GLOBAL SHIP LEASE, INC.
|
||
(registrant)
|
||
Dated: November 9, 2023
|
By:
|
/s/ Ian J. Webber
|
Ian J. Webber
|
||
Chief Executive Officer
|
Three
months ended
September 30, 2023
|
Three
months ended
September 30, 2022
|
Nine
months ended
September 30, 2023
|
Nine
months ended
September 30, 2022
|
|||||||||||||
Operating Revenue (1)
|
174,530
|
172,536
|
495,901
|
480,623
|
||||||||||||
Operating Income
|
94,157
|
101,725
|
264,364
|
269,051
|
||||||||||||
Net Income (2)
|
82,687
|
89,611
|
230,299
|
210,768
|
||||||||||||
Adjusted EBITDA (3)
|
121,850
|
111,406
|
334,922
|
298,363
|
||||||||||||
Normalized Net Income (3)
|
82,356
|
87,491
|
231,895
|
220,970
|
Three months ended
|
Nine months ended
|
Year ended
|
||||||||||||||||||||||||||||||
Days
|
Sep 30,
2023 |
Sep 30,
2022 |
Sep 30,
2023 |
Sep 30,
2022 |
Dec 31,
2022 |
Dec 31,
2021 |
Dec 31,
2020 |
Dec 31,
2019 |
||||||||||||||||||||||||
Ownership days
|
6,256
|
5,980
|
18,029
|
17,745
|
23,725
|
19,427
|
16,044
|
14,326
|
||||||||||||||||||||||||
Planned offhire - scheduled drydock
|
(191
|
)
|
(47
|
)
|
(627
|
)
|
(356
|
)
|
(581
|
)
|
(752
|
)
|
(687
|
)
|
(537
|
)
|
||||||||||||||||
Unplanned offhire
|
(33
|
)
|
(102
|
)
|
(207
|
)
|
(338
|
)
|
(460
|
)
|
(260
|
)
|
(95
|
)
|
(105
|
)
|
||||||||||||||||
Idle time
|
(22
|
)
|
nil |
(42
|
)
|
(30
|
)
|
(30
|
)
|
(88
|
)
|
(338
|
)
|
(164
|
)
|
|||||||||||||||||
Operating days
|
6,010
|
5,831
|
17,153
|
17,021
|
22,654
|
18,327
|
14,924
|
13,520
|
||||||||||||||||||||||||
Utilization
|
96.1
|
%
|
97.5
|
%
|
95.1
|
%
|
95.9
|
%
|
95.5
|
%
|
94.3
|
%
|
93.0
|
%
|
94.4
|
%
|
Vessel Name
|
Capacity
in TEUs
|
Lightweight
(tons)
|
Year
Built
|
Charterer
|
Earliest Charter
Expiry Date
|
Latest Charter
Expiry Date (2) |
Daily Charter
Rate $
|
CMA CGM Thalassa
|
11,040
|
38,577
|
2008
|
CMA CGM
|
4Q25
|
2Q26
|
47,200
|
ZIM Norfolk (ex UASC Al Khor) (1)
|
9,115
|
31,764
|
2015
|
ZIM
|
2Q27
|
4Q27
|
65,000
|
Anthea Y (1)
|
9,115
|
31,890
|
2015
|
COSCO (3)
|
3Q25
|
4Q25 (3)
|
38,000 (3)
|
ZIM Xiamen (ex Maira XL)(1)
|
9,115
|
31,820
|
2015
|
ZIM
|
3Q27
|
4Q27
|
65,000
|
MSC Tianjin
|
8,603
|
34,325
|
2005
|
MSC
|
2Q24
|
3Q24
|
19,000
|
MSC Qingdao (4)
|
8,603
|
34,609
|
2004
|
MSC
|
2Q24
|
2Q25
|
23,000
|
GSL Ningbo
|
8,603
|
34,340
|
2004
|
MSC
|
3Q27
|
4Q27 (5)
|
Footnote (5)
|
GSL Alexandra
|
8,544
|
37,777
|
2004
|
Confidential
|
3Q25
|
3Q26
|
Footnote (6)
|
GSL Sofia
|
8,544
|
37,777
|
2003
|
Confidential
|
3Q25
|
3Q26
|
Footnote (6)
|
GSL Effie
|
8,544
|
37,777
|
2003
|
Confidential
|
3Q25
|
4Q26
|
Footnote (6)
|
GSL Lydia
|
8,544
|
37,777
|
2003
|
Confidential
|
2Q25
|
3Q26
|
Footnote (6)
|
GSL Eleni
|
7,847
|
29,261
|
2004
|
Maersk
|
3Q24
|
1Q25 (7)
|
16,500 (7)
|
GSL Kalliopi
|
7,847
|
29,105
|
2004
|
Maersk
|
3Q24
|
4Q24 (7)
|
18,900 (7)
|
GSL Grania
|
7,847
|
29,190
|
2004
|
Maersk
|
3Q24
|
1Q25 (7)
|
17,750 (7)
|
Mary (1)
|
6,927
|
23,424
|
2013
|
CMA CGM (8)
|
4Q28
|
1Q31 (8)
|
25,910 (8)
|
Kristina (1)
|
6,927
|
23,421
|
2013
|
CMA CGM (8)
|
3Q29
|
4Q31 (8)
|
25,910 (8)
|
Katherine (1)
|
6,927
|
23,403
|
2013
|
CMA CGM (8)
|
1Q29
|
2Q31 (8)
|
25,910 (8)
|
Alexandra (1)
|
6,927
|
23,348
|
2013
|
CMA CGM (8)
|
2Q29
|
3Q31 (8)
|
25,910 (8)
|
Alexis (1)
|
6,882
|
23,919
|
2015
|
CMA CGM (8)
|
2Q29
|
3Q31 (8)
|
25,910 (8)
|
Olivia I (1)
|
6,882
|
23,864
|
2015
|
CMA CGM (8)
|
2Q29
|
2Q31 (8)
|
25,910 (8)
|
GSL Christen
|
6,840
|
27,954
|
2002
|
Maersk
|
4Q23
|
4Q23
|
35,000
|
GSL Nicoletta
|
6,840
|
28,070
|
2002
|
Maersk
|
3Q24
|
1Q25
|
35,750
|
CMA CGM Berlioz
|
6,621
|
26,776
|
2001
|
CMA CGM
|
4Q25
|
2Q26
|
37,750
|
Agios Dimitrios (4)
|
6,572
|
24,931
|
2011
|
MSC
|
4Q23
|
3Q24
|
20,000
|
GSL Vinia
|
6,080
|
23,737
|
2004
|
Maersk
|
3Q24
|
1Q25
|
13,250
|
GSL Christel Elisabeth
|
6,080
|
23,745
|
2004
|
Maersk
|
2Q24
|
1Q25
|
13,250
|
GSL Dorothea
|
5,992
|
24,243
|
2001
|
Maersk
|
3Q24
|
3Q26
|
18,600 (9)
|
GSL Arcadia
|
6,008
|
24,858
|
2000
|
Maersk
|
2Q24
|
1Q26
|
18,600 (9)
|
GSL Violetta
|
6,008
|
24,873
|
2000
|
Maersk
|
4Q24
|
4Q25
|
18,600 (9)
|
GSL Maria
|
6,008
|
24,414
|
2001
|
Maersk
|
4Q24
|
1Q27
|
18,600 (9)
|
GSL MYNY
|
6,008
|
24,873
|
2000
|
Maersk
|
3Q24
|
1Q26
|
18,600 (9)
|
GSL Melita
|
6,008
|
24,848
|
2001
|
Maersk
|
3Q24
|
3Q26
|
18,600 (9)
|
GSL Tegea
|
5,992
|
24,308
|
2001
|
Maersk
|
3Q24
|
3Q26
|
18,600 (9)
|
Tasman
|
5,936
|
25,010
|
2000
|
Maersk
|
4Q23
|
2Q24
|
20,000
|
ZIM Europe
|
5,936
|
25,010
|
2000
|
ZIM
|
1Q24
|
2Q24
|
24,250
|
Ian H
|
5,936
|
25,128
|
2000
|
ZIM
|
2Q24
|
4Q24
|
32,500
|
GSL Tripoli
|
5,470
|
22,259
|
2009
|
Maersk
|
4Q24
|
4Q27
|
36,500 (10)
|
GSL Kithira
|
5,470
|
22,108
|
2009
|
Maersk
|
4Q24
|
1Q28
|
36,500 (10)
|
GSL Tinos
|
5,470
|
22,067
|
2010
|
Maersk
|
4Q24
|
4Q27
|
36,500 (10)
|
GSL Syros
|
5,470
|
22,098
|
2010
|
Maersk
|
4Q24
|
4Q27
|
36,500 (10)
|
Dolphin II
|
5,095
|
20,596
|
2007
|
OOCL
|
1Q25
|
3Q25
|
53,500
|
Orca I
|
5,095
|
20,633
|
2006
|
Maersk
|
2Q24
|
4Q25
|
21,000 (11)
|
CMA CGM Alcazar
|
5,089
|
20,087
|
2007
|
CMA CGM
|
3Q26
|
1Q27
|
35,500
|
GSL Château d’If
|
5,089
|
19,994
|
2007
|
CMA CGM
|
4Q26
|
1Q27
|
35,500
|
GSL Susan
|
4,363
|
17,309
|
2008
|
CMA CGM
|
3Q27
|
1Q28
|
Footnote (12)
|
CMA CGM Jamaica
|
4,298
|
17,272
|
2006
|
CMA CGM
|
1Q28
|
2Q28
|
Footnote (12)
|
CMA CGM Sambhar
|
4,045
|
17,429
|
2006
|
CMA CGM
|
1Q28
|
2Q28
|
Footnote (12)
|
CMA CGM America
|
4,045
|
17,428
|
2006
|
CMA CGM
|
1Q28
|
2Q28
|
Footnote (12)
|
GSL Rossi
|
3,421
|
16,420
|
2012
|
ZIM
|
1Q26
|
3Q26
|
38,875 (13)
|
GSL Alice
|
3,421
|
16,543
|
2014
|
CMA CGM
|
2Q25
|
2Q25
|
20,500 (14)
|
GSL Eleftheria
|
3,404
|
16,642
|
2013
|
Maersk
|
3Q25
|
4Q25
|
37,975
|
GSL Melina
|
3,404
|
16,703
|
2013
|
Hapag-Lloyd
|
2Q24
|
3Q24
|
21,000
|
GSL Valerie
|
2,824
|
11,971
|
2005
|
ZIM
|
1Q25
|
3Q25
|
35,600 (15)
|
Matson Molokai
|
2,824
|
11,949
|
2007
|
Matson
|
2Q25
|
3Q25
|
36,500
|
GSL Lalo
|
2,824
|
11,950
|
2006
|
MSC
|
1Q24
|
2Q24
|
17,500
|
GSL Mercer
|
2,824
|
11,970
|
2007
|
ONE
|
4Q24
|
2Q25
|
35,750
|
Athena
|
2,762
|
13,538
|
2003
|
Hapag-Lloyd
|
2Q24
|
2Q24
|
21,500
|
GSL Elizabeth
|
2,741
|
11,507
|
2006
|
Unifeeder
|
1Q24
|
2Q24
|
15,250
|
Beethoven (tbr GSL Chloe)
|
2,546
|
12,212
|
2012
|
ONE
|
4Q24
|
1Q25
|
33,000
|
GSL Maren
|
2,546
|
12,243
|
2014
|
Swire
|
1Q24
|
2Q24
|
18,200 (16)
|
Maira
|
2,506
|
11,453
|
2000
|
Hapag-Lloyd
|
3Q24
|
4Q24
|
17,750 (17)
|
Nikolas
|
2,506
|
11,370
|
2000
|
CMA CGM
|
1Q24
|
1Q24
|
16,750
|
Newyorker
|
2,506
|
11,463
|
2001
|
CMA CGM
|
1Q24
|
3Q24
|
20,700
|
Manet
|
2,272
|
11,727
|
2001
|
OOCL
|
4Q24
|
2Q25
|
32,000
|
Keta
|
2,207
|
11,731
|
2003
|
CMA CGM
|
1Q25
|
1Q25
|
25,000
|
Julie
|
2,207
|
11,731
|
2002
|
Confidential
|
2Q25
|
3Q25
|
Footnote (18)
|
Kumasi
|
2,207
|
11,791
|
2002
|
Wan Hai
|
1Q25
|
2Q25
|
38,000
|
Akiteta
|
2,207
|
11,731
|
2002
|
OOCL
|
4Q24
|
1Q25
|
32,000
|
(1)
|
Modern design, high reefer capacity, fuel-efficient vessel.
