Navios Maritime Partners L.P. Reports Financial Results for the Third Quarter and Nine Months Ended September 30, 2023

Rhea-AI Summary

Navios Maritime Partners L.P. reported strong financial results for Q3 2023, with revenue of $323.2 million and net income of $89.8 million. Earnings per common unit were $2.92. The company generated $120.3 million in net cash from operating activities and had an EBITDA of $180.8 million. Navios Partners also completed the sale of 14 vessels, generating $255.2 million in gross sale proceeds.

Positive

• Navios Maritime Partners L.P. reported revenue of $323.2 million for Q3 2023, representing a strong performance.
• The company's net income for Q3 2023 was $89.8 million, reflecting solid profitability.
• Earnings per common unit for Q3 2023 were $2.92, demonstrating strong financial performance.
• Navios Partners generated $120.3 million in net cash from operating activities for Q3 2023, indicating a healthy cash flow.
• The company's EBITDA for Q3 2023 was $180.8 million, highlighting its strong operational performance.
• Navios Partners completed the sale of 14 vessels, generating $255.2 million in gross sale proceeds for YTD 2023.

Negative

• None.

• Revenue:
  • $323.2 million for Q3 2023
  • $979.6 million for 9M 2023
• Net Income:
  • $  89.8 million for Q3 2023
  • $301.3 million for 9M 2023
• Earnings per common unit:
  • $2.92 for Q3 2023
  • $9.78 for 9M 2023
• Net cash from operating activities:
  • $120.3 million for Q3 2023
  • $348.6 million for 9M 2023
• EBITDA:
  • $180.8 million for Q3 2023
  • $571.3 million for 9M 2023
• $255.2 million gross sale proceeds from sale of 14 vessels YTD
  • $242.2 million completed in 9M 2023
  • $  13.0 million completed in Q4 2023
• $0.05 per unit cash distribution for Q3 2023
  
  

MONACO, Nov. 02, 2023 (GLOBE NEWSWIRE) -- Navios Maritime Partners L.P. (“Navios Partners”) (NYSE: NMM), an international owner and operator of dry cargo and tanker vessels, today reported its financial results for the third quarter and nine month period ended September 30, 2023.

Angeliki Frangou, Chairwoman and Chief Executive Officer of Navios Partners stated, “I am pleased with the results for the third quarter of 2023, in which we reported revenue of $323.2 million and net income of $89.8 million. We are also pleased to report earnings per common unit of $2.92 for the quarter.”

Angeliki Frangou continued, “The United States and Euro zone economies are generally healthy. However, the wars in Ukraine and Israel coupled with inflation and a transition in the interest rate environment have contributed to making this one of the most dangerous times in memory. Despite these factors, the shipping market is healthy, and Navios has performed well. We continue to focus on things that we can control, such as reducing leverage, being eco-friendly through modern, energy efficient vessels and expanding into areas that will promote our long-term prospects, such as the recent tanker deals we entered into with various oil majors.”

Fleet update
	•	Sales YTD
			•	$255.2 million gross sale proceeds from sale of 14 vessels YTD
					•	Completed the sale of 13 vessels for $242.2 million in 9M 2023
During the nine month period ended September 30, 2023, Navios Partners sold 13 vessels to various unrelated third parties, for gross sale proceeds of $242.2 million.
					•	Completed the sale of one vessel for $13.0 million in Q4 2023
On September 22, 2023, Navios Partners agreed to sell a 2004-built Capesize vessel of 180,310 dwt, to an unrelated third party, for gross sale proceeds of $13.0 million. The sale was completed on October 12, 2023.
	•	Acquisitions YTD
			•	Acquisition of four 115,000 dwt newbuilding scrubber-fitted Aframax/LR2 tankers
During the third quarter of 2023, Navios Partners agreed to acquire four 115,000 dwt newbuilding scrubber-fitted Aframax/LR2 tankers, from an unrelated third party, for a purchase price of $61.25 million each (plus $3.3 million per vessel in additional features). The vessels have been designed with the latest technology optimizing efficiency and will carry both crude and clean products. The vessels are expected to be delivered into Navios Partners’ fleet during 2026.
			•	Acquisition of four newbuilding MR2 product tankers
During the first nine months of 2023, Navios Partners agreed to acquire four newbuilding Japanese MR2 product tankers from unrelated third parties, under bareboat contracts. Each vessel is being bareboat-in for ten years. Navios Partners has the option to acquire the vessels starting at the end of year four until the end of the charter period. Assuming the exercise of the option at the end of the 10-year period, the bareboat agreements reflect an aggregate implied price of approximately $163.4 million and an implied effective interest of approximately 7.0%. The vessels are expected to be delivered into Navios Partners’ fleet during the second half of 2026 and the first half of 2027.
			•	Acquisition of one Kamsarmax
In August 2023, Navios Partners agreed to acquire from an unrelated third party a 2019-built Kamsarmax of 81,692 dwt (previously chartered-in) for a purchase price of $28.0 million. The acquisition was completed in October 2023.
	•	$257.9 million contracted revenue agreed in Q3 2023; $3.3 billion total contracted revenue
Navios Partners entered into new long-term charters which are expected to generate revenue of $257.9 million.
			•	Two Aframax/LR2 newbuilding tankers, expected to be delivered in 2026, have been chartered-out for a period of five years, at a rate of $27,788 net per day.
			•	Three MR product tankers have been chartered-out for an average period of three years, at an average rate of $21,451 net per day.
			•	One Ultra-Handymax has been chartered-out for a period of five years, at a rate of $25,800 net per day.
			•	Three 4,250 TEU containerships have been chartered-out for an average period of 1.9 years, at an average rate of $18,299 net per day.
Including the above long-term charters, Navios Partners currently has $3.3 billion contracted revenue through 2037.
	•	Transshipment business
In October 2023, Navios Partners agreed to charter-out the Navios Vega, following her modification to ship-to-ship transhipper vessel, to Navios South American Logistics Inc. for a period of five years at a rate of $25,800 net per day. This transaction was negotiated with, and unanimously approved by, the conflicts committee of Navios Partners.
	•	Charters update
			•	$52.5 million prepayment of charter hire for two containerships
In October 2023, Navios Partners agreed to terminate the charter parties of the Protostar N, a 2007-built 2,741 TEU containership, and the Navios Spring, a 2007-built 3,450 TEU containership, with a minimum charter period until October 2025 and April 2025, respectively, against a prepayment of $52.5 million. Navios Partners agreed to assume the current sub-charter agreements of the Protostar N and the Navios Spring at $11,700 net per day for a minimum charter period until August 2025 and at $19,744 net per day for a minimum charter period until March 2024, respectively. A mitigation rate of $4,000 per day was applied for each containership for the period after the end of the sublease agreements.
			•	Charter amendment and extension for two containerships
During the third quarter of 2023, Navios Partners agreed to amend and extend the existing charter parties of: (i) the Navios Jasmine, a 2008-built 4,730 TEU containership, chartered-out at $60,000 net per day with a minimum charter period until December 2024; and (ii) the Navios Bahamas, a 2010-built 4,360 TEU containership, chartered-out at $60,000 net per day with a minimum charter period until January 2025. Following this amendment, Navios Partners agreed to charter-out:
					•	The Navios Jasmine at $48,000 net per day from August 2023 to March 2025 and at $22,500 net per day from March 2025 to May 2027.
					•	The Navios Bahamas at $48,000 net per day from August 2023 to April 2025 and at $22,500 net per day from April 2025 to June 2027.

