Navios Maritime Holdings Inc. (“Navios Holdings” or “the Company”)
(NYSE:NM), a global, vertically integrated seaborne shipping and
logistics company, today reported financial results for the fourth
quarter and year ended December 31, 2016.
- $419.8 million revenue for 2016 -
$99.5 million revenue for Q4
- $36.9 million net cash from operating activities for
2016
- $144.0 million adjusted EBITDA for
2016 - $29.1 million adjusted EBITDA for
Q4
- $141.4 million of
cash as of December
31, 2016
- London arbitration tribunal ruled 20-year port services
contract with Vale to be in full force and effect
- New York arbitration tribunal awards $21.5 million to
Navios Logistics from Vale re: barge COA dispute
- Agreement to sell certain loans to Navios Partners for
$27.0 million - $4.05 million in
cash - 13.1 million in common units of Navios
Partners
- Positioned to capture market
recovery - $28.0 million expected reduction
in 2017 cash breakeven - Industry
leading operating efficiencies
- Opex 37% lower than industry average
- 45% decrease in G&A compared to
2015 - Significant upside to market
recovery in 2017 through - -
19.5% of revenue days fixed
- 34.5% fixed with floating
rates - 46.0%
open - Chartering strategy generated
$37.0 million of additional revenue vs. average spot market in
2016
Angeliki Frangou, Chairman and Chief Executive Officer, stated
“Navios Holdings is positioned to capture any market recovery. In
2016, we reduced expected 2017 breakeven by $28.0 million through a
number of actions, including purchasing, at a discount, (i) about
$60.0 million in face value of our unsecured bonds and (ii) $61.1
million of par outstanding Series G and H ADSs. We also reduced the
average charter rate for our charter-in fleet by $2,170 per day and
cash requirements for servicing commercial bank debt. Our scale
provides industry leading operating efficiencies, with Opex about
37% below industry averages and G&A among the lowest of our
publicly listed shipping peers.”
Angeliki Frangou continued, “We are pleased that we have removed
the uncertainty regarding our iron ore port in South America.
The London arbitration tribunal has ruled in favor of Navios
Logistics - that the Vale 20-year port services contract remains in
full force and effect. The Vale minimum guarantee, for 4
million of the 10 million tons of annual capacity, should generate
about $35.0 million in annual EBITDA. Over the 20-year term of the
contract, this minimum guarantee should generate about $1.0 billion
in EBITDA.”
HIGHLIGHTS -- RECENT DEVELOPMENTS
$27.0 million agreement to sell certain loans to Navios
Maritime Partners L.P. (“Navios Partners”)
Navios Holdings has agreed to sell to Navios Partners certain
loans previously funded by Navios Holdings to Navios Europe Inc.
for $27.0 million. The sale proceeds would be: (i) $4.05 million in
cash and (ii) approximately 13.1 million common units of Navios
Partners. Following the completion of this transaction, Navios
Holdings would own approximately a 30.9% interest in Navios
Partners, including the general partner interest.
The aggregate loan balances sold as of February 2017 amounted to
$21.4 million.
Navios Partners may require Navios Holdings, under certain
conditions, to repurchase the loans after the third anniversary of
the date of the sale based on the then outstanding balance of the
loans.
Navios South American Logistics Inc. (“Navios
Logistics”)
On December 21, 2016, a London arbitration tribunal ruled the
20-year contract (the “Contract”) between Corporacion Navios S.A.
and Vale International S.A. (“Vale”) for the iron ore port under
construction to be in full force and effect. After receiving
written notice from Vale repudiating the Contract, Navios Logistics
initiated arbitration proceedings in London pursuant to the dispute
resolution provisions of the Contract. On December 21, 2016, the
arbitration tribunal issued its decision that the Contract remains
in full force and effect. The arbitration tribunal also determined
that Navios Logistics may elect to terminate the Contract if Vale
were to further repudiate or renounce the Contract and then would
be entitled to damages calculated by reference to guaranteed
volumes and agreed tariffs for the remaining period of the
Contract.
On February 10, 2017, a New York arbitration tribunal ruled in
favor of Navios Logistics on a dispute with Vale regarding the
termination date of a COA contract. Vale has been ordered to pay
Navios Logistics $21.5 million, compensating for all unpaid
invoices, late payment of invoices, and legal fees incurred.
On December 15, 2016, Navios Logistics entered into a loan
facility for an amount of $25.0 million for general corporate
purposes. The loan was fully drawn in December 2016. The loan bears
interest at a rate of LIBOR plus 325 basis points.
Fleet update
Navios Holdings controls a fleet of 66 operating vessels
totaling 6.7 million dwt, of which 40 are owned and 26 are
chartered-in under long-term charters (collectively, the "Core
Fleet"). The fleet consists of 21 Capesize, 23 Panamax, 20 Ultra
Handymax and two Handysize vessels and the current average age of
operating fleet is 7.8 years.
As of February 6, 2017, Navios Holdings has chartered-out 19.5%
of available days for 2017 (excluding index and profit sharing
days). The average contracted daily charter-in rate for the
long-term charter-in vessels for 2017 is $12,214.
The above figures do not include the fleet of Navios Logistics
and vessels servicing contracts of affreightment.
Exhibit II provides certain details of the Core Fleet of Navios
Holdings. It does not include the fleet of Navios Logistics.
Earnings Highlights
EBITDA, Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic
Loss per Share are non-U.S. GAAP financial measures and should not
be used in isolation or as substitution for Navios Holdings’
results calculated in accordance with U.S. GAAP.
See Exhibit I under the heading, “Disclosure of Non-GAAP
Financial Measures,” for a discussion of EBITDA, Adjusted EBITDA,
Adjusted Net Loss and Adjusted Basic Loss per Share of Navios
Holdings (including Navios Logistics), and EBITDA of Navios
Logistics (on a stand-alone basis), and a reconciliation of such
measures to the most comparable measures calculated under U.S.
GAAP.
