United Maritime (USEA) 22 Feb 232022 Q4 Earnings call transcript

This call may contain forward-looking statements. Good day and thank you for standing by. Welcome to the United Maritime Corporation's 2022 Fourth Quarter Year End Financial Results Webcast. At this time, all participants are in a listen-only mode. After the speaker's presentation, there'll be a question-and-answer session. advised conference be being Please Instructions] that is today's recorded. [Operator

go the now Chairman, to please like would conference CEO to Founder, Tsantanis, I Stamatios turn over today. your and ahead. speaker

main until to well commencement welcome afternoon. conference developments. Today July of corporate and fourth operations presenting we're the would as the XXXX, Good financial for of everyone on call. figures I December the quarter United as Maritime's to period our XX, earnings XXXX, like XXXX from X, the

First, of that paid created This initiation our cash fully I'm successfully in shareholders announce and we announced the of a of special programs comes to two and massive last the with October This our addition very pleased in accretion year. $X.XXX we to and regular as quarterly value. last enhancing share strategy consistent we distribution dividend well of with as rewarding the share. in September shareholder per we buyback dividend of completed per January, November, is $X

our on third capitalize was in Maritime established quarter United results, to in shipping across order major opportunities detailed sectors. As

have our delivered very shareholders. We substantial to already returns

of of less sold, three already vessels, four the acquisition XXX% than exceeded of have overall which the With six tanker months. return equity in been

shareholders. looking strategy I'm our value investment a are, flexible in swift extremely of as to results source to believe endeavors. will that pleased major similar execute with And continue create I achieving our these transactions next and now the our we I'm to first forward timing investment success for and strongly manner. and were in able efficient

of in have tanker returning to we to these to dilutions. our and shareholders perpetual form many without we sale distribute net quarter vessels. million. fourth revenue three we capital already XXXX, in the of mainly demonstrated was QX, of the million, profitable share dividends aim adjusted $XX.X Contrary income peers, of our and profits by Adjusted the driven buybacks as was by the EBITDA of $XX.X $XX.X million, recorded In

in on the was achieved From year, equivalent Our $XX.X operations United daily $XX,XXX. X, commencement until charter of profit of the time million. net QX end of Maritime the July

Our period share of market approximately significantly which underlines undervalued. is the current in which cap, of the potential XXX% our profit appreciation is price, equivalent during our currently

consisting Our we a $XX,XXX. fleet's daily of listing our charter rate Staying period commitment our public performance a commercial have market. of open to $XX.X in true of the we was to strong to approximately capital achieved as in deployed cash repurchases stock dividend net well a return as shareholders, special $X July, outstanding equivalent per during since our time cash million share, our the and buybacks as in reduction dividends in through shares XX%

which convertible shares, Additionally, were of million redeemed by also risk XXXX, reducing shareholders. in November dilution of of the preferred the $XX for our held Synergy, we

We around dividend which per based are now launching trending recently. on of $X surprise, quarter, yield $X.XXX annualized XX% equates our a dividend regular cash to

are in and linked the The while operators time were within agreement that high month. capesize of second respectively entered tankers, acquisition been exceed million. major on of employed has which a fleet profitable will following into two a and is already the capesize also of highly XXXX delivered Turning our five the one XXXX, Japanese vessels, currently recent February, in consists index we one quality in dry sale $XX company expected to Goodship built and by This have into bulk our Tradership three of vessel charters. shipyards development,

in the in of XXXX China. April. Japan, class built The Japanese the also be XXXX in in February to the XXXX, In both was we first was in built acquire two delivered Oasea by and shipyard Kamsarmax will agreed vessels vessels Cretansea end

Panamax XXXX Chrisea, the Finally, in period bareboat XX for we a Japan recently agreed built of to in basis, on months. charter

without According bareboat of favorable operating This the the completion to purchase of to, to vessel option grow peers, highlight upon that a has our day to executed it one vessels shareholders. United Contrary arrangement, investment is important diluting fleet will capital to the very other as charter. dry expenses. is million plan the agreement, the it without our substantial our allows cargo be $XX

fact prospects returns of bulkers fundamentals these Given the have XXXX, for new on there the vessels. summer XX% we favorable strong by fallen prices believe larger since generate the and substantial that than more that vessel are

I end come Stavros remarks our will financial call will the who please shortly. thoroughly at to now for more our closing to CFO; the call Stavros, go discuss the of back pass I results. Gyftakis is some going ahead.

