Castor Maritime Inc. (NASDAQ: CTRM) (“Castor” or the “Company”), a
diversified global shipping company, today announced its results
for the three months ended March 31, 2022.
Highlights of the First Quarter Ended
March 31, 2022:
- Revenues, net: $54.6 million for the three months ended
March 31, 2022, as compared to $7.0 million for the three months
ended March 31, 2021;
- Net income: $20.0 million for the three months ended
March 31, 2022, as compared to $1.1 million for the three months
ended March 31, 2021;
- Earnings per common
share(1): $0.21 earnings per
share for the three months ended March 31, 2022, as compared to
earnings per share of $0.02 for the three months ended March 31,
2021;
- EBITDA(2): $27.9
million for the three months ended March 31, 2022, as compared to
$2.6 million for the three months ended March 31, 2021;
and
- Cash and restricted cash of $84.0 million as of March
31, 2022, as compared to $43.4 million as of December 31,
2021.
(1) All comparative share and per share
amounts disclosed throughout this press release and in the
financial information presented in Appendix B have been
retroactively updated to reflect the one-for-ten (1-for-10) reverse
stock split effected on May 28, 2021.
(2) EBITDA is not a recognized measure
under United States generally accepted accounting principles (“U.S.
GAAP”). Please refer to Appendix B for the definition and
reconciliation of this measure to the most directly comparable
financial measure calculated and presented in accordance with U.S.
GAAP.
Management Commentary:
Mr. Petros Panagiotidis, Chief Executive Officer
of Castor commented:
“In the first quarter of 2022 we enjoyed for the
first time the full contribution to quarterly earnings of all the
vessels acquired during 2021. In addition, we benefited from a
robust dry bulk market as well as from the recovery in the charter
rates of our Aframax/LR2 vessels, resulting in our best quarter to
date, with Net income of $20 million and strong operating cash
flows. Our balance sheet is strong with a healthy liquidity
position and low leverage.
We did not sell any common shares under the ATM
Program during the first quarter and up to the date of this
release, at the same time, we resized our ATM Program from $300
million to $150 million on March 31, 2022. We will continue to seek
attractive acquisition opportunities across the shipping space to
further pursue Castor’s growth trajectory.”
Earnings Commentary:
First Quarter ended March 31, 2022, and
2021 Results
Vessel revenues, net of charterers’ commissions,
for the three months ended March 31, 2022, increased to $54.6
million from $7.0 million in the same period of 2021. This increase
was largely driven by the increase in our Available Days (defined
below) from 615 in the three months ended March 31, 2021, to 2,606
in the three months ended March 31, 2022, following the acquisition
and delivery to our fleet of 18 vessels since March 31, 2021. The
increase in vessel revenues during the three months ended March 31,
2022, as compared with the same period of 2021 was further
underpinned by the healthy dry bulk shipping market.
The increase in voyage expenses, from a net gain
of $0.4 million in the three months ended March 31, 2021, to
expenses of $8.2 million in the same period of 2022, is mainly
associated with (i) increased port expenses and bunkers consumption
expenses as a result of having certain of our tanker vessels
operating under voyage charters in the first quarter of 2022 (as
opposed to none of our tankers operating under voyage charters
during the first quarter of 2021), and (ii) increased brokerage
commission expenses, corresponding to the increase in vessel
revenues discussed above.
The increase in vessel operating expenses by
$12.1 million, from $3.3 million in the three months ended March
31, 2021 to $15.4 million in the same period of 2022, as well as
the increase in vessels’ depreciation and amortization costs by
$5.0 million, from $1.1 million in the three months ended March 31,
2021 to 6.1 million in the same period of 2022, mainly reflect the
increase in our Ownership Days following the expansion of our
fleet.
General and administrative expenses in the three
months ended March 31, 2022, amounted to $0.9 million, whereas, in
the same period of 2021 general and administrative expenses totaled
$0.7 million. This increase stemmed from higher corporate fees
primarily due to the growth of our company.
Management fees in the three months ended March
31, 2022, amounted to $2.2 million, whereas, in the same period of
2021 management fees totaled $0.8 million. This increase in
management fees is due to the substantial increase in our Ownership
Days for which our managers charge us with a daily management fee,
following the acquisitions discussed above.
During the three months ended March 31, 2022, we
incurred net interest costs and finance costs amounting to $1.6
million compared to $0.4 million during the same period in 2021.