Fourth Quarter 2016 and 2015 Results (in thousands of
U.S. dollars, except per share data and unless otherwise
stated):
The fourth quarter 2016 and 2015 information presented below was
derived from the unaudited condensed consolidated financial
statements for the respective periods.
|
|
Three Month Period |
|
Three Month Period |
|
|
Ended |
|
Ended |
|
|
December
31, |
|
December
31, |
|
|
2016 |
|
2015 |
|
|
(unaudited) |
|
(unaudited) |
Revenue |
|
$ |
99,475 |
|
|
$ |
111,746 |
|
Net Loss |
|
$ |
(14,413 |
) |
|
$ |
(60,560 |
) |
Adjusted Net Loss (1)
(2) |
|
$ |
(27,644 |
) |
|
$ |
(27,850 |
) |
Net cash (used in)/
provided by operating activities |
|
$ |
(5,357 |
) |
|
$ |
21,100 |
|
EBITDA |
|
$ |
42,332 |
|
|
$ |
16,055 |
|
Adjusted EBITDA (1)
(2) |
|
$ |
29,101 |
|
|
$ |
33,602 |
|
Basic Earnings/(Loss)
per Share |
|
$ |
0.25 |
|
|
$ |
(0.61 |
) |
Adjusted Basic Loss per
Share (1) (2) |
|
$ |
(0.28 |
) |
|
$ |
(0.30 |
) |
(1) Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss
per Share for the three months ended December 31, 2016 exclude debt
extinguishment gains of $13.2 million. Adjusted Basic Loss per
Share for the three months ended December 31, 2016 also exclude a
gain of $46.6 million following the completion of the Series G and
Series H Exchange Program.
(2) Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss
per Share for the three months ended December 31, 2015 exclude
$17.5 million non-cash guarantee loss relating to Navios Partners.
Adjusted Net Loss and Adjusted Basic Loss per Share for the three
months ended December 31, 2015 also exclude $15.2 million of
accelerated amortization of intangibles.
Revenue from drybulk vessel operations for the three months
ended December 31, 2016 was $56.5 million as compared to $59.3
million for the same period during 2015. The decrease in drybulk
revenue was mainly attributable to a decrease in available days of
our fleet by 700 days, mainly due to a decline in short-term
charter-in fleet available days, partially mitigated by the
increase in the Time Charter Equivalent (“TCE”) rates achieved.
Revenue from the logistics business was $43.0 million for the
three months ended December 31, 2016, as compared to $52.4 million
for the same period of 2015. This decrease was mainly attributable
to the decrease in time charter, voyage and port terminal revenues,
partially mitigated by an increase in sales of products in the
liquid terminal.
Net Loss of Navios Holdings was $14.4 million and $60.6 million
for the three months ended December 31, 2016 and 2015,
respectively. Net Loss was affected by items described in the table
above. Excluding these items, Adjusted Net Loss of Navios Holdings
for the three months ended December 31, 2016 was $27.6 million as
compared to $27.9 million for the same period of 2015. The $0.3
million decrease in Adjusted Net Loss was mainly due to (i) a $3.7
million decrease in depreciation and amortization; (ii) a $2.5
million decrease in share-based compensation expense; and (iii) a
$0.3 million decrease in amortization for deferred drydock and
special survey costs. This decrease in Adjusted Net Loss was
partially mitigated by (i) a $4.5 million decrease in Adjusted
EBITDA; and (ii) a decrease in income tax benefit of $1.7
million.
Net loss of Navios Logistics was $5.7 million for the three
month period ended December 31, 2016, as compared to net income of
$1.4 million for the same period in 2015.
Adjusted EBITDA of Navios Holdings for the three months ended
December 31, 2016 decreased by $4.5 million to $29.1 million as
compared to $33.6 million for the same period of 2015. The $4.5
million decrease in Adjusted EBITDA was primarily due to (i) a
$12.2 million decrease in revenue; (ii) a $3.2 million decrease in
equity in net earnings from affiliated companies; and (iii) a $1.9
million increase in direct vessel expenses (excluding the
amortization of deferred drydock and special survey costs). This
decrease was partially mitigated by (i) a $5.9 million decrease in
time charter, voyage and logistics business expenses; (ii) a $3.6
million decrease in general and administrative expenses (excluding
share-based compensation expenses); (iii) a $2.6 million decrease
in net income attributable to the noncontrolling interest; and (iv)
a $0.7 million decrease in other expense, net.
EBITDA of Navios Logistics was $7.1 million for the three month
period ended December 31, 2016, as compared to $15.9 million for
the same period in 2015.
Year Ended December 31, 2016 and 2015 Results (in
thousands of U.S. dollars, except per share data and unless
otherwise stated):
The information for the year ended December 31, 2016 and 2015
presented below was derived from the unaudited condensed
consolidated financial statements for the respective periods.
|
|
Year |
|
Year |
|
|
Ended |
|
Ended |
|
|
December
31, |
|
December
31, |
|
|
2016 |
|
2015 |
|
|
(unaudited) |
|
(unaudited) |
Revenue |
|
$ |
419,782 |
|
|
$ |
480,820 |
|
Net Loss |
|
$ |
(75,797 |
) |
|
$ |
(134,112 |
) |
Adjusted Net Loss (1)
(2) |
|
$ |
(83,945 |
) |
|
$ |
(104,253 |
) |
Net cash provided by
operating activities |
|
$ |
36,920 |
|
|
$ |
43,478 |
|
EBITDA |
|
$ |
165,199 |
|
|
$ |
112,756 |
|
Adjusted EBITDA (1)
(2) |
|
$ |
144,044 |
|
|
$ |
133,390 |
|
Basic Loss per
Share |
|
$ |
(0.42 |
) |
|
$ |
(1.42 |
) |
Adjusted Basic Loss per
Share (1) (2) |
|
$ |
(0.93 |
) |
|
$ |
(1.14 |
) |
(1) Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss
per Share for the year ended December 31, 2016 exclude (a) debt
extinguishment gains of $29.1 million and (b) non-cash losses of
$8.0 million relating to our share in Navios Partners. Adjusted Net
Loss and Adjusted Basic Loss per Share for the year ended December
31, 2016 also exclude $13.0 million of accelerated amortization of
intangibles. Adjusted Basic Loss per Share for the year ended
December 31, 2016 also exclude a gain of $46.6 million following
the completion of the Series G and Series H Exchange Program.