|
(2) |
In many instances charterers have the option to extend a charter beyond the nominal latest expiry date by the amount of time that the vessel was off hire during the course of that charter. This additional
charter time (“Offhire Extension”) is computed at the end of the initially contracted charter period. The Latest Charter Expiry Dates shown in this table have been adjusted to reflect offhire accrued up to September 30, 2023 plus estimated
offhire scheduled to occur during the remaining lifetimes of the respective charters. However, as actual offhire can only be calculated at the end of each charter, in some cases actual Offhire Extensions – if invoked by charterers – may
exceed the Latest Charter Expiry Dates indicated.
|
(3) |
Anthea Y was forward fixed to a leading liner operator for a period of 24 months +/- 30 days, with the new charter scheduled to commence upon expiry of the existing charter in 4Q 2023. The new charter is
expected to generate annualized Adjusted EBITDA of approximately $11.9 million.
|
(4) |
MSC Qingdao & Agios Dimitrios are fitted with Exhaust Gas Cleaning Systems (“scrubbers”).
|
(5) |
GSL Ningbo was chartered to MSC at $22,500 per day to 3Q 2023. Thereafter, the charter has been extended by 48 to 52 months, at a rate expected to generate annualized Adjusted EBITDA of approximately $16.5
million.
|
(6) |
GSL Alexandra, GSL Sofia, GSL Effie and GSL Lydia delivered in 2Q 2023. Contract cover for each vessel is for a minimum firm period 24 months from the date each vessel is delivered, with charterers holding one
year extension options. The vessels are expected to generate aggregate Adjusted EBITDA of approximately $76.6 million over the minimum firm period, increasing to $95.3 million if all options are exercised.
|
(7) |
GSL Eleni (delivered 2Q 2019) is chartered for five years; GSL Kalliopi (delivered 4Q 2019) and GSL Grania (delivered 3Q 2019) are chartered for three years plus two successive periods of one year each, at the
option of the charterer. The first of these extension options was exercised for both vessels in 2Q 2022 and commenced for GSL Grania and for GSL Kalliopi in 3Q and in 4Q 2022, respectively. The second of these extension options was exercised
for both vessels in 2Q 2023 and commenced for both vessels in 3Q 2023. During the option periods the charter rates for GSL Kalliopi and GSL Grania are $18,900 per day and $17,750 per day respectively.
|
(8) |
Mary, Kristina, Katherine, Alexandra, Alexis, Olivia I were forward fixed to Hapag-Lloyd for five years, followed by two periods of 12 months each at the option of the charterer. The new charters are scheduled
to commence as each of the existing charters expire, on a staggered basis, between approximately late 2023 and late 2024. The charters are expected to generate average annualized Adjusted EBITDA of approximately $13.1 million per ship.
|
(9) |
GSL Maria, GSL Violetta, GSL Arcadia, GSL MYNY, GSL Melita, GSL Tegea and GSL Dorothea. Contract cover for each ship is for a firm period of at least three years from the date each vessel was delivered, with
charterers holding a one-year extension option on each charter (at a rate of $12,900 per day), followed by a second option (at a rate of $12,700 per day) with the period determined by – and terminating prior to – each vessel’s 25th year
drydocking & special survey.
|
(10) |
GSL Tripoli, GSL Kithira, GSL Tinos, and GSL Syros. Ultra-high reefer ships of 5,470 TEU each. Contract cover on each ship is for a firm period of three years, from their delivery dates in 2021, at a rate of
$36,500 per day, with a period of an additional three years (at $17,250 per day) at charterers’ option.
|
(11) |
Orca I. Chartered at $21,000 per day through to the median expiry of the charter in 2Q 2024; thereafter the charterer has the option in 1Q 2024 to charter the vessel for a further 12-14 months at the same rate
from 3Q 2024.
|
(12) |
GSL Susan, CMA CGM Jamaica, CMA CGM Sambhar and CMA CGM America. In July 2022, these four vessels were each forward fixed for five years +/- 45 days at charter rates expected to generate average annualized
Adjusted EBITDA of approximately $11.2 million per vessel. The new charter for GSL Susan commenced in 4Q 2022, while the charters for the remaining three vessels commenced in late 1Q 2023.
|
(13) |
GSL Rossi. Chartered at an average rate of $38,875 per day-$42,750 for the first 18 months, $38,000 for the next 18 months and $35,000 for the remaining period.
|
(14) |
GSL Alice. Chartered at $20,500 per day for a period of 24 months +/- 30 days at the option of charterer. The new charter commenced in May 2023.
|
(15) |
GSL Valerie. Chartered at an average rate of $35,600 per day-$40,000 for the first 12 months, $36,000 for the next 12 months and $32,000 for the remaining period.
|
(16) |
GSL Maren. Charter extended to Westwood (Swire) for a period of 11 to 14 months, commenced at the end of 1Q 2023 at a rate of $17,200 per day for the first 2 months and for the remaining period at a rate of
$18,200 per day.
|
(17) |
Maira. Chartered to 4Q 2023 at $17,750 per day; thereafter, extended at $16,000 per day to 3Q 2024 / 4Q 2024.
|
(18) |
Julie. Forward fixed to a leading liner company for a period of 24 months +/- 30 days at the option of the charterer. The new charter commenced in 3Q 2023, after the vessel’s scheduled drydock. The new charter
is expected to generate annualized Adjusted EBITDA of approximately $2.0 million.
