Euroseas Ltd. · NASDAQ:ESEA
Euroseas — Q1 2014 Earnings Presentation
24 slides from Euroseas's earnings presentation, May 21, 2014
Slide 1: Earnings Presentation – Three Months Ended March 31, 2014
Earnings Presentation Three Months Ended March 31, 2014 Earnings Presentation May 21, 2014
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements in this presentation may be "forward-looking statements" within the meaning of federal securities laws. The matters discussed herein that are forward-looking statements are based on current management expectations that involve risks and uncertainties that may re
Slide 3: 2014 First Quarter Overview
2014 First Quarter Overview Financial Highlights First Quarter 2014: Net Revenues: $ 9.5 million Net Loss: $ (2.2) million Adj. Net Loss : (1) $ (2.2) million Adj. Net Loss to Common S’holders(2): $ (2.5) million, or, ($0.05)/share, basic & diluted Adj. EBITDA(1): $ 1.0 million Balance Sheet Highlig
Slide 4: Recent Developments
Recent Developments Acquired the contracts to build two kamsarmax drybulk carriers (May 2014) Eco design Kamsarmax fuel efficient drybulk carriers with a carrying capacity of 82,000dwt each Shipyard:Jiangsu Yangzijiang Shipbuilding Co Total price: below $60 million Delivery: 2015Q4 and 201
Slide 5: Operational Highlights
Operational Highlights Operational Highlights: Employment extensions on up to 12-month charters Containerships Aggeliki P : Extended for 6-7 months at $6,950/day (up from $6,000) Despina P : Extended for 6-7 months at $6,950/day (up from $6,400) Evridiki G: Extended for 12 months at $8,200
Slide 6: Current Fleet (not including Euromar vessels)
Current Fleet (not including Euromar vessels) Built / Year Name Type DWT TEU To be built Acquired Newbuilding Program Hull No YZJ1116 Kamsarmax 82,000 2015 2014 Hull No YZJ1153 Kamsarmax 82,000 2016 2014 Hull No DY160 Ultramax 63,500 2015 2013 Hull No DY161 Ultramax 63,500 2016 2013 Vessels in the w
Slide 7: Euromar Joint Venture
Euromar Joint Venture Original capital commitment has been contributed: Size Year Total capital invested $175m .. Name Type DWT TEU Built AKINADA BRIDGE Post-Panamax 71,366 5,600 2001 ..of which $25m are from Euroseas CAP EGMONT Intermediate 41,850 3,091 2007 Further Euroseas’ commitment of
Slide 8: Market Overview
Market Overview
Slide 9: World Economic Growth
World Economic Growth U.S. is again the growth engine with Eurozone seemingly turning the corner but political & economic uncertainties globally remain Positives US housing market – despite recent slowdown- and employment improves. The IMF increased its 2014 Eurozone growth estimate to 1.2%, fue
Slide 10: World GDP & Shipping Demand Growth
World GDP & Shipping Demand Growth Real GDP (% p.a. - IMF) 2010 2011 2012 2013 2014 2015 2016 USA 2.8 (2.7) 1.8 (3.0) 2.8(1.8) 1.9(1.2) 2.8(2.8) 3.0 (3.0) 3.0(3.5) Eurozone 1.8 (1.0) 1.5 (1.5) -0.7 (-0.5) .-0.5(-0.4) 1.2(1.0) 1.5(1.4) 1.5(1.5) Japan 4.3 (1.7) -0.6 (1.7) 1.4(1.7) 1.5(2.0) 1.4(1.7) 1.
