Page
| |
Unaudited Interim Consolidated Balance Sheets as of December 31, 2021, and June 30, 2022
|
F-2
|
Unaudited Interim Condensed Consolidated Statements of Comprehensive Income for the six months ended June 30, 2021, and 2022
|
F-3
|
Unaudited Interim Consolidated Statements of Shareholders' Equity for the six months ended June 30, 2021, and 2022
|
F-4
|
Unaudited Interim Consolidated Statements of Cash Flows for the six months ended June 30, 2021, and 2022
|
F-5
|
Notes to Unaudited Interim Condensed Consolidated Financial Statements
|
F-6
|
CASTOR MARITIME INC.
|
UNAUDITED INTERIM CONSOLIDATED BALANCE SHEETS
|
December 31, 2021 and June 30, 2022
|
(Expressed in U.S. Dollars - except for share data)
|
ASSETS |
December 31,
|
June 30,
| ||||||||||
CURRENT ASSETS:
|
Note
|
2021 |
2022 | |||||||||
Cash and cash equivalents
|
$
|
37,173,736
|
$
|
104,387,715
| ||||||||
Restricted Cash | 6 | 2,382,732 | 3,053,728 | |||||||||
Accounts receivable trade, net |
11 |
8,224,357
|
11,021,032
| |||||||||
Inventories
|
4,436,879
|
7,979,319
| ||||||||||
Prepaid expenses and other assets
|
2,591,150
|
4,193,734
| ||||||||||
Deferred charges, net
| 11 |
191,234
|
64,224
| |||||||||
Vessel held for sale |
5 | - | 9,418,653 | |||||||||
Total current assets
|
55,000,088
|
140,118,405
| ||||||||||
NON-CURRENT ASSETS:
| ||||||||||||
Vessels, net (including $3,406,400, and $3,641,900related party commissions as at December 31, 2021 and June 30, 2022, respectively)
|
3, 5
|
393,965,929
|
397,241,121
| |||||||||
Advances for vessel acquisition
|
5 | 2,368,165 | - | |||||||||
Restricted cash
|
6
|
3,830,000
|
7,840,000
| |||||||||
Due from related party
|
3 | 810,437 | - | |||||||||
Prepaid expenses and other assets, non-current
|
2,075,999
|
1,925,999
| ||||||||||
Deferred charges, net
|
4
|
4,862,824
|
5,311,498
| |||||||||
Total non-current assets
|
407,913,354
|
412,318,618
| ||||||||||
Total assets
| $ | 462,913,442 | $ | 552,437,023 | ||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY
| ||||||||||||
CURRENT LIABILITIES:
| ||||||||||||
Current portion of long-term debt, net
|
6
|
16,091,723
|
29,500,335
| |||||||||
Accounts payable
|
5,042,575
|
6,687,590
| ||||||||||
Due to related parties, current |
3 | 4,507,569 | 1,214,548 | |||||||||
Deferred revenue | 11 |
3,927,833
|
2,592,502
| |||||||||
Accrued liabilities
|
4,459,696
|
6,555,260
| ||||||||||
Total current liabilities
|
34,029,396
|
46,550,235
| ||||||||||
Commitments and contingencies
|
9
|
- | - | |||||||||
NON-CURRENT LIABILITIES:
| ||||||||||||
Long-term debt, net
|
6
|
85,949,676 |
115,222,634 | |||||||||
Total non-current liabilities
| 85,949,676 | 115,222,634 | ||||||||||
SHAREHOLDERS' EQUITY:
| ||||||||||||
Common shares, $0.001par value; 1,950,000,000shares authorized; 94,610,088shares issued and outstanding as of December 31, 2021, and June 30, 2022 |
7
|
94,610
|
94,610
| |||||||||
Preferred shares, $0.001par value: 50,000,000shares authorized:
|
7
| |||||||||||
Series B Preferred Shares - 12,000shares issued and outstanding as of December 31, 2021, and June 30, 2022 |
7
| 12 | 12 | |||||||||
Additional paid-in capital
|
303,658,153
|
303,658,153
| ||||||||||
Retained earnings
|
39,181,595
|
86,911,379
| ||||||||||
Total shareholders' equity
|
342,934,370
|
390,664,154
| ||||||||||
Total liabilities and shareholders' equity
| $ | 462,913,442 |
$
|
552,437,023
|
CASTOR MARITIME INC.
