Icon Energy Corp. Reports Financial Results for the Six-Month Period Ended June 30, 2024
Icon Energy Corp. (Nasdaq: ICON) reported strong financial results for the six-month period ended June 30, 2024. The company saw an 18% increase in revenue to $2.7 million and a 43% increase in net income to $1.0 million compared to the same period in 2023. EBITDA rose by 26% to $1.5 million, while operating profit increased by 46% to $1.0 million.
Key developments after the reporting period include:
- Successful IPO on Nasdaq, raising $5 million
- Declaration of a $0.08 per share dividend
- Agreement to acquire a Kamsarmax dry bulk carrier for $17.57 million
- New time charter agreement for the acquired vessel
- Non-binding term sheet for a $91 million credit facility
Icon Energy Corp. (Nasdaq: ICON) ha riportato risultati finanziari solidi per il periodo di sei mesi conclusosi il 30 giugno 2024. L'azienda ha registrato un aumento del 18% dei ricavi, arrivando a 2,7 milioni di dollari, e un aumento del 43% del reddito netto, raggiungendo 1,0 milione di dollari rispetto allo stesso periodo del 2023. L'EBITDA è aumentato del 26% a 1,5 milioni di dollari, mentre l'utile operativo è cresciuto del 46% a 1,0 milione di dollari.
Sviluppi chiave dopo il periodo di reporting includono:
- IPO di successo su Nasdaq, con un capitale raccolto di 5 milioni di dollari
- Dichiarazione di un dividendo di 0,08 dollari per azione
- Accordo per l'acquisto di una nave bulk carrier Kamsarmax per 17,57 milioni di dollari
- Nuovo contratto di noleggio per la nave acquisita
- Term sheet non vincolante per una linea di credito da 91 milioni di dollari
Icon Energy Corp. (Nasdaq: ICON) reportó resultados financieros sólidos para el período de seis meses que finalizó el 30 de junio de 2024. La compañía vio un aumento del 18% en los ingresos, alcanzando 2,7 millones de dólares, y un aumento del 43% en la renta neta, totalizando 1,0 millón de dólares en comparación con el mismo período de 2023. El EBITDA aumentó un 26% a 1,5 millones de dólares, mientras que la utilidad operativa creció un 46% a 1,0 millón de dólares.
Desarrollos clave después del período de reporte incluyen:
- IPO exitosa en Nasdaq, recaudando 5 millones de dólares
- Declaración de un dividendo de 0,08 dólares por acción
- Acuerdo para adquirir un buque granelero Kamsarmax por 17,57 millones de dólares
- Nuevo contrato de fletamento para el buque adquirido
- Hoja de términos no vinculante para una línea de crédito de 91 millones de dólares
Icon Energy Corp. (Nasdaq: ICON)는 2024년 6월 30일 종료된 6개월 동안 강력한 재무 결과를 보고했습니다. 이 회사는 매출이 18% 증가하여 270만 달러에 도달했고, 순이익이 43% 증가하여 100만 달러에 도달했습니다. 이는 2023년 같은 기간과 비교된 수치입니다. EBITDA는 26% 증가하여 150만 달러에 도달했고, 운영 이익은 46% 증가하여 100만 달러에 이르렀습니다.
보고 기간 이후의 주요 발전 사항은 다음과 같습니다:
- 나스닥에서의 성공적인 IPO로 500만 달러 모금
- 주당 0.08달러 배당금 선언
- 1,757만 달러에 Kamsarmax 드라이 벌크 화물선 구매 계약 체결
- 구매한 선박에 대한 새로운 시간 차터 계약
- 9100만 달러 신용 시설을 위한 비가철성 조건 시트
Icon Energy Corp. (Nasdaq: ICON) a annoncé des résultats financiers solides pour la période de six mois se terminant le 30 juin 2024. L'entreprise a enregistré une augmentation de 18% de ses revenus, atteignant 2,7 millions de dollars, et une augmentation de 43% de son revenu net, atteignant 1,0 million de dollars par rapport à la même période en 2023. L'EBITDA a augmenté de 26% pour atteindre 1,5 million de dollars, tandis que le bénéfice opérationnel a augmenté de 46% pour atteindre 1,0 million de dollars.
