Safe Bulkers, Inc · NYSE:SB
Safe Bulkers — Q2 2023 Earnings Presentation
14 slides from Safe Bulkers's earnings presentation, Jul 26, 2023
Slide 1: Q2 2023 Earnings Presentation
Q2 2023 EARNINGS PRESENTATION MV CLIMATE ETHICS MV CLIMATE JUSTICE EEDI-PHASE 3 – IMO NOx TIER III EEDI-PHASE 3 – IMO NOx TIER III POST-PANAMAX DELIVERED JANUARY 2023 KAMSARMAX DELIVERED JULY 2023 MV CLIMATE RESPECT EEDI-PHASE 3 – IMO NOx TIER III POST-PANAMAX DELIVERED JULY 2022 MV VASSOS EEDI-PHAS
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements (as defined in Section 27A of the Securities Exchange Act of 1934, as amended, and in Section 21E of the Securities Act of 1933, as amended) including, among other items, statements concerning future events, the Company
Slide 3: Market performance
Market performance All 8 Capes in period time charters BCI 5TC 2.4 years average o/s charter duration $45.000 $22,178 average daily charter hire $153.4M secured contracted revenues $40.000 excluding Scrubber benefit $35.000 $30.000 $25.000 $13.722 $20.000 $15.000 $10.000 $5.000 $0 Jan Feb Mar Apr Ma
Slide 4: Demand – Commodities
Demand – Commodities Global uncertainty and monetary squeeze reflect challenges on global trade. The rise in central bank rates to fight inflation continues to weigh on economic activity. CRB Commodity Index(4) • Global dry bulk demand growth(1) July 23 projection: +2% sharp price drop following • S
Slide 5: Supply side – Ageing - Orderbook - Fleet mix
Supply side – Ageing - Orderbook - Fleet mix • Low orderbook • Shipyard building capacity is mainly covered by other sectors’ orders • Forthcoming environmental emissions regulations delay new orders and is expected to favor scrapping • Energy efficient designs will have an advantage the coming year
Slide 6: Global Fleet Phase Profile
Global Fleet Phase Profile 4500 Safe Bulkers fleet: • 20 vessels environmentally upgraded by end 2023 3977 • 12 eco design vessels built post-2014, 4000 3851 • 12 Phase III Tier 3 by 1H 2025 3500 3000 2500 2000 1500 1000 500 322 6 0 Non-mandatory & Phase 0 Phase 1 Phase 2 Phase 3 Phase 1, 2 and 3 co
Slide 7: Market takeaways
Market takeaways Increased industry-wide volatility Ageing fleet and low orderbook may Weak dry bulk demand ahead of driven by geopolitical disruptions and prolong upcycle when global growth global growth concerns tight monetary policies strengthens Supply demand equilibrium disrupted Demand for tec
Slide 8: SB at a glance
SB at a glance Safe Bulkers Inc. (NYSE:SB) U.S. listed dry bulk company since 2008 FUNDAMENTALS NEWBUILDING PROGRAM GREENER FLEET TRACK RECORD • SB (NYSE:SB) listed 2008 • 4 IMO GHG Phase 3 - NOx • 44 dry bulk vessels • 5 cents dividend per share of • Consistent cooperation Tier III newbuilds delive
Slide 9: Liquidity - Visibility of cash flows - Capex - Low leverage
Liquidity - Visibility of cash flows - Capex - Low leverage 7-EXISITING VESSELS 35% CONSOLIDATED UNENCUMBERED LEVERAGE7 450 21 SCRUBBER FITTED VESSELS Debt (5); +2 SCRUBBERS ON $453.2 ORDER 400 ~$20M8 ADDITIONAL SCRUBBER REVENUE CAPACITY Scrap value (6); €100M UNSECURED DEBT 350 IN 5Y BOND $385,1 2.
Slide 10: SB Investment rationale
SB Investment rationale ✓ 5 CENTS MEANINGFULL DIVIDEND PER SHARE OF COMMON STOCK REWARDING SHAREHOLDERS ✓ 7TH CONSECUTIVE COMMON DIVIDEND DECLARATION SINCE Q4-2021 ✓ ~10 MILLION COMMON SHARES REPURCHASE CONCLUDED ✓ EXPANDING FLEET BY H1-2025 WITH 12 TIER III NEWBUILDS BULDING FUTURE COMPETITIVENESS
Slide 11: Quarterly financial highlights
Quarterly financial highlights TCE RATE ADJUSTED EPS $110 NET REVENUES $0,50 $28.000 $90 $0,40 $24.000 $70 $20.000 $0,30 $16.000 $0,40 $50 $91,6 $12.000 $25.050 $0,20 $0,12 $70,6 $0,10 $8.000 $17.271 $30 $4.000 $0,00 $10 $0 2022 2023 2022 2023 2022 2023 in US$ in million US$ in US$ DAILY OPEX DAILY
Slide 12: Quarterly operational highlights
Quarterly operational highlights Three-Months Period Ended Six-Months Period Ended June 30, June 30, FLEET DATA 2022 2023 2022 2023 Number of vessels at period end 42 45 42 45 10.47 10.60 10.47 10.60 Average age of fleet (in years) 3,735 4,005 7,294 7,949 Ownership days 3,612 3,844 7,050 7,709 Avail
Slide 13: Break even Q2 2023
Break even Q2 2023 $17.271 $5.224 $1.253 $1.435 $1.433 $499 $1.393 $6.033 TCE (1) Daily Opex excluding dry- Daily dry-docking and pre- Daily G&A (4) Daily Interest Expense (5) Daily Preferred Dividend Daily Common Dividend Daily Free Cash Flow (8) docking and delivery delivery expenses (3) (6) (7) e
Slide 14: Thank you
Thank you INVESTOR RELATIONS/MEDIA CONTACT COMPANY CONTACT Dr. Loukas Barmparis Paul Lampoutis President Vice-President Safe Bulkers, Inc. Capital Link Inc. Tel: +30 2111 888 400 New York, USA Fax: +357 25 887 200 Tel: +1 (212) 661-7566 directors@safebulkers.com Fax:+1 (212) 661-7526 safebulkers@cap