The increase is mainly due to our higher level of weighted average
indebtedness during the three months ended March 31, 2022, as
compared with the same period of 2021.
Recent Financial and
Business Developments Commentary:
Equity update
In connection with our ongoing at-the-market
common stock offering program (“ATM Program”), on March 31, 2022,
we entered into an amended and restated equity distribution
agreement with the agent under the ATM Program (the “Equity
Distribution Agreement”). Under the Equity Distribution
Agreement, until June 14, 2022, we may, from time to time, offer
and sell our common shares through the ATM Program, having an
aggregate offering price of up to $150.0 million. In connection
with the ATM Program, from June 15, 2021, through to December 31,
2021, we had raised net proceeds of $12.4 million by issuing and
selling 4,654,240 common shares, after sales commissions and other
offering expenses paid of $0.5 million, at an average price per
share of $2.76.
From January 1, 2022 to date, no sales of common
shares have taken place under the ATM Program, and there have been
no subsequent warrant exercises under our currently effective
warrant schemes. As of May 6, 2022, we had issued and outstanding
94,610,088 common shares.
Cash Flow update
Our consolidated cash position as of March 31,
2022, increased by $40.6 million, to $84.0 million, as compared
with our cash position on December 31, 2021. During the three-month
period ended March 31, 2022, our cash position improved mainly as a
result of: (i) $13.1 million of net operating cash flows generated,
and (ii) net cash inflows of approximately $54.3 million following
our entry into one secured loan facility in January of 2022. From
these amounts, during the three months ended March 31, 2022, we
used $22.5 million to fund the acquisition of the M/V Magic
Callisto and other capital expenditures of our fleet, whereas, $4.3
million were used for scheduled principal repayments of our
debt.
As of March 31, 2022, our total debt, gross of
unamortized deferred loan fees, was $154.5 million of which $30.7
million is repayable within one year, as compared to $103.8 million
of gross total debt as of December 31, 2021.
Sale of the M/T Wonder
Arcturus
On May 2, 2022, we entered into an agreement
with a third party for the sale of the M/T Wonder Arcturus at a
price of $13.15 million. The conclusion of the sale agreement is
subject to the execution of definitive documentation customary for
this type of transaction. The vessel is expected to be delivered to
its new owner during the second quarter of 2022. The Company
expects to record during the second quarter of 2022 a net gain on
the sale of the M/T Wonder Arcturus of approximately $3.8
million, excluding any transaction related costs.
New employment agreements
On April 28, 2022, the M/V Magic
Vela commenced a time charter contract at a gross daily
charter rate equal to 87.5% of the average of Baltic Panamax Index
5TC routes (“BPI5TC”) (1). The charter has a minimum duration of
twelve months and a maximum duration of fifteen months at the
charterer’s option.
On April 29, 2022, the M/V
Magic P commenced a time charter contract at a gross
daily charter rate of $25,000. The charter has a minimum duration
until September 1, 2022, and a maximum duration until October 15,
2022.
On May 2, 2022, the M/V Magic Moon was
fixed on a time charter contract at a gross daily charter rate of
$20,500. The charter is expected to commence on or around May
13, 2022, and will have a duration of about 25 days.
(1) The benchmark vessel used in the
calculation of the average of the Baltic Panamax Index (“BPI”) 5TC
routes is a non-scrubber fitted 82,500mt dwt vessel (Kamsarmax)
with specific age, speed - consumption, and design
characteristics.
Fleet Employment Status (as of May 6,
2022)
During the three months ended March 31, 2022, we
operated on average 29.0 vessels earning a Daily TCE Rate of
$17,809 as compared to an average 7.0 vessels earning a Daily TCE
Rate of $12,032 during the same period in 2021. Our current
employment profile is presented below.
