Excel Maritime Reports Results for the Second Half and Year Ended December 31, 2012
ATHENS, GREECE--(Marketwire - Mar 28, 2013) - Excel Maritime Carriers Ltd (NYSE: EXM) ("Excel"), an owner and operator of dry bulk carriers and an international provider of worldwide seaborne transportation services for dry bulk cargoes, announced today its preliminary unaudited financial highlights for the second half and year ended December 31, 2012.
Financial highlights
Second half | Year ended December 31, | |||||||||||
2011 | 2012 | 2011 | 2012 | |||||||||
(amounts in millions of U.S Dollars, except per share data and daily TCE) | ||||||||||||
Voyage Revenues | $ | 164.2 | $ | 114.8 | $ | 353.4 | $ | 242.0 | ||||
Adjusted EBITDA | $ | 70.8 | $ | 28.4 | $ | 162.8 | $ | 68.4 | ||||
Time Charter Equivalent (TCE) per day | $ | 16,670 | $ | 12,038 | $ | 17,984 | $ | 12,743 | ||||
Second Half 2012
For the second half of 2012, Excel reported voyage revenues of $114.8 million compared to voyage revenues of $164.2 million for the same period in 2011.
Adjusted EBITDA for the second half of 2012 was $28.4 million compared to $70.8 million for the second half of 2011, a decrease of approximately 59.9%.
An average of 46.0 and 47.2 vessels were operated during the second half of 2012 and 2011, respectively, earning a blended average time charter equivalent rate of $12,038 and $16,670 per day, respectively.
Year Ended December 31, 2012
For the year ended December 31, 2012, Excel reported voyage revenues of $242.0 million compared to voyage revenues of $353.4 million for the year ended December 31, 2011.
Adjusted EBITDA for the year ended December 31, 2012 was $68.4 million compared to $162.8 million for the respective year of 2011, a decrease of approximately 58%.
An average of 46.5 and 47.7 vessels were operated during the year ended December 31, 2012 and 2011, respectively, earning a blended average time charter equivalent rate of $12,743 and $17,984 per day, respectively.
Corporate highlights
The Company is currently in advanced restructuring discussions with its lenders under its syndicated credit facility, dated as of April 14, 2008 (the "Syndicate Lenders"), which include amended amortization schedules and extension of the facility's maturity. While such discussions continue, the Syndicate Lenders have agreed to forbear from exercising their rights in connection with the principal installments that have become due in the current fiscal year, through April 30, 2013. The Company's access to the escrowed funds to fund its equity raising commitment has been similarly extended to April 30, 2013. The Company is in similar discussions with its lenders under its bilateral credit facilities. To date, the Company has not obtained a forbearance from its lenders with respect to other, non-payment related, defaults under its syndicated and bilateral credit facilities. There can be no assurance that the Company will be able to reach an agreement with its lenders and other creditors on such restructuring. Also, the ultimate accounting impact of the restructuring is unknown and will be determined once an agreement on the final terms of such restructuring has been reached.
In addition, three of the vessels that were employed on bareboat charter have been redelivered to their respective owners for an amount of up to $6.0 million payable in cash or in stock up to December 2017, in the latter case at the market price on the date of the stock's issuance in 2017. The remaining four vessels that were employed on bareboat charter have been redelivered to their respective owners, with the claims of the parties being the subject of arbitration.
Fleet Coverage
Fleet Coverage, as of March 22, 2013 | Full Year '13 | |
Capesize Fleet | 69% | |
Kamsarmax / Panamax Fleet | 56% | |
Fleet - Fixed Charters | 57% |
As of March 22, 2013, we have secured contract coverage for 69% of the available days of our Capesize vessels and 56% of the available days of our Kamsarmax/Panamax vessels for the year ending December 31, 2013. With respect to the entire fleet, 57% of the available days of 2013 have been fixed.