|
A. |
Adjusted EBITDA
|
Three
months
ended
September 30,
2023
|
Three
months
ended
September 30,
2022
|
Nine
months
ended
September 30,
2023
|
Nine
months
ended
September 30,
2022
|
|||||||||
Net income available to Common Shareholders
|
82,687
|
89,611
|
230,299
|
210,768
|
||||||||
Adjust:
|
Depreciation and amortization
|
23,980
|
20,522
|
67,336
|
60,647
|
|||||||
|
Amortization of intangible liabilities
|
(1,518
|
) |
(9,305
|
) |
(6,563
|
) |
(32,725
|
)
|
|||
|
Fair value adjustment on derivative asset
|
(331
|
) |
(4,660
|
) |
1,037
|
(11,308
|
)
|
||||
|
Interest income
|
(2,501
|
) |
(680
|
) |
(6,895
|
) |
(1,195
|
)
|
|||
|
Interest expense
|
11,615
|
16,142
|
33,623
|
64,884
|
|||||||
|
Share based compensation
|
2,505
|
2,222
|
7,684
|
7,882
|
|||||||
|
Earnings allocated to preferred shares
|
2,384
|
2,384
|
7,152
|
7,152
|
|||||||
|
Income tax
|
-
|
(50
|
) |
5
|
(50
|
)
|
|||||
|
Effect from straight lining time charter modifications
|
3,029
|
(4,780
|
) |
1,244
|
(7,692
|
)
|
|||||
Adjusted EBITDA
|
121,850
|
111,406
|
334,922
|
298,363
|
B. |
Normalized net income
|
Three
months
ended
September 30,
2023
|
Three
months
ended
September 30,
2022
|
Nine
months
ended
September 30,
2023
|
Nine
months
ended
September 30,
2022
|
|||||||||
Net income available to Common Shareholders
|
82,687
|
89,611
|
230,299
|
210,768
|
||||||||
Adjust:
|
Fair value adjustment on derivative assets
|
(331
|
)
|
(4,660
|
)
|
1,037
|
(11,308
|
)
|
||||
Premium paid on redemption of 2024 Notes
|
-
|
1,780
|
-
|
2,350
|
||||||||
Accelerated write off of deferred financing charges related to redemption of 2024 Notes
|
-
|
2,104
|
-
|
2,104
|
||||||||
Accelerated write off of premium related to redemption of 2024 Notes
|
-
|
(1,344
|
)
|
-
|
(1,344
|
)
|
||||||
Accelerated write off of deferred financing charges related to full repayment of Hellenic Credit Facility
|
-
|
-
|
-
|
298
|
||||||||
Accelerated write off of deferred financing charges related to full repayment of Hayfin Credit Facility
|
-
|
-
|
-
|
2,822
|
||||||||
Prepayment fee on repayment of Hayfin Credit Facility
|
-
|
-
|
-
|
11,229
|
||||||||
Prepayment fee on repayment of Blue Ocean Credit Facility
|
-
|
-
|
-
|
3,968
|
||||||||
Accelerated write off of deferred financing charges related to full repayment of Blue Ocean Credit Facility
|
-
|
-
|
-
|
83
|
||||||||
Accelerated write off of deferred financing charges related to partial repayment of HCOB-CACIB Credit Facility
|
-
|
-
|
108
|
-
|
||||||||
Forfeit of certain stock-based compensation awards
|
-
|
-
|
451
|
-
|
||||||||
Normalized net income
|
82,356
|
87,491
|
231,895
|
220,970
|
C. |
Normalized Earnings per Share
|
Three
months
ended
September 30,
2023
|
Three
months
ended
September 30,
2022
|
Nine
months
ended
September 30,
2023
|
Nine
months
ended
September 30,
2022
|
|||||||||||||
EPS as reported (USD)
|
2.34
|
2.44
|
6.49
|
5.75
|
||||||||||||
Normalized net income adjustments-Class A common shares (in thousands USD)
|
(331
|
)
|
(2,120
|
)
|
1,596
|
10,202
|
||||||||||
Weighted average number of Class A Common shares
|
35,355,554
|
36,790,836
|
35,473,382
|
36,649,874
|
||||||||||||
Adjustment on EPS (USD)
|
(0.01
|
)
|
(0.06
|
)
|
0.05
|
0.28
|
||||||||||
Normalized EPS (USD)
|
2.33
|
2.38
|
6.54
|
6.03
|
• |
future operating or financial results;
|
• |
expectations regarding the strength of future growth of the container shipping industry, including the rates of annual demand and supply growth;
|
• |
geo-political events such as the conflict in Ukraine and the recent escalation of the Israel-Gaza conflict;
|
• |
the length and severity of the ongoing outbreak of the novel coronavirus (COVID-19) around the world and governmental responses thereto;
|
• |
the financial condition of our charterers and their ability and willingness to pay charterhire to us in accordance with the charters and our expectations regarding the same;
|
• |
the overall health and condition of the U.S. and global financial markets;
|
• |
our financial condition and liquidity, including our ability to obtain additional financing to fund capital expenditures, vessel acquisitions and for other general corporate purposes and our ability to meet our financial covenants and
repay our borrowings;
|
• |
our expectations relating to dividend payments and expectations of our ability to make such payments including the availability of cash and the impact of constraints under our loan agreements;
|
• |
future acquisitions, business strategy and expected capital spending;
|
• |
operating expenses, availability of key employees, crew, number of off-hire days, drydocking and survey requirements, costs of regulatory compliance, insurance costs and general and administrative costs;
|
• |
general market conditions and shipping industry trends, including charter rates and factors affecting supply and demand;
|
• |
assumptions regarding interest rates and inflation;
|
• |
changes in the rate of growth of global and various regional economies;
|
• |
risks incidental to vessel operation, including piracy, discharge of pollutants and vessel accidents and damage including total or constructive total loss;
|
• |
estimated future capital expenditures needed to preserve our capital base;
|
• |
our expectations about the availability of vessels to purchase, the time that it may take to construct new vessels, or the useful lives of our vessels;
|
• |
our continued ability to enter into or renew charters including the re-chartering of vessels on the expiry of existing charters, or to secure profitable employment for our vessels in the spot market;
|
• |
our ability to realize expected benefits from our acquisition of secondhand vessels;
|
• |
our ability to capitalize on our management’s and directors’ relationships and reputations in the containership industry to its advantage;
|
• |
changes in governmental and classification societies’ rules and regulations or actions taken by regulatory authorities;
|
• |
expectations about the availability of insurance on commercially reasonable terms;
|
• |
changes in laws and regulations (including environmental rules and regulations);
|
• |
potential liability from future litigation; and
|
• |
other important factors described from time to time in the reports we file with the U.S. Securities and Exchange Commission (the “SEC”).
|
|
September 30, 2023
|
December 31, 2022
|
||||||
ASSETS
|
||||||||
CURRENT ASSETS
|
||||||||
Cash and cash equivalents
|
$
|
98,086
|
$
|
120,130
|
||||
Time deposits
|
14,000
|
8,550
|
||||||
Restricted cash
|
62,208
|
28,363
|
||||||
Accounts receivable, net
|
3,737
|
3,684
|
||||||
Inventories
|
14,114
|
12,237
|
||||||
Prepaid expenses and other current assets
|
42,025
|
33,765
|
||||||
Derivative asset
|
29,580
|
29,645
|
||||||
Due from related parties
|
617
|
673
|
||||||
Total current assets
|
$
|
264,367
|
$
|
237,047
|
||||
NON - CURRENT ASSETS
|
||||||||
Vessels in operation
|
$
|
1,700,935
|
$
|
1,623,307
|
||||
Advances for vessels' acquisitions and other additions
|
5,872
|
4,881
|
||||||
Deferred charges, net
|
73,468
|
54,663
|
||||||
Other non - current assets
|
26,220
|
31,022
|
||||||
Derivative asset, net of current portion
|
27,275
|
33,858
|
||||||
Restricted cash, net of current portion
|
93,049
|
121,437
|
||||||
Total non - current assets
|
1,926,819
|
1,869,168
|
||||||
TOTAL ASSETS
|
$
|
2,191,186
|
$
|
2,106,215
|
||||
LIABILITIES AND SHAREHOLDERS' EQUITY
|
||||||||
CURRENT LIABILITIES
|
||||||||
Accounts payable
|
$
|
19,304
|
$
|
22,755
|
||||
Accrued liabilities
|
29,248
|
36,038
|
||||||
Current portion of long-term debt
|
200,626
|
189,832
|
||||||
Current portion of deferred revenue
|
41,106
|
12,569
|
||||||
Due to related parties
|
516
|
572
|
||||||
Total current liabilities
|
$
|
290,800
|
$
|
261,766
|