Parmi les développements clés après la période de rapport, on note :
- IPO réussie sur Nasdaq, levant 5 millions de dollars
- Déclaration d'un dividende de 0,08 dollar par action
- Accord pour l'acquisition d'un transporteur de vrac sec Kamsarmax pour 17,57 millions de dollars
- Nouvel accord de charter temporel pour le navire acquis
- Feuille de termes non contraignante pour une ligne de crédit de 91 millions de dollars
Icon Energy Corp. (Nasdaq: ICON) berichtete für den Zeitraum von sechs Monaten, der am 30. Juni 2024 endete, von starken finanziellen Ergebnissen. Das Unternehmen verzeichnete einen Umsatzanstieg von 18% auf 2,7 Millionen Dollar und einen Nettoertragsanstieg von 43% auf 1,0 Millionen Dollar im Vergleich zum gleichen Zeitraum im Jahr 2023. EBITDA stieg um 26% auf 1,5 Millionen Dollar, während der Betriebsgewinn um 46% auf 1,0 Millionen Dollar zunahm.
Zu den wichtigsten Entwicklungen nach dem Berichtszeitraum gehören:
- Erfolgreiches IPO an der Nasdaq, das 5 Millionen Dollar einbrachte
- Erklärung einer Dividende von 0,08 Dollar pro Aktie
- Vereinbarung zum Erwerb eines Kamsarmax-Trockenschiffers für 17,57 Millionen Dollar
- Neue Zeitchartervereinbarung für das erworbene Schiff
- Unverbindliches Term Sheet für eine Kreditzusage von 91 Millionen Dollar
- 18% increase in revenue to $2.7 million
- 43% increase in net income to $1.0 million
- 26% increase in EBITDA to $1.5 million
- 46% increase in operating profit to $1.0 million
- Successful IPO on Nasdaq, raising $5 million
- Agreement to acquire a Kamsarmax dry bulk carrier for $17.57 million
- New time charter agreement secured for the acquired vessel
- Non-binding term sheet for a $91 million credit facility
- None.
Insights
Icon Energy's H1 2024 results show solid growth across key metrics. Revenue increased by
The company's recent IPO, raising
The
Icon Energy's focus on the Panamax/Kamsarmax segment is strategic, as these versatile vessels are in high demand for various dry bulk cargoes. The company's 100% fleet utilization and index-linked charters demonstrate operational efficiency and smart risk management.
The acquisition of M/V Bravo, a 17-year-old vessel, balances growth with prudent capital allocation. However, the aging fleet may require higher maintenance costs in the future. The new time charter for M/V Bravo with a major trading house indicates strong industry relationships.
Icon's small fleet size is both a challenge and an opportunity. While it limits diversification, it also allows for nimble decision-making and potentially higher returns. The
The dry bulk shipping market has shown resilience in 2024, reflected in Icon's improved charter rates. The Baltic Panamax Index-linked contracts provide a hedge against market volatility while allowing participation in potential upside.
Icon's transition to a public company opens new avenues for growth and investor scrutiny. The successful IPO and subsequent developments (dividend declaration, vessel acquisition, new charter) demonstrate management's ability to execute on promises, which is important for building investor confidence.
However, Icon faces challenges in a competitive market dominated by larger players. Its ability to scale efficiently while maintaining profitability will be key. The innovative financing with "upsize potential" provides flexibility but also highlights the capital-intensive nature of growth in this industry. Investors should monitor Icon's expansion strategy and its impact on leverage and profitability.
ATHENS, Greece, Sept. 10, 2024 (GLOBE NEWSWIRE) -- Icon Energy Corp. (“Icon” or the “Company”) (Nasdaq: ICON), an international shipping company that provides worldwide seaborne transportation services for dry bulk cargoes through the ownership, chartering and operation of oceangoing vessels, announces its financial results for the six-month period ended June 30, 2024 (the “Reporting Period”).
Financial Highlights for the Reporting Period
- Revenue, net of
$2.7 million , an18% increase compared to the six-month period ended June 30, 2023 - Net income of
$1.0 million , a43% increase compared to the six-month period ended June 30, 2023 - EBITDA(1) of
$1.5 million , a26% increase compared to the six-month period ended June 30, 2023 - Operating profit of
$1.0 million , a46% increase compared to the six-month period ended June 30, 2023
Ismini Panagiotidi, Chairwoman and Chief Executive Officer of Icon, commented:
“We are pleased to report that our financial results for the first half of 2024 have surpassed last year’s performance across all key metrics, providing tailwinds to our transition to a public company with the successful listing of our common shares on the Nasdaq in July 2024.
Since then, we have announced our first dividend and first vessel acquisition as a public company, consistent with both our dividend policy and growth strategy. In addition, we have secured employment for our soon-to-be acquired vessel and have entered into an innovative financing term sheet with upsize potential to fuel our further growth, all with top-tier counterparties.