Stamatios. you, Thank

to to fourth I my side the XX, XXXX commencement the like of call on December quarter our July period XXXX. welcome everyone since X, for from operations earnings to the and would

shareholders the of financial for Let the and highlights discussing us start our our rewards main in fronts. reviewing by financing statements strategic moves before some

$XX,XXX and November of our XX,XXX time the market only day end revenues the million whole earning rate strategy of For revenues period net year, reflecting our equivalent was and capesize operations until This vessel million. charter respectively, freight $XX.X the to quarter, fourth $XX,XXX led for generated a XXXX. per hedging the for $XX.X of company net of this while approximately tanker primarily proactive which reached the strong

period period the of the sale discussed profitable in tankers, $XX.X in to the million and Stamatios quarter the of operations. $XX.X of investment operations. whole income was million boosted $XX.X and successful first million Adjusted our for whole the earlier by of the million three the net $XX.X in Meanwhile, our cycle EBITDA completion quarter and

period, sheet, the at count or per share this equivalents the at $X.XX of cash cash This a company timed at on through sale buyback and the the of our reduction sale end the based the completed of balance successfully approximately and stood year. purchase for the end the on on year. result million share and is the activity of $XX the Moving based float during to the

the repayments and $XX CDC million achieved Our quarter. shares the million position of reduction the $XX.X after preferred during of fourth debt robust cash was

of million, a including cash capesize debt of the was paid fleet at bulkers. collateralized advances equity for two while As acquisition million $XX.X XXXX book December loan including $XX.X XX, the our the of $XX.X shareholders' of million value $XX.X stood million was total

back the Tradership, financing acquisition of recent front was the in two on the secured and the be will the by the capes, which with at agreement loan an cash of cash the part and for company eventually Goodship collateral proceeds, collateral the tanker. point On be lender of will Tradership, the sale with the collateralized of sale of The and released. the reached and the LRX the tankers Goodship swap Minoansea the

regards an to $XX both progress acquisition the the sale Kamsarmax European approximately discussions As million financial bulkers costs. leaseback far. transaction of X.X% to acquisition two underlying over the We're for at of of at XX% for of in finance the to aiming X% approximately vessels interest a we're amount lessor in rate financing with so

at was at Our a only of leverage end the including has the after at the end modest maintained at year Net zero. to financing our debt of the recent raise while the XX% marginally standing levels, value with acquisitions. ratio the XXXX loan we collaterals to been of expect replacement

approximately vessels the recently Our pro and $XX.X broker Panamax the of exclude $XXX four based the expected against figures bulk acquisition forma dry the valuations carrier. value recent total projected million acquired total million These is prices. at following of on delivery bareboat debt fleet bulk

over in $X.X upon I then place more period a been the the down the XX the charter for payment a and bareboat $X,XXX delivery bulk payment yesterday on by company million daily months actually earlier. add of The bareboat like rate has of of to charter charter. Now carrier with would vessel, charter million some charted agreement $X.X bareboat which of agreement, of details mentioned the Panamax of payment signing a and the took vessel

has of the we comfortable At a that we will to the between point. NAV $X shareholder to in detailed be and per two of our of option million end September trading significant million, reward programs we price the $XX.X completed have initiatives buyback as United Stamatios, by feel share. at charter, the discount that each finance since which able Concerning progress the previously purchase

in distributed of special Series sale on common fully redeemed underlying shares, In the addition of consistent front. dilution we shareholder's November, the and rewards to to the profitable share preferred the with eliminating vessels. this, we Aframax risk In $X be for looking connection two per dividend shareholders,

$XX We million six initiatives regular in taking review. XXXX. are approximately a than payout a an quarterly also initiating dividend $X.XXX, first of less April place concludes in of amount to my This months. sum with early These

call concluding Stamatios to will back turn I remarks. Stamatios? now the for

Thank Stavros. you,

its production the past space, towards iron in larger have zero steel manufacturing we ore In current found currently to investment and inventories. attractive from in the months, see size in China earlier, is half China and ore policy, has steel XXXX. which bulkers. gradually increase healthy we production exited opportunities bulk rise specifically we and going PMIs that already in we most steel demand utilization, reduce and As a believe to the are expect be COVID to mentioned an seen iron levels of second dry

upturn the in eventually low to not for allow with expansion and current government But in which and will previous KPI We're the recent China, small after a obviously by that line may the stimulus capacity lead series not long in market. more reflected spot house higher a years. demand be prices of we also is the fast expect continuing the encouraged This process of credit inflation it in input ample levels declines.