(2) Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss
per Share for the year ended December 31, 2015 exclude (a) $18.8
million non-cash guarantee loss relating to Navios Partners and (b)
$1.8 million non-cash loss on available-for-sale securities.
Adjusted Net Loss and Adjusted Basic Loss per Share for the year
ended December 31, 2015 also exclude $9.3 million of accelerated
amortization of intangibles.
Revenue from drybulk vessel operations for the year ended
December 31, 2016 was $199.5 million as compared to $229.8 million
for the same period during 2015. The decrease in drybulk revenue
was mainly attributable to (i) a decrease in available days of our
fleet by 1,879 days, mainly due to a decrease in short-term
charter-in fleet available days; and (ii) the decrease in the
freight market.
Revenue from the logistics business was $220.3 million for the
year ended December 31, 2016 as compared to $251.0 million for the
same period of 2015. This decrease was mainly attributable to a
decrease in the cabotage fleet's operating days, a decrease in
sales of products in the liquid terminal and a decrease in products
transported in the dry port terminal.
Net Loss of Navios Holdings was $75.8 million and $134.1 million
for the year ended December 31, 2016 and 2015, respectively. Net
Loss was affected by items described in the table above. Excluding
these items, Adjusted Net Loss of Navios Holdings for the year
ended December 31, 2016 was $83.9 million as compared to $104.3
million for the same period of 2015. The $20.4 million decrease in
Adjusted Net Loss was mainly due to (i) a decrease in depreciation
and amortization of $10.3 million; (ii) an increase in Adjusted
EBITDA of $10.6 million; (iii) a decrease in interest expense and
finance cost, net of $2.1 million; and (iv) a decrease in share
based compensation expenses of $2.3 million. This decrease in
Adjusted Net Loss was partially mitigated by (i) an increase in
income tax of $4.5 million; and (ii) an increase of $0.4 million in
amortization for deferred drydock and special survey costs.
Net income of Navios Logistics was $10.2 million for the year
ended December 31, 2016, as compared to $22.2 million for the same
period in 2015.
Adjusted EBITDA of Navios Holdings for the year ended December
31, 2016 increased by $10.6 million to $144.0 million as compared
to $133.4 million for the same period of 2015. The $10.6 million
increase in Adjusted EBITDA was primarily due to (i) a $72.8
million decrease in time charter, voyage and logistics business
expenses; (ii) a $14.7 million decrease in other expense, net;
(iii) a $6.7 million decrease in general and administrative
expenses (excluding share-based compensation expenses); (iv) a $4.3
million decrease in net income attributable to the noncontrolling
interest; and a (v) $1.4 million decrease in direct vessel expenses
(excluding the amortization of deferred drydock and special survey
costs). This overall increase of $99.9 million was set off by (i) a
$61.0 million decrease in revenue; and (ii) a $28.3 million
decrease in equity in net earnings from affiliated companies.
EBITDA of Navios Logistics was $68.1 million for the year ended
December 31, 2016, as compared to $80.5 million for the same period
in 2015.
Fleet Summary Data:
The following table reflects certain key indicators indicative
of the performance of the Navios Holdings' dry bulk operations
(excluding the Navios Logistics fleet) and its fleet performance
for the three month period and year ended December 31, 2016 and
2015, respectively.
|
|
Three Month |
|
Three Month |
|
Year |
|
Year |
|
|
|
Period
Ended |
|
Period
Ended |
|
Ended |
|
Ended |
|
|
|
December 31, |
|
December 31, |
|
December 31, |
|
December 31, |
|
|
|
2016 |
|
2015 |
|
2016 |
|
2015 |
|
|
|
(Unaudited) |
|
(Unaudited) |
|
(Unaudited) |
|
(Unaudited) |
|
Available
Days (1) |
|
5,616 |
|
|
|
6,316 |
|
|
|
21,908 |
|
|
|
23,787 |
|
|
Operating
Days (2) |
|
5,595 |
|
|
|
6,272 |
|
|
|
21,742 |
|
|
|
23,453 |
|
|
Fleet
Utilization (3) |
|
99.6 |
% |
|
|
99.3 |
% |
|
|
99.2 |
% |
|
|
98.6 |
% |
|
Equivalent Vessels (4) |
|
61 |
|
|
|
69 |
|
|
|
60 |
|
|
|
65 |
|
|
TCE
(5) |
$ |
8,445 |
|
|
$ |
8,091 |
|
|
$ |
8,220 |
|
|
$ |
7,846 |
|
|
(1 |
) |
Available
days for the fleet are total calendar days the vessels were in
Navios Holdings' possession for the relevant period after
subtracting off-hire days associated with major repairs, drydocking
or special surveys. The shipping industry uses available days to
measure the number of days in a relevant period during which
vessels should be capable of generating revenues. |
|
(2 |
) |
Operating
days are the number of available days in the relevant period less
the aggregate number of days that the vessels are off-hire due to
any reason, including unforeseen circumstances. The shipping
industry uses operating days to measure the aggregate number of
days in a relevant period during which vessels actually generate
revenues. |
|
(3 |
) |
Fleet
utilization is the percentage of time that Navios Holdings' vessels
were available for generating revenue, and is determined by
dividing the number of operating days during a relevant period by
the number of available days during that period. The shipping
industry uses fleet utilization to measure a company's efficiency
in finding suitable employment for its vessels. |
|
(4 |
) |
Equivalent
Vessels is defined as the total available days during a relevant
period divided by the number of days of this period. |
|
(5 |
) |
TCE is
defined as voyage and time charter revenues less voyage expenses
during a relevant period divided by the number of available days
during the period. |
|
Conference Call:
As previously announced, Navios Holdings will host a conference
call today, February 22, 2017, at 8:30 am ET, at which time Navios
Holdings' senior management will provide highlights and commentary
on earnings results for the fourth quarter and year ended December
31, 2016.
