Pacific Basin Shipping Limited · HKEX:2343

Pacific Basin Shipping — Q1 2025 Earnings Presentation

36 slides from Pacific Basin Shipping's earnings presentation, Apr 17, 2025

1. Slide 1: 1Q25 Trading Update, 17 April 2025

   1925 TRADING UPDATE 17 APRIL 2025

2. Slide 2: Slide 2

3. Slide 3: Handysize and Supramax Market Spot Rates

   Handysize Market Spot Rates (BHSI) Supramax Market Spot Rates (BSI) 38k dwt (tonnage adjusted^) 58k dwt US$/day net* US$/day net* 18,000 18,000 16,000 16,000 14,000 14,000 12,000 12,000 FFA Average* FFA Average* $9,860 10,000 $9,120 10,000 $9,350 8,000 $9,300 8,000 6,000 6,000 1Q25 Average: $8,000 

4. Slide 4: Dry bulk loadings by commodity

   2017-2021 range 2017-2021 average 2022 2023 2024 2025 Mill tonnes Mill tonnes Mill tonnes Mill tonnes 130 150 53 Millions Millions Millions 200 Millions 120 140 180 48 110 130 160 43 140 100 120 38 120 90 110 100 33 80 100 Aug Sep Oct Aug Sep Oct Apr Apr Nov Dec Nov Dec May May Mar Jul Mar Jul Jan J

5. Slide 5: Core Business TCE and cover

   Handysize Core Business TCE US$/day Reversal of Handysize freight tax provision of US$8.6 18,000 million resulted in TCE +US$1,280/day in 4Q24 15,000 $13,740 $14,000 $12,570 +1,280 # Average daily TCE earnings in 1Q25 # 12,000 $11,050 $10,940 $11,390 # $10,950 $10,150  Handysize: US$10,940 per day,

6. Slide 6: Core Business Operating Activity

   Core Business Operating Activity Handysize Outperformance vs Index (BHSI)* Supramax Outperformance vs Index (BSI)* Operating Activity Margin US$/day US$/day Scrubber contribution US$/day Scrubber contribution Margin 6,000 6,000 Relative outperformance 2,000 Relative outperformance 4,310 4,000 3,620

7. Slide 7: Slide 7

8. Slide 8: Dry Bulk Trade Volumes Forecast

    Minor Bulk: Broad-based increased trade 2024E Dry Bulk Trade Volumes YOY 2025F Dry Bulk Trade Volumes YOY volume of about 1.2% for minor bulks Million Tonnes Coal 1,366 3.9% Million Tonnes Coal -1.7% 1,343  Manganese ore, bauxite and fertilisers Iron Ore 1,596 3.5% Iron Ore -0.2% 1,593 trades are

9. Slide 9: Handysize and Supramax Supply Development

   Total Dry Bulk Supply Development Handysize/Supramax Supply Development % of Total Fleet % of Total Fleet  Minor bulk fleet is forecast to grow 4.5% 5% 5% driven by more deliveries in 2025, which 4.1% 4.5% 4% 4% 3.4% are estimated to account for around 5% of 3.3% 3.6% 3% 2.9% 3.1% 3.0% 3.0% 3.1% 3%

10. Slide 10: Red Sea and Suez Canal Transits

    DWT m % Daily Suez Canal Transits (7-Day Moving Average) of Total Fleet 0.8% 14 Dec – near-miss incident involving a Containerships vessel resulting in a pause of major liner vessels through Red Sea Bulkcarriers  Attempts at de-escalation in the Red Sea came undone as 0.7% attacks resumed after cea

11. Slide 11: Market Outlook

     Global commodity trade is expected to remain steady in 2025 with broad-  Growing protectionism including trade tariffs and proposed U.S. port based minor bulk and grains trade volume partially offsetting the softening iron fees could suppress trade volumes and contribute to rising inflation, posi

12. Slide 12: Slide 12

13. Slide 13: Fleet growth and renewal

    Our core fleet consists of 123 vessels, of which over 70% are Japanese- Ultramax/Handysize Newbuild and 10-Year-Old Secondhand Vessel Values built. We continue to focus on the growth and renewal of our fleet by: US$m Ultramax Newbuild (61-64.5K) Acquiring modern second-hand vessels 40.00 Ultramax Se

