Slide 1: Earnings Presentation Fourth Quarter & Year Ended December 31, 2012
Earnings Presentation Fourth Quarter & Year Ended December 31, 2012 Earnings Presentation February 14, 2013
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements in this presentation may be "forward-looking statements" within the meaning of federal securities laws. The matters discussed herein that are forward-looking statements are based on current management expectations that involve risks and uncertainties that may re
Slide 3: 2012 Third Quarter & First Nine Months Overview
2012 Third Quarter & First Nine Months Overview • Financial Highlights - 2012: Fourth Quarter Full Year Net Revenues $12.4 m $52.5 m Net Loss ($2.0) m ($0.04)/ ($13.2) m ($0.34) / share(2) share(2) Adj. Net Loss(1) ($2.0) m ($0.04)/ ($4.0) m ($0.10) / share(2) share(2) Adj. EBITDA(1) $2.5 m $14.9 m
Slide 4: Dividend Declaration
Dividend Declaration $0.5 25% Declared the 30th consecutive $0.4 20% dividend of $0.015 per share for the quarterly dividend annualized yield fourth quarter of 2012 $0.3 15% Annualized yield of about 6% based on the closing share price of $1.04 $0.2 10% on 02/13/2013 $0.1 5% $0.0 0% Page 4
Slide 5: Other Company Developments
Other Company Developments All 15 vessels are currently chartered Aggeliki P finished its drydock on January 19 and started a charter for 1-3 months at USD 6,250 pd Ninos was drydocked and renamed OEL Bengal; she was extended to OEL for a further 6-8 months at USD 6,950 pd Eleni P joined the
Slide 6: Current Fleet (not including Euromar vessels)
Current Fleet (not including Euromar vessels) Size Year Acquisition Name Type DWT TEU Built Year Pantelis Panamax 74,020 - 2000 2009 Eleni P Panamax 72,119 - 1997 2009 Irini Panamax 69,734 - 1988 2002 Aristides NP Panamax 69,268 - 1993 2006 Monica P Handymax 46,667 - 1998 2009 Maersk Noumea Intermed
Slide 7: Euromar Joint Venture
Euromar Joint Venture Size Year Name Type DWT TEU Built CAP EGMONT (1) Intermediate 41,850 3,091 2007 EM ASTORIA Intermediate 35,600 2,788 2004 Original capital commitment: CMA-CGM TELOPEA Intermediate 37,180 2,785 2007 $175m MAERSK NAIROBI Intermediate 34,654 2,556 2001 Partnership has called 7
Slide 8: Market Overview
Market Overview
Slide 9: World Economic Growth
World Economic Growth » Political & economic uncertainties remain: Some positives: • The US economy continues to improve even at a slower than desired pace • Japan to stimulate growth with higher spending. • Somewhat more confidence that Europe will deal with its “issues” although still a challenge
Slide 10: World GDP & Shipping Demand Growth
World GDP & Shipping Demand Growth Real GDP (% p.a. - IMF) 2009 2010 2011 2012 2013F (*) 2014F (*) 2015F (*) USA -2.6 (-1.6) 2.8 (2.7) 1.8 (3.0) 2.3 (1.8) 2.0(2.1) 3.0(2.9) 3.4 Eurozone -4.1 (-2.0) 1.8 (1.0) 1.6 (1.5) -0.4 (-0.5) .-0.2(0.2) 1.0(1.2) 1.5 Japan -6.3 (-2.6) 4.3 (1.7) -0.9 (1.7) 2.0(1.7
Slide 11: Drybulk Age Profile & Orderbook Delivery Schedule
Drybulk Age Profile & Orderbook Delivery Schedule Dry Bulk Age Profile Dry Bulk Orderbook (1) For delivery in 13/14 (as m dwt 51% 12% of the fleet is m of Jan-13): 200 over 20 yrs old 160 (scrapping is at Cape 181/56 As of start 2012 180 record levels) Panamax 487/159 140 H’max 327/78 160 80.7 120 H
Slide 12: Containership Age Profile & Orderbook Delivery Schedule
Containership Age Profile & Orderbook Delivery Schedule Containership Age Profile(1) Container Orderbook (1) m TEU mmteu 7.2 40.6 % 2.2 As of start 2012 6.8 Delivered 2013 to-date 6.4 2.0 6.0 11.3% 5.6 1.8 5.2 29.3% 1.6 3.17 9.4% 4.8 6.06% Abt 4.4 1.4 1.32 8.4% 5.75% 4.0 1.2 5.6% 3.6 1.6 3.2 1.15 1
Slide 13: Outlook Summary
