Safe Bulkers, Inc. (the “Company”) (NYSE: SB), an international
provider of marine drybulk transportation services, announced today
its unaudited financial results for the three month period ended
March 31, 2022. The Board of Directors of the Company also declared
a cash dividend of $0.05 per share of outstanding common stock.
Financial highlights
In million U.S. Dollars except per share data |
Q1 2022 |
Q4 2021 |
Q3 2021 |
Q2 2021 |
Q1 2021 |
Net revenues |
77.7 |
|
92.4 |
|
92.5 |
|
81.6 |
|
62.5 |
|
Net income |
36.4 |
|
65.2 |
|
55.4 |
|
32.4 |
|
21.3 |
|
Adjusted net income1 |
32.3 |
|
50.4 |
|
50.7 |
|
36.3 |
|
16.7 |
|
EBITDA2 |
51.0 |
|
82.4 |
|
72.4 |
|
50.2 |
|
39.3 |
|
Adjusted EBITDA2 |
46.9 |
|
67.6 |
|
67.7 |
|
54.1 |
|
34.6 |
|
Earnings per share basic and diluted3 |
0.28 |
|
0.51 |
|
0.44 |
|
0.27 |
|
0.18 |
|
Adjusted earnings per share basic and diluted3 |
0.24 |
|
0.39 |
|
0.40 |
|
0.31 |
|
0.14 |
|
Average daily results in U.S. Dollars |
|
|
|
|
|
|
|
|
Time charter equivalent rate4 |
21,352 |
|
26,180 |
|
24,427 |
|
21,098 |
|
15,567 |
|
Daily vessel operating expenses5 |
5,722 |
|
5,149 |
|
4,608 |
|
4,874 |
|
4,702 |
|
Daily vessel operating expenses excluding dry-docking and
pre-delivery expenses6 |
4,923 |
|
4,666 |
|
4,570 |
|
4,539 |
|
4,350 |
|
Daily general and administrative expenses7 |
1,520 |
|
1,517 |
|
1,590 |
|
1,488 |
|
1,440 |
|
In million U.S. Dollars |
|
|
|
|
|
|
|
|
|
|
Total cash8 |
166.3 |
|
112.3 |
|
108.6 |
|
127.4 |
|
130.1 |
|
Revolving credit facilities9 |
146.6 |
|
137.7 |
|
88.9 |
|
67.0 |
|
6.6 |
|
Financing commitments10 |
46.2 |
|
46.2 |
|
46.2 |
|
54.7 |
|
54.7 |
|
Unsecured debt11 |
108.3 |
|
— |
|
— |
|
— |
|
— |
|
Secured debt12 |
293.3 |
|
355.7 |
|
413.8 |
|
491.4 |
|
603.2 |
|
Total debt13 |
401.6 |
|
355.7 |
|
413.8 |
|
491.4 |
|
603.2 |
|
_______________________1 Adjusted Net
income/(loss) is a non-GAAP measure. Adjusted Net income/(loss)
represents Net income/(loss) before gain/(loss) on derivatives,
early redelivery income/(cost), impairment and loss on vessels held
for sale, gain/(loss) on sale of assets and gain/(loss) on foreign
currency. See Table 4.2 EBITDA is a non-GAAP measure and represents
Net income/(loss) plus net interest expense, tax, depreciation and
amortization. See Table 4. Adjusted EBITDA is a non-GAAP measure
and represents EBITDA before gain/(loss) on derivatives, early
redelivery cost, other operating expenses and, gain/(loss) on
foreign currency. See Table 4.3 Earnings/(loss) per share and
Adjusted Earnings/(loss) per share represent Net Income and
Adjusted Net income less preferred dividend and mezzanine equity
measurement divided by the weighted average number of shares
respectively. See Table 4.4 Time charter equivalent rate, or TCE
rate, represents charter revenues less commissions and voyage
expenses divided by the number of available days. See Table 5.5
Daily vessel operating expenses are calculated by dividing vessel
operating expenses for the relevant period by ownership days for
such period. See Table 5.6 Daily vessel operating expenses
excluding dry-docking and pre-delivery expenses are calculated by
dividing vessel operating expenses excluding dry-docking and
pre-delivery expenses for the relevant period by ownership days for
such period. See Table 5.7 Daily general and administrative
expenses are calculated by dividing general and administrative
expenses for the relevant period by ownership days for such period.
See Table 5.8 Total Cash represents Cash and cash equivalents plus
Time deposits and Restricted cash.9 Undrawn borrowing capacity
under revolving reducing credit facilities.10 Secured financing
commitments for loan and sale and lease back financings.11
Unsecured debt represents the five year tenor unsecured
non-amortizing bond, net of deferred financing costs, maturing in
February 2027.12 Secured debt represents Long-term debt plus
current portion of long-term debt, net of deferred financing
costs.13 Total Debt represents Unsecured debt plus Secured
debt.
Management Commentary
Dr. Loukas Barmparis, President of the Company,
said: "Our 2022 first quarter profitability exceeded first quarter
of 2021 profitability by $15 million. We delevered our balance
sheet year over year by more than $200 million reducing our debt to
comparable levels to our fleet's scrap value, maintained
significant balance sheet liquidity and redeemed in April 2022 a
portion of our 8% Preferred C shares. We took delivery of our first
Phase 3, Kamsarmax class MV Vassos and have also expanded our
Capesize fleet to seven vessels. We have over $400 million of
charter contracts. We continue to focus on fleet renewal and
expansion. Our financial strength enables us to declare a dividend
of $0.05 per common share."
Update on COVID-19, company's actions
and status
The COVID-19 pandemic has had a significant
impact on the shipping industry and seafarers in general, as port
lockdowns and travel restrictions were imposed globally during 2020
and 2021 and continue in 2022. The Company has worked extensively
to find solutions focusing on effectively managing crew changes
despite such ongoing port lockdowns and travel restrictions. The
Company has also taken measures to protect its seafarers' and shore
employees' health and well-being, keep its vessels sailing with
minimal disruption to their trading ability, service its
charterers, continue vessels' maintenance and dry-dockings and
mitigate and address the risks, effects and impact of COVID-19 on
its operations and financial performance.
There has been a negative effect from the
COVID-19 pandemic on the Company's results of operations and
financial condition during the first quarter of 2022, due to crew
repatriation and related costs of about $0.5 million. Certain
delays are also expected in relation to dry-docking durations and
schedules due to restrictions imposed in China. Any future impact
of COVID-19 on the Company’s results of operations and financial
condition and any long-term impact of the pandemic on the dry bulk
industry, will depend on future developments, which could impact
world trade and global growth.
Conflict in Ukraine
As a result of the conflict between Russia and
Ukraine which commenced in February 2022, the US, the EU, the UK,
Switzerland and others have announced unprecedented levels of
sanctions and other measures against Russia and certain Russian
entities and nationals. We intend on complying with these
requirements and addressing their potential consequences. While we
do not have any Ukrainian or Russian crew, our vessels currently do
not sail in the Black Sea and we otherwise conduct limited
operations in Russia and Ukraine, we will continue to monitor the
situation to assess whether the conflict could have any impact on
our operations or financial performance.
Issuance of €100m 5-year Unsecured
Bond at 2.95%
In February 2022, the Company, through its
wholly owned subsidiary Safe Bulkers Participation Plc. (the
''Issuer''), issued and listed a bond in the amount of 100 million
Euro (the “Bond”) on the Athens Exchange. The Bond has a tenor of
five years maturing in February 2027, is guaranteed by the Company,
is unsecured, non-amortizing and pays a coupon of 2.95%, due
semi-annually. The trading of the Bond commenced on February 14,
2022. The Company plans to use the net proceeds of the offering
received from the Issuer for the repayment of debt and/or
redemption of preferred shares and/or acquisition of vessels and/or
general corporate purposes.
