ATHENS, Greece, May 22, 2024 (GLOBE NEWSWIRE) — STEALTHGAS INC. (NASDAQ: GASS), a ship-owning company serving the liquefied petroleum gas (LPG) sector of the international shipping industry, announced today its unaudited financial and operating results for the first quarter ended March 31, 2024.
OPERATIONAL AND FINANCIAL HIGHLIGHTS
All-time record quarterly Net Income of $17.7 million for the first quarter of 2024, a 5.4% increase compared to last yearโs first quarter, corresponding to a basic EPS of $0.49.
Revenues increased by 9.2% compared to the same period of last year to $41.6 million. Voyage and operating expenses decreased by 22.7% and Income from operations increased by 80.0% compared to the same period of last year.Further increased period coverage. About 73% of fleet days for remainder of 2024 are secured on period charters, with total fleet employment days for all subsequent periods generating over $180 million (excl. JV vessels) in contracted revenues.Continued to repay debt, making $32.0 million in debt repayments during the first quarter and $53.3 million so far during the second quarter.Maintaining ample cash and cash equivalents (incl. restricted cash) of $83.6 million as of March 31, 2024 enabling the Company to further reduce debt.
First Quarter 2024 Results:
Revenues for the three months ended March 31, 2024 amounted to $41.6 million compared to revenues of $38.1 million for the three months ended March 31, 2023, an increase of $3.5 million, or 9.2%, while the number of vessels in our fleet declined to 27 vessels at the end of Q1 2024 from 32 vessels at the end of Q1 2023. The vessels remaining in the fleet earned higher revenues compared to the same period in the prior year mainly due to improved market conditions.Voyage expenses and vesselsโ operating expenses for the three months ended March 31, 2024 were $2.9 million and $11.5 million, respectively, compared to $4.0 million and $14.5 million, respectively, for the three months ended March 31, 2023. The $1.1 million, or 28%, decrease in voyage expenses was the result of the reduction in spot market days, while the $3.0 million, or 21%, decrease in vesselsโ operating expenses was mainly due to the decrease in the average number of owned vessels in our fleet.Drydocking costs for the three months ended March 31, 2024 and 2023 were nil and $1.1 million, respectively. No vessels were drydocked during the first quarter of 2024, while drydocking expenses during the first quarter of 2023 mainly relate to the drydocking of one vessel and preparation of others.Management fees for the three months ended March 31, 2024 and 2023 were $1.1 million and $1.2 million, respectively. The change is attributed to the decrease in the average number of owned vessels in our fleet.General and administrative expenses for the three months ended March 31, 2024 and 2023 were $2.2 million and $0.8 million, respectively. The change is mainly attributed to the increase in stock-based compensation expense.Depreciation for the three months ended March 31, 2024 and 2023 was $6.5 million and $6.6 million, respectively, slightly decreased due to the lower average number of vessels owned compared to the same period in 2023, partly offset by the depreciation attributable to the two new 40,000 cbm LPG carriers acquired in the first quarter of 2024.Interest and finance costs for the three months ended March 31, 2024 and 2023 were $3.2 million and $2.6 million, respectively. The $0.6 million, or 23%, increase from the same period of last year is mostly due to the reduction of income from closing of interest rate swap positions as a result of debt prepayments and due to the increase in variable interest rates.Interest income for the three months ended March 31, 2024 and 2023 was $0.8 million and $1.0 million, respectively. The decrease is mainly attributed to decreases in time deposits over the corresponding period.Equity earnings in joint ventures for the three months ended March 31, 2024 and 2023 was a gain of $2.6 million and $8.8 million, respectively. The $6.2 million decrease from the same period of last year is mainly due to the profitable sale of a vessel during the first quarter of 2023 by one of the joint ventures.As a result of the above, for the three months ended March 31, 2024 the Company reported net income of $17.7 million, compared to net income of $16.8 million for the three months ended March 31, 2023, an increase of $0.9 million, or 5%. The weighted average number of shares outstanding, basic, for the three months ended March 31, 2024 and 2023 was 35.1 million and 38.0 million, respectively.Earnings per share, basic, for the three months ended March 31, 2024 amounted to $0.49 compared to earnings per share of $0.44 for the same period of last year.Adjusted net income1 was $19.1 million corresponding to an Adjusted EPS1 of $0.53 for the three months ended March 31, 2024 compared to Adjusted net income of $17.3 million corresponding to an Adjusted EPS of $0.45 for the same period of last year.EBITDA1 for the three months ended March 31, 2024 amounted to $26.6 million. Reconciliations of Adjusted Net Income, EBITDA and Adjusted EBITDA1 to Net Income are set forth below.An average of 27.04 vessels were owned by the Company during the three months ended March 31, 2024 compared to 32.26 vessels for the same period of 2023.