14. Slide 14: Long-term inward charters

    No. of Handysize Newbuilding No. of Ultramax Newbuilding No. of Handysize Newbuilding No. of Ultramax Newbuilding Delivered (no scrubber) (no scrubber) (50% share of scrubber benefits) (50% share of scrubber benefits)  In total we have commitment to 20 long-term inward charters (14 Handysize and 6

15. Slide 15: Forward-looking statements

    This presentation contains certain forward-looking statements with respect to the financial condition, results of operations and business of Pacific Basin and certain plans and objectives of the management of Pacific Basin. Such forward looking statements involve known and unknown risks, uncertainti

16. Slide 16: Slide 16

17. Slide 17: China dry bulk seaborne imports

    Growth in China Dry Bulk Quarterly Seaborne Imports YoY  China dry bulk seaborne imports slowed in 1Q25 due to high stockpiles and increased supply from domestic production YoY% Change +100%  Iron ore, grains and coal loadings into China decreased 9%, 54% and 11% YoY respectively +80%  Minor bulk

18. Slide 18: Orderbook by vessel size

    8.3% 14 14% 0.2% (10,000–40,000 dwt) (40,000–70,000 dwt) 11.5% 12 12% 0.0% (70,000–100,000 dwt) 13.6% 12 14% 0.2% (100,000+ dwt) 8.0% 11 5% 0.0% 10.3% 13 10% 0.1% Source: Clarksons Research, data as at March 2025 ^ Data as at 11 April 2025

19. Slide 19: Our Focus

    Tankers for oil, gas & chemicals The dry bulk industry carries dry commodities and other non- containerised cargo. Larger vessels including Capesize and Panamax carry mainly iron ore, coal and grain. We specialise in the versatile, mid-size, geared Handysize and Supramax vessels that carry a wide ra

20. Slide 20: Fleet and company overview

     We operate one of the world’s largest fleets of interchangeable modern Handysize and Supramax vessels, equipping us for efficient trading and reliable service any time and anywhere  Our Core fleet consists of 123 Handysize and Supramax vessels; including chartered vessels in our Operating Activit

21. Slide 21: Why Handysize and Supramax

     More diverse customer, cargo and geographical exposure enables high utilisation  A segment where scale and operational expertise make a difference 44  Better daily TCE earnings driven by a high laden-to- ballast ratio  Sound long-term demand expectations and modest fleet growth

22. Slide 22: Vessels in Operation

    109 Vessels 15 LT 124 138ST 262 Total Total owned Chartered1 Chartered Vessels in Operation Total Average Capacity Age Long-term Short-term Owned Chartered1 Sub-total Chartered2 Total (million dwt) Costs Owned Owned fluctuate with Substantially fixed costs market Handysize 57 12 69 52 121 2.0 13 Sup

23. Slide 23: Global offices and trade routes

    11 commercial offices 4 technical & crewing offices Our Hong Kong headquarters is home to executive management, commercial, technical, crewing and all central functions “Fronthaul” refers to shipping routes where there is high demand for vessels to transport commodities to areas where those commodit

24. Slide 24: Cargo mix

    Minerals 11% Agricultural Products & Related 28% Salt 5% -1pp 11% Grains & Agricultural Products 16% - Sand & Gypsum 5% +1pp Fertiliser 10% -1pp 11% 28% Soda Ash 1% - Sugar 2% -1pp 30% Energy 17% 17% 15% Coal 11% +2pp Petcoke 5% - Construction Materials 28% Wood Pellets 1% - Cement & Cement Clinkers

25. Slide 25: Net zero target and carbon intensity

    Carbon Intensity (EEOI) Grams CO2 per tonne-mile 15 14.1  We target net zero emissions by 2050 We target an interim checkpoint EEOI of 10 about 6.7 by 2030,  We target an interim checkpoint EEOI of about 6.7 by 2030, which is over 50% which is over 50% less than our 2008 baseline less than our 200

26. Slide 26: Decarbonisation regulations

    Speed reduction Supply inefficiency Accelerate scrapping of older, less efficient vessels  Vessels are rated A–E based on actual fuel consumption and distance travelled  70% phased in 2025  Measures expected to take effect in summer 2027  Vessels rated D (for 3 years) – E (for single  Fuel Stan

