Pangaea Logistics Solutions Ltd. · NASDAQ:PANL
Pangaea Logistics Solutions — Q3 2024 Earnings Presentation
16 slides from Pangaea Logistics Solutions's earnings presentation, Nov 13, 2024
Slide 1: 3Q24 Earnings Call Presentation
3Q24 Earnings Call Presentation
Slide 2: Safe Harbor
Safe Harbor 3Q24 Earnings Call Presentation This presentation may include certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding future financial performance, future growth and future acquisitions. These statement
Slide 3: 3Q24 Performance Highlights
3Q24 Performance Highlights Significant strategic progress amid seasonally strong artic trade demand Seasonal artic trade demand drove high utilization of specialized ice-class fleet, resulting in earned TCE rates in 3Q24 exceeding the benchmark average Baltic Panamax and Supramax indices by 19%. Ad
Slide 4: 3Q 2024 Performance Summary
3Q 2024 Performance Summary 3Q24 $23.9 3Q24 $0.24 Adjusted Adjusted EPS EBITDA $s per Share $s in Millions 3Q23 $27.9 3Q23 $0.32 3Q24 $16,324 3Q24 $28.5 TCE Rate Operating $s per Cash Flow Shipping Day $s in Millions 3Q23 $15,748 3Q23 $16.3 4
Slide 5: TCE Rate ($s per Shipping Day)
Outperforming Industry Benchmark Our TCE has exceeded the market by an average of 31% on a trailing 5-year basis Cargo Focused PANL Total Shipping Days PANL TCE Rate Market TCE Rate** Business Model $35,000 6,000 Consistently Delivers Above- $30,000 Market 5,000 Performance TCE Rate ($s per Shipping
Slide 6: Recent Vessel Acquisitions
Recent Vessel Acquisitions Disciplined acquiror of complementary assets 2021 & 2022 2023 & 2024 Purchased 7 vessels for $245 million Purchased 3 vessels for $83 million MV Bulk Courageous MV Bulk Promise - MV Bulk Valor - - Ultramax Panamax Supramax MV Bulk Prudence - Ultramax MV Bulk Brenton - Supr
Slide 7: Return of Capital Program
Return of Capital Program Stable quarterly cash dividend supported by stable profitability Targeted dividend policy is aimed toward sustainability Dividend payout has increased amid favorable market Improved margins and cash conversion support dividend through the cycle conditions and strategic exec
Slide 8: Balance Sheet Update
Balance Sheet Update Ample liquidity to support ongoing growth of business Capital allocation priorities will be balanced between debt Opportunistically invested in owned ship fleet during Repaid over $35 million in debt during 2023 through repayment, fleet investment, opportunistic M&A and 2021 ami
Slide 9: Macro Shipping Outlook
Macro Shipping Outlook Focused on providing comprehensive logistics solutions with targeted dry bulks Near Term Outlook Medium Term Outlook Long-Term Outlook (4Q24 – 1Q25) (Full-Year 2025) (2026 - 2027) • Dry bulk demand appears to be • Global dry bulk fleet growth is • Clarity in emissions free fol
Slide 10: Value Creation Strategy
Value Creation Strategy Durable business model insulated from macro volatility – focused on deploying capital to drive above-sector growth Integrated shipping- High fleet Organic Inorganic Return Balance sheet logistics model utilization investment investment of capital optionality • Provide solutio
Slide 11: Investment Conclusion
Integrated shipping-logistics Focused on consistently model delivering consistent, high fleet utilization to drive above-market returns operating leverage Positioned to benefit from On-shore logistics offering tightening global supply of dry- Investment provides significant, bulk vessels amid contin
Slide 12: Appendix
Appendix Confidential: Pangaea Logistics Solutions
Slide 13: Selected Balance Sheet Data
Selected Balance Sheet Data (in thousands,may not foot due to rounding) September 30, 2024 December 31, 2023 (unaudited) (audited) Current Assets Cash and cash equivalents $ 93,120 $ 99,038 Accounts receivable, net 44,157 47,892 Other current assets 58,962 44,897 Total current assets 196,239 191,826
Slide 14: Selected Income Statement Data
Selected Income Statement Data (in thousands,may not foot due to rounding) Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 (unaudited) (unaudited) (audited) (audited) Revenues: Voyage revenue $ 145,120 $ 127,885 $ 356,506 $ 346,300 Charter revenue 4,860 3,798 23,
Slide 15: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures For the three months ended For the nine months ended 9/30/2024 9/30/2023 9/30/2024 9/30/2023 (unaudited) (unaudited) (unaudited) (unaudited) Net Transportation and Service Revenue Gross Profit $ 21,084,541 $ 25,240,555 $ 52,075,557 $ 52,433,372 Add: Vessel Depreci
Slide 16: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures Earnings Per Common Share Net income attributable to Pangaea Logistics Solutions Ltd. $ 5,111,040 $ 18,868,291 $ 20,467,991 $ 25,187,098 Weighted average number of common shares - basic 45,279,813 44,775,438 45,257,462 44,754,620 Weighted average number of common
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