Dry Bulk Carriers |
Vessel Name |
Type |
DWT |
Year Built |
Country of Construction |
Type of Employment |
Daily Gross Charter Rate |
Estimated Redelivery Date |
Earliest |
Latest |
Magic Orion |
Capesize |
180,200 |
2006 |
Japan |
TC (1) period |
101% of BCI5TC (2) |
Oct-22 |
Jan-23 |
Magic Venus |
Kamsarmax |
83,416 |
2010 |
Japan |
TC period |
100% of BPI5TC |
Apr-23 |
Jul-23 |
Magic Thunder |
Kamsarmax |
83,375 |
2011 |
Japan |
TC period |
100% of BPI5TC |
Oct-22 |
Jan-23 |
Magic Argo |
Kamsarmax |
82,338 |
2009 |
Japan |
TC period |
103% of BPI5TC |
Apr-23 |
Jul-23 |
Magic Perseus |
Kamsarmax |
82,158 |
2013 |
Japan |
TC period |
100% of BPI5TC |
Oct-22 |
Jan-23 |
Magic Starlight |
Kamsarmax |
81,048 |
2015 |
China |
TC period |
$32,000 (3) |
Sep-22 |
Mar-23 |
Magic Twilight |
Kamsarmax |
80,283 |
2010 |
Korea |
TC period |
$25,000 |
Jan-23 |
Apr-23 |
Magic Nebula |
Kamsarmax |
80,281 |
2010 |
Korea |
TC period |
$23,500 |
Sep-22 |
Nov -22 |
Magic Nova |
Panamax |
78,833 |
2010 |
Japan |
TC period |
$25,300 (4) |
Oct-22 |
Feb-23 |
Magic Mars |
Panamax |
76,822 |
2014 |
Korea |
TC period |
$21,500 (5) |
Νοv-22 |
Feb-23 |
Magic Phoenix |
Panamax |
76,636 |
2008 |
Japan |
TC period |
$28,100 (6) |
Sep-22 |
Dec-22 |
Magic Horizon |
Panamax |
76,619 |
2010 |
Japan |
TC trip |
$17,500 (7) |
Jun-22 |
Jun-22 |
Magic Moon |
Panamax |
76,602 |
2005 |
Japan |
TC trip |
$25,500 |
May-22 |
May-22 |
Magic P |
Panamax |
76,453 |
2004 |
Japan |
TC period |
$25,000 |
Sep-22 |
Oct-22 |
Magic Sun |
Panamax |
75,311 |
2001 |
Korea |
Unfixed |
N/A |
N/A |
N/A |
Magic Vela |
Panamax |
75,003 |
2011 |
China |
TC period |
87.5% of BPI5TC |
Apr-23 |
Jul-23 |
Magic Eclipse |
Panamax |
74,940 |
2011 |
Japan |
TC period |
$28,500 |
Αpr-22 |
Jul-22 |
Magic Pluto |
Panamax |
74,940 |
2013 |
Japan |
TC period |
$24,000 (8) |
Nov-22 |
Feb-23 |
Magic Callisto |
Panamax |
74,930 |
2012 |
Japan |
TC period |
$27,000 (9) |
Oct-22 |
Jan-23 |
Magic Rainbow |
Panamax |
73,593 |
2007 |
China |
TC trip |
$16,500 |
Jun-22 |
Jun-22 |
Aframax / LR2 Tankers |
Vessel Name |
Type |
DWT |
Year Built |
Country of Construction |
Type of Employment |
Daily Gross Charter Rate |
Estimated Redelivery Date |
Earliest |
Latest |
Wonder Polaris |
Aframax / LR2 |
115,351 |
2005 |
Korea |
Voyage |
$16,900 (10) |
29-May-22 (11) |
N/A |
Wonder Sirius |
Aframax / LR2 |
115,341 |
2005 |
Korea |
Voyage |
$15,000 (10) |
22-May-22 (11) |
N/A |
Wonder Bellatrix |
Aframax / LR2 |
115,341 |
2006 |
Korea |
Unfixed |
N/A |
N/A |
N/A |
Wonder Musica |
Aframax / LR2 |
106,290 |
2004 |
Korea |
Voyage |
$35,000 (10) |
7-May-22 (11) |
N/A |
Wonder Avior |
Aframax / LR2 |
106,162 |
2004 |
Korea |
Voyage |
$16,100 (10) |
6-Jun-22 (11) |
N/A |
Wonder Arcturus |
Aframax / LR2 |
106,149 |
2002 |
Korea |
Voyage |
$11,600 (10) |
15-May-22 (11) |
N/A |
Wonder Vega |
Aframax |
106,062 |
2005 |
Korea |
Tanker Pool (12) |
N/A |
N/A |
N/A |
Handysize Tankers |
Vessel Name |
Type |
DWT |
Year Built |
Country of Construction |
Type of Employment |
Daily Gross Charter Rate |
Estimated Redelivery Date |
Earliest |
Latest |
Wonder Mimosa |
Handysize |
36,718 |
2006 |
Korea |
Tanker Pool (13) |
N/A |
N/A |
N/A |
Wonder Formosa |
Handysize |
36,660 |
2006 |
Korea |
Tanker Pool (13) |
N/A |
N/A |
N/A |
(1) |
TC stands for time charter. |
(2) |
The benchmark vessel used in the calculation of the average of the
Baltic Capesize Index (“BCI”) 5TC routes (“BCI5TC”) is a
non-scrubber fitted 180,000mt dwt vessel (Capesize) with specific
age, speed - consumption, and design characteristics. |
(3) |
The vessels’ daily gross charter rate is equal to 114% of the
