- Revenue
º 26.9% increase in Q1 2020 revenue to$97.9 million Net Cash from Operating Activities
º$30.5 million in Q1 2020- Adjusted EBITDA
º 36.3% increase in Q1 2020 Adjusted EBITDA to$56.2 million - Liquidation of
Navios Europe II Inc. expected in Q2 2020 - Returning capital to stockholders:
º Quarterly dividend:$0.30 per share
HIGHLIGHTS — RECENT DEVELOPMENTS
Quarterly dividend:
On
Debt developments
In
Liquidation of
On
Continuous Offering Program
On
Fleet employment
As of
Currently, Navios Acquisition has contracted 83.4% of its available days on a charter-out basis for the remaining nine month period of 2020. The average base contractual net daily charter-out rate for the 70.5% of available days that are contracted on base rate and/or base rate with profit sharing arrangements is expected to be
FINANCIAL HIGHLIGHTS
For the following results and the selected financial data presented herein, Navios Acquisition has compiled its consolidated statements of income for the three months ended March 31, 2020 and 2019. The quarterly information for 2020 and 2019 was derived from the unaudited condensed consolidated financial statements for the respective periods.
(Expressed in thousands of | Three Month Period ended 2020 (unaudited) | Three Month Period ended 2019 (unaudited) | |||||||
Revenue | $ | 97,857 | $ | 77,119 | |||||
Net income | $ | 869 | $ | 861 | |||||
Adjusted net income | $ | 14,892 | (1) | $ | 560 | (2) | |||
Net cash provided by operating activities | $ | 30,517 | $ | 9,888 | |||||
EBITDA | $ | 42,205 | $ | 41,664 | |||||
Adjusted EBITDA | $ | 56,228 | (1) | $ | 41,242 | (2) | |||
Earnings per share (basic and diluted) | $ | 0.05 | $ | 0.06 | |||||
Adjusted earnings per share (basic) | $ | 0.95 | (1) | $ | 0.04 | (2) | |||
Adjusted earnings per share (diluted) | $ | 0.94 | (1) | $ | 0.04 | (2) |
(1) EBITDA, net earnings and earnings per share (basic and diluted) for the three month period ended
(2) EBITDA, net earnings and earnings per share (basic and diluted) for the three month period ended
EBITDA, Adjusted EBITDA, Adjusted net income and Adjusted earnings per share (basic and diluted) are non-GAAP financial measures and should not be used in isolation or substitution for Navios Acquisition’s results (see Exhibit II for reconciliation of EBITDA and Adjusted EBITDA).
Three month periods ended March 31, 2020 and 2019
Revenue for the three month period ended
Time charter and voyage expenses for the three month period ended
Net earnings was
Adjusted EBITDA affected by the items described in the table above, for the three month period ended
Fleet employment profile
The following table reflects certain key indicators of the performance of Navios Acquisition and its core fleet for the three month periods ended
Three month period ended | ||||||||
2020 (unaudited) | 2019 (unaudited) | |||||||
FLEET DATA | ||||||||
Available days(1) | 3,755 | 3,683 | ||||||
Operating days(2) | 3,730 | 3,672 | ||||||
Fleet utilization(3) | 99.3 | % | 99.7 | % | ||||
Vessels operating at period end | 43 | 40 | ||||||
AVERAGE DAILY RESULTS | ||||||||
Time charter equivalent rate per day(4) | $ | 24,442 | $ | 19,643 |
Navios Acquisition believes that the important measures for analyzing trends in its results of income consist of the following:
(1 | ) | Available days: Available days for the fleet are total calendar days the vessels were in Navios Acquisition’s possession for the relevant period after subtracting off-hire days associated with major repairs, drydocking or special surveys. The shipping industry uses available days to measure the number of days in a relevant period during which vessels should be capable of generating revenues. |
(2 | ) | Operating days: Operating days are the number of available days in the relevant period less the aggregate number of days that the vessels are off-hire due to any reason, including unforeseen circumstances. The shipping industry uses operating days to measure the aggregate number of days in a relevant period during which vessels actually generate revenues. |
(3 | ) | Fleet utilization: Fleet utilization is the percentage of time that Navios Acquisition’s vessels were available for generating revenue, and is determined by dividing the number of operating days during a relevant period by the number of available days during that period. The shipping industry uses fleet utilization to measure a company’s efficiency in finding suitable employment for its vessels and minimizing the amount of days that its vessels are off hire for reasons other than scheduled repairs, dry dockings or special surveys. |
(4 | ) | TCE Rate: Time charter equivalent rate per day is defined as voyage and time charter revenues less voyage expenses during a period divided by the number of available days during the period. The TCE Rate per day is a standard shipping industry performance measure used primarily to present the actual daily earnings generated by vessels of various types of charter contracts for the number of available days of the fleet. |
Conference Call, Webcast and Presentation Details:
As previously announced, Navios Acquisition will host a conference call on
US Dial In: +1.877.480.3873
International Dial In: +1.404.665.9927
Conference ID: 789 6414
The conference call replay will be available shortly after the live call and remain available for one week at the following numbers:
US Replay Dial In: +1.800.585.8367
International Replay Dial In: +1.404.537.3406
Conference ID: 789 6414
The call will be simultaneously Webcast. The Webcast will be available on the Navios Acquisition website, www.navios-acquisition.com, under the "Investors" section. The Webcast will be archived and available at the same Web address for two weeks following the call.