A supplemental slide presentation will be available on the
Navios Holdings website at www.navios.com under the
"Investors" section by 8:00 am ET on the day of the call.
Conference Call details:Call Date/Time: Wednesday, February 22,
2017, at 8:30 am ETCall Title: Navios Holdings Inc. Q4 2016
Financial Results Conference CallUS Dial In:
+1.877.480.3873International Dial In: +1.404.665.9927Conference ID:
56941796
The conference call replay will be available shortly after the
live call and remain available for one week at the following
numbers:
US Replay Dial In: +1.800.585.8367 International Replay Dial In:
+1.404.537.3406 Conference ID: 56941796
This call will be simultaneously Webcast. The Webcast will be
available on the Navios Holdings website, www.navios.com, under the
"Investors" section. The Webcast will be archived and available at
the same Web address for two weeks following the call.
About Navios Maritime Holdings Inc.
Navios Maritime Holdings Inc. (NYSE:NM) is a global, vertically
integrated seaborne shipping and logistics company focused on the
transport and transshipment of dry bulk commodities including iron
ore, coal and grain. For more information about Navios Holdings
please visit our website: www.navios.com.
About Navios South American Logistics Inc.
Navios South American Logistics Inc. is one of the largest
logistics companies in the Hidrovia region of South America,
focusing on the Hidrovia region river system, the main navigable
river system in the region, and on cabotage trades along the
eastern coast of South America. Navios Logistics serves the storage
and marine transportation needs of its petroleum, agricultural and
mining customers through its port terminals, river barge and
coastal cabotage operations. For more information about Navios
Logistics please visit its website: www.navios-logistics.com.
About Navios Maritime Partners L.P.
Navios Partners (NYSE:NMM) is a publicly traded master limited
partnership which owns and operates container and dry bulk vessels.
For more information, please visit its website at
www.navios-mlp.com.
About Navios Maritime Acquisition
Corporation
Navios Acquisition (NYSE:NNA) is an owner and operator of tanker
vessels focusing on the transportation of petroleum products (clean
and dirty) and bulk liquid chemicals. For more information about
Navios Acquisition, please visit its website:
www.navios-acquisition.com.
About Navios Maritime Midstream Partners
L.P.
Navios Maritime Midstream Partners L.P. is a publicly traded
master limited partnership which owns and operates crude oil
tankers under long-term employment contracts. For more information,
please visit its website at www.navios-midstream.com.
Forward Looking Statements - Safe Harbor
This press release and our earnings call contain and will
contain 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, including 2017 cash flow generation, future contracted
revenues, potential capital gains, our ability to take advantage of
dislocation in the market, and Navios Holdings' growth strategy and
measures to implement such strategy; including expected vessel
acquisitions and entering into further time charters. Words such as
“may,” “expects,” “intends,” “plans,” “believes,” “anticipates,”
“hopes,” “estimates,” and variations of such words and similar
expressions are intended to identify forward-looking statements.
Such statements include comments regarding expected revenue and
time charters. These forward-looking statements are based on the
information available to, and the expectations and assumptions
deemed reasonable by Navios Holdings at the time these statements
were made. Although Navios Holdings 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 which are
inherently subject to significant uncertainties and contingencies,
many of which are beyond the control of Navios Holdings. 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
uncertainty relating to global trade, including prices of seaborne
commodities and continuing issues related to seaborne volume and
ton miles, our continued ability to enter into long-term time
charters, our ability to maximize the use of our vessels, expected
demand in the dry cargo shipping sector in general and the demand
for our Panamax, Capesize and UltraHandymax vessels in particular,
fluctuations in charter rates for dry cargo carriers vessels, the
aging of our fleet and resultant increases in operations costs, the
loss of any customer or charter or vessel, the financial condition
of our customers, changes in the availability and costs of funding
due to conditions in the bank market, capital markets and other
factors, increases in costs and expenses, including but not limited
to: crew wages, insurance, provisions, port expenses, lube oil,
bunkers, repairs, maintenance, and general and administrative
expenses, the expected cost of, and our ability to comply with,
governmental regulations and maritime self-regulatory organization
standards, as well as standard regulations imposed by our
charterers applicable to our business, general domestic and
international political conditions, competitive factors in the
market in which Navios Holdings operates; risks associated with
operations outside the United States; and other factors listed from
time to time in Navios Holdings' filings with the Securities and
Exchange Commission, including its Form 20-F’s and Form 6-K’s.
Navios Holdings expressly disclaims any obligations or undertaking
to release publicly any updates or revisions to any forward-looking
statements contained herein to reflect any change in Navios
Holdings' expectations with respect thereto or any change in
events, conditions or circumstances on which any statement is
based. Navios Holdings makes no prediction or statement about the
performance of its common stock.
