Navios Maritime Partners L.P. (“Navios Partners”) (NYSE: NMM), an
international owner and operator of dry cargo vessels, today
reported its financial results for the second quarter and six month
periods ended June 30, 2020.
Angeliki Frangou, Chairman and Chief Executive
Officer of Navios Partners, stated, “While the Pandemic greatly
affected businesses, countries, and people all over the world, the
Navios family continues to persevere. For the second quarter of
2020, Navios Partners reported $46.5 million in revenue and $14.3
million in Adjusted EBITDA. Navios Partners also declared a
quarterly distribution of $0.05 cents per unit, representing an
annual distribution of $0.20 cents per unit.”
Angeliki Frangou continued, “The pandemic’s
negative effect on global economic activity can be seen in the
charter rates. Year-to-date 2020, the capesize 5TC rate averaged
around $9,700 per day, representing about 55% of the 2019 average
of $18,000. Despite a difficult 2020, the IMF projects global GDP
to increase by 5.4% in 2021 which we expect will positively affect
the dry bulk trade.”
Liquidation of Navios Europe II
Inc.
On June 29, 2020, the liquidation of Navios
Europe II was completed and Navios Partners was allocated $2.7
million in cash and took delivery of two Ultra-Handymax and three
Panamax dry bulk vessels together with assumption of loans and
working capital.
Financing
Arrangements
In June 2020, Navios Partners entered into a new
credit facility with a commercial bank for a total amount of $29.5
million for the refinancing of five drybulk vessels that were
acquired upon the liquidation of Navios Europe II. The credit
facility has an amortization profile of 6.2 years, matures in June
2021 and bears interest at LIBOR plus 400 bps per annum up to
December 2020 and 425 bps per annum subsequently.
In June 2020, Navios Partners entered into a new
credit facility with a commercial bank for a total amount of $17.0
million for the refinancing of four containerships. The credit
facility has an amortization profile of 8.0 years, matures in
December 2023 and bears interest at LIBOR plus 350 bps per
annum.
Cash Distribution
The Board of Directors of Navios Partners
declared a cash distribution for the second quarter of 2020 of
$0.05 per unit. The cash distribution is payable on August 13, 2020
to all unitholders of record as of August 10, 2020. The declaration
and payment of any further dividends remain subject to the
discretion of the Board of Directors and will depend on, among
other things, Navios Partners’ cash requirements as measured by
market opportunities and restrictions under its credit agreements
and other debt obligations and such other factors as the Board of
Directors may deem advisable.
Long-Term Cash Flow
Navios Partners has entered into medium to
long-term time charter-out agreements for its vessels with a
remaining average term of approximately 2.0 years. Navios Partners
has currently contracted out 95.0% of its available days for 2020,
41.5% for 2021 and 18.6% for 2022, including index-linked charters,
expecting to generate revenues (excluding index-linked charters) of
approximately $176.6 million, $93.0 million and $71.9 million,
respectively. The average contracted daily charter-out rate for the
fleet is $12,512, $22,529 and $28,632 for 2020, 2021 and 2022,
respectively.
EARNINGS HIGHLIGHTS
For the following results and the selected
financial data presented herein, Navios Partners has compiled
condensed consolidated statements of operations for the three and
six month periods ended June 30, 2020 and 2019. The quarterly
information was derived from the unaudited condensed consolidated
financial statements for the respective periods. Adjusted EBITDA,
Adjusted Earnings / (Loss) per Common Unit, Adjusted Net Income /
(Loss) and Operating Surplus are non-GAAP financial measures and
should not be used in isolation or substitution for Navios
Partners' results calculated in accordance with US generally
accepted accounting principles (“US GAAP”).
|
Three Month |
Three Month |
Six Month |
Six Month |
|
Period Ended |
Period Ended |
Period Ended |
Period Ended |
|
June 30, 2020 |
June 30, 2019 |
June 30, 2020 |
June 30, 2019 |
(in $ '000 except per
unit data) |
(unaudited) |
(unaudited) |
(unaudited) |
(unaudited) |
Revenue |
$ |
46,549 |
|
|
$ |
47,745 |
|
|
$ |
93,039 |
|
|
$ |
94,563 |
|
|
Net Loss |
$ |
(14,641 |
) |
|
$ |
(6,523 |
) |
|
$ |
(25,365 |
) |
|
$ |
(16,046 |
) |
|
Adjusted Net Loss |
$ |
(7,841 |
) |
(1) |
$ |
(1,401 |
) |
(2) |
$ |
(11,665 |
) |
(4) |
$ |
(3,579 |
) |
(5) |
Net cash provided by operating
activities |
$ |
26,738 |
|
|
$ |
3,943 |
|
|
$ |
47,675 |
|
|
$ |
14,426 |
|
|
EBITDA |
$ |
7,490 |
|
|
$ |
18,699 |
|
|
$ |
19,671 |
|
|
$ |
34,012 |
|
|
Adjusted EBITDA |
$ |
14,290 |
|
(1) |
$ |
22,337 |
|
(3) |
$ |
33,371 |
|
(4) |
$ |
44,995 |
|
(6) |
Loss per Common Unit (basic
and diluted) |
$ |
(1.32 |
) |
|
$ |
(0.59 |
) |
|
$ |
(2.29 |
) |
|
$ |
(1.44 |
) |
|
Adjusted Loss per Common Unit
(basic and diluted) |
$ |
(0.71 |
) |
(1) |
$ |
(0.13 |
) |
(2) |
$ |
(1.05 |
) |
(4) |
$ |
(0.32 |
) |
(5) |
Operating Surplus |
$ |
(1,128 |
) |
|
$ |
6,207 |
|
|
$ |
3,303 |
|
|
$ |
11,909 |
|
|
Maintenance and Replacement
Capital Expenditure Reserve |
$ |
8,589 |
|
|
$ |
7,260 |
|
|
$ |
17,179 |
|
|
$ |
14,734 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- Adjusted EBITDA, Adjusted Net Loss
and Adjusted Loss per Common Unit for the three month period ended
June 30, 2020 have been adjusted to exclude a $ 6.8 million
impairment loss related to three containerships.
