Safe Bulkers, Inc. Reports First Quarter 2013 Results and Declares Quarterly Dividend
(firmenpresse) - ATHENS, GREECE -- (Marketwired) -- 05/15/13 -- Safe Bulkers, Inc. (the "Company") (NYSE: SB), an international provider of marine drybulk transportation services, announced today its unaudited financial results for the quarter ended March 31, 2013. The Company's Board of Directors also declared a quarterly dividend of $0.05 per share for the first quarter of 2013.
Net revenue for the first quarter of 2013 remained almost unchanged at $44.2 million from $44.1 million during the same period in 2012.
Net income for the first quarter of 2013 decreased by 25% to $16.1 million from $21.6 million during the same period in 2012. Adjusted net income(1) for the first quarter of 2013 decreased by 30% to $16.0 million from $22.9 million during the same period in 2012.
EBITDA(2) for the first quarter of 2013 decreased by 10% to $27.5 million from $30.7 million during the same period in 2012. Adjusted EBITDA(1) for the first quarter of 2013 decreased by 14% to $27.4 million from $31.9 million during the same period in 2012.
Earnings per share ("EPS") and Adjusted EPS(1) for the first quarter of 2013 were $0.21 and $0.21, respectively, calculated on a weighted average number of shares of 76,673,484, compared to $0.30 and $0.32, respectively, in the first quarter 2012, calculated on a weighted average number of shares of 71,868,950.
The Company's Board of Directors declared a dividend of $0.05 per share for the first quarter of 2013.
In January 2013, the Company took early redelivery of the Maritsa, ahead of the contracted earliest redelivery date of January 29, 2015, following the early termination of the charter agreement and agreed to employ the vessel with the same charterer on a period time charter. In connection with this early redelivery the Company received a cash compensation payment of $13.1 million, which will be amortized over the period of the new period time charter.
In March 2013, the Company took delivery of the Pedhoulas Commander, a second-hand, 83,700 dwt, Japanese, 2008-built, Kamsarmax class vessel, for a purchase price of $19.4 million.
In April 2013, the Company took early redelivery of the Sophia ahead of the contracted earliest redelivery date of September 19, 2013. In connection with this early redelivery, the Company recognized early redelivery income of $3.0 million, net of commissions, consisting of cash compensation paid by the relevant charterer. The Company has employed the Sophia with a new charterer in the spot market.
In May 2013, the Company took early redelivery of the Vassos, ahead of the contracted earliest redelivery date of October 1, 2013. In connection with this early redelivery, the Company recognized early redelivery income of $2.3 million, consisting of cash compensation paid by the relevant charterer of $2.6 million, net of commissions, less accrued revenue of $0.3 million. The Company has employed the Vassos with a new charterer in the spot market.
In May 2013, the Company expects to take early redelivery of the Katerina, ahead of the contracted earliest redelivery date of January 1, 2014. In connection with this early redelivery, the Company expects to recognize early redelivery income of $1.8 million, consisting of cash compensation to be paid by the relevant charterer of $2.1 million, net of commissions, less accrued revenue of $0.3 million. The Company has employed the Katerina with a new charterer on a period time charter.
In April 2013, the Company entered into two shipbuilding contracts with a Japanese yard for the construction of two eco-design, 77,000 dwt, Panamax class vessels. The first vessel is scheduled for delivery during the second half of 2014, and the second for the first half of 2015. Each has a purchase price of $28.0 million.
As of May 15, 2013, the Company's operational fleet comprised of 26 drybulk vessels with an average age of 5.1 years and an aggregate carrying capacity of 2.4 million dwt. The fleet consists of seven Panamax class vessels, seven Kamsarmax class vessels, ten Post-Panamax class vessels and two Capesize class vessels, all built 2003 onwards.
As of May 15, 2013, the Company had contracted to acquire eight additional drybulk newbuild vessels, with deliveries scheduled at various dates through 2015. The orderbook consists of five Panamax class vessels, two Post-Panamax class vessels and one Capesize class vessel.
Set out below is a table showing the Company's existing and newbuild vessels and their contracted employment as of May 15, 2013:
The contracted employment of fleet ownership days is:
2013 (remaining) .......................56%
2013 (full year) ........................72%
2014 ......................................29%
2015 .......................................12%
As of March 31, 2013, the remaining capital expenditure requirements to shipyards or sellers, net of commissions for the delivery of six newbuilds amounted to $171.5 million, of which $46.1 million was scheduled to be paid in 2013, $74.2 million in 2014 and $51.2 million in 2015.