||||
LONG-TERM LIABILITIES
|
||||||||
Long - term debt, net of current portion and deferred financing costs
|
$
|
661,471
|
$
|
744,557
|
||||
Intangible liabilities-charter agreements
|
7,179
|
14,218
|
||||||
Deferred revenue, net of current portion
|
90,178
|
119,183
|
||||||
Total non - current liabilities
|
758,828
|
877,958
|
||||||
Total liabilities
|
$
|
1,049,628
|
$
|
1,139,724
|
||||
Commitments and Contingencies
|
-
|
-
|
||||||
SHAREHOLDERS' EQUITY
|
||||||||
Class A common shares - authorized 214,000,000 shares with a $0.01 par value 35,192,029 shares issued and outstanding (2022 – 35,990,288 shares)
|
$
|
351
|
$
|
359
|
||||
Series B Preferred Shares - authorized 104,000 shares with a $0.01 par value 43,592 shares issued and outstanding (2022 – 43,592 shares)
|
-
|
-
|
||||||
Additional paid in capital
|
675,635
|
688,262
|
||||||
Retained earnings
|
436,698
|
246,390
|
||||||
Accumulated other comprehensive income
|
28,874
|
31,480
|
||||||
Total shareholders' equity
|
1,141,558
|
966,491
|
||||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
|
$
|
2,191,186
|
$
|
2,106,215
|
Three months ended September 30,
|
Nine months ended September 30,
|
|||||||||||||||
2023
|
2022
|
2023
|
2022
|
|||||||||||||
OPERATING REVENUES
|
||||||||||||||||
Time charter revenue (include related party revenues of $nil and $nil for each of the three month periods ended September 30, 2023 and 2022, respectively, and $nil and $66,929 for each of the nine month periods
ended September 30, 2023 and 2022, respectively)
|
$
|
173,012
|
$
|
163,231
|
$
|
489,338
|
$
|
447,898
|
||||||||
Amortization of intangible liabilities-charter agreements (includes related party amortization of intangible liabilities-charter agreements of $nil and $nil for the three month periods ended September 30, 2023
and 2022, respectively, and $nil and $5,385 for each of the nine month periods ended September 30, 2023 and 2022, respectively)
|
1,518
|
9,305
|
6,563
|
32,725
|
||||||||||||
Total Operating Revenues
|
174,530
|
172,536
|
495,901
|
480,623
|
||||||||||||
|
||||||||||||||||
OPERATING EXPENSES:
|
||||||||||||||||
Vessel operating expenses (include related party vessel operating expenses of $5,171 and $4,077 for each of the three month periods ended September 30, 2023 and 2022, respectively, and $14,072 and $12,686 for
each of the nine month periods ended September 30, 2023 and 2022, respectively)
|
46,099
|
40,997
|
132,268
|
121,883
|
||||||||||||
Time charter and voyage expenses (includes related party time charter and voyage expenses of $2,139 and $1,696 for the three month periods ended September 30, 2023 and 2022, respectively, and $5,801 and $4,646
for each of the nine month periods ended September 30, 2023 and 2022, respectively)
|
6,046
|
5,136
|
18,185
|
14,594
|
||||||||||||
Depreciation and amortization
|
23,980
|
20,522
|
67,336
|
60,647
|
||||||||||||
General and administrative expenses
|
4,248
|
4,156
|
13,748
|
14,448
|
||||||||||||
Operating Income
|
94,157
|
101,725
|
264,364
|
269,051
|
||||||||||||
NON-OPERATING INCOME/(EXPENSES)
|
||||||||||||||||
Interest income
|
2,501
|
680
|
6,895
|
1,195
|
||||||||||||
Interest and other finance expenses
|
(11,615
|
)
|
(16,142
|
)
|
(33,623
|
)
|
(64,884
|
)
|
||||||||
Other (expenses)/income, net
|
(303
|
)
|
1,022
|
857
|
1,200
|
|||||||||||
Fair value adjustment on derivative asset
|
331
|
4,660
|
(1,037
|
)
|
11,308
|
|||||||||||
Total non-operating expenses
|
(9,086
|
)
|
(9,780
|
)
|
(26,908
|
)
|
(51,181
|
)
|
||||||||
Income before income taxes
|
85,071
|
91,945
|
237,456
|
217,870
|
||||||||||||
Income taxes
|
-
|
50
|
(5
|
)
|
50
|
|||||||||||
Net Income
|
85,071
|
91,995
|
237,451
|
217,920
|
||||||||||||
Earnings allocated to Series B Preferred Shares
|
(2,384
|
)
|
(2,384
|
)
|
(7,152
|
)
|
(7,152
|
)
|
||||||||
Net Income available to Common Shareholders
|
$
|
82,687
|
$
|
89,611
|
$
|
230,299
|
$
|
210,768
|
Three months ended September 30,
|
Nine months ended September 30,
|
|||||||||||||||
2023
|
2022
|
2023
|
2022
|
|||||||||||||
Cash flows from operating activities:
|
||||||||||||||||
Net income
|
$
|
85,071
|
$
|
91,995
|
$
|
237,451
|
$
|
217,920
|
||||||||
Adjustments to reconcile net income to net cash provided by operating activities:
|
||||||||||||||||
Depreciation and amortization
|
$
|
23,980
|
$
|
20,522
|
$
|
67,336
|
$
|
60,647
|
||||||||
Amounts reclassified from other comprehensive income
|
96
|
-
|
(80
|
)
|
-
|
|||||||||||
Amortization of derivative asset's premium
|
1,149
|
370
|
3,085
|
499
|
||||||||||||
Amortization of deferred financing costs
|
1,279
|
3,658
|
4,115
|
9,751
|
||||||||||||
Amortization of original issue premium on repurchase of notes
|
-
|
436
|
-
|
762
|
||||||||||||
Amortization of intangible liabilities-charter agreements
|
(1,518
|
)
|
(9,305
|
)
|
(6,563
|
)
|
(32,725
|
)
|
||||||||
Fair value adjustment on derivative asset
|
(331
|
)
|
(4,660
|
)
|
1,037
|
(11,308
|
)
|
|||||||||
Prepayment fees on debt repayment
|
-
|
-
|
-
|
15,197
|
||||||||||||
Stock-based compensation expense
|
2,505
|
2,222
|
7,684
|
7,882
|
||||||||||||
Changes in operating assets and liabilities:
|
||||||||||||||||
Increase in accounts receivable and other assets
|
$
|
(1,049
|
)
|
$
|
(7,821
|
)
|
$
|
(3,511
|
)
|
$
|
(14,005
|
)
|
||||
(Increase)/decrease in inventories
|
(715
|
)
|
398
|
(1,877
|
)
|
(145
|
)
|
|||||||||
Increase in derivative asset
|
-
|
-
|
-
|
(15,370
|
)
|
|||||||||||
Increase/(decrease) in accounts payable and other liabilities
|
5,394
|
(1,045
|
)
|
(5,274
|
)
|
(2,060
|
)
|
|||||||||
(Increase)/decrease in related parties' balances, net
|
(745
|
)
|
364
|
-
|
2,547
|
|||||||||||
(Decrease)/increase in deferred revenue
|
(12,708
|
)
|
18,431
|
(468
|
)
|
19,038
|
||||||||||
Unrealized foreign exchange (gain)/loss
|
(1
|
)
|
(2
|
)
|
-
|
3
|
||||||||||
Net cash provided by operating activities
|
$
|
102,407
|
$
|
115,563
|
$
|
302,935
|
$
|
258,633
|
||||||||
Cash flows from investing activities:
|
||||||||||||||||
Acquisition of vessels
|
$
|
-
|
$
|
-
|
$
|
(123,300
|
)
|
$
|
-
|
|||||||
Cash paid for vessel expenditures
|
(8,018
|
)
|
(1,204
|
)
|
(12,569
|
)
|
(4,429
|
)
|
||||||||
Advances for vessel acquisitions and other additions
|
(841
|
)
|
(511
|
)
|
(6,786
|
)
|
(2,835
|
)
|
||||||||
Cash paid for drydockings
|
(15,086
|
)
|
(4,463
|
)
|
(33,386
|
)
|
(19,716
|
)
|
||||||||
Net proceeds from sale of vessel
|
-
|
-
|
5,940
|
-
|
||||||||||||
Time deposits acquired
|
(1,400
|
)
|
(9,600
|
)
|
(5,450
|
)
|
(9,500
|
)
|
||||||||
Net cash used in investing activities
|
$
|
(25,345
|
)
|
$
|
(15,778
|
)
|
$
|
(175,551
|
)
|
$
|
(36,480
|
)
|
||||
Cash flows from financing activities:
|
||||||||||||||||
Repurchase of 2024 Notes, including premium
|
$
|
-
|
$
|
(90,801
|
)
|
$
|
-
|
$
|
(119,871
|
)
|
||||||
Proceeds from drawdown of credit facilities
|
-
|
-
|
76,000
|
60,000
|
||||||||||||
Proceeds from 2027 Secured Notes
|
-
|
-
|
-
|
350,000
|
||||||||||||
Repayment of credit facilities/sale and leaseback
|
(50,996
|
)
|
(37,162
|
)
|
(151,267
|
)
|
(117,080
|
)
|
||||||||
Repayment of refinanced debt, including prepayment fees
|
-
|
-
|
-
|
(276,671
|
)
|
|||||||||||
Deferred financing costs paid
|
-
|
(391
|
)
|
(1,140
|
)
|
(9,655
|
)
|
|||||||||
Cancellation of Class A common shares
|
(3,441
|
)
|
(9,985
|
)
|
(20,421
|
)
|
(14,910
|
)
|
||||||||
Class A common shares-dividend paid
|
(13,300
|
)
|
(13,856
|
)
|
(39,991
|
)
|
(36,949
|
)
|
||||||||
Series B preferred shares-dividend paid
|
(2,384
|
)
|
(2,384
|
)
|
(7,152
|
)
|
(7,152
|
)
|
||||||||
Net cash used in financing activities
|
$
|
(70,121
|
)
|
$
|
(154,579
|
)
|
$
|
(143,971
|
)
|
$
|
(172,288
|
)
|
||||
Net increase/(decrease) in cash and cash equivalents and restricted cash
|
6,941
|
(54,794
|
)
|
(16,587