|
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
For the six months ended June 30, 2021 and 2022
|
(Expressed in U.S. Dollars - except for share data)
|
Six Months Ended
June 30, |
Six Months Ended
June 30, | |||||||||||
Note
|
2021
|
2022 | ||||||||||
REVENUES:
| ||||||||||||
Vessel revenues (net of commissions to charterers of $1,001,426and $3,964,151for the six months ended June 30, 2021, and 2022, respectively)
| 11 |
$
|
28,762,636
|
$
|
122,138,979
| |||||||
Total revenues
|
28,762,636
|
122,138,979
| ||||||||||
EXPENSES:
| ||||||||||||
Voyage expenses (including $364,540and $1,557,300to related party for the six months ended June 30, 2021, and 2022, respectively)
|
3, 12
|
(941,593
|
)
|
(20,054,408
|
)
| |||||||
Vessel operating expenses
|
12
|
(11,266,895
|
)
|
(31,722,204
|
)
| |||||||
Management fees to related parties
|
3
|
(2,524,500
|
)
|
(4,461,650
|
)
| |||||||
Depreciation and amortization
|
4, 5 |
(4,040,601
|
)
|
(12,174,218
|
)
| |||||||
General and administrative expenses (including $600,000to related party in each of the six months ended June 30, 2021, and 2022) |
13
| (1,459,355 | ) | (2,061,302 | ) | |||||||
Total expenses
| (20,232,944 | ) |
(70,473,782
|
)
| ||||||||
Operating income
|
8,529,692
|
51,665,197
| ||||||||||
OTHER INCOME/ (EXPENSES):
| ||||||||||||
Interest and finance costs (including $150,833and $0to related party for the six months ended June 30, 2021, and 2022, respectively)
|
3, 6, 14
|
(899,003
|
)
|
(3,487,553
|
)
| |||||||
Interest income
|
58,241
|
141,391
| ||||||||||
Foreign exchange (losses)/gains
|
(12,239
|
)
|
67,787
| |||||||||
Total other expenses, net
|
(853,001
|
)
|
(3,278,375
|
)
| ||||||||
Net income and comprehensive income, before taxes |
$
|
7,676,691
|
$
|
48,386,822
| ||||||||
Income taxes | (74,123 | ) | (657,038 | ) | ||||||||
Net income and comprehensive income | $ | 7,602,568 | $ | 47,729,784 | ||||||||
Earnings per common share, basic and diluted
|
10 |
$ | 0.10 |
$ |
0.50
| |||||||
Weighted average number of common shares, basic |
10 |
73,384,422 |
94,610,088 | |||||||||
Weighted average number of common shares, diluted
|
10 | 76,203,009 | 94,610,088 |
CASTOR MARITIME INC.
|
UNAUDITED INTERIM CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
For the six months ended June 30, 2021, and 2022
|
(Expressed in U.S. Dollars - except for share data)
|
Number of Shares Issued
|
Par Value
| Additional | Total | |||||||||||||||||||||||||
Common
shares
|
Preferred
A shares
|
Preferred
B shares
|
of Shares
issued
|
Paid-in capital |
Retained earnings
|
Shareholders'
Equity
| ||||||||||||||||||||||
Balance, December 31, 2020
|
13,121,238
|
480,000
|
12,000
|
13,613
|
53,686,741
|
(1,316,735
|
)
|
52,383,619
| ||||||||||||||||||||
- Issuance of common stock pursuant to the registered direct offerings (Note 7) |
42,405,770
|
-
|
-
|
42,406
|
156,824,134
|
-
|
156,866,540
| |||||||||||||||||||||
- Issuance of common stock pursuant to warrant exercises (Note 7)
|
34,428,840
|
-
|
-
|
34,429
|
83,386,517
|
-
|
83,420,946
| |||||||||||||||||||||
- Issuance of common stock pursuant to the ATM Program (Note 7)
|
3,563,407
|
3,563
|
9,690,183
|
-
|
9,693,746
| |||||||||||||||||||||||
- Net income and comprehensive income |
-
|
-
|
-
|
-
|
-
|
7,602,568
|
7,602,568
| |||||||||||||||||||||
Balance, June 30, 2021 |
93,519,255
|
480,000
|
12,000
|
94,011
|
303,587,575
|
6,285,833
|
309,967,419
| |||||||||||||||||||||
Balance, December 31, 2021 | 94,610,088 | - | 12,000 | 94,622 | 303,658,153 | 39,181,595 | 342,934,370 | |||||||||||||||||||||
- Net income and comprehensive income | - | - | - | - | - | 47,729,784 | 47,729,784 | |||||||||||||||||||||
Balance, June 30, 2022 | 94,610,088 | - | 12,000 | 94,622 | 303,658,153 | 86,911,379 | 390,664,154 |
CASTOR MARITIME INC.
