Imperial Petroleum Inc. Reports Third Quarter and Nine Months 2023 Financial and Operating Results
ATHENS, Greece, Oct. 25, 2023 (GLOBE NEWSWIRE) -- IMPERIAL PETROLEUM INC. (NASDAQ: IMPP, the “Company”), a ship-owning company providing petroleum products, crude oil and dry bulk seaborne transportation services, announced today its unaudited financial and operating results for the third quarter and nine months ended September 30, 2023.
OPERATIONAL AND FINANCIAL HIGHLIGHTS
Fleet operational utilization of 70.5% in Q3 23’ as the Company faced commercial idle days due to seasonal factors and technical off hire due to the scheduled drydocking of three product tankers.
67.2% of fleet calendar days equivalent to 565 days in Q3 23’ were dedicated to spot activity.
Net income of $12.1 million in Q3 23’ corresponding to a basic EPS of $0.56.
Revenues of $29.4 million in Q3 23’ generating an EBITDA of $13.9 million.
Cash and cash equivalents and time deposits of $125.9 million as of September 30, 2023 – approximately 3 times higher than our current market capitalization.
Gain on sale of the Aframax tanker Afrapearl II (ex. Stealth Berana) of $8.2 million and $0.6 million of related interest income in connection with $38.7 million of the selling price which is receivable by July 2024.
Net income of $64.7 million in 9M 23’ up by $48.9 million or 309% compared to the net income in 9M 22’. Basic EPS for the 9M 23’amounted to $3.59 which is approximately twice our current share price.
Under the share buyback program announced in September 2023, the Company has repurchased a 1,136,714 common shares for a total amount of approximately $1.9 million.
As a means to further enhance shareholders value, in October 2023, the Company repurchased 2.58 million outstanding warrants for $0.6 million.
Third Quarter 2023 Results:
Revenues for the three months ended September 30, 2023 amounted to $29.4 million, a decrease of $13.2 million, or 31.0%, compared to revenues of $42.6 million for the three months ended September 30, 2022, primarily due to lower charter rates for the period, the sale of our aframax tanker, increased commercial idle days due to seasonal factors and lost revenue due to the scheduled drydocking of three of our product tankers.
Voyage expenses and vessels’ operating expenses for the three months ended September 30, 2023 were $12.6 million and $6.1 million, respectively, compared to $18.4 million and $4.9 million, respectively, for the three months ended September 30, 2022. The $5.8 million decrease in voyage expenses is mainly due to the decrease of our bunker cost by approximately $13,400 per day, as a result of lower oil prices prevailing during the three month period ended September 30, 2023. The $1.2 million increase in vessels’ operating expenses was primarily due to the increase of our fleet by an average of one vessel.
Drydocking costs for the three months ended September 30, 2023 and 2022 was $2.8 million and nil, respectively. This increase is due to the fact that during the three months ended September 30, 2023 three of our product tankers, namely the Magic Wand, the Clean Nirvana and the Clean Thrasher, underwent drydocking.
General and administrative costs for the three months ended September 30, 2023 and 2022 were $1.3 million and $0.3 million, respectively. This increase is mainly attributed to a $0.6 million increase in stock-based compensation costs along with reporting costs related to our spin off project.
Depreciation for the three months ended September 30, 2023 and 2022 was $3.5 million and $3.4 million, respectively. The change is attributable to the increase in the average number of our vessels.
Gain on sale of vessel for the three months ended September 30, 2023 was $8.2 million, which was due to the sale of the Aframax tanker Afrapearl II (ex. Stealth Berana) to C3is Inc., a related party.
Interest and finance costs for the three months ended September 30, 2023 and 2022 were nil and $0.3 million, respectively. There was no debt outstanding during the three months ended September 30, 2023.
Interest income for the three months ended September 30, 2023 and 2022 was $1.7 million and $0.4 million, respectively. The increase is mainly attributed to a higher amount of funds placed under time deposit at improved rates as well as to the $0.6 million of accrued interest income – related party as of September 30, 2023 in connection with the $38.7 million of the selling price of the Aframax tanker Afrapearl II which is receivable by July 2024.
