Costamare Inc. (“Costamare” or the “Company”) (NYSE: CMRE) today
reported unaudited financial results for the fourth quarter (“Q4
2024”) and year ended December 31, 2024.
I. PROFITABILITY AND
LIQUIDITY
- FY 2024 Net Income available to
common stockholders of $290.7 million ($2.44 per share).
- FY 2024 Adjusted Net Income
available to common stockholders1 of $329.7 million ($2.76 per
share).
- Q4 2024 Net Income available to
common stockholders of $29.7 million ($0.25 per share).
- Q4 2024 Adjusted Net Income
available to common stockholders1 of $82.3 million ($0.69 per
share).
- Liquidity of $941.6 million2.
II. OWNED FLEET CHARTER UPDATE3
- FULLY EMPLOYED CONTAINERSHIP FLEET FOR 2025
- Forward fixing of 12 containerships for a period ranging from
16 to 38 months with incremental revenues of $332.6 million since
the Q3 2024 earnings release.
- 96% and 69% of the containership fleet4 fixed for 2025 and
2026, respectively.
- Contracted revenues for the containership fleet of
approximately $2.4 billion with a TEU-weighted duration of 3.4
years5.
- Entered into more than 50 chartering agreements for the owned
dry bulk fleet since Q3 2024 earnings release.
III. SALE AND PURCHASE
ACTIVITY
Vessel
Acquisitions
- Conclusion of the acquisition of:
- the 2011-built, 179,546 DWT capacity dry bulk vessel,
Magnes (ex. Nord Magnes).
- the 2014-built, 61,090 DWT capacity dry bulk vessel,
Alwine (ex. Alwine Oldendorff).
- the 2015-built, 61,090 DWT capacity dry bulk vessel,
August (ex. August Oldendorff).
Vessel Disposals
- Conclusion of the sale of the
2012-built, 37,019 DWT capacity dry bulk vessel, Discovery
generating net sale proceeds after debt prepayment of $7.7
million.
- Agreement for the sale of the
2008-built, 76,619 DWT capacity dry bulk vessel, Rose (expected
conclusion of the sale within Q1 – Q2 2025). Estimated net sale
proceeds after debt prepayment of $4.1 million.
IV. NEW DEBT FINANCING / PREPAYMENT OF
UNSECURED BONDS
- Conclusion of refinancing/
financing of 36 dry bulk vessels through four bilateral term loan
facilities with European financial institutions. More specifically:
- Total drawn amounts: $339.3 million.
- No increase in leverage with respect to the refinancings.
- Repayment tenor of at least 5 years.
- Improvement of funding cost.
- No significant debt maturities until 2027.
- Conclusion of the full prepayment
with cash on hand of €100 million aggregate principal amount of
unsecured bonds issued by our wholly owned subsidiary, Costamare
Participations Plc.
- Secured $100 million hunting
license agreement with a European financial institution.
V. DRY BULK OPERATING
PLATFORM
- Costamare Bulkers Inc. (“CBI”) has currently fixed a
fleet of 51 dry bulk vessels on period charters, consisting of:
- 36 Newcastlemax/ Capesize vessels.
- 15 Kamsarmax vessels.
- Majority of the fixed fleet is on index linked
charter-in agreements, consisting of:
- 32 charters for Newcastlemax/ Capesize vessels that
are index linked.
- 10 charters for Kamsarmax vessels that are index
linked.
- Average remaining tenor for the Newcastlemax/
Capesize and Kamsarmax chartered-in fleet of 13 and 14 months,
respectively.
VI. LEASE FINANCING
PLATFORM
- Controlling interest in Neptune Maritime Leasing
Limited (“NML”).
- Company’s current investment in NML of $123.3
million.
- Growing leasing platform, currently funding or
committed to funding 37 shipping assets as of the date of this
press release, representing a total investment of approximately
$505.7 million, on the back of what we believe is a healthy
pipeline.
VII. DIVIDEND ANNOUNCEMENTS – SHARE
REPURCHASE PROGRAM
- On January 2, 2025, the
Company declared a dividend of $0.115 per share on the common
stock, which is payable on February 6, 2025, to holders of record
of common stock as of January 21, 2025.
- On January 2, 2025, the
Company declared a dividend of $0.476563 per share on the Series B
Preferred Stock, $0.531250 per share on the Series C Preferred
Stock and $0.546875 per share on the Series D Preferred Stock,
which were all paid on January 15, 2025 to holders of record as of
January 14, 2025.
_________________________________1 Adjusted Net
Income available to common stockholders and respective per share
figures are non-GAAP measures and should not be used in isolation
or as substitutes for Costamare’s financial results presented in
accordance with U.S. generally accepted accounting principles
(“GAAP”). For the definition and reconciliation of these measures
to the most directly comparable financial measure calculated and
presented in accordance with GAAP, please refer to Exhibit I. 2
Including margin deposits relating to our forward freight
agreements (“FFAs”) and bunker swaps of $45.2 million, short term
investments in U.S. Treasury Bills amounting to $18.5 million and
$100 million from one hunting license facility subject to final
documentation. 3 Please refer to the Containership Fleet List table
for additional information on vessel employment details for our
containership fleet. 4 Calculated on a TEU basis. 5 As of February
4, 2025.
Mr. Gregory Zikos, Chief Financial Officer of Costamare
Inc., commented:
“During the fourth quarter of the year, the
Company generated adjusted Net Income of about $82 million. Our
liquidity stands at around $940 million after repaying during the
year a fixed rate bond of 100 million Euro and redeeming the Series
E preferred stock of approximately $115 million.
In the containership sector the Red Sea crisis
led to diversions via the much longer Cape of Good Hope route.
These diversions, together with strong cargo demand, absorbed the
incremental new building capacity. The commercially idle fleet
remained low during 2024 and at the start of 2025. Should however
liners gradually return to the Suez route, the release of tonnage,
combined with new building capacity, could potentially distort the
current supply and demand dynamics.
During the quarter we chartered on a forward
basis 12 containerships with an average time charter duration of
about two and a half years and estimated contracted revenues of
close to $330 million.
The containership fleet employment stands at 96%
and 69% for 2025 and 2026, respectively. Total contracted revenues
amount to $2.4 billion with a remaining time charter duration of
3.4 years.
On the dry bulk market, charter rates dropped to
their lowest levels of 2024 during the last quarter and have
started 2025 on a similarly soft note. The easing of congestion,
along with pressures in the China steel market and less grain
ton-mile demand have resulted in tonnage oversupply.
As per our strategy to renew the owned fleet and
increase its average size during the quarter we concluded the
acquisition of one Capesize and two Ultramax vessels as well as the
disposal of one Handysize ship, while we have agreed to sell one
Panamax vessel.
CBI manages a fleet of 51 ships, the majority of
which are on index-linked charter-in agreements. As mentioned in
the past, we have a long-term commitment to the sector, and we view
the vessel-owning and the trading platform as highly complementary
activities.
Finally, with regards to Neptune Maritime
Leasing, the platform continues to grow with a healthy pipeline,
having total investments and commitments exceeding $500
million.”
|
Financial Summary |
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Year ended December 31, |
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Three-month periodended December 31, |
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|
(Expressed in thousands of U.S. dollars, except share and per share
data) |
|
2023 |
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|
2024 |
|
2023 |
|
2024 |
|
|
|
|
|
|
|
|
|
|
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Voyage revenue |
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$ 1,502,491 |
|
|
$ 1,849,860 |
|
$ 490,523 |
|
$ 443,165 |
|
|
|
Voyage revenue – related parties |
|
- |
|
|
$ 210,087 |
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- |
|
$ 98,959 |
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Total voyage revenue |
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$ 1,502,491 |
|
|
$ 2,059,947 |
|
$ 490,523 |
|
$ 542,124 |
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Accrued charter revenue (1) |
|
$ 3,293 |
|
|
$ (6,781) |
|
$ (1,222) |
|
$ (3,754) |
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Amortization of time-charter assumed |
|
$ (197) |
|
|
$ (625) |
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$ (56) |
|
$ (242) |
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Total voyage revenue adjusted on a cash basis (2) |
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$ 1,505,587 |
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$ 2,052,541 |
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$ 489,245 |
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$ 538,128 |
|
|
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Income from investments in leaseback vessels |
|
$ 8,915 |
|
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$ 23,947 |
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$ 4,324 |
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$ 6,279 |
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Adjusted Net Income available to common stockholders (3) |
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$ 249,006 |
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$ 329,650 |
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$ 79,981 |
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$ 82,302 |
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Weighted Average number of shares |
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120,299,172 |
|
|
119,299,405 |
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118,042,187 |
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119,805,639 |
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Adjusted Earnings per share (3) |
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$ 2.07 |
|
|
$ 2.76 |
|
$ 0.68 |
|
$0.69 |
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Net Income |
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$ 381,019 |
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$ 316,334 |
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$ 104,675 |
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$ 31,916 |
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Net Income available to common stockholders |
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$ 354,681 |
|
|
$ 290,677 |
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$ 96,586 |
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$ 29,742 |
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Weighted Average number of shares |
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120,299,172 |
|
|
119,299,405 |
|
118,042,187 |
|
119,805,639 |
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Earnings per share |
|
$ 2.95 |
|
|
$ 2.44 |
|
$ 0.82 |
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$ 0.25 |
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(1) Accrued charter revenue represents the
difference between cash received during the period and revenue
recognized on a straight-line basis. In the early years of a
charter with escalating charter rates, voyage revenue will exceed
cash received during the period and during the last years of such
charter cash received will exceed revenue recognized on a
straight-line basis. The reverse is true for charters with
descending rates. (2) Total voyage revenue adjusted on a cash basis
represents Voyage revenue after adjusting for non-cash “Accrued
charter revenue” recorded under charters with escalating or
descending charter rates. However, Total voyage revenue adjusted on
a cash basis is not a recognized measurement under U.S. GAAP. We
believe that the presentation of Total voyage revenue adjusted on a
cash basis is useful to investors because it presents the charter
revenue for the relevant period based on the then current daily
charter rates. The increases or decreases in daily charter rates
under our charter party agreements of our fleet are described in
the notes to the “Fleet List” tables below. (3) Adjusted Net Income
available to common stockholders and Adjusted Earnings per Share
are non-GAAP measures. Refer to the reconciliation of Net Income to
Adjusted Net Income and Adjusted Earnings per Share.
Non-GAAP Measures
The Company reports its financial results in
accordance with U.S. GAAP. However, management believes that
certain non-GAAP financial measures used in managing the business
may provide users of these financial measures additional meaningful
comparisons between current results and results in prior operating
periods. Management believes that these non-GAAP financial measures
can provide additional meaningful reflection of underlying trends
of the business because they provide a comparison of historical
information that excludes certain items that impact the overall
comparability. Management also uses these non-GAAP financial
measures in making financial, operating and planning decisions and
in evaluating the Company’s performance. The tables below set out
supplemental financial data and corresponding reconciliations to
GAAP financial measures for the three-month periods and the years
ended December 31, 2024 and 2023. Non-GAAP financial measures
should be viewed in addition to, and not as an alternative for,
voyage revenue or net income as determined in accordance with GAAP.
Non-GAAP financial measures include (i) Voyage revenue adjusted on
a cash basis (reconciled above), (ii) Adjusted Net Income available
to common stockholders and (iii) Adjusted Earnings per Share.
