|
|
|
(State or other jurisdiction of incorporation or organization)
|
(Commission file number)
|
(I.R.S. employer identification no.)
|
, |
|
|
(Address of principal executive offices) | (Zip code) |
|
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
|
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
|
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
|
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
Title of each class
|
Trading Symbol(s)
|
Name of exchange on which registered
|
|||
|
|
|
Item 2.02 |
Results of Operations and Financial Condition.
|
Item 9.01 |
Financial Statements and Exhibits.
|
(d)
|
Exhibits
|
Exhibit No.
|
Description
|
99.1
|
Press Release dated February 24, 2021.
|
104
|
Cover Page Interactive Data File (embedded within the Inline XBRL document)
|
GENCO SHIPPING & TRADING LIMITED
|
||
DATE:
|
February 24, 2021
|
/s/ Apostolos Zafolias
|
||
Apostolos Zafolias
|
||
Chief Financial Officer
|
Exhibit No.
|
Description
|
Press Release dated February 24, 2021.
|
|
104
|
Cover Page Interactive Data File (embedded within the Inline XBRL document)
|
• |
We recorded a net loss of $65.9 million for the fourth quarter of 2020
|
o |
Basic and diluted loss per share of $1.57
|
o |
Adjusted net income of $9.3 million or basic and diluted earnings per share of $0.22, excluding $74.2 million in non-cash vessel impairment charges and a $1.0 million loss on sale of vessels
|
• |
Voyage revenues totaled $95.5 million and net revenue1 (voyage revenues minus voyage expenses and charter hire expenses) totaled $57.3
million during Q4 2020
|
o |
Our average daily fleet-wide time charter equivalent, or TCE1, for Q4 2020 was $13,167
|
• |
• |
Recorded adjusted EBITDA of $29.7 million during Q4 20201
|
• |
Genco announced a regular quarterly cash dividend of $0.02 per share for the fourth quarter of 2020
|
o |
Payable on or about March 17, 2021 to all shareholders of record as of March 10, 2021
|
o |
We have now declared cumulative dividends totaling $0.755 per share over the last six quarters
|
• |
Maintained a strong financial position with $179.7 million of cash, including $35.8 million of restricted cash, as of December 31, 2020
|
• |
Acquired three modern, fuel-efficient Ultramaxes in exchange for six non-core, older Handysize vessels (“Vessel Swap”)
|
• |
In addition to the Vessel Swap, we have completed several vessel sales in Q4 2020 and Q1 2021 to date as part of our fleet renewal program
|
o |
During the fourth quarter of 2020 we delivered four vessels (the Genco Bay, Baltic Jaguar, Genco Loire and Genco Normandy) to their new owners.
|
o |
In the first quarter to date, we have delivered three additional vessels to their respective buyers:
|
■ |
The Baltic Panther, a 2009-built Supramax, delivered to buyers on January 4, 2021
|
■ |
The Baltic Hare, a 2009-built Handysize, delivered to buyers on January 15, 2021
|
■ |
The Baltic Cougar, a 2009-built Supramax, delivered to buyers on February 24, 2021
|
• |
We have also agreed to sell our final two 2009-built 53,000 dwt Supramax vessels: the Baltic Leopard and the Genco Lorraine
|
o |
o |
These sales will complete the divestiture portion of our fleet renewal program