EXHIBIT I |
|
|
|
NAVIOS MARITIME HOLDINGS
INC.CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS(Expressed in thousands of U.S. dollars
— except share and per share data) |
|
|
|
|
|
|
|
|
Three Month Period
Ended December 31, 2016 |
|
|
Three Month Period
Ended December 31, 2015 |
|
|
Year Ended December 31,
2016 |
|
|
YearEnded December 31,
2015 |
|
|
|
|
|
|
(unaudited) |
|
|
(unaudited) |
|
|
(unaudited) |
|
|
(unaudited) |
|
Revenue |
|
|
|
|
|
$ |
99,475 |
|
|
$ |
111,746 |
|
|
$ |
419,782 |
|
|
$ |
480,820 |
|
Administrative fee
revenue from affiliates |
|
|
|
|
|
|
5,382 |
|
|
|
4,231 |
|
|
|
21,799 |
|
|
|
16,177 |
|
Time charter, voyage
and logistics business expenses |
|
|
|
|
|
|
(50,750 |
) |
|
|
(56,706 |
) |
|
|
(175,072 |
) |
|
|
(247,882 |
) |
Direct vessel expenses
(1) |
|
|
|
|
|
|
(29,368 |
) |
|
|
(27,852 |
) |
|
|
(127,396 |
) |
|
|
(128,168 |
) |
General and
administrative expenses incurred on behalf of affiliates |
|
|
|
|
|
|
(5,382 |
) |
|
|
(4,231 |
) |
|
|
(21,799 |
) |
|
|
(16,177 |
) |
General and
administrative expenses (2) |
|
|
|
|
|
|
(6,283 |
) |
|
|
(12,401 |
) |
|
|
(25,295 |
) |
|
|
(34,183 |
) |
Depreciation and
amortization |
|
|
|
|
|
|
(25,434 |
) |
|
|
(44,270 |
) |
|
|
(113,825 |
) |
|
|
(120,310 |
) |
Interest expense and
finance cost, net |
|
|
|
|
|
|
(27,435 |
) |
|
|
(27,371 |
) |
|
|
(108,692 |
) |
|
|
(110,781 |
) |
Gain on debt
extinguishment |
|
|
|
|
|
|
13,231 |
|
|
|
— |
|
|
|
29,187 |
|
|
|
— |
|
Other (expense)/income,
net |
|
|
|
|
|
|
(84 |
) |
|
|
(18,257 |
) |
|
|
5,206 |
|
|
|
(30,201 |
) |
Loss before
equity in net earnings of affiliated companies |
|
|
|
|
|
$ |
(26,648 |
) |
|
$ |
(75,111 |
) |
|
$ |
(96,105 |
) |
|
$ |
(190,705 |
) |
Equity in net earnings
of affiliated companies |
|
|
|
|
|
|
9,606 |
|
|
|
12,776 |
|
|
|
25,247 |
|
|
|
61,484 |
|
Loss before
taxes |
|
|
|
|
|
$ |
(17,042 |
) |
|
$ |
(62,335 |
) |
|
$ |
(70,858 |
) |
|
$ |
(129,221 |
) |
Income tax benefit
/(expense) |
|
|
|
|
|
|
572 |
|
|
|
2,266 |
|
|
|
(1,265 |
) |
|
|
3,154 |
|
Net
loss |
|
|
|
|
|
|
(16,470 |
) |
|
|
(60,069 |
) |
|
|
(72,123 |
) |
|
|
(126,067 |
) |
Less: Net loss/(income)
attributable to the noncontrolling interest |
|
|
|
|
|
$ |
2,057 |
|
|
$ |
(491 |
) |
|
$ |
(3,674 |
) |
|
$ |
(8,045 |
) |
Net loss
attributable to Navios Holdings common
stockholders |
|
|
|
|
|
$ |
(14,413 |
) |
|
$ |
(60,560 |
) |
|
$ |
(75,797 |
) |
|
$ |
(134,112 |
) |
Income/(Loss)
attributable to Navios Holdings common
stockholders, basic (3) |
|
|
|
|
|
$ |
28,233 |
|
|
$ |
(64,542 |
) |
|
$ |
(45,079 |
) |
|
$ |
(150,314 |
) |
Income/(Loss)
attributable to Navios Holdings common
stockholders, diluted (3) |
|
|
|
|
|
$ |
28,532 |
|
|
$ |
(64,542 |
) |
|
$ |
(45,079 |
) |
|
$ |
(150,314 |
) |
Basic earnings/
(loss) per share attributable to Navios
Holdings common stockholders |
|
|
|
|
|
$ |
0.25 |
|
|
$ |
(0.61 |
) |
|
$ |
(0.42 |
) |
|
$ |
(1.42 |
) |
Diluted
earnings/ (loss) per share attributable
to Navios Holdings common
stockholders |
|
|
|
|
|
$ |
0.24 |
|
|
$ |
(0.61 |
) |
|
$ |
(0.42 |
) |
|
$ |
(1.42 |
) |
Weighted
average number of shares, basic |
|
|
|
|
|
|
110,968,610 |
|
|
|
106,651,687 |
|
|
|
107,366,783 |
|
|
|
105,896,235 |
|
Weighted
average number of shares, diluted |
|
|
|
|
|
|
120,329,715 |
|
|
|
106,651,687 |
|
|
|
107,366,783 |
|
|
|
105,896,235 |
|
(1) Includes expenses of Navios Logistics of $16.9 million and
$19.7 million for the three months ended December 31, 2016 and 2015
and $76.0 million and $82.0 million for the year ended December 31,
2016 and 2015, respectively.
(2) Includes expenses of Navios Logistics of $4.0 million and
$3.4 million for the three months ended December 31, 2016 and 2015
and $14.3 million and $14.0 million for the year ended December 31,
2016 and 2015, respectively.
(3) Income/ (Loss) attributable to Navios Holdings common
stockholders for the three month ended December 31, 2016, and for
the year ended December 31, 2016, have been impacted following the
completion of the Series G and Series H Exchange Program.