Baltic Panamax Index 4TC routes (“BPI4TC”). In accordance with the
prevailing charter party, on 19/10/2021 owners converted the
index-linked rate to fixed from 01/01/2022 until 30/09/2022, at a
rate of $32,000 per day. Upon completion of said period, the rate
will be converted back to index linked. The benchmark vessel used
in the calculation of the average of the BPI4TC routes is a
non-scrubber fitted 74,000mt dwt vessel (Panamax) with specific
age, speed - consumption, and design characteristics. |
(4) |
The vessels’ daily gross charter rate is equal to 92% of BPI5TC. In
accordance with the prevailing charter party, on 17/02/2022 owners
converted the index-linked rate to fixed from 01/03/2022 until
30/09/2022, at a rate of $25,300 per day. Upon completion of said
period, the rate will be converted back to index linked. |
(5) |
The vessels’ daily gross charter rate is equal to 91% of BPI5TC. In
accordance with the prevailing charter party, on 20/01/2022 owners
converted the index-linked rate to fixed from 01/02/2022 until
30/09/2022, at a rate of $21,500 per day. Upon completion of said
period, the rate will be converted back to index linked. |
(6) |
The vessels’ daily gross charter rate is equal to 102% of BPI4TC.
In accordance with the prevailing charter party, on 03/03/2022
owners converted the index-linked rate to fixed from 01/04/2022
until 30/09/2022, at a rate of $28,100 per day. Upon completion of
said period, the rate will be converted back to index linked. |
(7) |
Upon completion of current fixture, the vessel is fixed in direct
continuation for a time charter period of minimum 12 months up to
maximum 15 months, at a gross charter rate equal to 103% of
BPI4TC. |
(8) |
The vessels’ daily gross charter rate is equal to 91% of BPI5TC. In
accordance with the prevailing charter party, on 08/02/2022 owners
converted the index-linked rate to fixed from 01/03/2022 until
30/09/2022, at a rate of $24,000 per day. Upon completion of said
period, the rate will be converted back to index linked. |
(9) |
The vessels’ daily gross charter rate is equal to 101% of BPI4TC.
In accordance with the prevailing charter party, on 22/02/2022
owners converted the index-linked rate to fixed from 01/03/2022
until 30/09/2022, at a rate of $27,000 per day. Upon completion of
said period, the rate will be converted back to index linked. |
(10) |
For vessels that are employed on the voyage/spot market, the gross
daily charter rate is considered as the Daily TCE Rate on the basis
of the expected completion date. |
(11) |
Estimated completion date of the voyage. |
(12) |
The vessel is currently participating in an unaffiliated tanker
pool specializing in the employment of Aframax tanker vessels. |
(13) |
The vessel is currently participating in an unaffiliated tanker
pool specializing in the employment of Handysize tanker
vessels. |
Financial Results Overview
(consolidated):
Set forth below are selected financial data for
each of the three months ended March 31, 2022, and 2021,
respectively:
|
Three Months Ended |
(Expressed in U.S. dollars) |
|
March 31,2022(unaudited) |
|
|
March 31,2021(unaudited) |
Vessel revenues, net |
$ |
54,641,313 |
|
$ |
6,972,853 |
Operating income |
$ |
21,824,411 |
|
$ |
1,491,439 |
Net income |
$ |
19,976,288 |
|
$ |
1,127,060 |
EBITDA (1) |
$ |
27,904,951 |
|
$ |
2,570,724 |
Earnings per common share |
$ |
0.21 |
|
$ |
0.02 |
(1) EBITDA is not a recognized measure
under U.S. GAAP. Please refer to Appendix B of this press release
for the definition and reconciliation of this measure to the most
directly comparable financial measure calculated and presented in
accordance with U.S. GAAP.