Financing update

In September 2023, Navios Partners refinanced the sale and leaseback agreements of four product tanker vessels in order to: (i) replace Libor plus 305 bps per annum with Term Secured Overnight Financing Rate (“Term SOFR”) plus 190 bps per annum; and (ii) extend the maturity for five years.

In August 2023, Navios Partners refinanced the sale and leaseback agreements of two 10,000 TEU containerships in order to replace Libor plus 310 bps per annum with Term SOFR plus 225 bps per annum.

Cash distribution

The Board of Directors of Navios Partners declared a cash distribution for the third quarter of 2023 of $0.05 per unit. The cash distribution will be paid on November 13, 2023 to unitholders of record as of November 7, 2023. The declaration and payment of any further dividends remain subject to the discretion of the Board of Directors and will depend on, among other things, Navios Partners’ cash requirements as measured by market opportunities and restrictions under its credit agreements and other debt obligations and such other factors as the Board of Directors may deem advisable.

Operating Highlights

Navios Partners owns and operates a fleet comprised of 80 dry bulk vessels, 47 containerships and 53 tanker vessels, including 16 newbuilding tanker vessels (ten Aframax/LR2 and six MR2 Product Tanker chartered-in vessels under bareboat contracts), that are expected to be delivered through 2027 and 12 newbuilding containerships (ten 5,300 TEU containerships and two 7,700 TEU containerships), that are expected to be delivered through 2025.

Navios Partners has entered into short, medium and long-term time charter-out, bareboat-out and freight agreements for its vessels with a remaining average term of 1.9 years. Navios Partners has currently fixed 83.4% and 49.0% of its available days for the fourth quarter of 2023 and for 2024, respectively. Navios Partners expects to generate contracted revenue of $272.5 million and $765.3 million for the fourth quarter of 2023 and for 2024, respectively. The average expected daily charter-out rate for the fleet is $23,610 and $27,284 for the fourth quarter of 2023 and for 2024, respectively.

EARNINGS HIGHLIGHTS

For the following results and the selected financial data presented herein, Navios Partners has compiled condensed consolidated statements of operations for the three and nine month periods ended September 30, 2023 and 2022. The quarterly information was derived from the unaudited condensed consolidated financial statements for the respective periods. EBITDA, Adjusted EBITDA, Adjusted Earnings per Common Unit basic and diluted and Adjusted Net Income are non-GAAP financial measures and should not be used in isolation or substitution for Navios Partners’ results calculated in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”).

	Three Month Period Ended			Three Month Period Ended				Nine Month Period Ended					Nine Month Period Ended
	September 30, 2023			September 30, 2022				September 30, 2023					September 30, 2022
(in $‘000 except per unit data)	(unaudited)			(unaudited)				(unaudited)					(unaudited)
Revenue	$	323,176		$	322,387			$		979,636			$		839,665
Net Income	$	89,781		$	257,164			$		301,254			$		460,989
Adjusted Net Income	$	82,611	(1)	$	113,400	(2)		$		250,483	(3)		$		317,225	(2)
Net cash provided by operating activities	$	120,270		$	219,108			$		348,613			$		366,271
EBITDA	$	180,838		$	321,433			$		571,275			$		611,028
Adjusted EBITDA	$	173,668	(1)	$	177,669	(2)		$		520,504	(3)		$		467,264	(2)
Earnings per Common Unit basic	$	2.92		$	8.36			$		9.78			$		14.98
Earnings per Common Unit diluted	$	2.91		$	8.35			$		9.78			$		14.97
Adjusted Earnings per Common Unit basic	$	2.68	(1)	$	3.69	(2)		$		8.13	(3)		$		10.31	(2)
Adjusted Earnings per Common Unit diluted	$	2.68	(1)	$	3.68	(2)		$		8.13	(3)		$		10.30	(2)

(1) Adjusted Net Income, Adjusted EBITDA and Adjusted Earnings per Common Unit basic and diluted for the three month period ended September 30, 2023 have been adjusted to exclude a $7.2 million gain related to the sale of two of our vessels.