Slide 11: Drybulk Age Profile & Orderbook Delivery Schedule
Drybulk Age Profile & Orderbook Delivery Schedule Dry Bulk Age Profile Dry Bulk Orderbook (1) 54% 9% of the fleet is over 160 Beginning m dwt 200 20 yrs old m dw t of Year For delivery in orderbook 14/15/16+as of Apr-14): 140 180 93.9 (yellow bar) Cape 78/122/132 160 Panamax 220/125/82 120 16% H/S/U
Slide 12: Containership Age Profile & Orderbook Delivery Schedule
Containership Age Profile & Orderbook Delivery Schedule Containership Age Profile(1) Container Orderbook (1) For delivery in m TEU 6.8 36.4 % 2.2 m teu 14/15/16(as of Apr-14) 6.4 Ppmx 129/135/72 6.0 34.6% 2.0 Pmx 3000+ 6/1/1 5.6 1.8 9.5% 2-3000 12/23/9 5.2 8.2% 1.7 1.6 1-2000 33/32/9 4.8 6.1% 5.6% 1
Slide 13: Outlook Summary
Outlook Summary Bulkers We anticipate that the N/B deliveries will soften up in H2 2014 and rates will firm up from the extremely low current spot levels. Our own fundamental analysis suggest a balanced demand and supply which will result in the average time charter being similar to last year’s (wh
Slide 14: Chartering, Operations & Investment Strategy
Chartering, Operations & Investment Strategy
Slide 15: Vessels Employment Chart
Vessels Employment Chart Coverage: As of May 1, 2014: 62% in 2014 based on max durations (includes ships on index charters) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 14 Q1 14 Q2 14 Q3 14 Q4 15 Q1 15 Q2 15 Q3 15 Q4 EIRINI P ARISTIDES N.P. $7,500 $
Slide 16: Vessels Employment Chart – Containerships
Vessels Employment Chart – Containerships Coverage (as of May 1, 2014): Abt 50% in 2014 (based on min duration) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 14 Q1 14 Q2 14 Q3 14 Q4 15 Q1 15 Q2 15 Q3 15 Q4 TIGER BRIDGE $8,000 $8,200 KUO HSIUNG $7,500
Slide 17: Fleet Management & Operational Performance
Fleet Management & Operational Performance Daily costs per vessel (1) 10,000 Operational fleet utilization rate in excess of 98.5% 9,000 over last 5 years. 8,000 7,000 Outstanding safety and environmental record. 6,000 $ / day For 2014Q1, operational fleet utilization 99.8% 5,000 4,000 and com
Slide 18: Market Snapshot – Investment Opportunities
Market Snapshot – Investment Opportunities $/day 1-Year Time Charter Rate $m 10-yr old Price Historical Range 90,000 90 80,000 80 M ax, 2 0 0 0 - 2 0 14 Panamax 75,000 dwt A ver ag e, 2 0 0 0 - 2 0 14 70,000 70 Containership 1700 teu M in, 2 0 0 0 - 2 0 14 60,000 60 C ur r ent , M ay- 14 50,000 50 4
Slide 19: Financial Overview
Financial Overview
Slide 20: Financial Highlights: 1st Quarter of 2013 and 2014
Financial Highlights: 1st Quarter of 2013 and 2014 First Quarter (in million USD except per share change (4) amounts) 2013 2014 % Net Revenues $10.91 $9.50 -12.9% Net Income / Loss -$4.63 -$2.21 Unrealized & Realized (gain) / loss, -$0.02 $0.04 derevatives & investments (1) Adj. Net Loss -$4.65 -$2.
Slide 21: Fleet Data for 1st Quarter of 2013 and 2014
Fleet Data for 1st Quarter of 2013 and 2014 Fleet Statistics First 2013 2014 (unaudited) (unaudited) Number of vessels 15.00 14.00 Utilization Rate (%) Overall(1 ) 98.1% 99.8% Commercial(1 ) 99.3% 100.0% Operational(1 ) 98.7% 99.8% Averages in usd/day/vessel Time Charter Equivalent (TCE)(2 ) $ 8,718
Slide 22: Debt Repayment Profile
Debt Repayment Profile Debt Repayment Schedule – As of 05/21/2014 Cash Flow Breakeven $30 » Cash Flow Breakeven - rough $25 estimate for next 12 months: $20 1.5 $/day million 4.7 $15 4.9 0.8 10.7 OPEX $ 5,720 2.2 4.6 $10 9.4 6.2 G&A $ 780 13.9 $5 11.2 11.0 9.4 6.7 Interest $ 550 7.4 6.2 $0 4.3 1.2 0
Slide 23: Balance Sheet & Other Data
Balance Sheet & Other Data Cash @ March 31, 2014: $ 62.3m $53.2m unrestricted – and about $9.1m of restricted funds and retention accounts Debt: $52.5m as of March 31, 2014 Debt to Capitalization ratio about 26.4% Debt to Market Value of Fleet ratio 52% Net debt to Market Value of Fleet
Slide 24: Euroseas Contacts
Euroseas Contacts Euroseas Ltd. c/o Eurobulk Ltd 4, Messogiou & Evropis Street 151 24 Maroussi, Greece www.euroseas.gr euroseas@euroseas.gr Tel. +30-211-1804005 Fax.+30-211-1804097 or, Tasos Aslidis Nicolas Bornozis Chief Financial Officer Investor Relations Euroseas Ltd. Capital Link, Inc. 11 Cante