|
• |
We signed The Neptune Declaration on Seafarer Wellbeing and Crew Change to address the unprecedented crew change crisis caused by COVID-19
|
o |
In 2020, Genco completed over 100 crew rotations involving approximately 2,000 seafarers
|
• |
Capesize: $17,460
|
• |
Ultramax and Supramax: $11,352
|
• |
Handysize: $8,822
|
• |
Fleet average: $13,167
|
• |
Capesize: $13,021 for 82% of the owned available Q1 2021 days
|
• |
Ultramax and Supramax: $11,102 for 72% of the owned available Q1 2021 days
|
• |
Handysize: $7,681 for 95% of the owned available Q1 2021 days
|
• |
Fleet average: $11,655 for 77% of the owned available Q1 2021 days
|
• |
Continue to build scale in the core Ultramax sector and complement our in-house commercial platform while divesting non-core assets;
|
• |
Reduce the average age of Genco’s fleet;
|
• |
Avoid drydocking and ballast water treatment system costs in 2021 of approximately $3.6 million relating to three of the Handysize vessels included in the transaction;
|
• |
Preserve exposure to the upside of the Capesize sector
|
Q1 2021
|
Q2 2021
|
Q3 2021
|
Q4 2021
|
|||||||||
Estimated Drydock Costs (1)
|
$0.9 million
|
$2.9 million
|
$1.7 million
|
$2.2 million
|
||||||||
Estimated BWTS Costs (2)
|
-
|
$1.3 million
|
$0.9 million
|
$1.8 million
|
||||||||
Estimated Offhire Days (3)
|
20
|
65
|
40
|
45
|
Three Months Ended
December 31, 2020
|
Three Months Ended
December 31, 2019
|
Twelve Months Ended
December 31, 2020
|
Twelve Months Ended
December 31, 2019
|
|||||||||||||
(Dollars in thousands, except share and per share data)
(unaudited)
|
(Dollars in thousands, except share and per share data)
(unaudited)
|
|||||||||||||||
INCOME STATEMENT DATA:
|
||||||||||||||||
Revenues:
|
||||||||||||||||
Voyage revenues
|
$
|
95,495
|
$
|
108,705
|
$
|
355,560
|
$
|
389,496
|
||||||||
Total revenues
|
95,495
|
108,705
|
355,560
|
389,496
|
||||||||||||
Operating expenses:
|
||||||||||||||||
Voyage expenses
|
33,435
|
45,254
|
156,985
|
173,043
|
||||||||||||
Vessel operating expenses
|
21,088
|
23,949
|
87,420
|
96,209
|
||||||||||||
Charter hire expenses
|
4,780
|
3,436
|
10,307
|
16,179
|
||||||||||||
General and administrative expenses (inclusive of nonvested stock amortization expense of $0.5 million,
$0.6 million, $2.0 million and $2.1 million, respectively)
|
4,912
|
6,263
|
21,266
|
24,516
|
||||||||||||
Technical management fees
|
1,645
|
1,857
|
6,961
|
7,567
|
||||||||||||
Depreciation and amortization
|
15,549
|
18,292
|
65,168
|
72,824
|
||||||||||||
Impairment of vessel assets
|
74,225
|
1,315
|
208,935
|
27,393
|
||||||||||||
Loss on sale of vessels
|
1,012
|
779
|
1,855
|
168
|
||||||||||||
Total operating expenses
|
156,646
|
101,145
|
558,897
|
417,899
|
||||||||||||
Operating (loss) income
|
(61,151
|
)
|
7,560
|
(203,337
|
)
|
(28,403
|
)
|
|||||||||
Other (expense) income:
|
||||||||||||||||
Other income (expense)
|
49
|
(22
|
)
|
(851
|
)
|
501
|
||||||||||
Interest income
|
79
|
803
|
1,028
|
4,095
|
||||||||||||
Interest expense
|
(4,898
|
)
|
(7,459
|
)
|
(22,413
|
)
|
(31,955
|
)
|
||||||||
Impairment of right-of-use asset
|
-
|
-
|
-
|
(223
|
)
|
|||||||||||
Other expense
|
(4,770
|
)
|
(6,678
|
)