(2) Adjusted Net Income, Adjusted EBITDA and Adjusted Earnings per Common Unit basic and diluted for the three and nine month periods ended September 30, 2022 have been adjusted to exclude a $143.8 million gain related to the sale of two of our vessels in the third quarter of 2022.

(3) Adjusted Net Income, Adjusted EBITDA and Adjusted Earnings per Common Unit basic and diluted for the nine month period ended September 30, 2023 have been adjusted to exclude a $50.8 million gain related to the sale of 14 of our vessels.

Three month periods ended September 30, 2023 and 2022

Time charter and voyage revenues for the three month period ended September 30, 2023 slightly increased by $0.8 million, or 0.2%, to $323.2 million, as compared to $322.4 million for the same period in 2022. The increase in revenue was mainly attributable to the increase in the available days of our fleet, partially mitigated by the decrease in Time Charter Equivalent (“TCE”) rate. For the three month periods ended September 30, 2023 and September 30, 2022, time charter and voyage revenues were affected by $9.7 million and $13.6 million, respectively, relating to the straight line effect of the containership and tanker charters with de-escalating rates. The TCE rate decreased by 7.3% to $22,052 per day, as compared to $23,781 per day for the same period in 2022. The available days of the fleet increased by 6.7% to 13,759 days for the three month period ended September 30, 2023, as compared to 12,897 days for the same period in 2022 mainly due to the acquisition of the 36-vessel dry bulk fleet from Navios Maritime Holdings Inc. (“Navios Holdings”) and the deliveries of newbuilding and secondhand vessels, partially mitigated by the sale of vessels.

EBITDA of Navios Partners for the three month periods ended September 30, 2023 and 2022 was affected by the items described in the table above. Excluding these items, Adjusted EBITDA decreased by $4.0 million to $173.7 million for the three month period ended September 30, 2023, as compared to $177.7 million for the same period in 2022. The decrease in Adjusted EBITDA was primarily due to a: (i) $4.5 million increase in time charter and voyage expenses, mainly due to the increase in bunker expenses arising from the increased days of freight voyages in the third quarter of 2023; (ii) $4.0 million increase in vessel operating expenses in accordance with our management agreements, mainly due to the expansion of our fleet; and (iii) $3.9 million increase in general and administrative expenses mainly due to the expansion of our fleet in accordance with our administrative services agreement, partially mitigated by a: (i) $4.1 million decrease in other expenses, net; (ii) $3.5 million decrease in direct vessel expenses (excluding the amortization of deferred drydock, special survey costs and other capitalized items); and (iii) $0.8 million increase in time charter and voyage revenues.

Net Income for the three month periods ended September 30, 2023 and 2022 was affected by the items described in the table above. Excluding these items, Adjusted Net Income decreased by $30.8 million to $82.6 million for the three month period ended September 30, 2023, as compared to $113.4 million for the same period in 2022. The decrease in Adjusted Net Income was primarily due to a: (i) $20.5 million negative impact from the depreciation and amortization, mainly due to a $21.3 million decrease in the amortization of the unfavorable lease terms and a $4.0 million increase in amortization of deferred drydock, special survey costs and other capitalized items that were partially mitigated by a $4.8 million decrease in depreciation and amortization expense; (ii) $9.5 million increase in interest expense and finance cost, net; and (iii) $4.0 million decrease in Adjusted EBITDA, partially mitigated by a $3.2 million increase in interest income.

Nine month periods ended September 30, 2023 and 2022

Time charter and voyage revenues for the nine month period ended September 30, 2023 increased by $139.9 million, or 16.7%, to $979.6 million, as compared to $839.7 million for the same period in 2022. The increase in revenue was mainly attributable to the increase in the available days of our fleet. For the nine month periods ended September 30, 2023 and September 30, 2022, time charter and voyage revenues were affected by $30.2 million and $30.1 million, respectively, relating to the straight line effect of the containership and tanker charters with de-escalating rates. The TCE rate decreased by 2.1% to $22,242 per day, as compared to $22,717 per day for the same period in 2022. The available days of the fleet increased by 16.5% to 41,239 days for the nine month period ended September 30, 2023, as compared to 35,394 days for the same period in 2022, mainly due to the acquisition of the 36-vessel dry bulk fleet from Navios Holdings and the deliveries of newbuilding and secondhand vessels, partially mitigated by the sale of vessels.