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1ย EBITDA, Adjusted EBITDA, Adjusted Net Income and Adjusted EPS are non-GAAP measures. Refer to the reconciliation of these measures to the most directly comparable financial measure in accordance with GAAP set forth later in this release.
Fleet Update Since Previous Announcement
The Company announced the conclusion of the following chartering arrangements (of three or more months duration): ย
A three years time charter extension for its 2014 built LPG carrier Eco Elysium, until May 2027.A twelve months time charter extension for its 2014 built LPG carrier Eco Stream, until Jun 2025 with a chartererโs option to extend for a further twelve months.A twelve months time charter extension for its 2016 built LPG carrier Eco Nical, until Apr 2025.A six months time charter for its 2011 built LPG carrier Gas Elixir, until Oct 2024.A three months time charter for its 2018 built LPG carrier Eco Arctic, until Jul 2024 with a chartererโs option to extend for a further three months.
As of May 2024, the Company has total contracted revenues of approximately $180 million.
For the remainder of the year 2024 the Company has circa 73% of fleet days secured under period contracts, and 30% for the year 2025.
In addition, the following charter arrangements were concluded for the joint venture vessels:
A twelve months time charter extension for the 2015 built LPG carrier Eco Lucidity, until Apr 2025.A six months time charter for the 2008 built LPG carrier Gas Defiance, until Dec 2024.
The previously announced sale of the joint venture vessel Eco Ethereal was concluded in late April 2024 and the Company received a $24 million interim distribution from the joint venture.
CEO Harry Vafias Commented
Today we announce yet another record breaking quarter. Profits of $17.7 million for the first quarter of 2024 are an all time high for our company in the 20 years since its inception.ย These exceptional results were mainly driven by higher revenues and reduced expenses, and the two MGC vessels that were added to the fleet immediately started producing results.ย The reduced share count as a result of the share buybacks further enhances the bottom line on an earnings per share basis. In the current quarter we have so far repaid over $53 million of debt and now have 23 unencumbered vessels and a debt ratio below 15%. We continue to benefit from the positive market backdrop and we look forward to continue rewarding our shareholdersโ trust with more positive quarters.
Conference Call details:
On May 22, 2024 at 11:00 am ET, the companyโs management will host a conference call to discuss the results and the companyโs operations and outlook.
Conference call participants should pre-register using the below link to receive the dial-in numbers and a personal PIN, which are required to access the conference call.
Online Registration:
https://register.vevent.com/register/BIfef0702d7f65423ca8c51fdafd4f6556
Slides and audio webcast:
There will also be a live and then archived webcast of the conference call, through the STEALTHGAS INC. website (www.stealthgas.com). Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.
About STEALTHGAS INC.
StealthGas Inc. is a ship-owning company serving the liquefied petroleum gas (LPG) sector of the international shipping industry. StealthGas Inc. has a fleet of 32 LPG carriers, including five Joint Venture vessels in the water. These LPG vessels have a total capacity of 354,188 cubic meters (cbm). StealthGas Inc.โs shares are listed on the Nasdaq Global Select Market and trade under the symbol โGASS.โ
Visit our website at www.stealthgas.com
Forward-Looking Statements
Matters discussed in this release may constitute forward-looking statements. Forward-looking statements reflect our current views with respect to future events and financial performance and may include statements concerning plans, objectives, goals, strategies, future events or performance and underlying assumptions and other statements, including those related to future revenues and profitability, which are other than statements of historical facts. The forward-looking statements in this release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, managementโs examination of historical operating trends, data contained in our records and other data available from third parties. Although STEALTHGAS INC. believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, STEALTHGAS INC. cannot assure you that it will achieve or accomplish these expectations, beliefs or projections. Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including changes in charter hire rates and vessel values, charter counterparty performance, changes in demand that may affect attitudes of time charterers to scheduled and unscheduled drydockings, shipyard performance, changes in STEALTHGAS INCโs operating expenses, including bunker prices, drydocking and insurance costs, ability to obtain financing and comply with covenants in our financing arrangements, or actions taken by regulatory authorities, potential liability from pending or future litigation, domestic and international political conditions,ย the conflict in Ukraine and related sanctions, the conflict in Israel and Gaza, potential disruption of shipping routes due to ongoing attacks by Houthis in the Red Sea and Gulf of Aden or accidents and political events or acts by terrorists.
Risks and uncertainties are further described in reports filed by STEALTHGAS INC. with the U.S. Securities and Exchange Commission.
