Seanergy Maritime – High fares and increased revenue and profits

The average fare of Seanergy Maritime ships for the fourth quarter of 2021 is $ 36,000 per day, higher by 53% compared to the average for the first nine months of 2021, as a result of the improved conditions in the bulk dry cargo market.

The very good freight market also boosted Seanergy’s revenue in the third quarter of 2021 to $ 50 million, recording an increase of 146%, compared to $ 20.4 million in the corresponding period in 2020. Its net profit Company amounted to $ 20.1 million for the first quarter of 2021, compared to $ 3.6 million in the corresponding quarter of 2020, recording a significant increase of 459%.

In addition, Adjusted EBITDA stood at $ 32.2 million, up from $ 7.8 million in the third quarter of 2020, an increase of 312%. The average daily fleet fare for the third quarter of 2021 was $ 30,764, 90% higher than $ 16,219 in the third quarter of 2020.

For the first nine months of 2020, turnover was $ 100.0 million, up 130% from $ 43.5 million in 2020. The company recorded Adjusted EBITDA (51). $ 4 million, compared to $ 7.3 million in the corresponding nine months of 2020, showing a colossal increase of 602%. Net profit was $ 20.7 million against a net loss of $ 16 million in the corresponding period in 2020. The average daily fare (TCE) of the fleet for the nine months of 2021 was $ 23,449, compared to $ 10,267 in 2020. The average daily operating expenses (“OPEX”) amounted to $ 5,806, compared to 5,573 in 2020.

As of September 30, 2021, total cash and cash equivalents amounted to $ 52.6 million and equity to $ 222.3 million, up 122% and 132% compared with the corresponding amounts on December 31, 2020.

Mr. Stamatis Tsantanis, President and CEO of the Company, stated:

“The third quarter as well as the nine months of 2021 are the most profitable periods of the Company since 2015. Seanergy’s significant financial performance is due to the combination of timely Capesize ship purchases we completed during the year, as well as the highest dry cargo market of the last decade.

Regarding the development strategy of our fleet, since the beginning of the year, the total investment amounted to approximately 193.2 million dollars for the acquisition of 7 high quality Japanese Capesize trucks, now the Company exceeds 3 million dwt in carrying capacity. In this context, in the third quarter, we received two Capesize ships on time, while we delivered the M / V Leadership, the oldest ship in the fleet, to its new owners in Asia.

The total investment was financed by the strong cash position of the Company, as well as new financing agreements with large banking organizations. In particular, we have successfully completed new $ 135 million loan financing and refinancing agreements and at the same time repaying $ 82.3 million higher cost loan agreements. Our goal is the lowest cost of borrowing, which we achieved by reducing our average interest rate by about 130 basis points. This trend will continue in 2022, as we are already in advanced discussions with leading Banks for financing on very competitive terms.

In 2021, we entered into 10 new time charters lasting from 1 to 5 years with prominent Capesize charterers. The new charters have a daily TCE connected to the BCI with the possibility of conversion to a fixed one of our choice, in order to take advantage of the improved market conditions. Our entire fleet is now 100% chartered.

As for our ESG initiatives, not only are we at the forefront of important environmental regulations, but we are stepping up our efforts to meet the IMO targets by 2030. We recently adopted Call to Action for Shipping Decarbonization, a global coalition of over 190 industry leaders. In addition, we have signed agreements with DeepSea to install Artificial Intelligence performance systems in our fleet and with Marsoft to continuously monitor the energy efficiency of our fleet. In cooperation with the charterers, we will install Energy Saving Devices (“ESD”) throughout the fleet, an upgrade program that will be gradually completed in the upcoming tanks. Finally, we invest in research and development of emission reduction technologies, including biofuel tests.

We believe that the fundamental conditions of the capesize market will remain ideal for the coming years. Orders for new Capesize ships continue at 25-year lows, while environmental regulations will significantly reduce the speed of the existing fleet. We expect this positive trend to continue in the long run, given the growing demand for raw materials and the global increase in financial incentives and infrastructure projects.

“Seanergy is one of the strongest companies in the Capesize market worldwide, and we believe we will make the most of the positive market elements in the coming years.”

Seanergy Maritime Holdings Corp. is the only company listed on the US stock exchange that manages exclusively a fleet of Capesize type ships. With the delivery of M / V Dukeship, the Company’s fleet will consist of 17 Capesize type ships, with a total carrying capacity of 3,011,083 tons and an average fleet age of approximately 11.7 years.

Seanergy Maritime Holdings Corp. is a shipping company with headquarters in Glyfada, Attica and based in Marshall Islands. The Company’s shares are traded on the Nasdaq Capital Market under the code “SHIP”.