As of March 31, 2013, the Company had liquidity of $162.5 million, consisting of $12.8 million in cash and short-term time deposits, $37.2 million in short-term restricted cash, $3.9 million in long-term restricted cash, $68.6 million available under existing revolving credit facilities and $40.0 million undrawn availability against the Company's $50.0 million floating rate note.
Apart from the above loan and credit facilities and commitments, the Company utilizes cash flows from operations generated by its contracted period time charters and cash compensation to be received in connection to early redeliveries. The Company also has the ability to borrow additional amounts secured by the Company's newbuild vessels, on which additional financing may be contracted, upon delivery of such vessels to the Company as and if required.
The Company's Board of Directors declared a cash dividend on the Company's common stock of $0.05 per share payable on or about June 7, 2013 to shareholders of record at the close of trading of the Company's common stock on the New York Stock Exchange (the "NYSE") on May 27, 2013.
The Company has 76,676,508 shares of common stock issued and outstanding as of today's date.
The Board of Directors of the Company is continuing a policy of paying out a portion of the Company's free cash flow at a level it considers prudent in light of the current economic and financial environment. The declaration and payment of dividends, if any, will always be subject to the discretion of the Board of Directors of the Company. The timing and amount of any dividends declared will depend on, among other things: (i) the Company's earnings, financial condition and cash requirements and available sources of liquidity, (ii) decisions in relation to the Company's growth strategies, (iii) provisions of Marshall Islands and Liberian law governing the payment of dividends, (iv) restrictive covenants in the Company's existing and future debt instruments and (v) global financial conditions. Accordingly, the Company may reduce or not pay dividends in the future.
Dr. Loukas Barmparis, President of the Company, said: "Our Board of Directors has declared our twentieth consecutive dividend since our IPO in the amount of $0.05 per share. We continue to be focused on reducing our counterparty risk through early redeliveries while strengthening our cash position. We closely monitor the newbuild and secondhand markets and have contracted to acquire two eco-design newbuild Panamax class vessels each at an attractive price to better position ourselves before the next recovery in the shipping cycle."
On Thursday, May 16, 2013 at 9:00 A.M. EDT, the Company's management team will host a conference call to discuss the financial results.
Participants should dial into the call 10 minutes before the scheduled time using the following numbers: 1 (866) 819-7111 (US Toll Free Dial In), 0(800) 953-0329 (UK Toll Free Dial In) or +44 (0)1452-542-301 (Standard International Dial In). to the operator.
A telephonic replay of the conference call will be available until May 27, 2013 by dialing 1 (866) 247-4222 (US Toll Free Dial In), 0(800) 953-1533 (UK Toll Free Dial In) or +44 (0)1452 550-000 (Standard International Dial In). Access Code: 1859591#
There will also be a live, and then archived, webcast of the conference call, available through the Company's website (). Participants in the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.
Net income decreased by 25% to $16.1 million for the first quarter of 2013 from $21.6 million for the first quarter of 2012, mainly due to the following factors:
Net revenues: Net revenues remained almost unchanged at $44.2 million for the first quarter of 2013, compared to $44.1 million for the same period in 2012. The Company operated 24.97 vessels on average during the first quarter of 2013, earning a TCE(1) rate of $18,113, compared to 18.88 vessels and a TCE rate of $24,890 during the same period in 2012.
Vessel operating expenses: Vessel operating expenses increased by 22% to $9.9 million for the first quarter of 2013, compared to $8.1 million for the same period in 2012. The increase in operating expenses is mainly attributable to an increase in ownership days by 31% to 2,247 days for the first quarter of 2013 from 1,718 days for the same period in 2012.
Depreciation: Depreciation increased to $8.8 million for the first quarter of 2013, compared to $7.3 million for the same period in 2012, as a result of an increase in the average number of vessels operated by the Company during the first quarter of 2013.
Interest expense: Interest expense increased by 44% to $ 2.6 million in the first quarter of 2013 from $1.8 million for the same period in 2012 as a result of the increase in the average amount of loans and credit facilities by the Company during the first quarter of 2013.
Gain/(loss) on derivatives: Gain on derivatives was $0.1 million in the first quarter of 2013, compared to a loss of $1.2 million for the same period in 2012, as a result of the mark-to-market valuation of the Company's interest rate swap transactions that are employed to manage the risk relating to interest rate exposure of our loan and credit facilities. These swaps economically hedge the interest rate exposure of the Company's aggregate loans outstanding. The average remaining period of our swap contracts is 2.8 years as of March 31, 2013. The valuation of these interest rate swap transactions at the end of each quarter is affected by the prevailing interest rates at that time.