EBITDA of Navios Partners for the nine month periods ended September 30, 2023 and 2022 was affected by the items described in the table above. Excluding these items, Adjusted EBITDA increased by $53.2 million to $520.5 million for the nine month period ended September 30, 2023, as compared to $467.3 million for the same period in 2022. The increase in Adjusted EBITDA was primarily due to a: (i) $139.9 million increase in time charter and voyage revenues; and (ii) $1.3 million decrease in direct vessel expenses (excluding the amortization of deferred drydock, special survey costs and other capitalized items), that were partially mitigated by a: (i) $47.3 million increase in time charter and voyage expenses, mainly due to the increase in bunker expenses arising from the increased days of freight voyages in the first nine months of 2023 and bareboat and charter-in hire expense of the tanker and dry bulk fleet; (ii) $22.5 million increase in vessel operating expenses in accordance with our management agreements, mainly due to the expansion of our fleet; (iii) $15.9 million increase in general and administrative expenses mainly due to the expansion of our fleet in accordance with our administrative services agreement; and (iv) $2.3 million increase in other expenses, net.

Net Income for the nine month periods ended September 30, 2023 and 2022 was affected by the items described in the table above. Excluding these items, Adjusted Net Income decreased by $66.7 million to $250.5 million for the nine month period ended September 30, 2023, as compared to $317.2 million for the same period in 2022. The decrease in Adjusted Net Income was primarily due to a: (i) $76.5 million negative impact from the depreciation and amortization, mainly due to a $47.8 million decrease in the amortization of the unfavorable lease terms, a $19.0 million increase in depreciation and amortization expense and a $9.7 million increase in amortization of deferred drydock, special survey costs and other capitalized items; and (ii) $50.7 million increase in interest expense and finance cost, net, partially mitigated by a: (i) $53.2 million increase in Adjusted EBITDA; and (ii) $7.3 million increase in interest income.

Fleet Employment Profile

The following table reflects certain key indicators of Navios Partners’ core fleet performance for the three and nine month periods ended September 30, 2023 and 2022.         

	Three Month Period Ended September 30, 2023				Three Month Period Ended September 30, 2022				Nine Month Period Ended September 30, 2023				Nine Month Period Ended September 30, 2022
	(unaudited)				(unaudited)				(unaudited)				(unaudited)
Available Days(1)		13,759				12,897				41,239				35,394
Operating Days(2)		13,646				12,785				40,869				35,008
Fleet Utilization(3)		99.2	%			99.1	%			99.1	%			98.9	%
TCE rate Combined (per day)(4)	$	22,052			$	23,781			$	22,242			$	22,717
TCE rate Drybulk (per day)(4)	$	14,139			$	20,061			$	13,613			$	21,381
TCE rate Containers (per day)(4)	$	34,350			$	32,600			$	34,930			$	30,486
TCE rate Tankers (per day)(4)	$	27,688			$	21,828			$	29,014			$	17,834
Vessels operating at period end		153				166				153				166

(1)		Available days for the fleet represent total calendar days the vessels were in Navios Partners’ possession for the relevant period after subtracting off-hire days associated with scheduled repairs, dry dockings or special surveys and ballast days relating to voyages. The shipping industry uses available days to measure the number of days in a relevant period during which a vessel is capable of generating revenues.
(2)		Operating days are the number of available days in the relevant period less the aggregate number of days that the vessels are off-hire due to any reason, including unforeseen circumstances. The shipping industry uses operating days to measure the aggregate number of days in a relevant period during which vessels actually generate revenues.
(3)		Fleet utilization is the percentage of time that Navios Partners’ vessels were available for generating revenue, and is determined by dividing the number of operating days during a relevant period by the number of available days during that period. The shipping industry uses fleet utilization to measure efficiency in finding employment for vessels and minimizing the amount of days that its vessels are off-hire for reasons other than scheduled repairs, dry dockings or special surveys.
(4)		TCE rate: TCE rate per day is defined as voyage, time charter revenues and charter-out revenues under bareboat contract (grossed up by currently applicable fixed vessel operating expenses) less voyage expenses during a period divided by the number of available days during the period. The TCE rate per day is a customary shipping industry performance measure used primarily to present the actual daily earnings generated by vessels on various types of charter contracts for the number of available days of the fleet.

Conference Call Details:

Navios Partners' management will host a conference call on Thursday, November 2, 2023 to discuss the results for the third quarter and nine months ended September 30, 2023.

Call Date/Time: Thursday, November 2, 2023 at 8:30 am ET
Call Title: Navios Partners Q3 2023 Financial Results Conference Call 
US Dial In: +1.800.225.9448
International Dial In: +1.203.518.9708
Conference ID: NMMQ323

The conference call replay will be available two hours after the live call and remain available for one week at the following numbers:

US Replay Dial In: +1.800.934.4577
International Replay Dial In: +1.402.220.1177

Slides and audio webcast:

There will also be a live webcast of the conference call, through the Navios Partners website (www.navios-mlp.com) under “Investors”. Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.

A supplemental slide presentation will be available on the Navios Partners website at www.navios-mlp.com under the "Investors" section at 8:00 am ET on the day of the call. 

About Navios Maritime Partners L.P.

Navios Maritime Partners L.P. (NYSE: NMM) is an international owner and operator of dry cargo and tanker vessels. For more information, please visit our website at www.navios-mlp.com.

Forward-Looking Statements

This press release contains and will contain 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, TCE rates and Navios Partners’ expected cash flow generation, future contracted revenues, future distributions and its ability to make distributions going forward, opportunities to reinvest cash accretively in a fleet renewal program or otherwise, potential capital gains, its ability to take advantage of dislocation in the market and Navios Partners’ growth strategy and measures to implement such strategy, including expected vessel acquisitions and entering into further time charters and Navios Partners’ ability to refinance its debt on attractive terms, or at all. Words such as “may,” “expects,” “intends,” “plans,” “believes,” “anticipates,” “hopes,” “estimates,” and variations of such words and similar expressions are intended to identify forward-looking statements.