A supplemental slide presentation will be available by
About Navios Acquisition
Navios Acquisition (NYSE: NNA) is an owner and operator of tanker vessels focusing on the transportation of petroleum products (clean and dirty) and bulk liquid chemicals.
For more information about Navios Acquisition, please visit our website: www.navios-acquisition.com.
Forward Looking Statements
This press release contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events and expectations, including with respect to Navios Acquisition’s future dividends, expected cash flow generation and Navios Acquisition’s growth strategy and measures to implement such strategy, including expected vessel acquisitions and entering into further employment contracts. Words such as “may,” “expects,” “intends,” “plans,” “believes,” “anticipates,” “hopes,” “estimates,” and variations of such words and similar expressions are intended to identify forward-looking statements. Such statements include comments regarding expected revenue and employment contracts. These forward-looking statements are based on the information available to, and the expectations and assumptions deemed reasonable by, Navios Acquisition at the time these statements were made. Although Navios Acquisition believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve risks and are based upon a number of assumptions and estimates that are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of Navios Acquisition. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited risks related to: global and regional economic and political conditions including the impact of the COVID-19 pandemic and efforts throughout the world to contain its spread, including effects on global economic activity, demand for seaborne transportation of the products we ship, the ability and willingness of charterers to fulfill their obligations to us and prevailing charter rates, shipyards performing scrubber installations, drydocking and repairs, changing vessel crews and availability of financing; potential disruption of shipping routes due to accidents, diseases, pandemics, political events, piracy or acts by terrorists, including the impact of the COVID-19 pandemic and the ongoing efforts throughout the world to contain it; the creditworthiness of our charterers and the ability of our contract counterparties to fulfill their obligations to us; tanker industry trends, including charter rates and vessel values and factors affecting vessel supply and demand; the aging of our vessels and resultant increases in operation and dry docking costs; the loss of any customer or charter or vessel; our ability to repay outstanding indebtedness, to obtain additional financing and to obtain replacement charters for our vessels, in each case, at commercially acceptable rates or at all; increases in costs and expenses, including but not limited to crew wages, insurance, provisions, port expenses, lube oil, bunkers, repairs, maintenance and general and administrative expenses; the expected cost of, and our ability to comply with, governmental regulations and maritime self-regulatory organization standards, as well as standard regulations imposed by our charterers applicable to our business; potential liability from litigation and our vessel operations, including discharge of pollutants; general domestic and international political conditions; competitive factors in the market in which Navios Acquisition operates; operations outside
Public & Investor Relations Contact:
+1.212.906.8644
info@navios-acquisition.com
EXHIBIT I
SELECTED BALANCE SHEET DATA
(Expressed in thousands of
March 31, 2020 | 2019 | ||||||||
ASSETS | |||||||||
Cash and cash equivalents, including restricted cash | $ | 51,068 | $ | 44,051 | |||||
Vessels, net | 1,334,141 | 1,348,251 | |||||||
Other assets (including current and non-current) | $ | 137,420 | $ | 162,074 | |||||
1,579 | 1,579 | ||||||||
Total assets | $ | 1,524,208 | $ | 1,555,955 | |||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||
Other current liabilities | $ | 52,353 | $ | 68,986 | |||||
Long-term debt, including current portion, net of deferred finance costs and premium | 1,161,462 | 1,173,117 | |||||||
Total liabilities | $ | 1,213,815 | $ | 1,242,103 | |||||
Total stockholders’ equity | 310,393 | 313,852 | |||||||
Total liabilities and stockholders’ equity | $ | 1,524,208 | $ | 1,555,955 | |||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Expressed in thousands of
For the Three Months Ended (unaudited) | For the Three Months Ended (unaudited) | ||||||||
Revenue | $ | 97,857 | $ | 77,119 | |||||
Time charter and voyage expenses | (6,082 | ) | (4,767 | ) | |||||
Direct vessel expenses | (3,140 | ) | (2,355 | ) | |||||
Management fees (entirely through related party transactions) | (29,837 | ) | (27,906 | ) | |||||
General and administrative expenses | (3,954 | ) | (5,137 | ) | |||||
Depreciation and amortization | (16,606 | ) | (17,721 | ) | |||||
Interest income | 3 | 2,160 | |||||||
Interest expenses and finance cost | (21,843 | ) | (22,929 | ) | |||||
Gain on sale of vessel | — | 651 | |||||||
Impairment of receivable in affiliated company / Equity in net earnings of affiliated companies | (13,900 | ) | 845 | ||||||
Other (expense)/ income, net | (1,629 | ) | 901 | ||||||
Net income | $ | 869 | $ | 861 | |||||
Net earnings per share, basic and diluted | $ | 0.05 | $ | 0.06 | |||||
Weighted average number of shares, basic | 15,717,977 | 13,317,668 | |||||||
Weighted average number of shares, diluted | 15,874,089 | 13,533,733 | |||||||
EXHIBIT II
Reconciliation of EBITDA and Adjusted EBITDA to
Three Month Period Ended 2020 (unaudited) | Three Month Period Ended 2019 (unaudited) | |||||||
Expressed in thousands of | ||||||||
Net cash provided by operating activities | $ | 30,517 | $ | 9,888 | ||||
Net (increase)/ decrease in operating assets | (13,961 | ) | 8,041 | |||||
Net increase in operating liabilities | 4,397 | 2,581 | ||||||
Net interest cost | 21,840 | 20,769 | ||||||
Amortization and write-off of deferred finance costs and bond premium | (1,512 | ) | (974 | ) | ||||
Impairment of receivable in Navios Europe II / Equity in net earnings of affiliated companies | (13,900 | ) | 845 | |||||
Payments for dry dock and special survey costs | 14,947 | 92 | ||||||
Gain on sale of vessel | — | 651 | ||||||
Stock-based compensation | (123 | ) | (229 | ) | ||||
EBITDA | $ | 42,205 | $ | 41,664 | ||||
Gain on sale of vessel | — | (651 | ) | |||||
Impairment of receivable in Navios Europe II | 13,900 | — | ||||||
Stock-based compensation | 123 | 229 | ||||||
Adjusted EBITDA | $ | 56,228 | $ | 41,242 | ||||
Three Month Period Ended 2020 (unaudited) | Three Month Period Ended 2019 (unaudited) | ||||||
Net cash provided by operating activities | $ | 30,517 | $ | 9,888 | |||
Net cash (used in)/ provided by investing activities | $ | (5,882 | ) | $ | 17,450 | ||
Net cash used in financing activities | $ | (17,618 | ) | $ | (6,049 | ) |
Disclosure of Non-GAAP Financial Measures