|
|
NAVIOS MARITIME HOLDINGS
INC.Other Financial Data |
|
|
|
|
|
|
|
|
|
|
December
31,
2016 |
|
|
|
December 31,
2015 |
|
|
|
|
|
|
|
|
(unaudited) |
|
|
|
(unaudited) |
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents, including restricted cash |
|
|
|
|
|
$ |
141,378 |
|
|
$ |
176,892 |
|
|
Other current
assets |
|
|
|
|
|
|
131,762 |
|
|
|
126,067 |
|
Deposits for vessel
acquisitions |
|
|
|
|
|
|
136,891 |
|
|
|
73,949 |
|
Vessels, port terminal
and other fixed assets, net |
|
|
|
|
|
|
1,821,101 |
|
|
|
1,823,961 |
|
Other noncurrent
assets |
|
|
|
|
|
|
462,638 |
|
|
|
447,151 |
|
Goodwill and other
intangibles |
|
|
|
|
|
|
287,151 |
|
|
|
310,793 |
|
Total
assets |
|
|
|
|
|
$ |
2,980,921 |
|
|
$ |
2,958,813 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
AND STOCKHOLDERS’
EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
Current liabilities,
including current portion of long-term debt, net |
|
|
|
|
|
|
251,783 |
|
|
|
226,856 |
|
|
Senior and ship
mortgage notes, net |
|
|
|
|
|
|
1,296,537 |
|
|
|
1,350,941 |
|
|
Long-term debt,
net |
|
|
|
|
|
|
324,731 |
|
|
|
213,423 |
|
|
Other noncurrent
liabilities |
|
|
|
|
|
|
76,291 |
|
|
|
57,041 |
|
|
Total stockholders’
equity |
|
|
|
|
|
|
1,031,579 |
|
|
|
1,110,552 |
|
|
Total
liabilities and stockholders’ equity |
|
|
|
|
|
$ |
2,980,921 |
|
|
$ |
2,958,813 |
|
|
|
|
|
Year Ended December
31,
2016 |
|
|
Year Ended December
31,
2015 |
|
|
|
(unaudited) |
|
|
(unaudited) |
Net cash provided by
operating activities |
|
|
$ |
36,920 |
|
|
$ |
43,478 |
|
Net cash used in
investing activities |
|
|
$ |
(150,565 |
) |
|
$ |
(36,499 |
) |
Net cash provided by/
(used in) financing activities |
|
|
$ |
86,225 |
|
|
$ |
(91,123 |
) |
Disclosure of Non-GAAP Financial Measures
EBITDA, Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic
Loss per Share are “non-U.S. GAAP financial measures” and should
not be used in isolation or considered substitutes for net income/
(loss), cash flow from operating activities and other operations or
cash flow statement data prepared in accordance with generally
accepted accounting principles in the United States.
EBITDA represents net (loss)/income attributable to Navios
Holdings' common stockholders before interest and finance costs,
before depreciation and amortization, before income taxes and
before stock-based compensation. Adjusted EBITDA represents EBITDA,
excluding certain items as described under “Earnings Highlights”.
Adjusted Loss and Adjusted Basic Loss per Share, represent Net Loss
and Basic Loss per Share, excluding certain items as described
under “Earnings Highlights”. We use EBITDA and Adjusted EBITDA as
liquidity measures and reconcile EBITDA and Adjusted EBITDA to net
cash provided by operating activities, the most comparable U.S.
GAAP liquidity measure. EBITDA is calculated as follows: net cash
provided by operating activities adding back, when applicable and
as the case may be, the effect of (i) net increase/(decrease) in
operating assets, (ii) net (increase)/decrease in operating
liabilities, (iii) net interest cost, (iv) deferred finance charges
and gains/(losses) on bond and debt extinguishment, (v) provision
for losses on accounts receivable, (vi) equity in affiliates, net
of dividends received, (vii) payments for drydock and special
survey costs, (viii) noncontrolling interest, and (ix) loss on sale
and reclassification to earnings of available-for-sale securities
and impairment charges. Navios Holdings believes that EBITDA and
Adjusted EBITDA are a basis upon which liquidity can be assessed
and represents useful information to investors regarding Navios
Holdings’ ability to service and/or incur indebtedness, pay capital
expenditures, meet working capital requirements and pay dividends.
Navios Holdings also believes that EBITDA and Adjusted EBITDA are
used (i) by prospective and current lessors as well as potential
lenders to evaluate potential transactions; (ii) to evaluate and
price potential acquisition candidates; and (iii) by securities
analysts, investors and other interested parties in the evaluation
of companies in our industry.
EBITDA and Adjusted EBITDA are presented to provide additional
information with respect to the ability of Navios Holdings to
satisfy its respective obligations, including debt service, capital
expenditures, working capital requirements and pay dividends. While
EBITDA and Adjusted EBITDA are frequently used as measures of
operating results and the ability to meet debt service
requirements, the definitions of EBITDA and Adjusted EBITDA used
here may not be comparable to those used by other companies due to
differences in methods of calculation.
EBITDA and Adjusted EBITDA have limitations as an analytical
tool, and therefore, should not be considered in isolation or as a
substitute for the analysis of Navios Holdings’ results as reported
under U.S. GAAP. Some of these limitations are: (i) EBITDA and
Adjusted EBITDA do not reflect changes in, or cash requirements
for, working capital needs; (ii) EBITDA and Adjusted EBITDA do not
reflect the amounts necessary to service interest or principal
payments on our debt and other financing arrangements; and (iii)
although depreciation and amortization are non-cash charges, the
assets being depreciated and amortized may have to be replaced in
the future. EBITDA and Adjusted EBITDA do not reflect any cash
requirements for such capital expenditures. Because of these
limitations, among others, EBITDA and Adjusted EBITDA should not be
considered as a principal indicator of Navios Holdings’
performance. Furthermore, our calculation of EBITDA and Adjusted
EBITDA may not be comparable to that reported by other companies
due to differences in methods of calculation.
Navios Logistics EBITDA is used to measure its operating
performance.
