LONDON, May 9, 2018 /PRNewswire/ -- Highlights
- Navigator Holdings Ltd. (the "Company") (NYSE:
NVGS) reported net income of $0.7
million and earnings per share of $0.01 for the three months ended March 31, 2018.
- EBITDA(1) was $30.5
million for the three months ended March 31, 2018.
- Maintained strong fleet utilization of 91.7% for the three
months ended March 31, 2018.
- During the first quarter of 2018, the Company took an
additional vessel into in-house technical management taking the
total number of in-house managed vessels to ten.
- During the three months ended March 31,
2018, the Company made an initial capital contribution of
$10.0 million in connection with the
execution of definitive agreements relating to a 50/50 joint
venture with Enterprise Products Partners L.P. to build a new
ethylene marine export terminal along the U.S. Gulf Coast. The
terminal will have the capacity to export approximately one million
tons of ethylene per year and is expected to commence operation in
the fourth quarter of 2019.
1 EBITDA is a non-GAAP financial measures. EBITDA
represents net income before net interest expense, income taxes and
depreciation and amortization. Management believes that EBITDA is
useful to investors in evaluating the operating performance of the
Company. EBITDA does not represent and should not be considered as
an alternative to any financial measure prepared in accordance with
U.S. GAAP, and our calculation of EBITDA may not be comparable to
that reported by other companies. See the table below for a
reconciliation of EBITDA to net income, our most directly
comparable financial measure calculated accordance with U.S.
GAAP.
Reconciliation of Non-GAAP Financial Measures
The following table sets forth a reconciliation of net income to
EBITDA for the three months ended March 31,
2018:
|
$'000's
|
|
Net income
|
$
696
|
|
Interest
expense
|
10,524
|
|
Interest
income
|
(152)
|
|
Income
taxes
|
82
|
|
Depreciation and
amortization
|
19,381
|
|
EBITDA
|
$ 30,531
|
A Form 6-K with more detailed information on our first quarter
2018 financial results is being filed with the U.S. Securities and
Exchange Commission simultaneous with this release for the quarter
ended March 31, 2018.
Conference Call Details:
Tomorrow, Thursday, May 10, 2018,
at 9:00 A.M. ET, the Company's
management team will host a conference call to discuss the
financial results.
Participants should dial into the call 10 minutes before the
scheduled time using the following numbers: 1 (866) 819-7111 (US
Toll Free Dial In), 0(800) 953-0329 (UK Toll Free Dial In) or +44
(0)1452-542-301 (Standard International Dial In). Please quote
"Navigator" to the operator.
There will also be a live, and then archived, webcast of the
conference call, available through the Company's website
(www.navigatorgas.com). Participants to the live webcast should
register on the website approximately 10 minutes prior to the start
of the webcast.
A telephonic replay of the conference call will be available
until Thursday, May 17, 2018 by
dialing 1(866) 247-4222 (US Toll Free Dial In), 0(800) 953-1533 (UK
Toll Free Dial In) or +44 (0)1452 550-000 (Standard International
Dial In). Access Code: 11870348#
Navigator Gas
Attention: Investor Relations
Department
New York:
650 Madison Ave, 25th Floor, New York, NY 10022. Tel: +1 212 355 5893
London:
10 Bressenden
Place, London, SW1E
5DH. Tel: +44 (0)20 7340 4850
About Us
Navigator Holdings Ltd. is the owner and operator of the world's
largest fleet of handysize liquefied gas carriers and a global
leader in the seaborne transportation of petrochemical gases, such
as ethylene and ethane, liquefied petroleum gas ("LPG") and
ammonia. We play a vital role in the liquefied gas supply chain for
energy companies, industrial consumers and commodity traders, with
our sophisticated vessels providing an efficient and reliable
'floating pipeline' between the parties. We continue to build
strong, long-term partnerships based on mutual trust, our depth of
technical expertise and a modern versatile fleet. Navigator's fleet
consists of 38 semi- or fully-refrigerated liquefied gas carriers,
14 of which are ethylene and ethane
capable.