Fleet Listย ย ย ย ย ย ย ย
For information on our fleet and further information:
Visit our website at www.stealthgas.com
Fleet Data:
The following key indicators highlight the Companyโs operating performance during the periods ended March 31, 2023 and March 31, 2024.
FLEET DATAQ1 2023Q1 2024Average number of vessels (1)32.26ย 27.04ย Period end number of owned vessels in fleet32ย 27ย Total calendar days for fleet (2)2,903ย 2,461ย Total voyage days for fleet (3)2,871ย 2,439ย Fleet utilization (4)98.9%99.1%Total charter days for fleet (5)2,625ย 2,232ย Total spot market days for fleet (6)246ย 207ย Fleet operational utilization (7)97.3%97.7%ย ย ย ย ย
1) Average number of vessels is the number of owned vessels that constituted our fleet for the relevant period, as measured by the sum of the number of days each vessel was a part of our fleet during the period divided by the number of calendar days in that period.
2) Total calendar days for fleet are the total days the vessels we operated were in our possession for the relevant period including off-hire days associated with major repairs, drydockings or special or intermediate surveys.
3) Total voyage days for fleet reflect the total days the vessels we operated were in our possession for the relevant period net of off-hire days associated with major repairs, drydockings or special or intermediate surveys.
4) Fleet utilization is the percentage of time that our vessels were available for revenue generating voyage days, and is determined by dividing voyage days by fleet calendar days for the relevant period.
5) Total charter days for fleet are the number of voyage days the vessels operated on time or bareboat charters for the relevant period.
6) Total spot market charter days for fleet are the number of voyage days the vessels operated on spot market charters for the relevant period.
7) Fleet operational utilization is the percentage of time that our vessels generated revenue, and is determined by dividing voyage days excluding commercially idle days by fleet calendar days for the relevant period.
Reconciliation of Adjusted Net Income, EBITDA, adjusted EBITDA and adjusted EPS:
Adjusted net income represents net income before gain/loss on derivatives excluding swap interest paid/received, impairment loss, net gain/loss on sale of vessels and share based compensation. EBITDA represents net income before interest and finance costs, interest income and depreciation. Adjusted EBITDA represents net income before interest and finance costs, interest income, depreciation, impairment loss, net gain/loss on sale of vessels, share based compensation and gain/loss on derivatives.
Adjusted EPS represents Adjusted net income divided by the weighted average number of shares. EBITDA, adjusted EBITDA, adjusted net income and adjusted EPS are not recognized measurements under U.S. GAAP. Our calculation of EBITDA, adjusted EBITDA, adjusted net income and adjusted EPS may not be comparable to that reported by other companies in the shipping or other industries. In evaluating Adjusted EBITDA, Adjusted net income and Adjusted EPS, you should be aware that in the future we may incur expenses that are the same as or similar to some of the adjustments in this presentation.
EBITDA, adjusted EBITDA, adjusted net income and adjusted EPS are included herein because they are a basis, upon which we and our investors assess our financial performance. They allow us to present our performance from period to period on a comparable basis and provide investors with a means of better evaluating and understanding our operating performance.
(Expressed in United States Dollars,
except number of shares)Three Months Period Ended March 31,ย 20232024Net Income – Adjusted Net Incomeย ย Net income16,816,191ย 17,729,716ย Plus/(Less) loss/(gain) on derivatives62,314ย (99,286)Plus swap interest received193,318ย 208,127ย Plus/(Less) net loss/(gain) on sale of vessels, net23,354ย (46,384)Plus impairment loss57,319ย –ย Plus share based compensation175,569ย 1,345,409ย Adjusted Net Income17,328,065ย 19,137,582ย ย ย ย Net income – EBITDAย ย Net income16,816,191ย 17,729,716ย Plus interest and finance costs2,622,686ย 3,169,061ย Less interest income(1,040,944)(753,396)Plus depreciation6,578,366ย 6,492,376ย EBITDA24,976,299ย 26,637,757ย ย ย ย Net income – Adjusted EBITDAย ย Net income16,816,191ย 17,729,716ย Plus/(Less) loss/(gain) on derivatives62,314ย (99,286)Plus/(Less) net loss/(gain) on sale of vessels, net23,354ย (46,384)Plus impairment loss57,319ย –ย Plus share based compensation175,569ย 1,345,409ย Plus interest and finance costs2,622,686ย 3,169,061ย Less interest income(1,040,944)(753,396)Plus depreciation6,578,366ย 6,492,376ย Adjusted EBITDA25,294,855ย 27,837,496ย ย ย ย EPS – Adjusted EPSย ย Net income16,816,191ย 17,729,716ย Adjusted net income17,328,065ย 19,137,582ย Weighted average number of shares, basic38,030,309ย 35,119,500ย EPS – Basic 0.44ย 0.49ย Adjusted EPS – Basic0.45ย 0.53ย
ย StealthGas Inc.
