Mon, May 12, 9:02 PM (62 days ago)
**Pangaea Logistics Solutions Ltd. (PANL) Q1 2025 Financial Summary** **Financial Health and Performance:** - **Revenue:** Total revenue increased by 17% to $122.8 million (2024: $104.7 million). Voyage revenue rose by 26% to $109.7 million, while charter revenue decreased by 34% to $10.0 million. Terminal & Stevedore revenue increased by 30% to $3.1 million. - **Profit Margins:** Net loss attributable to Pangaea was approximately $2.0 million (2024: net income of $11.7 million). Net loss per share was $0.03 (2024: diluted net income per share of $0.25). - **Cash Flow:** Net cash used in operating activities was $4.36 million (2024: net cash provided of $9.0 million). Net cash used in investing activities was $0.5 million (2024: $0.2 million). Net cash used in financing activities was $18.04 million (2024: $11.96 million). - **Earnings Changes:** Adjusted EBITDA was $14.8 million (2024: $19.9 million). TCE rates decreased by 36% to $11,390 (2024: $17,697). - **Liquidity:** Cash and cash equivalents were $63.9 million (2024: $95.87 million). Working capital was $66.9 million (2024: $82.9 million). **Trends and Uncertainties:** - **Market Conditions:** The drybulk market experienced a significant decline, with the Baltic Dry Index (BDI) down by 39% and average market rates for Panamax, Supramax, and Handysize vessels decreasing by 37%. - **Fleet Expansion:** The company acquired 15 vessels in 2024, increasing the fleet size by 58%, which impacted available shipping days and operating expenses. - **Operational Efficiency:** The company's flexible chartering strategy and long-term contracts of affreightment (COAs) helped mitigate some of the market downturn effects. **Future Operations Impact:** - **Capital Expenditures:** The company anticipates continued capital expenditures for vessel acquisitions, improvements, and drydocking to comply with international shipping standards and environmental laws. - **Debt and Financing:** The company remains compliant with all financial covenants and has sufficient capital resources to fund operations for at least the next twelve months, assuming drybulk shipping rates do not decline significantly. - **Risk Management:** The company uses derivative instruments to hedge against fluctuations in freight rates and fuel prices, although these can lead to volatility in reported results.