|
UNAUDITED INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS
For the six months ended June 30, 2021, and 2022 (Expressed in U.S. Dollars) |
Six months ended June 30,
| ||||||||||||
Note |
2021
| 2022 | ||||||||||
Cash Flows provided by Operating Activities:
| ||||||||||||
Net income
|
$
|
7,602,568
|
$
|
47,729,784
| ||||||||
Adjustments to reconcile net income to net cash provided by Operating activities:
| ||||||||||||
Depreciation and amortization |
4, 5
|
4,040,601
|
12,174,218
| |||||||||
Amortization of deferred finance charges
|
14
|
125,234
|
436,148
| |||||||||
Amortization of other deferred charges
|
53,449
|
-
| ||||||||||
Deferred revenue amortization
|
(157,076
|
)
|
-
| |||||||||
Changes in operating assets and liabilities:
| ||||||||||||
Accounts receivable trade, net |
(1,496,824
|
)
|
(2,796,675
|
)
| ||||||||
Inventories
|
(2,836,214
|
)
|
(3,542,440
|
)
| ||||||||
Due from/to related parties
|
(1,179,669
|
)
|
(2,482,584
|
)
| ||||||||
Prepaid expenses and other assets
|
(901,228
|
)
|
(836,191
|
)
| ||||||||
Other deferred charges | (196,347 | ) | 127,010 | |||||||||
Accounts payable
|
515,337
|
3,755,428
| ||||||||||
Accrued liabilities
|
1,365,569
|
1,028,491
| ||||||||||
Deferred revenue
|
1,564,978
|
(1,335,331
|
)
| |||||||||
Dry-dock costs paid
| (1,288,364 | ) | (1,432,706 | ) | ||||||||
Net Cash provided by Operating Activities
|
7,212,014
|
52,825,152
| ||||||||||
Cash flow used in Investing Activities:
| ||||||||||||
Vessel acquisitions and other vessel improvements
|
5
|
(245,945,567
|
)
|
(23,105,822
|
)
| |||||||
Advances for vessel acquisition | (9,178,452 | ) | - | |||||||||
Net cash used in Investing Activities
|
(255,124,019
|
)
|
(23,105,822
|
)
| ||||||||
Cash flows provided by Financing Activities:
| ||||||||||||
Gross proceeds from issuance of common stock and warrants
|
7
|
262,516,826
|
-
| |||||||||
Common stock issuance expenses |
(12,311,638
|
)
|
(65,797
|
)
| ||||||||
Proceeds from long-term debt
|
6
|
33,290,000
|
55,000,000
| |||||||||
Repayment of long-term debt
|
6
|
(1,571,000
|
)
|
(12,054,000
|
)
| |||||||
Payment of deferred financing costs
|
(756,051
|
)
|
(704,558
|
)
| ||||||||
Net cash provided by Financing Activities
|
281,168,137
|
42,175,645
| ||||||||||
Net increase in cash, cash equivalents, and restricted cash
|
33,256,132
|
71,894,975
| ||||||||||
Cash, cash equivalents and restricted cash at the beginning of the period
|
9,426,903
|
43,386,468
| ||||||||||
Cash, cash equivalents and restricted cash at the end of the period
|
$
|
42,683,035
|
$
|
115,281,443
| ||||||||
RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH
| ||||||||||||
Cash and cash equivalents
|
$
|
40,032,095
|
$
|
104,387,715
| ||||||||
Restricted cash, current |
400,940
|
3,053,728
| ||||||||||
Restricted cash, non-current
| 2,250,000 | 7,840,000 | ||||||||||
Cash, cash equivalents, and restricted cash
|
$
|
42,683,035
|
$ |
115,281,443
| ||||||||
SUPPLEMENTAL CASH FLOW INFORMATION
| ||||||||||||
Cash paid for interest
|
400,907
|
2,286,652
| ||||||||||
Unpaid capital raising costs (included in Accounts payable and Accrued Liabilities)
|
223,956
|
-
| ||||||||||
