Eagle Bulk into the red
(Posted on 31/07/19)
Eagle Bulk Shipping Inc., one of the world’s largest owner-operators within the Supramax / Ultramax segment, has reported financial results for the three and six months ended June 30, 2019.
Gary Vogel, Eagle Bulk's CEO, commented, "Our results for the second quarter are reflective of the challenging freight environment in the first half of the year. Despite the headwinds, we continued to deliver strong TCE outperformance (relative to the adjusted benchmark Baltic Supramax Index) of nearly $2,000 in the second quarter, marking our tenth consecutive quarter of outperformance.
"Our recently announced bond issuance and pending acquisition of six modern Ultramax vessels, four of which will be delivered to us with scrubbers, is an important step for Eagle, as we continue to renew and grow our fleet with larger, more efficient vessels. Coupled with our existing scrubber initiative, we believe these acquisitions increase our leverage to the opportunities IMO 2020 will present."
Highlights for the Quarter:
Generated net revenues of $69.4 million, representing a decrease of $5.5 million or 7% compared to the same period in 2018.
- TCE Revenue (1) for the quarter equated to $38.9 million, a decrease of 18% year-on-year.
- Achieved a TCE (2) of $9,731 for the quarter, a decrease of 15% year-on-year.
Realized a net loss of $6.0 million or $0.08 per basic and diluted share, compared to a net income of $3.5 million or $0.05 per basic and diluted share in the second quarter 2018.
Adjusted EBITDA(3) of $10.4 million, representing a decrease of $10.8 million or 51% compared to the same period in 2018.
Looking ahead into the third quarter of 2019, the Company has attained a TCE of $10,285 with approximately 57% of the available days fixed for the period thus far.
Subsequent Events
Issued 5-year Senior Unsecured Convertible Bonds totaling $114.1 million in gross proceeds, including the greenshoe of $14.1 million
- Coupon of 5% and conversion premium of +25% to July 24th 2019 closing price or $5.61 per share
Entered into two agreements to acquire a total of six high-specification SDARI-64 Ultramax vessels (the "Acquisition Vessels") for an aggregate purchase price of approximately $122.0 million, subject to final documentation and customary closing conditions
- Average age of approximately 3.3 years
- Four vessels are fitted with Exhaust Gas Cleaning Systems ("scrubbers")
Reached an agreement to sell the Kestrel, a 15-year old Supramax, ahead of her statutory drydock for a gross price of $7.3 million
Latest News
Maritime appetite for cyber risk higher than other industries
(Posted on 20/11/24)A new report published by DNV reveals that the majority (61%) of maritime professionals believe the... Read more
NorthStandard adjusts for future with precautionary premiums increase
(Posted on 20/11/24)The return of higher claim volumes during 2024, increased exposure to larger claims, and continuing... Read more
ClassNK ELW on improving seafarers’ living conditions for Tokei Kaiun bulker
(Posted on 12/11/24)ClassNK has granted its ‘ELW (HP)’ (Excellent Living and Working Environment (Hydroponics... Read more
FONASBA elects new President and Board
(Posted on 12/11/24)The Federation of National Associations of Ship Brokers and Agents (FONASBA) has held its annual meeting... Read more
10,000 cadets benefit from Sailors’ Society virtual conferences
(Posted on 12/11/24)Record-breaking numbers of cadets and ratings from across the globe have attended the 2024 Sailors&rsquo... Read more
Algoma’s stronger quarter signals promising close to the year
(Posted on 04/11/24)Algoma Central Corporation has reported its results for the three and nine months ended September 30... Read more
Urgent need for updated medical guide for ships
(Posted on 04/11/24)Marine Medical Solutions, a key player in maritime healthcare, is raising awareness to the urgent need... Read more
KCC makes move into wind with bound4blue eSAIL system on newbuild
(Posted on 31/10/24)A subsidiary of Klaveness Combination Carriers ASA (“KCC”) has entered into an agreement... Read more
KCC makes move into wind with bound4blue eSAIL system on newbuild
(Posted on 31/10/24)A subsidiary of Klaveness Combination Carriers ASA (“KCC”) has entered into an agreement... Read more
Partnership to launch maritime Know-Your-Customer data platform
(Posted on 31/10/24)Baltic Exchange has launched a Know-Your-Customer (KYC) platform to give the maritime sector greater... Read more