demand main metallurgical should this And in indications be the remains time at down link decade least. returns the is a which strong. It missing based the Thermal winding several the aggregate only there any of until recent from sources, economic economy, before coal of is demand recovery. not matter end in on and

usage source we second demand strong as with very Finally, outlook bauxite has doughnuts emerged fleet been limited seasonality the an dry have favoring and a of bulk as African the as see important Therefore, capesize aluminum a year. well particularly for growth. for exports half and West globally, demand bauxite commodities, stable of

to As shareholder and aiming unique again, I play optimally transactions. value being that in sale we begin continue timed a purchase Maritime would shipping United the cycle, high second through space like the once investment will public say returns

the here, would and I any turn operator over to call to questions may you have. like answer From the

please operator, call. the So take

question Sullivan from have Instructions] And Tate Thank a with [Operator Maxim. we you.

Your line open. is

is start no coal to bauxite I'll your XX years trade or morning. the that? mentioned were you demand. Good for winding next - to demand and was believe comments down with I referring referring What that the you

really obviously arising [indiscernible]. in No, any of coal in that trade, coal trade, power new we we thermal much specifically have slowdown the coal knowing capacity see so don't from for the generation

three know, to to believe - years. coal we not be of that in there's coal five down you So winding the in going any next,

the potential then, for were is signal And deciding some agreement a purchasing bareboat way? to of that conserving to involves of payment, finance because one purchase - other the thank upfront through that you reasons bareboat details buy that capacity ships that restructuring or you're or agreement other for acquisition on there less an that

a Well, combination it's of things.

we yes, additional relationship business our all, the additional and of companies deals. same major for are driven, want these foreign time purchasing First are capacity, explore are that social we because saving at to

a combination it's of So two. the

And in capesize. summer? more bulk that opportunities this opportunities capesize dry to compared for buy active what Are you market. I sell then ships, outlook market last in - to today have active the mean there

into why so to we And we Panamax That's doughnuts Synergy. much. mostly honest. different little differentiate Kamsarmax be bit looking wanted not Well, are and now a to from

So some for additional the right opportunity, pass on deals to there. will If arise. be opportunity right - and find we to focusing we the wait going we're otherwise,

strategy scrapping that you is term Maritime, the buy - you terms until can of - case targeting not the ships, potential And contracts of see a then the in United is for the to ships? necessarily in probably because is opportunity and older older it part bit near or

an question, Tate. That's excellent

that profit saw, and utilizing in very very all, First we sold we of all low, the case of the toners high. made as by humongous we bought we the this tankers,

commercial point entry or old, slightly years the these the prospects is as XX, a doesn't of So XX levels, bulk credibility the we at let's it affect say feel ships. that as that dry is the now which and long older, maybe

same a up may strongly may goes ships shareholders sale minimum view, and that of if return have believe the that the you up. our value. potential a We course, because strong buy of generating we this this risk, on point purchase profit it possibility tremendous. for And and more for is go to expect very The have market

financings new hear is what are I you of It's Did Stamatios. to mention your more and on and consistent one LIBOR spread getting…? amazed X.X% a more X% you I'm that with of

on morning I ships, and up at Tate X%, plus X.XX% we so discussions, - competitive LIBOR advance, seems is both $XX.X mean, in to for it that's of my relatively a having that's as will which European side. million priced profile now very similar Yes, that progress a very yes based we lessor, over also, financing, from because with good Yes, end far, facility it's with is which is which the high and long. is the the

So contribute this very breakeven. to having will sustainable

[Operator you. this back remarks. turn showing closing time, am to I like further One at Instructions] for Thank the moment, and I'd to call questions no Stamatios

the but today. period to the thank I say first Catherine. like It's operations again, you, Thank our of would was joining going XXXX. to year, once call full I first for everyone

period a in real think prospect. to replicating look future. return the of I We strong, first the United for very operations, that that demonstrated the forward So

that, we successful. stand of on few you. like thank note, hope and benefit for that the new for everyone by in today. our be weeks you to I'd updates us know, Thank will months. Let's all of the And please next for And joining shareholders,

conference for This Thank participating. call. concludes today's you

disconnect. now may You