- Net loss of $41.3 million and loss per share of $0.29 for the second quarter of 2020 compared with net loss of $160.8 million and loss per share of $1.12 for the first quarter of 2020.
- Adjusted EBITDA1 of $4.2 million for the second quarter of 2020, compared with $12.3 million for the first quarter of 2020.
- Completed final eight of 23 planned installations of exhaust gas cleaning systems (“scrubbers”), and the Company had no material capital expenditure requirements as of the date of this report.
- Utilized market strength in the end of the second and beginning of the third quarter of 2020 to secure additional charter coverage. As of the date of this report, of the remaining trading days in 2020:
- 38% of the days for Capesize vessels are covered at a rate of $18,810 per day; and
- 56% of the days for Panamax vessels are covered at a rate of $14,920 per day
Estimated TCE rate for the third quarter of 2020 to be $17,960 for 74% of owned fleet available days for Capesize vessels and $12,980 for 92% of owned fleet available days for Panamax vessels. The numbers are based on current fixtures and on the discharge-to-discharge basis.
As part of the Company’s continuous focus on ESG initiatives, joined the Getting to Zero Coalition, a powerful alliance within the maritime and other sectors, committed to accelerating maritime shipping’s decarbonization.
Ulrik Andersen, Chief Executive Officer, commented:
“While we believe that the recent improvement in rates reflects the diminishing impact of COVID-19 on the underlying demand for dry bulk commodities, uncertainty persists in the near term. We have therefore increased our charter coverage for the balance of 2020, although we maintain enough spot exposure to meaningfully participate in the strong rate environment expected for the remainder of the year. This balanced commercial approach will ensure healthy continued cash flows and a corresponding increase in our liquidity. Additionally, the significant one-off capital expenditures related to scrubber installations and the non-cash impairments that impacted our results in the first half of the year are behind us. It means the recent market strength will directly benefit our second-half cashflow and results.”
Sea News, August 18