DCIX Performance Shipping Inc

Performance Shipping Inc. (NASDAQ: DCIX), (the “Company”), a global shipping company specializing in the ownership of containerships and tanker vessels, today reported a net loss of $18.1 million for the third quarter of 2019, compared to a net loss of $6.3 million for the same period of 2018. The loss for the third quarter of 2019 includes $17.4 million of impairment charges for one vessel, while the loss for the third quarter of 2018 includes $4.8 million of impairment charges for one vessel.

Voyage and time charter revenues were $6.3 million for the third quarter of 2019, compared to $5.2 million for the same period of 2018. This increase is primarily attributable to the increase in size of the Company’s fleet following the acquisition of the tanker vessel “Blue Moon” in August 2019.

Net loss for the nine months ended September 30, 2019, amounted to $19.8 million, compared to a net loss of $52.5 million for the nine months ended September 30, 2018. The loss for the nine months ended September 30, 2019 includes $17.7 million of impairment charges for two vessels, while the loss for the nine months ended September 30, 2018 includes $20.4 million of impairment charges for two vessels and $16.7 million of aggregate loss on sale of seven vessels. Voyage and time charter revenues for the nine months ended September 30, 2019, amounted to $16.3 million, compared to $19.5 million for the nine months ended September 30, 2018.

As of November 25, 2019, the Company had 49,021,001 shares of common stock issued and outstanding.

Fleet Employment Profile (As of November 25, 2019)
Performance Shipping Inc.’s fleet is employed as follows:
Vessel	Gross Rate(USD PerDay)		Com*		Charterers	Delivery Date toCharterers**	Redelivery Date toOwners***	Notes
BUILT  CAPACITY
3 Aframax Tanker Vessels
BLUE MOON	Spot		3.75	%	Lukoil Asia Pacific Pte Ltd	27-Aug-19	- - -
2011  104,623DWT
BRIOLETTE		-	-		-	-	- - -
2011  104,588DWT
VIRGO SUN		-	-		-	-	- - -	1
2007  115,577DWT
1 Panamax Container Vessel
PAMINA	$	8,800	5.00	%	Hyundai Merchant Marine Co., Ltd.	5-May-19	27-Sep-19	2
2005  5,042TEU
DOMINGO	$	10,500	3.50	%	CMA CGM	3-Apr-19	22-Oct-19
	$	10,500	3.50	%		22-Oct-19	15-Jan-20	3
2001  3,739TEU
1 Post - Panamax Container Vessel
PUCON	$	19,500	3.75	%	Wan Hai Lines (Singapore) Pte Ltd.	27-Jun-19	10-Sep-19
	$	24,000	3.75	%		10-Sep-19	18-Nov-19	4
2006  6,541TEU
ROTTERDAM	$	20,500	3.75	%	Wan Hai Lines (Singapore) Pte Ltd.	25-Jul-19	6-Oct-19
	$	25,000	1.25	%	Ocean Network Express Pte. Ltd.	10-Oct-19	29-Dec-19 - 28-Jan-20
2008  6,494TEU
* Total commission paid to third parties.
** In case of newly acquired vessel with time charter attached, this date refers to the expected/actual date of delivery of the vessel to the Company.
*** Range of redelivery dates, with the actual date of redelivery being at the Charterers’ option, but subject to the terms, conditions, and exceptions of the particular charterparty.
1 Expected date of delivery to the Company by the end of January 2020.
2 "Pamina" sold and delivered to her new owners on October 1, 2019.
3 Redelivery date based on an estimated time charter trip duration of about 85 days.
4 "Pucon" sold and delivered to her new owners on November 21, 2019.

Summary of Selected Financial & Other Data
			For the three months endedSeptember 30,						For the nine months ended September 30,
			2019			2018			2019			2018
			(unaudited)			(unaudited)			(unaudited)			(unaudited)
STATEMENT OF OPERATIONS DATA (in thousands of US Dollars):
	Voyage and time charter revenues	$	6,250		$	5,229		$	16,266		$	19,489
	Voyage expenses		761			409			1,363			1,044
	Vessel operating expenses		2,886			2,914			8,716			12,641
	Net loss		(18,082	)		(6,255	)		(19,829	)		(52,500	)
FLEET DATA
	Average number of vessels		4.6			4.2			4.2			7.1
	Number of vessels		5.0			4.0			5.0			4.0
	Ownership days		425			388			1,149			1,939
	Available days		425			377			1,149			1,916
	Operating days		375			365			1,071			1,809
	Fleet utilization		88.2%			96.8%			93.2%			94.4%
AVERAGE DAILY RESULTS
	Time charter equivalent (TCE) rate (1)	$	12,915		$	12,785		$	12,970		$	9,627
	Daily vessel operating expenses (2)	$	6,791		$	7,510		$	7,586		$	6,519
*	Number of vessels excludes vessels that the Company has contracted to purchase but have not been delivered to the Company as at September 30, 2019.