Exhibit I Reconciliation
of Net Income to Adjusted Net Income available to common
stockholders and Adjusted Earnings per Share
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Year ended December 31, |
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Three-month periodended December 31, |
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(Expressed in thousands of U.S. dollars, except share and per share
data) |
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2023 |
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2024 |
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2023 |
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2024 |
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Net Income |
$ |
381,019 |
$ |
316,334 |
$ |
104,675 |
$ |
31,916 |
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Earnings allocated to Preferred Stock |
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(31,068) |
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(23,796) |
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(7,767) |
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(5,230) |
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Deemed dividend of Series E Preferred Stock |
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- |
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(5,446) |
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- |
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- |
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Non-Controlling Interest |
|
4,730 |
|
3,585 |
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(322) |
|
3,056 |
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Net Income available to common stockholders |
|
354,681 |
|
290,677 |
|
96,586 |
|
29,742 |
|
Accrued charter revenue |
|
3,293 |
|
(6,781) |
|
(1,222) |
|
(3,754) |
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Deferred charter-in expense |
|
- |
|
89 |
|
- |
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(211) |
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General and administrative expenses - non-cash component |
|
5,850 |
|
8,427 |
|
1,556 |
|
1,919 |
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Amortization of time-charter assumed |
|
(197) |
|
(625) |
|
(56) |
|
(242) |
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Realized (gain) /loss on Euro/USD forward contracts (1) |
|
(729) |
|
(687) |
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(193) |
|
100 |
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Vessels’ impairment loss |
|
434 |
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- |
|
205 |
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- |
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(Gain) / Loss on sale of vessels, net |
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(112,220) |
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(3,788) |
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971 |
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(440) |
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Loss on vessels held for sale |
|
2,305 |
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- |
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2,305 |
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- |
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(Gain) / Loss on sale of vessels, net, by jointly owned companies
with York Capital included in equity gain on investments (1) |
|
493 |
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- |
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- |
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- |
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Non-recurring, non-cash write-off of loan deferred financing
costs |
|
1,484 |
|
1,809 |
|
45 |
|
1,404 |
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(Gain) / Loss on derivative instruments, excluding realized (gain)
/ loss on derivative instruments (1) |
|
(4,801) |
|
36,753 |
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(18,629) |
|
53,137 |
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Other non-cash items |
|
(1,587) |
|
3,776 |
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(1,587) |
|
647 |
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Adjusted Net Income available to common
stockholders |
$ |
249,006 |
$ |
329,650 |
$ |
79,981 |
$ |
82,302 |
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Adjusted Earnings per Share |
$ |
2.07 |
$ |
2.76 |
$ |
0.68 |
$ |
0.69 |
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Weighted average number of shares |
|
120,299,172 |
|
119,299,405 |
|
118,042,187 |
|
119,805,639 |
|
|
Adjusted Net Income available to common
stockholders and Adjusted Earnings per Share represent Net Income
after earnings allocated to preferred stock, deemed dividend of
Series E Preferred Stock and Non-Controlling Interest, but before
non-cash “Accrued charter revenue” recorded under charters with
escalating or descending charter rates, deferred charter-in
expense, amortization of time-charter assumed, loss on vessels held
for sale, vessels’ impairment loss, realized (gain)/loss on
Euro/USD forward contracts, (gain)/loss on sale of vessels, net,
(gain)/loss on sale of vessels, net, by jointly owned companies
with York Capital included in equity gain on investments,
non-recurring, non-cash write-off of loan deferred financing costs,
general and administrative expenses - non-cash component,
(gain)/loss on derivative instruments, excluding realized
(gain)/loss on derivative instruments and other non-cash items.
“Accrued charter revenue” is attributed to the timing difference
between the revenue recognition and the cash collection. However,
Adjusted Net Income available to common stockholders and Adjusted
Earnings per Share are not recognized measurements under U.S. GAAP.
We believe that the presentation of Adjusted Net Income available
to common stockholders and Adjusted Earnings per Share are useful
to investors because they are frequently used by securities
analysts, investors and other interested parties in the evaluation
of companies in our industry. We also believe that Adjusted Net
Income available to common stockholders and Adjusted Earnings per
Share are useful in evaluating our ability to service additional
debt and make capital expenditures. In addition, we believe that
Adjusted Net Income available to common stockholders and Adjusted
Earnings per Share are useful in evaluating our operating
performance and liquidity position compared to that of other
companies in our industry because the calculation of Adjusted Net
Income available to common stockholders and Adjusted Earnings per
Share generally eliminates the effects of the accounting effects of
capital expenditures and acquisitions, certain hedging instruments
and other accounting treatments, items which may vary for different
companies for reasons unrelated to overall operating performance
and liquidity. In evaluating Adjusted Net Income available to
common stockholders and Adjusted Earnings 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 Net Income available to common
stockholders and Adjusted Earnings per Share should not be
construed as an inference that our future results will be
unaffected by unusual or non-recurring items.
(1) Items to
consider for comparability include gains and charges. Gains
positively impacting Net Income available to common stockholders
are reflected as deductions to Adjusted Net Income available to
common stockholders. Charges negatively impacting Net Income
available to common stockholders are reflected as increases to
Adjusted Net Income available to common stockholders.
Results of Operations
Three-month period ended December 31,
2024 compared to the three-month period ended December 31,
2023
During the three-month periods ended December
31, 2024 and 2023, we had an average of 104.7 and 111.6 vessels,
respectively, in our owned fleet. In addition, during the
three-month periods ended December 31, 2024 and 2023, through our
dry bulk operating platform Costamare Bulkers Inc. (“CBI”) we
chartered-in an average of 66.4 and 63.3 third party dry bulk
vessels, respectively. As of February 4, 2025, CBI charters-in 51
dry bulk vessels on period charters.
During the three-month period ended December 31,
2024, we took delivery of the secondhand dry bulk vessels Magnes,
Alwine and August with an aggregate DWT of 301,726 and we sold the
dry bulk vessel Discovery with a DWT of 37,019.
During the three-month period ended December 31,
2023, we sold the dry bulk vessels Peace, Pride and Cetus with an
aggregate DWT of 143,941 and the container vessel Oakland with a
TEU capacity of 4,890.
Furthermore, during the three-month period ended
December 31, 2023, we acquired the 51% equity interest of York
Capital in the 2001-built, 1,550 TEU capacity containership Arkadia
and as a result we obtained 100% of the equity interest in the
vessel.
As of December 31, 2024, we
have invested in NML the amount of $123.3
million. NML has been included in our consolidated financial
statements since the second quarter of 2023.
In the three-month periods ended December 31,
2024 and 2023, our fleet ownership days totaled 9,633 and 10,267
days, respectively. Ownership days are one of the primary drivers
of voyage revenue and vessels’ operating expenses and represent the
aggregate number of days in a period during which each vessel in
our fleet is owned.
Consolidated Financial Results and
Vessels’ Operational Data
| (Expressed in
millions of U.S. dollars, except percentages) |
|
Three-month period ended December 31, |
|
Change |
|
Percentage Change |
| |
2023 |
|
2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Voyage revenue |
$ |
490.5 |
$ |
443.2 |
$ |
(47.3) |
|
(9.6%) |
|
Voyage revenue – related parties |
|
- |
|
99.0 |
|
99.0 |
|
n.m. |
|
Total voyage revenue |
$ |
490.5 |
$ |
542.2 |
|
51.7 |
|
10.5% |
|
Income from investments in leaseback vessels |
|
4.3 |
|
6.3 |
|
2.0 |
|
46.5% |
|
Voyage expenses |
|
(90.0) |
|
(93.3) |
|
3.3 |
|
3.7% |
|
Charter-in hire expenses |
|
(166.3) |
|
(185.1) |
|
18.8 |
|
11.3% |
|
Voyage expenses – related parties |
|
(3.7) |
|
(6.9) |
|
3.2 |
|
86.5% |
|
Vessels’ operating expenses |
|
(64.0) |
|
(59.7) |
|
(4.3) |
|
(6.7%) |
|
General and administrative expenses |
|
(3.9) |
|
(6.3) |
|
2.4 |
|
61.5% |
|
Management and agency fees – related parties |
|
(12.3) |
|
(14.0) |
|
1.7 |
|
13.8% |
|
General and administrative expenses - non-cash component |
|
(1.5) |
|
(1.9) |
|
0.4 |
|
26.7% |
|
Amortization of dry-docking and special survey costs |
|
(5.3) |
|
(6.3) |
|
1.0 |
|
18.9% |
|
Depreciation |
|
(41.8) |
|
(41.7) |
|
(0.1) |
|
(0.2%) |
|
Gain on sale of vessels, net |
|
(1.0) |
|
0.4 |
|
1.4 |
|
n.m. |
|
Loss on vessels held for sale |
|
(2.3) |
|
- |
|
(2.3) |
|
n.m. |
|
Vessel’s impairment loss |
|
(0.2) |
|
- |
|
(0.2) |
|
n.m. |
|
Foreign exchange gains / (losses) |
|
3.9 |
|
(6.4) |
|
(10.3) |
|
n.m. |
|
Interest income |
|
6.9 |
|
7.0 |
|
0.1 |
|
1.4% |
|
Interest and finance costs |
|
(34.4) |
|
(33.2) |
|
(1.2) |
|
(3.5%) |
|
Income / (loss) from equity method investments |
|
0.1 |
|
- |
|
(0.1) |
|
n.m. |
|
Other |
|
1.2 |
|
0.5 |
|
(0.7) |
|
(58.3%) |
|
Gain /(loss) on derivative instruments, net |
|
24.5 |
|
(69.7) |
|
(94.2) |
|
n.m. |
|
Net Income |
$ |
104.7 |
$ |
31.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| (Expressed in
millions of U.S. dollars, except percentages) |
|
Three-month period ended December 31, |
|
Change |
|
Percentage Change |
| |
2023 |
|
2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total voyage revenue |
$ |
490.5 |
$ |
542.2 |
$ |
51.7 |
|
10.5% |
|
Accrued charter revenue |
|
(1.2) |
|
(3.8) |
|
(2.6) |
|
n.m |
|
Amortization of time-charter assumed |
|
(0.1) |
|
(0.2) |
|
(0.1) |
|
(100.0%) |
|
Total voyage revenue adjusted on a cash basis (1) |
$ |
489.2 |
$ |
538.2 |
$ |
49.0 |
|
10.0% |
| |
|
|
|
|
|
|
|
|
|
Vessels’ operational data |
|
Three-month period ended December 31, |
|
|
|
Percentage Change |
| |
2023 |
|
2024 |
|
Change |
|
| |
|
|
|
|
|
|
|
|
| Average
number of vessels |
|
111.6 |
|
104.7 |
|
(6.9) |
|
(6.2%) |
| Ownership
days |
|
10,267 |
|
9,633 |
|
(634) |
|
(6.2%) |
| Number of
vessels under dry-docking and special survey |
|
7 |
|
3 |
|
(4) |
|
|
(1) Total voyage revenue adjusted on a cash
basis is not a recognized measurement under U.S. generally accepted
accounting principles (“GAAP”). Refer to “Consolidated Financial
Results and Vessels’ Operational Data” above for the reconciliation
of Total voyage revenue adjusted on a cash basis.
Total Voyage Revenue
Total voyage revenue increased by 10.5%, or
$51.7 million, to $542.2 million during the three-month period
ended December 31, 2024, from $490.5 million during the three-month
period ended December 31, 2023. The increase is mainly attributable
to (i) increased revenue earned by CBI due to increased volume of
its operations period over period, (ii) revenue earned by one
container vessel acquired during the fourth quarter of 2023 and six
dry bulk vessels acquired during the year ended December 31, 2024,
(iii) increased charter rates in certain of our dry bulk vessels in
the fourth quarter of 2024 compared to the fourth quarter of 2023
and (iv) decreased fleet off-hire and idle days in the fourth
quarter of 2024 compared to the fourth quarter of 2023; partly
offset by revenue not earned by ten dry bulk vessels sold during
the year ended December 31, 2024.