Consolidated fleet selected financial and
operational data:
Set forth below are selected financial and
operational data of our fleet for each of the three months ended
March 31, 2022, and 2021, respectively, that we believe are useful
in analyzing trends in our results of operations:
|
|
Three Months EndedMarch 31, |
(Expressed in U.S. dollars except for operational
data) |
|
2022 |
|
|
|
2021 |
|
Ownership Days (1) (7) |
|
2,606 |
|
|
|
628 |
|
Available Days (2)(7) |
|
2,606 |
|
|
|
615 |
|
Operating Days (3) (7) |
|
2,584 |
|
|
|
603 |
|
Daily TCE rate(4) |
$ |
17,809 |
|
|
$ |
12,032 |
|
Fleet Utilization (5) |
|
99% |
|
|
|
98% |
|
Daily vessel operating expenses (6) |
$ |
5,896 |
|
|
$ |
5,265 |
|
(1) |
Ownership Days are the total number of calendar days in a period
during which we owned a vessel. |
(2) |
Available Days are the Ownership Days in a period less the
aggregate number of days our vessels are off-hire due to scheduled
repairs, dry-dockings or special or intermediate surveys. |
(3) |
Operating Days are the Available Days in a period after subtracting
off-hire and idle days. |
(4) |
Daily TCE rate is not a recognized measure under U.S. GAAP. Please
refer to Appendix B of this press release for the definition and
reconciliation of this measure to the most directly comparable
financial measure calculated and presented in accordance with U.S.
GAAP. |
(5) |
Fleet Utilization is calculated by dividing the Operating Days
during a period by the number of Available Days during that
period. |
(6) |
Daily vessel operating expenses are calculated by dividing vessel
operating expenses for the relevant period by the Ownership Days
for such period. |
(7) |
Our definitions of days (i.e., Ownership Days, Available Days,
Operating Days) may not be comparable to those reported by other
companies. |
APPENDIX A
CASTOR MARITIME INC.
Unaudited Condensed Consolidated Statements of
Comprehensive Income
(In U.S. dollars except for number of share data) |
|
Three Months EndedMarch 31, |
|
|
2022 |
|
|
|
2021 |
|
REVENUES |
|
|
|
|
|
Vessel revenues, net |
$ |
54,641,313 |
|
|
$ |
6,972,853 |
|
EXPENSES |
|
|
|
|
|
Voyage expenses -including commissions to related party |
|
(8,230,771 |
) |
|
|
426,972 |
|
Vessel operating expenses |
|
(15,364,118 |
) |
|
|
(3,306,257 |
) |
General and administrative expenses (including related party
fees) |
|
(921,707 |
) |
|
|
(739,231 |
) |
Management fees -related parties |
|
(2,218,500 |
) |
|
|
(774,350 |
) |
Depreciation and amortization |
|
(6,081,806 |
) |
|
|
(1,088,548 |
) |
Operating income |
$ |
21,824,411 |
|
|
$ |
1,491,439 |
|
Interest and finance costs, net (including related party interest
costs) (1) |
|
(1,608,015 |
) |
|
|
(355,116 |
) |
Other expenses, net |
|
(1,266 |
) |
|
|
(9,263 |
) |
US source income taxes |
|
(238,842 |
) |
|
|
— |
|
Net income |
$ |
19,976,288 |
|
|
$ |
1,127,060 |
|
Earnings per common share (basic and diluted)
(2) |
$ |
0.21 |
|
|
$ |
0.02 |
|
|
|
|
|
|
|
Weighted average number of common shares outstanding, basic
(2): |
|
94,610,088 |
|
|
|
57,662,495 |
|
Weighted average number of common shares outstanding, diluted
(2): |
|
94,610,088 |
|
|
|
63,281,613 |
|
CASTOR MARITIME INC.