|
(22,236
|
)
|
(27,582
|
)
|
||||||||
Net (loss) income
|
$
|
(65,921
|
)
|
$
|
882
|
$
|
(225,573
|
)
|
$
|
(55,985
|
)
|
|||||
Net (loss) earnings per share - basic
|
$
|
(1.57
|
)
|
$
|
0.02
|
$
|
(5.38
|
)
|
$
|
(1.34
|
)
|
|||||
Net (loss) earnings per share - diluted
|
$
|
(1.57
|
)
|
$
|
0.02
|
$
|
(5.38
|
)
|
$
|
(1.34
|
)
|
|||||
Weighted average common shares outstanding - basic
|
41,933,926
|
41,832,942
|
41,907,597
|
41,762,893
|
||||||||||||
Weighted average common shares outstanding - diluted
|
41,933,926
|
41,989,553
|
41,907,597
|
41,762,893
|
||||||||||||
December 31, 2020
|
December 31, 2019
|
|||||||
BALANCE SHEET DATA (Dollars in thousands):
|
(unaudited)
|
|||||||
Assets
|
||||||||
Current assets:
|
||||||||
Cash and cash equivalents
|
$
|
143,872
|
$
|
155,889
|
||||
Restricted cash
|
35,492
|
6,045
|
||||||
Due from charterers, net
|
12,991
|
13,701
|
||||||
Prepaid expenses and other current assets
|
10,856
|
10,049
|
||||||
Inventories
|
21,583
|
27,208
|
||||||
Vessels held for sale
|
22,408
|
10,303
|
||||||
Total current assets
|
247,202
|
223,195
|
||||||
Noncurrent assets:
|
||||||||
Vessels, net of accumulated depreciation of
$204,201 and $288,373, respectively
|
919,114
|
1,273,861
|
||||||
Vessels held for exchange
|
38,214
|
-
|
||||||
Deferred drydock, net
|
14,689
|
17,304
|
||||||
Fixed assets, net
|
6,393
|
5,976
|
||||||
Operating lease right-of-use assets
|
6,882
|
8,241
|
||||||
Restricted cash
|
315
|
315
|
||||||
Total noncurrent assets
|
985,607
|
1,305,697
|
||||||
Total assets
|
$
|
1,232,809
|
$
|
1,528,892
|
||||
Liabilities and Equity
|
||||||||
Current liabilities:
|
||||||||
Accounts payable and accrued expenses
|
$ |
22,793
|
$ |
49,604
|
||||
Current portion of long-term debt
|
80,642
|
69,747
|
||||||
Deferred revenue
|
8,421
|
6,627
|
||||||
Current operating lease liabilities
|
1,765
|
1,677
|
||||||
Total current liabilities
|
113,621
|
127,655
|
||||||
Noncurrent liabilities
|
||||||||
Long-term operating lease liabilities
|
8,061
|
9,826
|
||||||
Contract liability
|
7,200
|
-
|
||||||
Long-term debt, net of deferred financing costs of $9,653 and $13,094, respectively
|
358,933
|
412,983
|
||||||
Total noncurrent liabilities
|
374,194
|
422,809
|
||||||
Total liabilities
|
487,815
|
550,464
|
||||||
Commitments and contingencies
|
||||||||
Equity:
|
||||||||
Common stock
|
418
|
417
|
||||||
Additional paid-in capital
|
1,713,406
|
1,721,268
|
||||||
Accumulated deficit
|
(968,830
|
) |
(743,257
|
)
|
||||
Total equity
|
744,994
|
978,428
|
||||||
Total liabilities and equity
|
$
|
1,232,809
|
$
|
1,528,892
|
||||
Twelve Months Ended
December 31, 2020
|
Twelve Months Ended
December 31, 2019
|
|||||||
STATEMENT OF CASH FLOWS (Dollars in thousands):
|
(unaudited)
|
|||||||
Cash flows from operating activities
|
||||||||
Net loss
|
$
|
(225,573
|
)
|
$
|
(55,985
|
)
|
||
Adjustments to reconcile net loss to net cash provided by operating activities:
|
||||||||
Depreciation and amortization
|
65,168
|
72,824
|
||||||
Amortization of deferred financing costs
|
3,903
|
3,788
|
||||||
Right-of-use asset amortization
|
1,359
|
1,246
|
||||||
Amortization of nonvested stock compensation expense
