EuroDry Ltd. Reports Results for the Six-Month Period and Quarter Ended June 30, 2022 and Announces Share Repurchase Program
EuroDry Ltd. (NASDAQ: EDRY) reported a strong second quarter 2022, with net revenues of $21.0 million, a 48.9% increase year-over-year. Net income was $10.6 million or $3.66 per share. Adjusted EBITDA reached $13.7 million. The company announced a $10 million share repurchase program, aimed at enhancing shareholder value. However, due to market volatility, charter rates saw declines of about 40%. Overall, EuroDry maintains a positive outlook despite expected profit reductions from upcoming drydocking projects.
- Net revenues for Q2 2022 increased by 48.9% to $21.0 million.
- Net income attributable to common shareholders reached $10.6 million, reflecting strong operational performance.
- Earnings per share (EPS) increased to $3.66 for Q2 2022.
- Share repurchase program of $10 million approved to return value to shareholders.
- Charter rates declined nearly 40% in late Q2 2022 due to market volatility.
- Profitability may decrease in Q3 2022 due to three scheduled drydockings.
ATHENS, Greece, Aug. 08, 2022 (GLOBE NEWSWIRE) -- EuroDry Ltd. (NASDAQ: EDRY, the “Company” or “EuroDry”), an owner and operator of drybulk vessels and provider of seaborne transportation for drybulk cargoes, announced today its results for the three and six month periods ended June 30, 2022.
Second Quarter 2022 Highlights:
- Total net revenues for the quarter of
$21.0 million . - Net income attributable to common shareholders of
$10.6 million , or,$3.66 and$3.61 earnings per share basic and diluted, respectively. - Adjusted net income attributable to common shareholders1 for the quarter of
$9.9 million , or,$3.43 and$3.38 adjusted earnings per share basic and diluted, respectively, before unrealized gain on derivatives. - Adjusted EBITDA1 for the quarter was
$13.7 million . - An average of 10.79 vessels were owned and operated during the second quarter of 2022 earning an average time charter equivalent rate of
$23,490 per day. - The Board of Directors has approved a share repurchase program for up to a total of
$10 million of the Company's common stock. The Board will review the program after a period of 12 months. Share repurchases will be made from time to time for cash in open market transactions at prevailing market prices or in privately negotiated transactions. The timing and amount of purchases under the program will be determined by management based upon market conditions and other factors. The program does not require the Company to purchase any specific number or amount of shares and may be suspended or reinstated at any time at the Company's discretion and without notice. - The Company also announced that it completed its 2021 Sustainability Report which is available at its website (http://www.eurodry.gr/company/sustainability.html)
_______________________
1Adjusted EBITDA, Adjusted net income and Adjusted earnings per share are not recognized measurements under US GAAP (GAAP) and should not be used in isolation or as a substitute for EuroDry’s financial results presented in accordance with GAAP. Refer to a subsequent section of the Press Release for the definitions and reconciliation of these measurements to the most directly comparable financial measures calculated and presented in accordance with GAAP.
First Half 2022 Highlights:
- Total net revenues of
$39.3 million . - Net income attributable to common shareholders was
$21.1 million , or,$7.35 and$7.25 earnings per share basic and diluted, respectively. - Adjusted net income attributable to common shareholders1 for the period was
$19.4 million , or,$6.77 and$6.68 adjusted earnings per share basic and diluted, respectively, before unrealized gain on derivatives. - Adjusted EBITDA1 of
$26.4 million . - An average of 10.17 vessels were owned and operated during the first half of 2022 earning an average time charter equivalent rate of
$24,025 per day.
Aristides Pittas, Chairman and CEO of EuroDry commented:
“We are very pleased to report another quarter with very good earnings, one of the highest since the inception of the EuroDry. It is notable though that in the latter part of the second quarter of 2022, and during the month of July, the drybulk market started reflecting the volatility and uncertainties present in the broader economic and geopolitical environment registering charter rate declines of nearly
“On the global scene, high energy prices, mainly due to the Ukraine-Russia conflict, resulted in high inflation which came on top of inflationary pressures that were building up as a result of the COVID-fighting stimuli. This, in turn, magnified the reaction of the central banks to fight it by raising interest rates, thus, increasing the chances of a broad economic recession which would affect the demand for drybulk trade. In addition to this, the continuing COVID pandemic and its regional flare-ups prompted some countries, mainly China, to impose regional lock-downs that also negatively affected drybulk demand. The good news for the sector continue to come from the supply side where the orderbook remains at about
“Within this environment, we continue to look for ways to add value to our shareholders. With our stock trading at a very steep discount to our net asset value, our Board of Directors considers that buying our own stock represents a very attractive investment for us and has authorized a share repurchase program. At the same time, we are positioning ourselves liquidity-wise to capitalize on more traditional investment opportunities and acquire vessels consistent with our investment criteria should such opportunities appear.”