As a result of the above, for the three months ended September 30, 2023, the Company reported net income of $12.1 million, compared to net income of $15.5 million for the three months ended September 30, 2022. Dividends paid on Series A Preferred Shares amounted to $0.4 million for the three months ended September 30, 2023. The weighted average number of shares of common stock outstanding, basic, for the three months ended September 30, 2023 was 19.8 million. Earnings per share, basic, for the three months ended September 30, 2023, amounted to $0.56, compared to earnings per share, basic, of $1.18 for the three months ended September 30, 2022.
Adjusted net income was $4.5 million corresponding to an Adjusted EPS, basic of $0.19 for the three months ended September 30, 2023 compared to an Adjusted net income of $15.5 million corresponding to an Adjusted EPS, basic, of $1.18 for the same period of last year.
EBITDA for the three months ended September 30, 2023 amounted to $13.9 million, while Adjusted EBITDA for the three months ended September 30, 2023 amounted to $6.3 million. Reconciliations of Adjusted Net Income, EBITDA and Adjusted EBITDA to Net Income are set forth below.
An average of 9.1 vessels were owned by the Company during the three months ended September 30, 2023 compared to 8.1 vessels for the same period of 2022.
Nine Months 2023 Results:
Revenues for the nine months ended September 30, 2023 amounted to $153.8 million, an increase of $94.7 million, or 160.2%, compared to revenues of $59.1 million for the nine months ended September 30, 2022, primarily due to the increased size of our fleet by an average of four vessels.
Voyage expenses and vessels’ operating expenses for the nine months ended September 30, 2023 were $48.7 million and $20.0 million, respectively, compared to $23.3 million and $10.0 million, respectively, for the nine months ended September 30, 2022. The $25.4 million increase in voyage expenses is mainly due to the increase in the spot days of our fleet by 1,060 days (144.4%). The $10.0 million increase in vessels’ operating expenses was primarily due to the increase in the average number of vessels in our fleet by approximately four vessels.
Drydocking costs for the nine months ended September 30, 2023 and 2022 were $4.1 million and nil, respectively. This increase is due to the fact that during the nine months ended September 30, 2023 three of our product tankers and one of our drybulk carriers underwent drydocking.
General and administrative costs for the nine months ended September 30, 2023 and 2022 were $3.8 million and $0.8 million, respectively. This rise is mainly attributed to $1.7 million of stock-based compensation expense along with a rise in reporting costs related to our spin off project.
Depreciation for the nine months ended September 30, 2023 was $12.1 million, a $3.8 million increase from $8.3 million for the same period of last year, due to the increase in the average number of our vessels.
Impairment loss for the nine months ended September 30, 2023 stood at $9.0 million, and related to the spin-off of two of our drybulk carriers to C3is Inc. The decline of drybulk vessels’ fair values compared to the values prevailing when these vessels were acquired, resulted in the incurrence of impairment loss.
Gain on sale of vessel for the nine months ended September 30, 2023 was $8.2 million, which was due to the sale of the Aframax tanker Afrapearl II (ex. Stealth Berana) to C3is Inc., a related party.
Interest and finance costs for the nine months ended September 30, 2023 and 2022 were $1.8 million and $0.7 million, respectively. The $1.8 million of costs for the nine months ended September 30, 2023 relate mainly to $1.3 million of interest charges incurred up to the full repayment of all outstanding loans concluded in April 2023 along with the full amortization of $0.5 million of loan related charges following the repayment of the Company’s outstanding debt.
Interest income for the nine months ended September 30, 2023 and 2022 was $3.8 million and $0.4 million, respectively. The increase is attributed to our time deposits during the period at favourable time deposit rates as well as to the $0.6 million of accrued interest income – related party as of September 30, 2023 in connection with the $38.7 million of the selling price of the Aframax tanker Afrapearl II which is receivable by July 2024.