|
2,026
|
2,057
|
||||||
Impairment of right-of-use asset
|
-
|
223
|
||||||
Impairment of vessel assets
|
208,935
|
27,393
|
||||||
Loss on sale of vessels
|
1,855
|
168
|
||||||
Insurance proceeds for protection and indemnity claims
|
569
|
494
|
||||||
Insurance proceeds for loss of hire claims
|
78
|
-
|
||||||
Change in assets and liabilities:
|
||||||||
Decrease in due from charterers
|
710
|
8,605
|
||||||
Increase in prepaid expenses and other current assets
|
(1,938
|
)
|
(789
|
)
|
||||
Decrease in inventories
|
5,625
|
2,340
|
||||||
(Decrease) increase in accounts payable and accrued expenses
|
(17,355
|
)
|
13,172
|
|||||
Increase in deferred revenue
|
1,794
|
223
|
||||||
Decrease in operating lease liabilities
|
(1,677
|
)
|
(1,592
|
)
|
||||
Deferred drydock costs incurred
|
(8,583
|
)
|
(14,641
|
)
|
||||
Net cash provided by operating activities
|
36,896
|
59,526
|
||||||
Cash flows from investing activities
|
||||||||
Purchase of vessels and ballast water treatment systems, including deposits
|
(4,485
|
)
|
(13,960
|
)
|
||||
Purchase of scrubbers (capitalized in Vessels)
|
(10,973
|
)
|
(31,750
|
)
|
||||
Purchase of other fixed assets
|
(4,580
|
)
|
(4,714
|
)
|
||||
Net proceeds from sale of vessels
|
56,993
|
26,963
|
||||||
Insurance proceeds for hull and machinery claims
|
484
|
612
|
||||||
Net cash provided by (used in) investing activities
|
37,439
|
(22,849
|
)
|
|||||
Cash flows from financing activities
|
||||||||
Proceeds from the $133 Million Credit Facility
|
24,000
|
-
|
||||||
Repayments on the $133 Million Credit Facility
|
(9,160
|
)
|
(6,320
|
)
|
||||
Proceeds from the $495 Million Credit Facility
|
11,250
|
21,500
|
||||||
Repayments on the $495 Million Credit Facility
|
(72,686
|
)
|
(70,776
|
)
|
||||
Payment of common stock issuance costs
|
-
|
(105
|
)
|
|||||
Cash dividends paid
|
(9,847
|
)
|
(20,877
|
)
|
||||
Payment of deferred financing costs
|
(462
|
)
|
(611
|
)
|
||||
Net cash used in financing activities
|
(56,905
|
)
|
(77,189
|
)
|
||||
Net increase (decrease) in cash, cash equivalents and restricted cash
|
17,430
|
(40,512
|
)
|
|||||
Cash, cash equivalents and restricted cash at beginning of period
|
162,249
|
202,761
|
||||||
Cash, cash equivalents and restricted cash at end of period
|
$
|
179,679
|
$
|
162,249
|
||||
Three Months Ended
December 31, 2020
|
||||
Adjusted Net Income Reconciliation
|
(unaudited)
|
|||
Net loss
|
$
|
(65,921
|
)
|
|
+ Impairment of vessel assets
|
74,225
|
|||
+ Loss on sale of vessels
|
1,012
|
|||
Adjusted net income
|
$
|
9,316
|
||
Adjusted net earnings per share - basic
|
$
|
0.22
|
||
Adjusted net earnings per share - diluted
|
$
|
0.22
|
||
|
||||
Weighted average common shares outstanding - basic
|
41,933,926
|
|||
Weighted average common shares outstanding - diluted
|
41,933,926
|
|||
|
||||
Weighted average common shares outstanding - basic as per financial statements
|
41,933,926
|
|||
Dilutive effect of stock options
|
-
|
|||
Dilutive effect of restricted stock awards
|
-
|
|||
Weighted average common shares outstanding - diluted as adjusted
|
41,933,926
|
|||
Three Months Ended December 31, 2020
|
Three Months Ended December 31, 2019