Unpaid vessel acquisition and other vessel improvement costs (included in Accounts payable and Accrued liabilities)
|
869,876
|
5,560
| ||||||||||
Unpaid advances for vessel acquisitions (included in Accounts payable and Accrued Liabilities) | 64,555 | - | ||||||||||
Unpaid deferred dry-dock costs (included in Accounts payable and Accrued liabilities) | 869,951 | 1,282,901 |
1. |
Basis of Presentation and General information:
|
Company
|
Country of incorporation
|
Vessel Name
|
DWT
|
Year
Built
|
Delivery date
to Castor
| |
1
|
Spetses Shipping Co. ("Spetses")
|
Marshall Islands
|
M/V Magic P
|
76,453
| 2004 |
February 2017 |
2
|
Bistro Maritime Co. ("Bistro")
|
Marshall Islands
|
M/V Magic Sun
|
75,311
| 2001 |
September 2019 |
3
|
Pikachu Shipping Co. ("Pikachu")
|
Marshall Islands
|
M/V Magic Moon
|
76,602
| 2005 |
October 2019 |
4
|
Bagheera Shipping Co. ("Bagheera")
|
Marshall Islands
|
M/V Magic Rainbow
|
73,593
| 2007 |
August 2020 |
5
|
Pocahontas Shipping Co. ("Pocahontas")
|
Marshall Islands
|
M/V Magic Horizon
|
76,619
| 2010 |
October 2020 |
6
|
Jumaru Shipping Co. ("Jumaru")
|
Marshall Islands
|
M/V Magic Nova
|
78,833
| 2010 |
October 2020 |
7
|
Super Mario Shipping Co. ("Super Mario")
|
Marshall Islands
|
M/V Magic Venus
|
83,416
| 2010 |
March 2021 |
8
|
Pumba Shipping Co. ("Pumba")
|
Marshall Islands
|
M/V Magic Orion
|
180,200
| 2006 |
March 2021 |
9
|
Kabamaru Shipping Co. ("Kabamaru")
|
Marshall Islands
|
M/V Magic Argo
|
82,338
| 2009 |
March 2021 |
10
|
Luffy Shipping Co. ("Luffy")
|
Marshall Islands
|
M/V Magic Twilight
|
80,283
| 2010 |
April 2021 |
11
|
Liono Shipping Co. ("Liono")
|
Marshall Islands
|
M/V Magic Thunder
|
83,375
| 2011 |
April 2021 |
12
|
Stewie Shipping Co. ("Stewie")
|
Marshall Islands
|
M/V Magic Vela
|
75,003
| 2011 |
May 2021 |
13
|
Snoopy Shipping Co. ("Snoopy")
|
Marshall Islands
|
M/V Magic Nebula
|
80,281
| 2010 |
May 2021 |
14
|
Mulan Shipping Co. ("Mulan")
|
Marshall Islands
|
M/V Magic Starlight
|
81,048
| 2015 |
May 2021 |
15
|
Cinderella Shipping Co. ("Cinderella")
|
Marshall Islands
|
M/V Magic Eclipse
|
74,940
| 2011 |
June 2021 |
16
|
Rocket Shipping Co. ("Rocket")
|
Marshall Islands
|
M/T Wonder Polaris
|
115,351
| 2005 |
March 2021 |
17
|
Gamora Shipping Co. ("Gamora")
|
Marshall Islands
|
M/T Wonder Sirius
|
115,341
| 2005 |
March 2021 |
18
|
Starlord Shipping Co. ("Starlord")
|
Marshall Islands
|
M/T Wonder Vega
|
106,062
| 2005 |
May 2021 |
19
|
Hawkeye Shipping Co. ("Hawkeye")
|
Marshall Islands
|
M/T Wonder Avior
|
106,162
| 2004 |
May 2021 |
20
|
Elektra Shipping Co. ("Elektra")
|
Marshall Islands
|
M/T Wonder Arcturus(1) |
106,149
| 2002 |
May 2021 |
21
|
Vision Shipping Co. ("Vision")
|
Marshall Islands
|
M/T Wonder Mimosa
|
36,718
| 2006 |
May 2021 |
22
|
Colossus Shipping Co. ("Colossus")
|
Marshall Islands
|
M/T Wonder Musica
|
106,290
| 2004 |
June 2021 |
(1) |
On May 9, 2022, the Company entered into an agreement with an unaffiliated third party for the sale of the Wonder Arcturusfor a gross sale price of $13.15 million. The vessel was delivered to its new owners on July 15, 2022. For further information, see Note 16 to these financial statements.
|
1.