These forward-looking statements are based on the information available to, and the expectations and assumptions deemed reasonable by Navios Partners at the time these statements were made. Although Navios Partners 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 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 Navios Partners. 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, risks relating to: global and regional economic and political conditions including global economic activity, demand for seaborne transportation of the products we ship, the ability and willingness of charterers to fulfill their obligations to us and prevailing charter rates, the economic condition of the markets in which we operate, shipyards performing scrubber installations, construction of newbuilding vessels, drydocking and repairs, changing vessel crews and availability of financing; potential disruption of shipping routes due to accidents, wars, diseases, pandemics, political events, piracy or acts by terrorists; uncertainty relating to global trade, including prices of seaborne commodities and continuing issues related to seaborne volume and ton miles, our continued ability to enter into long-term time charters, our ability to maximize the use of our vessels, expected demand in the dry and liquid cargo shipping sectors in general and the demand for our drybulk, containerships and tanker vessels in particular, fluctuations in charter rates for drybulk, containerships and tanker vessels, the aging of our fleet and resultant increases in operations costs, the loss of any customer or charter or vessel, the financial condition of our customers, changes in the availability and costs of funding due to conditions in the bank market, capital markets and other factors, fluctuation in interest rates and foreign exchange rates, increases in costs and expenses, including but not limited to: crew, insurance, provisions, port expenses, lube oil, bunkers, repairs, maintenance and general and administrative expenses, the expected cost of, and our ability to comply with, governmental regulations and maritime self-regulatory organization standards, as well as standard regulations imposed by our charterers applicable to our business, general domestic and international political conditions, competitive factors in the market in which Navios Partners operates; risks associated with operations outside the United States; and other factors listed from time to time in Navios Partners’ filings with the Securities and Exchange Commission, including its Form 20-Fs and Form 6-Ks. Navios Partners 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 Navios Partners’ expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based. Navios Partners makes no prediction or statement about the performance of its common units.

Contacts

Navios Maritime Partners L.P.
+1 (212) 906 8645
Investors@navios-mlp.com 

Nicolas Bornozis
Capital Link, Inc.
+1 (212) 661 7566
naviospartners@capitallink.com

EXHIBIT 1

NAVIOS MARITIME PARTNERS L.P. SELECTED BALANCE SHEET DATA (Expressed in thousands of U.S. Dollars except unit data)
		September 30, 2023 (unaudited)			December 31, 2022 (unaudited)
ASSETS
Cash and cash equivalents, including restricted cash		$	269,173		$	175,098
Other current assets			114,033			135,326
Vessels, net			3,700,455			3,777,329
Other non-current assets			972,207			807,951
Total assets		$	5,055,868		$	4,895,704
LIABILITIES AND PARTNERS’ CAPITAL
Other current liabilities		$	141,300		$	226,645
Total borrowings, net (including current and non-current)			1,931,055			1,945,447
Other non-current liabilities			343,913			380,649
Total partners’ capital			2,639,600			2,342,963
Total liabilities and partners’ capital		$	5,055,868		$	4,895,704

        

NAVIOS MARITIME PARTNERS L.P. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Expressed in thousands of U.S. Dollars except unit and per unit data)
		Three Month Period Ended				Three Month Period Ended				Nine Month Period Ended				Nine Month Period Ended
		September 30, 2023				September 30, 2022				September 30, 2023				September  30, 2022
		(unaudited)				(unaudited)				(unaudited)				(unaudited)
Time charter and voyage revenues		$	323,176			$	322,387			$	979,636			$	839,665
Time charter and voyage expenses			(39,877	)			(35,439	)			(121,596	)			(74,300	)
Direct vessel expenses			(15,941	)			(15,398	)			(48,145	)			(39,511	)
Vessel operating expenses			(82,856	)			(78,928	)			(248,622	)			(226,089	)
General and administrative expenses			(19,524	)			(15,597	)			(59,559	)			(43,683	)
Depreciation and amortization of intangible assets			(54,513	)			(59,270	)			(162,768	)			(143,820	)
Amortization of unfavorable lease terms			3,521				24,779				16,431				64,205
Gain on sale of vessels, net			7,170				143,764				50,771				143,764
Interest expense and finance cost, net			(31,849	)			(22,270	)			(100,703	)			(50,019	)
Interest income			3,314				74				7,414				98
Other expense, net			(2,840	)			(6,938	)			(11,605	)			(9,321	)
Net income		$	89,781			$	257,164			$	301,254			$	460,989

Earnings per unit:
		Three Month Period Ended				Three Month Period Ended				Nine Month Period Ended				Nine Month Period Ended
		September 30, 2023				September 30, 2022				September 30, 2023				September 30, 2022
		(unaudited)				(unaudited)				(unaudited)				(unaudited)
Earnings per unit:
Earnings per common unit, basic		$	2.92			$	8.36			$	9.78			$	14.98
Earnings per common unit, diluted		$	2.91			$	8.35			$	9.78			$	14.97

NAVIOS MARITIME PARTNERS L.P. Other Financial Information (Expressed in thousands of U.S. Dollars except unit data)
		Nine Month Period Ended September 30, 2023					Nine Month Period Ended September 30, 2022
(in thousands of U.S. dollars)		(unaudited)					(unaudited)
Net cash provided by operating activities		$	348,613				$	366,271
Net cash used in investing activities		$	(72,423	)			$	(265,710	)
Net cash used in financing activities		$	(182,115	)			$	(159,687	)
Increase/(decrease) in cash, cash equivalents and restricted cash		$	94,075				$	(59,126	)