27. Slide 27: Annual Results 2024

    Annual Results 2024 P&L Stable financial results in an unusually flat freight market US$million 2024 2023  Generated an EBITDA of US$333.4 million, EBITDA 333.4 347.2 underlying profit of US$114.1 million and a net profit of Underlying profit 114.1 119.2 US$131.7 million respectively Net profit 131

28. Slide 28: Annual Results 2024: Dividends and buybacks

    Annual Results 2024 US$m Payout 900.0 100%  Combining dividend with US$40 million 2024 share buyback consideration, we are committed to distributing US$100.9 800.0 90% million or 83% of our 2024 net profit (excl. vessel disposal 83% gains) 80% 700.0 75% 75% 70%  Since 2021, we have generated profi

29. Slide 29: Handysize cost breakeven

    Annual Results 2024 2023 2024 Indicative Owned Fleet Cash Breakeven before G&A Finance Cost US$/Day Depreciation Finance Cost Opex Cost US$4,710/day 20,000 Opex Cost US$110 US$4,600 18,000 16,000 14,000 12,330  Increase in long-term chartered vessel costs 12,150 due to net increase in number of lon

30. Slide 30: Supramax cost breakeven

    Annual Results 2024 2023 2024 Indicative Owned Fleet Cash Breakeven before G&A Finance Cost US$/Day Depreciation Finance Cost Opex Cost US$5,130/day 20,000 Opex Cost US$190 US$4,940 18,150 18,000 16,310 16,000 14,000  Decrease in long-term chartered vessel costs 12,000 due to redelivery of higher-c

31. Slide 31: Annual Results 2024 P&L

    Annual Results 2024 US$million 2024 2023 Revenue 2,581.6 2,296.6 Owned vessel costs Voyage expenses (1,099.6) (1,015.1) 2024 2023 Opex (197.0) (210.1) Time-charter equivalent ("TCE") earnings 1,482.0 1,281.5 Depreciation (153.7) (150.5) Finance (6.2) (5.4) Owned vessel costs (356.9) (366.0) Chartere

32. Slide 32: Cash flow

    Annual Results 2024 US$ Million 1 2 3 4 5 6 900 1 Operating cash inflow was US$258.9 million, inclusive of all +44 long and short-term charter hire payments +259 800 2 Realised US$44 million from sale of 5 Handysize vessels 700 -128  US$42.8 million for 1 Ultramax and 1 Supramax vessels -66 3 del

33. Slide 33: Balance sheet and liquidity

    Annual Results 2024 US$million 31 Dec 2024 31 Dec 2023  Net cash of US$19.7 million PP&E 1,698.7 1,796.7  As at 31 December 2024, we had 59 unmortgaged vessels Total assets 2,414.0 2,432.5  We prioritise the allocation of capital to maximise shareholder value: Total borrowings 262.3 300.4  Maint

34. Slide 34: Handysize and Supramax cover

    Handysize Supramax US$/Day US$/Day  We have covered 77% and 95% of our Handysize and 16,000 16,000 Supramax vessel days for the first quarter of 2025 at $14,610 14,000 $13,370 US$11,390 and US$12,400 per day respectively 14,000 $12,290 $12,400*$12,270* 12,000 $10,980 $11,390* $10,950* 12,000  We h

35. Slide 35: Vessel days and charter costs

    Annual Results 2024 Handysize Supramax Handysize Supramax Days 2024 1Q 2025 2024 1Q 2025 Year Vessel days Average cost (US$) Vessel days Average cost (US$) Core business revenue days 27,010 6,320 19,560 4,780 2025 3,410 12,670 1,290 14,430 – Owned revenue days 22,750 5,190 17,700 4,490 2026 2,530 13

36. Slide 36: Scrubber benefits

     Scrubber investment was made prior to implementation of the IMO 2020 sulphur cap, which allows us to comply with the rules while using High-Sulphur Fuel Oil (“HSFO”)  Savings achieved by using HSFO and benefitting from the spreads between HSFO and Low-Sulphur Fuel Oil (“LSFO”) are referred to scr

Pacific Basin Shipping — Q1 2025 Earnings Presentation on 6ix