- Adjusted Net Loss and Adjusted Loss
per Common Unit for the three month period ended June 30, 2019 have
been adjusted to exclude a $ 3.6 million revision of the estimated
guarantee claim receivable and a $ 1.5 million write-off of
deferred finance fees and discount related to the $ 73.5 million
prepayments of the Term Loan B Facility in the second quarter of
2019.
- Adjusted EBITDA for the three month
period ended June 30, 2019 has been adjusted to exclude a $ 3.6
million revision of the estimated guarantee claim
receivable.
- Adjusted EBITDA, Adjusted Net Loss
and Adjusted Loss per Common Unit for the six month period ended
June 30, 2020 have been adjusted to exclude a $ 6.9 million loss
related to the other-than-temporary impairment recognized in the
Navios Partners' receivable from Navios Europe II and a $ 6.8
million impairment loss related to three containerships.
- Adjusted Net Loss and Adjusted Loss
per Common Unit for the six month period ended June 30, 2019 have
been adjusted to exclude a $ 7.3 million impairment loss related to
the sale of one of our vessels, a $ 3.6 million revision of the
estimated guarantee claim receivable and a $ 1.5 million write-off
of deferred finance fees and discount related to the $ 73.5 million
prepayments of the Term Loan B Facility in the first half of
2019.
- Adjusted EBITDA for the six month
period ended June 30, 2019 has been adjusted to exclude a $ 7.3
million impairment loss related to the sale of one of our vessels
and a $ 3.6 million revision of the estimated guarantee claim
receivable.
Three month periods ended June 30, 2020
and 2019
Time charter and voyage revenues for the three
month period ended June 30, 2020 decreased by $ 1.2 million, or
2.5%, to $ 46.5 million, as compared to $ 47.7 million for the same
period in 2019. The decrease in time charter and voyage revenues
was mainly attributable to the decrease in the time charter
equivalent rate, or TCE rate, to $ 11,202 per day for the three
month period ended June 30, 2020, from $ 14,130 per day for the
three month period ended June 30, 2019. The available days of the
fleet increased to 4,029 days for the three month period ended June
30, 2020, as compared to 3,203 days for the three month period
ended June 30, 2019.
EBITDA for the three month period ended June 30,
2020 was negatively affected by the accounting effect of a $ 6.8
million impairment loss related to three containerships. EBITDA for
the three month period ended June 30, 2019 was negatively affected
by the accounting effect of a $ 3.6 million revision of the
estimated guarantee claim receivable. Excluding these items,
Adjusted EBITDA decreased by $ 8.0 million to $ 14.3 million for
the three month period ended June 30, 2020, as compared to $ 22.3
million for the same period in 2019. The decrease in Adjusted
EBITDA was primarily due to: ( i) a $ 1.2 million decrease in
revenue; (ii) a $ 5.4 million increase in vessel operating
expenses, mainly due to the increased fleet; (iii) a $ 0.5 million
increase in general and administrative fees; (iv) a $ 1.5 million
increase in other expense; and (v) at $ 0. 9 million decrease in
equity in net earnings of affiliated companies. The above decrease
was partially mitigated by a: (i) $ 0.5 million decrease in time
charter and travel expenses; and (ii) $ 0.9 million increase in
other income.
The reserves for estimated maintenance and
replacement capital expenditures for the three month periods ended
June 30, 2020 and 2019 were $ 8.6 million and $ 7.3 million,
respectively (please see “Reconciliation of Non-GAAP Financial
Measures” in Exhibit 3).
Navios Partners generated an operating surplus
for the three month period ended June 30, 2020 of $ (1.1) million,
as compared to $ 6.2 million for the three month period ended June
30, 2019. Operating Surplus is a non-GAAP financial measure used by
certain investors to assist in evaluating a partnership’s ability
to make quarterly cash distributions (please see “Reconciliation of
Non-GAAP Financial Measures” in Exhibit 3).