_____________________

(1) Time charter equivalent rates, or TCE rates, are defined as our voyage and time charter revenues, less voyage expenses during a period divided by the number of our available days during the period, which is consistent with industry standards.  Voyage expenses include port charges, bunker (fuel) expenses, canal charges and commissions.  TCE is a non-GAAP measure. TCE rate is a standard shipping industry performance measure used primarily to compare daily earnings generated by vessels despite changes in the mix of charter types (i.e., voyage (spot) charters, time charters and bareboat charters).(2) Daily vessel operating expenses, which include crew wages and related costs, the cost of insurance and vessel registry, expenses relating to repairs and maintenance, the costs of spares and consumable stores, lubricant costs, tonnage taxes, regulatory fees, environmental costs, lay-up expenses and other miscellaneous expenses, are calculated by dividing vessel operating expenses by ownership days for the relevant period.

About the Company

Performance Shipping Inc. is a global provider of shipping transportation services through its ownership of vessels. The Company’s vessels are employed primarily on time charters with leading charterers. 

Cautionary Statement Regarding Forward-Looking Statements

Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts.

The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words "believe," "anticipate," "intends," "estimate," "forecast," "project," "plan," "potential," "may," "should," "expect," "pending" and similar expressions identify forward-looking statements.

The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, our management's examination of historical operating trends, data contained in our records and other data available from third parties. Although we believe that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, we cannot assure you that we will achieve or accomplish these expectations, beliefs or projections.

In addition to these important factors, other important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for containership capacity, changes in our operating expenses, including bunker prices, drydocking and insurance costs, the market for our vessels, availability of financing and refinancing, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, vessel breakdowns and instances of off-hires and other factors. Please see our filings with the Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties.

(See financial tables attached)

PERFORMANCE SHIPPING INC.
FINANCIAL TABLES
Expressed in thousands of U.S. Dollars, except for share and per share data
UNAUDITED INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS
			For the three months endedSeptember 30,						For the nine months endedSeptember 30,
			2019			2018			2019			2018
REVENUES:
	Voyage and time charter revenues	$	6,250		$	5,229		$	16,266		$	19,489
EXPENSES:
	Voyage expenses		761			409			1,363			1,044
	Vessel operating expenses		2,886			2,914			8,716			12,641
	Depreciation and amortization of deferred charges		1,053			956			2,793			4,055
	Management fees		47			-			47			-
	General and administrative expenses		1,966			1,851			5,430			5,710
	Impairment losses		17,434			4,762			17,694			20,388
	Loss on vessels' sale		-			21			-			16,700
	Foreign currency gains		(22	)		(1	)		(17	)		(34	)
	Operating loss	$	(17,875	)	$	(5,683	)		(19,760	)		(41,015	)
OTHER INCOME / (EXPENSES):
	Interest and finance costs		(253	)		(581	)		(253	)		(11,520	)
	Interest income		46			9			184			35
	Total other expenses, net	$	(207	)	$	(572	)		(69	)		(11,485	)
Net loss		$	(18,082	)	$	(6,255	)	$	(19,829	)	$	(52,500	)
Loss per common share, basic and diluted		$	(0.56	)	$	(0.61	)	$	(0.78	)	$	(6.45	)
Weighted average number of common shares, basic and diluted			32,391,860			10,253,485			25,310,075			8,141,811
UNAUDITED INTERIM CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
			For the three months endedSeptember 30,						For the nine months endedSeptember 30,
			2019			2018			2019			2018
Net loss		$	(18,082	)	$	(6,255	)	$	(19,829	)	$	(52,500	)
Comprehensive loss		$	(18,082	)	$	(6,255	)	$	(19,829	)	$	(52,500	)

CONDENSED CONSOLIDATED BALANCE SHEET DATA
(Expressed in thousands of US Dollars)
			September 30, 2019		December 31, 2018*
ASSETS			(unaudited)
Cash and cash equivalents		$	7,499	$	10,493
Vessels held for sale, net			28,876		-
Advances for vessel acquisitions and other vessels' costs			2,016		-
Vessels, net			67,229		85,870
Other fixed assets, net			990		998
Other assets			6,825		2,725
	Total assets	$	113,435	$	100,086
LIABILITIES AND STOCKHOLDERS' EQUITY
Long-term debt, net of unamortized deferred financing costs		$	16,333	$	-
Other liabilities			2,100		4,510
Total stockholders' equity			95,002		95,576
	Total liabilities and stockholders' equity	$	113,435	$	100,086
* The balance sheet data as of December 31, 2018 has been derived from the audited consolidated financial statements at that date.

OTHER FINANCIAL DATA
			For the three months endedSeptember 30,						For the nine months endedSeptember 30,
			2019			2018			2019			2018
			(unaudited)			(unaudited)			(unaudited)			(unaudited)
Net Cash used in Operating Activities		$	(3,245	)	$	(295	)	$	(3,889	)	$	(837	)
Net Cash provided by / (used in) Investing Activities			(22,146	)		19,836			(21,705	)		92,840
Net Cash provided by / (used in) Financing Activities			16,148			(37,447	)		22,600			(92,989	)

Corporate Contact:
Ioannis Zafirakis
Director, Chief Strategy Officer and Secretary
Telephone: + 30-216-600-2400
Email: izafirakis@pshipping.com
Website: www.pshipping.com

Investor and Media Relations:
Edward Nebb
Comm-Counsellors, LLC
Telephone: + 1-203-972-8350
Email: enebb@optonline.net