Total voyage revenue adjusted on a cash basis
(which eliminates non-cash “Accrued charter revenue”) increased by
10.0%, or $49.0 million, to $538.2 million during the three-month
period ended December 31, 2024, from $489.2 million during the
three-month period ended December 31, 2023. Accrued charter revenue
for the three-month periods ended December 31, 2024 and 2023 was a
negative amount of $3.8 million and a negative amount of $1.2
million, respectively.
Income from investments in leaseback vessels
Income from investments in leaseback vessels was
$6.3 million and $4.3 million for the three-month periods ended
December 31, 2024 and 2023, respectively. Income from investments
in leaseback vessels increased, period over period, due to the
increased volume of NML’s operations during the three-month period
ended December 31, 2024 compared to the three-month period ended
December 31, 2023. NML acquires, owns and bareboat charters out
vessels through its wholly-owned subsidiaries.
Voyage Expenses
Voyage expenses were $93.3 million and $90.0
million for the three-month periods ended December 31, 2024 and
2023, respectively. Voyage expenses mainly include (i) fuel
consumption mainly related to dry bulk vessels, (ii) third-party
commissions, (iii) port expenses and (iv) canal tolls.
Charter-in Hire Expenses
Charter-in hire expenses were $185.1 million and
$166.3 million for the three-month periods ended December 31, 2024
and 2023, respectively. Charter-in hire expenses are expenses
relating to chartering-in of third-party dry bulk vessels under
charter agreements through CBI.
Voyage Expenses – related parties
Voyage expenses – related parties were $6.9
million and $3.7 million for the three-month periods ended December
31, 2024 and 2023, respectively. Voyage expenses – related parties
represent (i) fees of 1.25%, in the aggregate, on voyage revenues
earned by our owned fleet charged by a related manager and a
related service provider, (ii) charter brokerage fees (in respect
of our container vessels) payable to two related charter brokerage
companies for an amount of approximately $0.4 million and $0.4
million, in the aggregate, for the three-month periods ended
December 31, 2024 and 2023, respectively and (iii) address
commission on certain charter-out agreements payable to a related
agent (since the second quarter of 2024). This commission is
subsequently paid in full on a back-to-back basis by the related
agent to its respective third-party clients with no benefit for the
related agent.
Vessels’ Operating Expenses
Vessels’ operating expenses, which also include
the realized gain/(loss) under derivative contracts entered into in
relation to foreign currency exposure, were $59.7 million and $64.0
million during the three-month periods ended December 31, 2024 and
2023, respectively. Daily vessels’ operating expenses were $6,193
and $6,231 for the three-month periods ended December 31, 2024 and
2023, respectively. Daily operating expenses are calculated as
vessels’ operating expenses for the period over the ownership days
of the period.
General and Administrative Expenses
General and administrative expenses were $6.3
million and $3.9 million during the three-month periods ended
December 31, 2024 and 2023, respectively, and include amounts of
$0.67 million and $0.67 million, respectively, that were paid to a
related service provider.
Management and Agency Fees – related parties
Management fees charged by our related party
managers were $10.7 million and $11.7 million during the
three-month periods ended December 31, 2024 and 2023, respectively.
The amounts charged by our related party managers include amounts
paid to third party managers of $2.2 million and $3.8 million for
the three-month periods ended December 31, 2024 and 2023,
respectively. Furthermore, during the three-month periods ended
December 31, 2024 and 2023, agency fees of $3.3 million and $0.6
million, in aggregate, were charged by four related agents in
connection with the operations of CBI.
General and Administrative Expenses - non-cash
component
General and administrative expenses - non-cash
component for the three-month period ended December 31, 2024
amounted to $1.9 million, representing the value of the shares
issued to a related service provider on December 30, 2024. General
and administrative expenses - non-cash component for the
three-month period ended December 31, 2023 amounted to $1.5
million, representing the value of the shares issued to a related
service provider on December 29, 2023.
Amortization of Dry-Docking and Special Survey
Costs
Amortization of deferred dry-docking and special
survey costs was $6.3 million and $5.3 million during the
three-month periods ended December 31, 2024 and 2023, respectively.
During the three-month period ended December 31, 2024, two vessels
underwent and completed their dry-docking and special survey and
one vessel was in the process of completing her dry-docking and
special survey. During the three-month period ended December 31,
2023, five vessels underwent and completed their dry-docking and
special survey and two vessels were in the process of completing
their dry-docking and special survey.
Depreciation
Depreciation expense for the three-month periods
ended December 31, 2024 and 2023 was $41.7 million and $41.8
million, respectively.
Gain on Sale of Vessels, net
During the three-month period ended December 31,
2024, we recorded a gain of $0.4 million from the sale of the dry
bulk vessel Discovery. During the three-month period ended December
31, 2023, we recorded a net loss of $1.0 million from the sale of
the dry bulk vessels Peace, Pride and Cetus and the sale of the
container vessel Oakland, which was classified as a vessel held for
sale as of September 30, 2023.
Loss on Vessels Held for Sale
We did not record any loss on any vessels held
for sale during the three-month period ended December 31, 2024.
During the three-month period ended December 31, 2023, we recorded
a loss on vessels held for sale of $2.3 million representing the
expected loss from the sale of the dry bulk vessels Konstantinos
and Progress during the next twelve-month period. Furthermore,
during the three-month period ended December 31, 2023, the dry bulk
vessels Manzanillo and Adventure were each classified as a vessel
held for sale but no loss on vessels held for sale was recorded,
since each vessel’s estimated fair value less costs to sell
exceeded each vessel’s carrying value.
Vessel’s Impairment Loss
During the three-month period ended December 31,
2024, no impairment loss was recorded. During the three-month
period ended December 31, 2023, we recorded an impairment loss in
relation to one of our dry bulk vessels in the amount of $0.2
million.
Interest Income
Interest income amounted to $7.0 million and
$6.9 million for the three-month periods ended December 31, 2024
and 2023, respectively.
Interest and Finance Costs
Interest and finance costs were $33.2 million
and $34.4 million during the three-month periods ended December 31,
2024 and 2023, respectively. The decrease is mainly attributable to
the decreased interest expense due to a lower average loan balance
during the three-month period ended December 31, 2024, compared to
the three-month period ended December 31, 2023.
Income / (Loss) from Equity Method
Investments
Income/(loss) from equity method investments for
the three-month period ended December 31, 2024, was nil (compared
to income of $0.1 million for the three-month period ended December
31, 2023) representing our share in the jointly owned companies set
up pursuant to the Framework Deed. During the three-month period
ended December 31, 2023 we acquired the 51% equity interest of York
Capital in the 2001-built, 1,550 TEU capacity containership Arkadia
and as a result we obtained 100% of the equity interest in the
vessel. As of December 31, 2023, two companies were jointly owned
pursuant to the Framework Deed out of which none owned container
vessels. As of December 31, 2024, there were no jointly owned
companies pursuant to the Framework Deed.
Gain / (loss) on Derivative Instruments, net
As of December 31, 2024, we hold derivative
financial instruments that qualify for hedge accounting and
derivative financial instruments that do not qualify for hedge
accounting. The change in the fair value of each derivative
instrument that qualifies for hedge accounting is recorded in
“Other Comprehensive Income” (“OCI”). The change in the fair value
of each derivative instrument that does not qualify for hedge
accounting is recorded in the consolidated statements of
income.
As of December 31, 2024, the fair value of these
instruments, in aggregate, amounted to a net liability of $7.4
million. During the three-month period ended December 31, 2024, a
net gain of $12.1 million has been included in OCI and a net loss
of $69.7 million has been included in Gain / (loss) on Derivative
Instruments, net.
Cash Flows Three-month
periods ended December 31, 2024 and 2023
|
Condensed cash flows |
|
Three-month period ended December 31, |
|
(Expressed in millions of U.S. dollars) |
|
|
2023 |
|
|
|
2024 |
|
|
Net Cash Provided by Operating Activities |
|
$ |
152.9 |
|
|
$ |
128.9 |
|
|
Net Cash Used in Investing Activities |
|
$ |
(33.3 |
) |
|
$ |
(70.7 |
) |
|
Net Cash Used in Financing Activities |
|
$ |
(101.0 |
) |
|
$ |
(157.0 |
) |
|
|
Net Cash Provided by Operating
Activities
Net cash flows provided by operating activities
for the three-month period ended December 31, 2024, decreased by
$24.0 million to $128.9 million, from $152.9 million for the
three-month period ended December 31, 2023. The decrease is mainly
attributable to the unfavorable change in working capital position,
excluding the current portion of long-term debt and the accrued
charter revenue (representing the difference between cash received
in that period and revenue recognized on a straight-line basis);
partly offset by the increased cash from operations during the
three-month period ended December 31, 2024 compared to the
three-month period ended December 31, 2023, the decrease in
interest payments (including interest rate derivatives net
receipts) during the three-month period ended December 31, 2024
compared to the three-month period ended December 31, 2023 and the
decreased dry-docking and special survey costs during the
three-month period ended December 31, 2024 compared to the
three-month period ended December 31, 2023.
Net Cash Used in Investing
Activities
Net cash used in investing activities was $70.7
million in the three-month period ended December 31, 2024, which
mainly consisted of (i) the settlement payment for the acquisition
of the secondhand dry bulk vessel Magnes, (ii) payments for the
acquisition of the secondhand dry bulk vessels Alwine and August,
(iii) net payments for the investments into which NML entered, and
(iv) payments for upgrades for certain of our container and dry
bulk vessels; partly offset by proceeds we received from the sale
of the dry bulk vessel Discovery.
Net cash used in investing activities was $33.3
million in the three-month period ended December 31, 2023, which
mainly consisted of (i) an advance payment for the acquisition of
the secondhand dry bulk vessel Miracle, (ii) payments for upgrades
for certain of our container and dry bulk vessels, (iii) net
payments for the investments into which NML entered and (iv)
payments for the purchase of short-term investments in US Treasury
Bills; partly offset by the proceeds we received from the sale of
the container vessel Oakland and the dry bulk vessels Peace, Pride
and Cetus.
Net Cash Used in Financing
Activities
Net cash used in financing activities was $157.0
million in the three-month period ended December 31, 2024, which
mainly consisted of (i) $30.4 million net payments relating to our
debt financing agreements and finance lease liability agreement
(including proceeds of $360.6 million we received from eight debt
financing agreements), (ii) $105.0 million we paid for the full
prepayment of our unsecured bond loan, (iii) $13.7 million we paid
for dividends to holders of our common stock for the third quarter
of 2024 and (iv) $0.9 million we paid for dividends to holders of
our 7.625% Series B Cumulative Redeemable Perpetual Preferred Stock
(“Series B Preferred Stock”), $2.1 million we paid for dividends to
holders of our 8.500% Series C Cumulative Redeemable Perpetual
Preferred Stock (“Series C Preferred Stock”) and $2.2 million we
paid for dividends to holders of our 8.75% Series D Cumulative
Redeemable Perpetual Preferred Stock (“Series D Preferred Stock”)
for the period from July 15, 2024 to October 14, 2024.
Net cash used in financing activities was $101.0
million in the three-month period ended December 31, 2023, which
mainly consisted of (i) $88.0 million net payments relating to our
debt financing agreements and finance lease liability agreement
(including proceeds of $12 million we received from one debt
financing agreement), (ii) $9.3 million we paid for dividends to
holders of our common stock for the third quarter of 2023 and (iii)
$0.9 million we paid for dividends to holders of our Series B
Preferred Stock, $2.1 million we paid for dividends to holders of
our Series C Preferred Stock, $2.2 million we paid for dividends to
holders of our Series D Preferred Stock and $2.5 million we paid
for dividends to holders of our 8.875% Series E Cumulative
Redeemable Perpetual Preferred Stock (“Series E Preferred Stock”)
for the period from July 15, 2023 to October 14, 2023.