Net Loss for the three month period ended June
30, 2020 was negatively affected by the accounting effect of a $
6.8 million impairment loss related to three containerships. Net
Loss for the three month period ended June 30, 2019 was negatively
affected by the accounting effect of a: (i) $ 3.6 million revision
of the estimated guarantee claim receivable; and (ii) $ 1.5 million
write-off of deferred finance fees and discount related to the $
73.5 million prepayments of the Term Loan B Facility in the second
quarter of 2019. Excluding these items, Adjusted Net Loss for the
three month period ended June 30, 2020 amounted to $ 7.8 million
compared to $ 1.4 million loss for the three month period ended
June 30, 2019. The increase in Adjusted Net Loss of $ 6.4 million
was due to: (i) an $ 8.0 million decrease in Adjusted EBITDA ; (ii)
a $ 0. 9 million increase in direct vessel expenses; (iii) a $ 0.4
million increase in depreciation and amortization expenses; and
(iv) a $ 1.6 million decrease in interest income. The above
increase was partially mitigated by a $ 4.5 million decrease in
interest expense and finance cost, net.
Six month periods ended June 30, 2020 and
2019
Time charter and voyage revenues for the six
month period ended June 30, 2020 decreased by $ 1.5 million, or
1.6%, to $ 93.0 million, as compared to $ 94.6 million for the same
period in 2019. The decrease in time charter and voyage revenues
was mainly attributable to the decrease in the TCE rate, to $
10,957 per day for the six month period ended June 30, 2020, from $
13,664 per day for the six month period ended June 30, 2019. The
available days of the fleet increased to 8,126 days for the six
month period ended June 30, 2020, as compared to 6,480 days for the
six month period ended June 30, 2019, mainly due to the increase of
the fleet.
EBITDA for the six month period ended June 30,
2020 was negatively affected by the accounting effect of a $ 6.9
million loss related to the other-than-temporary impairment
recognized in the Navios Partners' receivable from Navios Europe II
and a $ 6.8 million impairment loss related to three
containerships. EBITDA for the six month period ended June 30, 2019
was negatively affected by the accounting effect of a: (i) $ 7.3
million impairment loss on the sale of the Navios Galaxy I; and
(ii) $ 3.6 million revision of the estimated guarantee claim
receivable. Excluding these items, Adjusted EBITDA decreased by $
11.6 million to $ 33.4 million for the six month period ended June
30, 2020, as compared to $ 45.0 million for the same period in
2019. The decrease in Adjusted EBITDA was primarily due to: ( i) a
$ 1.5 million decrease in revenue; (ii) an $ 11.0 million increase
in vessel operating expenses, mainly due to the increased fleet;
(iii) a $ 0.6 million increase in general and administrative
expenses; and (iv) a $ 1.8 million increase in other expense. The
above decrease was partially mitigated by a: (i) $ 1.0 million
decrease in time charter and travel expenses; (ii) $ 1.6 million
increase in other income; and (iii) $ 0.8 million increase in
equity in net earnings of affiliated companies.
The reserves for estimated maintenance and
replacement capital expenditures for the six month periods ended
June 30, 2020 and 2019 were $ 17.2 million and $ 14.7 million,
respectively (please see “Reconciliation of Non-GAAP Financial
Measures” in Exhibit 3).
Navios Partners generated an operating surplus
for the six month period ended June 30, 2020 of $ 3.3 million, as
compared to $ 11.9 million for the six month period ended June 30,
2019. Operating Surplus is a non-GAAP financial measure used by
certain investors to assist in evaluating a partnership’s ability
to make quarterly cash distributions (please see “Reconciliation of
Non-GAAP Financial Measures” in Exhibit 3).
Net Loss for the six month period ended June 30,
2020 was negatively affected by the accounting effect of a $ 6.9
million loss related to the other-than-temporary impairment
recognized in the Navios Partners' receivable from Navios Europe II
and a $ 6.8 million impairment loss related to three
containerships. Net Loss for the six month period ended June 30,
2019 was negatively affected by the accounting effect of a: (i) $
7.3 million impairment loss on the sale of the Navios Galaxy I;
(ii) $ 3.6 million revision of the estimated guarantee claim
receivable; and (iii) $ 1.5 million write-off of deferred finance
fees and discount related to the $ 73.5 million prepayments of the
Term Loan B Facility in the first half of 2019. Excluding these
items, Adjusted Net Loss for the six month period ended June 30,
2020 amounted to $ 11. 7 million compared to $ 3.6 million for the
six month period ended June 30, 2019. The increase in Adjusted Net
Loss of $ 8.1 million was due to: (i) an $ 11.6 million decrease in
adjusted EBITDA; (ii) a $ 1.8 million increase in direct vessel
expenses; (iii) a $ 0.6 million increase in depreciation and
amortization expense; and (iv) a $ 3.2 million decrease in interest
income. The above decrease was partially mitigated by a $ 9.1
million decrease in interest expense and finance cost, net.