|
Basis of Presentation and General information (continued):
|
23
|
Xavier Shipping Co. ("Xavier")
|
Marshall Islands
|
M/T Wonder Formosa
|
36,660
| 2006 |
June 2021 |
24
|
Songoku Shipping Co. ("Songoku")
|
Marshall Islands
|
M/V Magic Pluto
|
74,940
| 2013 |
August 2021 |
25
|
Asterix Shipping Co. ("Asterix")
|
Marshall Islands
|
M/V Magic Perseus
|
82,158
| 2013 |
August 2021 |
26
|
Johnny Bravo Shipping Co. ("Johnny Bravo")
|
Marshall Islands
|
M/V Magic Mars
|
76,822
| 2014 |
September 2021 |
27
|
Garfield Shipping Co. ("Garfield")
|
Marshall Islands
|
M/V Magic Phoenix
|
76,636
| 2008 |
October 2021 |
28
|
Drax Shipping Co. ("Drax")
|
Marshall Islands
|
M/T Wonder Bellatrix
|
115,341
| 2006 |
December 2021 |
29
|
Mickey Shipping Co. ("Mickey")
|
Marshall Islands
|
M/V Magic Callisto
|
74,930
| 2012 |
January 2022 |
Company | |
1
|
Tom Shipping Co. ("Tom S")
|
2
|
Jerry Shipping Co. ("Jerry S")
|
3
|
Tom Maritime Ltd. ("Tom M")
|
4
|
Jerry Maritime Ltd. ("Jerry M")
|
1
|
Castor Maritime SCR Corp. (1) |
2. |
Significant Accounting Policies and Recent Accounting Pronouncements:
|
2. |
Significant Accounting Policies and Recent Accounting Pronouncements (continued):
|
3. |
Transactions with Related Parties:
|
Six months ended
June 30,
|
Six months ended
June 30,
| |||||||
2021 |
2022 | |||||||
Management fees-related parties
| ||||||||
Management fees - Pavimar (a)
|
$
|
1,782,000
|
$
|
3,149,400
| ||||
Management fees - Castor Ships (c) | 742,500 | 1,312,250 | ||||||
Included in Voyage expenses
| ||||||||
Charter hire commissions - Castor Ships (c)
|
$
|
364,540
|
$
|
1,557,300
| ||||
Included in Interest and finance costs
| ||||||||
Interest expenses (b) - Thalassa
|
$
|
150,833
|
$
|
-
| ||||
Included in General and administrative expenses | ||||||||
Administration fees - Castor Ships (c) | $ | 600,000 |
$ | 600,000 | ||||
Included in Vessels' cost | ||||||||
Sale & purchase commission - Castor Ships (c) | $ | 2,426,800 |
$ | 235,500 |
December 31,
2021 |
June 30,
2022 | |||||||
Assets:
| ||||||||
Due from Pavimar (a) - non-current | 810,437 | - | ||||||
Liabilities:
| ||||||||
Due to Pavimar (a) - current | 3,909,885 | 671,704 | ||||||
Voyage commissions, management fees and other expenses due to Castor Ships (c) | 597,684 | 542,844 |
3.
|
Transactions with Related Parties (continued):
|
On September 1, 2020, the Company and its shipowning subsidiaries entered into a master management agreement (the "Master Agreement") with Castor Ships. Pursuant to the terms of the Master Agreement each of the Company's shipowning subsidiaries also entered into separate commercial ship management agreements with Castor Ships (the "Commercial Ship Management Agreements" and together with the Master Agreement, the "Castor Ships Management Agreements"). Under the terms of the Castor Ships Management Agreements, Castor Ships managed overall the Company's business and provided commercial ship management, chartering and administrative services, including, but not limited to, securing employment for the Company's fleet, arranging and supervising the vessels' commercial functions, handling all the Company's vessel sale and purchase transactions, undertaking related shipping project and management advisory and support services, as well as other associated services requested from time to time by the Company and its shipowning subsidiaries. In exchange for these services, the Company and its subsidiaries paid Castor Ships (i) a flat quarterly management fee in the amount of $0.3 million for the management and administration of the Company's business, (ii) a daily fee of $250 per vessel for the provision of the services under the Commercial Ship Management Agreements, (iii) a commission rate of 1.25% on all charter agreements arranged by Castor Ships and (iv) a commission of 1% on each vessel sale and purchase transaction.
3.
|
Transactions with Related Parties (continued):
|
On January 4, 2022, the Company's wholly owned subsidiary, Mickey, pursuant to a purchase agreement entered into on December 17, 2021, took delivery of the M/V Magic Callisto, a Japanese-built Panamax dry bulk carrier acquired from a third-party in which a family member of Petros Panagiotidis had a minority interest. The vessel was purchased for $23.55 million. The terms of the transaction were negotiated and approved by a special committee of disinterested and independent directors of the Company. The M/V Magic Callistoacquisition was financed with cash on hand.