Daily vessel operating expenses(4): Daily vessel operating expenses decreased by 6% to $4,412 for the first quarter of 2013, compared to $4,713 for the same period in 2012. The decrease is mainly attributable to the decrease in lubricant and store expenses in the first quarter of 2013 compared to the same period in 2012, during which initial supplies for two newbuild vessels were acquired.
Daily general and administrative expenses(4): Daily general and administrative expenses decreased by 13% to $1,176 for the first quarter of 2013, compared to $1,358 for the same period in 2012. The decrease is mainly attributable to the higher number of ownership days during the first quarter of 2013, compared to the first quarter of 2012.
Adjusted Net Income represents net income before gain/(loss) on derivatives and foreign currency.
EBITDA represents net income before interest, income tax expense, depreciation and amortization. Adjusted EBITDA represents EBITDA before gain/(loss) on derivatives and foreign currency. EBITDA and adjusted EBITDA are not recognized measurements under US GAAP. EBITDA and adjusted EBITDA assist the Company's management and investors by increasing the comparability of the Company's fundamental performance from period to period and against the fundamental performance of other companies in the Company's industry that provide EBITDA and adjusted EBITDA information. The Company believes that EBITDA and adjusted EBITDA are useful in evaluating the Company's operating performance compared to that of other companies in the Company's industry because the calculation of EBITDA generally eliminates the effects of financings, income taxes and the accounting effects of capital expenditures and acquisitions and the calculation of adjusted EBITDA generally further eliminates the effects of early redelivery income/(cost) and gain/(loss) on derivatives and foreign currency, items which may vary for different companies for reasons unrelated to overall operating performance.
EBITDA, adjusted EBITDA, Adjusted Net Income and Adjusted EPS have limitations as analytical tools, and should not be considered in isolation, or as a substitute for analysis of the Company's results as reported under US GAAP. EBITDA and adjusted EBITDA should not be considered as substitutes for net income and other operations data prepared in accordance with US GAAP or as a measure of profitability. While EBITDA and adjusted EBITDA are frequently used as measures of operating results and performance, they are not necessarily comparable to other similarly titled captions of other companies due to differences in methods of calculation.
The Company is an international provider of marine drybulk transportation services, transporting bulk cargoes, particularly coal, grain and iron ore, along worldwide shipping routes for some of the world's largest users of marine drybulk transportation services. The Company's common stock is listed on the NYSE, where it trades under the symbol "SB". The Company's current fleet consists of 26 drybulk vessels, all built 2003 onwards, and the Company has contracted to acquire eight additional drybulk newbuild vessels to be delivered at various dates through 2015.
This press release contains forward-looking statements (as defined in Section 27A of the Securities Exchange Act of 1933, as amended, and in Section 21E of the Securities Act of 1934, as amended) concerning future events, the Company's growth strategy and measures to implement such strategy, including expected vessel acquisitions and entering into further time charters. Words such as "expects," "intends," "plans," "believes," "anticipates," "hopes," "estimates" and variations of such words and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve known and unknown risks and are based upon a number of assumptions and estimates that 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, changes in the demand for drybulk vessels, competitive factors in the market in which the Company operates, risks associated with operations outside the United States and other factors listed from time to time in the Company's filings with the Securities and Exchange Commission. The Company expressly disclaims any obligations or undertaking to release any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.
(1) Adjusted net income, Adjusted EPS and Adjusted EBITDA represent Net Income, EPS and EBITDA before gain/(loss) on derivatives and foreign currency, respectively. See Table 1.
(2) EBITDA represents net income before interest, income tax expense, depreciation and amortization.
See Table 1.
(3) Time charter equivalent rates, or TCE rates, represent the Company's charter revenues less commissions and voyage expenses during a period divided by the number of our available days during the period.
(4) See Table 2.
For further information please contact:
Dr. Loukas Barmparis
President
Safe Bulkers, Inc.
Athens, Greece
Tel.: +30 (210) 899-4980
Fax: +30 (210) 895-4159
E-Mail:
Nicolas Bornozis
President
Capital Link, Inc.
230 Park Avenue, Suite 1536
New York, N.Y. 10169
Tel.: (212) 661-7566
Fax: (212) 661-7526
E-Mail:
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Datum: 15.05.2013 - 14:05 Uhr
Sprache: Deutsch
News-ID 1227830
Anzahl Zeichen: 0
contact information:
Contact person:
Town:
ATHENS, GREECE
Phone:
Kategorie:
Maritime
Anmerkungen:
Diese Pressemitteilung wurde bisher 135 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"Safe Bulkers, Inc. Reports First Quarter 2013 Results and Declares Quarterly Dividend
"
steht unter der journalistisch-redaktionellen Verantwortung von
Safe Bulkers, Inc. (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