Fleet Employment Profile
The following table reflects certain key
indicators of Navios Partners ’core fleet performance for the three
and six month periods ended June 30, 2020 and 2019.
|
Three Month Period Ended
June 30, 2020
(unaudited) |
|
|
Three Month Period Ended
June 30, 2019
(unaudited) |
|
Six Month Period Ended
June 30, 2020
(unaudited) |
|
Six Month Period Ended
June 30, 2019
(unaudited) |
Available Days (1) |
|
4,029 |
|
|
|
3,203 |
|
|
8,126 |
|
|
|
6,480 |
|
Operating Days (2) |
|
3,998 |
|
|
|
3,184 |
|
|
7,993 |
|
|
|
6,397 |
|
Fleet Utilization (3) |
|
99.25 |
% |
|
|
99.40 |
% |
|
98.37 |
% |
|
|
98.71 |
% |
Time Charter Equivalent Combined
(per day) (4) |
$ |
11,202 |
|
|
$ |
14,130 |
|
$ |
10,957 |
|
|
$ |
13,664 |
|
Time Charter Equivalent Drybulk
(per day) (4) |
$ |
9,421 |
|
|
$ |
11,389 |
|
$ |
8,826 |
|
|
$ |
10,917 |
|
Time Charter Equivalent
Containers (per day) (4) |
$ |
17,306 |
|
|
$ |
30,684 |
|
$ |
18,342 |
|
|
$ |
30,593 |
|
Vessels operating at period
end |
|
51 |
|
|
|
36 |
|
|
51 |
|
|
|
36 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- Available days for the fleet
represent total calendar days the vessels were in Navios Partners'
possession for the relevant period after subtracting off-hire days
associated with scheduled repairs, dry dockings or special surveys
and ballast days relating to voyages. The shipping industry uses
available days to measure the number of days in a relevant period
during which a vessel is capable of generating revenues.
- Operating days are the number of
available days in the relevant period less the aggregate number of
days that the vessels are off-hire. Operating days include ballast
days between voyages. The shipping industry uses operating days to
measure the aggregate number of days in a relevant period during
which vessels actually generate revenues.
- Fleet utilization is the percentage
of time that Navios Partners' vessels were available for revenue
generating available days, 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 efficiency in finding employment for vessels
and minimizing the amount of days that its vessels are off-hire for
reasons other than scheduled repairs, dry dockings or special
surveys.
- TCE rate: Time Charter Equivalent
rate per day is defined as voyage and time charter revenues less
voyage expenses during a period divided by the number of available
days during the period. The TCE rate per day is a standard shipping
industry performance measure used primarily to present the actual
daily earnings generated by vessels on various types of charter
contracts for the number of available days of the fleet.
Conference Call Details:
Navios Partners' management will host a
conference call on Wednesday, July 29, 2020 to discuss the results
for the second quarter and six month period ended June 30,
2020.
Call Date / Time: Wednesday, July 29, 2020 at 8:30 am ET Call
Title: Navios Partners Q2 2020 Financial Results Conference Call US
Dial In: +1.866.394.0817 International Dial In: +1.706.679.9759
Conference ID: 717 2627
The conference call replay will be available two
hours 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: 717 2627
Slides and audio webcast:
There will also be a live webcast of the
conference call, through the Navios Partners website (
www.navios-mlp.com ) under “Investors”. Participants to the live
webcast should register on the website approximately 10 minutes
prior to the start of the webcast.
A supplemental slide presentation will be
available on the Navios Partners' website under the "Investors"
section by 8:00 am ET on the day of the call.
About Navios Maritime Partners
LP
Navios Maritime Partners LP (NYSE: NMM) is a
publicly traded master limited partnership which owns and operates
dry cargo vessels. For more information, please visit our website
at www.navios-mlp.com .
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 including Navios
Partners' expected cash flow generation, future contracted
revenues, future distributions and its ability to have a dividend
going forward, opportunities to reinvest cash accretively in a
fleet renewal program or otherwise, potential capital gains, its
ability to take advantage of dislocation in the market and Navios
Partners' 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,
These forward-looking statements are based on
the information available to, and the expectations and assumptions
deemed reasonable by Navios Partners at the time these statements
were made. Although Navios Partners 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 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 Navios Partners. 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, risks relating
to: global and regional economic and political conditions including
the impact of the COVID-19 pandemic and efforts throughout the
world to contain its spread, including effects on global economic
activity, demand for seaborne transportation of the products we
ship, the ability and willingness of charterers to fulfill their
obligations to us and prevailing charter rates, shipyards
performing scrubber installations, drydocking and repairs, changing
vessel crews and availability of financing; potential disruption of
shipping routes due to accidents, diseases, pandemics, political
events, piracy or acts by terrorists, including the impact of the
COVID-19 pandemic and the ongoing efforts throughout the world to
contain it; 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 Partners
operates; risks associated with operations outside the United
States; and other factors listed from time to time in Navios
Partners' filings with the Securities and Exchange Commission,
including its Form 20-Fs and Form 6-Ks. Navios Partners 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 Partners' expectations with
respect thereto or any change in events, conditions or
circumstances on which any statement is based. Navios Partners
makes no prediction or statement about the performance of its
common units.