Tasos Aslidis, Chief Financial Officer of EuroDry commented:
“The net revenues of the second quarter of 2022 increased significantly compared to the second quarter of 2021 as a result of the increased average number of vessels owned and operated during the quarter compared to the same period of last year. In addition, the time charter equivalent rates our vessels earned during the second quarter of 2022 were higher by
“Total daily vessel operating expenses, including management fees, general and administrative expenses but excluding drydocking costs, averaged
“Adjusted EBITDA during the second quarter of 2022 was
Second Quarter 2022 Results:
For the second quarter of 2022, the Company reported total net revenues of
The results for the second quarter of 2022 include an unrealized gain of
For the second quarter of 2022, voyage expenses, net amounted
Interest and other financing costs for the second quarter of 2022 amounted to
On average, 10.79 vessels were owned and operated during the second quarter of 2022 earning an average time charter equivalent rate of
Adjusted EBITDA for the second quarter of 2022 was
Basic and diluted earnings per share attributable to common shareholders for the second quarter of 2022 were
Excluding the effect on the income attributable to common shareholders of the unrealized gain on derivatives, the adjusted earnings attributable to common shareholders for the quarter ended June 30, 2022 would have been
First Half 2022 Results:
For the first half of 2022, the Company reported total net revenues of
For the first half of 2022, a gain on bunkers resulted in positive voyage expenses of
Interest and other financing costs for the first half of 2022 amounted to
On average, 10.17 vessels were owned and operated during the first half of 2022 earning an average time charter equivalent rate of
Adjusted EBITDA for the first half of 2022 was
Basic and diluted earnings per share attributable to common shareholders for the first half of 2022 was
Excluding the effect on the earnings attributable to common shareholders for the first half of the year of the unrealized gain on derivatives, the adjusted earnings attributable to common shareholders for the six-month period ended June 30, 2022, would have been
Fleet Profile:
The EuroDry Ltd. fleet profile is as follows:
| Name | Type | Dwt | Year Built | Employment(*) | TCE Rate ($/day) | |
| Dry Bulk Vessels | ||||||
| EKATERINI | Kamsarmax | 82,000 | 2018 | TC until Feb-23 | Hire | |
| XENIA | Kamsarmax | 82,000 | 2016 | TC until Mar-24 | Hire Average Baltic Kamsarmax P5TC (***) index | |
| ALEXANDROS P. | Ultramax | 63,500 | 2017 | In Dry-docking passing a special survey | ||
| GOOD HEART | Ultramax | 62,996 | 2014 | TC until Oct-22 | ||
| MOLYVOS LUCK | Supramax | 57,924 | 2014 | TC until Mar-23 | ||
| EIRINI P | Panamax | 76,466 | 2004 | TC until Aug-22 | ||
| SANTA CRUZ | Panamax | 76,440 | 2005 | TC until Aug-22 | ||
| STARLIGHT | Panamax | 75,845 | 2004 | TC until Oct-22 | Hire of Average BPI(**) 4TC | |
| TASOS | Panamax | 75,100 | 2000 | In Dry-docking passing a special survey | ||
| PANTELIS | Panamax | 74,020 | 2000 | TC until Sep-22 | ||
| BLESSED LUCK | Panamax | 76,704 | 2004 | TC until Aug-22 | ||
| Total Dry Bulk Vessels | 11 | 802,995 | ||||
Note:
(*) Represents the earliest redelivery date
(**) BPI stands for the Baltic Panamax Index; the average BPI 4TC is an index based on four time charter routes. Since January 2022 the BPI 4TC became obsolete and has been replaced by the P5TC Kamsarmax Baltic index, discounted by
(***) The average Baltic Kamsarmax P5TC Index is an index based on five Panamax time charter routes.