Redemption of Series C Preferred
Shares
On March 30, 2022, the Company issued a notice
of redemption of 1,492,554 Series C Preferred Shares representing
approximately 65% of the outstanding Series C Preferred Shares. The
redemption was completed on April 29, 2022, at a redemption price
of $25.00 per Series C Preferred Share, plus all accumulated and
unpaid dividends to, but excluding, the redemption date, in the
aggregate amount of $38.1 million. Following this redemption,
there are 804,950 Series C Preferred Shares outstanding.
At-the-market equity offering
program
In August 2020, the Company filed a prospectus
supplement with the Securities and Exchange Commission (“SEC”),
under which it could offer and sell shares of its common stock
(“Shares”) from time to time up to aggregate sales proceeds of
$23.5 million through an “at-the-market” equity offering program
(the “ATM Program”). In May 2021, the Company filed a supplement to
its prospectus supplement to increase the capacity under the ATM
Program to allow for sales of Shares for aggregate gross offering
proceeds of up to $100.0 million.
Since September 27, 2021 the Company has not
sold any shares of common stock under the ATM Program. Since the
inception of the ATM Program the Company had sold 19,417,280 shares
of common stock under the ATM Program with aggregate net offering
proceeds to the Company of $71.5 million. Shares of common stock
with aggregate sales proceeds of up to $28.5 million remain
available for sale.
Fleet update
As of May 20, 2022, we had a fleet of 42
vessels, consisting of 12 Panamax, 8 Kamsarmax, 15 Post-Panamax and
7 Capes with and aggregate capacity of 4.2 million dwt and average
age of 10.4 years, and had placed orders for 8 newbuild vessels.
During 2022 and as of May 20, 2022, the Company had taken delivery
of one newbuild vessel and had acquired two second hand Capesize
class vessels expanding its presence in this sector.
Newbuild delivery
In May 2022, the Company acquired the first of
its 9 Japanese newbuilds on order, the MV Vassos a Japanese GHG
-EEDI Phase 3, NOx-Tier III, Kamsarmax class vessel. Upon its
delivery MV Vassos was sold and leased back on a bareboat charter
basis, for a period of 10 years with a purchase obligation at the
end of the 10th year and purchase options after the third year of
the bareboat charter, at predetermined purchase prices. In view of
the repurchase obligation, the Company has assessed that the
transaction be recorded as financing transaction.
Newbuild orders
As of May 20, 2022, the orderbook of the
Company consisted of 8 Japanese, dry-bulk newbuilds of which 5 were
Kamsarmax class vessels and 3 were Post-Panamax class vessels, with
scheduled deliveries of one in the third quarter of 2022, five in
2023 and two in 2024. All newbuilds on the Company's orderbook are
designed to meet the Phase 3 requirements of Energy Efficiency
Design Index related to the reduction of green house gas emissions
(''GHG -EEDI Phase 3'') as adopted by the International Maritime
Organization, ("IMO") and also comply with the latest NOx emissions
regulation, NOx-Tier III (IMO, MARPOL Annex VI, reg. 13).
Second-hand acquisitions
In January 2022, the Company agreed to purchase
the MV Maria, a 2014-built, Japanese, dry-bulk, 181,300 dwt,
Capesize class vessel for $33.8 million before commissions. The
vessel was delivered to the Company in February 2022, and the
purchase was funded from the cash reserves of the Company. MV Maria
is sister-ship with the MV Stelios Y.
In April 2022, the Company agreed to purchase
the MV Michalis H, a 2012-built, Chinese, dry-bulk, 180,400 dwt,
Capesize class vessel for $30.0 million before commissions. The
vessel was delivered to the Company in May 2022, and the purchase
was also funded from the cash reserves of the Company.
Chartering our fleet
Our vessels are used to transport bulk cargoes,
particularly coal, grain and iron ore, along worldwide shipping
routes. We intend to employ our vessels on both period time
charters and spot time charters, according to our assessment of
market conditions. Our customers represent some of the world’s
largest consumers of marine drybulk transportation services. The
vessels we deploy on period time charters provide us with visible
and relatively stable cash flow, while the vessels we deploy in the
spot market allow us to maintain our flexibility in low charter
market conditions and provide an opportunity for a potential upside
in our revenue when charter market conditions improve.
As of May 20, 2022, we
employed, or had contracted to employ, 11 vessels in the spot time
charter market (with up to 3 months original duration) and 31
vessels in the period time charter (with original duration in
excess of 3 months), 12 of which have original duration of more
than 1 year, and 10 have original duration of more than 2 years. As
of May 20, 2022, the average remaining
charter duration across our fleet was 1.2 years.
During 2022 and up to May 20, 2022, the Company
has entered into a long-term period time charter for the Capesize
class vessel MV Pelopidas, with forward delivery date in June 2022,
for duration of 3 years at a gross daily charter rate of $25,250.
The charter agreement also grants the charterer an option to extend
the period time charter for an additional year at the same gross
daily charter rate. This employment is anticipated to generate
approximately US$27.6 million of gross revenue from charter hire
and about $4.0 million from scrubber use, for the minimum scheduled
3 year period of the time charter.
During the first quarter of 2022, we operated
39.54 vessels on average earning a TCE14 of $21,352 compared to
42.27 vessels earning a TCE of $15,567 during the same period in
2021. Our contracted employment profile is presented below in Table
1.
Table 1: Contracted employment profile of
fleet ownership days as of May 20, 2022
|
2022 (remaining) |
65% |
|
|
2022 (full year) |
78% |
|
|
2023 |
30% |
|
|
2024 |
23% |
|
The detailed employment profile of our fleet is
presented in Table 6.
_______________________14 Time Charter
Equivalent (“TCE”) rate represents charter revenues net of
commissions and voyage expenses divided by the number of available
days.
Debt Profile
As of March 31, 2022 our consolidated debt
before deferred financing costs was $409.4 million, including the
€100 million bond issued in February 2022 maturing in 2027. During
the first quarter of 2022, we made scheduled principal payments of
$10.3 million and made voluntary debt prepayments of $81.8 million.
The repayment schedule of our debt as of March 31, 2022 is
presented in Table 2 below:
Table 2: Loan repayment
Schedule(in USD million)
Ending December 31, |
2022 |
2023 |
2024 |
2025 |
2026 |
2027 |
2028 |
2029-2031 |
Total |
Secured debt |
17.8 |
24.0 |
60.6 |
76.0 |
66.3 |
31.1 |
3.9 |
18.6 |
298.3 |
Unsecured debt |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
111.1 |
0.0 |
0.0 |
111.1 |
Total debt |
17.8 |
24.0 |
60.6 |
76.0 |
66.3 |
142.2 |
3.9 |
18.6 |
409.4 |
Fleet scrap value15 |
|
|
|
|
|
|
|
|
394.9 |
_______________________15 The fleet scrap value
is calculated on the basis of fleet aggregate light weight tons
("lwt") and scrap rate of $662/lwt ton (Clarksons data), on March
31, 2022.
Liquidity and capital resources, capital
expenditure requirements and debt as of March 31, 2022
We had $166.3 million in cash, cash equivalents,
bank time deposits and restricted cash, $146.6 million in undrawn
borrowing capacity available under revolving reducing credit
facilities and $46.2 million in secured commitments for loan and
sale and lease back agreements, in relation to two newbuild
vessels. Furthermore, we have contracted revenue of approximately
$426.3 million, net of commissions, from our non-cancellable spot
and period time charter contracts, and additional borrowing
capacity in relation to five unencumbered vessels and seven
newbuilds upon their delivery.