|
)
|
49,865
|
||||||||||
Cash and cash equivalents and restricted cash at beginning of the period
|
246,402
|
300,301
|
269,930
|
195,642
|
||||||||||||
Cash and cash equivalents and restricted cash at end of the period
|
$
|
253,343
|
$
|
245,507
|
$
|
253,343
|
$
|
245,507
|
||||||||
Supplementary Cash Flow Information:
|
||||||||||||||||
Cash paid for interest
|
17,683
|
9,173
|
51,012
|
34,470
|
||||||||||||
Cash received from interest rate caps
|
8,464
|
2,993
|
24,380
|
3,247
|
||||||||||||
Non-cash investing activities:
|
||||||||||||||||
Unpaid capitalized expenses
|
5,298
|
7,334
|
5,298
|
7,334
|
||||||||||||
Unpaid drydocking expenses
|
10,622
|
7,396
|
10,622
|
7,396
|
||||||||||||
Non-cash financing activities:
|
||||||||||||||||
Unrealized (loss)/gain on derivative assets
|
(380
|
)
|
12,349
|
(5,611
|
)
|
35,263
|
Index
|
Page
|
INTERIM UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS AS AT SEPTEMBER 30, 2023 AND DECEMBER 31, 2022
|
F-1
|
INTERIM UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2023 AND 2022
|
F-2
|
INTERIM UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2023 AND 2022
|
F-3
|
INTERIM UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2023 AND 2022
|
F-4
|
INTERIM UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2023 AND 2022
|
F-5
|
NOTES TO THE INTERIM UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
|
F-7
|
As of
|
||||||||||||
Note
|
September 30,
2023
|
December 31,
2022
|
||||||||||
ASSETS
|
||||||||||||
CURRENT ASSETS
|
||||||||||||
Cash and cash equivalents
|
$
|
98,086
|
$
|
120,130
|
||||||||
Time deposits
|
14,000
|
8,550
|
||||||||||
Restricted cash
|
62,208
|
28,363
|
||||||||||
Accounts receivable, net
|
3,737
|
3,684
|
||||||||||
Inventories
|
14,114
|
12,237
|
||||||||||
Prepaid expenses and other current assets
|
42,025
|
33,765
|
||||||||||
Derivative asset
|
5
|
29,580
|
29,645
|
|||||||||
Due from related parties
|
7
|
617
|
673
|
|||||||||
Total current assets
|
$
|
264,367
|
$
|
237,047
|
||||||||
NON - CURRENT ASSETS
|
||||||||||||
Vessels in operation
|
3
|
$
|
1,700,935
|
$
|
1,623,307
|
|||||||
Advances for vessels acquisitions and other additions
|
3
|
5,872
|
4,881
|
|||||||||
Deferred charges, net
|
73,468
|
54,663
|
||||||||||
Other non-current assets
|
2g
|
|
26,220
|
31,022
|
||||||||
Derivative asset, net of current portion
|
5
|
27,275
|
33,858
|
|||||||||
Restricted cash, net of current portion
|
93,049
|
121,437
|
||||||||||
Total non - current assets
|
1,926,819
|
1,869,168
|
||||||||||
TOTAL ASSETS
|
$
|
2,191,186
|
$
|
2,106,215
|
||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY
|
||||||||||||
CURRENT LIABILITIES
|
||||||||||||
Accounts payable
|
$
|
19,304
|
$
|
22,755
|
||||||||
Accrued liabilities
|
29,248
|
36,038
|
||||||||||
Current portion of long - term debt
|
6
|
200,626
|
189,832
|
|||||||||
Current portion of deferred revenue
|
41,106
|
12,569
|
||||||||||
Due to related parties
|
7
|
516
|
572
|
|||||||||
Total current liabilities
|
$
|
290,800
|
$
|
261,766
|
||||||||
LONG - TERM LIABILITIES
|
||||||||||||
Long - term debt, net of current portion and deferred financing costs
|
6
|
$
|
661,471
|
$
|
744,557
|
|||||||
Intangible liabilities - charter agreements
|
4
|
7,179
|
14,218
|
|||||||||
Deferred revenue, net of current portion
|
90,178
|
119,183
|
||||||||||
Total non - current liabilities
|
758,828
|
877,958
|
||||||||||
Total liabilities
|
$
|
1,049,628
|
$
|
1,139,724
|
||||||||
Commitments and Contingencies
|
8
|
-
|
-
|
|||||||||
SHAREHOLDERS' EQUITY
|
||||||||||||
Class A common shares - authorized 214,000,000 shares with a $0.01 par value 35,192,029 shares issued and outstanding (2022 - 35,990,288 shares)
|
9
|
$
|
351
|
$
|
359
|
|||||||
Series B Preferred Shares - authorized 104,000 shares with a $0.01 par value 43,592 shares issued and outstanding (2022 - 43,592 shares)
|
9
|
-
|
-
|
|||||||||
Additional paid in capital
|
675,635
|
688,262
|
||||||||||
Retained Earnings
|
436,698
|
246,390
|
||||||||||
Accumulated other comprehensive income
|
28,874
|
31,480
|
||||||||||
Total shareholders' equity
|
1,141,558
|
966,491
|
||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
|
$
|
2,191,186
|
$
|
2,106,215
|
Nine months ended
September 30,
|
||||||||||||
Note
|
2023
|
2022
|
||||||||||
OPERATING REVENUES
|
||||||||||||
Time charter revenues (include related party revenues of $nil and $66,929 for each of the periods ended September 30, 2023 and 2022, respectively)
|
$
|
489,338
|
$
|
447,898
|
||||||||
Amortization of intangible liabilities-charter agreements (includes related party amortization of intangible liabilities-charter agreements of $nil and $5,385 for each of the periods ended September 30, 2023
and 2022, respectively)
|
4
|
6,563
|
32,725
|
|||||||||
Total Operating Revenues
|
495,901
|
480,623
|
||||||||||
OPERATING EXPENSES
|
||||||||||||
Vessel operating expenses (include related party vessel operating expenses of $14,072 and $12,686 for each of the periods ended September 30, 2023 and 2022, respectively)
|
7
|
132,268
|
121,883
|
|||||||||
Time charter and voyage expenses (include related party time charter and voyage expenses of $5,801 and $4,646 for each of the periods ended September 30, 2023 and 2022, respectively)
|
7
|
18,185
|
14,594
|
|||||||||
Depreciation and amortization
|
3
|
67,336
|
60,647
|
|||||||||
General and administrative expenses
|
13,748
|
14,448
|
||||||||||
Operating Income
|
264,364
|
269,051
|
||||||||||
NON-OPERATING INCOME/(EXPENSES)
|
||||||||||||
Interest income
|
6,895
|
1,195
|
||||||||||
Interest and other finance expenses (include acceleration of deferred financing costs of $108 and prepayment fees, acceleration of deferred financing costs and premium of $22,938 for each of the periods ended
September 30, 2023 and 2022, respectively)
|
(33,623
|
)
|
(64,884
|
)
|
||||||||
Other income, net
|
857
|
1,200
|
||||||||||
Fair value adjustment on derivative asset
|
5
|
(1,037
|
)
|
11,308
|
||||||||
Total non-operating expenses
|
(26,908
|
)
|
(51,181
|
)
|
||||||||
Income before income taxes
|
237,456
|
217,870
|
||||||||||
Income taxes
|
(5
|
)
|
50
|
|||||||||
Net Income
|
237,451
|
217,920
|
||||||||||
Earnings allocated to Series B Preferred Shares
|
9
|
(7,152
|
)
|
(7,152
|
)
|
|||||||
Net Income available to Common Shareholders
|
$
|
230,299
|
$
|
210,768
|
||||||||
Earnings per Share
|
||||||||||||
Weighted average number of Class A common shares outstanding
|
||||||||||||
Basic
|
11
|
35,473,382
|
36,649,874
|
|||||||||
Diluted
|
11
|
36,071,632
|
37,305,744
|
|||||||||
Net Earnings per Class A common share
|
||||||||||||
Basic
|
11
|
$
|
6.49
|
$
|
5.75
|
|||||||
Diluted
|
11
|
$
|
6.38
|
$
|
5.65
|
Nine months ended
September 30,
|
||||||||||||
Note
|
2023
|
2022
|
||||||||||
Net Income available to Common Shareholders
|
$
|
230,299
|
$
|
210,768
|
||||||||
Other comprehensive income:
|
||||||||||||
Cash Flow Hedge:
|
||||||||||||
Unrealized (loss)/gain on derivative assets
|
5
|
(5,611
|
)
|
35,263
|
||||||||
Amortization of interest rate cap premium
|
3,085
|
499
|
||||||||||
Amounts reclassified to earnings
|
(80
|
)
|
-
|
|||||||||
Total Other Comprehensive (Loss)/Income
|
(2,606
|
)
|
35,762
|
|||||||||
Total Comprehensive Income
|
$
|
227,693
|
$
|
246,530
|
Nine months ended
September 30,
|
||||||||||||
Note
|
2023
|
2022
|
||||||||||
Cash flows from operating activities:
|
||||||||||||
Net Income
|
237,451
|
217,920
|
||||||||||
Adjustments to reconcile net income to net cash provided by operating activities:
|
||||||||||||
Depreciation and amortization
|
3
|
67,336
|
60,647
|
|||||||||
Amounts reclassified from other comprehensive income
|
(80
|
)
|
-
|
|||||||||
Amortization of derivative asset’s premium
|
3,085
|
499
|
||||||||||
Amortization of deferred financing costs