Summary Fleet Data:
| 3 months, ended June 30, 2021 | 3 months, ended June 30, 2022 | 6 months, ended June 30, 2021 | 6 months, ended June 30, 2022 | |||||
| FLEET DATA | ||||||||
| Average number of vessels (1) | 7.37 | 10.79 | 7.19 | 10.17 | ||||
| Calendar days for fleet (2) | 670.9 | 982.0 | 1,300.9 | 1,841.0 | ||||
| Scheduled off-hire days incl. laid-up (3) | 0.0 | 22.7 | 0.0 | 49.7 | ||||
| Available days for fleet (4) = (2) - (3) | 670.9 | 959.3 | 1,300.9 | 1,791.3 | ||||
| Commercial off-hire days (5) | 0.0 | 6.1 | 0.0 | 6.1 | ||||
| Operational off-hire days (6) | 3.8 | 9.8 | 3.8 | 12.7 | ||||
| Voyage days for fleet (7) = (4) - (5) - (6) | 667.1 | 943.4 | 1,297.1 | 1,772.5 | ||||
| Fleet utilization (8) = (7) / (4) | 99.4 | % | 98.3 | % | 99.7 | % | 99.0 | % |
| Fleet utilization, commercial (9) = ((4) - (5)) / (4) | 100.0 | % | 99.4 | % | 100.0 | % | 99.7 | % |
| Fleet utilization, operational (10) = ((4) - (6)) / (4) | 99.4 | % | 99.0 | % | 99.7 | % | 99.3 | % |
| AVERAGE DAILY RESULTS | ||||||||
| Time charter equivalent rate (11) | 22,614 | 23,490 | 18,879 | 24,025 | ||||
| Vessel operating expenses excl. drydocking expenses (12) | 5,575 | 5,867 | 5,633 | 5,806 | ||||
| General and administrative expenses (13) | 892 | 695 | 885 | 778 | ||||
| Total vessel operating expenses (14) | 6,467 | 6,562 | 6,518 | 6,584 | ||||
| Drydocking expenses (15) | 73 | 798 | 44 | 916 | ||||
(1) Average number of vessels is the number of vessels that constituted the Company’s fleet for the relevant period, as measured by the sum of the number of calendar days each vessel was a part of the Company’s fleet during the period divided by the number of calendar days in that period.
(2) Calendar days. We define calendar days as the total number of days in a period during which each vessel in our fleet was owned by us including off-hire days associated with major repairs, drydockings or special or intermediate surveys or days of vessels in lay-up. Calendar days are an indicator of the size of our fleet over a period and affect both the amount of revenues and the amount of expenses that we record during that period.
(3) The scheduled off-hire days including vessels laid-up are days associated with scheduled repairs, drydockings or special or intermediate surveys or days of vessels in lay-up.
(4) Available days. We define available days as the total number of Calendar days in a period net of scheduled off-hire days incl. laid up. We use available days to measure the number of days in a period during which vessels were available to generate revenues.
(5) Commercial off-hire days. We define commercial off-hire days as days a vessel is idle without employment.
(6) Operational off-hire days. We define operational off-hire days as days associated with unscheduled repairs or other off-hire time related to the operation of the vessels.
(7) Voyage days. We define voyage days as the total number of days in a period during which each vessel in our fleet was in our possession net of commercial and operational off-hire days. We use voyage days to measure the number of days in a period during which vessels actually generate revenues or are sailing for repositioning purposes.
(8) Fleet utilization. We calculate fleet utilization by dividing the number of our voyage days during a period by the number of our available days during that period. We use fleet utilization to measure a company's efficiency in finding suitable employment for its vessels and minimizing the amount of days that its vessels are off-hire for reasons such as unscheduled repairs or days waiting to find employment.
(9) Fleet utilization, commercial. We calculate commercial fleet utilization by dividing our available days net of commercial off-hire days during a period by our available days during that period.
(10) Fleet utilization, operational. We calculate operational fleet utilization by dividing our available days net of operational off-hire days during a period by our available days during that period.