Results of Operations
Year ended December 31, 2024 compared to
the year ended December 31, 2023
During the years ended December 31, 2024 and
2023, we had an average of 105.6 and 111.4 vessels, respectively,
in our owned fleet. In addition, during the years ended December
31, 2024 and 2023, through CBI we chartered-in an average of 62.3
and 43.1 third-party dry bulk vessels, respectively. As of February
4, 2025, CBI has chartered-in 51 dry bulk vessels on period
charters.
During the year ended December 31, 2024, we took
delivery of the secondhand dry bulk vessels Miracle, Prosper,
Frontier, Magnes, Alwine and August with an aggregate DWT of
843,679 and we sold the dry bulk vessels Manzanillo, Progress,
Konstantinos, Merida, Alliance, Pegasus, Adventure, Oracle, Titan I
and Discovery with an aggregate DWT capacity of 433,033.
During the year ended December 31, 2023, we (i)
sold our 49% equity interest in the company owning the 2018-built,
3,800 TEU capacity containership, Polar Argentina to York Capital,
(ii) acquired the 51% equity interest of York Capital in the
2018-built, 3,800 TEU capacity containership Polar Brasil and as a
result we obtained 100% of the equity interest in the vessel and
(iii) we acquired the 51% equity interest of York Capital of the
2001-built, 1,550 TEU capacity containership Arkadia and as a
result we obtained 100% of the equity interest in the vessel.
In addition, during the year ended December 31,
2023, we acquired the secondhand dry bulk vessels Enna, Dorado and
Arya with an aggregate DWT of 417,241 and we sold the container
vessels Maersk Kalamata, Sealand Washington and Oakland with an
aggregate TEU capacity of 18,182 and the dry bulk vessels Miner,
Taibo, Comity, Peace, Pride and Cetus with an aggregate DWT of
248,655.
As of December 31, 2024, we
have invested in NML the amount of $123.3
million. NML has been included in our consolidated financial
statements since the second quarter of 2023.
In the years ended December 31, 2024 and 2023,
our fleet ownership days totaled 38,661 and 40,652 days,
respectively. Ownership days are one of the primary drivers of
voyage revenue and vessels’ operating expenses and represent the
aggregate number of days in a period during which each vessel in
our fleet is owned.
Consolidated Financial Results and
Vessels’ Operational Data
|
(Expressed in millions of U.S. dollars, except percentages) |
|
Year ended December 31, |
|
Change |
|
Percentage Change |
|
|
2023 |
|
2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Voyage revenue |
$ |
1,502.5 |
$ |
1,849.9 |
$ |
347.4 |
|
23.1% |
|
Voyage revenue – related parties |
|
- |
|
210.1 |
|
210.1 |
|
n.m. |
|
Total voyage revenue |
|
1,502.5 |
|
2,060.0 |
|
557.5 |
|
37.1% |
|
Income from investments in leaseback vessels |
|
8.9 |
|
23.9 |
|
15.0 |
|
168.5% |
|
Voyage expenses |
|
(275.9) |
|
(371.1) |
|
95.2 |
|
34.5% |
|
Charter-in hire expenses |
|
(340.9) |
|
(706.6) |
|
365.7 |
|
107.3% |
|
Voyage expenses – related parties |
|
(14.0) |
|
(21.6) |
|
7.6 |
|
54.3% |
|
Vessels’ operating expenses |
|
(258.1) |
|
(240.2) |
|
(17.9) |
|
(6.9%) |
|
General and administrative expenses |
|
(18.4) |
|
(25.0) |
|
6.6 |
|
35.9% |
|
Management and agency fees – related parties |
|
(56.3) |
|
(59.3) |
|
3.0 |
|
5.3% |
|
General and administrative expenses – non-cash component |
|
(5.8) |
|
(8.4) |
|
2.6 |
|
44.8% |
|
Amortization of dry-docking and special survey costs |
|
(19.8) |
|
(23.6) |
|
3.8 |
|
19.2% |
|
Depreciation |
|
(166.3) |
|
(164.2) |
|
(2.1) |
|
(1.3%) |
|
Gain on sale of vessels, net |
|
112.2 |
|
3.8 |
|
(108.4) |
|
(96.6%) |
|
Loss on vessels held for sale |
|
(2.3) |
|
- |
|
(2.3) |
|
n.m. |
|
Vessels’ impairment loss |
|
(0.4) |
|
- |
|
(0.4) |
|
n.m. |
|
Foreign exchange gains / (losses) |
|
2.6 |
|
(5.4) |
|
(8.0) |
|
n.m. |
|
Interest income |
|
32.4 |
|
33.2 |
|
0.8 |
|
2.5% |
|
Interest and finance costs |
|
(144.4) |
|
(133.1) |
|
(11.3) |
|
(7.8%) |
|
Income from equity method investments |
|
0.8 |
|
- |
|
(0.8) |
|
n.m. |
|
Other |
|
6.9 |
|
2.8 |
|
(4.1) |
|
(59.4%) |
|
Gain /(Loss) on derivative instruments, net |
|
17.3 |
|
(48.9) |
|
(66.2) |
|
n.m. |
|
Net Income |
$ |
381.0 |
$ |
316.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Expressed in millions of U.S. dollars, except percentages) |
|
Year ended December 31, |
|
Change |
|
Percentage Change |
|
|
2023 |
|
2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total voyage revenue |
$ |
1,502.5 |
$ |
2,060.0 |
$ |
557.5 |
|
37.1% |
|
Accrued charter revenue |
|
3.3 |
|
(6.8) |
|
(10.1) |
|
n.m. |
|
Amortization of time-charter assumed |
|
(0.2) |
|
(0.6) |
|
(0.4) |
|
n.m. |
|
Total voyage revenue adjusted on a cash basis (1) |
$ |
1,505.6 |
$ |
2,052.6 |
$ |
547.0 |
|
36.3% |
|
|
|
|
|
|
|
|
|
|
|
Vessels’ operational data |
|
Year ended December 31, |
|
Change |
|
Percentage Change |
|
|
2023 |
|
2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average number of vessels |
|
111.4 |
|
105.6 |
|
(5.8) |
|
(5.2%) |
|
Ownership days |
|
40,652 |
|
38,661 |
|
(1,991) |
|
(4.9%) |
|
Number of vessels under dry-docking and special survey |
|
25 |
|
12 |
|
(13) |
|
|
(1) Total voyage revenue adjusted on a cash
basis is not a recognized measurement under U.S. generally accepted
accounting principles (“GAAP”). Refer to “Consolidated Financial
Results and Vessels’ Operational Data” above for the reconciliation
of Total voyage revenue adjusted on a cash basis.
Total Voyage Revenue
Total voyage revenue increased by 37.1%, or
$557.5 million, to $2,060.0 million during the year ended December
31, 2024, from $1,502.5 million during the year ended December 31,
2023. The increase is mainly attributable to (i) increased revenue
earned by CBI due to the increased volume of its operations year
over year, (ii) increased charter rates in certain of our owned
container and dry bulk vessels and (iii) revenue earned by two
container vessels acquired during the second and fourth quarter of
2023, respectively, three dry bulk vessels acquired during the
third quarter of 2023 and six dry bulk vessels acquired during the
year ended December 31, 2024, (iv) decreased fleet off-hire and
idle days in the year ended December 31, 2024 compared to the year
ended December 31, 2023; partly offset by revenue not earned by one
container vessel and six dry bulk vessels sold during the year
ended 2023 and ten dry bulk vessels sold during the year ended
December 31, 2024.
Total voyage revenue adjusted on a cash basis
(which eliminates non-cash “Accrued charter revenue”) increased by
36.3%, or $547.0 million, to $2,052.6 million during the year ended
December 31, 2024, from $1,505.6 million during the year ended
December 31, 2023. Accrued charter revenue for the years ended
December 31, 2024 and 2023 was a negative amount of $6.8 million
and a positive amount of $3.3 million, respectively.
Income from investments in leaseback vessels
Income from investments in leaseback vessels was
$23.9 million and $8.9 million for the years ended December 31,
2024 and 2023, respectively. Increased income from investments in
leaseback vessels, year over year, is attributable to (i) the
income earned from NML’s operations for the entire year ended
December 31, 2024 (in 2023, we earned income from NML’s operations
starting from the second quarter of 2023) and (ii) the increased
volume of NML’s operations during the year ended December 31, 2024
compared to the year ended December 31, 2023. NML acquires, owns
and bareboat charters out vessels through its wholly-owned
subsidiaries.
Voyage Expenses
Voyage expenses were $371.1 million and $275.9
million for the years ended December 31, 2024 and 2023,
respectively. Voyage expenses increased, year over year, mainly due
to CBI’s increased volume of operations during the year ended
December 31, 2024 compared to the year ended December 31, 2023.
Voyage expenses mainly include (i) fuel consumption mainly related
to dry bulk vessels, (ii) third-party commissions, (iii) port
expenses and (iv) canal tolls.
Charter-in Hire Expenses
Charter-in hire expenses were $706.6 million and
$340.9 million for the years ended December 31, 2024 and 2023,
respectively. Charter-in hire expenses are expenses relating to
chartering-in of third-party dry bulk vessels under charter
agreements through CBI. Charter-in expenses increased, year over
year, mainly due to CBI’s increased volume of operations during the
year ended December 31, 2024 compared to the year ended December
31, 2023.
Voyage Expenses – related parties
Voyage expenses – related parties were $21.6
million and $14.0 million for the years ended December 31, 2024 and
2023, respectively. Voyage expenses – related parties represent (i)
fees of 1.25%, in the aggregate, on voyage revenues earned by our
owned fleet charged by a related manager and a related service
provider, (ii) charter brokerage fees (in respect of our container
vessels) payable to two related charter brokerage companies for an
amount of approximately $1.5 million and $1.4 million, in the
aggregate, for the years ended December 31, 2024 and 2023,
respectively and (iii) address commissions on certain charter-out
agreements payable to a related agent (since the second quarter of
2024). This commission is subsequently paid in full on a
back-to-back basis by the related agent to its respective
third-party clients with no benefit for the related agent.
Vessels’ Operating Expenses
Vessels’ operating expenses, which also include
the realized gain/(loss) under derivative contracts entered into in
relation to foreign currency exposure, were $240.2 million and
$258.1 million during the years ended December 31, 2024 and 2023,
respectively. Daily vessels’ operating expenses were $6,213 and
$6,349 for the years ended December 31, 2024 and 2023,
respectively. Daily operating expenses are calculated as vessels’
operating expenses for the period over the ownership days of the
period.
General and Administrative Expenses
General and administrative expenses were $25.0
million and $18.4 million during the years ended December 31, 2024
and 2023, respectively, and include amounts of $2.7 million and
$2.7 million, respectively, that were paid to a related service
provider.
Management and Agency Fees – related parties
Management fees charged by our related party
managers were $43.6 million and $44.6 million during the years
ended December 31, 2024 and 2023, respectively. The amounts charged
by our related party managers include amounts paid to third party
managers of $10.5 million and $14.5 million for the years ended
December 31, 2024 and 2023, respectively. Furthermore, during the
years ended December 31, 2024 and 2023, agency fees of $15.7
million and $11.7 million, in aggregate, were charged by four
related agents in connection with the operations of CBI.
General and Administrative Expenses – non-cash
component
General and administrative expenses - non-cash
component for the year ended December 31, 2024 amounted to $8.4
million, representing the value of the shares issued to a related
service provider on March 29, 2024, June 28, 2024, September 30,
2024 and December 30, 2024. General and administrative expenses –
non-cash component for the year ended December 31, 2023 amounted to
$5.8 million, representing the value of the shares issued to a
related service provider on March 30, 2023, June 30, 2023,
September 29, 2023 and December 29, 2023.