Contacts
Navios Maritime Partners LP +1 (212) 906 8645
Investors@navios-mlp.com
Nicolas Bornozis Capital Link, Inc. +1 (212) 661
7566 naviospartners@capitallink.com
EXHIBIT 1
NAVIOS MARITIME PARTNERS LP SELECTED
BALANCE SHEET DATA (Expressed in thousands of US Dollars
except unit data)
|
June 30, 2020
(unaudited) |
|
December 31, 2019
(unaudited) |
ASSETS |
|
|
|
|
Cash and cash equivalents, including restricted cash |
$ |
29,815 |
|
$ |
30,402 |
Other current assets |
|
37,811 |
|
|
45,588 |
Vessels, net |
|
1,086,310 |
|
|
1,062,258 |
Other non-current assets |
|
93,661 |
|
|
115,269 |
Total
assets |
$ |
1,247,597 |
|
$ |
1,253,517 |
LIABILITIES AND PARTNERS
'CAPITAL |
|
|
|
|
|
Other current liabilities |
$ |
47,671 |
|
$ |
20,004 |
Total borrowings, net (including
current and non-current) |
|
488,179 |
|
|
489,028 |
Other non-current
liabilities |
|
15,341 |
|
|
16,466 |
Total partners' capital |
|
696,406 |
|
|
728,019 |
Total liabilities and
partners' capital |
$ |
1,247,597 |
|
$ |
1,253,517 |
|
|
|
|
|
|
NAVIOS MARITIME PARTNERS LP
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Expressed in thousands of US Dollars except unit and per unit
data)
|
Three Month Period Ended June 30, 2020
(unaudited) |
|
Three Month Period Ended June 30, 2019
(unaudited) |
|
Six Month Period Ended June 30, 2020
(unaudited) |
|
Six Month Period Ended June 30, 2019
(unaudited) |
Time charter and travel revenues |
$ |
46,549 |
|
|
$ |
47,745 |
|
|
$ |
93,039 |
|
|
$ |
94,563 |
|
Time charter and travel
expenses |
|
(1,940 |
) |
|
|
(2,484 |
) |
|
|
(5,038 |
) |
|
|
(6,013 |
) |
Direct vessel expenses |
|
(2,385 |
) |
|
|
(1,530 |
) |
|
|
(4,934 |
) |
|
|
(3,113 |
) |
Vessel operating expenses
(management fees) |
|
(21,930 |
) |
|
|
(16,496 |
) |
|
|
(44,135 |
) |
|
|
(33,106 |
) |
General and administrative
expenses |
|
(6,983 |
) |
|
|
(6,515 |
) |
|
|
(11,128 |
) |
|
|
(10,528 |
) |
Depreciation and
amortization |
|
(13,663 |
) |
|
|
(13,240 |
) |
|
|
(27,300 |
) |
|
|
(26,732 |
) |
Vessels impairment loss |
|
(6,800 |
) |
|
|
- |
|
|
|
(6,800 |
) |
|
|
(7,345 |
) |
Impairment of receivable in
affiliated company |
|
- |
|
|
|
- |
|
|
|
(6,900 |
) |
|
|
- |
|
Interest expense and finance
cost, net |
|
(6,275 |
) |
|
|
(12,246 |
) |
|
|
(13,219 |
) |
|
|
(23,760 |
) |
Interest income |
|
176 |
|
|
|
1,791 |
|
|
|
371 |
|
|
|
3,534 |
|
Other income |
|
1,279 |
|
|
|
374 |
|
|
|
2,183 |
|
|
|
591 |
|
Other expense |
|
(1,959 |
) |
|
|
(4,090 |
) |
|
|
(2,472 |
) |
|
|
(4,322 |
) |
Equity in net (loss) / earnings
of affiliated companies |
|
(710 |
) |
|
|
168 |
|
|
|
968 |
|
|
|
185 |
|
Net loss |
$ |
( 14,641 |
) |
|
$ |
(6, 523 |
) |
|
$ |
( 25,365 |
) |
|
$ |
(16, 046 |
) |
|
|
|
|
|
Loss per unit:
|
|
Three Month Period Ended June 30, 2020
(unaudited) |
|
|
|
Three Month Period Ended June 30, 2019
(unaudited) |
|
|
|
Six Month Period Ended June 30, 2020
(unaudited) |
|
|
|
Six Month Period Ended June 30, 2019
(unaudited) |
|
Loss per unit: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common unit (basic and
diluted) |
$ |
(1.32 |
) |
|
$ |
(0.59 |
) |
|
$ |
(2.29 |
) |
|
$ |
(1.44 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NAVIOS MARITIME PARTNERS LP
Other Financial Information (Expressed in
thousands of US Dollars except unit data)
|
Six Month Period Ended June 30, 2020
(unaudited) |
|
Six Month Period Ended June 30, 2019
(unaudited) |
Net cash provided by operating activities |
$ |
47,675 |
|
|
$ |
14,426 |
|
Net cash used in investing
activities |
|
(39,664 |
) |
|
|
(1,636 |
) |
Net cash used in financing
activities |
|
(8,598 |
) |
|
|
(39,025 |
) |
Decrease in cash, cash
equivalents and restricted cash |
$ |
(587 |
) |
|
$ |
(26,235 |
) |
|
|
|
|
|
|
|
|
EXHIBIT 2
Owned Drybulk Vessels |
|
Type |
|
Built |
|
Capacity (DWT) |
Navios Soleil |
|
Ultra-Handymax |
|
2009 |
|
57,337 |