EXHIBIT 2

Owned Drybulk Vessels		Type		Built		Capacity (DWT)
Navios Christine B		Ultra-Handymax		2009		58,058
Navios Celestial		Ultra-Handymax		2009		58,063
Navios Vega		Ultra-Handymax		2009		58,792
Navios La Paix		Ultra-Handymax		2014		61,485
Navios Hyperion		Panamax		2004		75,707
Navios Orbiter		Panamax		2004		76,602
Navios Hope		Panamax		2005		75,397
Navios Taurus		Panamax		2005		76,596
Navios Sun		Panamax		2005		76,619
Navios Asteriks		Panamax		2005		76,801
Navios Helios		Panamax		2005		77,075
Navios Apollon I		Panamax		2005		87,052
N Amalthia		Panamax		2006		75,318
Navios Sagittarius		Panamax		2006		75,756
Navios Galileo		Panamax		2006		76,596
N Bonanza		Panamax		2006		76,596
Navios Harmony		Panamax		2006		82,790
Copernicus N		Panamax		2010		93,062
Unity N		Panamax		2011		79,642
Odysseus N		Panamax		2011		79,642
Rainbow N		Panamax		2011		79,642
Navios Avior		Panamax		2012		81,355
Navios Centaurus		Panamax		2012		81,472
Navios Victory		Panamax		2014		77,095
Navios Sphera		Panamax		2016		84,872
Navios Sky		Panamax		2015		82,056
Navios Uranus		Panamax		2019		81,821
Navios Herakles I		Panamax		2019		82,036
Navios Galaxy II		Panamax		2020		81,789
Navios Felicity I		Panamax		2020		81,962
Navios Magellan II		Panamax		2020		82,037
Navios Alegria		Panamax		2016		84,852
Navios Meridian		Panamax		2023		82,010
Navios Primavera		Panamax		2022		82,003
Navios Horizon I		Panamax		2019		81,692
Navios Fantastiks		Capesize		2005		180,265
Navios Stellar		Capesize		2009		169,001
Navios Aurora II		Capesize		2009		169,031
Navios Happiness		Capesize		2009		180,022
Navios Bonavis		Capesize		2009		180,022
Navios Phoenix		Capesize		2009		180,242
Navios Sol		Capesize		2009		180,274
Navios Lumen		Capesize		2009		180,661
Navios Pollux		Capesize		2009		180,727
Navios Antares		Capesize		2010		169,059
Navios Symphony		Capesize		2010		178,132
Navios Melodia		Capesize		2010		179,132
Navios Luz		Capesize		2010		179,144
Navios Etoile		Capesize		2010		179,234
Navios Buena Ventura		Capesize		2010		179,259
Navios Bonheur		Capesize		2010		179,259
Navios Fulvia		Capesize		2010		179,263
Navios Aster		Capesize		2010		179,314
Navios Ace		Capesize		2011		179,016
Navios Altamira		Capesize		2011		179,165
Navios Azimuth		Capesize		2011		179,169
Navios Koyo		Capesize		2011		181,415
Navios Ray		Capesize		2012		179,515
Navios Joy		Capesize		2013		181,389
Navios Gem		Capesize		2014		181,336
Navios Canary		Capesize		2015		180,528
Navios Corali		Capesize		2015		181,249
Navios Mars		Capesize		2016		181,259
Navios Armonia		Capesize		2022		182,079
Navios Azalea		Capesize		2022		182,064
Navios Astra		Capesize		2022		182,392
Navios Felix		Capesize		2016		181,221
Navios Altair		Capesize		2023		182,115
Navios Sakura		Capesize		2023		182,169
Navios Amethyst		Capesize		2023		182,212

Owned Containerships		Type		Built		Capacity (TEU)
Navios Summer		Containership		2006		3,450
Navios Verano		Containership		2006		3,450
Hyundai Hongkong		Containership		2006		6,800
Hyundai Singapore		Containership		2006		6,800
Hyundai Busan		Containership		2006		6,800
Hyundai Shanghai		Containership		2006		6,800
Hyundai Tokyo		Containership		2006		6,800
Protostar N		Containership		2007		2,741
Navios Spring		Containership		2007		3,450
Matson Lanai		Containership		2007		4,250
Navios Indigo		Containership		2007		4,250
Navios Vermilion		Containership		2007		4,250
Navios Verde		Containership		2007		4,250
Navios Amarillo		Containership		2007		4,250
Navios Azure		Containership		2007		4,250
Navios Domino		Containership		2008		4,250
Navios Delight		Containership		2008		4,250
Navios Magnolia		Containership		2008		4,730
Navios Jasmine		Containership		2008		4,730
Navios Chrysalis		Containership		2008		4,730
Navios Nerine		Containership		2008		4,730
Spectrum N		Containership		2009		2,546
Navios Devotion		Containership		2009		4,250
Navios Destiny		Containership		2009		4,250
Navios Lapis		Containership		2009		4,250
Navios Tempo		Containership		2009		4,250
Navios Miami		Containership		2009		4,563
Navios Dorado		Containership		2010		4,250
Zim Baltimore		Containership		2010		4,360
Navios Bahamas		Containership		2010		4,360
Zim Carmel		Containership		2010		4,360
Navios Unison		Containership		2010		10,000
Navios Constellation		Containership		2011		10,000
Fleur N		Containership		2012		2,782
Ete N		Containership		2012		2,782