Amortization of Dry-Docking and Special Survey
Costs
Amortization of deferred dry-docking and special
survey costs was $23.6 million and $19.8 million during the years
ended December 31, 2024 and 2023, respectively. During the year
ended December 31, 2024, 11 vessels underwent and completed their
dry-docking and special survey and one vessel was in the process of
completing her dry-docking and special survey. During the year
ended December 31, 2023, 23 vessels underwent and completed their
dry-docking and special survey and two vessels were in the process
of completing their dry-docking and special survey.
Depreciation
Depreciation expense for the years ended
December 31, 2024 and 2023 was $164.2 million and $166.3 million,
respectively.
Gain on Sale of Vessels, net
During the year ended December 31, 2024, we
recorded a net gain of $3.8 million from (i) the sale of the dry
bulk vessels Manzanillo, Progress and Konstantinos, each of which
was classified as a vessel held for sale as of December 31, 2023,
(ii) the sale of the dry bulk vessels Merida, Alliance and Pegasus,
(iii) the sale of the dry bulk vessel Adventure which was
classified as a vessel held for sale as of March 31, 2024
(initially classified as vessels held for sale as of December 31,
2023), (iv) the sale of the dry bulk vessel Oracle which was
classified as a vessel held for sale as of June 30, 2024 and (v)
the sale of the dry bulk vessels Titan I and Discovery. During the
year ended December 31, 2023, we recorded an aggregate net gain of
$112.2 million from (i) the sale of the container vessel Oakland,
which was classified as a vessel held for sale as of September 30,
2023, (ii) the sale of the container vessels Maersk Kalamata and
Sealand Washington, each of which was classified as a vessel held
for sale as of December 31, 2022 (initially classified as vessels
held for sale as of March 31, 2022), (iii) the sale of the dry bulk
vessel Taibo, which was classified as a vessel held for sale as of
March 31, 2023, (iv) the sale of the dry bulk vessels Peace, Pride,
Cetus, Miner and Comity and (v) the result of the accounting
classification of the container vessels Vela and Vulpecula as “Net
investment in Sale type lease (Vessels)”.
Loss on Vessels Held for Sale
We did not record any loss on any vessels held
for sale during the year ended December 31, 2024. During the year
ended December 31, 2023, we recorded a loss on vessels held for
sale of $2.3 million, representing the expected loss from the sale
of the dry bulk vessels Konstantinos and Progress during the next
twelve-month period. Furthermore, during the year ended December
31, 2023, the dry bulk vessels Manzanillo and Adventure were
classified as vessels held for sale but no loss on vessels held for
sale was recorded, since each vessel’s estimated fair value less
costs to sell exceeded each vessel’s carrying value.
Vessels’ Impairment Loss
During the year ended December 31, 2024, no
impairment loss was recorded. During the year ended December 31,
2023, we recorded an impairment loss in relation to two of our dry
bulk vessels in the amount of $0.4 million in the aggregate.
Interest Income
Interest income amounted to $33.2 million and
$32.4 million for the years ended December 31, 2024 and 2023,
respectively.
Interest and Finance Costs
Interest and finance costs were $133.1 million
and $144.4 million during the years ended December 31, 2024 and
2023, respectively. The decrease is mainly attributable to the
decreased interest expense due to lower average loan balance during
the year ended December 31, 2024, compared to the year ended
December 31, 2023.
Income /(Loss) from Equity Method
Investments
Income/(loss) from equity method investments for
the year ended December 31, 2024, was nil (income of $0.8 million
for the year ended December 31, 2023) representing our share in
jointly owned companies set up pursuant to the Framework Deed.
During the year ended December 31, 2023, we (i) sold our 49% equity
interest in the company owning the 2018-built, 3,800 TEU capacity
containership, Polar Argentina to York Capital, (ii) acquired the
51% equity interest of York Capital in the 2018-built, 3,800 TEU
capacity containership Polar Brasil and as result we acquired the
100% equity interest in the vessel and (iii) acquired the 51%
equity interest of York Capital in the 2001-built, 1,550 TEU
capacity containership Arkadia and as a result we obtained 100% of
the equity interest in the vessel. As of December 31, 2023 two
companies, were jointly owned pursuant to the Framework Deed none
of which owned container vessels. As of December 31, 2024, there
were no jointly owned companies pursuant to the Framework Deed.
Gain / (loss) on Derivative Instruments, net
As of December 31, 2024, we hold derivative
financial instruments that qualify for hedge accounting and
derivative financial instruments that do not qualify for hedge
accounting. The change in the fair value of each derivative
instrument that qualifies for hedge accounting is recorded in
“Other Comprehensive Income” (“OCI”). The change in the fair value
of each derivative instrument that does not qualify for hedge
accounting is recorded in the consolidated statements of
income.
As of December 31, 2024, the fair value of these
instruments, in aggregate, amounted to a net liability of $7.4
million. During the year ended December 31, 2024, a net loss of
$4.0 million has been included in OCI and a net loss of $48.9
million has been included in Gain / (loss) on Derivative
Instruments, net.
Cash Flows Years ended
December 31, 2024 and 2023
|
Condensed cash flows |
|
Year ended December 31, |
| (Expressed
in millions of U.S. dollars) |
|
|
2023 |
|
|
|
2024 |
|
| Net Cash
Provided by Operating Activities |
|
$ |
331.4 |
|
|
$ |
537.7 |
|
| Net Cash
Provided by / (Used in) Investing Activities |
|
$ |
79.1 |
|
|
$ |
(79.5 |
) |
| Net Cash
Used in Financing Activities |
|
$ |
(396.8 |
) |
|
$ |
(505.5 |
) |
Net Cash Provided by Operating
Activities
Net cash flows provided by operating activities
for the year ended December 31, 2024, increased by $206.3 million
to $537.7 million, from $331.4 million for the year ended December
31, 2023. The increase is mainly attributable to the increased cash
from operations during the year ended December 31, 2024 compared to
the year ended December 31, 2023, to the favorable change in
working capital position, excluding the current portion of
long-term debt and the accrued charter revenue (representing the
difference between cash received in that period and revenue
recognized on a straight-line basis), to the decrease in interest
payments (including interest derivatives net receipts) during the
year ended December 31, 2024 compared to the year ended December
31, 2023 and to the decreased dry-docking and special survey costs
during the year ended December 31, 2024 compared to the year ended
December 31, 2023.
Net Cash Provided by / (Used in)
Investing Activities
Net cash used in investing activities was $79.5
million in the year ended December 31, 2024, which mainly consisted
of (i) settlement payment for the delivery of the secondhand dry
bulk vessel Miracle, (ii) payments for the acquisition of the
secondhand dry bulk vessels Prosper, Frontier, Magnes, Alwine and
August, (iii) payments for upgrades for certain of our container
and dry bulk vessels and (iv) net payments for investments into
which NML entered; partly offset by proceeds we received from the
sale of the dry bulk vessels Manzanillo, Progress, Konstantinos,
Merida, Alliance, Pegasus, Adventure, Oracle, Titan I and
Discovery.
Net cash provided by investing activities was
$79.1 million in the year ended December 31, 2023, which mainly
consisted of proceeds we received from (i) the sale of the
container vessels Sealand Washington, Maersk Kalamata and Oakland
and the dry bulk vessels Miner, Taibo, Comity, Peace, Pride and
Cetus and (ii) the maturity of our short-term investments in US
Treasury Bills; partly offset by payments for the purchase of
short-term investments in US Treasury Bills, payments for upgrades
for certain of our container and dry bulk vessels, payments for the
acquisition of the secondhand dry bulk vessels Enna, Dorado and
Arya, an advance payment for the acquisition of the secondhand dry
bulk vessel Miracle and net payments for the investments into which
NML entered.
Net Cash Used in Financing
Activities
Net cash used in financing activities was $505.5
million in the year ended December 31, 2024, which mainly consisted
of (i) $209.0 million net payments relating to our debt financing
agreements and finance lease liability agreement (including
proceeds of $528.0 million we received from 18 debt financing
agreements), (ii) $116.0 million we paid, in aggregate, for the
full redemption of our Series E Preferred Stock, (iii) $105.0
million we paid, for the full prepayment of our unsecured bond
loan, (iv) $43.6 million we paid for dividends to holders of our
common stock for the fourth quarter of 2023, the first quarter of
2024, the second quarter of 2024 and the third quarter of 2024 and
(v) $3.8 million we paid for dividends to holders of our Series B
Preferred Stock, $8.5 million we paid for dividends to holders of
our Series C Preferred Stock, $8.7 million we paid for dividends to
holders of our Series D Preferred Stock for the period from October
15, 2023 to January 14, 2024, January 15, 2024 to April 14, 2024,
April 15, 2024 to July 14, 2024 and July 15, 2024 to October 14,
2024 and $5.1 million we paid for dividends to holders of our
Series E Preferred Stock for the period from October 15, 2023 to
January 14, 2024 and January 15, 2024 to April 14, 2024.
Net cash used in financing activities was $396.8
million in the year ended December 31, 2023, which mainly consisted
of (a) $256.0 million net payments relating to our debt financing
agreements and finance lease liability agreement (including
proceeds of $576.2 million we received from eight debt financing
agreements), (b) $60.0 million we paid for the re-purchase of 6.3
million of our common shares, (c) $39.1 million we paid for
dividends to holders of our common stock for the fourth quarter of
2022, the first quarter of 2023, the second quarter of 2023 and the
third quarter of 2023 and (d) $3.8 million we paid for dividends to
holders of our Series B Preferred Stock, $8.5 million we paid for
dividends to holders of our Series C Preferred Stock, $8.7 million
we paid for dividends to holders of our Series D Preferred Stock
and $10.2 million we paid for dividends to holders of our Series E
Preferred Stock for the periods from October 15, 2022 to January
14, 2023, January 15, 2023 to April 14, 2023, April 15, 2023 to
July 14, 2023 and July 15, 2023 to October 14, 2023.
Liquidity and Unencumbered
Vessels
Cash and cash equivalents
As of December 31, 2024, we had Cash and cash
equivalents (including restricted cash) of $777.9 million, $18.5
million invested in short-dated US Treasury Bills (short-term
investments) and $45.2 million margin deposits in relation to our
FFAs and bunker swaps. Furthermore, our liquidity stands at
approximately $941.6 million accounting for $100.0 million of a
hunting license facility subject to final documentation.
Debt-free
vessels
As of February 4,
2025, the following vessels were free of debt.
|
Unencumbered Vessels (Refer to Fleet list for full
details) |
|
|
|
Vessel Name |
|
|
Year Built |
|
TEU / DWT Capacity |
|
|
Containerships |
|
|
|
|
|
|
|
|
KURE |
|
1996 |
|
|
7,403 |
|
|
|
MAERSK KOWLOON |
|
2005 |
|
|
7,471 |
|
|
|
ETOILE |
|
2005 |
|
|
2,556 |
|
|
|
MICHIGAN |
|
2008 |
|
|
1,300 |
|
|
|
ARKADIA |
|
2001 |
|
|
1,550 |
|
|
|
Dry Bulk Vessels |
|
|
|
|
|
|
|
|
ALWINE |
|
2014 |
|
|
61,090 |
|
|
|
AUGUST |
|
2015 |
|
|
61,090 |
|
|
|
|
Conference Call details:
On February 5, 2025 at 8:30 a.m. EST,
Costamare’s management team will hold a conference call to discuss
the financial results. Participants should dial into the call 10
minutes before the scheduled time using the following numbers:
1-844-887-9405 (from the US), 0808-238-9064 (from the UK) or
+1-412-317-9258 (from outside the US and the UK). Please quote
“Costamare”. A replay of the conference call will be available
until February 12, 2025. The United States replay number is
+1-877-344-7529; the standard international replay number is
+1-412-317-0088; and the access code required for the replay is:
6127066.
