Pangaea Logistics : PANL Q1 2021 Earnings Presentation

FIRST QUARTER 2021

EARNINGS CONFERENCE CALL PRESENTATION

1

SAFE HARBOR

This presentation includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding future financial performance, future growth and future acquisitions. These statements are based on Pangaea's and managements' current expectations or beliefs and are subject to uncertainty and changes in circumstances. Actual results may vary materially from those expressed or implied by the statements herein due to changes in economic, business, competitive and/or regulatory factors, and other risks and uncertainties affecting the operation of Pangaea's business. These risks, uncertainties and contingencies include: business conditions; weather and natural disasters; changing interpretations of GAAP; outcomes of government reviews; inquiries and investigations and related litigation; continued compliance with government regulations; legislation or regulatory environments; requirements or changes adversely affecting the business in which Pangaea is engaged; fluctuations in customer demand; management of rapid growth; intensity of competition from other providers of logistics and shipping services; general economic conditions; geopolitical events and regulatory changes; and other factors set forth in Pangaea's filings with the Securities and Exchange Commission and the filings of its predecessors. The information set forth herein should be read in light of such risks. Further, investors should keep in mind that certain of Pangaea's financial results are unaudited and do not conform to SEC Regulation S-X and as a result such information may fluctuate materially depending on many factors. Accordingly, Pangaea's financial results in any particular period may not be indicative of future results. Pangaea is not under any obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, changes in assumptions or otherwise.

2

BUSINESS HIGHLIGHTS

Q1‐2021 Results

Consistent Performance

•Adjusted EBITDA of $11.7 million •Net income of $5.9 million

•$42.0 million cash, restricted cash and cash equivalents

Fleet

Working Fleet

•17 drybulk ships and one barge in owned and controlled fleet at March 31, 2021

Operations

Extensive and varied experience

•Operating 52 vessels on average during Q1 2021

•6.3 million tons carried; 112 voyages performed for 46 clients

1. Adjusted EBITDA is a non‐GAAP measure and represents income or loss from operations before depreciation and amortization, loss on sale and

leaseback of vessel, share‐based compensation, and when applicable, loss on impairment of vessels and certain non‐recurring items.	3

DRIVERS OF PERFORMANCE

Customer Focus: Long‐term, fixed contract employment and recurring business with new and longstanding customers

Targeted Business: Specialty tonnage provides superior returns - 2% premium over average market rates in Q1 - 2021

Rate Environment: The Baltic Dry Index average decreased in the fourth quarter compared to prior year.

2500	Baltic Dry Index (1)
2000
1500
1000
500
0

1. Per reported indices

4

FINANCIAL HIGHLIGHTS

1st Quarter Highlights

• Net income attributable to Pangaea Logistics Solutions Ltd. was $5.9 million for three months ended March 31, 2021 as compared to $6.8 million of net loss for the same period of 2020.
• • Non‐GAAP adjusted net income attributable to Pangaea Logistics Solutions Ltd. of $3.8 million as compared to adjusted net loss of $4.0 million for the three months ended March 31, 2020.
• Diluted net income per share was $0.13 for three months ended March 31, 2021 as compared to loss per share of $0.16 for the same period of 2020.
• Pangaea's TCE rates were $16,524 for the three months ended March 31, 2021 and $10,508 for the three months ended March 31, 2020.
• Adjusted EBITDA of $11.7 million for the three months ended March 31, 2021, as compared to $2.9 million for the same period of 2020.
• At the end of the quarter, Pangaea had $42.0 million in cash and cash equivalents.

Subsequent Business Update

• On May 10, 2021, the Company's Board of Directors declared a quarterly cash dividend of $0.035 per common share, to be paid on June 15, 2021, to all shareholders of record as of June 1, 2021.
• On May 11, 2021, the Company signed a memorandum of agreement to acquire a 2013 Tsuneishi‐built 58,000 dwt dry bulk vessel for $17.8 million.

5