We had a fleet of 40 vessels and had an
orderbook of nine newbuild vessels. The remaining capital
expenditure requirements were $242.9 million in aggregate,
consisting of $241.5 million in relation to the nine newbuild
vessels on order and $1.4 million in relation to one exhaust gas
cleaning device (‘Scrubber’) and several ballast water treatment
systems (‘BWTS’) retrofits. The schedule of payments of the
remaining capital expenditure requirements is $53.7 million in
2022, $141.8 million in 2023 and $47.4 million in 2024.
We had $409.4 million of outstanding
consolidated debt, including the Bond issued in February 2022,
before deferred financing costs.
Liquidity and capital resources, capital
expenditure requirements and debt as of May 20,
2022
We had $141.5 million in cash, cash equivalents,
bank time deposits, restricted cash, $136.6 million in undrawn
borrowing capacity available under revolving reducing credit
facilities and $20.0 million in secured commitment for a loan
agreement, in relation to one newbuild vessel. Furthermore, we have
contracted revenue from our non-cancellable spot and period time
charter contracts of approximately $463.7 million, net of
commissions, and additional borrowing capacity in relation to six
unencumbered vessels and seven newbuilds upon their delivery.
We had a fleet of 42 vessels, and had placed
orders for eight newbuild vessels. The remaining capital
expenditure requirements were $218.6 million in aggregate,
consisting of $217.4 million in relation to the eight newbuild
vessels on order and $1.2 million in relation to one Scrubber and
several BWTS retrofits. The schedule of payments of the remaining
capital expenditure requirements is $29.4 million in 2022, $141.8
million in 2023 and $47.4 million in 2024.
We had $438.4 million of outstanding
consolidated debt, including the Bond issued in February 2022,
before deferred financing costs.
Derivatives
In January 2022, the Company terminated certain
interest rate derivative contracts that were due to mature in 2025
and 2026 with an aggregate notional amount of $240.0 million and
received an aggregate payment of $8.3 million. At the same time,
the Company entered into pay-fixed, receive-variable interest rate
derivative contracts commencing in January 2022 and February 2022
and maturing in January 2024 and February 2024 for an aggregate
notional amount of $240.0 million, at an average fixed rate of
1.346%.
In February 2022, following the issuance of our
100 million Euro corporate Bond of 2.95% coupon, the Company
terminated all outstanding interest rate derivative contracts with
an aggregate notional amount of $300.0 million and received an
aggregate payment of $2.8 million.
During the first quarter of 2022, the Company
entered into forward freight agreements on the Panamax index for
675 days in aggregate for the period to March 2023. The objective
of these trades is the reduction of the risk arising from the
volatility in the charter rates.
Environmental Social Responsibility -
Environmental investments - Dry-dockings
The Company continues the retrofit of its
vessels with BWTS having installed such systems on 39 of 42
existing vessels as of May 20, 2022. Furthermore, the Company
has entered into two agreements for additional Scrubber
installations in two of its Capesize class vessels, one of which
was initiated in February 2022.
The Company is pursuing a vessel upgrade program
during dry-dockings, in the amount of $2.2 million for 2022, which
involves environmental upgrades including application of low
friction paints and installation of energy saving devices. During
2022 we expect such upgrades to be implemented in the following
vessels: MV Efrossini, MV Pelopidas, MV Pedhoulas Rose, MV Venus
Horizon, MV Katerina and MV Sophia.
The Company has scheduled four dry-dockings for
the second and third quarters of 2022 with an estimated aggregate
number of 105 down-time days during the second quarter 2022 and 60
down-time days during the third quarter 2022.
Dividend Policy
On May 25, 2022, the Board of Directors of the
Company declared a cash dividend on the Company’s common stock of
$0.05 per share which is payable on June 15, 2022 to shareholders
of record of the Company's common stock at the closing of trading
on June 8, 2022. As of May 20, 2022, the Company had
121,655,486 shares of common stock issued and outstanding.
On March 4, 2022, the Board of Directors of the
Company declared a cash dividend on the Company’s common stock of
$0.05 per share which was paid on March 28, 2022 to shareholders of
record of the Company's common stock at the at the close of trading
on March 21, 2022.
The Company declared a cash dividend of $0.50
per share on each of its 8.00% Series C Cumulative Redeemable
Perpetual Preferred Shares (NYSE: SB.PR.C) and 8.00% Series D
Cumulative Redeemable Perpetual Preferred Shares (NYSE: SB.PR.D)
for the period from January 30, 2022 to April 29, 2022, which was
paid on May 2, 2022 to the respective shareholders of record as of
April 20, 2022.
The declaration and payment of dividends, if
any, will always be subject to the discretion of the Board of
Directors of the Company. There is no guarantee that the Company’s
Board of Directors will determine to issue cash dividends in the
future. The timing and amount of any dividends declared will depend
on, among other things: (i) the Company’s earnings, fleet
employment profile, financial condition and cash requirements and
available sources of liquidity; (ii) decisions in relation to the
Company’s growth, fleet renewal and leverage strategies; (iii)
provisions of Marshall Islands and Liberian law governing the
payment of dividends; (iv) restrictive covenants in the Company’s
existing and future debt instruments; and (v) global economic and
financial conditions.
Conference Call
On Thursday, May 26, 2022 at 9:00 A.M.
Eastern Time, the Company’s management team will host a conference
call to discuss the Company’s financial results.
Participants should dial into the call 10
minutes before the scheduled time using the following numbers: 1
(877) 553-9962 (US Toll Free Dial In), 0(808) 238-0669 (UK Toll
Free Dial In) or +44 (0) 2071 928592 (Standard International Dial
In). Please quote Safe Bulkers to the operator.
Slides and Audio Webcast
There will also be a live, and then archived,
webcast of the conference call, available through the Company’s
website (www.safebulkers.com). Participants in the live webcast
should register on the website approximately 10 minutes prior to
the start of the webcast.
Management Discussion of First Quarter
2022 Results
During the first quarter of 2022, we operated in
an improved charter market environment compared to the same period
of 2021, with lower interest expenses and increased revenues which
also include earnings from Scrubber fitted vessels. During the
first quarter of 2022, we had a TCE of $21,352 compared to a TCE of
$15,567 during the same period in 2021. The net income for the
first quarter of 2022 reached $36.4 million compared to net income
of $21.3 million during the same period in 2021. In more detail the
change in net income resulted from the following main factors:
Net revenues: Net revenues increased by 24% to
$77.7 million for the first quarter of 2022, compared to $62.5
million for the same period in 2021, mainly due to the increased
TCE rate as a result of the improved market, assisted by the
additional revenues earned by our Scrubber fitted vessels.