FORWARD LOOKING STATEMENTS
Statements included in this press release concerning plans and
objectives of management for future operations or economic
performance, or assumptions related thereto, including our
financial forecast, contain forward-looking statements. In
addition, we and our representatives may from time to time make
other oral or written statements that are also forward-looking
statements. Such statements include, in particular, statements
about our plans, strategies, business prospects, changes and trends
in our business and the markets in which we operate as described in
this press release. In some cases, you can identify the
forward-looking statements by the use of words such as "may,"
"could," "should," "would," "expect," "plan," "anticipate,"
"intend," "forecast," "believe," "estimate," "predict," "propose,"
"potential," "continue," or the negative of these terms or other
comparable terminology. These risks and uncertainties include, but
are not limited to:
- future operating or financial results;
- pending acquisitions, business strategy and expected capital
spending;
- operating expenses, availability of crew, number of off-hire
days, drydocking requirements and insurance costs;
- fluctuations in currencies and interest rates;
- general market conditions and shipping market trends, including
charter rates and factors affecting supply and demand;
- our financial condition and liquidity, including our ability to
refinance our indebtedness as it matures or obtain additional
financing in the future to fund capital expenditures, acquisitions
and other corporate activities;
- estimated future capital expenditures needed to preserve our
capital base;
- our expectations about the availability of vessels to purchase,
the time that it may take to construct new vessels, or the useful
lives of our vessels;
- our continued ability to enter into long-term, fixed-rate time
charters with our customers;
- changes in governmental rules and regulations or actions taken
by regulatory authorities;
- potential liability from future litigation;
- our expectations relating to the payment of dividends;
- our expectation regarding providing in-house technical
management for certain vessels in our fleet and our success in
providing such in-house technical management;
- our ability to meet our expectations regarding the construction
and financing of our proposed Export Terminal Joint Venture and our
expectations regarding the financial success of such terminal.
- other factors detailed from time to time in other periodic
reports we file with the Securities and Exchange Commission.
We expressly disclaim any obligation to update or revise any of
these forward-looking statements, whether because of future events,
new information, a change in our views or expectations, or
otherwise. We make no prediction or statement about the performance
of our common stock.
|
Navigator Holdings
Ltd.
|
|
Consolidated
Balance Sheets
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
December 31,
2017
|
March 31,
2018
|
|
(in thousands except share data)
|
|
Assets
|
|
|
|
Current
assets
|
|
|
|
Cash and cash
equivalents...............................................................................................................................
|
$
62,109
|
$
50,814
|
|
Accounts receivable,
net...................................................................................................................................
|
14,889
|
13,173
|
|
Accrued
income..................................................................................................................................................
|
15,791
|
2,935
|
|
Prepaid expenses and
other current
assets....................................................................................................
|
10,964
|
16,486
|
|
Bunkers and lubricant
oils................................................................................................................................
|
8,008
|
7,520
|
|
Insurance
recoverable.......................................................................................................................................
|
376
|
99
|
|
|
|
|
Total current
assets............................................................................................................................................
|
112,137
|
91,027
|
|
|
|
|
Non-current
assets
|
|
|
|
Vessels in operation,
net....................................................................................................................................
|
1,740,139
|
1,722,582
|
|
Investment in equity
accounted joint venture
|
—
|
10,494
|
|
Property, plant and
equipment,
net................................................................................................................
|
1,611
|
1,614
|
|
|
|
|
Total non-current
assets....................................................................................................................................
|
1,741,750
|
1,734,690
|
|
|
|
|
Total
assets.........................................................................................................................................................
|
$
1,853,887
|
$
1,825,717
|
|
|
|
|
Liabilities and
stockholders' equity
|
|
|
|
Current
liabilities
|
|
|
|
Current portion of
secured term loan facilities, net of deferred financing
costs...............................................
|
$
81,559
|
$
76,287
|
|
Accounts
payable..............................................................................................................................................
|
8,071
|
7,594
|
|
Accrued expenses and
other
liabilities............................................................................................................