|
Twelve Months Ended December 31, 2020
|
Twelve Months Ended December 31, 2019
|
|||||||||||||
EBITDA Reconciliation:
|
(Dollars in thousands)
(unaudited) |
(Dollars in thousands)
(unaudited) |
||||||||||||||
Net (loss) income
|
$
|
(65,921
|
)
|
$
|
882
|
$
|
(225,573
|
)
|
$
|
(55,985
|
)
|
|||||
+ Net interest expense
|
4,819
|
6,656
|
21,385
|
27,860
|
||||||||||||
+ Depreciation and amortization
|
15,549
|
18,292
|
65,168
|
72,824
|
||||||||||||
EBITDA(1)
|
$
|
(45,553
|
)
|
$
|
25,830
|
$
|
(139,020
|
)
|
$
|
44,699
|
||||||
+ Impairment of vessel assets
|
74,225
|
1,315
|
208,935
|
27,393
|
||||||||||||
+ Impairment of right-of-use asset
|
-
|
-
|
-
|
223
|
||||||||||||
+ Loss on sale of vessels
|
1,012
|
779
|
1,855
|
168
|
||||||||||||
Adjusted EBITDA
|
$
|
29,684
|
$
|
27,924
|
$
|
71,770
|
$
|
72,483
|
||||||||
Three Months Ended
|
Twelve Months Ended
|
|||||||||||||||
December 31, 2020
|
December 31, 2019
|
December 31, 2020
|
December 31, 2019
|
|||||||||||||
FLEET DATA:
|
(unaudited)
|
(unaudited)
|
||||||||||||||
Total number of vessels at end of period
|
47
|
55
|
47
|
55
|
||||||||||||
Average number of vessels (2)
|
48.5
|
56.1
|
51.8
|
57.6
|
||||||||||||
Total ownership days for fleet (3)
|
4,462
|
5,161
|
18,957
|
21,023
|
||||||||||||
Total chartered-in days (4)
|
400
|
255
|
1,216
|
1,326
|
||||||||||||
Total available days for fleet (5)
|
4,751
|
5,011
|
19,636
|
20,995
|
||||||||||||
Total available days for owned fleet (6)
|
4,350
|
4,756
|
18,420
|
19,669
|
||||||||||||
Total operating days for fleet (7)
|
4,637
|
4,864
|
19,204
|
20,589
|
||||||||||||
Fleet utilization (8)
|
96.8
|
%
|
96.4
|
%
|
97.1
|
%
|
97.5
|
%
|
||||||||
AVERAGE DAILY RESULTS:
|
||||||||||||||||
Time charter equivalent (9)
|
$
|
13,167
|
$
|
12,619
|
$
|
10,221
|
$
|
10,182
|
||||||||
Daily vessel operating expenses per vessel (10)
|
4,726
|
4,640
|
4,612
|
4,576
|
Three Months Ended
|
Twelve Months Ended
|
|||||||||||||||
December 31, 2020
|
December 31, 2019
|
December 31, 2020
|
December 31, 2019
|
|||||||||||||
FLEET DATA:
|
(unaudited)
|
(unaudited)
|
||||||||||||||
Ownership days
|
||||||||||||||||
Capesize
|
1,564.0
|
1,564.0
|
6,222.0
|
6,205.0
|
||||||||||||
Panamax
|
-
|
163.4
|
64.8
|
736.6
|
||||||||||||
Ultramax
|
560.0
|
552.0
|
2,204.0
|
2,190.0
|
||||||||||||
Supramax
|
1,696.0
|
1,840.0
|
7,176.0
|
7,300.0
|
||||||||||||
Handymax
|
-
|
-
|
-
|
-
|
||||||||||||
Handysize
|
642.0
|
1,041.9
|
3,290.0
|
4,590.9
|
||||||||||||
Total
|
4,462.0
|
5,161.3
|
18,956.8
|
21,022.5
|
||||||||||||
Chartered-in days
|
||||||||||||||||
Capesize
|
-
|
44.4
|
-
|
227.3
|
||||||||||||
Panamax
|
-
|
-
|
-
|
-
|
||||||||||||
Ultramax
|
182.4
|
32.2
|
557.1
|
128.5
|
||||||||||||
Supramax
|
203.7
|
129.4
|
567.2
|
658.7
|
||||||||||||
Handymax
|
-
|
-
|
14.5
|
17.4
|
||||||||||||
Handysize
|
14.3
|
49.1
|
77.4
|
293.9
|
||||||||||||
Total
|
400.4
|
255.2
|
1,216.2
|
1,325.8
|
||||||||||||
Available days (owned & chartered-in fleet)
|
||||||||||||||||
Capesize
|
1,547.7
|
1,315.0
|
6,158.2
|
5,573.9
|
||||||||||||
Panamax
|
-
|
159.1
|
64.4
|
732.0
|
||||||||||||
Ultramax
|
718.2
|
584.2
|
2,657.5
|
2,299.3
|
||||||||||||
Supramax
|
1,865.6