FINANCIAL DATA AND OTHER OPERATING INFORMATION | ||||||||||||||||
(In thousands of U.S. Dollars, except for share, per share data and daily results) | ||||||||||||||||
Second Half | Year | |||||||||||||||
2011 | 2012 | 2011 | 2012 | |||||||||||||
CASH FLOW DATA: | ||||||||||||||||
Net cash provided by (used in) operating activities | $ | 32,977 | $ | (284 | ) | $ | 104,350 | $ | 3,913 | |||||||
Net cash provided by (used in) investing activities | $ | 7,107 | $ | 2,652 | $ | (1,520 | ) | $ | 2,591 | |||||||
Net cash used in financing activities | $ | (46,061 | ) | $ | (7,675 | ) | $ | (114,998 | ) | $ | (38,325 | ) | ||||
Total cash at the end of the year | - | - | $ | 117,199 | $ | 77,844 | ||||||||||
ADJUSTED EBITDA: | $ | 70,797 | $ | 28,410 | $ | 162,833 | $ | 68,351 | ||||||||
FLEET DATA: | ||||||||||||||||
Average number of vessels | 47.2 | 46.0 | 47.7 | 46.5 | ||||||||||||
Available days for fleet | 8,469 | 8,129 | 17,058 | 16,280 | ||||||||||||
Calendar days for fleet | 8,688 | 8,473 | 17,407 | 17,027 | ||||||||||||
Fleet utilization | 97.5 | % | 95.9 | % | 98.0 | % | 95.6 | % | ||||||||
AVERAGE DAILY RESULTS: | ||||||||||||||||
Time charter equivalent rate | $ | 16,670 | $ | 12,038 | $ | 17,984 | $ | 12,743 | ||||||||
Vessel operating expenses | $ | 4,857 | $ | 4,677 | $ | 4,887 | $ | 4,685 | ||||||||
Glossary of Terms
Average number of vessels: This is the number of vessels that constituted our fleet for the relevant period, as measured by the sum of the number of calendar days each vessel formed part of our fleet during that period divided by the number of calendar days in that period.
Total calendar days: We define these as the total days we possessed the vessels in our fleet for the relevant period including off hire days associated with major repairs, dry dockings or special or intermediate surveys. Calendar days are an indicator of the size of the fleet over a specific period of time and affect both the amount of revenues and the amount of expenses that are recorded during that period.
Available days: These are the calendar days less the aggregate number of off-hire days associated with major repairs, dry dockings or special or intermediate surveys. The shipping industry uses available days to measure the number of days in a period during which vessels should be capable of generating revenue.
Time charter equivalent rate ("TCE"): This is a measure of the average daily revenue performance of a vessel on a per voyage basis. Our method of calculating TCE is consistent with industry standards and is determined by dividing revenue generated from voyage charters (net of voyage expenses) by available days for the relevant time period. Voyage expenses primarily consist of port, canal and fuel costs that are unique to a particular voyage, which would otherwise be paid by the charterer under a time charter contract, as well as commissions. Time charter equivalent revenue and TCE rate are not measures of financial performance under U.S. GAAP and may not be comparable to similarly titled measures of financial performance used by other companies. However, TCE is a standard shipping industry performance measure used primarily to compare period-to-period changes in a shipping company's performance despite changes in the mix of charter types (i.e., spot voyage charters, time charters and bareboat charters) under which the vessels may be employed between the periods.
Time Charter Equivalent Calculation | ||||||||||||||||
(all amounts in thousands of U.S. Dollars, except for Daily Time Charter Equivalent and available days) | ||||||||||||||||
| Year ended | |||||||||||||||
2011 | 2012 | 2011 | 2012 | |||||||||||||
Voyage revenues | $ | 164,157 | $ | 114,754 | $ | 353,397 | $ | 241,973 | ||||||||
Voyage expenses and commissions to related parties |
| ) |
| ) |
| ) |
| ) | ||||||||
Total revenue, net of voyage expenses | $ |
| $ |
| $ |
| $ |
| ||||||||
Total available days | 8,469 | 8,129 | 17,058 | 16,280 | ||||||||||||
Daily Time charter equivalent | $ | 16,670 | $ | 12,038 | $ | 17,984 | $ | 12,743 | ||||||||
Daily vessel operating expenses: This includes crew costs, provisions, deck and engine stores, lubricating oil, insurance, maintenance and repairs and is calculated by dividing vessel operating expenses by total calendar days for the relevant time period.
Forward-Looking Statement
This press release contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events and Excel's growth strategy and measures to implement such strategy; including expected vessel acquisitions and entering into further time charters.
Words such as "will" "expects," "intends," "plans," "believes," "anticipates," "hopes," "estimates," and variations of such words and similar expressions are intended to identify forward-looking statements.
Although Excel believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct.
These statements involve known and unknown risks and are based upon a number of assumptions and estimates which are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of Excel. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to the ability to changes in the demand for dry bulk vessels, competitive factors in the market in which Excel operates; risks associated with operations outside the United States; and other factors listed from time to time in Excel's filings with the Securities and Exchange Commission. Excel expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Excel's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.
About Excel Maritime Carriers Ltd
Excel is an owner and operator of dry bulk carriers and a provider of worldwide seaborne transportation services for dry bulk cargoes, such as iron ore, coal and grains, as well as bauxite, fertilizers and steel products. Excel owns a fleet of 39 vessels (seven Capesize, 14 Kamsarmax, 14 Panamax, two Supramax and two Handymax vessels) with a total carrying capacity of approximately 3.6 million DWT. Excel's Class A common shares have been listed since September 15, 2005 on the New York Stock Exchange (NYSE) under the symbol EXM and, prior to that date, were listed on the American Stock Exchange (AMEX) since 1998. For more information about Excel, please go to our corporate website www.excelmaritime.com.