Vessel operating expenses: Vessel operating
expenses increased by 14% to $20.4 million for the first quarter of
2022 compared to $17.9 million for the same period in 2021, mainly
affected by increased dry-docking expenses, which include
low-friction paints application for upgrading the vessels'
environmental performance, increased provision of technical
services and increased crew repatriation expenses due to the
COVID-19 pandemic. In more detail: i) dry-docking expenses
increased to $2.7 million related to one fully and three partially
completed dry-dockings during the first quarter of 2022, compared
to $1.3 million related to one fully and one partially completed
dry-docking for the same period of 2021, ii) repairs and
maintenance, excluding dry-docking expenses, increased to $1.5
million compared to $0.8 million for the same period in 2021, and
iii) crew wages, repatriation and related costs increased to $9.0
million for the first quarter of 2022 compared to $8.8 million for
the same period in 2021. The Company expenses dry-docking and
pre-delivery costs as incurred, which costs may vary from period to
period. Excluding dry-docking and pre-delivery costs of $2.8
million and $1.3 million for the first quarter of 2022 and 2021,
respectively, vessel operating expenses increased by 6% to $17.6
million during the first quarter of 2022 in comparison to $16.6
million during the same quarter of 2021. Dry-docking expense is
related to the number of dry-dockings in each period and
pre-delivery expenses are related to the number of vessel
deliveries and second hand acquisitions in each period. Other
shipping companies may defer and amortize dry-docking expense and
many do not include dry-docking expenses within vessel operating
expenses costs but present these separately.
Depreciation: Depreciation expense decreased by
$2.0 million, or 15% to $11.3 million for the first quarter of
2022, compared to $13.3 million for the same period in 2021, as a
result of changing the estimate of vessels' residual value, from a
scrap rate of $182 per light weight ton to $375 per light weight
ton, effective January 1, 2022. The basic and diluted net earnings
per share for the three months ended March 31, 2022 would have been
$0.26 per share and $0.23 per share, respectively, if there was no
change in the estimated scrap value, representing a $0.02 and $0.01
change to the basic and diluted net earnings per share,
respectively.
Interest expense: Interest expense decreased to
$2.9 million in the first quarter of 2022 compared to $4.3 million
for the same period in 2021, as a result of the reduction of the
outstanding loans as well as the decreased USD LIBOR16 affecting
the weighted average interest rate of our loans and credit
facilities.
(Loss)/Gain on derivatives: Gain on derivatives
amounted to $4.2 million in the first quarter of 2022 compared to a
loss of $0.9 million for the same period in 2021, as a result of
the termination of all outstanding interest rate derivative
contracts during the first quarter of 2022.
Daily vessel operating expenses: Daily vessel
operating expenses, calculated by dividing vessel operating
expenses by the ownership days of the relevant period, increased by
22% to $5,722 for the first quarter of 2022 compared to $4,702 for
the same period in 2021. Daily vessel operating expenses excluding
dry-docking and pre-delivery expenses increased by 13% to $4,923
for the first quarter of 2022 compared to $4,350 for the same
period in 2021.
Daily general and administrative expenses17:
Daily general and administrative expenses, which include management
fees payable to our Managers18 and daily company administrations
expenses, increased by 6% to $1,520 for the first quarter of 2022,
compared to $1,440 for the same period in 2021, as a result of
increased personnel expenses and third party fees of the
company.
_______________________16 London interbank
offered rate.17 See table 518 Safety Management Overseas S.A., Safe
Bulkers Management Monaco Inc., and Safe Bulkers Management
limited, each of which is a referred to in this press release as
"our Manager" and collectively "our Managers"
Balance sheet
Right-of-use asset/Lease Liability: As of March
31, 2022, we had classified the asset and liability directly
associated with the acquisition of the vessel Stelios Y: as a)
Right-of-use asset and presented it on the balance sheet separately
under Fixed assets in the amount of $31.6 million, which represents
i) the advance payments and additional purchase costs paid for the
vessel and ii) the future payments under the 12-month period
bareboat charter that commenced in November 2021 net of accumulated
depreciation of $0.6 million, and as (b) Current Lease liabilities
of $20.8 million, representing the outstanding balance of the
present value of the lease payments of the above mentioned 12-month
bareboat charter.
|
Unaudited Interim Financial Information and Other
Data |
|
SAFE BULKERS, INC.CONDENSED
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)(In thousands of U.S. Dollars except
for share and per share data) |
|
|
Three-Months Period EndedMarch
31, |
|
2021 |
|
2022 |
REVENUES: |
|
|
|
Revenues |
65,222 |
|
|
81,102 |
|
Commissions |
(2,704 |
) |
|
(3,356 |
) |
Net revenues |
62,518 |
|
|
77,746 |
|
EXPENSES: |
|
|
|
Voyage expenses |
(4,376 |
) |
|
(4,338 |
) |
Vessel operating expenses |
(17,888 |
) |
|
(20,366 |
) |
Depreciation |
(13,324 |
) |
|
(11,306 |
) |
General and administrative expenses |
(5,479 |
) |
|
(5,411 |
) |
Impairment and loss on vessels held for sale |
(1,420 |
) |
|
— |
|
Early redelivery income |
7,555 |
|
|
— |
|
Operating income |
27,586 |
|
|
36,325 |
|
OTHER (EXPENSE) /
INCOME: |
|
|
|
Interest expense |
(4,252 |
) |
|
(2,886 |
) |
Other finance cost |
(151 |
) |
|
(691 |
) |
Interest income |
33 |
|
|
15 |
|
(Loss)/gain on derivatives |
(896 |
) |
|
4,227 |
|
Foreign currency loss |
(582 |
) |
|
(193 |
) |
Amortization and write-off of deferred finance charges |
(420 |
) |
|
(432 |
) |
Net income |
21,318 |
|
|
36,365 |
|
Less Preferred dividend |
2,825 |
|
|
2,746 |
|
Plus Mezzanine equity measurement |
(271 |
) |
|
— |
|
Net income available to common shareholders |
18,764 |
|
|
33,619 |
|
Earnings per share basic and diluted |
0.18 |
|
|
0.28 |
|
Weighted average number of shares |
103,363,376 |
|
|
121,652,295 |
|
|
Three-Months Period EndedMarch
31, |
|
2021 |
|
2022 |
(In millions of U.S.
Dollars) |
|
|
|
CASH FLOW
DATA |
|
|
|
Net cash provided by operating activities |
38.8 |
|
|
60.7 |
|
Net cash used in investing
activities |
(9.2 |
) |
|
(45.6 |
) |
Net cash (used in)/provided by
financing activities |
(16.9 |
) |
|
36.9 |
|
Net increase in cash and cash
equivalents |
12.7 |
|
|
52.0 |
|
SAFE BULKERS,
INC.CONDENSEDCONSOLIDATED BALANCE
SHEETS (UNAUDITED)(In thousands of U.S.