|
1,861.9
|
7,443.1
|
7,547.4
|
||||||||||||
Handymax
|
-
|
-
|
14.5
|
17.4
|
||||||||||||
Handysize
|
619.2
|
1,091.0
|
3,298.2
|
4,824.9
|
||||||||||||
Total
|
4,750.7
|
5,011.3
|
19,635.9
|
20,994.9
|
||||||||||||
Available days (owned fleet)
|
||||||||||||||||
Capesize
|
1,547.7
|
1,270.6
|
6,158.2
|
5,346.6
|
||||||||||||
Panamax
|
-
|
159.1
|
64.4
|
732.0
|
||||||||||||
Ultramax
|
535.8
|
552.0
|
2,100.4
|
2,170.7
|
||||||||||||
Supramax
|
1,661.9
|
1,732.5
|
6,875.9
|
6,888.6
|
||||||||||||
Handymax
|
-
|
-
|
-
|
-
|
||||||||||||
Handysize
|
604.9
|
1,041.9
|
3,220.8
|
4,531.0
|
||||||||||||
Total
|
4,350.3
|
4,756.1
|
18,419.7
|
19,669.0
|
||||||||||||
Operating days
|
||||||||||||||||
Capesize
|
1,521.6
|
1,308.4
|
6,093.0
|
5,525.4
|
||||||||||||
Panamax
|
-
|
132.1
|
60.1
|
697.0
|
||||||||||||
Ultramax
|
712.9
|
568.8
|
2,642.8
|
2,240.1
|
||||||||||||
Supramax
|
1,824.1
|
1,810.9
|
7,338.1
|
7,413.2
|
||||||||||||
Handymax
|
-
|
-
|
14.5
|
17.4
|
||||||||||||
Handysize
|
578.3
|
1,043.4
|
3,055.9
|
4,695.8
|
||||||||||||
Total
|
4,636.9
|
4,863.6
|
19,204.4
|
20,588.9
|
||||||||||||
Fleet utilization
|
||||||||||||||||
Capesize
|
97.3
|
%
|
99.1
|
%
|
98.2
|
%
|
98.4
|
%
|
||||||||
Panamax
|
-
|
80.8
|
%
|
92.7
|
%
|
94.6
|
%
|
|||||||||
Ultramax
|
98.8
|
%
|
97.4
|
%
|
99.3
|
%
|
97.4
|
%
|
||||||||
Supramax
|
96.8
|
%
|
96.0
|
%
|
97.6
|
%
|
97.3
|
%
|
||||||||
Handymax
|
-
|
-
|
100.0
|
%
|
100.0
|
%
|
||||||||||
Handysize
|
93.2
|
%
|
95.6
|
%
|
92.2
|
%
|
97.3
|
%
|
||||||||
Fleet average
|
96.8
|
%
|
96.4
|
%
|
97.1
|
%
|
97.5
|
%
|
||||||||
Average Daily Results:
|
||||||||||||||||
Time Charter Equivalent
|
||||||||||||||||
Capesize
|
$
|
17,460
|
$
|
18,415
|
$
|
14,977
|
$
|
13,181
|
||||||||
Panamax
|
-
|
8,458
|
4,948
|
10,397
|
||||||||||||
Ultramax
|
14,089
|
13,037
|
10,320
|
10,994
|
||||||||||||
Supramax
|
10,514
|
9,983
|
7,957
|
8,939
|
||||||||||||
Handymax
|
-
|
-
|
-
|
-
|
||||||||||||
Handysize
|
8,822
|
10,396
|
5,987
|
8,157
|
||||||||||||
Fleet average
|
13,167
|
12,619
|
10,221
|
10,182
|
||||||||||||
Daily vessel operating expenses
|
||||||||||||||||
Capesize
|
$
|
5,232
|
$
|
5,108
|
$
|
5,106
|
$
|
5,076
|
||||||||
Panamax
|
-
|
4,913
|
3,290
|
4,621
|
||||||||||||
Ultramax
|
4,247
|
4,775
|
4,606
|
4,665
|
||||||||||||
Supramax
|
4,648
|
4,616
|
4,456
|
4,474
|
||||||||||||
Handymax
|
-
|
-
|
-
|
-
|
||||||||||||
Handysize
|
4,105
|
3,865
|
3,994
|
4,016
|
||||||||||||
Fleet average
|
4,726
|
4,640
|
4,612
|
4,576
|
||||||||||||
1) |
EBITDA represents net income (loss) plus net interest expense, taxes, and depreciation and amortization. EBITDA is included because it is used by management and certain investors as a measure of
operating performance. EBITDA is used by analysts in the shipping industry as a common performance measure to compare results across peers. Our management uses EBITDA as a performance measure in consolidating internal financial statements and
it is presented for review at our board meetings. We believe that EBITDA is useful to investors as the shipping industry is capital intensive which often results in significant depreciation and cost of financing. EBITDA presents investors