4. |
Deferred charges, net:
|
Dry-docking costs | ||||
Balance December 31, 2021
|
$
|
4,862,824
| ||
Additions
|
1,878,818
| |||
Less: Insurance claim recognized
| (550,000 | ) | ||
Amortization
|
(880,144
|
)
| ||
Balance June 30, 2022
|
$
|
5,311,498
|
5. |
Vessels, net/ Advances for vessel acquisition/ Vessel held for sale:
|
Vessel Cost
|
Accumulated depreciation
|
Net Book Value
| ||||||||||
Balance December 31, 2021
|
410,054,143
|
(16,088,214
|
)
|
393,965,929
| ||||||||
- Acquisitions, improvements, and other vessel costs
|
21,619,754
|
-
|
21,619,754
| |||||||||
-Transfers from Advances for vessel acquisition (b) |
2,368,165
| - |
2,368,165
| |||||||||
-Transfer to Vessel held for sale (c) | (10,018,583 | ) | 599,930 | (9,418,653 | ) | |||||||
-Period depreciation | - |
(11,294,074
|
)
|
(11,294,074
|
)
| |||||||
Balance June 30, 2022
|
424,023,479
|
(26,782,358
|
)
|
397,241,121
|
5.
|
Vessels, net/ Advances for vessel acquisition/ Vessel held for sale (continued): |
Vessel Cost
| ||||
Balance December 31, 2021
|
$
|
2,368,165
| ||
-Transfer to Vessels, net (a)
|
(2,368,165
|
)
| ||
Balance June 30, 2022
|
$
|
-
|
6. |
Long-Term Debt:
|
Year/Period Ended
| |||||||||
Loan facilities | Borrowers |
December 31,
2021
|
June 30,
2022
| ||||||
$11.0Million Term Loan Facility (a) |
Spetses- Pikachu
|
$
|
7,800,000
|
$
|
7,000,000
| ||||
$4.5Million Term Loan Facility (b) |
Bistro
|
3,450,000
|
3,150,000
| ||||||
$15.29Million Term Loan Facility (c) |
Pocahontas- Jumaru | 13,877,000 | 12,935,000 | ||||||
$18.0Million Term Loan Facility (d) | Rocket- Gamora | 16,300,000 | 14,600,000 | ||||||
$40.75Million Term Loan Facility (e) |
Liono-Snoopy-Cinderella-Luffy | 39,596,000 | 37,288,000 | ||||||
$23.15Million Term Loan Facility (f) |
Bagheera-Garfield | 22,738,500 | 20,269,500 | ||||||
$55.00Million Term Loan Facility (g)
| Mulan- Johnny Bravo-Songoku-Asterix-Stewie | - | 51,465,000 | ||||||
Total long-term debt
|
$
|
103,761,500
|
$
|
146,707,500
| |||||
Less: Deferred financing costs
|
(1,720,101
|
)
|
(1,984,531
|
)
| |||||
Total long-term debt, net of deferred finance costs
|
$
|
102,041,399
|
144,722,969
| ||||||
Presented: | |||||||||
Current portion of long-term debt
|
$
|
16,688,000
|
$
|
30,250,200
| |||||
Less: Current portion of deferred finance costs
|
(596,277
|
)
|
(749,865
|
)
| |||||
Current portion of long-term debt, net of deferred finance costs
|
$
|
16,091,723
|
$
|
29,500,335
| |||||
Non-Current portion of long-term debt
|
87,073,500
|
116,457,300
| |||||||
Less: Non-Current portion of deferred finance costs
|
(1,123,824
|
)
|
(1,234,666
|
)
| |||||
Non-Current portion of long-term debt, net of deferred finance costs
|
$
|
85,949,676
|
$
|
115,222,634
|
6. |
Long-Term Debt (continued): |
6. |
Long-Term Debt (continued): |
Twelve-month period ending June 30,
|
Amount
| |||
2023 |
$
|
30,250,200
| ||
2024 |
22,389,400
| |||
2025 |
37,527,400
| |||
2026 |
12,180,400
| |||
2027 |
44,360,100 | |||
Total long-term debt
|
$
|
146,707,500
|
7. |
Equity Capital Structure:
|
8. |
Financial Instruments and Fair Value Disclosures:
|
◾ |
Cash and cash equivalents, restricted cash, accounts receivable trade, net, amounts due from/to related party/(ies) and accounts payable:The carrying values reported in the accompanying unaudited interim consolidated balance sheets for those financial instruments are reasonable estimates of their fair values due to their short-term maturity nature. Cash and cash equivalents and restricted cash, current are considered Level 1 items as they represent liquid assets with short term maturities. The carrying value approximates the fair market value for interest bearing cash classified as restricted cash, non-current due to the variable interest nature thereof and is considered Level 1 item of the fair value hierarchy. The carrying value of these instruments is reflected in the accompanying unaudited interim consolidated balance sheets. |
