes
11/2025
01/2026
Glencore
Lordship
178,838
2010
Hyundai
Yes
T/C Index Linked
Yes
01/2026
05/2026
Costamare
Friendship
176,952
2009
Namura
-
T/C Index Linked
Yes
12/2024
04/2025
NYK
Flagship
176,387
2013
Mitsui
-
T/C Index Linked
Yes
05/2026
07/2026
Cargill
Geniuship
170,057
2010
Sungdong SB
-
T/C Index Linked
Yes