with a measure in addition to net income to evaluate our performance prior to these costs. EBITDA is not an item recognized by U.S. GAAP (i.e. non-GAAP measure) and should not be considered as an alternative to net income, operating income or
any other indicator of a company's operating performance required by U.S. GAAP. EBITDA is not a measure of liquidity or cash flows as shown in our consolidated statement of cash flows. The definition of EBITDA used here may not be comparable
to that used by other companies.
|
2) |
Average number of vessels is the number of vessels that constituted our fleet for the relevant period, as measured by the sum of the number of days each vessel was part of our fleet during the period
divided by the number of calendar days in that period.
|
3) |
We define ownership days as the aggregate number of days in a period during which each vessel in our fleet has been owned by us. Ownership days are an indicator of the size of our fleet over a period
and affect both the amount of revenues and the amount of expenses that we record during a period.
|
4) |
We define chartered-in days as the aggregate number of days in a period during which we chartered-in third-party vessels.
|
5) |
We define available days as the number of our ownership days and chartered-in days less the aggregate number of days that our vessels are off-hire due to familiarization upon acquisition, repairs or
repairs under guarantee, vessel upgrades or special surveys. Companies in the shipping industry generally use available days to measure the number of days in a period during which vessels should be capable of generating revenues.
|
6) |
We define available days for the owned fleet as available days less chartered-in days.
|
7) |
We define operating days as the number of our total available days in a period less the aggregate number of days that the vessels are off-hire due to unforeseen circumstances. The shipping industry
uses operating days to measure the aggregate number of days in a period during which vessels actually generate revenues.
|
8) |
We calculate fleet utilization as the number of our operating days during a period divided by the number of ownership days plus chartered-in days less drydocking days.
|
9) |
We define TCE rates as our voyage revenues less voyage expenses and charter hire expenses, divided by the number of the available days of our owned fleet during the period. TCE rate is a common shipping industry performance measure used primarily to compare daily earnings generated by vessels on time charters with daily earnings generated by vessels on voyage
charters, because charterhire rates for vessels on voyage charters are generally not expressed in per-day amounts while charterhire rates for vessels on time charters generally are expressed in such amounts. Our estimated TCE for the first
quarter of 2021 is based on fixtures booked to date. Actual results may vary based on the actual duration of voyages and other factors. Accordingly, we are unable to provide, without unreasonable efforts, a reconciliation of estimated TCE for
the first quarter to the most comparable financial measures presented in accordance with GAAP.