Live webcast: There will also
be a simultaneous live webcast over the Internet, through the
Costamare Inc. website (www.costamare.com). Participants to the
live webcast should register on the website approximately 10
minutes prior to the start of the webcast.
About Costamare Inc.
Costamare Inc. is one of the world’s leading
owners and providers of containerships and dry bulk vessels for
charter. The Company has 51 years of history in the international
shipping industry and a fleet of 68 containerships, with a total
capacity of approximately 513,000 TEU and 38 dry bulk vessels with
a total capacity of approximately 3,016,000 DWT (including one
vessel we have agreed to sell). The Company also has a dry bulk
operating platform which charters in/out dry bulk vessels, enters
into contracts of affreightment, forward freight agreements and may
also utilize hedging solutions. The Company participates in a
leasing business that provides financing to third-party owners. The
Company’s common stock, Series B Preferred Stock, Series C
Preferred Stock and Series D Preferred Stock trade on the New York
Stock Exchange under the symbols “CMRE”, “CMRE PR B”, “CMRE PR C”
and “CMRE PR D”, respectively.
Forward-Looking Statements
This earnings release contains “forward-looking
statements”. In some cases, you can identify these statements by
forward-looking words such as “believe”, “intend”, “anticipate”,
“estimate”, “project”, “forecast”, “plan”, “potential”, “may”,
“should”, “could”, “expect” and similar expressions. These
statements are not historical facts but instead represent only
Costamare’s belief regarding future results, many of which, by
their nature, are inherently uncertain and outside of Costamare’s
control. It is possible that actual results may differ, possibly
materially, from those anticipated in these forward-looking
statements. For a discussion of some of the risks and important
factors that could affect future results, see the discussion in the
Company’s Annual Report on Form 20-F (File No. 001-34934) under the
caption “Risk Factors”.
Company Contacts:
Gregory Zikos – Chief Financial Officer
Konstantinos Tsakalidis – Business Development
Costamare Inc., Monaco Tel: (+377) 93 25 09 40
Email: ir@costamare.com
Containership Fleet List
The table below provides additional information,
as of February 4, 2025, about our fleet of containerships, and
those vessels subject to sale and leaseback agreements. Each vessel
is a cellular containership, meaning it is a dedicated container
vessel.
| |
Vessel Name |
Charterer |
Year Built |
Capacity (TEU) |
Current Daily Charter
Rate(1)
(U.S. dollars) |
Expiration of
Charter(2) |
|
1 |
TRITON |
Evergreen |
2016 |
14,424 |
(*) |
March 2026 |
|
2 |
TITAN(i) |
Evergreen |
2016 |
14,424 |
(*) |
April 2026 |
|
3 |
TALOS(i) |
Evergreen |
2016 |
14,424 |
(*) |
July 2026 |
|
4 |
TAURUS(i) |
Evergreen |
2016 |
14,424 |
(*) |
August 2026 |
|
5 |
THESEUS(i) |
Evergreen |
2016 |
14,424 |
(*) |
August 2026 |
|
6 |
YM TRIUMPH(i) |
Yang Ming |
2020 |
12,690 |
(*) |
May 2030 |
|
7 |
YM TRUTH(i) |
Yang Ming |
2020 |
12,690 |
(*) |
May 2030 |
|
8 |
YM TOTALITY(i) |
Yang Ming |
2020 |
12,690 |
(*) |
July 2030 |
|
9 |
YM TARGET(i) |
Yang Ming |
2021 |
12,690 |
(*) |
November 2030 |
|
10 |
YM TIPTOP(i) |
Yang Ming |
2021 |
12,690 |
(*) |
March 2031 |
|
11 |
CAPE AKRITAS |
MSC |
2016 |
11,010 |
33,000 |
August 2031 |
|
12 |
CAPE TAINARO |
MSC |
2017 |
11,010 |
33,000 |
April 2031 |
|
13 |
CAPE KORTIA |
MSC |
2017 |
11,010 |
33,000 |
August 2031 |
|
14 |
CAPE SOUNIO |
MSC |
2017 |
11,010 |
33,000 |
April 2031 |
|
15 |
CAPE ARTEMISIO |
Hapag Lloyd/(*) |
2017 |
11,010 |
36,650/(*) |
March 2030(3) |
|
16 |
ZIM SHANGHAI |
ZIM/(*) |
2006 |
9,469 |
72,700/(*) |
May 2028(4) |
|
17 |
YANTIAN I (ex. ZIM YANTIAN) |
ZIM/(*) |
2006 |
9,469 |
72,700/(*) |
April 2028(5) |
|
18 |
YANTIAN |
COSCO/(*) |
2006 |
9,469 |
(*)/(*) |
May 2028(6) |
|
19 |
COSCO HELLAS |
COSCO/(*) |
2006 |
9,469 |
(*)/(*) |
August 2028(7) |
|
20 |
BEIJING |
COSCO/(*) |
2006 |
9,469 |
(*)/(*) |
July 2028(8) |
|
21 |
MSC AZOV |
MSC/(*) |
2014 |
9,403 |
35,300/(*) |
December 2029(9) |
|
22 |
MSC AMALFI |
MSC |
2014 |
9,403 |
35,300 |
March 2027 |
|
23 |
MSC AJACCIO |
MSC |
2014 |
9,403 |
35,300 |
February 2027 |
|
24 |
MSC ATHENS |
MSC/(*) |
2013 |
8,827 |
35,300/(*) |
January 2029(10) |
|
25 |
MSC ATHOS |
MSC/(*) |
2013 |
8,827 |
35,300/(*) |
February 2029(11) |
|
26 |
VALOR |
Hapag Lloyd/(*) |
2013 |
8,827 |
32,400/(*) |
April 2030(12) |
|
27 |
VALUE |
Hapag Lloyd/(*) |
2013 |
8,827 |
32,400/(*) |
April 2030(13) |
|
28 |
VALIANT |
Hapag Lloyd/(*) |
2013 |
8,827 |
32,400/(*) |
June 2030(14) |
|
29 |
VALENCE |
Hapag Lloyd/(*) |
2013 |
8,827 |
32,400/(*) |
July 2030(15) |
|
30 |
VANTAGE |
Hapag Lloyd/(*) |
2013 |
8,827 |
32,400/(*) |
September 2030(16) |
|
31 |
NAVARINO |
MSC/(*) |
2010 |
8,531 |
31,000/(*) |
March 2029(17) |
|
32 |
KLEVEN |
MSC/(*) |
1996 |
8,044 |
41,500/(*) |
April 2028(18) |
|
33 |
KOTKA |
MSC/(*) |
1996 |
8,044 |
41,500/(*) |
September 2028(19) |
|
34 |
MAERSK KOWLOON |
Maersk |
2005 |
7,471 |
18,500 |
October 2025 |
|
35 |
KURE |
MSC/(*) |
1996 |
7,403 |
41,500/(*) |
August 2028(20) |
|
36 |
METHONI |
Maersk |
2003 |
6,724 |
47,453 |
August 2026 |
|
37 |
PORTO CHELI |
Maersk |
2001 |
6,712 |
30,075 |
June 2026 |
|
38 |
TAMPA I |
ZIM/(*) |
2000 |
6,648 |
45,000/(*) |
July 2025 / June 2028(21) |
|
39 |
ZIM VIETNAM |
ZIM |
2003 |
6,644 |
38,500 |
December 2028(22) |
|
40 |
ZIM AMERICA |
ZIM |
2003 |
6,644 |
38,500 |
December 2028 (23) |
|
41 |
ARIES |
(*) |
2004 |
6,492 |
58,500 |
March 2026 |
|
42 |
ARGUS |
(*) |
2004 |
6,492 |
58,500 |
April 2026 |
|
43 |
PORTO KAGIO |
Maersk |
2002 |
5,908 |
28,822 |
June 2026 |
|
44 |
GLEN CANYON |
ZIM/(*) |
2006 |
5,642 |
62,500/(*) |
June 2025/ April 2028(24) |
|
45 |
PORTO GERMENO |
Maersk |
2002 |
5,570 |
28,822 |
June 2026 |
|
46 |
LEONIDIO |
Maersk |
2014 |
4,957 |
18,018 |
October 2026 |
|
47 |
KYPARISSIA |
Maersk |
2014 |
4,957 |
18,118 |
October 2026 |
|
48 |
MEGALOPOLIS |
Maersk |
2013 |
4,957 |
14,043 |
July 2025(25) |
|
49 |
MARATHOPOLIS |
Maersk |
2013 |
4,957 |
14,044 |
July 2025(25) |
|
50 |
GIALOVA |
(*) |
2009 |
4,578 |
(*) |
March 2026 |
|
51 |
DYROS |
Maersk |
2008 |
4,578 |
35,500 |
April 2027(26) |
|
52 |
NORFOLK |
(*)/(*) |
2009 |
4,259 |
(*)/(*) |
March 2028(27) |
|
53 |
VULPECULA |
ZIM |
2010 |
4,258 |
Please refer to note 28 |
May 2028(28) |
|
54 |
VOLANS |
(*) |
2010 |
4,258 |
(*) |
July 2027 |
|
55 |
VIRGO |
Maersk |
2009 |
4,258 |
35,500 |
April 2027(29) |
|
56 |
VELA |
ZIM |
2009 |
4,258 |
Please refer to note 30 |
April 2028(30) |
|
57 |
ANDROUSA |
(*) |
2010 |
4,256 |
(*) |
March 2026 |
|
58 |
NEOKASTRO |
CMA CGM |
2011 |
4,178 |
39,000 |
February 2027 |
|
59 |
ULSAN |
Maersk |
2002 |
4,132 |
34,730 |
January 2026 |
|
60 |
POLAR BRASIL (i) |
Maersk |
2018 |
3,800 |
21,000 |
March 2026(31) |
|
61 |
LAKONIA |
COSCO |
2004 |
2,586 |
23,500 |
February 2027(32) |
|
62 |
SCORPIUS |
Hapag Lloyd |
2007 |
2,572 |
16,500 |
February 2026 |
|
63 |
ETOILE |
(*)/(*) |
2005 |
2,556 |
(*)/(*) |
July 2028(33) |
|
64 |
AREOPOLIS |
COSCO |
2000 |
2,474 |
23,500 |
March 2027(34) |
|
65 |
ARKADIA |
Swire Shipping |
2001 |
1,550 |
13,000 |
March 2025 |
|
66 |
MICHIGAN |
(*)/(*) |
2008 |
1,300 |
(*)/(*) |
October 2027(35) |
|
67 |
TRADER |
(*)/(*) |
2008 |
1,300 |
(*)/(*) |
October 2028(36) |
|
68 |
LUEBECK |
(*)/(*) |
2001 |
1,078 |
(*)/(*) |
April 2028 (37) |
|
(1) |
|
Daily charter rates are gross, unless stated otherwise. Amounts set
out for current daily charter rate are the amounts contained in the
charter contracts. |
|
(2) |
|
Charter terms and expiration dates are based on the earliest date
charters (unless otherwise noted) could expire. |
|
(3) |
|
Cape Artemisio is currently chartered to Hapag Lloyd at a daily
rate of $36,650 until March 12, 2025, at the earliest. Upon
redelivery of the vessel from Hapag Lloyd, the vessel will commence
a new charter with a leading liner company for a period of 60 to 64
months at an undisclosed rate. |
|
(4) |
|
Zim Shanghai is currently chartered to ZIM at a daily rate of
$72,700 until July 1, 2025, at the earliest. Upon redelivery of the
vessel from ZIM, the vessel will commence a new charter with a
leading liner company for a period of 34 to 36 months at an
undisclosed rate. |
|
(5) |
|
Yantian I (ex. Zim Yantian) is currently chartered to ZIM at a
daily rate of $72,700 until June 27, 2025, at the earliest. Upon
redelivery of the vessel from ZIM, the vessel will commence a new
charter with a leading liner company for a period of 34 to 36
months at an undisclosed rate. |
|
(6) |
|
Yantian is currently chartered to COSCO at an undisclosed rate
until May 1, 2026, at the earliest. Following the aforementioned
date, the vessel will be employed with a leading liner company for
a period of 24 to 26 months at an undisclosed rate. |
|
(7) |
|
Cosco Hellas is currently chartered to COSCO at an undisclosed rate
until August 1, 2026, at the earliest. Following the aforementioned
date, the vessel will be employed with a leading liner company for
a period of 24 to 26 months at an undisclosed rate. |
|
(8) |
|
Beijing is currently chartered to COSCO at an undisclosed rate
until July 1, 2026, at the earliest. Following the aforementioned
date, the vessel will be employed with a leading liner company for
a period of 24 to 26 months at an undisclosed rate. |
|
(9) |
|
MSC Azov is currently chartered to MSC at a daily rate of $35,300
until December 2026 (earliest redelivery) - January 2027 (latest
redelivery). Upon redelivery of the vessel from its current
charterer, the vessel will commence a new charter with a leading
liner company until December 2029 (earliest redelivery) - February
2030 (latest redelivery) at an undisclosed rate. |
|
(10) |
|
MSC Athens is currently chartered to MSC at a daily rate of $35,300
until January 2026 (earliest redelivery) - March 2026 (latest
redelivery). Upon redelivery of the vessel from its current