|
12,478
|
12,057
|
|
Accrued
interest..................................................................................................................................................
|
3,500
|
1,840
|
|
Deferred
income.................................................................................................................................................
|
4,824
|
3,903
|
|
|
|
|
Total current
liabilities...................................................................................................................................
|
110,432
|
101,681
|
|
|
|
|
Non-current
liabilities
|
|
|
|
Secured term loan
facilities, net of current portion and deferred financing
costs................................................
|
681,658
|
664,449
|
|
Senior unsecured
bond, net of deferred financing
costs.....................................................................................
|
98,584
|
98,698
|
|
|
|
|
Total non-current
liabilities......................................................................................................................................
|
780,242
|
763,147
|
|
|
|
|
Total
liabilities..................................................................................................................................................
|
890,674
|
864,828
|
|
Commitments and
contingencies (see note 9)
|
|
|
|
Stockholders'
equity
|
|
|
|
Common stock—$.01 par
value; 400,000,000 shares authorized; 55,656,304 shares issued
and
outstanding, (2017:
55,529,762)...............................................................................................................
|
555
|
557
|
|
Additional paid-in
capital.................................................................................................................................
|
589,436
|
589,743
|
|
Accumulated other
comprehensive
loss........................................................................................................
|
(277 )
|
(254 )
|
|
Retained
earnings...............................................................................................................................................
|
373,499
|
370,843
|
|
|
|
|
Total stockholders'
equity................................................................................................................................
|
963,213
|
960,889
|
|
|
|
|
Total liabilities
and stockholders'
equity...................................................................................................
|
$
1,853,887
|
$
1,825,717
|
|
|
|
|
Navigator Holdings
Ltd.
|
|
Consolidated
Statements of Income
|
|
(Unaudited)
|
|
|
|
Three months ended
March 31,
(in thousands except share data)
|
|
2017
|
2018
|
|
Revenues
|
|
|
|
Operating
revenue...............................................................................................................................................
|
$
77,320
|
$
77,807
|
|
|
|
|
|
|
|
Expenses
|
|
|
|
Brokerage
commissions.....................................................................................................................................
|
1,525
|
1,141
|
|
Voyage
expenses.................................................................................................................................................
|
15,000
|
14,978
|
|
Vessel operating
expenses.................................................................................................................................
|
23,905
|
26,710
|
|
Depreciation and
amortization.........................................................................................................................
|
17,634
|
19,381
|
|
General and
administrative
costs.....................................................................................................................
|
2,752
|
4,232
|
|
Other corporate
expenses..................................................................................................................................
|
623
|
215
|
|
|
|
|
Total operating
expenses.................................................................................................................................
|
61,439
|
66,657
|
|
|
|
|
Operating
income..............................................................................................................................................
|
15,881
|
11,150
|
|
|
|
|
Other
income/(expense)
|
|
|
|
Interest
expense...................................................................................................................................................
|
(8,927 )
|
(10,524 )
|
|
Write off of deferred
financing
costs...............................................................................................................
|
(653 )
|
—
|
|
Write off of call
premium and redemption charges on 9% unsecured
bond...........................................
|
(3,517 )
|
—
|
|
Interest
income....................................................................................................................................................
|
113
|
152
|
|
|
|
|
Income before
income
taxes...........................................................................................................................
|
2,897
|
778
|
|
Income
taxes.......................................................................................................................................................
|
(159 )
|
(82 )
|
|
|
|
|
Net
income...........................................................................................................................................................
|
$
2,738
|
$
696
|
|
|
|
|
Earnings per
share:
|
|
|
|
Basic:.....................................................................................................................................................................
|
$
0.05
|
$
0.01
|
|
Diluted:..................................................................................................................................................................
|
$
0.05
|
$
0.01
|
|
|
|
|
Weighted average
number of shares outstanding:
|
|
|
|
Basic:.....................................................................................................................................................................
|
55,445,661
|
55,546,634
|
|
Diluted:..................................................................................................................................................................