EBITDA, Adjusted EBITDA, Adjusted net income/ (loss) and Adjusted income/ (loss) per share (basic and diluted) are non-
EBITDA represents net income/ (loss) before interest and finance costs, before depreciation and amortization and before income taxes. Adjusted EBITDA in this document represents EBITDA excluding certain items as described under “Financial Highlights”. Adjusted net income/ (loss) and Adjusted income/ (loss) per share (basic and diluted) represent Net income/ (loss) and income/ (loss) per share (basic and diluted), excluding certain items as described under “Financial Highlights”. We use Adjusted EBITDA as liquidity measure and reconcile EBITDA and Adjusted EBITDA to net cash provided by/ (used in) operating activities, the most comparable
EXHIBIT III
| Year Built/Delivery | ||||
Vessels | Type | Date | DWT | ||
Owned Vessels | |||||
Nave Polaris | Chemical Tanker | 2011 | 25,145 | ||
Nave Cosmos | Chemical Tanker | 2010 | 25,130 | ||
Star N | MR1 Product Tanker | 2009 | 37,836 | ||
Hector N | MR1 Product Tanker | 2008 | 38,402 | ||
Perseus N | MR1 Product Tanker | 2009 | 36,264 | ||
Nave Velocity | MR2 Product Tanker | 2015 | 49,999 | ||
Nave Sextans | MR2 Product Tanker | 2015 | 49,999 | ||
Nave Pyxis | MR2 Product Tanker | 2014 | 49,998 | ||
Nave Luminosity | MR2 Product Tanker | 2014 | 49,999 | ||
Nave Jupiter | MR2 Product Tanker | 2014 | 49,999 | ||
Bougainville | MR2 Product Tanker | 2013 | 50,626 | ||
Nave Alderamin | MR2 Product Tanker | 2013 | 49,998 | ||
Nave | MR2 Product Tanker | 2013 | 49,999 | ||
Nave Capella | MR2 Product Tanker | 2013 | 49,995 | ||
Nave Orion | MR2 Product Tanker | 2013 | 49,999 | ||
Nave Titan | MR2 Product Tanker | 2013 | 49,999 | ||
Nave Aquila | MR2 Product Tanker | 2012 | 49,991 | ||
Nave Atria | MR2 Product Tanker | 2012 | 49,992 | ||
Nave Orbit | MR2 Product Tanker | 2009 | 50,470 | ||
Nave Equator | MR2 Product Tanker | 2009 | 50,542 | ||
Nave Equinox | MR2 Product Tanker | 2007 | 50,922 | ||
Nave Pulsar | MR2 Product Tanker | 2007 | 50,922 | ||
Nave Dorado | MR2 Product Tanker | 2005 | 47,999 | ||
Nave Atropos | LR1 Product Tanker | 2013 | 74,695 | ||
Nave Rigel | LR1 Product Tanker | 2013 | 74,673 | ||
Nave Cassiopeia | LR1 Product Tanker | 2012 | 74,711 | ||
Nave Cetus | LR1 Product Tanker | 2012 | 74,581 | ||
Nave Estella | LR1 Product Tanker | 2012 | 75,000 | ||
Nave Andromeda | LR1 Product Tanker | 2011 | 75,000 | ||
Nave Ariadne | LR1 Product Tanker | 2007 | 74,671 | ||
Nave Cielo | LR1 Product Tanker | 2007 | 74,671 | ||
Lumen N | LR1 Product Tanker | 2008 | 63,599 | ||
Aurora N | LR1 Product Tanker | 2008 | 63,495 | ||
Nave Neutrino | VLCC | 2003 | 298,287 | ||
Nave Celeste | VLCC | 2003 | 298,717 | ||
Nave Photon | VLCC | 2008 | 297,395 | ||
Nave Spherical | VLCC | 2009 | 297,188 | ||
Nave Galactic | VLCC | 2009 | 297,168 | ||
Nave Quasar | VLCC | 2010 | 297,376 | ||
VLCC | 2010 | 299,973 | |||
Nave Constellation | VLCC | 2010 | 298,000 | ||
Nave Universe | VLCC | 2011 | 297,066 | ||
Nave | VLCC | 2011 | 297,491 | ||
Vessels to be delivered* | |||||
TBN I | VLCC | Expected Q4 2020 | 310,000 | ||
TBN II | VLCC | Expected Q1 2021 | 310,000 | ||
TBN III | VLCC | Expected Q2 2021 | 310,000 | ||
* | Bareboat chartered-in vessels with purchase option, expected to be delivered in each of the fourth quarter of 2020, and the first and second quarters of 2021. Navios Acquisition has an option for a fourth bareboat chartered-in VLCC. |
Source:
2020 GlobeNewswire, Inc., source