Slide 1: StealthGas Inc. 1st Quarter 2006 Results
StealthGas Inc. 1st Quarter 2006 Results NASDAQ: “GASS” Earnings Presentation
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This presentation contains forward-looking statements within the meaning of applicable federal securities laws. Such statements are based upon current expectations that involve risks and uncertainties. Any statements contained herein that are not statements of h
Slide 3: Business Strategy – Since IPO to Present Day
Business Strategy – Since IPO to Present Day Business Strategy Implementation Triple Fleet by mid-2006 • Expanded fleet to 24 vessels by end of Q1 2006 • Acquired 3 additional vessels due for delivery by end of June 2006 expanding fleet to 27 vessels Moderate Leverage • First Quarter 2006 net debt t
Slide 4: Fleet Development
Fleet Development Grew fleet to 24 vessels by end of Q1 2006 Fleet to number 27 vessels by June 2006 Fleet expected to number 28 vessels by early Q3 2006 StealthGas ranks #1 in owned vessels in 3,000 to 8,000 CBM segment 28 28 27 1 IPO 24 3 24 2 21 20 3 16 Established 27 12 Oct. 2004 24 22 18 8 4 9
Slide 5: Fleet Employment Profile
Fleet Employment Profile Page 5 StealthGas Inc. © 2006
Slide 6: 1st Quarter 2006 Financial Highlights
1st Quarter 2006 Financial Highlights 1st Quarter ¾ Q1 Net Income $6.9 million, revenues of $16.9 million, EBITDA of $10.1 million ¾ EPS $0.50 – 14 million shares outstanding ¾ Cash balance of $12.4 million ¾ Conservative leverage: net debt to capitalization of 36.9% ¾ Completed acquisition of 1 ide
Slide 7: 1st Quarter 2006 Income Statement
1st Quarter 2006 Income Statement In US$ 000, except per share amounts Q 3 2005 Q 4 2005 Q1 2006 Net Revenues $6,895 $12,810 $16,938 Operating Income 3,786 5,111 7,500 Net Income 3,624 4,536 6,959 EBITDA 5,093 7,181 10,160 EPS 0.60 0.33 0.50 Number of Shares 6,000,000 13,565,217 14,000.000 Note: The
Slide 8: 1st Quarter 2006 Operating Highlights – Fleet Data & Daily Results
1st Quarter 2006 Operating Highlights – Fleet Data & Daily Results Fleet Data Q 3 2005 Q 4 2005 Q 1 2006 Average number of vessels in fleet 9.0 15.1 22.4 Period end number of vessels in fleet 9.0 21.0 24.0 Total calendar days for fleet 828 1,387 2,019 Total voyage days for fleet 828 1,383 2,015 Flee
Slide 9: Daily Breakeven
Daily Breakeven Q1 2006 vs Q4 2005 Daily Cashflow and Net Income Breakeven Composition ($ per vessel per day) Q4 2005 fleet calendar days: 1,387 Q1 2006 fleet calendar days: 2,019 Q4 2005 Q1 2006 Expenses Cash Net Cash Net Flow Income Flow Income Operating $2,277 $2,277 $2,148 $2,148 General & Admin
Slide 10: Q1 2006 Balance Sheet and Adjustments
Q1 2006 Balance Sheet and Adjustments Pro forma and adjusted balance sheet does not include Q2 2006 and Q3 2006 cashflow from operations One Mar 31, 2006 Mar 31 2006 Three Mar 31, 2006 Additional Pro-Forma (USD in millions) Actual Vessels Pro-Forma Vessel Adjusted Cash & Equivalents 12.4 (3.7) 8.7 (
Slide 11: Acquisition Capex
Acquisition Capex Estimated equity investment of $130.1 million to be funded with $109.0 million net IPO proceeds and $21.1 million cash from operations Expect to use approximately $6.5 million of Q2 and Q3 2006 cash flow and $40.1 million of new debt to fund 3 additional vessels to be delivered in
Slide 12: Financial Estimator
Financial Estimator ($ in millions) 27 Vessels 28 Vessels 2006E 2006E Spot Voyage Days 1,591 1,744 Daily Spot Charter Rate - 4,250 cbm vessel ? ? Spot Revenue ? ? Period Charter Revenue (T/C and Bareboat) $60.6 $60.6 Total Revenue ? ? Operating Expenses 21.0 21.5 SG&A 5.4 5.7 Commissions 1.6 1.9 Mai
Slide 13: Strong LPGC Freight Rates
Strong LPGC Freight Rates Average earnings in the spot market excluding waiting time / 1 yr TC rates 700 600 500 USD 1000 per month 15000 SR 400 8000 ETH 6500 SR 3500 SR 1yr TC 300 3500 PR 1yr TC 200 100 2000 2001 2002 2003 2004 2005 2006 Source: Inge Steensland AS Shipbrokers Page 13 StealthGas Inc
Slide 14: Charter Market Rate Indicator (12 Month TCs)
Charter Market Rate Indicator (12 Month TCs) Q1 2006 Average Current Q2 2006 Forecast 3,200 CBM S/R 301,923 305,000 300,000 3,500 CBM P/R 230,769 215,000 210,000 6,000 CBM S/R 430,000 430,000 430,000 15,000 CBM S/R 736,539 700,000 700,000 38,000 CBM 1,000,000 1,100,000 1,100,000 60,000 CBM 998,077 1
Slide 15: Balanced outlook with average fleet growth ahead
Balanced outlook with average fleet growth ahead 3-7999 cbm fleet development vs TC rates/earnings* 600 16% Earnings/TC rates in USD 1000's per month (lines) 14% 500 12% 10% Fleet growth in % (bars) 400 8% 300 6% 4% 200 2% 0% 100 -2 % - -4 % 1 98 9 1 99 0 1 99 1 1 9 9 2 1 9 9 3 1 9 9 4 1 9 95 1 9 96
Slide 16: Appendix
APPENDIX Page 16 StealthGas Inc. © 2006
Slide 17: Increased LPG Supplies => Higher Freight Rates
Increased LPG Supplies => Higher Freight Rates Expanding LPG supplies are driven by increased LNG production and crude oil refining LNG Production CAGR = 12% 14 12 Trillion Cubic Feet 10 8 6 4 2 0 2004 2005E 2006E 2007E 2008E 2009E 2010E LNG Production LPG supplies are expected to increase by 50% fr
Slide 18: LPG Macro Consumption Trends
LPG Macro Consumption Trends Increasing Urbanization and Rising Living Standards --> Rapid increase in consumption Japanese LPG consumption steady post-rapid development Average 22 years rapid growth, China should realize another decade China Urbanization: 20 Million/p.a., India: Further growth pote
Slide 19: Contacts
Contacts Company Contact: Andrew J. Simmons Visit our Website at: Chief Financial Officer www.stealthgas.com StealthGas Inc. 011-30-210-6250-001 Weekly LPG Market Report E-mail: simmons@stealthgas.com updated every Monday www.stealthgas.com Comprehensive Investor Relations Information Investor Relat