Ships La Paix |
|
Ultra-Handymax |
|
2014 |
|
61,485 |
Navios Christine B |
|
Ultra-Handymax |
|
2009 |
|
58,058 |
Amaryllis ships |
|
Ultra-Handymax |
|
2008 |
|
58,735 |
Serenitas N |
|
Ultra-Handymax |
|
2011 |
|
56,644 |
Joie N |
|
Ultra-Handymax |
|
2011 |
|
56,557 |
Hyperion ships |
|
Panamax |
|
2004 |
|
75,707 |
Navios Alegria |
|
Panamax |
|
2004 |
|
76,466 |
Orbiter ships |
|
Panamax |
|
2004 |
|
76,602 |
Anthos ships |
|
Panamax |
|
2004 |
|
75,798 |
Navios Azalea |
|
Panamax |
|
2005 |
|
74,759 |
Camellia ships |
|
Panamax |
|
2009 |
|
75,162 |
Helios ships |
|
Panamax |
|
2005 |
|
77,075 |
Hope ships |
|
Panamax |
|
2005 |
|
75,397 |
Sun ships |
|
Panamax |
|
2005 |
|
76,619 |
Sagittarius ships |
|
Panamax |
|
2006 |
|
75,756 |
Harmoni ships |
|
Panamax |
|
2006 |
|
82,790 |
Prosperity Ships I |
|
Panamax |
|
2007 |
|
75,527 |
Free Ships |
|
Panamax |
|
2007 |
|
75,511 |
Symmetry ships |
|
Panamax |
|
2006 |
|
74,381 |
Ships Apollo I |
|
Panamax |
|
2005 |
|
87,052 |
Altair I ships |
|
Panamax |
|
2006 |
|
74,475 |
Spherical ships |
|
Panamax |
|
2016 |
|
84,872 |
Copernicus N |
|
Panamax |
|
2010 |
|
93,062 |
Unity N |
|
Panamax |
|
2011 |
|
79,642 |
Odysseus N |
|
Panamax |
|
2011 |
|
79,642 |
Fantastic ships |
|
Capesize |
|
2005 |
|
180,265 |
Navios Aurora II |
|
Capesize |
|
2009 |
|
169,031 |
Pollux ships |
|
Capesize |
|
2009 |
|
180,727 |
Fulvia ships |
|
Capesize |
|
2010 |
|
179,263 |
Ships Melody |
|
Capesize |
|
2010 |
|
179,132 |
Navios Luz |
|
Capesize |
|
2010 |
|
179,144 |
Buena Ventura ships |
|
Capesize |
|
2010 |
|
179,259 |
Joy ships |
|
Capesize |
|
2013 |
|
181,389 |
Navios Beaufiks |
|
Capesize |
|
2004 |
|
180,310 |
Navios Ace |
|
Capesize |
|
2011 |
|
179,016 |
Navios Sol |
|
Capesize |
|
2009 |
|
180,274 |
Navios Symphony |
|
Capesize |
|
2010 |
|
178,132 |
Aster ships |
|
Capesize |
|
2010 |
|
179,314 |
Mars ships |
|
Capesize |
|
2016 |
|
181,259 |
|
|
|
|
|
|
|
Bareboat Chartered-in vessel |
|
Type |
|
Built |
|
Capacity (DWT) |
|
Purchase Option |
Libra ships |
|
Panamax |
|
2019 |
|
82,011 |
|
Yes |
|
|
|
|
|
|
|
|
|
Owned Containerships |
|
Type |
|
Built |
|
Capacity (TEU) |
Hyundai Hongkong |
|
Containership |
|
2006 |
|
6,800 |
Hyundai Singapore |
|
Containership |
|
2006 |
|
6,800 |
Hyundai Tokyo |
|
Containership |
|
2006 |
|
6,800 |
Hyundai Shanghai |
|
Containership |
|
2006 |
|
6,800 |
Hyundai Busan |
|
Containership |
|
2006 |
|
6,800 |
Castor N |
|
Containership |
|
2007 |
|
3,091 |
Esperanza N |
|
Containership |
|
2008 |
|
2,007 |
Harmony N |
|
Containership |
|
2006 |
|
2,824 |
Protostar N |
|
Containership |
|
2007 |
|
2,741 |
Solar N |
|
Containership |
|
2006 |
|
3,398 |
|
|
|
|
|
|
|
Bareboat Chartered-in vessels to be delivered |
|
Type |
|
Built |
|
Capacity (DWT) |
|
Purchase Option |
TBN1 |
|
Panamax |
|
2021 |
|
81,000 |
|
Yes |
TBN2 |
|
Panamax |
|
2021 |
|
81,000 |
|
Yes |
|
|
|
|
|
|
|
|
EXHIBIT 3
Disclosure of Non-GAAP Financial
Measures
1. EBITDA and Adjusted
EBITDA
EBITDA represents net loss attributable to
Navios Partners' unitholders before interest and finance costs,
before depreciation and amortization (including intangible
accelerated amortization) and income taxes. Adjusted EBITDA
represents EBITDA before impairment losses. Navios Partners uses
Adjusted EBITDA as a liquidity measure and reconcile EBITDA and
Adjusted EBITDA to net cash provided by operating activities, the
most comparable US GAAP liquidity measure. EBITDA in this document
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 decrease / (increase) in operating assets; (ii) net
increase in operating liabilities; (iii) net interest cost; (iv)
amortization and write-off of deferred financing cost; (v) equity
in net earnings of affiliates, net of dividends received; (vi)
impairment charges; (vii) non-cash accrued interest income and