◾ |
Long-term debt: The secured credit facilities discussed in Note 6, have a recorded value which is a reasonable estimate of their fair value due to their variable interest rate and are thus considered Level 2 items in accordance with the fair value hierarchy as LIBOR and SOFR rates are observable at commonly quoted intervals for the full terms of the loans. |
9. |
Commitments and contingencies:
|
Twelve-month period ending June 30,
|
Amount
| |||
2023 |
$
|
44,239,748
| ||
Total
|
$
|
44,239,748 |
10. | Earnings Per Share:
|
10. | Earnings Per Share(continued):
|
Six months ended
June 30,
|
Six months ended
June 30,
| |||||||
2021
|
2022
| |||||||
Net income and comprehensive income |
$
|
7,602,568
|
$
|
47,729,784
| ||||
Weighted average number of common shares outstanding, basic |
73,384,422 |
94,610,088 | ||||||
Earnings per common share, basic | 0.10 | 0.50 | ||||||
Plus: Dilutive effect of warrants |
2,818,587 |
- | ||||||
Weighted average number of common shares outstanding, diluted |
76,203,009 |
94,610,088 | ||||||
Earnings per common share, diluted |
$
|
0.10
|
$
|
0.50
|
11. |
Vessel Revenues:
|
Six months ended
June 30,
|
Six months ended
June 30,
| |||||||
2021
|
2022
| |||||||
Time charter revenues
|
$ |
27,635,487
|
$ |
84,365,727
| ||||
Voyage charter revenues
|
693,471
|
29,592,279
| ||||||
Pool revenues
|
433,678
|
8,180,973
| ||||||
Total Vessel revenues
|
$
|
28,762,636 |
$
|
122,138,979 |
11. |
Vessel Revenues (continued):
|
12. |
Vessel Operating and Voyage Expenses:
|
Six months ended
June 30,
|
Six months ended
June 30,
| |||||||
Voyage expenses
|
2021 |
2022 | ||||||
Brokerage commissions
|
$ |
359,254
|
$ |
1,749,509
| ||||
Brokerage commissions- related party
|
364,540
|
1,557,300
| ||||||
Port & other expenses
|
461,219
|
4,534,279
| ||||||
Bunkers consumption
|
866,090
|
14,811,888
| ||||||
Gain on bunkers
|
(1,109,510
|
)
|
(2,598,568
|
)
| ||||
Total Voyage expenses
|
$
|
941,593
|
$
|
20,054,408
|
Six months ended
June 30,
|
Six months ended
June 30,
| |||||||
Vessel Operating Expenses
|
2021 |
2022 | ||||||
Crew & crew related costs
|
$ |
6,236,241
|
$ |
17,067,166
| ||||
Repairs & maintenance, spares, stores, classification, chemicals & gases, paints, victualling
|
2,650,534
|
8,273,282
| ||||||
Lubricants
|
881,925
|
1,657,165
| ||||||
Insurances
|
850,984
|
2,528,966
| ||||||
Tonnage taxes
|
187,345
|
541,491
| ||||||
Other
|
459,866
|
1,654,134
| ||||||
Total Vessel operating expenses
|
$
|
11,266,895
|
$
|
31,722,204
|
13. | General and Administrative Expenses: |
Six months ended
June 30,
|
Six months ended
June 30,
| |||||||
2021 |
2022 | |||||||
Audit fees
|
$
|
144,624
|
$
|
124,408
| ||||
Non-executive directors' compensation | 24,000 |
36,000 | ||||||
Other professional fees
|
690,731
|
1,300,894
| ||||||
Administration fees-related party (Note 3(c)) | 600,000 |
600,000 | ||||||
Total
|
$
|
1,459,355
|
$
|
2,061,302
|
14. |
Interest and Finance Costs:
|
Six months ended
June 30,
|
Six months ended
June 30,
| |||||||
2021 |
2022 | |||||||
Interest on long-term debt |
$
|
580,018
|
$
|
2,934,893
| ||||
Interest on long-term debt - related party (Note 3 (b))
|
150,833
|
-
| ||||||
Amortization of deferred finance charges
|
125,234
|
436,148
| ||||||
Other finance charges
|
42,918
|
116,512
| ||||||
Total
|
$
|
899,003
|
$
|
3,487,553
|
15.