(11) Time charter equivalent rate, or TCE, is a measure of the average daily net revenue performance of our vessels. Our method of calculating TCE is determined by dividing time charter revenue and voyage charter revenue net of voyage expenses by voyage days for the relevant time period. Voyage expenses primarily consist of port, canal and fuel costs that are unique to a particular voyage, which would otherwise be paid by the charterer under a time charter contract, or are related to repositioning the vessel for the next charter. TCE is a standard shipping industry performance measure used primarily to compare period-to-period changes in a shipping company's performance despite changes in the mix of charter types (i.e., spot voyage charters, time charters, pool agreements and bareboat charters) under which the vessels may be employed between the periods. Our definition of TCE may not be comparable to that used by other companies in the shipping industry.
(12) Daily vessel operating expenses, which include crew costs, provisions, deck and engine stores, lubricating oil, insurance, maintenance and repairs and related party management fees are calculated by dividing vessel operating expenses and related party management fees by fleet calendar days for the relevant time period. Drydocking expenses are reported separately.
(13) Daily general and administrative expense is calculated by dividing general and administrative expenses by fleet calendar days for the relevant time period.
(14) Total vessel operating expenses, or TVOE, is a measure of our total expenses associated with operating our vessels. TVOE is the sum of vessel operating expenses, related party management fees and general and administrative expenses; drydocking expenses are not included. Daily TVOE is calculated by dividing TVOE by fleet calendar days for the relevant time period.
(15) Drydocking expenses include expenses during drydockings that would have been capitalized and amortized under the deferral method divided by the fleet calendar days for the relevant period. Drydocking expenses could vary substantially from period to period depending on how many vessels underwent drydocking during the period. The Company expenses drydocking expenses as incurred.
Conference Call and Webcast:
Tomorrow, August 9, 2022 at 10:00 a.m. Eastern Time, the Company's management will host a conference call and webcast to discuss the results.
Conference Call details:
Participants should dial into the call 10 minutes before the scheduled time using the following numbers: 866-682-6100 or +1 404-267-0373. Please quote "EuroDry" or reference the ID number [13732109] to the operator.
Audio webcast - Slides Presentation:
There will be a live and then archived webcast of the conference call and accompanying slides, available through the Company’s website. To listen to the archived audio file, visit our website http://www.eurodry.gr and click on Company Presentations under our Investor Relations page. Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.
The slide presentation on the second quarter ended June 30, 2022 will also be available in PDF format 10 minutes prior to the conference call and webcast, accessible on the company's website (www.eurodry.gr) on the webcast page. Participants to the webcast can download the PDF presentation.
EuroDry Ltd.
Unaudited Consolidated Condensed Statements of Operations
(All amounts expressed in U.S. Dollars – except number of shares)
| Three Months Ended June 30, | Three Months Ended June 30, | Six Months Ended June 30, | Six Months Ended June 30, | |||||
| 2021 | 2022 | 2021 | 2022 | |||||
| Revenues | ||||||||
| Time charter revenue | 14,949,407 | 22,266,855 | 24,045,594 | 41,688,577 | ||||
| Commissions | (857,202 | ) | (1,293,178 | ) | (1,379,688 | ) | (2,436,200 | ) |
Net revenues | 14,092,205 | 20,973,677 | 22,665,906 | 39,252,377 | ||||
| Operating expenses / (income) | ||||||||
| Voyage expenses, net | (137,173 | ) | 106,536 | (443,075 | ) | (895,290 | ) | |
| Vessel operating expenses | 3,180,888 | 4,996,367 | 6,241,943 | 9,225,158 | ||||
| Drydocking expenses | 49,253 | 783,776 | 57,174 | 1,685,985 | ||||
| Vessel depreciation | 1,760,605 | 2,867,388 | 3,412,475 | 5,325,634 | ||||
| Related party management fees | 559,425 | 764,989 | 1,085,825 | 1,464,064 | ||||
| General and administrative expenses | 598,628 | 682,557 | 1,151,151 | 1,432,236 | ||||
| Total Operating expenses | 6,011,626 | 10,201,613 | 11,505,493 | 18,237,787 | ||||
| Operating income | 8,080,579 | 10,772,064 | 11,160,413 | 21,014,590 | ||||
| Other income / (expenses) | ||||||||
| Interest and other financing costs | (525,355 | ) | (757,304 | ) | (1,121,172 | ) | (1,405,623 | ) |
| Loss on debt extinguishment | (1,647,654 | ) | - | (1,647,654 | ) | - | ||
| (Loss) / gain on derivatives, net | (3,694,061 | ) | 580,130 | (5,314,405 | ) | 1,475,799 | ||
| Foreign exchange (loss) / gain | (2,440 | ) | 22,491 | (4,912 | ) | 27,376 | ||
| Interest income | 7,084 | 214 | 10,409 | 386 | ||||
| Other (expenses) / income, net | (5,862,426 | ) | (154,469 | ) | (8,077,734 | ) | 97,938 | |
| Net income | 2,218,153 | 10,617,595 | 3,082,679 | 21,112,528 | ||||
| Dividend Series B Preferred shares | (271,355 | ) | - | (570,925 | ) | - | ||
| Preferred deemed dividend | - | - | (120,000 | ) | - | |||
| Net income attributable to common shareholders | 1,946,798 | 10,617,595 | 2,391,754 | 21,112,528 | ||||
| Earnings per share, basic | 0.83 | 3.66 | 1.03 | 7.35 | ||||
| Weighted average number of shares, basic | 2,353,364 | 2,898,557 | 2,322,588 | 2,872,966 | ||||
| Earnings per share, diluted | 0.81 | 3.61 | 1.01 | 7.25 | ||||
| Weighted average number of shares, diluted | 2,401,192 | 2,942,123 | 2,364,879 | 2,911,737 | ||||
EuroDry Ltd.