Dollars) |
|
|
|
|
|
December 31, 2021 |
|
March 31, 2022 |
ASSETS |
|
|
|
Cash and cash equivalents, time deposits, and restricted cash |
102,084 |
|
156,062 |
Other current assets |
22,032 |
|
22,973 |
Vessels, net |
864,391 |
|
888,392 |
Right-of-use asset |
31,938 |
|
31,573 |
Advances for vessels |
56,484 |
|
63,204 |
Restricted cash non-current |
10,250 |
|
10,250 |
Other non-current assets |
7,141 |
|
836 |
Total assets |
1,094,320 |
|
1,173,290 |
LIABILITIES AND
EQUITY |
|
|
|
Current portion of long-term debt |
39,912 |
|
21,723 |
Lease liability |
21,945 |
|
20,780 |
Other current liabilities |
26,835 |
|
30,768 |
Long-term debt, net of current portion |
315,796 |
|
379,830 |
Other non-current liabilities |
10,592 |
|
13,383 |
Shareholders’ equity |
679,240 |
|
706,806 |
Total liabilities and equity |
1,094,320 |
|
1,173,290 |
TABLE 4RECONCILIATION OF ADJUSTED NET
INCOME, EBITDA, ADJUSTED EBITDA AND ADJUSTEDEARNINGS PER
SHARE |
|
|
|
Three-Months Period EndedMarch
31, |
(In thousands of U.S. Dollars
except for share and per share data) |
2021 |
|
2022 |
Adjusted Net
Income |
|
|
|
Net Income |
21,318 |
|
|
36,365 |
|
Plus Impairment and loss on
vessels held for sale |
1,420 |
|
|
— |
|
Plus Loss/(gain) on
derivatives |
896 |
|
|
(4,227 |
) |
Plus Foreign currency
loss |
582 |
|
|
193 |
|
Less Early redelivery
income |
(7,555 |
) |
|
— |
|
Adjusted net
income |
16,661 |
|
|
32,331 |
|
EBITDA - Adjusted
EBITDA |
|
|
|
Net
Income |
21,318 |
|
|
36,365 |
|
Plus Net Interest expense |
4,219 |
|
|
2,871 |
|
Plus Depreciation |
13,324 |
|
|
11,306 |
|
Plus Amortization and
write-off of deferred finance charges |
420 |
|
|
432 |
|
EBITDA |
39,281 |
|
|
50,974 |
|
Plus Impairment and loss on
vessels held for sale |
1,420 |
|
|
— |
|
Less Early redelivery
income |
(7,555 |
) |
|
— |
|
Plus Loss/(gain) on
derivatives |
896 |
|
|
(4,227 |
) |
Plus Foreign currency
loss |
582 |
|
|
193 |
|
ADJUSTED
EBITDA |
34,624 |
|
|
46,940 |
|
Earnings per
share |
|
|
|
Net
Income |
21,318 |
|
|
36,365 |
|
Less Preferred dividend |
2,825 |
|
|
2,746 |
|
Plus Mezzanine equity
measurement |
(271 |
) |
|
— |
|
Net income available
to common shareholders |
18,764 |
|
|
33,619 |
|
Weighted average number of
shares |
103,363,376 |
|
|
121,652,295 |
|
Earnings per share |
0.18 |
|
|
0.28 |
|
Adjusted Earnings per
share |
|
|
|
Adjusted net
income |
16,661 |
|
|
32,331 |
|
Less Preferred dividend |
2,825 |
|
|
2,746 |
|
Plus Mezzanine equity
measurement |
(271 |
) |
|
— |
|
Adjusted Net income
available to common shareholders |
14,107 |
|
|
29,585 |
|
Weighted average number of
shares |
103,363,376 |
|
|
121,652,295 |
|
Adjusted Earnings per
share |
0.14 |
|
|
0.24 |
|
EBITDA, Adjusted EBITDA, Adjusted Net
income/(loss) and Adjusted earnings/(loss) per share are not
recognized measurements under USGAAP.- EBITDA represents Net
income/(loss) before interest, income tax expense, depreciation and
amortization.- Adjusted EBITDA represents EBITDA before impairment
and loss on vessels held for sale, gain/(loss) on sale of assets,
gain/(loss) on derivatives, early redelivery income/(cost), other
operating expenses and gain/(loss) on foreign currency.- Adjusted
Net income/(loss) represents Net income/(loss) before impairment
and loss on vessels held for sale, gain/(loss) on sale of assets,
gain/(loss) on derivatives, early redelivery income/(cost),other
operating expenses and gain/(loss) on foreign currency.- Adjusted
earnings/(loss) per share represents Adjusted Net income/(loss)
less preferred dividend and mezzanine equity measurement divided by
the weighted average number of shares.- EBITDA, Adjusted EBITDA,
Adjusted Net income/(loss) and Adjusted earnings per share are used
as supplemental financial measures by management and external users
of financial statements, such as investors, to assess our financial
and operating performance. The Company believes that these non-GAAP
financial measures assist our management and investors by
increasing the comparability of our performance from period to
period. The Company believes that including these supplemental
financial measures assists our management and investors in (i)
understanding and analyzing the results of our operating and
business performance, (ii) selecting between investing in us and
other investment alternatives and (iii) monitoring our financial
and operational performance in assessing whether to continue
investing in us. The Company believes that EBITDA, Adjusted EBITDA,
Adjusted Net income/(loss) and Adjusted earnings/(loss) per share
are useful in evaluating the Company’s operating performance from
period to period because the calculation of EBITDA generally
eliminates the effects of financings, income taxes and the
accounting effects of capital expenditures and acquisitions, the
calculation of Adjusted EBITDA and Adjusted Net Income/Loss
generally further eliminates from EBITDA and Net Income/(Loss)
respectively the effects from impairment and loss on vessels held
for sale, gain/(loss) on sale of assets, gain/(loss) on
derivatives, early redelivery income/(cost), other operating
expenses and gain/(loss) on foreign currency, items which may vary
from year to year and for different companies for reasons unrelated
to overall operating performance. EBITDA, Adjusted EBITDA, Adjusted
Net income and Adjusted earnings per share have limitations as
analytical tools, and should not be considered in isolation, or as
a substitute for analysis of the Company’s results as reported
under US GAAP. While EBITDA and Adjusted EBITDA, Adjusted Net
income/(loss) and Adjusted earnings/(loss) per share, are
frequently used as measures of operating results and performance,
they are not necessarily comparable to other similarly titled
captions of other companies due to differences in methods of
calculation. In evaluating Adjusted EBITDA, Adjusted Net
income/(loss) and Adjusted earnings/(loss) per share, you should be
aware that in the future we may incur expenses that are the same as
or similar to some of the adjustments in this presentation. Our
presentation of Adjusted EBITDA, Adjusted Net income/(loss) and
Adjusted earnings/(loss) per share should not be construed as an
inference that our future results will be unaffected by the
excluded items.
|
TABLE 5: FLEET DATA, AVERAGE DAILY INDICATORS
RECONCILIATION |
|
|
Three-Months Period EndedMarch
31, |
|
|
2021 |
|
|
|
2022 |
|
FLEET DATA |
|
|
|
Number of vessels at period
end |
|
43 |
|
|
|
40 |
|
Average age of fleet (in
years) |
|
10.35 |
|
|
|
10.48 |
|
Ownership days(1) |
|
3,804 |
|
|
|
3,559 |
|
Available days(2) |
|
3,735 |
|
|
|
3,438 |
|
Average number of vessels in
the period(3) |
|
42.27 |
|
|
|
39.54 |
|
AVERAGE DAILY RESULTS |
|
|
|
Time charter equivalent
rate(4) |
$ |
15,567 |
|
|
$ |
21,352 |
|
Daily vessel operating
expenses(5) |
$ |
4,702 |
|
|
$ |
5,722 |
|
Daily vessel operating
expenses excluding dry-docking and pre-delivery expenses(6) |
$ |
4,350 |
|
|
$ |
4,923 |
|
Daily general and
administrative expenses(7) |
$ |
1,440 |
|
|
$ |
1,520 |
|
TIME CHARTER EQUIVALENT RATE
RECONCILIATION |
|
|
|
(In thousands of U.S. Dollars
except for available days and Time charter equivalent rate) |
|
|
|
Revenues |
$ |
65,222 |
|
|
$ |
81,102 |
|
Less commissions |
|
(2,704 |
) |
|
|
(3,356 |
) |
Less voyage expenses |
|
(4,376 |
) |
|
|
(4,338 |
) |
Time charter equivalent
revenue |
$ |
58,142 |
|
|
$ |
73,408 |
|
Available days(2) |
|
3,735 |
|
|
|
3,438 |
|
Time charter equivalent
rate(4) |
$ |
15,567 |
|
|
$ |
21,352 |
|
|
|
|
|
_______________________(1) Ownership days
represent the aggregate number of days in a period during which
each vessel in our fleet has been owned by us.(2) Available days
represent the total number of days in a period during which each
vessel in our fleet was in our possession, net of off-hire days
associated with scheduled maintenance, which includes major
repairs, drydockings, vessel upgrades or special or intermediate
surveys.(3) Average number of vessels in the period is calculated
by dividing ownership days in the period by the number of days in
that period.(4) Time charter equivalent rate, or TCE rate,
represents our charter revenues less commissions and voyage
expenses during a period divided by the number of available days
during such period. TCE rate is a standard shipping industry
performance measure used primarily to compare daily earnings
generated by vessels on period time charters and spot time charters
with daily earnings generated by vessels on voyage charters,
because charter rates for vessels on voyage charters are generally
not expressed in per day amounts, while charter rates for vessels
on period time charters and spot time charters generally are
expressed in such amounts. We have only rarely employed our vessels
on voyage charters and, as a result, generally our TCE rates
approximate our time charter rates.(5) Daily vessel operating
expenses are calculated by dividing vessel operating expenses for
the relevant period by ownership days for such period. Vessel
operating expenses include crewing, insurance, lubricants, spare
parts, provisions, stores, repairs, maintenance including
dry-docking, statutory and classification expenses and other
miscellaneous items.(6) Daily vessel operating expenses excluding
dry-docking and pre-delivery expenses are calculated by dividing
vessel operating expenses excluding dry-docking and pre-delivery
expenses for the relevant period by ownership days for such period.