We are thrilled by this positive momentum and are honored by the trust demonstrated by our charterers and financiers during Icon’s early stages, supporting our goal to create value for our shareholders.”
Financial Performance Summary
| (in thousands of U.S. dollars, except daily figures) | | Six-month period ended June 30, 2024 (unaudited) | | Six-month period ended June 30, 2023 (unaudited) |
| Income statement data | ||||
| Revenue, net | $ | 2,719 | $ | 2,309 |
| Operating profit | 962 | 657 | ||
| Net income | | 987 | 688 | |
| Non-GAAP financial measures (2) | | | ||
| EBITDA | $ | 1,477 | $ | 1,168 |
| Daily TCE | | 14,324 | | 12,325 |
| Daily OPEX | | 4,962 | | 5,066 |
During the six-month period ended June 30, 2024, revenue, net, amounted to
Fleet Employment and Operational Data
| Six-month period ended June 30, 2024 | | Six-month period ended June 30, 2023 | |
| Fleet operational data (3) | | ||
| Ownership Days | 182.0 | | 181.0 |
| Available Days | 182.0 | | 181.0 |
| Operating Days | 182.0 | | 180.9 |
| Vessel Utilization | | ||
| Average Number of Vessels | 1.0 | | 1.0 |
As of June 30, 2024, Icon owned one vessel, the M/V Alfa, which is employed by an international commodity trading conglomerate on a time charter expiring between October 2025 and February 2026, earning a floating daily hire rate linked to the Baltic Panamax Index. The minimum contracted revenue(4) expected as of June 30, 2024, to be generated by this contract between June 30, 2024, and its earliest expiration date is
Key Developments Subsequent to the Reporting Period
Initial public offering. On July 15, 2024, Icon successfully completed the initial public offering of 1,250,000 of its common shares, at an offering price of
Dividend. On August 23, 2024, Icon declared a cash dividend of
Vessel Acquisition. On August 2, 2024, Icon entered into an agreement with an unaffiliated third-party to acquire a Kamsarmax dry bulk carrier, built in November 2007 in Japan, for a purchase price of
Vessel Charter. On August 29, 2024, Icon entered into an agreement with an international commodity trading conglomerate to time charter the M/V Bravo for a period of 11 to 14 months, at a floating daily hire rate linked to the Baltic Panamax Index (the “New Time Charter”). The New Time Charter is subject to the satisfaction of certain customary closing conditions and is anticipated to commence shortly after the completion of the Vessel Acquisition.
Financing Term Sheet. On August 22, 2024, Icon entered into a non-binding term sheet with a leading international financial institution for a new senior secured credit facility in an aggregate amount of up to
- an aggregate amount of up to
$16 million (the “Initial Advance”) is expected to be borrowed to finance a portion of the purchase price of the M/V Bravo, and to leverage Icon’s existing Panamax dry bulk carrier, M/V Alfa; and - an additional aggregate amount of up to
$75 million (the “Upsize Advance”) may be made available to Icon, in whole or in parts, to finance future vessel acquisitions. This amount will remain uncommitted and equally, Icon will not be obliged to borrow it, or any part thereof.
The Initial Advance is expected to contain security and covenants customary for transactions of this type, to have a four-year tenor, and to bear interest at
About Icon
Icon is an international shipping company that provides worldwide seaborne transportation services for dry bulk cargoes through the ownership, chartering and operation of oceangoing vessels. Icon maintains its principal executive office in Athens, Greece, and its common shares trade on the Nasdaq Capital Market under the symbol “ICON.”
Forward Looking Statements
This communication contains “forward-looking statements.” Statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would” and similar expressions that are other than statements of historical fact are forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management's examination of historical operating trends, data contained in our records and other data available from third parties. Although the Company believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant risks, uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, the Company cannot provide assurance that it will achieve or accomplish these expectations, beliefs or projections. The Company’s actual results could differ materially from those anticipated in forward-looking statements for many reasons, including as described in the Company’s filings with the U.S. Securities and Exchange Commission (the “SEC”). As a result, you are cautioned not to unduly rely on any forward-looking statements, which speak only as of the date of this communication.
Factors that could cause actual results to differ materially from those discussed in the forward-looking statements include, among other things: the Company’s future operating or financial results; the Company’s liquidity, including its ability to service any indebtedness; changes in shipping industry trends, including charter rates, vessel values and factors affecting vessel supply and demand; future, pending or recent acquisitions and dispositions, business strategy, areas of possible expansion or contraction, and expected capital spending or operating expenses; risks associated with operations; broader market impacts arising from war (or threatened war) or international hostilities; risks associated with pandemics (including COVID-19); and other factors listed from time to time in the Company’s filings with the SEC. Except to the extent required by law, 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. You should, however, review the factors and risks the Company describes in the reports it files and furnishes from time to time with the SEC, which can be obtained free of charge on the SEC’s website at www.sec.gov.