|
Segment Information:
|
Six months ended June 30,
|
Six months ended June 30,
| |||||||||||||||||||||||||||||||
2021
|
2022
| |||||||||||||||||||||||||||||||
Dry bulk segment
|
Aframax/
LR2 tanker
segment
|
Handysize tanker segment
|
Total
|
Dry bulk segment
|
Aframax/ LR2 tanker segment
|
Handysize tanker segment
|
Total
| |||||||||||||||||||||||||
- Time charter revenues
|
$
|
24,376,925
|
$
|
3,258,562
|
$
|
-
|
$
|
27,635,487
|
$
|
79,529,412
|
$
|
4,836,315
|
$
|
-
|
$
|
84,365,727
| ||||||||||||||||
- Voyage charter revenues
|
-
|
693,471
|
-
|
693,471
|
-
|
29,592,279
|
-
|
29,592,279
| ||||||||||||||||||||||||
- Pool revenues
|
-
|
367,114
|
66,564
|
433,678
|
-
|
3,729,807
|
4,451,166
|
8,180,973
| ||||||||||||||||||||||||
Vessel revenues, net
|
$
|
24,376,925
|
$
|
4,319,147
|
$
|
66,564
|
$
|
28,762,636
|
$
|
79,529,412
|
$
|
38,158,401
|
$
|
4,451,166
|
$
|
122,138,979
| ||||||||||||||||
Voyage expenses (including charges from related party)
|
(14,056
|
)
|
(918,180
|
)
|
(9,357
|
)
|
(941,593
|
)
|
(1,384,566
|
)
|
(18,599,250
|
)
|
(70,592
|
)
|
(20,054,408
|
)
| ||||||||||||||||
Vessel operating expenses
|
(9,035,273
|
)
|
(2,001,614
|
)
|
(230,008
|
)
|
(11,266,895
|
)
|
(20,914,440
|
)
|
(8,701,065
|
)
|
(2,106,699
|
)
|
(31,722,204
|
)
| ||||||||||||||||
Management fees to related parties
|
(1,952,450
|
)
|
(464,950
|
)
|
(107,100
|
)
|
(2,524,500
|
)
|
(3,077,000
|
)
|
(1,076,950
|
)
|
(307,700
|
)
|
(4,461,650
|
)
| ||||||||||||||||
Depreciation and amortization
|
(3,283,740
|
)
|
(710,136
|
)
|
(46,725
|
)
|
(4,040,601
|
)
|
(8,602,774
|
)
|
(2,992,158
|
)
|
(579,286
|
)
|
(12,174,218
|
)
| ||||||||||||||||
Segments operating income/(loss) (1) |
$
|
10,091,406
|
$
|
224,267
|
$
|
(326,626
|
)
|
$
|
9,989,047
|
$
|
45,550,632
|
$
|
6,788,978
|
$
|
1,386,889
|
$
|
53,726,499
| |||||||||||||||
Interest and finance costs
| (623,588) | (117,499) | (811) | (741,898) | (3,068,061) | (381,824) | (6,561) | (3,456,446) | ||||||||||||||||||||||||
Interest income
| 1,864 | - | - | 1,864 | 9,815 | 1,412 | - | 11,227 | ||||||||||||||||||||||||
Foreign exchange (losses)/gains
| (19,676) | (208) | 14,194 | (5,690) | 74,006 | (9,300) | (1,829) | 62,877 | ||||||||||||||||||||||||
Segment Net income/(loss) and comprehensive income/(loss), before taxes
|
$ | 9,450,006 |
$ | 106,560 |
$ | (313,243) |
$ | 9,243,323 |
$ | 42,566,392 |
$ | 6,399,266 |
$ | 1,378,499 |
$ | 50,344,157 | ||||||||||||||||
Less: Unallocated corporate general and administrative expenses
| (1,459,355) | (2,061,302) | ||||||||||||||||||||||||||||||
Less: Corporate Interest and finance costs
| (157,104) | (31,108) | ||||||||||||||||||||||||||||||
Less: Corporate Interest income
| 56,377 | 130,165 | ||||||||||||||||||||||||||||||
Less: Corporate exchange (losses)/ gains
| (6,550) | 4,910 | ||||||||||||||||||||||||||||||
Net income and comprehensive income, before taxes
|
$ | 7,676,691 |
$ | 48,386,822 |
15.
|
Segment Information (continued):
|
As of December 31,
2021
|
As of June 30,
2022
| |||||||
Dry bulk segment
|
$
|
314,407,704
|
$
|
341,043,197
| ||||
Aframax tanker segment
|
104,953,507
|
112,085,251
| ||||||
Handysize tanker segment
|
19,093,379
|
18,273,202
| ||||||
Cash and cash equivalents (1) |
23,950,795
|
80,625,763
| ||||||
Prepaid expenses and other assets (1) |
508,057
|
409,610
| ||||||
Total consolidated assets
|
$
|
462,913,442
|
$
|
552,437,023
|
(1) | Refers to assets of other entities (Castor Maritime Inc. and Castor Maritime SCR Corp.) included in the unaudited interim condensed consolidated financial statements. |
16.
|
Subsequent Events:
|
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Castor Maritime Inc. published this content on 09 August 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 09 August 2022 15:07:12 UTC.