amortization of deferred revenue; (viii) equity compensation
expense; (ix) non-cash accrued interest income from receivable from
affiliates; and (x) amortization of operating lease right-of-use
asset. Navios Partners believes that EBITDA and Adjusted EBITDA are
each the basis upon which liquidity can be assessed and presents
useful information to investors regarding Navios Partners ’ability
to service and / or incur indebtedness, pay capital expenditures,
meet working capital requirements and make cash distributions.
Navios Partners also believes that EBITDA and Adjusted EBITDA are
used: (i) by potential lenders to evaluate potential transactions;
(ii) to evaluate and price potential acquisition candidates; and
(iii) by securities analysts,
Adjusted EBITDA represents EBITDA excluding
certain items, as described under “Earnings Highlights”.
EBITDA and Adjusted EBITDA have limitations as
an analytical tool, and should not be considered in isolation or as
a substitute for the analysis of Navios Partners' results as
reported under US GAAP. Some of these limitations are: (i) EBITDA
and Adjusted EBITDA do not reflect changes in, or cash requirements
for, working capital needs; and (ii) 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, EBITDA and
Adjusted EBITDA should not be considered as a principal indicator
of Navios Partners' performance. Furthermore,
2. Operating Surplus
Operating Surplus represents net income adjusted
for depreciation and amortization expense, non-cash interest
expense, non-cash interest income, estimated maintenance and
replacement capital expenditures and one-off items. Maintenance and
replacement capital expenditures are those capital expenditures
required to maintain over the long term the operating capacity of,
or the revenue generated by, Navios Partners' capital assets.
Operating Surplus is a quantitative measure used
in the publicly-traded partnership investment community to assist
in evaluating a partnership's ability to make quarterly cash
distributions. Operating Surplus is not required by accounting
principles generally accepted in the United States and should not
be considered a substitute for net income, cash flow from operating
activities and other operations or cash flow statement data
prepared in accordance with accounting principles generally
accepted in the United States or as a measure of profitability or
liquidity.
3. Available Cash
Available Cash generally means for each fiscal
quarter, all cash on hand at the end of the quarter:
- less the amount of cash reserves
established by the Board of Directors to: • provide for the proper
conduct of Navios Partners' business (including reserve for
maintenance and replacement capital expenditures); • comply with
applicable law, any of Navios Partners' debt instruments, or other
agreements; or • provide funds for distributions to the unitholders
and to the general partner for any one or more of the next four
quarters;
- plus all cash on hand on the date
of determination of available cash for the quarter resulting from
working capital borrowings made after the end of the quarter.
Working capital borrowings are generally borrowings that are made
under any revolving credit or similar agreement used solely for
working capital purposes or to pay distributions to partners.
Available Cash is a quantitative measure used in
the publicly-traded partnership investment community to assist in
evaluating a partnership's ability to make quarterly cash
distributions. Available cash is not required by accounting
principles generally accepted in the United States and should not
be considered a substitute for net income, cash flow from operating
activities and other operations or cash flow statement data
prepared in accordance with accounting principles generally
accepted in the United States or as a measure of profitability or
liquidity.
