Euroseas Ltd. · NASDAQ:ESEA
Euroseas — H1 2007 Earnings Presentation
21 slides from Euroseas's earnings presentation, Aug 23, 2007
Slide 1: Second Quarter & Six Months 2007 Earnings Presentation
Second Quarter & Six Months 2007 Earnings Presentation August 23, 2007
Slide 2: Forward-Looking Statements
Forward- Forward-Looking Statements "forward--looking statements" within the meaning of federal securities laws. Statements in this presentation may be "forward laws. forward--looking statements are based on current management expectations The matters discussed herein that are forward that involve r
Slide 3: Overview Second Quarter and Six Months 2007 Results
Overview Second Quarter and Six Months 2007 Results Financial Highlights Second Quarter 2007 Second Quarter 2006 Net Revenues: $ 15.6 million $ 10.2 million Net income: $ 6.4 million $ 6.6 million Adj. EBITDA: $ 11.4 million $ 8.6 million Six Months 2007 Six Months 2006 Net Revenues: $ 29.1 million
Slide 4: Analysis of Earnings First Half of 2007 Vs. 2006
Analysis of Earnings First Half of 2007 Vs. 2006 First Half 2007 First Half 2006 Net income: $ 15.9 million $ 10.0 million Capital gains: $ 3.4 million $ 2.2 million EPS excl. capital gains: $ 0.72 $ 0.63 EPS: $ 0.92 $ 0.80 Shares: 17.3 million 12.4 million Page 4
Slide 5: 2007 Developments
2007 Developments » Raised aggregate proceeds of $125 million from two secondary offerings offerings to expand fleet & repay debt • $43.4 million net in January 2007 • $73.0 million net in July 2007 » Move to NASDAQ increased stock visibility • Average trading volume 290,000 shares • Market capitali
Slide 6: Vessel Sale & Purchase Activity
Vessel Sale & Purchase Activity » Purchased and took delivery of three handysize container ships in the last three months • In August 2007, we took delivery of the M/V Despina P (ex Beauty River) and the M/V Jonathan P (M/V ex Honour River), two handysize container ships acquired for $18.7 million e
Slide 7: Our Fleet – Vessels
Our Fleet – 13 Vessels Size Year Employment/ Gross Name Type DWT TEU Built Expiration Date Charter Rate ARISTIDES N.P. Panamax 69,268 - 1993 Period/January ’08 $29,000 IRINI Panamax 69,734 - 1988 Pool/December ’08 $17,000 - $20,000(1) Carriers Drybulk NIKOLAOS P. Handysize 34,750 - 1984 Period/Novem
Slide 8: Container Period Charter Rate Development
Container Period Charter Rate Development 11--year year Time Time Charter Charter Rates Rates (Gross $/Day)(1) (Gross $/Day) (1) $35,000 • Containership rates $30,000 have dropped by more than 50%since $25,000 their peak in mid- 2005... $20,000 • ...but have increased 30% since their low $15,000 in
Slide 9: Charter Coverage
Charter Coverage 100% 93% 2007 90% 83% 2008 80% 70% 62% 60% 50% 42% 40% 33% 30% 20% 11% 10% 0% Dry Bulk Container Total Secure base revenue in 2007 and 2008 for the existing fleet » 83% of our 2007 remaining available days are fixed with an average rate of abt $17,750 /day » 33% of our 2008 availabl
Slide 10: Financial Overview
Financial Overview
Slide 11: Fleet Data for Q2 and H1 of 2006 and 2007
Fleet Data for Q2 and H1 of 2006 2006 and 2007 Three months ended Six months ended Fleet Statistics June 30, June 30, June 30, June 30, 2006 2007 2006 2007 (unaudited) (unaudited) (unaudited) (unaudited) Number of vessels 8.38 10.08 8.19 9.55 Utilization Rate % 99.4% 99.8% 99.7% 99.8% Averages in us
Slide 12: Financial Highlights – Q2 and H1 2007
Financial Highlights – Q2 and H1 2007 Three Three Months Months Ended Ended June June 30, 30, 2007 2007 Six Six Months Months Ended Ended June June 30, 30, 2007 2007 » Voyage revenue: $16.3 m » Voyage revenue: $ 30.5 m » Capital Gains: - » Capital Gains: $ 3.4 m » Net income: $ 6.4 m » Net income: $
Slide 13: Balance Sheet & Other Data
Balance Sheet & Other Data » Cash @ June 30, 2007: $ 7.2 m • Also restricted cash of $4.6 m » Net Proceeds from July 2007 offering: $73.0 m – Acquisitions of 2 vessels for $36.5 in August 2007 » $175 m purchasing power • $40 m cash available for vessel acquisitions, plus, • About $110 - 150 m in deb
Slide 14: Rapid Debt Repayment
Rapid Debt Repayment Debt Debt Repayment Repayment Schedule Schedule –– As As of of 8/23/2007 8/23/2007 Cash Cash Flow Flow Breakeven Breakeven » 40%+ of our cash flow breakeven $20 $18.4 $18.2 level is for debt repayment: • $5,049 / day for Q2 $15 • $5,422 / day for H1 $9.9 $11.3 » Assuming no chan
Slide 15: Dividend History & Policy
Dividend History & Policy Dividend Dividend History History Dividend Dividend Policy Policy » Objective to provide consistent 0.28 dividends 0.26 • Minimum target quarterly 0.24 dividend of $0.24 / share 0.22 0.20 • Dividend for 07 Q2: $0.25/share 0.18 • Next dividend in Nov- Nov-2007 $ / share 0.16
Slide 16: Euroseas Contacts
Euroseas Contacts Euroseas Ltd. Aethrion Center 40, Ag. Konstantinou 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. 2692 Far Vi
Slide 17: Appendix
Appendix
Slide 18: Income Statement, First Quarter 2006 and 2007
Income Statement, First Quarter 2006 and 2007 Three months ended at June Six months ended at June INCO ME S TATE ME NT 30, 30, in '000 US D e xce pt pe r share 2006 2007 2006 2007 amounts and numbe r of ve sse ls (unaudited) (unaudited) (unaudited) (unaudited) Voyage re ve nue 10,612 16,341 20,421 3
Slide 19: Adjusted EBITDA Reconciliation of Net Income
Adjusted EBITDA Reconciliation Reconciliation of of Net Net Income Income to to Adjusted Adjusted EBITDA EBITDA (Unaudited – in U.S. Dollars) Three Months Three Months Six Months Six Months Ended Ended Ended Ended June 30, 2006 June 30, 2007 June 30, 2006 June 30, 2007 Net income 6,596,574 6,400,066
Slide 20: Adjusted EBITDA Reconciliation of Operating Cash Flow
Adjusted EBITDA Reconciliation Reconciliation of of Cash Cash Provided Provided by by Operating Operating Activities Activities to to Adjusted Adjusted EBITDA EBITDA (Unaudited – in U.S. Dollars) Three Months Three Months Six Months Six Months Ended Ended Ended Ended June 30, 2006 June 30, 2007 June
Slide 21: Euroseas Contacts
Euroseas Contacts Euroseas Ltd. Aethrion Center 40, Ag. Konstantinou 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 Canterbu