Performance Shipping Inc. · NASDAQ:PSHG
Performance Shipping — Investor Presentation (December 2020)
16 slides from Performance Shipping's investor presentation, Dec 2, 2020
Slide 1: A Pure-Play Tanker Company
December 2020 A Pure - Play Tanker Company
Slide 2: Disclosure
Disclosure 2 Matters discussed in this presentation may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business.
Slide 3: Agenda
Agenda Section 2: Financial Presentation 3 Section 1: Company Overview
Slide 4: Experienced Senior Management
Experienced Senior Management 4 Name / Title Biography Symeon PaliosChairman of the Board Naval architect and engineerFounded Diana Shipping Agencies S.A. in 1972Director and Chairman of the Board of Performance Shipping Inc. Director of the UK Freight Demurrage and Defense Association Ltd. Ex-CFO P
Slide 5: History & Transition
History & Transition 5 THEN NOW Public since Jan. 2011, Nasdaq listed under ticker PSHGFocused on Panamax ContainershipsHigher leverage, no dividendsComplex ownership & capital structureParent company, large stakeholder Source: Company. CONTAINERS TANKERS Performance Shipping has completed its state
Slide 6: Fleet & Employment Profile
Fleet & Employment Profile 6 Source: Company Vessel Built Shipyard Size (DWT) Type Status Special Survey Survey Cost (1) Employment Blue Moon (ex. Maersk Jeddah) 2011 Sumitomo, Japan 104,623 Aframax Delivered Aug 8, 2021 $1.3 million $28,000Saudi Aramco Briolette (ex. Maersk Jamnagar) 2011 Sumitomo,
Slide 7: Recent Developments
Recent Developments 7 Source: Company January 2020 Delivery of the Aframax tanker M/T P. FosMarch 2020 Repurchase and cancellation of all outstanding Series C preferred voting sharesDelivery of the Aframax tanker M/T P. KikumaApril 2020 Repurchase and cancellation of all remaining Series B-2 preferr
Slide 8: Focused Business Strategy
Focused Business Strategy 8 Transparent company provides investors with low leverage variable dividend exposure to the tanker sector Fleet Composition Growing sector presenceHigh specifications & qualityMid-point age profile acquisitionsContinued fleet renewal Fleet Deployment Spot market focus, sho
Slide 9: Technical & Commercial Management
Technical & Commercial Management 9 Technical & Commercial Manager, Unitized Ocean Transport Limited (UOT) our Wholly Owned Subsidiary Full-Service Platform Services CharteringOperationsInsurance/ClaimsTechnicalPurchasingCrewingQuality AssuranceFinanceAccounting/ReportingLegal S&P Source: Company. K
Slide 10: Agenda
Agenda Section 1: Company Overview Section 2: Financial Presentation 10
Slide 11: Solid Balance Sheet
Solid Balance Sheet 11 Source: Company Sep 30, 2020 Sep 30, 2020 Actual Pro - Forma # of Tankers 4 5 Asset Value $89.6m $103.0m Bank Debt $51.7m $58.1m Cash $37.2m $21.5m LTV 57.7% 56.4% Net LTV 16.2% 35.5% Solid balance sheet targeting leverage at incurrence < 35% net LTV. 5th Aframax acquisition w
Slide 12: Debt Description
Debt Description 12 Source: Company Vessel Debt Drawdown($m) Debt Outstanding (Nov 30, 2020) Annual Repayment($m) Interest Rate Maturity Blue Moon 16.5 13.9 1.77 L + 2.75% Jul 2024 Briolette 16.5 14.2 1.96 L + 2.75% Jul 2024 P. Yanbu 8.8 8.8 0.98 L + 2.85% Dec 2024 P. Fos 14.0 11.0 1.59 L + 2.85% De
Slide 13: Capital Markets
Capital Markets 13 Source: Company Major Shareholders Capital Markets Exchange NASDAQ Category Capital Market Ticker PSHG Outstanding Shares 5,015,501 Indicative Share Price $5.00 Market Capitalization $25.1m Company has one class of equity securities, target to gradually increase its free float and
Slide 14: Historical Rates vs Cash Break Even
Historical Rates vs Cash Break Even 14 Source: Company Indicative Run Rate Cash Breakeven Amounts in millions except daily figures 5 Ships 10 Ships DAILY OPEX $7,250 $7,250 OWNERSHIP DAYS 1,825 3,650 FLEET OPEX $13.2 $26.5 G&A EXPENSES $5.6 $6.5 DEBT REPAYMENT (1) $7.9 $13.9 INTEREST EXPENSE (2) $1.
Slide 15: Through Cycle Value Generation
$63.8m $40.8m $7.6m Break-even $15,518 $13,645 -$4.9m -$12.2m 20 QuartersLast 5 YearsSpot Rates(1) Annual FCF 5 Tankers Annual FCF 10 Tankers 10 QuartersAverage FCF +$6.7m $134.5m $88.5m $22.1m Highest $52,853 Median $20,626 High $39,643 -$3.1m -$17.6m Value created under most market scenarios with
Slide 16: Attractive Equity Story
Attractive Equity Story 16 Performance Shipping is a compelling play on a continued Aframax tanker recovery 1 2 3 4 5 6 7 Source: Company
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