Dry-docking expenses include costs of shipyard, paints and agent
expenses and pre-delivery expenses include initially supplied spare
parts, stores, provisions and other miscellaneous items provided to
a newbuild acquisition prior to their operation.(7) Daily general
and administrative expenses are calculated by dividing general and
administrative expenses for the relevant period by ownership days
for such period. Daily general and administrative expenses include
daily management fees payable to our Managers and daily company
administration expenses.
Table 6: Detailed fleet and employment
profile as of May 20, 2022
Vessel Name |
|
Dwt |
|
YearBuilt1 |
|
Country ofConstruction |
|
CharterType |
|
CharterRate2 |
|
Commissions3 |
|
Charter Period4 |
CURRENT FLEET |
|
|
|
|
|
|
|
|
|
|
|
|
|
Panamax |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Katerina |
|
76,000 |
|
2004 |
|
Japan |
|
Period |
|
$ |
23,000 |
|
5.00 |
% |
|
December 2020 |
June 2022 |
|
|
|
|
Period20 |
|
10,950 + 50% *101% BPI 74 |
|
5.00 |
% |
|
July 2022 |
June 2023 |
Maritsa |
|
76,000 |
|
2005 |
|
Japan |
|
Period20 |
|
10,950 + 50% *101% BPI 74 |
|
5.00 |
% |
|
February 2022 |
January 2023 |
Paraskevi
2 |
|
75,000 |
|
2011 |
|
Japan |
|
Period26 |
|
$ |
13,800 |
|
5.00 |
% |
|
April 2021 |
June 2022 |
|
|
|
|
|
BPI 74 4TC * 103% |
|
5.00 |
% |
|
June 2022 |
July 2022 |
Efrossini |
|
75,000 |
|
2012 |
|
Japan |
|
Period22 |
|
103% BPI 74 |
|
3.75 |
% |
|
March 2022 |
February 2023 |
Zoe11 |
|
75,000 |
|
2013 |
|
Japan |
|
Period23 |
|
104.25% BPI 74 |
|
5.00 |
% |
|
August 2021 |
August 2022 |
Koulitsa
2 |
|
78,100 |
|
2013 |
|
Japan |
|
Period |
|
$ |
24,000 |
|
3.75 |
% |
|
July 2021 |
October 2022 |
Kypros
Land11 |
|
77,100 |
|
2014 |
|
Japan |
|
Period13 |
|
$ |
13,800 |
|
3.75 |
% |
|
August 2020 |
August 2022 |
|
|
|
|
|
BPI 82 5TC * 97% - $2,150 |
|
3.75 |
% |
|
August 2022 |
August 2025 |
Kypros
Sea |
|
77,100 |
|
2014 |
|
Japan |
|
Period13 |
|
$ |
13,800 |
|
3.75 |
% |
|
July 2020 |
July 2022 |
|
|
|
|
|
BPI 82 5TC * 97% - $2,150 |
|
3.75 |
% |
|
July 2022 |
September 2022 |
|
|
|
|
|
$ |
24,123 |
|
3.75 |
% |
|
September 2022 |
December 2022 |
|
|
|
|
|
BPI 82 5TC * 97% - $2,150 |
|
3.75 |
% |
|
December 2022 |
July 2025 |
Kypros
Bravery |
|
78,000 |
|
2015 |
|
Japan |
|
Period12 |
|
$ |
11,750 |
|
3.75 |
% |
|
August 2020 |
August 2022 |
|
|
|
|
|
BPI 82 5TC * 97% - $2,150 |
|
3.75 |
% |
|
August 2022 |
August 2025 |
Kypros
Sky9 |
|
77,100 |
|
2015 |
|
Japan |
|
Period12 |
|
$ |
11,750 |
|
3.75 |
% |
|
August 2020 |
August 2022 |
|
|
|
|
|
BPI 82 5TC * 97% - $2,150 |
|
3.75 |
% |
|
August 2022 |
August 2025 |
Kypros
Loyalty |
|
78,000 |
|
2015 |
|
Japan |
|
Period12 |
|
$ |
11,750 |
|
3.75 |
% |
|
July 2020 |
July 2022 |
|
|
|
|
|
BPI 82 5TC * 97% - $2,150 |
|
3.75 |
% |
|
July 2022 |
September 2022 |
|
|
|
|
|
$ |
23,153 |
|
3.75 |
% |
|
September 2022 |
December 2022 |
|
|
|
|
|
BPI 82 5TC * 97% - $2,150 |
|
3.75 |
% |
|
December 2022 |
July 2025 |
Kypros Spirit9 |
|
78,000 |
|
2016 |
|
Japan |
|
Period13 |
|
$ |
13,800 |
|
3.75 |
% |
|
August 2020 |
August 2022 |
|
|
|
|
|
BPI 82 5TC * 97% - $2,150 |
|
3.75 |
% |
|
August 2022 |
July 2025 |
Kamsarmax |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pedhoulas
Merchant |
|
82,300 |
|
2006 |
|
Japan |
|
Period |
|
$ |
25,900 |
|
3.75 |
% |
|
March 2022 |
March 2023 |
Pedhoulas
Trader |
|
82,300 |
|
2006 |
|
Japan |
|
Period24 |
|
15,500 + 50% *98% BPI 82 |
|
5.00 |
% |
|
November 2021 |
August 2022 |
Pedhoulas
Leader |
|
82,300 |
|
2007 |
|
Japan |
|
Period |
|
$ |
28,750 |
|
5.00 |
% |
|
November 2021 |
September 2022 |
Pedhoulas
Commander |
|
83,700 |
|
2008 |
|
Japan |
|
Period |
|
$ |
20,500 |
|
5.00 |
% |
|
August 2021 |
November 2022 |
Pedhoulas
Cherry |
|
82,000 |
|
2015 |
|
China |
|
Period18 |
|
$ |
23,000 |
|
5.00 |
% |
|
July 2021 |
June 2022 |
|
|
|
|
Period18 |
|
$ |
24,000 |
|
5.00 |
% |
|
June 2022 |
August 2023 |
Pedhoulas
Rose |
|
82,000 |
|
2017 |
|
China |
|
Period18,25 |
|
12,750 + 50% *104% BPI 82 |
|
5.00 |
% |
|
April 2022 |
October 2022 |
Pedhoulas
Cedrus14 |
|
81,800 |
|
2018 |
|
Japan |
|
Period29 |
|
$ |
27,800 |
|
3.75 |
% |
|
July 2021 |
September 2022 |
Vassos8 |
|
82,000 |
|
2022 |
|
Japan |
|
Spot |
|
$ |
35,900 |
|
5.00 |
% |
|
May 2022 |
August 2022 |
Post-Panamax |
|
|
|
|
|
|
|
|
|
|
|
|
|
Marina |
|
87,000 |
|
2006 |
|
Japan |
|
Spot18 |
|
$ |
32,500 |
|
5.00 |
% |
|
March 2022 |
June 2022 |
Xenia |
|
87,000 |
|
2006 |
|
Japan |
|
Period18 |
|
$ |
24,200 |
|
5.00 |
% |
|
September 2021 |
September 2022 |
Sophia |
|
87,000 |
|
2007 |
|
Japan |
|
Spot18 |
|
$ |
22,000 |
|
3.75 |
% |
|
March 2022 |
May 2022 |
Eleni |
|
87,000 |
|
2008 |
|
Japan |
|
Spot18 |
|
$ |
35,500 |
|
5.00 |
% |
|
April 2022 |
June 2022 |
Martine |
|
87,000 |
|
2009 |
|
Japan |
|
Period18 |
|
$ |
15,100 |
|
5.00 |
% |
|
June 2021 |
August 2022 |
Andreas
K |
|
92,000 |
|
2009 |
|
South Korea |
|
Spot17,21 |
|
$ |
30,000 |
|
5.00 |
% |
|
May 2022 |
July 2022 |
Panayiota
K10 |
|
92,000 |
|
2010 |
|
South Korea |
|
Spot18,28 |
|
$ |
28,500 |
|
5.00 |
% |
|
May 2022 |
May 2022 |
Agios
Spyridonas10 |
|
92,000 |
|
2010 |
|
South Korea |
|
Spot17 |
|
$ |
19,500 |
|
5.00 |
% |
|
April 2022 |
June 2022 |
Venus
Heritage11 |
|
95,800 |
|
2010 |
|
Japan |
|
Spot17 |
|
$ |
30,500 |
|
5.00 |
% |
|
May 2022 |
June 2022 |
Venus
History11 |
|
95,800 |
|
2011 |
|
Japan |
|
Period18 |
|
$ |
26,250 |
|
5.00 |
% |
|
January 2022 |
December 2022 |
Venus
Horizon |
|
95,800 |
|
2012 |
|
Japan |
|
Period18 |
|
$ |
27,950 |
|
5.00 |
% |
|
May 2022 |
March 2023 |
Venus
Harmony |
|
95,700 |
|
2013 |
|
Japan |
|
Spot |
|
$ |
25,000 |
|
5.00 |
% |
|
April 2022 |
June 2022 |
Troodos
Sun16 |
|
85,000 |
|
2016 |
|
Japan |
|
Period18,19 |
|
BPI 82 5TC * 114% |
|
5.00 |
% |
|
June 2021 |
March 2023 |
Troodos
Air |
|
85,000 |
|
2016 |
|
Japan |
|
Period18 |
|
$ |
28,000 |
|
5.00 |
% |
|
May 2022 |
June 2023 |
Troodos Oak |
|
85,000 |
|
2020 |
|
Japan |
|
Period30 |
|
$ |
29,400 |
|
3.75 |
% |
|
July 2021 |
September 2022 |
Capesize |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mount Troodos |
|