4. Reconciliation of
Non-GAAP Financial Measures
|
Three Month Period Ended
June 30, 2020 ($ '000)
(unaudited) |
|
Three Month Period Ended
June 30, 2019 ($ '000)
(unaudited) |
|
Six Month Period Ended
June 30, 2020 ($ '000)
(unaudited) |
|
Six Month Period Ended
June 30, 2019 ($ '000)
(unaudited) |
Net cash provided by operating activities |
$ |
26,738 |
|
|
$ |
3,943 |
|
|
$ |
47,675 |
|
|
$ |
14,426 |
|
Net (increase) /
decrease in operating assets |
|
4,479 |
|
|
|
7,538 |
|
|
|
(3,767 |
) |
|
|
5,902 |
|
Net increase in
operating liabilities |
|
(21,739 |
) |
|
|
(3,119 |
) |
|
|
(23,181 |
) |
|
|
(180 |
) |
Net interest
cost |
|
6,099 |
|
|
|
10,455 |
|
|
|
12,848 |
|
|
|
20,226 |
|
Amortization and write-off of deferred financing
cost |
|
(499 |
) |
|
|
(2,970 |
) |
|
|
(1,018 |
) |
|
|
(4,633 |
) |
Amortization of operating lease right-of-use
asset |
|
(234 |
) |
|
|
- |
|
|
|
(459 |
) |
|
|
- |
|
Non cash accrued
interest income and amortization of deferred revenue |
|
394 |
|
|
|
3,132 |
|
|
|
788 |
|
|
|
6,303 |
|
Equity compensation
expense |
|
(238 |
) |
|
|
(519 |
) |
|
|
(483 |
) |
|
|
(1,013 |
) |
Vessels impairment
loss |
|
(6,800 |
) |
|
|
- |
|
|
|
(6,800 |
) |
|
|
(7,345 |
) |
Impairment of
receivable in affiliated company |
|
- |
|
|
|
- |
|
|
|
(6,900 |
) |
|
|
- |
|
Non cash accrued
interest income from receivable from affiliates |
|
- |
|
|
|
71 |
|
|
|
- |
|
|
|
141 |
|
Equity in earnings of
affiliates, net of dividends received |
|
(710 |
) |
|
|
168 |
|
|
|
968 |
|
|
|
185 |
|
EBITDA (1) |
$ |
7,490 |
|
|
$ |
18,699 |
|
|
$ |
19,671 |
|
|
$ |
34,012 |
|
Revision of estimated
guarantee claim receivable |
|
- |
|
|
|
3,638 |
|
|
|
- |
|
|
|
3,638 |
|
Impairment of
receivable in affiliated company |
|
- |
|
|
|
- |
|
|
|
6,900 |
|
|
|
- |
|
Vessels impairment
loss |
|
6,800 |
|
|
|
- |
|
|
|
6,800 |
|
|
|
7,345 |
|
Adjusted
EBITDA |
$ |
14,290 |
|
|
$ |
22,337 |
|
|
$ |
33,371 |
|
|
$ |
44,995 |
|
Cash interest
income |
|
71 |
|
|
|
156 |
|
|
|
164 |
|
|
|
372 |
|
Cash interest
paid |
|
(6,900 |
) |
|
|
(9,026 |
) |
|
|
(13,053 |
) |
|
|
(18,724 |
) |
Maintenance and
replacement capital expenditures |
|
(8,589 |
) |
|
|
(7,260 |
) |
|
|
(17,179 |
) |
|
|
(14,734 |
) |
Operating
Surplus |
$ |
(1,128 |
) |
|
$ |
6,207 |
|
|
$ |
3,303 |
|
|
$ |
11,909 |
|
Cash distribution
paid relating to the first quarter |
|
- |
|
|
|
- |
|
|
|
(3,365 |
) |
|
|
(3,364 |
) |
Cash reserves |
|
1,689 |
|
|
|
(2,843 |
) |
|
|
623 |
|
|
|
(5,181 |
) |
Available
cash for distribution |
$ |
561 |
|
|
$ |
3,364 |
|
|
$ |
561 |
|
|
$ |
3,364 |
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
Three Month Period Ended
June 30, 2020 ($ '000)
(unaudited) |
|
|
|
Three Month Period Ended
June 30, 2019 ($ '000)
(unaudited) |
|
|
|
Six Month Period Ended
June 30, 2020 ($ '000)
(unaudited) |
|
|
|
Six Month Period Ended
June 30, 2019 ($ '000)
(unaudited) |
|
Net cash provided by operating activities |
$ |
26,738 |
|
|
$ |
3,943 |
|
|
$ |
47,675 |
|
|
$ |
14,426 |
|
Net cash provided by / (used in) investing activities |
$ |
36,327 |
|
|
$ |
3,739 |
|
|
$ |
(39,664 |
) |
|
$ |
(1,636 |
) |
Net cash provided by / (used in) financing activities |
$ |
8,257 |
|
|
$ |
(22,814 |
) |
|
$ |
(8,598 |
) |
|
$ |
(39,025 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Navios Maritime Partners (NYSE:NMM)
Historical Stock Chart
From Mar 2024 to Apr 2024
Navios Maritime Partners (NYSE:NMM)
Historical Stock Chart
From Apr 2023 to Apr 2024