charterer, the vessel will commence a new charter with a leading
liner company until January 2029 (earliest redelivery) - March 2029
(latest redelivery) at an undisclosed rate. |
|
(11) |
|
MSC Athos is currently chartered to MSC at a daily rate of $35,300
until February 2026 (earliest redelivery) - April 2026 (latest
redelivery). Upon redelivery of the vessel from its current
charterer, the vessel will commence a new charter with a leading
liner company until February 2029 (earliest redelivery) - April
2029 (latest redelivery) at an undisclosed rate. |
|
(12) |
|
Valor is currently chartered to Hapag Lloyd at a daily rate of
$32,400 until April 3, 2025, at the earliest. Upon redelivery of
the vessel from Hapag Lloyd, the vessel will commence a new charter
with a leading liner company for a period of 60 to 64 months at an
undisclosed rate. |
|
(13) |
|
Value is currently chartered to Hapag Lloyd at a daily rate of
$32,400 until April 25, 2025, at the earliest. Upon redelivery of
the vessel from Hapag Lloyd, the vessel will commence a new charter
with a leading liner company for a period of 60 to 64 months at an
undisclosed rate. |
|
(14) |
|
Valiant is currently chartered to Hapag Lloyd at a daily rate of
$32,400 until June 5, 2025, at the earliest. Upon redelivery of the
vessel from Hapag Lloyd, the vessel will commence a new charter
with a leading liner company for a period of 60 to 64 months at an
undisclosed rate. |
|
(15) |
|
Valence is currently chartered to Hapag Lloyd at a daily rate of
$32,400 until July 3, 2025, at the earliest. Upon redelivery of the
vessel from Hapag Lloyd, the vessel will commence a new charter
with a leading liner company for a period of 60 to 64 months at an
undisclosed rate. |
|
(16) |
|
Vantage is currently chartered to Hapag Lloyd at a daily rate of
$32,400 until September 8, 2025, at the earliest. Upon redelivery
of the vessel from Hapag Lloyd, the vessel will commence a new
charter with a leading liner company for a period of 60 to 64
months at an undisclosed rate. |
|
(17) |
|
Navarino is currently chartered to MSC at a daily rate of $31,000
until March 1, 2025, at the earliest. Upon redelivery of the vessel
from MSC, the vessel will commence a new charter with a leading
liner company for a period of 48 to 52 months at an undisclosed
rate. |
|
(18) |
|
Kleven is currently chartered to MSC at a daily rate of $41,500
until November 2026 (earliest redelivery) - January 2027 (latest
redelivery). Upon redelivery of the vessel from its current
charterer, the vessel will commence a new charter with a leading
liner company until April 2028 (earliest redelivery) - June 2028
(latest redelivery) at an undisclosed rate. |
|
(19) |
|
Kotka is currently chartered to MSC at a daily rate of $41,500
until December 2026 (earliest redelivery) - February 2027 (latest
redelivery). Upon redelivery of the vessel from its current
charterer, the vessel will commence a new charter with a leading
liner company until September 2028 (earliest redelivery) - November
2028 (latest redelivery) at an undisclosed rate. |
|
(20) |
|
Kure is currently chartered to MSC at a daily rate of $41,500 until
July 2026 (earliest redelivery) - September 2026 (latest
redelivery). Upon redelivery of the vessel from its current
charterer, the vessel will commence a new charter with a leading
liner company until August 2028 (earliest redelivery) - October
2028 (latest redelivery) at an undisclosed rate. |
|
(21) |
|
Tampa I is currently chartered to ZIM at a daily rate of $45,000
until July 2025 (earliest redelivery) - August 2025 (latest
redelivery). Upon redelivery of the vessel from ZIM, the vessel
will commence a new charter with a leading liner company for a
period of 34 to 36 months at an undisclosed rate. |
|
(22) |
|
ZIM Vietnam is currently chartered at a daily rate of $53,000 until
October 17, 2025. From such date and until the expiration of the
charter the new daily rate will be $38,500. |
|
(23) |
|
ZIM America is currently chartered at a daily rate of $53,000 until
October 3, 2025. From such date and until the expiration of the
charter the new daily rate will be $38,500. |
|
(24) |
|
Glen Canyon is currently chartered to ZIM at a daily rate of
$62,500 until June 2025 (earliest redelivery) - September 2025
(latest redelivery). Upon redelivery of the vessel from ZIM, the
vessel will commence a new charter with a leading liner company for
a period of 34 to 36 months at an undisclosed rate. |
|
(25) |
|
Charterer has the option to extend the current time charter for an
additional period of approximately 24 months at a daily rate of
$14,500. |
|
(26) |
|
Dyros is currently chartered to Maersk at a daily rate of $17,500
until April 15, 2025. Following the aforementioned date, the new
daily rate will be $35,500 for a period of 24 to 26 months. |
|
(27) |
|
Norfolk is currently chartered until March 2025 (earliest
redelivery) - May 2025 (latest redelivery). Upon redelivery of the
vessel from its current charterer, the vessel will commence a new
charter with a leading liner company until March 2028 (earliest
redelivery) - May 2028 (latest redelivery) at an undisclosed
rate. |
|
(28) |
|
Vulpecula is currently chartered to ZIM under a charterparty
agreement which commenced in May 2023. The tenor of the charter is
for a period of 60 to 64 months. For this charter, the daily rate
is $99,000 for the first 12 month period, $91,250 for the second 12
month period, $10,000 for the third 12 month period and $8,000 for
the remaining duration of the charter. |
|
(29) |
|
Virgo is currently chartered to Maersk at a daily rate of $21,500
until April 15, 2025. Following the aforementioned date, the new
daily rate will be $35,500 for a period of 24 to 26 months. |
|
(30) |
|
Vela is currently chartered to ZIM under a charterparty agreement
which commenced in April 2023. The tenor of the charter is for a
period of 60 to 64 months. For this charter, the daily rate is
$99,000 for the first 12 month period, $91,250 for the second 12
month period, $10,000 for the third 12 month period and $8,000 for
the remaining duration of the charter. |
|
(31) |
|
Polar Brasil is currently chartered at a daily rate of $19,700
until April 27, 2025. From such date and until the expiration of
the charter the new daily rate will be $21,000. Charterer has the
option to extend the current time charter for two additional
one-year periods at a daily rate of $21,000. |
|
(32) |
|
Lakonia is currently chartered to COSCO at a daily rate of $26,500
until March 24, 2025. Following the aforementioned date, the new
daily rate will be $23,500 for a period of 23 to 25 months. |
|
(33) |
|
Etoile is currently chartered until June 2026 (earliest redelivery)
- September 2026 (latest redelivery). Upon redelivery of the vessel
from its current charterer, the vessel will commence a new charter
with a leading liner company until July 2028 (earliest redelivery)
- August 2028 (latest redelivery) at an undisclosed rate. |
|
(34) |
|
Areopolis is currently chartered to COSCO at a daily rate of
$26,500 until April 3, 2025. Following the aforementioned date, the
new daily rate will be $23,500 for a period of 23 to 25
months. |
|
(35) |
|
Michigan is currently chartered until October 2025 (earliest
redelivery) - December 2025 (latest redelivery). Upon redelivery of
the vessel from its current charterer, the vessel will commence a
new charter with a leading liner company until October 2027
(earliest redelivery) - December 2027 (latest redelivery) at an
undisclosed rate. |
|
(36) |
|
Trader is currently chartered until October 2026 (earliest
redelivery) - December 2026 (latest redelivery). Upon redelivery of
the vessel from its current charterer, the vessel will commence a
new charter with a leading liner company until October 2028
(earliest redelivery) - December 2028 at an undisclosed rate. |
|
(37) |
|
Luebeck is currently chartered until April 2026 (earliest
redelivery) - June 2026 (latest redelivery). Upon redelivery of the
vessel from its current charterer, the vessel will commence a new
charter with a leading liner company until April 2028 (earliest
redelivery) - June 2028 (latest redelivery) at an undisclosed
rate. |
|
|
|
|
|
(i) |
|
Denotes vessels subject to a sale and leaseback transaction. |
|
|
|
|
(*) Denotes charterer’s identity and/or current
daily charter rates and/or charter expiration dates, which are
treated as confidential.
Dry Bulk Vessel Fleet List
The table below provides information, as of
February 4, 2025 about our owned fleet of dry bulk vessels. Each
vessel is owned by one of our subsidiaries.
| |
Vessel Name |
Year Built |
Capacity (DWT) |
|
1 |
FRONTIER |
2012 |
181,415 |
|
2 |
MIRACLE |
2011 |
180,643 |
|
3 |
PROSPER |
2012 |
179,895 |
|
4 |
DORADO |
2011 |
179,842 |
|
5 |
MAGNES |
2011 |
179,546 |
|
6 |
ENNA |
2011 |
175,975 |
|
7 |
AEOLIAN |
2012 |
83,478 |
|
8 |
GRENETA |
2010 |
82,166 |
|
9 |
HYDRUS |
2011 |
81,601 |
|
10 |
PHOENIX |
2012 |
81,569 |
|
11 |
BUILDER |
2012 |
81,541 |
|
12 |
FARMER |
2012 |
81,541 |
|
13 |
SAUVAN |
2010 |
79,700 |
|
14 |
ROSE(i) |
2008 |
76,619 |
|
15 |
MERCHIA |
2015 |
63,585 |
|
16 |
DAWN |
2018 |
63,561 |
|
17 |
SEABIRD |
2016 |
63,553 |
|
18 |
ORION |
2015 |
63,473 |
|
19 |
DAMON |
2012 |
63,301 |
|
20 |
ARYA |
2013 |
61,424 |
|
21 |
ALWINE |
2014 |
61,090 |
|
22 |
AUGUST |
2015 |
61,090 |
|
23 |
ATHENA |
2012 |
58,018 |
|
24 |
ERACLE |
2012 |
58,018 |
|
25 |
PYTHIAS |
2010 |
58,018 |
|
26 |
NORMA |
2010 |
58,018 |
|
27 |
CURACAO |
2011 |
57,937 |
|
28 |
URUGUAY |
2011 |
57,937 |
|
29 |
SERENA |
2010 |
57,266 |
|
30 |
LIBRA |
2010 |
56,701 |
|
31 |
CLARA |
2008 |
56,557 |
|
32 |
BERMONDI |
2009 |
55,469 |
|
33 |
VERITY |
2012 |
37,163 |
|
34 |
PARITY |
2012 |
37,152 |
|
35 |
ACUITY |
2011 |
37,152 |
|
36 |
EQUITY |
2013 |
37,071 |
|
37 |
BERNIS |
2011 |
35,995 |
|
38 |
RESOURCE |
2010 |
31,775 |
(i) Denotes vessel we have agreed to sell.
