Genco Shipping & Trading Limited · NYSE:GNK
Genco Shipping & Trading — Q2 2007 Earnings Presentation
21 slides from Genco Shipping & Trading's earnings presentation, Aug 2, 2007
Slide 1: Genco Shipping & Trading Limited Q2 2007 Earnings Call
Genco Shipping & Trading Limited Q2 2007 Earnings Call August 2, 2007
Slide 2: Forward Looking Statements
Forward Looking Statements "Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995 This presentation contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward looking statements ar
Slide 3: Agenda
Agenda Second Quarter 2007 and Year to Date Highlights Financial Overview Industry Overview 08/02/07 3
Slide 4: Second Quarter 2007 and Year to Date Highlights
Second Quarter 2007 and Year to Date Highlights
Slide 5: Second Quarter 2007 and Year to Date Highlights
Second Quarter 2007 and Year to Date Highlights Net Income of $15.3 million for the second quarter of ’07, excluding the loss from foreign currency swaps ― Basic earnings per share of $0.61 and diluted of $0.60 Net Income of $13.7 million for the second quarter of ‘07 ― Basic and diluted earning
Slide 6: Current Fleet Employment
Current Fleet Employment (1) (2) Vessel Name Year Built Charterer Time Charter Rate ($) Charter Expiration Panamax Genco Beauty 1999 Cargill 31,500 May , 2009 Genco Knight 1999 SK Shipping Ltd. 37,700(3) May, 2009 Genco Vigour 1999 STX Panocean 29,000(4) March, 2009 (5) Genco Leader 1999 A/S Klavene
Slide 7: Metrostar Acquisition Vessel Details
Metrostar Acquisition Vessel Details Vessel TBN DWT Yard Delivery(1) Charterer Duration Rate (2) Ferro Goa Genco Augustus 180,000 Imabari Aug. 2007 Cargill 35 to 39 Months 45,263 Ferro Fos Genco Tiberius 175,000 Universal Aug. 2007 Cargill 35 to 39 Months 45,263 Hull 1044 Genco London 177,000 SWS Q4
Slide 8: Financial Overview
Financial Overview
Slide 9: Year to Date Earnings
Year to Date Earnings Three Months Ended Six Months Ended June 30, 2007 June 30, 2006 June 30, 2007 June 30, 2006 (Dollars in thousands, except share and per share (Dollars in thousands, except share and per share data) data) (unaudited) (unaudited) INCOME STATEMENT DATA: Revenues $ 36,847 $ 32,303
Slide 10: June 30, 2007 Balance Sheet
June 30, 2007 Balance Sheet June 30, 2007 December 31, 2006 (Dollars in thousands) (unaudited) BALANCE SHEET DATA: Cash $ 67,798 $ 73,554 Current assets, including cash 208,491 Dwt 88,118 Total assets 689,556 578,262 Current liabilities, including current portion of long-term debt 36,332 15,173 Tota
Slide 11: 2nd Quarter Highlights
2nd Quarter Highlights Three Months Ended Six Months Ended June 30, 2007 June 30, 2006 June 30, 2007 June 30, 2006 (unaudited) (unaudited) FLEET DATA: Total number of vessels at end of period 19 17 19 17 Average number of vessels (1) 19.0 17.0 19.3 17.0 Total ownership days for fleet (2) 1,729 1,547
Slide 12: Strong Balance Sheet
Strong Balance Sheet Selected Financial Information Pro Forma 06/30/07* (Dollars in thousands) Balance Sheet Liquidity Position Cash $46,893 Revolving Credit Facility $1,377,000 Debt $686,483 Shareholders’ Equity $370,974 Undrawn Facilities $690,517 Cash $46,893 Net Debt $639,590 Total Capitalizatio
Slide 13: Dividend Declaration & Policy
Dividend Declaration & Policy Declared a Q2 2007 dividend of Period Declared Dividend $0.66 per share payable on or about August 31st, 2007 to all Q3 2005 $0.60 shareholders of record as of Q4 2005 $0.60 August 17th, 2007 Q1 2006 $0.60 Cash reserves are determined by Q2 2006 $0.60 our Board of D
Slide 14: Industry Overview
Industry Overview
Slide 15: Drybulk Indices
W ee 08/02/07 0 2,000 4,000 6,000 8,000 10,000 12,000 k W 1 ee k W 3 ee k W 5 ee k W 7 ee W k9 ee (BCI Points) k W 11 ee k W 13 ee k W 15 ee k W 17 ee k W 19 ee k W 21 ee k W 23 ee W k ee k 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 W 25 ee W 1 k ee W 27 k ee W 3 k ee k Drybulk Indices W 29 e
Slide 16: Chinese Steel Production Continues to Drive the Market
Chinese Steel Production Continues to Drive the Market Continued demand resulted in YOY growth for Chinese steel production at 19.5% and iron ore imports at 17.6% through Q2 2007 Although port congestion has eased, it still remains a factor in keeping rates firm Chinese coal cabotage trade con
Slide 17: Drybulk Demand Fundamentals Remain Strong
Drybulk Demand Fundamentals Remain Strong Imports by Country – Major Bulks (5) Chinese GDP grew by 11.9% (million tons, %) YOY for Q2 2007, 1% higher than previous estimates.(1) China EU Japan SK TW USA Indian GDP grew by 9.4% for INDIA Middle East other 2006, while forecasts for 2007 other 16%
Slide 18: What will drive the market?
What will drive the market? Strong steel production combined with market expectations of higher iron ore prices for 2008 indicate continued demand Australian port congestion diverting coal volumes from Canada and the U.S. into Asia Increased energy demand in China has lead the country to becom
Slide 19: Appendices
Appendices
Slide 20: Appendix I Pro Forma Reconciliation
Appendix I Pro Forma Reconciliation 06/30/07 (Dollars in thousands) 06/30/07 Actual Adjustment* 06/30/07 Pro Forma Cash $67,798 ($20,905) $46,893 Debt $283,233 403,250 $686,483 Net Debt** $215,435 - $639,590 Shareholders’ Equity $387,814 ($16,840) $370,974 Total Capitalization $603,249 - $1,010,564
Slide 21: Appendix II Net Debt & Total Capitalization Reconciliation
Appendix II Net Debt & Total Capitalization Reconciliation Pro Forma 06/30/07* (Dollars in thousands) 06/30/07 Pro Forma Debt $686,483 Less: Pro Forma Cash* $46,893 Pro Forma Net Debt** $639,590 Plus: Pro Forma Shareholders’ Equity* $370,974 Total Pro Forma Capitalization $1,010,564 * June 30, 2007
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