Unaudited Condensed Consolidated Statements of Income
(Expressed in United States Dollars, except for number of shares)ย ย For The Three Months Ended March 31,ย ย 2023ย 2024ย ย ย Revenuesย ย ย ย Revenuesย 38,062,170ย ย 41,563,908ย ย ย ย ย ย Expensesย ย ย ย Voyage expensesย 3,518,691ย ย 2,345,200ย Voyage expenses – related partyย 473,682ย ย 513,247ย Vessels’ operating expensesย 14,288,781ย ย 11,235,359ย Vessels’ operating expenses – related partyย 257,500ย ย 241,500ย Drydocking costsย 1,090,042ย ย –ย Management fees – related partyย 1,234,120ย ย 1,053,719ย General and administrative expensesย 808,929ย ย 2,213,853ย Depreciationย 6,578,366ย ย 6,492,376ย Impairment lossย 57,319ย ย –ย Net loss/(gain) on sale of vesselsย 23,354ย ย (46,384)Total expensesย 28,330,784ย ย 24,048,870ย ย ย ย ย ย Income from operationsย 9,731,386ย ย 17,515,038ย ย ย ย ย ย Other (expenses)/incomeย ย ย ย Interest and finance costsย (2,622,686)ย (3,169,061)(Loss)/gain on derivativesย (62,314)ย 99,286ย Interest incomeย 1,040,944ย ย 753,396ย Foreign exchange lossย (104,326)ย (49,044)Other expenses, netย (1,748,382)ย (2,365,423)ย ย ย ย ย Income before equity in earnings of investeesย 7,983,004ย ย 15,149,615ย Equity earnings in joint venturesย 8,833,187ย ย 2,580,101ย Net Incomeย 16,816,191ย ย 17,729,716ย ย ย ย ย ย Earnings per share ย ย ย ย – Basicย 0.44ย ย 0.49ย -Dilutedย 0.44ย ย 0.49ย ย ย ย ย ย Weighted average number of shares ย ย ย ย – Basicย 38,030,309ย ย 35,119,500ย – Dilutedย 38,030,309ย ย 35,247,529ย
ย StealthGas Inc.
Unaudited Condensed Consolidated Balance Sheets
(Expressed in United States Dollars)ย ย December 31,ย March 31,ย ย 2023ย 2024ย ย ย ย ย Assetsย ย ย ย Current assetsย ย ย ย Cash and cash equivalentsย 77,202,843ย ย 77,085,417ย Receivable from related partiesย –ย ย 448,610ย Trade and other receivablesย 4,506,741ย ย 4,484,464ย Other current assetsย 130,589ย ย 1,396ย Claims receivableย 55,475ย ย 55,475ย Inventoriesย 1,979,683ย ย 1,872,655ย Advances and prepaymentsย 1,409,418ย ย 1,569,161ย Restricted cashย 659,137ย ย –ย Assets held for saleย 34,879,925ย ย –ย Total current assetsย 120,823,811ย ย 85,517,178ย ย ย ย ย ย Non current assetsย ย ย ย Advances for vessel acquisitionsย 23,414,570ย ย –ย Operating lease right-of-use assetsย 99,379ย ย 74,634ย Vessels, netย 504,295,083ย ย 617,632,086ย Other receivablesย 48,040ย ย 105,460ย Restricted cashย 5,893,721ย ย 6,550,540ย Investments in joint venturesย 39,671,603ย ย 42,251,704ย Deferred finance chargesย 1,105,790ย ย –ย Fair value of derivativesย 1,858,677ย ย 804,150ย Total non current assetsย 576,386,863ย ย 667,418,574ย Total assetsย 697,210,674ย ย 752,935,752ย ย ย ย ย ย Liabilities and Stockholders’ Equityย ย ย ย Current liabilitiesย ย ย ย Payable to related partiesย 955,567ย ย –ย Trade accounts payableย 9,953,137ย ย 9,479,109ย Accrued liabilitiesย 5,681,144ย ย 5,921,347ย Operating lease liabilitiesย 71,173ย ย 74,634ย Deferred incomeย 5,386,126ย ย 7,339,669ย Current portion of long-term debtย 16,624,473ย ย 15,185,485ย Total current liabilitiesย 38,671,620ย ย 38,000,244ย ย ย ย ย ย Non current liabilitiesย ย ย ย Operating lease liabilitiesย 28,206ย ย –ย Deferred incomeย 1,928,712ย ย 663,769ย Long-term debtย 106,918,176ย ย 145,442,266ย Total non current liabilitiesย 108,875,094ย ย 146,106,035ย Total liabilitiesย 147,546,713ย ย 184,106,279ย ย ย ย ย ย Commitments and contingenciesย ย ย ย ย ย ย ย ย Stockholders’ equityย ย ย ย Capital stockย 453,434ย ย 454,684ย Treasury stockย (44,453,836)ย (44,792,012)Additional paid-in capitalย 446,938,868ย ย 448,639,277ย Retained earningsย 145,993,681ย ย 163,723,397ย Accumulated other comprehensive incomeย 731,814ย ย 804,127ย Total stockholders’ equityย 549,663,961ย ย 568,829,473ย Total liabilities and stockholders’ equityย 697,210,674ย ย 752,935,752ย
ย StealthGas Inc.