|
Consolidated Statements of Income |
|
|
|
|
|
Year ended December 31, |
|
Three-months ended December 31, |
|
(Expressed in thousands of U.S. dollars, except share and per share
amounts) |
|
2023 |
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Audited) |
|
(Unaudited) |
|
(Unaudited) |
|
(Unaudited) |
|
REVENUES: |
|
|
|
|
|
|
|
|
|
Voyage revenue |
$ |
1,502,491 |
|
$ |
1,849,860 |
|
$ |
490,523 |
|
$ |
443,165 |
|
|
Voyage revenue – related parties |
|
- |
|
|
210,087 |
|
|
- |
|
|
98,959 |
|
|
Total voyage revenue |
|
1,502,491 |
|
|
2,059,947 |
|
|
490,523 |
|
|
542,124 |
|
|
Income from investments in leaseback vessels |
|
8,915 |
|
|
23,947 |
|
|
4,324 |
|
|
6,279 |
|
|
Total revenues |
$ |
1,511,406 |
|
$ |
2,083,894 |
|
$ |
494,847 |
|
$ |
548,403 |
|
|
|
|
|
|
|
|
|
|
|
|
EXPENSES: |
|
|
|
|
|
|
|
|
|
Voyage expenses |
|
(275,856 |
) |
|
(371,058 |
) |
|
(90,005 |
) |
|
(93,267 |
) |
|
Charter-in hire expenses |
|
(340,926 |
) |
|
(706,569 |
) |
|
(166,256 |
) |
|
(185,138 |
) |
|
Voyage expenses – related parties |
|
(13,993 |
) |
|
(21,566 |
) |
|
(3,731 |
) |
|
(6,865 |
) |
|
Vessels’ operating expenses |
|
(258,088 |
) |
|
(240,207 |
) |
|
(63,978 |
) |
|
(59,662 |
) |
|
General and administrative expenses |
|
(18,366 |
) |
|
(25,040 |
) |
|
(3,907 |
) |
|
(6,342 |
) |
|
Management and agency fees – related parties |
|
(56,254 |
) |
|
(59,281 |
) |
|
(12,304 |
) |
|
(14,002 |
) |
|
General and administrative expenses – non-cash component |
|
(5,850 |
) |
|
(8,427 |
) |
|
(1,556 |
) |
|
(1,919 |
) |
|
Amortization of dry-docking and special survey costs |
|
(19,782 |
) |
|
(23,627 |
) |
|
(5,310 |
) |
|
(6,320 |
) |
|
Depreciation |
|
(166,340 |
) |
|
(164,206 |
) |
|
(41,774 |
) |
|
(41,677 |
) |
|
Gain / (loss) on sale of vessels, net |
|
112,220 |
|
|
3,788 |
|
|
(971 |
) |
|
440 |
|
|
Loss on vessels held for sale |
|
(2,305 |
) |
|
- |
|
|
(2,305 |
) |
|
- |
|
|
Vessel’s impairment loss |
|
(434 |
) |
|
- |
|
|
(205 |
) |
|
- |
|
|
Foreign exchange gains / (losses) |
|
2,576 |
|
|
(5,440 |
) |
|
3,860 |
|
|
(6,414 |
) |
|
Operating income |
$ |
468,008 |
|
$ |
462,261 |
|
$ |
106,405 |
|
$ |
127,237 |
|
|
|
|
|
|
|
|
|
|
|
|
OTHER INCOME / (EXPENSES): |
|
|
|
|
|
|
|
|
|
Interest income |
$ |
32,447 |
|
$ |
33,185 |
|
$ |
6,903 |
|
$ |
6,989 |
|
|
Interest and finance costs |
|
(144,429 |
) |
|
(133,123 |
) |
|
(34,406 |
) |
|
(33,226 |
) |
|
Income / (loss) from equity method investments |
|
764 |
|
|
12 |
|
|
75 |
|
|
(7 |
) |
|
Other |
|
6,941 |
|
|
2,873 |
|
|
1,231 |
|
|
588 |
|
|
Gain / (loss) on derivative instruments, net |
|
17,288 |
|
|
(48,874 |
) |
|
24,467 |
|
|
(69,665 |
) |
|
Total other expenses, net |
$ |
(86,989 |
) |
$ |
(145,927 |
) |
$ |
(1,730 |
) |
$ |
(95,321 |
) |
|
Net Income |
$ |
381,019 |
|
$ |
316,334 |
|
$ |
104,675 |
|
$ |
31,916 |
|
|
Earnings allocated to Preferred Stock |
|
(31,068 |
) |
|
(23,796 |
) |
|
(7,767 |
) |
|
(5,230 |
) |
|
Deemed dividend to Series E Preferred Stock |
|
- |
|
|
(5,446 |
) |
|
- |
|
|
- |
|
|
Net (Gain)/ loss attributable to the non-controlling interest |
|
4,730 |
|
|
3,585 |
|
|
(322 |
) |
|
3,056 |
|
|
Net Income available to common stockholders |
$ |
354,681 |
|
$ |
290,677 |
|
$ |
96,586 |
|
$ |
29,742 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per common share, basic and diluted |
$ |
2.95 |
|
$ |
2.44 |
|
$ |
0.82 |
|
$ |
0.25 |
|
|
Weighted average number of shares, basic and diluted |
|
120,299,172 |
|
|
119,299,405 |
|
|
118,042,187 |
|
|
119,805,639 |
|
|
|
|
COSTAMARE INC. Consolidated Balance
Sheets |
|
|
|
(Expressed in thousands of U.S. dollars) |
|
As of December 31, 2023 |
|
As of December 31, 2024 |
|
ASSETS |
|
(Audited) |
|
(Unaudited) |
|
CURRENT ASSETS: |
|
|
|
|
|
Cash and cash equivalents |
$ |
745,544 |
|
$ |
704,633 |
|
|
Restricted cash |
|
10,645 |
|
|
18,145 |
|
|
Margin deposits |
|
13,748 |
|
|
45,221 |
|
|
Short-term investments |
|
17,492 |
|
|
18,499 |
|
|
Investment in leaseback vessels, current |
|
27,362 |
|
|
30,561 |
|
|
Net investment in sales type lease (Vessels), current |
|
22,620 |
|
|
12,748 |
|
|
Accounts receivable |
|
50,684 |
|
|
45,509 |
|
|
Inventories |
|
61,266 |
|
|
57,656 |
|
|
Due from related parties |
|
4,119 |
|
|
7,014 |
|
|
Fair value of derivatives |
|
33,310 |
|
|
10,607 |
|
|
Insurance claims receivable |
|
18,458 |
|
|
10,881 |
|
|
Vessels held for sale |
|
40,307 |
|
|
- |
|
|
Time-charter assumed |
|
405 |
|
|
195 |
|
|
Accrued charter revenue |
|
9,752 |
|
|
11,929 |
|
|
Prepayments and other |
|
61,949 |
|
|
66,618 |
|
|
Total current assets |
$ |
1,117,661 |
|
$ |
1,040,216 |
|
|
FIXED ASSETS, NET: |
|
|
|
|
|
Vessels and advances, net |
|
3,446,797 |
|
|
3,387,012 |
|
|
Total fixed assets, net |
$ |
3,446,797 |
|
$ |
3,387,012 |
|
|
NON-CURRENT ASSETS: |
|
|
|
|
|
Equity method investments |
$ |
552 |
|
$ |
- |
|
|
Investment in leaseback vessels, non-current |
|
191,674 |
|
|
222,088 |
|
|
Deferred charges, net |
|
72,801 |
|
|
71,807 |
|
|
Finance leases, right-of-use assets (Vessels) |
|
39,211 |
|
|
37,818 |
|
|
Net investment in sales type lease (Vessels), non-current |
|
19,482 |
|
|
6,734 |
|
|
Operating leases, right-of-use assets |
|
284,398 |
|
|
297,975 |
|
|
Accounts receivable, non-current |
|
5,586 |
|
|
3,560 |
|
|
Due from related parties, non-current |
|
- |
|
|
2,175 |
|
|
Restricted cash |
|
69,015 |
|
|
55,158 |
|
|
Fair value of derivatives, non-current |
|
28,639 |
|
|
21,382 |
|
|
Accrued charter revenue, non-current |
|
10,937 |
|
|
2,688 |
|
|
Time-charter assumed, non-current |
|
269 |
|
|
74 |
|
|
Total assets |
$ |
5,287,022 |
|
$ |
5,148,687 |
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|
|
CURRENT LIABILITIES: |
|
|
|
|
|
Current portion of long-term debt |
$ |
347,027 |
|
$ |
317,865 |
|
|
Finance lease liability |
|
2,684 |
|
|
23,877 |
|
|
Operating lease liabilities, current portion |
|
160,993 |
|
|
205,172 |
|
|
Accounts payable |
|
46,769 |
|
|
49,425 |
|
|
Due to related parties |
|
3,172 |
|
|
6,833 |
|
|
Accrued liabilities |
|
39,521 |
|
|
31,885 |
|
|
Unearned revenue |
|
52,177 |
|
|
47,813 |
|
|
Fair value of derivatives |
|
3,050 |
|
|
34,221 |
|
|
Other current liabilities |
|
7,377 |
|
|
28,469 |
|
|
Total current liabilities |
$ |
662,770 |
|
$ |
745,560 |
|
|
NON-CURRENT LIABILITIES |
|
|
|
|
|
Long-term debt, net of current portion |
$ |
1,999,193 |
|
$ |
1,716,204 |
|
|
Finance lease liability, net of current portion |
|
23,877 |
|
|
- |
|
|
Operating lease liabilities, non-current portion |
|
114,063 |
|
|
87,424 |
|
|
Fair value of derivatives, net of current portion |
|
11,194 |
|
|
5,174 |
|
|
Unearned revenue, net of current portion |
|
27,352 |
|
|
14,620 |
|
|
Other non-current liabilities |
|
9,184 |
|
|
11,099 |
|
|
Total non-current liabilities |
$ |
2,184,863 |
|
$ |
1,834,521 |
|
|
COMMITMENTS AND CONTINGENCIES |
|
- |
|
|
- |
|
|
Temporary equity – Redeemable non-controlling interest in
subsidiary |
$ |
629 |
|
$ |
(2,453 |
) |
|
STOCKHOLDERS’ EQUITY: |
|
|
|
|
|
Preferred stock |
$ |
- |
|
$ |
- |
|
|
Common stock |
|
13 |
|
|
13 |
|
|
Treasury stock |
|
(120,095 |
) |
|
(120,095 |
) |
|
Additional paid-in capital |
|
1,435,294 |
|
|
1,336,646 |
|
|
Retained earnings |
|
1,045,932 |
|
|
1,279,605 |
|
|
Accumulated other comprehensive income |
|
21,387 |
|
|
17,345 |
|
|
Total Costamare Inc. stockholders’ equity |
$ |
2,382,531 |
|
$ |
2,513,514 |
|
|
Non-controlling interest |
|
56,229 |
|
|
57,545 |
|
|
Total stockholders’ equity |
|
2,438,760 |
|
|
2,571,059 |
|
|
Total liabilities and stockholders’ equity |
$ |
5,287,022 |
|
$ |
5,148,687 |
|
Costamare (NYSE:CMRE)
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Costamare (NYSE:CMRE)
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