Contact Information
Icon Energy Corp.
Dennis Psachos
Chief Financial Officer
+30 211 88 81 300
ir@icon-nrg.com
www.icon-nrg.com
Exhibit I
Interim Consolidated Statements of Income
| (in thousands of U.S. dollars, except for share data and earnings per share) | Six-month period ended June 30, 2024 (unaudited) | | Six-month period ended June 30, 2023 (unaudited) | |
| Revenue, net | $ | 2,719 | $ | 2,309 |
| Voyage expenses, net | (112) | (79) | ||
| Vessel operating expenses | (903) | (917) | ||
| Management fees | (213) | (136) | ||
| General and administrative expenses | (12) | (6) | ||
| Depreciation expense | (339) | (337) | ||
| Amortization of deferred drydocking costs | (178) | (177) | ||
| Operating Profit | $ | 962 | $ | 657 |
| Finance costs | (3) | (1) | ||
| Interest income | 27 | 34 | ||
| Other income/(costs), net | 1 | (2) | ||
| Net Income | $ | 987 | $ | 688 |
| Accrued dividends on preferred shares | (75) | — | ||
| Net income attributable to common shareholders | $ | 912 | $ | 688 |
| Earnings per common share, basic and diluted | $ | 4.56 | $ | 3.44 |
| Weighted average number of shares, basic and diluted | 200,000 | 200,000 | ||
Condensed Interim Consolidated Balance Sheet Data
| (in thousands of U.S. dollars) | June 30, 2024 (unaudited) | December 31, 2023(5) | ||
| Assets | ||||
| Cash and cash equivalents | $ | 477 | $ | 2,702 |
| Other current assets | 474 | 320 | ||
| Vessel, net | 8,842 | 9,181 | ||
| Other non-current assets | 1,510 | 679 | ||
| Total assets | $ | 11,303 | $ | 12,882 |
| Liabilities and shareholders’ equity | ||||
| Total current liabilities | $ | 1,147 | $ | 3,713 |
| Total shareholders’ equity | 10,156 | 9,169 | ||
| Total liabilities and shareholders’ equity | $ | 11,303 | $ | 12,882 |
Summarized Cash Flow Data
| (in thousands of U.S. dollars) | | Six-month period ended June 30, 2024 (unaudited) | | Six-month period ended June 30, 2023 (unaudited) |
| Cash provided by operating activities | $ | 957 | $ | 1,068 |
| Cash used in investing activities | | (2) | - | |
| Cash used in financing activities | | (3,180) | (907) | |
| Net (decrease)/increase in cash and cash equivalents | $ | (2,225) | $ | 161 |
| Cash and cash equivalents at the beginning of the period | | 2,702 | 3,551 | |
| Cash and cash equivalents at the end of the period | $ | 477 | $ | 3,712 |
Non-GAAP Financial Measures Definitions and Reconciliation to GAAP
To supplement our financial information presented in accordance with the United States generally accepted accounting principles (“U.S. GAAP”), we may use certain “non-GAAP financial measures” as such term is defined in Regulation G promulgated by the SEC. Generally, a non-GAAP financial measure is a numerical measure of a company’s operating performance, financial position or cash flows that excludes or includes amounts that are included in, or excluded from, the most directly comparable measure calculated and presented in accordance with U.S. GAAP. We believe non-GAAP financial measures provide investors with greater transparency and supplemental data relating to our financial condition and results of operations and, therefore, a more complete understanding of our business and financial performance than the comparable U.S. GAAP measures alone. However, non-GAAP financial measures should only be used in addition to, and not as substitutes for, financial results presented in accordance with U.S. GAAP. Although we believe the following definitions and calculation methods are consistent with industry standards, our non-GAAP financial measures may not be directly comparable to similarly titled measures of other companies.