181,400 |
|
2009 |
|
Japan |
|
Period18 |
|
$ |
34,500 |
|
3.75 |
% |
|
April 2022 |
March 2023 |
Kanaris |
|
178,100 |
|
2010 |
|
China |
|
Period5 |
|
$ |
25,928 |
|
2.50 |
% |
|
September 2011 |
September 2031 |
Pelopidas |
|
176,000 |
|
2011 |
|
China |
|
Dry-dock |
|
|
|
|
|
January 2022 |
June 2022 |
|
|
|
|
Period31,18 |
|
$ |
25,250 |
|
3.75 |
% |
|
June 2022 |
May 2025 |
Lake
Despina7 |
|
181,400 |
|
2014 |
|
Japan |
|
Period6 |
|
$ |
25,200 |
|
5.00 |
% |
|
February 2022 |
February 2025 |
Stelios
Y |
|
181,400 |
|
2012 |
|
Japan |
|
Period15 |
|
$ |
24,400 |
|
3.75 |
% |
|
November 2021 |
November 2024 |
Maria |
|
181,300 |
|
2014 |
|
Japan |
|
Spot27 |
|
BCI C14 * 111% |
|
3.75 |
% |
|
February 2022 |
June 2022 |
Michalis H |
|
180,400 |
|
2012 |
|
Japan |
|
Spot32 |
|
BCI C14 * 101.5% |
|
3.75 |
% |
|
May 2022 |
August 2022 |
TOTAL |
|
4,187,900 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Orderbook |
TBN |
|
87,000 |
|
Q3 2022 |
|
Japan |
|
|
|
|
|
|
|
|
|
TBN |
|
87,000 |
|
Q1 2023 |
|
Japan |
|
|
|
|
|
|
|
|
|
TBN |
|
87,000 |
|
Q2 2023 |
|
Japan |
|
|
|
|
|
|
|
|
|
TBN |
|
82,000 |
|
Q4 2023 |
|
Japan |
|
|
|
|
|
|
|
|
|
TBN |
|
82,000 |
|
Q4 2023 |
|
Japan |
|
|
|
|
|
|
|
|
|
TBN |
|
82,000 |
|
Q4 2023 |
|
Japan |
|
|
|
|
|
|
|
|
|
TBN |
|
82,000 |
|
Q1 2024 |
|
Japan |
|
|
|
|
|
|
|
|
|
TBN |
|
82,000 |
|
Q1 2024 |
|
Japan |
|
|
|
|
|
|
|
|
|
TOTAL |
|
671,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) For existing vessels, the year represents
the year built. For any newbuilds, the date shown reflects the
expected delivery dates.(2) Quoted charter rates are the recognized
daily gross charter rates. For charter parties with variable rates
among periods or consecutive charter parties with the same
charterer, the recognized gross daily charter rate represents the
weighted average gross daily charter rate over the duration of the
applicable charter period or series of charter periods, as
applicable. In the case of a charter agreement that provides for
additional payments, namely ballast bonus to compensate for vessel
repositioning, the gross daily charter rate presented has been
adjusted to reflect estimated vessel repositioning expenses. Gross
charter rates are inclusive of commissions. Net charter rates are
charter rates after the payment of commissions. In the case of
voyage charters, the charter rate represents revenue recognized on
a pro rata basis over the duration of the voyage from load to
discharge port less related voyage expenses. (3) Commissions
reflect payments made to third-party brokers or our charterers.(4)
The start dates listed reflect either actual start dates or, in the
case of contracted charters that had not commenced as of
May 20, 2022, the scheduled start dates. Actual start dates
and redelivery dates may differ from the referenced scheduled start
and redelivery dates depending on the terms of the charter and
market conditions and does not reflect the options to extend the
period time charter.(5) Charterer of MV Kanaris agreed to reimburse
us for part of the cost of the scrubbers and BWTS to be installed
on the vessel, which is recorded by increasing the recognized daily
charter rate by $634 over the remaining tenor of the time charter
party.(6) A period time charter for a duration of 3 years at a
gross daily charter rate of $22,500 plus an one-off $3.0 million
payment upon charter commencement. The charter agreement also
grants the charterer an option to extend the period time charter
for an additional year at a gross daily charter rate of $27,500.(7)
MV Lake Despina was sold and leased back in April 2021 on a
bareboat charter basis for a period of seven years with a purchase
option in favor of the Company five years and six months following
the commencement of the bareboat charter period at a predetermined
purchase price.(8) MV Vassos was sold and leased back in May 2022
on a bareboat charter basis for a period of ten years with a
purchase option in favor of the Company three years following the
commencement of the bareboat charter period and a purchase
obligation at the end of the bareboat charter period, all at
predetermined purchase prices.(9) MV Kypros Sky and MV Kypros
Spirit were sold and leased back in December 2019 on a bareboat
charter basis for a period of eight years, with purchase options in
favor of the Company commencing three years following the
commencement of the bareboat charter period and a purchase
obligation at the end of the bareboat charter period, all at
predetermined purchase prices.(10) MV Panayiota K and MV Agios
Spyridonas were sold and leased back in January 2020 on a bareboat
charter basis for a period of six years, with purchase options in
favor of the Company commencing three years following the
commencement of the bareboat charter period and a purchase
obligation at the end of the bareboat charter period, all at
predetermined purchase prices.(11) MV Zoe, MV Kypros Land, MV Venus
Heritage and MV Venus History were sold and leased back in November
2019, on a bareboat charter basis, one for a period of eight years
and three for a period of seven and a half years, with a purchase
option in favor of the Company five years and nine months following
the commencement of the bareboat charter period at a predetermined
purchase price gross charter rate presented.(12) A period time
charter of 5 years at a daily gross charter rate of $11,750 for the
first two years and a gross daily charter rate linked to the BPI-82
5TC times 97% minus $2,150, for the remaining period.(13) A period
time charter of 5 years at a daily gross charter rate of $13,800
for the first two years and a gross daily charter rate linked to
the BPI-82 5TC times 97% minus $2,150, for the remaining
period.(14) MV Pedhoulas Cedrus was sold and leased back in
February 2021 on a bareboat charter basis for a period of ten years
with a purchase option in favor of the Company three years
following the commencement of the bareboat charter period and a
purchase obligation at the end of the bareboat charter period, all
at predetermined purchase prices.(15) In October 2021, the Company