|
55,819,401
|
55,915,174
|
|
|
|
|
Navigator Holdings
Ltd.
|
|
Consolidated
Statements of Cash Flows
|
|
(Unaudited)
|
|
|
|
Three Months ended
March 31,
2017
|
Three
Months ended
March 31,
2018
|
|
(in
thousands)
|
(in
thousands)
|
|
Cash flows from
operating activities
|
|
|
|
Net
income..................................................................................................................................................
|
$
2,738
|
$
696
|
|
Adjustments to
reconcile net income to net cash provided by operating
activities
|
|
|
|
Depreciation and
amortization..........................................................................................................................
|
17,634
|
19,381
|
|
Credit / (Payment) of
drydocking
costs............................................................................................................
|
9
|
(1,524)
|
|
Adjustment to equity
for the adoption of the new revenue standard
|
—
|
(3,352)
|
|
Call option premium
on redemption of 9.00% unsecured
bond........................................................................
|
2,500
|
—
|
|
Amortization of
share-based
compensation....................................................................................................
|
409
|
310
|
|
Amortization of
deferred financing
costs........................................................................................................
|
1,345
|
568
|
|
Unrealized foreign
exchange...........................................................................................................................
|
17
|
(41)
|
|
|
|
|
Changes in
operating assets and liabilities
|
|
|
|
Accounts
receivable.......................................................................................................................................
|
(5,211 )
|
1,716
|
|
Bunkers and lubricant
oils...............................................................................................................................
|
(346)
|
488
|
|
Prepaid expenses and
other current
assets...................................................................................................
|
(3,492 )
|
7,334
|
|
Accounts payable,
accrued interest and other
liabilities.................................................................................
|
323
|
(3,479)
|
|
|
|
|
Net cash provided
by operating
activities..............................................................................................
|
15,926
|
22,097
|
|
|
|
|
Cash
flows from investing activities
|
|
|
|
Payment to acquire
vessels............................................................................................................................
|
(636)
|
(193)
|
|
Investment in equity
accounted joint
venture..................................................................................................
|
—
|
(10,494)
|
|
Payment for vessels
under
construction........................................................................................................
|
(84,597 )
|
—
|
|
Purchase of other
property, plant and
equipment...........................................................................................
|
(1,160 )
|
(45 )
|
|
Receipt of shipyard
penalty
payments............................................................................................................
|
280
|
—
|
|
Insurance
recoveries......................................................................................................................................
|
486
|
277
|
|
|
|
|
Net cash used in
investing
activities.......................................................................................................
|
(85,627)
|
(10,455)
|
|
|
|
|
Cash flows from
financing activities
|
|
|
|
Proceeds from secured
term loan
facilities.....................................................................................................
|
106,808
|
—
|
|
Issuance of 7.75%
senior unsecured
bonds..................................................................................................
|
100,000
|
—
|
|
Repayment of 9.00%
senior unsecured
bonds...............................................................................................
|
(127,500)
|
—
|
|
Issuance costs of
7.75% senior unsecured
bonds........................................................................................
|
(1,798)
|
—
|
|
Repayment of secured
term loan
facilities......................................................................................................
|
(19,433 )
|
(22,937)
|
|
|
|
|
Net cash provided
by/(used in) financing
activities.............................................................................
|
58,077
|
(22,937)
|
|
|
|
|
Net decrease in
cash and cash
equivalents..........................................................................................
|
(11,624)
|
(11,295 )
|
|
Cash and cash
equivalents at beginning of
period.............................................................................
|
57,272
|
62,109
|
|
|
|
|
Cash and cash
equivalents at end of
period.......................................................................................
|
$
45,648
|
$
50,814
|
|
|
|
|
Supplemental
Information
|
|
|
|
Total interest paid
during the period, net of amounts
capitalized...................................................................
|
$
6,329
|
$
11,616
|
|
|
|
|
Total tax paid during
the
period......................................................................................................................
|
$
82
|
$
4
|
|
|
|
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SOURCE Navigator Gas