Owned Tanker Vessels		Type		Built		Capacity (DWT)
Hector N		MR1 Product Tanker		2008		38,402
Nave Equinox		MR2 Product Tanker		2007		50,922
Nave Pulsar		MR2 Product Tanker		2007		50,922
Nave Orbit		MR2 Product Tanker		2009		50,470
Nave Equator		MR2 Product Tanker		2009		50,542
Nave Aquila		MR2 Product Tanker		2012		49,991
Nave Atria		MR2 Product Tanker		2012		49,992
Nave Capella		MR2 Product Tanker		2013		49,995
Nave Alderamin		MR2 Product Tanker		2013		49,998
Nave Bellatrix		MR2 Product Tanker		2013		49,999
Nave Orion		MR2 Product Tanker		2013		49,999
Nave Titan		MR2 Product Tanker		2013		49,999
Bougainville		MR2 Product Tanker		2013		50,626
Nave Pyxis		MR2 Product Tanker		2014		49,998
Nave Luminosity		MR2 Product Tanker		2014		49,999
Nave Jupiter		MR2 Product Tanker		2014		49,999
Nave Velocity		MR2 Product Tanker		2015		49,999
Nave Sextans		MR2 Product Tanker		2015		49,999
Nave Ariadne		LR1 Product Tanker		2007		74,671
Nave Cielo		LR1 Product Tanker		2007		74,671
Nave Andromeda		LR1 Product Tanker		2011		75,000
Nave Cetus		LR1 Product Tanker		2012		74,581
Nave Cassiopeia		LR1 Product Tanker		2012		74,711
Nave Estella		LR1 Product Tanker		2012		75,000
Nave Rigel		LR1 Product Tanker		2013		74,673
Nave Atropos		LR1 Product Tanker		2013		74,695
Nave Galactic		VLCC		2009		297,168
Nave Spherical		VLCC		2009		297,188
Nave Constellation		VLCC		2010		296,988
Nave Quasar		VLCC		2010		297,376
Nave Synergy		VLCC		2010		299,973
Nave Universe		VLCC		2011		297,066
Nave Buena Suerte		VLCC		2011		297,491

Bareboat-in vessels		Type		Built		Capacity (DWT)		Purchase Option
Navios Libra		Panamax		2019		82,011		Yes
Navios Star		Panamax		2021		81,994		Yes
Navios Amitie		Panamax		2021		82,002		Yes
Baghdad		VLCC		2020		313,433		Yes
Nave Electron		VLCC		2021		313,239		Yes
Erbil		VLCC		2021		313,486		Yes
Nave Celeste		VLCC		2022		313,418		Yes

Newbuldings to be delivered		Type		Expected Delivery Date		Capacity DWT / (TEU)
TBN I		Containership		Q4 2023		5,300
TBN II		Containership		Q4 2023		5,300
TBN VII		Containership		H1 2024		5,300
TBN VIII		Containership		H1 2024		5,300
TBN III		Containership		H1 2024		5,300
TBN IV		Containership		H1 2024		5,300
TBN V		Containership		H2 2024		5,300
TBN IX		Containership		H2 2024		5,300
TBN X		Containership		H2 2024		5,300
TBN VI		Containership		H2 2024		5,300
TBN XVII		Containership		H2 2024		7,700
TBN XVIII		Containership		H1 2025		7,700
TBN XI		Aframax/LR2		H1 2024		115,000
TBN XII		Aframax/LR2		H2 2024		115,000
TBN XIII		Aframax/LR2		H2 2024		115,000
TBN XIV		Aframax/LR2		H2 2024		115,000
TBN XV		Aframax/LR2		H1 2025		115,000
TBN XVI		Aframax/LR2		H1 2025		115,000
TBN XXV		Aframax/LR2		H1 2026		115,000
TBN XXVI		Aframax/LR2		H1 2026		115,000
TBN XXVII		Aframax/LR2		H2 2026		115,000
TBN XXVIII		Aframax/LR2		H2 2026		115,000
TBN XIX		MR2 Product Tanker		H2 2025		52,000
TBN XX		MR2 Product Tanker		H1 2026		52,000
TBN XXI		MR2 Product Tanker		H2 2026		52,000
TBN XXII		MR2 Product Tanker		H1 2027		52,000
TBN XXIII		MR2 Product Tanker		H1 2027		52,000
TBN XXIV		MR2 Product Tanker		H1 2027		52,000

Chartered-in vessels (with purchase options)		Type		Year Built		Capacity (DWT)		Purchase Option
Navios Lyra		Handysize		2012		34,718		Yes
Navios Venus		Ultra-Handymax		2015		61,339		Yes
Navios Amber		Panamax		2015		80,994		Yes
Navios Coral		Panamax		2016		84,904		Yes
Navios Citrine		Panamax		2017		81,626		Yes
Navios Dolphin		Panamax		2017		81,630		Yes
Navios Gemini		Panamax		2018		81,704		No	(1)

(1) Purchase option in the form of the right of first refusal and profit share on sale of vessel.

EXHIBIT 3

Disclosure of Non-GAAP Financial Measures

EBITDA, Adjusted EBITDA, Adjusted Net Income and Adjusted Earnings per Common Unit, basic and diluted are “non-U.S. GAAP financial measures” and should not be used in isolation or considered substitutes for net income/ (loss), cash flow from operating activities and other operations or cash flow statement data prepared in accordance with generally accepted accounting principles in the United States.