|
6
|
4,115
|
9,751
|
|||||||||
Amortization of original issue premium on repurchase of notes
|
-
|
762
|
||||||||||
Amortization of intangible liabilities - charter agreements
|
4
|
(6,563
|
)
|
(32,725
|
)
|
|||||||
Fair value adjustment on derivative asset
|
5
|
1,037
|
(11,308
|
)
|
||||||||
Prepayment fees on debt repayment
|
6
|
-
|
15,197
|
|||||||||
Stock-based compensation expense
|
10
|
7,684
|
7,882
|
|||||||||
Changes in operating assets and liabilities:
|
||||||||||||
Increase in accounts receivable and other assets
|
(3,511
|
)
|
(14,005
|
)
|
||||||||
Increase in inventories
|
(1,877
|
)
|
(145
|
)
|
||||||||
Increase in derivative asset
|
5
|
-
|
(15,370
|
)
|
||||||||
Decrease in accounts payable and other liabilities
|
(5,274
|
)
|
(2,060
|
)
|
||||||||
Decrease in related parties' balances, net
|
7
|
-
|
2,547
|
|||||||||
(Decrease)/increase in deferred revenue
|
(468
|
)
|
19,038
|
|||||||||
Unrealized foreign exchange loss
|
-
|
3
|
||||||||||
Net cash provided by operating activities
|
$
|
302,935
|
$
|
258,633
|
||||||||
Cash flows from investing activities:
|
||||||||||||
Acquisition of vessels
|
(123,300
|
)
|
-
|
|||||||||
Cash paid for vessel expenditures
|
(12,569
|
)
|
(4,429
|
)
|
||||||||
Advances for vessels acquisitions and other additions
|
(6,786
|
)
|
(2,835
|
)
|
||||||||
Cash paid for drydockings
|
(33,386
|
)
|
(19,716
|
)
|
||||||||
Net proceeds from sale of vessel
|
5,940
|
-
|
||||||||||
Time deposits acquired
|
(5,450
|
)
|
(9,500
|
)
|
||||||||
Net cash used in investing activities
|
$
|
(175,551
|
)
|
$
|
(36,480
|
)
|
||||||
Cash flows from financing activities:
|
||||||||||||
Repurchase of 2024 Notes, including premium
|
6
|
-
|
(119,871
|
)
|
||||||||
Proceeds from drawdown of credit facilities
|
6
|
76,000
|
60,000
|
|||||||||
Proceeds from 2027 Secured Notes
|
6
|
-
|
350,000
|
|||||||||
Repayment of credit facilities/sale and leaseback
|
6
|
(151,267
|
)
|
(117,080
|
)
|
|||||||
Repayment of refinanced debt, including prepayment fees
|
6
|
-
|
(276,671
|
)
|
||||||||
Deferred financing costs paid
|
(1,140
|
)
|
(9,655
|
)
|
||||||||
Cancellation of Class A common shares
|
9
|
(20,421
|
)
|
(14,910
|
)
|
|||||||
Class A common shares - dividend paid
|
9
|
(39,991
|
)
|
(36,949
|
)
|
|||||||
Series B Preferred Shares - dividend paid
|
9
|
(7,152
|
)
|
(7,152
|
)
|
|||||||
Net cash used in financing activities
|
$
|
(143,971
|
)
|
$
|
(172,288
|
)
|
||||||
Net (decrease)/increase in cash and cash equivalents and restricted cash
|
(16,587
|
)
|
49,865
|
|||||||||
Cash and cash equivalents and restricted cash at beginning of the period
|
269,930
|
195,642
|
||||||||||
Cash and cash equivalents and restricted cash at end of the period
|
$
|
253,343
|
$
|
245,507
|
||||||||
Supplementary Cash Flow Information:
|
||||||||||||
Cash paid for interest
|
$
|
51,012
|
$
|
34,470
|
||||||||
Cash received from interest rate caps
|
24,380
|
3,247
|
||||||||||
Non-cash investing activities:
|
||||||||||||
Unpaid capitalized expenses
|
5,298
|
7,334
|
||||||||||
Unpaid drydocking expenses
|
10,622
|
7,396
|
||||||||||
Non-cash financing activities:
|
||||||||||||
Unrealized (loss)/gain on derivative assets
|
(5,611
|
)
|
35,263
|
Number of
Common Shares
at par value $0.01
|
Number of Series B
Preferred Shares
at par value $0.01
|
Common
Shares
|
Series B
Preferred
Shares
|
Series C
Preferred
Shares
|
Additional
paid-in
capital
|
Retained
Earnings
|
Accumulated
Other
Comprehensive
Income
|
Total
Shareholders'
Equity
|
||||||||||||||||||||||||||||
Balance at December 31, 2021
|
36,464,109
|
43,592
|
$
|
365
|
$
|
-
|
$
|
-
|
$
|
698,463
|
$
|
13,498
|
$
|
227
|
$
|
712,553
|
||||||||||||||||||||
Stock-based compensation expense (Note 10)
|
447,283
|
-
|
4
|
-
|
-
|
3,426
|
-
|
-
|
3,430
|
|||||||||||||||||||||||||||
Other comprehensive income
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
17,283
|
17,283
|
|||||||||||||||||||||||||||
Net Income for the period
|
-
|
-
|
-
|
-
|
-
|
-
|
70,190
|
-
|
70,190
|
|||||||||||||||||||||||||||
Series B Preferred Shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
-
|
(2,384
|
)
|
-
|
(2,384
|
)
|
|||||||||||||||||||||||||
Class A common shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
-
|
(9,257
|
)
|
-
|
(9,257
|
)
|
|||||||||||||||||||||||||
Balance at March 31, 2022
|
36,911,392
|
43,592
|
$
|
369
|
$
|
-
|
$
|
-
|
$
|
701,889
|
$
|
72,047
|
$
|
17,510
|
$
|
791,815
|
||||||||||||||||||||
Stock-based compensation expense (Note 10)
|
-
|
-
|
-
|
-
|
-
|
2,231
|
-
|
-
|
2,231
|
|||||||||||||||||||||||||||
Cancellation of Class A common shares (Note 9)
|
(184,684
|
)
|
-
|
(2
|
)
|
-
|
-
|
(4,923
|
)
|
-
|
-
|
(4,925
|
)
|
|||||||||||||||||||||||
Other comprehensive income
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
5,760
|
5,760
|
|||||||||||||||||||||||||||
Net Income for the period
|
-
|
-
|
-
|
-
|
-
|
-
|
55,734
|
-
|
55,734
|
|||||||||||||||||||||||||||
Series B Preferred Shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
-
|
(2,384
|
)
|
-
|
(2,384
|
)
|
|||||||||||||||||||||||||
Class A common shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
-
|
(13,836
|
)
|
-
|
(13,836
|
)
|
|||||||||||||||||||||||||
Balance at June 30, 2022
|
36,726,708
|
43,592
|
$
|
367
|
$
|
-
|
$
|
-
|
$
|
699,196
|
$
|
111,562
|
$
|
23,270
|
$
|
834,395
|
||||||||||||||||||||
Stock-based compensation expense (Note 10)
|
134.892
|
-
|
1
|
-
|
-
|
2,221
|
-
|
-
|
2,222
|
|||||||||||||||||||||||||||
Cancellation of Class A common shares (Note 9)
|
(568,835
|
)
|
-
|
(6
|
)
|
-
|
-
|
(9,979
|
)
|
-
|
-
|
(9,985
|
)
|
|||||||||||||||||||||||
Other comprehensive income
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
12,719
|
12,719
|
|||||||||||||||||||||||||||
Net Income for the period
|
-
|
-
|
-
|
-
|
-
|
-
|
91,995
|
-
|
91,995
|
|||||||||||||||||||||||||||
Series B Preferred Shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
-
|
(2,384
|
)
|
-
|
(2,384
|
)
|
|||||||||||||||||||||||||
Class A common shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
-
|
(13.856
|
)
|
-
|
(13,856
|
)
|
|||||||||||||||||||||||||
Balance at September 30, 2022
|
36,292,765
|
43,592
|
$
|
362
|
$
|
-
|
$
|
-
|
691,438
|
$
|
187,317
|
$
|
35,989
|
$
|
915,106
|
|
Number of
Common Shares
at par value $0.01
|
Number of Series B
Preferred Shares
at par value $0.01
|
Common
Shares
|
Series B
Preferred
Shares
|
Series C
Preferred
Shares
|
Additional
paid-in
capital
|
Retained
Earnings
|
Accumulated Other Comprehensive Income
|
Total
Shareholders'
Equity
|
|||||||||||||||||||||||||||
Balance at December 31, 2022
|
35,990,288
|
43,592
|
$
|
359
|
$
|
-
|
$
|
-
|
$
|
688,262
|
$
|
246,390
|
$
|
31,480
|
$
|
966,491
|
||||||||||||||||||||
Stock-based compensation expense (Note 10)
|
82,944
|
-
|
1
|
-
|
-
|
2,673
|
-
|
-
|
2,674
|
|||||||||||||||||||||||||||
Cancellation of Class A common shares (Note 9)
|
(582,178
|
)
|
-
|
(6
|
)
|
-
|
-
|
(9,982
|
)
|
-
|
-
|
(9,988
|
)
|
|||||||||||||||||||||||
Issuance of Series B Preferred shares, net of offering costs (Note 9)
|
-
|
-
|
-
|
-
|
-
|
102
|
-
|
-
|
102
|
|||||||||||||||||||||||||||
Other comprehensive loss
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(7,182
|
)
|
(7,182
|
)
|
|||||||||||||||||||||||||
Net Income for the period
|
-
|
-
|
-
|
-
|
-
|
-
|
74,604
|
-
|
74,604
|
|||||||||||||||||||||||||||
Series B Preferred Shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
-
|
(2,384
|
)
|
-
|
(2,384
|
)
|
|||||||||||||||||||||||||
Class A common shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
-
|
(13,351
|
)
|
-
|
(13,351
|
)
|
|||||||||||||||||||||||||
Balance at March 31, 2023
|
35,491,054
|
43,592
|
$
|
354
|
$
|
-
|
$
|
-
|
$
|
681,055
|
$
|
305,259
|
$
|
24,298
|
$
|
1,010,966
|
||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||