Fleet List as of March 22, 2013:
Vessel Name | Dwt | Year Built | Charter Type | Daily rate | Average Charter Expiration | ||||||||
1 | Mairaki (1) | 181,000 | 2011 | Period | $28,000 | Apr 2016 | |||||||
2 | Christine (1) (2) | 180,000 | 2010 | Period | $25,000 | Jan 2016 | |||||||
3 | Sandra (1) | 180,274 | 2008 | Period | $26,500 | Nov 2015 | |||||||
4 | Iron Miner | 177,931 | 2007 | Spot | |||||||||
5 | Kirmar | 164,218 | 2001 | Spot | |||||||||
6 | Iron Beauty | 164,218 | 2001 | Period | $8,000 | Mar 2013 | |||||||
7 | Lowlands Beilun (1) | 170,162 | 1999 | Period | $28,000 | Nov 2015 | |||||||
Total Capesize (7) | 1,217,803 | ||||||||||||
8 | Iron Manolis | 82,269 | 2007 | Period | $8,500 | Jul 2013 | |||||||
9 | Iron Brooke | 82,594 | 2007 | Period | $8,250 | Aug 2013 | |||||||
10 | Iron Lindrew | 82,598 | 2007 | Period | $12,000 | Jan 2014 | |||||||
11 | Pascha | 82,574 | 2006 | Period | $10,500 | Sept 2013 | |||||||
12 | Coal Gypsy | 82,221 | 2006 | Period | $11,250 | May 2013 | |||||||
13 | Iron Anne | 82,220 | 2006 | Period | $9,000 | Oct 2013 | |||||||
14 | Iron Vassilis | 82,257 | 2006 | Period | $11,000 | Jul 2013 | |||||||
15 | Iron Bill | 82,187 | 2006 | Period | $8,250 | Oct 2013 | |||||||
16 | Ore Hansa | 82,209 | 2006 | Period | $11,250 | May 2013 | |||||||
17 | Iron Kalypso | 82,224 | 2006 | Period | $8,250 | Sept 2013 | |||||||
18 | Iron Fuzeyya | 82,209 | 2006 | Period | $11,750 | Nov 2013 | |||||||
19 | Santa Barbara | 82,266 | 2006 | Period | $14,000 | (floor) | Jun 2013 | ||||||
20 | Coal Hunter | 82,298 | 2006 | Period | $14,000 | (floor) | Jun 2013 | ||||||
21 | Iron Bradyn | 82,769 | 2005 | Period | $8,000 | Dec 2013 | |||||||
Total Kamsarmax (14) | 1,152,895 | ||||||||||||
22 | Grain Harvester | 76,417 | 2004 | Period | $8,700 | Oct 2013 | |||||||
23 | Grain Express | 76,466 | 2004 | Period | $9,000 | Sept 2013 | |||||||
24 | Iron Knight | 76,429 | 2004 | Period | $8,250 | Nov 2013 | |||||||
25 | Coal Pride | 72,493 | 1999 | Period | $8,000 | Aug 2013 | |||||||
26 | Isminaki | 74,577 | 1998 | Spot | |||||||||
27 | Angela Star | 73,798 | 1998 | Period | $7,500 | Jun 2013 | |||||||
28 | Elinakos | 73,751 | 1997 | Period | $7,500 | Sept 2013 | |||||||
29 | Happy Day | 71,694 | 1997 | Period | $7,000 | May 2013 | |||||||
30 | Powerful | 70,083 | 1994 | Spot | |||||||||
31 | First Endeavour | 69,111 | 1994 | Spot | |||||||||
32 | Rodon | 73,656 | 1993 | Spot | |||||||||
33 | Birthday | 71,504 | 1993 | Spot | |||||||||
34 | Renuar | 70,155 | 1993 | Spot | |||||||||
35 | Fortezza | 69,634 | 1993 | Spot | |||||||||
Total Panamax (14) | 1,019,768 | ||||||||||||
36 | July M | 55,567 | 2005 | Spot | |||||||||
37 | Mairouli | 53,206 | 2005 | Period | $8,500 | May 2013 | |||||||
Total Supramax (2) | 108,773 | ||||||||||||
38 | Emerald | 45,588 | 1998 | Spot | |||||||||
39 | Princess I | 38,858 | 1994 | Spot | |||||||||
Total Handymax (2) | 84,446 | ||||||||||||
Total Fleet (39) | 3,583,685 | ||||||||||||
Average age | 10.6 Yrs | ||||||||||||
(1) The charter includes a 50% profit-sharing arrangement over the indicated base daily time charter rate based on the monthly AV4 BCI Time Charter Rate, which is the Baltic Capesize Index Average of four specific time charter routes as published daily by the Baltic Exchange in London.
(2) The Company holds a 71.4% ownership interest in the joint venture that owns the vessel.