Unaudited Consolidated Condensed Balance Sheets
(All amounts expressed in U.S. Dollars – except number of shares)
| December 31, 2021 | June 30, 2022 | ||
| ASSETS | |||
| Current Assets: | |||
| Cash and cash equivalents | 26,847,426 | 5,159,611 | |
| Trade accounts receivable, net | 775,035 | 3,199,787 | |
| Other receivables | 1,242,803 | 783,889 | |
| Inventories | 770,342 | 796,166 | |
| Restricted cash | 459,940 | 1,271,849 | |
| Derivatives | - | 949,201 | |
| Due from related companies | - | 1,923,892 | |
| Prepaid expenses | 314,397 | 234,015 | |
| Total current assets | 30,409,943 | 14,318,410 | |
| Fixed assets: | |||
| Vessels, net | 128,492,819 | 160,220,613 | |
| Long-term assets: | |||
| Derivatives | 210,113 | 640,630 | |
| Restricted cash | 2,220,000 | 2,020,000 | |
| Total assets | 161,332,875 | 177,199,653 | |
| LIABILITIES, AND SHAREHOLDERS' EQUITY | |||
| Current liabilities: | |||
| Long term bank loans, current portion | 13,949,720 | 23,054,627 | |
| Trade accounts payable | 855,825 | 1,432,615 | |
| Accrued expenses | 852,442 | 749,462 | |
| Derivatives | 289,430 | - | |
| Deferred revenue | 1,514,543 | 752,883 | |
| Due to related companies | 244,587 | - | |
| Total current liabilities | 17,706,547 | 25,989,587 | |
| Long-term liabilities: | |||
| Long term bank loans, net of current portion | 64,702,947 | 48,123,176 | |
| Total long-term liabilities | 64,702,947 | 48,123,176 | |
| Total liabilities | 82,409,494 | 74,112,763 | |
| Shareholders' equity: | |||
| Common stock (par value | 29,192 | 29,843 | |
| Additional paid-in capital | 67,963,707 | 71,014,037 | |
| Retained earnings | 10,930,482 | 32,043,010 | |
| Total shareholders' equity | 78,923,381 | 103,086,890 | |
| Total liabilities and shareholders' equity | 161,332,875 | 177,199,653 | |
EuroDry Ltd.