Unaudited Condensed Consolidated Balance
Sheets (Expressed in U.S. Dollars—except for
number of share data)
|
|
March 31,
2022 |
|
|
December 31,
2021 |
ASSETS |
|
|
|
|
|
CURRENT ASSETS: |
|
|
|
|
|
Cash and cash equivalents |
$ |
73,347,813 |
|
$ |
37,173,736 |
Restricted cash |
|
2,903,805 |
|
|
2,382,732 |
Due from related party |
|
850,958 |
|
|
— |
Other current assets |
|
26,359,849 |
|
|
15,443,620 |
Total current assets |
|
103,462,425 |
|
|
55,000,088 |
|
|
|
|
|
|
NON-CURRENT ASSETS: |
|
|
|
|
|
Vessels, net |
|
411,961,978 |
|
|
393,965,929 |
Advances for vessel acquisition |
|
— |
|
|
2,368,165 |
Restricted cash |
|
7,710,000 |
|
|
3,830,000 |
Due from related party |
|
— |
|
|
810,437 |
Other non-currents assets |
|
5,764,220 |
|
|
6,938,823 |
Total non-current assets, net |
|
425,436,198 |
|
|
407,913,354 |
Total assets |
|
528,898,623 |
|
|
462,913,442 |
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS’ EQUITY |
|
|
|
|
|
CURRENT LIABILITIES: |
|
|
|
|
|
Current portion of long-term debt, net |
|
29,853,634 |
|
|
16,091,723 |
Due to related parties |
|
426,941 |
|
|
4,507,569 |
Other current liabilities |
|
13,261,426 |
|
|
13,430,104 |
Total current liabilities |
|
43,542,001 |
|
|
34,029,396 |
NON-CURRENT LIABILITIES: |
|
|
|
|
|
Long-term debt, net |
|
122,445,964 |
|
|
85,949,676 |
Total non-current liabilities |
|
122,445,964 |
|
|
85,949,676 |
Total liabilities |
|
165,987,965 |
|
|
119,979,072 |
|
|
|
|
|
|
SHAREHOLDERS’ EQUITY |
|
|
|
|
|
Common shares, $0.001 par value; 1,950,000,000 shares authorized;
94,610,088 shares issued and outstanding as at March 31, 2022 and
December 31, 2021 (2) |
|
94,610 |
|
|
94,610 |
Series B Preferred Shares- 12,000 shares issued and outstanding as
at March 31, 2022 and December 31, 2021 |
|
12 |
|
|
12 |
Additional paid-in capital |
|
303,658,153 |
|
|
303,658,153 |
Retained Earnings |
|
59,157,883 |
|
|
39,181,595 |
Total shareholders’ equity |
|
362,910,658 |
|
|
342,934,370 |
Total liabilities and shareholders’ equity |
$ |
528,898,623 |
|
$ |
462,913,442 |
CASTOR MARITIME INC.
Unaudited Consolidated Statements of Cash
Flows
(Expressed in U.S. Dollars—except for number of share
data) |
Three Months EndedMarch 31, |
|
|
2022 |
|
|
|
2021 |
|
Cash flows provided by Operating Activities: |
|
|
|
|
|
Net income |
$ |
19,976,288 |
|
|
$ |
1,127,060 |
|
Adjustments to reconcile net income to net cash provided by
Operating activities: |
|
|
|
|
|
Depreciation and amortization |
|
6,081,806 |
|
|
|
1,088,548 |
|
Amortization of deferred finance charges |
|
218,277 |
|
|
|
47,603 |
|
Changes in operating assets and liabilities: |
|
|
|
|
|
Accounts receivable trade, net |
|
(4,567,826 |
) |
|
|
(264,402 |
) |
Inventories |
|
(4,183,723 |
) |
|
|
(62,006 |
) |
Due from/to related parties |
|
(4,121,149 |
) |
|
|
(1,589,006 |
) |
Prepaid expenses and other assets |
|
(1,230,788 |
) |
|
|
(718,165 |
) |
Dry-dock costs paid |
|
(537,430 |
) |
|
|
(1,045,204 |
) |
Other deferred charges |
|
(183,893 |
) |
|
|
— |
|
Accounts payable |
|
2,364,526 |
|
|
|
1,156,948 |
|
Accrued liabilities |
|
744,984 |
|
|
|
163,609 |
|
Deferred revenue |
|
(1,497,300 |
) |
|
|
533,572 |
|
Net cash provided by Operating Activities |
|
13,063,772 |
|
|
|
438,557 |
|
|
|
|
|
|
|
Cash flows used in Investing Activities: |
|
|
|
|
|
Vessel acquisitions and other vessel improvements |
|
(22,462,747 |
) |
|
|
(75,598,034 |
) |
Advances for vessel acquisition |
|
— |
|
|
|
(8,600,659 |
) |
Net cash used in Investing Activities |
|
(22,462,747 |
) |
|
|
(84,198,693 |
) |
|
|
|
|
|
|
Cash flows provided by Financing Activities: |
|
|
|
|
|
Gross proceeds from issuance of common stock and warrants |
|
— |
|
|
|
127,453,446 |
|
Common stock issuance expenses |
|
(65,797 |
) |
|
|
(3,313,039 |
) |
Proceeds from long-term debt |
|
55,000,000 |
|
|
|
15,290,000 |
|
Repayment of long-term debt |
|
(4,259,500 |
) |
|
|
(550,000 |
) |
Payment of deferred financing costs |
|
(700,578 |
) |
|
|
(307,800 |
) |
Net cash provided by Financing Activities |
|
49,974,125 |
|
|
|
138,572,607 |
|
|
|
|
|
|
|
Net increase in cash, cash equivalents, and restricted
cash |
|
40,575,150 |
|
|
|
54,812,471 |
|
Cash, cash equivalents and restricted cash at the beginning
of the period |
|
43,386,468 |
|
|
|
9,426,903 |
|
Cash, cash equivalents and restricted cash at the end of
the period |