The following tables provide a reconciliation of EBITDA and
Adjusted EBITDA of Navios Holdings (including Navios Logistics) and
EBITDA of Navios Logistics on a stand-alone basis:
Navios Holdings Reconciliation of EBITDA and Adjusted
EBITDA to Cash from Operations
|
|
December
31, |
|
|
December
31, |
|
Three Months Ended |
|
2016 |
|
|
2015 |
|
(in
thousands of U.S. dollars) |
|
(unaudited) |
|
|
(unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by
operating activities |
|
$ |
(5,357 |
) |
|
|
$ |
21,100 |
|
|
|
Net increase/
(decrease) in operating assets |
|
|
576 |
|
|
|
|
(14,371 |
) |
|
|
Net increase in
operating liabilities |
|
|
(2,391 |
) |
|
|
|
(30,146 |
) |
|
|
Net interest cost |
|
|
27,435 |
|
|
|
|
27,371 |
|
|
|
Deferred finance
charges |
|
|
(1,599 |
) |
|
|
|
(1,234 |
) |
|
|
(Provision)/ recovery
for losses on accounts receivable |
|
|
(702 |
) |
|
|
|
45 |
|
|
|
Equity in affiliates,
net of dividends received |
|
|
5,361 |
|
|
|
|
8,724 |
|
|
|
Payments for drydock
and special survey |
|
|
3,721 |
|
|
|
|
5,057 |
|
|
|
Noncontrolling
interest |
|
|
2,057 |
|
|
|
|
(491 |
) |
|
|
Gain on debt
extinguishment |
|
|
13,231 |
|
|
|
|
- |
|
|
|
EBITDA |
|
|
42,332 |
|
|
|
|
16,055 |
|
|
|
Gain on debt
extinguishment |
|
|
(13,231 |
) |
|
|
|
- |
|
|
|
Navios Partners’
guarantee loss |
|
|
- |
|
|
|
|
17,547 |
|
|
|
Adjusted
EBITDA |
|
$ |
29,101 |
|
|
|
$ |
33,602 |
|
|
|
|
|
Navios Logistics EBITDA Reconciliation to Net (Loss)/
Income
|
|
December
31, |
|
|
December
31, |
|
Three Months Ended |
|
2016 |
|
|
2015 |
|
(in
thousands of U.S. dollars) |
|
(unaudited) |
|
|
(unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss)/ income |
|
$ |
(5,685 |
) |
|
|
$ |
1,358 |
|
|
|
Depreciation and
amortization |
|
|
5,887 |
|
|
|
|
8,425 |
|
|
|
Amortization of
deferred drydock and special survey costs |
|
|
1,804 |
|
|
|
|
2,161 |
|
|
|
Interest expense and
finance cost, net |
|
|
5,754 |
|
|
|
|
6,444 |
|
|
|
Income tax benefit |
|
|
(641 |
) |
|
|
|
(2,446 |
) |
|
|
EBITDA |
|
$ |
7,119 |
|
|
|
$ |
15,942 |
|
|
|
|
|
Navios Holdings Reconciliation of EBITDA and Adjusted
EBITDA to Cash from Operations
|
|
December
31, |
|
|
December
31, |
Year Ended |
|
2016 |
|
|
2015 |
(in
thousands of U.S. dollars) |
|
(unaudited) |
|
|
(unaudited) |
|
|
|
|
|
|
|
|
|
|
Net cash provided by
operating activities |
|
$ |
36,920 |
|
|
|
$ |
43,478 |
|
|
Net increase/
(decrease) in operating assets |
|
|
20,599 |
|
|
|
|
(43,042 |
) |
|
Net increase in
operating liabilities |
|
|
(38,928 |
) |
|
|
|
(39,288 |
) |
|
Net interest cost |
|
|
108,692 |
|
|
|
|
110,781 |
|
|
Deferred finance
charges |
|
|
(5,653 |
) |
|
|
|
(4,524 |
) |
|
Provision for losses on
accounts receivable |
|
|
(1,304 |
) |
|
|
|
(59 |
) |
|
Equity in affiliates,
net of dividends received |
|
|
8,609 |
|
|
|
|
30,398 |
|
|
Payments for drydock
and special survey |
|
|
11,096 |
|
|
|
|
24,840 |
|
|
Noncontrolling
interest |
|
|
(3,674 |
) |
|
|
|
(8,045 |
) |
|
Gain on debt
extinguishment |
|
|
29,187 |
|
|
|
|
- |
|
|
Loss on sale and
reclassification to earnings of available-for-sale securities |
|
|
(345 |
) |
|
|
|
(1,783 |
) |
|
EBITDA |
|
|
165,199 |
|
|
|
|
112,756 |
|
|
Gain on debt
extinguishment |
|
|
(29,187 |
) |
|
|
|
- |
|
|
Other items from
affiliates |
|
|
8,032 |
|
|
|
|
- |
|
|
Navios Partners’
guarantee loss |
|
|
- |
|
|
|
|
18,851 |
|
|
Loss on sale and
reclassification to earnings of available-for-sale securities |
|
|
- |
|
|
|
|
1,783 |
|
|
Adjusted
EBITDA |
|
$ |
144,044 |
|
|
|
$ |
133,390 |
|
|
|
Navios Logistics EBITDA Reconciliation to Net
Income
|
|
December
31, |
|
|
December
31, |
|
Year Ended |
|
2016 |
|
|
2015 |
|
(in
thousands of U.S. dollars) |
|
(unaudited) |
|
|
(unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
Net
income |
|
$ |
10,157 |
|
|
$ |
22,238 |
|
|
|
Depreciation and amortization |
|
|
26,627 |
|
|
|
27,969 |
|
|
|
Amortization of deferred drydock and special survey costs |
|
|
6,870 |
|
|
|
7,280 |
|
|
|
Interest
expense and finance cost, net |
|
|
23,425 |
|
|
|
26,513 |
|
|
|
Income tax
expense/ (benefit) |
|
|
982 |
|
|
|
(3,551 |
) |
|
|
EBITDA |
|
$ |
68,061 |
|
|
$ |
80,449 |
|
|
EXHIBIT II |
|
Owned Vessels |
|
|
|
|
|
|
|
|
|
Vessel Name |
|
Vessel Type |
|
Year Built |
|
Deadweight (in metric tons) |