EBITDA represents net income before interest and finance costs, depreciation and amortization (including intangible accelerated amortization) and income taxes. Adjusted EBITDA represents EBITDA excluding certain items, as described under “Earnings Highlights”. Navios Partners uses Adjusted EBITDA as a liquidity measure and reconciles EBITDA and Adjusted EBITDA to net cash provided by operating activities, the most comparable U.S. GAAP liquidity measure. EBITDA in this document is calculated as follows: net cash provided by operating activities adding back, when applicable and as the case may be, the effect of: (i) net increase in operating assets; (ii) net decrease/(increase) in operating liabilities; (iii) net interest cost; (iv) amortization and write-off of deferred finance costs and discount; (v) gain on sale of assets, net; (vi) non-cash amortization of deferred revenue and straight line effect of the containerships and tankers charters with de-escalating rates; (vii) stock-based compensation expense; and (viii) amortization of operating lease assets/ liabilities. Navios Partners believes that EBITDA and Adjusted EBITDA are each the basis upon which liquidity can be assessed and presents useful information to investors regarding Navios Partners’ ability to service and/or incur indebtedness, pay capital expenditures, meet working capital requirements and make cash distributions. Navios Partners also believes that EBITDA and Adjusted EBITDA are used: (i) by potential lenders to evaluate potential transactions; (ii) to evaluate and price potential acquisition candidates; and (iii) by securities analysts, investors and other interested parties in the evaluation of companies in our industry.

Each of EBITDA and Adjusted EBITDA have limitations as an analytical tool, and should not be considered in isolation or as a substitute for the analysis of Navios Partners’ results as reported under U.S. GAAP. Some of these limitations are: (i) EBITDA and Adjusted EBITDA do not reflect changes in, or cash requirements for, working capital needs; and (ii) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized may have to be replaced in the future. EBITDA and Adjusted EBITDA do not reflect any cash requirements for such capital expenditures. Because of these limitations, EBITDA and Adjusted EBITDA should not be considered as a principal indicator of Navios Partners’ performance. Furthermore, our calculation of EBITDA and Adjusted EBITDA may not be comparable to that reported by other companies due to differences in methods of calculation.

We present Adjusted Net Income by excluding items that we do not believe are indicative of our core operating performance. Our presentation of Adjusted Net Income adjusts net income for the items described above under “Earnings Highlights”. The definition of Adjusted Net Income used here may not be comparable to that used by other companies due to differences in methods of calculation. Adjusted Basic Earnings per Common Unit is defined as Adjusted Net Income divided by the weighted average number of common units outstanding for each of the periods presented, basic and diluted.

EXHIBIT 4

Navios Maritime Partners L.P. Reconciliation of EBITDA and Adjusted EBITDA to Cash from Operations

		Three Month Period Ended				Three Month Period Ended				Nine Month Period Ended				Nine Month Period Ended
		September 30, 2023				September 30, 2022				September 30, 2023				September 30, 2022
		($ ‘000)				($ ‘000)				($ ‘000)				($ ‘000)
		(unaudited)				(unaudited)				(unaudited)				(unaudited)
Net cash provided by operating activities		$	120,270			$	219,108			$	348,613			$	366,271
Net increase in operating assets			32,481				14,948				22,288				103,465
Net decrease/ (increase) in operating liabilities			12,605				(62,898	)			114,551				(10,918	)
Net interest cost			28,535				22,197				93,289				49,921
Amortization and write-off of deferred finance costs and discount			(1,625	)			(1,251	)			(5,243	)			(3,928	)
Amortization of operating lease assets/ liabilities			(2,623	)			(1,719	)			(7,769	)			(1,297	)
Non-cash amortization of deferred revenue and straight line			(15,974	)			(12,676	)			(45,222	)			(36,128	)
Stock-based compensation			(1	)			(40	)			(3	)			(122	)
Gain on sale of vessels, net			7,170				143,764				50,771				143,764
EBITDA		$	180,838			$	321,433			$	571,275			$	611,028
Gain on sale of vessels, net			(7,170	)			(143,764	)			(50,771	)			(143,764	)
Adjusted EBITDA		$	173,668			$	177,669			$	520,504			$	467,264

		Three Month Period Ended				Three Month Period Ended				Nine Month Period Ended				Nine Month Period Ended
		September 30, 2023				September 30, 2022				September 30, 2023				September 30, 2022
		(unaudited)				(unaudited)				(unaudited)				(unaudited)
Net cash provided by operating activities		$	120,270			$	219,108			$	348,613			$	366,271
Net cash used in investing activities		$	(104,088	)		$	(203,850	)		$	(72,423	)		$	(265,710	)
Net cash used in financing activities		$	(17,061	)		$	(79,562	)		$	(182,115	)		$	(159,687	)

 

FAQ

What were Navios Maritime Partners' revenue and net income for Q3 2023?

Navios Maritime Partners reported revenue of $323.2 million and net income of $89.8 million for Q3 2023.

What were the earnings per common unit for Q3 2023?

Earnings per common unit for Q3 2023 were $2.92.

How much net cash did Navios Partners generate from operating activities in Q3 2023?

Navios Partners generated $120.3 million in net cash from operating activities for Q3 2023.

What was Navios Partners' EBITDA for Q3 2023?

Navios Partners had an EBITDA of $180.8 million for Q3 2023.

How much gross sale proceeds did Navios Partners generate from the sale of vessels in YTD 2023?

Navios Partners generated $255.2 million in gross sale proceeds from the sale of 14 vessels for YTD 2023.