Earnings before Interest, Tax, Depreciation and Amortization (“EBITDA”). EBITDA is a financial measure we calculate by deducting interest and finance costs, interest income, taxes, depreciation and amortization, from net income. EBITDA assists our management by carving out the effects that non-operating expenses and non-cash items have on our financial results. We believe this also enhances the comparability of our operating performance between periods and against companies that may have varying capital structures, other depreciation and amortization policies, or that may be subject to different tax regulations. The following table reconciles EBITDA to the most directly comparable U.S. GAAP financial measure:
| (in thousands of U.S. dollars) | | Six-month period ended June 30, 2024 (unaudited) | | Six-month period ended June 30, 2023 (unaudited) |
| Net income | $ | 987 | $ | 688 |
| Plus: Depreciation expense | | 339 | 337 | |
| Plus: Amortization of deferred drydocking costs | | 178 | 177 | |
| Less: Interest income | | (27) | (34) | |
| EBITDA | $ | 1,477 | $ | 1,168 |
Time Charter Equivalent (“TCE”). TCE is a measure of revenue generated over a period that accounts for the effect of the different charter types under which our vessels may be employed. TCE is calculated by deducting voyage expenses from revenue and making any other adjustments required to approximate the revenue that would have been generated, had the vessel been employed under a time charter. TCE is typically expressed on a daily basis (“Daily TCE”) by dividing it by Operating Days, to eliminate the effect of changes in fleet composition between periods. The following table reconciles TCE and Daily TCE to the most directly comparable U.S. GAAP financial measure:
| (in thousands of U.S. dollars, except fleet operational data and daily figures) | | Six-month period ended June 30, 2024 (unaudited) | | Six-month period ended June 30, 2023 (unaudited) |
| Revenue, net | $ | 2,719 | $ | 2,309 |
| Less: Voyage expenses | | (112) | (79) | |
| TCE | $ | 2,607 | $ | 2,230 |
| Divided by: Operating Days | | 182 | 180.9 | |
| Daily TCE | $ | 14,324 | $ | 12,327 |
Daily Vessel Operating Expenses (“Daily OPEX”). Daily OPEX, is a measure of the vessel operating expenses incurred over a period divided by Ownership Days, to eliminate the effect of changes in fleet composition between periods. The following table reconciles Daily OPEX to vessel operating expenses:
| (in thousands of U.S. dollars, except fleet operational data and daily figures) | | Six-month period ended June 30, 2024 (unaudited) | | Six-month period ended June 30, 2023 (unaudited) |
| Vessel operating expenses | $ | 903 | $ | 917 |
| Divided by: Ownership Days | | 182 | 181 | |
| Daily OPEX | $ | 4,962 | $ | 5,066 |
Other Definitions and Methodologies
This press release refers to the terms and methodologies described below. Although we believe the following definitions and calculation methods are consistent with industry standards, these measures may not be directly comparable to similarly titled measures of other companies.
Ownership Days. Ownership Days are the total days we owned our vessels during the relevant period. We use this to measure the size of our fleet over a period.
Available Days. Available Days are the Ownership Days, less any days during which our vessels were unable to be used for their intended purpose as a result of scheduled maintenance, upgrades, modifications, drydockings, special or intermediate surveys, or due to change of ownership logistics, including positioning for and repositioning from such events. We use this to measure the number of days in a period during which our vessels should be capable of generating revenues.
Operating Days. Operating Days are the Available Days, less any days during which our vessels were unable to be used for their intended purpose as a result of unforeseen events and circumstances. We use this to measure the number of days in a period during which our vessels actually generated revenues.
Vessel Utilization. Vessel Utilization is the ratio of Operating Days to Available Days.
Average Number of Vessels. Average Number of Vessels is the ratio of Ownership Days to calendar days in a period.
Minimum contracted revenue. The amount of minimum contracted revenue is estimated by reference to the contracted period and hire rate, net of charterers’ commissions but before reduction for brokerage commissions and assuming no unforeseen off-hire days. For index-linked contracts, minimum contracted revenue is estimated by reference to the average of the relevant index during the 15 days preceding the calculation date.
1 EBITDA is a non-GAAP financial measure. For the definitions of non-GAAP financial measures and their reconciliation to the most directly comparable financial measures calculated and presented in accordance with the United States generally accepted accounting principles, please refer to “Exhibit I—Non-GAAP Financial Measures Definitions and Reconciliation to GAAP.”
2 EBITDA, Daily TCE, and Daily OPEX, are non-GAAP financial measures. For the definitions of non-GAAP financial measures and their reconciliation to the most directly comparable financial measures calculated and presented in accordance with the United States generally accepted accounting principles, please refer to “Exhibit I—Non-GAAP Financial Measures Definitions and Reconciliation to GAAP.”
3 For the definitions of fleet operational measures please refer to “Exhibit I—Other Definitions and Methodologies.”
4 For the contracted revenue calculation methodology please refer to “Exhibit I—Other Definitions and Methodologies.”
5 Balance sheet data derives from the audited consolidated financial statements as of that date.
FAQ
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