Stock-based compensation expense (Note 10)
|
59,924
|
-
|
1
|
-
|
-
|
2,504
|
-
|
-
|
2,505
|
|||||||||||||||||||||||||||
Cancellation of Class A common shares (Note 9)
|
(385,064
|
)
|
-
|
(4
|
)
|
-
|
-
|
(6,988
|
)
|
-
|
-
|
(6,992
|
)
|
|||||||||||||||||||||||
Other comprehensive income
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
3,711
|
3,711
|
|||||||||||||||||||||||||||
Net Income for the period
|
-
|
-
|
-
|
-
|
-
|
-
|
77,776
|
-
|
77,776
|
|||||||||||||||||||||||||||
Series B Preferred Shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
-
|
(2,384
|
)
|
-
|
(2,384
|
)
|
|||||||||||||||||||||||||
Class A common shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
-
|
(13,340
|
)
|
-
|
(13,340
|
)
|
|||||||||||||||||||||||||
Balance at June 30, 2023
|
35,165,914
|
43,592
|
$
|
351
|
$
|
-
|
$
|
-
|
$
|
676,571
|
$
|
367,311
|
$
|
28,009
|
$
|
1,072,242
|
||||||||||||||||||||
Stock-based compensation expense (Note 10)
|
213,594
|
-
|
2
|
-
|
- |
2,503
|
-
|
-
|
2,505
|
|||||||||||||||||||||||||||
Cancellation of Class A common shares (Note 9)
|
(187,479
|
) |
-
|
(2
|
) |
-
|
- |
(3,439
|
) |
-
|
-
|
(3,441
|
) | |||||||||||||||||||||||
Other comprehensive income
|
-
|
-
|
-
|
-
|
-
|
- |
- |
865
|
865
|
|||||||||||||||||||||||||||
Net Income for the period
|
-
|
-
|
-
|
-
|
-
|
- |
85,071
|
-
|
85,071
|
|||||||||||||||||||||||||||
Series B Preferred Shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
- |
(2,384
|
) |
-
|
(2,384
|
) | |||||||||||||||||||||||||
Class A common shares dividend (Note 9)
|
-
|
-
|
-
|
-
|
-
|
- |
(13,300
|
) |
-
|
(13,300
|
) | |||||||||||||||||||||||||
Balance at September 30, 2023
|
35,192,029
|
43,592
|
$
|
351
|
$
|
-
|
$ | - |
$
|
675,635
|
$ |
436,698
|
$
|
28,874
|
$ |
1,141,558
|
1. |
Description of Business
|
Company Name (1)
|
Country of
Incorporation
|
Vessel
Name
|
Capacity
in TEUs (2)
|
Year
Built
|
Earliest
Charter
Expiry Date
|
Global Ship Lease 54 LLC
|
Liberia
|
CMA CGM Thalassa
|
11,040
|
2008
|
4Q25
|
Laertis Marine LLC
|
Marshall Islands
|
Zim Norfolk
|
9,115
|
2015
|
2Q27
|
Penelope Marine LLC
|
Marshall Islands
|
Zim Xiamen
|
9,115
|
2015
|
3Q27
|
Telemachus Marine LLC (3)
|
Marshall Islands
|
Anthea Y
|
9,115
|
2015
|
3Q25(4)
|
Global Ship Lease 53 LLC
|
Liberia
|
MSC Tianjin
|
8,603
|
2005
|
2Q24
|
Global Ship Lease 52 LLC
|
Liberia
|
MSC Qingdao
|
8,603
|
2004
|
2Q24
|
Global Ship Lease 43 LLC
|
Liberia
|
GSL Ningbo
|
8,603
|
2004
|
3Q27(5)
|
Global Ship Lease 72 LLC
|
Liberia
|
GSL Alexandra
|
8,544
|
2004
|
3Q25(6)
|
Global Ship Lease 73 LLC
|
Liberia
|
GSL Sofia
|
8,544
|
2003
|
3Q25(6)
|
Global Ship Lease 74 LLC
|
Liberia
|
tbr GSL Effie(14)
|
8,544
|
2003
|
3Q25(6)
|
Global Ship Lease 75 LLC
|
Liberia
|
GSL Lydia
|
8,544
|
2003
|
2Q25(6)
|
Global Ship Lease 30 Limited
|
Marshall Islands
|
GSL Eleni
|
7,847
|
2004
|
3Q24(7)
|
Global Ship Lease 31 Limited
|
Marshall Islands
|
GSL Kalliopi
|
7,847
|
2004
|
3Q24(7)
|
Global Ship Lease 32 Limited
|
Marshall Islands
|
GSL Grania
|
7,847
|
2004
|
3Q24(7)
|
Alexander Marine LLC
|
Marshall Islands
|
Mary
|
6,927
|
2013
|
4Q28(8)
|
Hector Marine LLC
|
Marshall Islands
|
Kristina
|
6,927
|
2013
|
3Q29(8)
|
Ikaros Marine LLC
|
Marshall Islands
|
Katherine
|
6,927
|
2013
|
1Q29(8)
|
Philippos Marine LLC
|
Marshall Islands
|
Alexandra
|
6,927
|
2013
|
2Q29(8)
|
Aristoteles Marine LLC
|
Marshall Islands
|
Alexis
|
6,882
|
2015
|
2Q29(8)
|
Menelaos Marine LLC
|
Marshall Islands
|
Olivia I
|
6,882
|
2015
|
2Q29(8)
|
Global Ship Lease 35 LLC
|
Liberia
|
GSL Nicoletta
|
6,840
|
2002
|
3Q24
|
Global Ship Lease 36 LLC
|
Liberia
|
GSL Christen
|
6,840
|
2002
|
4Q23
|
Global Ship Lease 48 LLC
|
Liberia
|
CMA CGM Berlioz
|
6,621
|
2001
|
4Q25
|
Leonidas Marine LLC
|
Marshall Islands
|
Agios Dimitrios
|
6,572
|
2011
|
4Q23
|
Global Ship Lease 33 LLC
|
Liberia
|
GSL Vinia
|
6,080
|
2004
|
3Q24
|
Global Ship Lease 34 LLC
|
Liberia
|
GSL Christel Elisabeth
|
6,080
|
2004
|
2Q24
|
1. |
Description of Business (continued)
|
Company Name (1)
|
Country of
Incorporation
|
Vessel
Name
|
Capacity
in TEUs (2)
|
Year
Built
|
Earliest
Charter
Expiry Date
|
GSL Arcadia LLC
|
Liberia
|
GSL Arcadia
|
6,008
|
2000
|
2Q24(9)
|
GSL Melita LLC
|
Liberia
|
GSL Melita
|
6,008
|
2001
|
3Q24(9)
|
GSL Maria LLC
|
Liberia
|
GSL Maria
|
6,008
|
2001
|
4Q24(9)
|
GSL Violetta LLC (3)
|
Liberia
|
GSL Violetta
|
6,008
|
2000
|
4Q24(9)
|
GSL Tegea LLC
|
Liberia
|
GSL Tegea
|
5,992
|
2001
|
3Q24(9)
|
GSL Dorothea LLC
|
Liberia
|
GSL Dorothea
|
5,992
|
2001
|
3Q24(9)
|
GSL MYNY LLC
|
Liberia
|
GSL MYNY
|
6,008
|
2000
|
3Q24(9)
|
Tasman Marine LLC
|
Marshall Islands
|
Tasman
|
5,936
|
2000
|
4Q23(10)
|
Hudson Marine LLC
|
Marshall Islands
|
Zim Europe
|
5,936
|
2000
|
1Q24
|
Drake Marine LLC
|
Marshall Islands
|
Ian H
|
5,936
|
2000
|
2Q24
|
Global Ship Lease 68 LLC (3)
|
Liberia
|
GSL Kithira
|
5,470
|
2009
|
4Q24(11)
|
Global Ship Lease 69 LLC (3)
|
Liberia
|
GSL Tripoli
|
5,470
|
2009
|
4Q24(11)
|
Global Ship Lease 70 LLC (3)
|
Liberia
|
GSL Syros
|
5,470
|
2010
|
4Q24(11)
|
Global Ship Lease 71 LLC (3)
|
Liberia
|
GSL Tinos
|
5,470
|
2010
|
4Q24(11)
|
Hephaestus Marine LLC
|
Marshall Islands
|
Dolphin II
|
5,095
|
2007
|
1Q25
|
Zeus One Marine LLC
|
Marshall Islands
|
Orca I
|
5,095
|
2006
|
2Q24(12)
|
Global Ship Lease 47 LLC
|
Liberia
|
GSL Château d’If
|
5,089
|
2007
|
4Q26
|
GSL Alcazar Inc.
|
Marshall Islands
|
CMA CGM Alcazar
|
5,089
|
2007
|
3Q26
|
Global Ship Lease 55 LLC
|
Liberia
|
GSL Susan
|
4,363
|
2008
|
3Q27(13)
|
Global Ship Lease 50 LLC
|
Liberia
|
CMA CGM Jamaica
|
4,298
|
2006
|
1Q28(13)
|
Global Ship Lease 49 LLC
|
Liberia
|
CMA CGM Sambhar
|
4,045
|
2006
|
1Q28(13)
|
Global Ship Lease 51 LLC
|
Liberia
|
CMA CGM America
|
4,045
|
2006
|
1Q28(13)
|
Global Ship Lease 57 LLC
|
Liberia
|
GSL Rossi
|
3,421
|
2012
|
1Q26
|
Global Ship Lease 58 LLC
|
Liberia
|
GSL Alice
|
3,421
|
2014
|
2Q25
|
Global Ship Lease 59 LLC
|
Liberia
|
GSL Melina
|
3,404
|
2013
|
2Q24
|
Global Ship Lease 60 LLC
|
Liberia
|
GSL Eleftheria
|
3,404
|
2013
|
3Q25
|
Global Ship Lease 61 LLC
|
Liberia
|
GSL Mercer
|
2,824
|
2007
|
4Q24
|
Global Ship Lease 62 LLC
|
Liberia
|
Matson Molokai
|
2,824
|
2007
|
2Q25
|
Global Ship Lease 63 LLC
|
Liberia
|
GSL Lalo
|
2,824
|
2006
|
1Q24
|
Global Ship Lease 42 LLC
|
Liberia
|
GSL Valerie
|
2,824
|
2005
|
1Q25
|
Pericles Marine LLC
|
Marshall Islands
|
Athena
|
2,762
|
2003
|
2Q24
|
Global Ship Lease 64 LLC
|
Liberia
|
GSL Elizabeth
|
2,741
|
2006
|
1Q24
|
Global Ship Lease 65 LLC
|
Liberia
|
tbr GSL Chloe(14)
|
2,546
|
2012
|
4Q24
|
Global Ship Lease 66 LLC
|
Liberia
|
GSL Maren
|
2,546
|
2014
|
1Q24(15)
|
Aris Marine LLC
|
Marshall Islands
|
Maira
|
2,506
|
2000
|
3Q24
|
Aphrodite Marine LLC
|
Marshall Islands
|
Nikolas
|
2,506
|
2000
|
1Q24
|
Athena Marine LLC
|
Marshall Islands
|
Newyorker
|
2,506
|
2001
|
1Q24
|
Global Ship Lease 38 LLC
|
Liberia
|
Manet
|
2,272
|
2001
|
4Q24
|
Global Ship Lease 40 LLC
|
Liberia
|
Keta
|
2,207
|
2003
|
1Q25
|
Global Ship Lease 41 LLC
|
Liberia
|
Julie
|
2,207
|
2002
|
2Q25(16)
|
Global Ship Lease 45 LLC
|
Liberia
|
Kumasi
|
2,207
|
2002
|
1Q25
|
Global Ship Lease 44 LLC
|
Liberia
|
Akiteta
|
2,207
|
2002
|
4Q24
|
1. |
Description of Business (continued)
|
2. |
Summary of Significant Accounting Policies and Disclosures
|
(a) |
Basis of Presentation
|
2. |
Summary of Significant Accounting Policies and Disclosures (continued)
|
(b) |
Principles of Consolidation
|
(c) |
Use of estimates
|
2. |
Summary of Significant Accounting Policies and Disclosures (continued)
|
(d) |
Vessels in operation
|
(e) |
Intangible assets and liabilities – charter agreements
|
2. |
Summary of Significant Accounting Policies and Disclosures (continued)
|
(f) |
Impairment of Long-lived assets
|
(g) |
Revenue recognition and related expense
|
2.