|
Three Months Ended December 31, 2020
|
Three Months Ended December 31, 2019
|
Twelve Months Ended December 31, 2020
|
Twelve Months Ended December 31, 2019
|
|||||||||||||
Total Fleet
|
(unaudited)
|
(unaudited)
|
||||||||||||||
Voyage revenues (in thousands)
|
$
|
95,495
|
$
|
108,705
|
$
|
355,560
|
$
|
389,496
|
||||||||
Voyage expenses (in thousands)
|
33,435
|
45,254
|
156,985
|
173,043
|
||||||||||||
Charter hire expenses (in thousands)
|
4,780
|
3,436
|
10,307
|
16,179
|
||||||||||||
57,280
|
60,015
|
188,268
|
200,274
|
|||||||||||||
Total available days for owned fleet
|
4,350
|
4,756
|
18,420
|
19,669
|
||||||||||||
Total TCE rate
|
$
|
13,167
|
$
|
12,619
|
$
|
10,221
|
$
|
10,182
|
||||||||
10) |
We define daily vessel operating expenses to include crew wages and related costs, the cost of insurance expenses relating to repairs and maintenance (excluding drydocking), the costs of spares and
consumable stores, tonnage taxes and other miscellaneous expenses. Daily vessel operating expenses are calculated by dividing vessel operating expenses by ownership days for the relevant period.
|
Vessel
|
DWT
|
Year Built
|
||
Capesize
|
||||
1
|
Genco Resolute
|
181,060
|
2015
|
|
2
|
Genco Endeavour
|
181,060
|
2015
|
|
3
|
Genco Constantine
|
180,183
|
2008
|
|
4
|
Genco Augustus
|
180,151
|
2007
|
|
5
|
Genco Liberty
|
180,032
|
2016
|
|
6
|
Genco Defender
|
180,021
|
2016
|
|
7
|
Baltic Lion
|
179,185
|
2012
|
|
8
|
Genco Tiger
|
179,185
|
2011
|
|
9
|
Genco London
|
177,833
|
2007
|
|
10
|
Baltic Wolf
|
177,752
|
2010
|
|
11
|
Genco Titus
|
177,729
|
2007
|
|
12
|
Baltic Bear
|
177,717
|
2010
|
|
13
|
Genco Tiberius
|
175,874
|
2007
|
|
14
|
Genco Commodus
|
169,098
|
2009
|
|
15
|
Genco Hadrian
|
169,025
|
2008
|
|
16
|
Genco Maximus
|
169,025
|
2009
|
|
17
|
Genco Claudius
|
169,001
|
2010
|
|
Ultramax
|
||||
1
|
Baltic Hornet
|
63,574
|
2014
|
|
2
|
Genco Freedom
|
63,498
|
2015
|
|
3
|
Genco Vigilant
|
63,498
|
2015
|
|
4
|
Baltic Mantis
|
63,470
|
2015
|
|
5
|
Baltic Scorpion
|
63,462
|
2015
|
|
6
|
Genco Magic
|
63,446
|
2014
|
|
7
|
Baltic Wasp
|
63,389
|
2015
|
|
8
|
Genco Weatherly
|
61,556
|
2014
|
|
9
|
Genco Columbia
|
60,294
|
2016
|
Supramax
|
||||
1
|
Genco Hunter
|
58,729
|
2007
|
|
2
|
Genco Auvergne
|
58,020
|
2009
|
|
3
|
Genco Rhone
|
58,018
|
2011
|
|
4
|
Genco Ardennes
|
58,018
|
2009
|
|
5
|
Genco Brittany
|
58,018
|
2010
|
|
6
|
Genco Languedoc
|
58,018
|
2010
|
|
7
|
Genco Pyrenees
|
58,018
|
2010
|
|
8
|
Genco Bourgogne
|
58,018
|
2010
|
|
9
|
Genco Aquitaine
|
57,981
|
2009
|
|
10
|
Genco Warrior
|
55,435
|
2005
|
|
11
|
Genco Predator
|
55,407
|
2005
|
|
12
|
Genco Provence
|
55,317
|
2004
|
|
13
|
Genco Picardy
|
55,257
|
2005
|
|
14
|
Baltic Leopard
|
53,447
|
2009
|
|
15
|
Genco Lorraine
|
53,417
|
2009
|