Unaudited Consolidated Condensed Statements of Cash Flows
(All amounts expressed in U.S. Dollars)
| Six Months Ended June 30, | Six Months Ended June 30, | ||||
| 2021 | 2022 | ||||
| Cash flows from operating activities: | |||||
| Net income | 3,082,679 | 21,112,528 | |||
| Adjustments to reconcile net income to net cash (used in) / provided by operating activities: | |||||
| Vessel depreciation | 3,412,475 | 5,325,634 | |||
| Amortization of deferred charges | 201,073 | 95,137 | |||
| Share-based compensation | 107,972 | 365,379 | |||
| Unrealized loss / (gain) on derivatives | 3,848,652 | (1,669,148 | ) | ||
| Loss on debt extinguishment | 1,647,654 | - | |||
| Changes in operating assets and liabilities | (2,337,212 | ) | (3,953,538 | ) | |
| Net cash provided by operating activities | 9,963,293 | 21,275,992 | |||
| Cash flows from investing activities: | |||||
| Cash paid for vessels capitalized expenses | (34,163 | ) | (486,035 | ) | |
| Cash paid for vessel acquisition | (7,126,713 | ) | (36,968,387 | ) | |
| Net cash used in investing activities | (7,160,876 | ) | (37,454,422 | ) | |
| Cash flows from financing activities: | |||||
| Redemption of preferred shares | (3,000,000 | ) | - | ||
| Proceeds from issuance of common stock, net of commissions paid | 2,956,594 | 2,684,951 | |||
| Offering expenses paid | - | (12,427 | ) | ||
| Loan arrangement fees paid | (400,000 | ) | - | ||
| Proceeds from related party loan | 6,000,000 | - | |||
| Proceeds from long term debt | 31,700,000 | - | |||
| Repayment of long-term debt | (28,777,000 | ) | (7,570,000 | ) | |
| Net cash provided by / (used in) financing activities | 8,479,594 | (4,897,476 | ) | ||
| Net increase / (decrease) in cash, cash equivalents and restricted cash | 11,282,011 | (21,075,906 | ) | ||
| Cash, cash equivalents and restricted cash at beginning of period | 4,606,318 | 29,527,366 | |||
| Cash, cash equivalents and restricted cash at end of period | 15,888,329 | 8,451,460 | |||
| Cash breakdown | |||||
| Cash and cash equivalents | 8,498,873 | 5,159,611 | |||
| Restricted cash, current | 5,489,456 | 1,271,849 | |||
| Restricted cash, long term | 1,900,000 | 2,020,000 | |||
| Total cash, cash equivalents and restricted cash shown in the statement of cash flows | 15,888,329 | 8,451,460 | |||
EuroDry Ltd.
Reconciliation of Adjusted EBITDA to Net income
(All amounts expressed in U.S. Dollars)
| Three Months Ended June 30, 2021 | Three Months Ended June 30, 2022 | Six Months Ended June 30, 2021 | Six Months Ended June 30, 2022 | ||||
| Net income | 2,218,153 | 10,617,595 | 3,082,679 | 21,112,528 | |||
| Interest and other financing costs, net (incl. interest income and loss on debt extinguishment) | 2,165,925 | 757,090 | 2,758,417 | 1,405,238 | |||
| Vessel depreciation | 1,760,605 | 2,867,388 | 3,412,475 | 5,325,634 | |||
| Unrealized loss / (gain) on Forward Freight Agreement derivatives | 3,060,681 | (482,670 | ) | 4,130,661 | (482,670 | ) | |
| Loss / (gain) on interest rate swap derivatives | 39,667 | (97,460 | ) | (134,846 | ) | (993,129 | ) |
| Adjusted EBITDA | 9,245,031 | 13,661,943 | 13,249,386 | 26,367,601 | |||
Adjusted EBITDA Reconciliation:
EuroDry Ltd. considers Adjusted EBITDA to represent net income before interest, income taxes, depreciation, loss on debt extinguishment, unrealized loss / (gain) on Forward Freight Agreement derivatives (“FFAs”) and loss / (gain) on interest rate swap derivatives. Adjusted EBITDA does not represent and should not be considered as an alternative to net income, as determined by United States generally accepted accounting principles, or GAAP. Adjusted EBITDA is included herein because it is a basis upon which the Company assesses its financial performance because the Company believes that this non-GAAP financial measure assists our management and investors by increasing the comparability of our performance from period to period by excluding the potentially disparate effects between periods of, financial costs, loss on debt extinguishment, unrealized loss / (gain) on FFAs, loss / (gain) on interest rate swap derivatives, and depreciation. The Company's definition of Adjusted EBITDA may not be the same as that used by other companies in the shipping or other industries.
EuroDry Ltd.