$ |
83,961,618 |
|
|
$ |
64,239,374 |
|
(1) |
Includes interest and finance costs and interest income, if
any. |
|
|
(2) |
All numbers of share and earnings per share amounts in these
unaudited condensed financial statements have been retroactively
adjusted to reflect the reverse stock split effected on May 28,
2021. |
APPENDIX B
Non-GAAP Financial
Information
Daily TCE Rate. The Daily Time
Charter Equivalent Rate (“Daily TCE Rate”), is a measure of the
average daily revenue performance of a vessel. The Daily TCE Rate
is calculated by dividing total revenues (time charter and/or
voyage charter revenues, and/or pool revenues, net of charterers’
commissions), less voyage expenses, by the number of Available Days
during that period. Under a time charter, the charterer pays
substantially all the vessel voyage related expenses. However, we
may incur voyage related expenses when positioning or repositioning
vessels before or after the period of a time charter, during
periods of commercial waiting time or while off-hire during dry
docking or due to other unforeseen circumstances. We may also incur
voyage related expenses when our vessels are engaged in voyage
charters, in which case the majority of voyage expenses are borne
by us. The Daily TCE Rate is not a measure of financial performance
under U.S. GAAP (non-GAAP measure) and should not be considered as
an alternative to Vessel revenues, net, the most directly
comparable U.S. GAAP measure, or any other measure of financial
performance presented in accordance with U.S. GAAP. However, the
Daily TCE Rate is a standard shipping industry performance measure
used primarily to compare period-to-period changes in a company’s
performance and, management believes that the Daily TCE Rate
provides meaningful information to our investors since it compares
daily net earnings generated by our vessels irrespective of the mix
of charter types (i.e., time charters, voyage charters or other)
under which our vessels are employed between the periods while it
further assists our management in making decisions regarding the
deployment and use of our vessels and in evaluating our financial
performance. Our method of calculation of the Daily TCE Rates may
not be comparable to that reported by other companies. The
following table reconciles the calculation of the Daily TCE Rate
for our fleet to Vessel revenues, net, for the periods presented
(amounts in U.S. dollars, except for Available Days):
|
|
Three Months EndedMarch 31, |
(In U.S. dollars, except for Available Days) |
|
2022 |
|
|
|
2021 |
|
Vessel revenues, net |
$ |
54,641,313 |
|
|
$ |
6,972,853 |
|
Voyage expenses -including commissions from related party |
|
(8,230,771 |
) |
|
|
426,972 |
|
TCE revenues |
$ |
46,410,542 |
|
|
$ |
7,399,825 |
|
Available Days |
|
2,606 |
|
|
|
615 |
|
Daily TCE Rate |
$ |
17,809 |
|
|
$ |
12,032 |
|
EBITDA. We define EBITDA as
earnings before interest and finance costs (if any), net of
interest income, taxes (when incurred), depreciation and
amortization of deferred dry-docking costs. EBITDA is used as a
supplemental financial measure by management and external users of
financial statements to assess our operating performance. We
believe that EBITDA assists our management by providing useful
information that increases the comparability of our performance
operating from period to period and against the operating
performance of other companies in our industry that provide EBITDA
information. This increased comparability is achieved by excluding
the potentially disparate effects between periods or companies of
interest, other financial items, depreciation and amortization and
taxes, which items are affected by various and possibly changing
financing methods, capital structure and historical cost basis and
which items may significantly affect net income between periods. We
believe that including EBITDA as a measure of operating performance
benefits investors in (a) selecting between investing in us and
other investment alternatives and (b) monitoring our ongoing
financial and operational strength. EBITDA is not a measure of
financial performance under U.S. GAAP, does not represent and
should not be considered as an alternative to net income, operating
income, cash flow from operating activities or any other measure of
financial performance presented in accordance with U.S. GAAP.