|
Navios Serenity |
|
Handysize |
|
2011 |
|
34,690 |
|
Navios Ionian |
|
Ultra Handymax |
|
2000 |
|
52,067 |
|
Navios Horizon |
|
Ultra Handymax |
|
2001 |
|
50,346 |
|
Navios Herakles |
|
Ultra Handymax |
|
2001 |
|
52,061 |
|
Navios Achilles |
|
Ultra Handymax |
|
2001 |
|
52,063 |
|
Navios Vector |
|
Ultra Handymax |
|
2002 |
|
50,296 |
|
Navios Meridian |
|
Ultra Handymax |
|
2002 |
|
50,316 |
|
Navios Mercator |
|
Ultra Handymax |
|
2002 |
|
53,553 |
|
Navios Arc |
|
Ultra Handymax |
|
2003 |
|
53,514 |
|
Navios Hios |
|
Ultra Handymax |
|
2003 |
|
55,180 |
|
Navios Kypros |
|
Ultra Handymax |
|
2003 |
|
55,222 |
|
Navios Astra |
|
Ultra Handymax |
|
2006 |
|
53,468 |
|
Navios Ulysses |
|
Ultra Handymax |
|
2007 |
|
55,728 |
|
Navios Celestial |
|
Ultra Handymax |
|
2009 |
|
58,063 |
|
Navios Vega |
|
Ultra Handymax |
|
2009 |
|
58,792 |
|
Navios Magellan |
|
Panamax |
|
2000 |
|
74,333 |
|
Navios Star |
|
Panamax |
|
2002 |
|
76,662 |
|
Navios Amitie |
|
Panamax |
|
2005 |
|
75,395 |
|
Navios Northern
Star |
|
Panamax |
|
2005 |
|
75,395 |
|
Navios Taurus |
|
Panamax |
|
2005 |
|
76,596 |
|
Navios Asteriks |
|
Panamax |
|
2005 |
|
76,801 |
|
Navios Galileo |
|
Panamax |
|
2006 |
|
76,596 |
|
N Amalthia |
|
Panamax |
|
2006 |
|
75,318 |
|
N Bonanza |
|
Panamax |
|
2006 |
|
76,596 |
|
Navios Avior |
|
Panamax |
|
2012 |
|
81,355 |
|
Navios Centaurus |
|
Panamax |
|
2012 |
|
81,472 |
|
Navios Sphera |
|
Panamax |
|
2016 |
|
84,872 |
|
Navios Stellar |
|
Capesize |
|
2009 |
|
169,001 |
|
Navios Bonavis |
|
Capesize |
|
2009 |
|
180,022 |
|
Navios Happiness |
|
Capesize |
|
2009 |
|
180,022 |
|
Navios Phoenix |
|
Capesize |
|
2009 |
|
180,242 |
|
Navios Lumen |
|
Capesize |
|
2009 |
|
180,661 |
|
Navios Antares |
|
Capesize |
|
2010 |
|
169,059 |
|
Navios Etoile |
|
Capesize |
|
2010 |
|
179,234 |
|
Navios Bonheur |
|
Capesize |
|
2010 |
|
179,259 |
|
Navios Altamira |
|
Capesize |
|
2011 |
|
179,165 |
|
Navios Azimuth |
|
Capesize |
|
2011 |
|
179,169 |
|
Navios Ray |
|
Capesize |
|
2012 |
|
179,515 |
|
Navios Gem |
|
Capesize |
|
2014 |
|
181,336 |
|
Navios Mars |
|
Capesize |
|
2016 |
|
181,259 |
|
|
|
|
|
|
|
|
|
Long term Chartered-in Fleet in
Operation
Vessel Name |
|
Vessel Type |
|
Year Built |
|
Deadweight (in metric tons) |
|
Purchase Option(1) |
|
Navios
Lyra |
|
Handysize |
|
2012 |
|
34,718 |
|
Yes
(2) |
|
Navios
Primavera |
|
Ultra
Handymax |
|
2007 |
|
53,464 |
|
Yes |
|
Mercury
Ocean |
|
Ultra
Handymax |
|
2008 |
|
53,452 |
|
No |
|
Kouju
Lily |
|
Ultra
Handymax |
|
2011 |
|
58,872 |
|
No |
|
Navios
Oriana |
|
Ultra
Handymax |
|
2012 |
|
61,442 |
|
Yes |
|
Navios
Mercury |
|
Ultra
Handymax |
|
2013 |
|
61,393 |
|
Yes |
|
Navios
Venus |
|
Ultra
Handymax |
|
2015 |
|
61,339 |
|
Yes |
|
Osmarine |
|
Panamax |
|
2006 |
|
76,000 |
|
No |
|
Navios
Aldebaran |
|
Panamax |
|
2008 |
|
76,500 |
|
Yes |
|
KM
Imabari |
|
Panamax |
|
2009 |
|
76,619 |
|
No |
|
Navios
Marco Polo |
|
Panamax |
|
2011 |
|
80,647 |
|
Yes |
|
Navios
Southern Star |
|
Panamax |
|
2013 |
|
82,224 |
|
Yes |
|
Sea
Victory |
|
Panamax |
|
2014 |
|
77,095 |
|
Yes |
|
Navios
Sky |
|
Panamax |
|
2015 |
|
82,056 |
|
Yes |
|
Navios
Amber |
|
Panamax |
|
2015 |
|
80,994 |
|
Yes |
|
Navios
Coral |
|
Panamax |
|
2016 |
|
84,904 |
|
Yes |
|
Navios
Dolphin |
|
Panamax |
|
2017 |
|
81,630 |
|
Yes |
|
Navios
Citrine |
|
Panamax |
|
2017 |
|
81,626 |
|
Yes |
|
Equator
Prosper |
|
Capesize |
|
2000 |
|
170,000 |
|
No |
|
Pacific
Explorer |
|
Capesize |
|
2007 |
|
177,000 |
|
No |
|
King
Ore |
|
Capesize |
|
2010 |
|
176,800 |
|
Yes |
|
Navios
Koyo |
|
Capesize |
|
2011 |
|
181,415 |
|
Yes |
|
Navios
Obeliks |
|
Capesize |
|
2012 |
|
181,415 |
|
Yes |
|
Dream
Coral |
|
Capesize |
|
2015 |
|
181,249 |
|
Yes |
|
Dream
Canary |
|
Capesize |
|
2015 |
|
180,528 |
|
Yes |
|
Navios
Felix |
|
Capesize |
|
2016 |
|
181,221 |
|
Yes |
|
|
|
|
|
|
|
|
|
|
|
(1) Generally, Navios Holdings may exercise its purchase
option after three to five years of service. |
|
(2) Navios Holdings holds the initial 50% purchase option on
the vessel. |
|
Contact:
Navios Maritime Holdings Inc.
+1.212.906.8643
investors@navios.com
Navios Maritime (NYSE:NM)
Historical Stock Chart
From Mar 2024 to Apr 2024
Navios Maritime (NYSE:NM)
Historical Stock Chart
From Apr 2023 to Apr 2024