Loading...
•
Dec 31, 2024
Safe Bulkers Q4 2024 Earnings Report
Safe Bulkers, Inc. reported its financial results for the fourth quarter and twelve months ended December 31, 2024.
Key Takeaways
Safe Bulkers, Inc. reported a decrease in net revenues and net income for Q4 2024 compared to Q4 2023, primarily due to a weaker charter market and increased operating expenses. Despite this, the company maintained a strong capital structure and declared a cash dividend.
Net revenues decreased by 13% to $71.5 million in Q4 2024, down from $82.3 million in Q4 2023.
Net income for Q4 2024 was $19.4 million, a decrease from $27.6 million in Q4 2023.
Daily vessel operating expenses increased by 9% to $5,047 in Q4 2024, compared to $4,642 in Q4 2023.
The company declared a cash dividend of $0.05 per share of outstanding common stock.
Safe Bulkers
Safe Bulkers
Forward Guidance
The company expects down time for scheduled dry-dockings of 20 days for Q1 2025 and 15 days for Q2 2025. Remaining capital expenditure requirements for newbuilds are $40.1 million in 2025, $109.9 million in 2026, and $56.5 million in 2027.
Positive Outlook
- New reducing revolving credit facility of up to $100 million entered in December 2024.
- Increased borrowing capacity by $75 million with the new credit facility.
- All Capesize class vessels are chartered in period time charters, with six exceeding one year remaining duration.
- Contracted revenue of approximately $195.2 million from non-cancellable spot and period time charter contracts.
- Fleet renewal program with 18 IMO GHG Phase 3 NOx Tier III newbuilds, 11 already delivered.
Challenges Ahead
- Expected down time for scheduled dry-dockings of 20 days for Q1 2025.
- Expected down time for scheduled dry-dockings of 15 days for Q2 2025.
- Remaining capital expenditure requirements of $206.5 million for seven newbuilds.
- Significant capital expenditure payments scheduled for 2026 ($109.9 million) and 2027 ($56.5 million).
- The company's future results could be affected by excluded items in non-GAAP measures.