Reconciliation of Net income to Adjusted net income
(All amounts expressed in U.S. Dollars – except share data and number of shares)
Three Months Ended June 30, 2021 | Three Months Ended June 30, 2022 | Six Months Ended June 30, 2021 | Six Months Ended June 30, 2022 | |||||
| Net income | 2,218,153 | 10,617,595 | 3,082,679 | 21,112,528 | ||||
| Unrealized loss / (gain) on derivatives | 3,026,851 | (670,959 | ) | 3,848,652 | (1,669,148 | ) | ||
| Loss on debt extinguishment | 1,647,654 | - | 1,647,654 | - | ||||
| Adjusted net income | 6,892,658 | 9,946,636 | 8,578,985 | 19,443,380 | ||||
| Preferred dividends | (271,355 | ) | - | (570,925 | ) | - | ||
| Preferred deemed dividend | - | - | (120,000 | ) | - | |||
Adjusted net income attributable to common shareholders | 6,621,303 | 9,946,636 | 7,880,060 | 19,443,380 | ||||
Adjusted earnings per share, basic | 2.81 | 3.43 | 3.40 | 6.77 | ||||
| Weighted average number of shares, basic | 2,353,364 | 2,898,557 | 2,322,588 | 2,872,966 | ||||
Adjusted earnings per share, diluted | 2.76 | 3.38 | 3.33 | 6.68 | ||||
| Weighted average number of shares, diluted | 2,401,192 | 2,942,123 | 2,364,879 | 2,911,737 | ||||
Adjusted net income and Adjusted earnings per share Reconciliation:
EuroDry Ltd. considers Adjusted net income to represent net income before unrealized (gain)/ loss on derivatives, which includes FFAs and interest rate swaps, and loss on debt extinguishment. Adjusted net income and Adjusted earnings per share is included herein because we believe it assists our management and investors by increasing the comparability of the Company's fundamental performance from period to period by excluding the potentially disparate effects between periods of unrealized (gain) / loss on derivatives and loss on debt extinguishment, which may significantly affect results of operations between periods. Adjusted net income and Adjusted earnings per share do not represent and should not be considered as an alternative to net income or earnings per share, as determined by GAAP. The Company's definition of Adjusted net income and Adjusted earnings per share may not be the same as that used by other companies in the shipping or other industries.
About EuroDry Ltd.
EuroDry Ltd. was formed on January 8, 2018 under the laws of the Republic of the Marshall Islands to consolidate the drybulk fleet of Euroseas Ltd. into a separate listed public company. EuroDry was spun-off from Euroseas Ltd on May 30, 2018; it trades on the NASDAQ Capital Market under the ticker EDRY.
EuroDry operates in the dry cargo, drybulk shipping market. EuroDry's operations are managed by Eurobulk Ltd., an ISO 9001:2008 and ISO 14001:2004 certified affiliated ship management company and Eurobulk (Far East) Ltd. Inc., which are responsible for the day-to-day commercial and technical management and operations of the vessels. EuroDry employs its vessels on spot and period charters and under pool agreements.
The Company has a fleet of 11 vessels, including 6 Panamax drybulk carriers, 2 Ultramax drybulk carrier, 2 Kamsarmax drybulk carriers and 1 Supramax drybulk carrier. EuroDry’s 11 drybulk carriers have a total cargo capacity of 802,995 dwt.
Forward Looking Statement
This press release contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events and the Company's growth strategy and measures to implement such strategy; including expected vessel acquisitions and entering into further time charters. Words such as "expects," "intends," "plans," "believes," "anticipates," "hopes," "estimates," and variations of such words and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve known and unknown risks and are based upon a number of assumptions and estimates that are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of the Company. Actual results may differ materially from those expressed or implied by such forward looking statements. Factors that could cause actual results to differ materially include, but are not limited to changes in the demand for dry bulk vessels, competitive factors in the market in which the Company operates; risks associated with operations outside the United States; and other factors listed from time to time in the Company's filings with the Securities and Exchange Commission. The Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.
Visit our website www.eurodry.gr
| Company Contact | Investor Relations / Financial Media |
| Tasos Aslidis Chief Financial Officer EuroDry Ltd. 11 Canterbury Lane, Watchung, NJ 07069 Tel. (908) 301-9091 E-mail: aha@eurodry.gr | Nicolas Bornozis Markella Kara Capital Link, Inc. 230 Park Avenue, Suite 1540 New York, NY 10169 Tel. (212) 661-7566 E-mail: eurodry@capitallink.com |
FAQ
What were EuroDry's second quarter 2022 revenues?
What is the earnings per share for EuroDry in Q2 2022?
How much is EuroDry's share repurchase program?
What are the expected impacts of drydockings on EuroDry's profitability?
How did EuroDry's net income change in Q2 2022?