|
Summary of Significant Accounting Policies and Disclosures (continued)
|
(g) |
Revenue recognition and related expense (continued)
|
(h) |
Fair Value Measurement and Financial Instruments
|
2. |
Summary of Significant Accounting Policies and Disclosures (continued)
|
(h) |
Fair Value Measurement and Financial Instruments (continued)
|
2. |
Summary of Significant Accounting Policies and Disclosures (continued)
|
(h) |
Fair Value Measurement and Financial Instruments (continued)
|
(i) |
Derivative instruments
|
2. |
Summary of Significant Accounting Policies and Disclosures (continued)
|
(i) |
Derivative instruments (continued)
|
(j) |
Recent accounting pronouncements
|
3. |
Vessels in Operation
|
Vessel Cost,
as adjusted for
Impairment charges
|
Accumulated
Depreciation
|
Net Book
Value
|
||||||||||
As of January 1, 2022
|
$
|
1,878,132
|
$
|
(195,316
|
)
|
$
|
1,682,816
|
|||||
Additions
|
11,756
|
-
|
11,756
|
|||||||||
Depreciation
|
-
|
(68,232
|
)
|
(68,232
|
)
|
|||||||
Impairment loss
|
(3,730
|
)
|
697
|
(3,033
|
)
|
|||||||
As of December 31, 2022
|
$
|
1,886,158
|
$
|
(262,851
|
)
|
$
|
1,623,307
|
|||||
Additions
|
137,942
|
-
|
137,942
|
|||||||||
Disposals
|
(6,803
|
)
|
68
|
(6,735
|
)
|
|||||||
Depreciation
|
-
|
(53,579
|
)
|
(53,579
|
)
|
|||||||
As of September 30, 2023
|
$
|
2,017,297
|
$
|
(316,362
|
)
|
$
|
1,700,935
|
Name
|
Capacity in TEUs
|
Year Built
|
Purchase Price
|
Delivery date
|
|||||||||
GSL Alexandra
|
8,544
|
2004
|
$
|
30,000
|
June 2, 2023
|
||||||||
GSL Sofia
|
8,544
|
2003
|
$
|
30,000
|
May 22, 2023
|
||||||||
tbr GSL Effie
|
8,544
|
2003
|
$
|
30,000
|
May 30, 2023
|
||||||||
GSL Lydia
|
8,544
|
2003
|
$
|
33,300
|
June 26, 2023
|
3. |
Vessels in Operation (continued)
|
4. |
Intangible Liabilities – Charter Agreements
|
September 30,
2023
|
December 31,
2022
|
|||||||
Opening balance
|
$
|
14,218
|
$
|
55,376
|
||||
Disposals (*)
|
(476
|
)
|
-
|
|||||
Amortization
|
(6,563
|
)
|
(41,158
|
)
|
||||
Total
|
$
|
7,179
|
$
|
14,218
|
4. |
Intangible Liabilities – Charter Agreements (continued)
|
Amount
|
||||
September 30, 2024
|
$
|
6,041
|
||
September 30, 2025
|
1,003
|
|||
September 30, 2026
|
135
|
|||
$
|
7,179
|
5. |
Derivative Asset
|
September 30,
2023
|
December 31,
2022
|
|||||||
Opening balance
|
$
|
63,503
|
$
|
7,227
|
||||
Derivative asset premium
|
-
|
15,370
|
||||||
Unrealized (loss)/gain on derivative assets
|
(5,611
|
)
|
31,221
|
|||||
Fair value adjustment on derivative asset
|
(1,037
|
)
|
9,685
|
|||||
Closing balance
|
$
|
56,855
|
$
|
63,503
|
||||
Less: Current portion of derivative assets
|
(29,580
|
)
|
(29,645
|
)
|
||||
Non-current portion of derivative assets
|
$
|
27,275
|
$
|
33,858
|
6. |
Long-Term Debt
|
Facilities
|
September 30,
2023
|
December 31, 2022
|
||||||
Macquarie loan (a)
|
$
|
71,000
|
$
|
-
|
||||
2027 Secured Notes (b)
|
297,500
|
336,875
|
||||||
E.SUN, MICB, Cathay, Taishin Credit Facility (c)
|
33,000
|
46,500
|
||||||
Sinopac Credit Facility (d)
|
8,640
|
9,900
|
||||||
HCOB, CACIB, ESUN, CTBC, Taishin Credit Facility (e)
|
78,576
|
100,000
|
||||||
Deutsche Credit Facility (f)
|
41,208
|
44,695
|
||||||
HCOB Credit Facility (g)
|
28,756
|
40,794
|
||||||
CACIB, Bank Sinopac, CTBC Credit Facility (h)
|
40,225
|
44,050
|
||||||
Chailease Credit Facility (i)
|
2,866
|
3,852
|
||||||
Syndicated Senior Secured Credit Facility (CACIB, ABN, First-Citizens & Trust Company, Siemens, CTBC, Bank Sinopac, Palatine) (j)
|
157,200
|
181,200
|
||||||
Total credit facilities
|
$
|
758,971
|
$
|
807,866
|
||||
Sale and Leaseback Agreement CMBFL - $120,000 (k)
|
70,788
|
89,838
|
||||||
Sale and Leaseback Agreement CMBFL - $54,000 (l)
|
36,909
|
41,850
|
||||||
Sale and Leaseback Agreement - Neptune $14,735 (m)
|
7,590
|
9,971
|
||||||
Total Sale and Leaseback Agreements
|
$
|
115,287
|
$
|
141,659
|
||||
Total borrowings
|
$
|
874,258
|
$
|
949,525
|
||||
Less: Current portion of long-term debt
|
(168,487
|
)
|
(155,424
|
)
|
||||
Less: Current portion of Sale and Leaseback Agreements (k,l,m)
|
(32,139
|
)
|
(34,408
|
)
|
||||
Less: Deferred financing costs (s)
|
(12,161
|
)
|
(15,136
|
)
|
||||
Non-current portion of Long-Term Debt
|
$
|
661,471
|
$
|
744,557
|
a) |
Macquarie Credit Facility
|
b) |
5.69% Senior Secured Notes due 2027
|
6. |
Long-Term Debt (continued)
|
b) |
5.69% Senior Secured Notes due 2027 (continued)
|
c) |
$60.0 Million E.SUN, MICB, Cathay, Taishin Credit Facility
|
d) | $12.0 Million Sinopac Capital International Credit Facility |
e) |
$140.0 Million HCOB, CACIB, ESUN, CTBC, Taishin Credit Facility
|
6. |
Long-Term Debt (continued)
|
e) |
$140.0 Million HCOB, CACIB, ESUN, CTBC, Taishin Credit Facility (continued)
|
f) |
$51.7 Million Deutsche Bank AG Credit Facility
|
g) |
$64.2 Million Hamburg Commercial Bank AG Credit Facility
|
h) |
$51.7 Million CACIB, Bank Sinopac, CTBC Credit Facility
|
6. |
Long-Term Debt (continued)
|
i) |
$9.0 Million Chailease Credit Facility
|
j) |
$268.0 Million Syndicated Senior Secured Credit Facility (CACIB, ABN, First-Citizens & Trust Company, Siemens, CTBC, Bank Sinopac, Palatine)
|
k) |
$120.0 Million Sale and Leaseback agreements - CMBFL Four Vessels
|
6. |
Long-Term Debt (continued)
|
l) |
$54.0 Million Sale and Leaseback agreement - CMBFL
|
m) |
$14.7 Million Sale and Leaseback agreement - Neptune Maritime Leasing
|
n) |
$236.2 Million Senior secured loan facility with Hayfin Capital Management, LLP
|
6. |
Long-Term Debt (continued)
|
o) |
Redemption of 8.00% Senior Unsecured Notes due 2024
|
p) |
$38.5 Million Blue Ocean Junior Credit Facility
|
6. |
Long-Term Debt (continued)
|
q) |
$59.0 Million Hellenic Bank Credit Facility
|
r) |
Repayment Schedule
|
Payment due by period ended
|
Amount
|
|||
September 30, 2024
|
200,626
|
|||
September 30, 2025
|
158,579
|
|||
September 30, 2026
|
231,540
|
|||
September 30, 2027
|
253,531
|
|||
September 30, 2028 and thereafter
|
29,982
|
|||
$
|
874,258
|
s) |
Deferred Financing Costs
|
September 30,
2023
|
December 31,
2022
|
|||||||
Opening balance
|
$
|
15,136
|
$
|
16,714
|
||||
Expenditure in the period
|
1,140
|
9,655
|
||||||
Amortization included within interest expense
|
(4,115
|
)
|
(11,233
|
)
|
||||
Closing balance
|
$
|
12,161
|
$
|
15,136
|
6. |
Long-Term Debt (continued)
|
s) |
Deferred Financing Costs (continued)
|
t) |
Debt covenants-securities
|
7. |
Related Party Transactions
|
7. |
Related Party Transactions (continued)
|
8. |
Commitments and Contingencies
|
Period ending
|
Amount
|
|||
September 30, 2024
|
$
|
640,926
|
||
September 30, 2025
|
412,244
|
|||
September 30, 2026
|
253,415
|
|||
September 30, 2027
|
200,500
|
|||
Thereafter
|
163,626
|
|||
Total minimum lease revenue, net of address commissions
|
$
|
1,670,711
|
9. |
Share Capital
|
9. |
Share Capital (continued)
|
10. |
Share-Based Compensation
|
10. |
Share-Based Compensation (continued)
|
10. |
Share-Based Compensation (continued)
|
Restricted Stock Units
|
||||||||||||
Number of Units
|
||||||||||||
Number
|
Weighted Average
Fair Value
on Grant Date
|
Actual Fair
Value on
Vesting Date
|
||||||||||
Unvested as at January 1, 2022
|
1,549,825
|
$
|
22.35
|
n/a
|
||||||||
Vested in year ended December 31, 2022
|
(218,366
|
)
|
n/a
|
19.36
|
||||||||
Cancelled in May 2022
|
(14,748
|
)
|
n/a
|
n/a
|
||||||||
Unvested as at December 31, 2022
|
1,316,711
|
$
|
22.35
|
n/a
|
||||||||
Vested in nine months ended September 30, 2023
|
(324,941
|
)
|
n/a
|
18.65
|
||||||||
Forfeit in March 2023
|
(35,771
|
)
|
n/a
|
n/a
|
||||||||
Unvested as at September 30, 2023
|
955,999
|
$
|
22.35
|
n/a
|
11. |
Earnings per Share
|
Nine months ended
September 30,
|
||||||||
2023
|
2022
|
|||||||
Numerator:
|
||||||||
Net income available to common shareholders:
|
$
|
230,299
|
$
|
210,768
|
||||
Class A, basic and diluted
|
||||||||
Denominator:
|
||||||||
Class A Common shares
|
||||||||
Basic weighted average number of common shares outstanding
|
35,473,382
|
36,649,874
|
||||||
Plus weighted average number of RSUs with service conditions
|
598,250
|
655,870
|
||||||
Common share and common share equivalents, dilutive
|
36,071,632
|
37,305,744
|
||||||
Basic earnings per share:
|
||||||||
Class A
|
6.49
|
5.75
|
||||||
Diluted earnings per share:
|
||||||||
Class A
|
6.38
|
5.65
|
12. |
Subsequent events
|