entered into a new period time charter for MV Stelios Y, for a
duration of 3 years at a gross daily charter rate of $24,400, which
is expected to commence in November 2021 upon delivery of the
vessel to the Company by her present owners. The charter agreement
also grants the charterer an option to extend the period time
charter for an additional year at a gross daily charter rate of
$26,500.(16) MV Troodos Sun was sold and leased back in September
2021 on a bareboat charter basis for a period of ten years, with
purchase options in favor of the Company commencing three years
following the commencement of the bareboat charter period and a
purchase obligation at the end of the bareboat charter period, all
at predetermined purchase prices.(17) Scrubber benefit was agreed
on the basis of fuel consumption of heavy fuel oil and the price
differential between the heavy fuel oil and the compliant fuel cost
for the voyage and is included on the daily gross charter rate
presented.(18) Scrubber benefit was agreed on the basis of fuel
consumption of heavy fuel oil and the price differential between
the heavy fuel oil and the compliant fuel cost for the voyage and
is not included on the daily gross charter rate presented.(19) A
period time charter of 22 to 26 months at a daily gross charter
rate linked to the BPI-82 5TC times 114%. (20) A period time
charter of 11 to 13 months at a daily gross charter rate of $10,950
plus additional gross daily charter rate linked to the 50% of the
BPI-74 4TC times 101% .(21) A spot time charter at a gross daily
charter rate of $36,000 an one-off $0.8 million payment upon
charter commencement.(22) A period time charter of 11 to 14 months
at a daily gross charter rate linked to the BPI-74 4TC times
103%.(23) A period time charter of 10 to 13 months at a daily gross
charter rate linked to the BPI-74 4TC times 104.25%.(24) A period
time charter of 7 to 10 months at a daily gross charter rate of
$15,500 plus additional gross daily charter rate linked to the 50%
of the BPI-82 5TC times 98%.(25) A period time charter of 7 to 10
months at a daily gross charter rate of $12,750 plus additional
gross daily charter rate linked to the 50% of the BPI-82 5TC times
104%.(26) A period time charter of 11 to 14 months at a daily gross
charter rate of $13,800 for the first twelve months a gross daily
charter rate linked to the BPI-74 4TC times 103% for the remaining
period.(27) A spot time charter at a gross daily charter rate
linked to the Baltic Exchange Capesize Index C14 times 111%. (28) A
spot time charter at a gross daily charter rate of $29,000 plus
ballast bonus of $1.0 million.(29) A period time charter ration of
11 to 14 months at a daily gross charter rate of $16,400 plus an
one-off $3.7 million payment upon charter commencement. (30) A
period time charter ration of 11 to 14 months at a daily gross
charter rate of $18,000 plus an one-off $3.7 million payment upon
charter commencement. (31) A period time charter for a duration of
3 years at a gross daily charter rate of $25,250. The charter
agreement also grants the charterer an option to extend the period
time charter for an additional year at the same gross daily charter
rate.(32) A spot time charter at a gross daily charter rate linked
to the Baltic Exchange Capesize Index C14 times 101.5%.
About Safe Bulkers, Inc.The
Company is an international provider of marine drybulk
transportation services, transporting bulk cargoes, particularly
coal, grain and iron ore, along worldwide shipping routes for some
of the world’s largest users of marine drybulk transportation
services. The Company’s common stock, series C preferred stock and
series D preferred stock are listed on the NYSE, and trade under
the symbols “SB”, “SB.PR.C”, and “SB.PR.D”, respectively.
Forward-Looking StatementsThis
press release contains forward-looking statements (as defined in
Section 27A of the Securities Exchange Act of 1934, as amended, and
in Section 21E of the Securities Act of 1933, as amended)
concerning future events, the Company’s growth strategy and
measures to implement such strategy, including expected vessel
acquisitions and entering into further time charters. Words such as
“expects,” “intends,” “plans,” “believes,” “anticipates,” “hopes,”
“estimates” and variations of such words and similar expressions
are intended to identify forward-looking statements. Although the
Company believes that the expectations reflected in such
forward-looking statements are reasonable, no assurance can be
given that such expectations will prove to have been correct. These
statements involve known and unknown risks and are based upon a
number of assumptions and estimates that are inherently subject to
significant uncertainties and contingencies, business disruptions
due to natural disasters or other events, such as the recent
COVID-19 pandemic, many of which are beyond the control of the
Company. Actual results may differ materially from those expressed
or implied by such forward-looking statements. Factors that could
cause actual results to differ materially include, but are not
limited to, changes in the demand for drybulk vessels, competitive
factors in the market in which the Company operates, risks
associated with operations outside the United States and other
factors listed from time to time in the Company’s filings with the
Securities and Exchange Commission. The Company expressly disclaims
any obligations or undertaking to release any updates or revisions
to any forward-looking statements contained herein to reflect any
change in the Company’s expectations with respect thereto or any
change in events, conditions or circumstances on which any
statement is based.
For further information please
contact:
Company Contact:Dr. Loukas
BarmparisPresidentSafe Bulkers, Inc.Tel.: +30 21 11888400+357 25
887200E-Mail: directors@safebulkers.com
Investor Relations / Media
Contact:Nicolas Bornozis, PresidentCapital Link, Inc.230
Park Avenue, Suite 1536New York, N.Y. 10169Tel.: (212) 661-7566Fax:
(212) 661-7526E-Mail: safebulkers@capitallink.com
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