Unaudited Condensed Consolidated Statements of Cash Flows
(Expressed in United States Dollars)ย ย For The Three Months Ended March 31,ย ย 2023ย 2024Cash flows from operating activitiesย ย ย ย Net income for the periodย 16,816,191ย ย 17,729,716ย ย ย ย ย ย Adjustments to reconcile net income to net cashย ย ย ย ย provided by operating activities:ย ย ย ย Depreciationย 6,578,366ย ย 6,492,376ย Amortization of deferred finance chargesย 329,383ย ย 258,295ย Non-cash lease expenseย 23,189ย ย 24,745ย Share based compensationย 175,569ย ย 1,345,409ย Change in fair value of derivativesย 385,655ย ย 108,840ย Proceeds from disposal of interest rate swapsย –ย ย 1,018,000ย Equity earnings in joint venturesย (8,833,187)ย (2,580,101)Impairment lossย 57,319ย ย –ย Loss/(Gain) on sale of vesselsย 23,354ย ย (46,384)ย ย ย ย ย Changes in operating assets and liabilities:ย ย ย ย (Increase)/decrease inย ย ย ย Trade and other receivablesย 1,799,807ย ย (35,143)Other current assetsย 183,299ย ย 129,193ย Inventoriesย 762,634ย ย 353,756ย Changes in operating lease liabilitiesย (23,189)ย (24,745)Advances and prepaymentsย (19,504)ย (159,743)Increase/(decrease) inย ย ย ย Balances with related partiesย (214,731)ย (1,390,625)Trade accounts payableย 2,060,374ย ย (475,368)Accrued liabilitiesย 118,849ย ย 240,202ย Deferred incomeย (545,247)ย 688,600ย Net cash provided by operating activitiesย 19,678,131ย ย 23,677,023ย ย ย ย ย ย Cash flows from investing activitiesย ย ย ย Insurance proceedsย 126,666ย ย –ย Proceeds from sale of vessels, netย 9,416,242ย ย 34,679,584ย Acquisition and improvement of vesselsย (71,729)ย (96,413,470)Advances to joint venturesย –ย ย (1,705)Maturity in short term investmentsย 15,000,000ย ย –ย Net cash provided by/(used in) investing activitiesย 24,471,179ย ย (61,735,591)ย ย ย ย ย Cash flows from financing activitiesย ย ย ย Proceeds from exercise of stock optionsย –ย ย 356,250ย Stock repurchaseย –ย ย (338,176)Deferred finance charges paidย (215,833)ย (22,167)Advances from/(to) joint venturesย 2,698ย ย (11,848)Loan repaymentsย (32,021,772)ย (32,045,235)Proceeds from long-term debtย –ย ย 70,000,000ย Net cash (used in)/provided by financing activitiesย (32,234,907)ย 37,938,824ย ย ย ย ย ย Net increase/(decrease) in cash, cash equivalents and restricted cashย 11,914,403ย ย (119,744)Cash, cash equivalents and restricted cash at beginning of periodย 69,154,944ย ย 83,755,701ย Cash, cash equivalents and restricted cash at end of periodย 81,069,347ย ย 83,635,957ย Cash breakdownย ย ย ย Cash and cash equivalentsย 69,827,552ย ย 77,085,417ย Restricted cash, currentย 1,802,116ย ย –ย Restricted cash, non currentย 9,439,679ย ย 6,550,540ย Total cash, cash equivalents and restricted cash shown in the statements of cash flows81,069,347ย ย 83,635,957ย
CONTACT: Company Contact:
Konstantinos Sistovaris
Investor Relations
STEALTHGAS INC.
00-30-210-6250-001
E-mail: info@stealthgas.com
