Genco Shipping & Trading Limited · NYSE:GNK
Genco Shipping & Trading — Q3 2013 Earnings Presentation
25 slides from Genco Shipping & Trading's earnings presentation, Nov 7, 2013
Slide 1: Genco Shipping & Trading Limited Q3 2013 Earnings Call
Genco Shipping & Trading Limited Q3 2013 Earnings Call November 7, 2013
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. Such forward-looking statements use
Slide 3: Agenda
Agenda Third Quarter and Year to Date 2013 Highlights Financial Overview Industry Overview 11/07/2013 3
Slide 4: Third Quarter 2013 and Year to Date Highlights
Third Quarter 2013 and Year to Date Highlights
Slide 5: Third Quarter 2013 and Year to Date Highlights
Third Quarter 2013 and Year to Date Highlights Net loss attributable to Genco Shipping & Trading Limited of $35.0 million for the third quarter of 2013 ― Basic and diluted loss per share of $0.81 Cash position of $119.6 million on a consolidated basis ― Genco Shipping & Trading Limited: $57.7 mi
Slide 6: Genco Fleet List
Genco Fleet List Vessel Name Year Built Dwt Vessel Name Year Built Dwt Capesize Handymax Genco Augustus 2007 180,151 Genco Muse 2001 48,913 Genco Tiberius 2007 175,874 Genco Marine 1996 45,222 Genco London 2007 177,833 Genco Wisdom 1997 47,180 Genco Titus 2007 177,729 Genco Carrier 1998 47,180 Genco
Slide 7: Financial Overview
Financial Overview
Slide 8: Third Quarter Earnings - Consolidated
Third Quarter Earnings - Consolidated Three Months Ended Nine Months Ended September 30, 2013 September 30, 2012 September 30, 2013 September 30, 2012 (Dollars in thousands, except share and per share data) (Dollars in thousands, except share and per share data) (unaudited) (unaudited) INCOME STATEM
Slide 9: Consolidating Income Statement
Consolidating Income Statement Three Months Ended September 30, 2013 (Dollars in thousands, except share and per share data) (unaudited) Non Controlling INCOME STATEMENT DATA: Genco Baltic Trading Elimination Interest Total Revenues: Voyage revenues $ 49,503 $ 9,102 $ - $ - $ 58,605 Service revenues
Slide 10: September 30, 2013 Balance Sheet - Consolidated
September 30, 2013 Balance Sheet - Consolidated September 30, 2013 December 31, 2012 (Dollars in thousands) (unaudited) BALANCE SHEET DATA: Cash (including restricted cash) $ 119,642 $ 82,750 Current assets 152,512 102,460 Total assets 2,837,724 2,843,371 Current liabilities (including short-term de
Slide 11: Third Quarter Highlights - Consolidated
Third Quarter Highlights - Consolidated Three Months Ended Nine Months Ended September 30, 2013 September 30, 2012 September 30, 2013 September 30, 2012 (unaudited) (unaudited) FLEET DATA: Total number of vessels at end of period 64 62 64 62 Average number of vessels (1) 62.5 62.0 62.2 62.0 Total ow
Slide 12: Q4 2013 Estimated Daily Expenses
Q4 2013 Estimated Daily Expenses (1) Daily Expenses by Category Free Cash Flow(2) Net Income Genco Standalone Consolidated Direct Vessel Operating(3) $5,250 $5,275 General, Administrative and 1,330 1,386 Management Fees(4) Dry Docking(5) 461 - Interest Expense(6) 3,665 3,813 Depreciation(7) - 6,049
Slide 13: Industry Overview
Industry Overview
Slide 14: Drybulk Index
Drybulk Index Baltic Dry Index (BDI Points) 2,500 2,000 1,500 1,000 500 0 2011 2012 2013 Source: Clarkson Research Services Limited 2013 11/07/2013 14
Slide 15: Recent Drybulk Market Developments
Recent Drybulk Market Developments China’s steel production grew by 8% YOY through the first nine months of 2013(1) Chinese iron ore imports increased 9% YOY through September(2) ― Monthly record of 74.6 Mt imported in September, up 15% YOY 89.9 Mt of iron ore exported from Brazil in Q3 2013,
Slide 16: Short and Long-Term Industry Catalysts
Short and Long-Term Industry Catalysts Scheduled vs. Actual Drybulk Vessel Deliveries(1) Higher Brazil iron ore cargoes possible in Q4 2013 following previous years seasonality(1) FY 2012 9 Months ‘13 (mdwt) (mdwt) Low iron ore inventories combined with increased steel production could lead to h
Slide 17: Steel Demand Still Drives the Market
Steel Demand Still Drives the Market Chinese steel production increased by 8.0% through the first nine months of 2013(1) ― Firm infrastructure investment and real estate development have led to high steel output(2) Chinese steel stockpiles have decreased for two consecutive weeks while steel pri
Slide 18: Increasing Iron Ore and Coal Production
Increasing Iron Ore and Coal Production Key iron ore expansion plans equal increased capacity of 395 Mt by 2017(1) Key Expansion Plans(1) ― 395 Mt represents 35.6% of total 2012 seaborne iron ore trade BHP* Fortescue Rio Tinto* Vale MMX Wusteel Australian iron ore exports are forecast to increas
Slide 19: Supply Side Fundamentals
Supply Side Fundamentals Banks have tightened lending to Chinese shipyards in order to cut excess capacity(1) Total drybulk fleet has grown by approximately 5% YTD(2) 14% of the fleet is 20 years old or greater while 9% of the fleet is 25 years old or greater(2) 33.6 mdwt scrapped in 2012 an
Slide 20: Q&A
Q&A
Slide 21: Appendix
Appendix
Slide 22: Q4 2013 Estimated Daily Expenses Reconciliation
Q4 2013 Estimated Daily Expenses Reconciliation(1) Consolidated Income Statement Less Baltic Trading(2) Elimination(3) Genco Cash/Non-Cash Adj.(4) Free Cash Flow (5) Annual Expenses by Category Direct Vessel Operating Expenses(6) $ 31,398,640 $ (5,799,640) $ - $ - $ 25,599,000 General, Administrativ
Slide 23: GNK Fleet Details
GNK Fleet Details* Cash Daily Vessel Type Vessel Name Year Built Charterer Charter Expiration(2) Rate(1) Genco Augustus 2007 Cargill International S.A. 103% of BCI February, 2014 Genco Tiberius 2007 Cargill International S.A. 100% of BCI December, 2013 Genco London 2007 Cargill International S.A. 10
Slide 24: GNK Fleet Details
GNK Fleet Details* Cash Daily Vessel Type Vessel Name Year Built Charterer Charter Expiration(2) Rate(1) Genco Success 1997 ED & F MAN Shipping Ltd. $8,000 December, 2013 Handymax Genco Carrier 1998 Pacific World Shipping PTE Ltd. $13,000(10) November, 2013 Genco Prosperity 1997 ED & F MAN Shipping
Slide 25: Footnotes to Fleet Table
Footnotes to Fleet Table (previous two pages) 1) Time charter rates presented are the gross daily charterhire rates before third-party commissions generally ranging from 1.25% to 6.25%. In a time charter, the charterer is responsible for voyage expenses such as bunkers, port expenses, agents’ fees a
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