Outlook Summary Drybulk Market Chinese slower growth rate negatively affects dry bulk trade growth expectations since two thirds of dry bulk demand is generated in Asia Delivery net delays and cancellations were 40% for 2009, 37% for 2010, 29% for 2011, 29% for 2012 and expected similar for 2013
Slide 14: Chartering, Operations & Investment Strategy
Chartering, Operations & Investment Strategy
Slide 15: Vessels Employment Chart – Bulkers
Vessels Employment Chart – Bulkers Coverage: 44% in 2013 and 3% 2014 ARISTIDES NP $10,300 IRINI $14,000 MONICA P $12,375 ELENI P $16,500 Klaveness Pool PANTELIS $11,200+50/50 profit share One year Opt. @ 14,200 Q4 '12 Q1 '13 Q2 '13 Q3 '13 Q4 '13 Q1 '14 Q2 '14 Q3 '14 Q4 '14 Optional Pool-based revenu
Slide 16: Vessels Employment Chart – Containerships
Vessels Employment Chart – Containerships Coverage (as of Feb 1‘13): Abt 17% in 2013 (based on min durations) 2013 Jan Feb Mar Apr May June Jul Aug Sep Oct Nov Dec Q1 Q2 Q3 Q4 MARINOS $6,000 AGGELIKI P DD $6250 OEL BENGAL $6,950 KUO HSIUNG $6,725 MANOLIS P $6,000 TIGER BRIDGE $5,500 DESPINA P $7,000
Slide 17: Fleet Management & Operational Performance
Fleet Management & Operational Performance Daily costs per vessel (1) 10,000 Operational fleet utilization rate in excess of 98.5% 9,000 over last 5 years 8,000 Outstanding safety and environmental record 7,000 6,000 For 2012Q4, operational fleet utilization 99.1% $ / day 5,000 and commercial
Slide 18: Market Snapshot – Investment Opportunities
Market Snapshot – Investment Opportunities 1-Year Time Charter Rate 90,000 80,000 Panamax 75,000 dwt 70,000 Containership 1700 teu 60,000 50,000 40,000 30,000 20,000 ? 10,000 ? 0 2001-01 2002-01 2003-01 2004-01 2005-01 2006-01 2007-01 2008-01 2009-01 2010-01 2011-01 2012-01 Page 18
Slide 19: Financial Overview
Financial Overview
Slide 20: Financial Highlights: 4th Quarter and Full Year of 2011 and 2012
Financial Highlights: 4th Quarter and Full Year of 2011 and 2012 Fourth Quarter Full Year (in million USD except per change change share amounts) 2011 2012 % (4) 2011 2012 % (4) Net Revenues $15.3 $12.4 -19.2% $61.4 $52.5 -14.5% Net Income $1.1 ($2.0) $1.1 ($13.2) (Gain) /Loss on Sale of Vessel - -
Slide 21: Fleet Data for 4th Quarter and Full Year of 2011 and 2012
Fleet Data for 4th Quarter and Full Year of 2011 and 2012 Fleet Statistics Fourth Quarter Full Year 2011 2012 2011 2012 (unaudited) (unaudited) (unaudited) (unaudited) Number of vessels 16.00 15.00 16.00 15.21 Utilization Rate (%) Overall(1 ) 90.1% 98.9% 96.4% 95.6% Commercial(1 ) 90.5% 99.8% 96.8%
Slide 22: Debt Repayment Profile
Debt Repayment Profile Debt Repayment Schedule – As of 12/31/2012 Cash Flow Breakeven $30 » Cash Flow Breakeven - rough $25 estimate for next 12 months: $20 $/day million 3.7 9.9 OPEX $ 5,500 $15 25.6 2.4 1.0 2.2 G&A $ 700 $10 4.6 Interest $ 550 7.3 13.8 12.5 9.4 Drydock $ 1,100 11.6 11.2 11.0 $5 Lo
Slide 23: Balance Sheet & Other Data
Balance Sheet & Other Data Cash @ December 31, 2012: $ 43.3m $33.4m unrestricted – and about $9.9m of restricted funds and retention accounts Cash per share amounts to about $0.95 (versus yesterday’s share price of $1.04) Debt: $61.6m as of December 31, 2012 Debt to Capitalization ratio ab
Slide 24: Euroseas Contacts
Euroseas Contacts Euroseas Ltd. c/o Eurobulk Ltd 4, Messogiou & Evropis Street 151 24 Maroussi, Greece www.euroseas.gr euroseas@euroseas.gr Tel. +30-211-1804005 Fax.+30-211-1804097 or, Tasos Aslidis Nicolas Bornozis Chief Financial Officer Investor Relations Euroseas Ltd. Capital Link, Inc. 11 Cante
Slide 25: Appendix
Appendix Please refer to the Company’s press release of February 14, 2013 for financial statements and reconciliation of Adjusted EBITDA and “Operating” EPS to Net Income and Cash Flow from Operations, as well as Reconciliation of Net Income to Adjusted Net Income Page 25