EBITDA as presented below may not be comparable to similarly titled
measures of other companies. The following table reconciles EBITDA
to net income, the most directly comparable U.S. GAAP financial
measure, for the periods presented:
Reconciliation of EBITDA to Net
Income
|
|
Three Months EndedMarch 31, |
(In U.S. dollars) |
|
2022 |
|
|
2021 |
|
|
|
|
|
|
Net Income |
$ |
19,976,288 |
|
$ |
1,127,060 |
Depreciation and amortization |
|
6,081,806 |
|
|
1,088,548 |
Interest and finance costs, net (including related party interest
costs) (1) |
|
1,608,015 |
|
|
355,116 |
US source income taxes |
|
238,842 |
|
|
— |
EBITDA |
$ |
27,904,951 |
|
$ |
2,570,724 |
(1) Includes interest and finance costs and
interest income, if any.
Cautionary Statement Regarding
Forward-Looking Statements
Matters discussed in this press release may
constitute forward-looking statements. We intend such
forward-looking statements to be covered by the safe harbor
provisions for forward-looking statements contained in Section 27A
of the Securities Act of 1933, as amended (the “Securities Act”)
and Section 21E of the Securities Exchange Act of 1934, as amended
(the “Exchange Act”). Forward-looking statements include statements
concerning plans, objectives, goals, strategies, future events or
performance, and underlying assumptions and other statements, which
are other than statements of historical facts. We are including
this cautionary statement in connection with this safe harbor
legislation. The words “believe”, “anticipate”, “intend”,
“estimate”, “forecast”, “project”, “plan”, “potential”, “will”,
“may”, “should”, “expect”, “pending” and similar expressions
identify forward-looking statements. The forward-looking statements
in this press release are based upon various assumptions, many of
which are based, in turn, upon further assumptions, including
without limitation, our management’s examination of historical
operating trends, data contained in our records and other data
available from third parties. Although we believe that these
assumptions were reasonable when made, because these assumptions
are inherently subject to significant uncertainties and
contingencies which are difficult or impossible to predict and are
beyond our control, we cannot assure you that we will achieve or
accomplish these forward-looking statements, including these
expectations, beliefs or projections. We undertake no obligation to
update any forward-looking statement, whether as a result of new
information, future events or otherwise. In addition to these
important factors, other important factors that, in our view, could
cause actual results to differ materially from those discussed in
the forward‐looking statements include our business strategy, dry
bulk and tanker market conditions and trends, the rapid growth of
our fleet, our relationships with our current and future service
providers and customers, our ability to borrow under existing or
future debt agreements or to refinance our debt on favorable terms
and our ability to comply with the covenants contained therein, our
continued ability to enter into time or voyage charters with
existing and new customers and to re-charter our vessels upon the
expiry of the existing charters, changes in our operating and
capitalized expenses, our ability to fund future capital
expenditures and investments in the acquisition and refurbishment
of our vessels, instances of off-hire (including limitations
improved by COVID-19 and/or due to vessel upgrades and repairs),
future sales of our securities in the public market and our ability
to maintain compliance with applicable listing standards,
volatility in our share price, potential conflicts of interest
involving members of our Board of Directors, senior management and
certain of our service providers that are related parties, general
domestic and international political conditions or events
(including “trade wars”, global public health threats and major
outbreaks of disease), changes in seaborne and other
transportation, changes in governmental rules and regulations or
actions taken by regulatory authorities, and the impact of adverse
weather and natural disasters. Please see our filings with the
Securities and Exchange Commission for a more complete discussion
of these and other risks and uncertainties. The information set
forth herein speaks only as of the date hereof, and we disclaim any
intention or obligation to update any forward‐looking statements as
a result of developments occurring after the date of this
communication.
CONTACT DETAILS For further
information please contact:
Petros Panagiotidis Chief Executive Officer
& Chief Financial Officer Castor Maritime Inc. Email:
ir@castormaritime.com
Media Contact: Kevin Karlis Capital Link Email:
castormaritime@capitallink.com
Castor Maritime (NASDAQ:CTRM)
Historical Stock Chart
From Mar 2024 to Apr 2024
Castor Maritime (NASDAQ:CTRM)
Historical Stock Chart
From Apr 2023 to Apr 2024