As a result of the above, the Company reported net income for the nine months ended September 30, 2023 of $64.7 million, compared to a net income of $15.8 million for the nine months ended September 30, 2022. The weighted average number of shares outstanding, basic, for the nine months ended September 30, 2023 was 16.9 million. Earnings per share, basic, for the nine months ended September 30, 2023 amounted to $3.59 compared to earnings per share, basic, of $1.61 for the nine months ended September 30, 2022.
Adjusted Net Income was $67.2 million corresponding to an Adjusted EPS, basic of $3.74 for the nine months ended September 30, 2023 compared to adjusted net income of $15.8 million, corresponding to an Adjusted EPS, basic, of $1.61 for the same period of last year.
EBITDA for the nine months ended September 30, 2023 amounted to $74.8 million while Adjusted EBITDA for the nine months ended September 30, 2023 amounted to $77.3 million. Reconciliations of Adjusted Net Income, EBITDA and Adjusted EBITDA to Net Income are set forth below.
An average of 10.3 vessels were owned by the Company during the nine months ended September 30, 2023 compared to 6.1 vessels for the same period of 2022.
As of September 30, 2023, cash and cash equivalents and time deposits amounted to $125.9 million and total debt amounted to nil. During the nine months ended September 30, 2023 debt repayments amounted to $70.4 million.
Fleet Employment Table
As of October 25, 2023, the profile and deployment of our fleet is the following:
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Name |
| Year |
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| Country |
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| Vessel Size |
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| Vessel |
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| Employment |
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| Daily Charter |
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| Expiration of |
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Tankers |
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Magic Wand |
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| 2008 |
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| Korea |
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| 47,000 |
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| MR product tanker |
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| Spot |
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Clean Thrasher |
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| 2008 |
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| Korea |
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| 47,000 |
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| MR product tanker |
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| Spot |
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Clean Sanctuary (ex. Falcon Maryam) |
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| 2009 |
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| Korea |
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| 46,000 |
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| MR product tanker |
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| Spot |
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Clean Nirvana |
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| 2008 |
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| Korea |
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| 50,000 |
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| MR product tanker |
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| Spot |
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Clean Justice |
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| 2011 |
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| Japan |
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| 47,000 |
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| MR product tanker |
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| Spot |
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Suez Enchanted |
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| 2007 |
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| Korea |
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| 160,000 |
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| Suezmax tanker |
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| Spot |
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Suez Protopia |
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| 2008 |
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| Korea |
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| 160,000 |
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| Suezmax tanker |
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| Spot |
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Drybulk Carriers |
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Eco Wildfire |
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| 2013 |
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| Japan |
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| 33,000 |
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| Handysize drybulk |
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| Time Charter |
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| $9,500 |
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| November 2023 |
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Glorieuse |
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| 2012 |
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| Japan |
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| 38,000 |
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| Handysize drybulk |
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| Time Charter |
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| $8,500 |
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| January 2024 |
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Fleet Total |
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| 628,000 dwt |
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(1) | Earliest date charters could expire. |
As previously announced, the Company has also entered into an agreement with affiliates of the Vafias family to acquire two tanker vessels, the aframax tanker Stealth Haralambos, built in 2009 and the product tanker Aquadisiac built in 2008, with an aggregate capacity of approximately 163,716 dwt. The aggregate purchase price for these acquisitions is $71 million. Both vessels will be delivered on a charter-free basis by the end of January 2024. The Company expects to finance the purchase price with cash-on-hand.
CEO Harry Vafias Commented
I am very pleased with our performance during the nine months of 2023. In this period, we managed to generate net income of $64.7 million and operating cash flows of $73.7 million - both results being well above our current market capitalization. I am also pleased by our Board’s strategic decision to commence a share buyback program of $10 million as this is a means to give value back to our shareholders. Under this program we have purchased to date about 1.1 million shares and in addition we have repurchased 2.58 million outstanding warrants, as we aspire that these recent moves together with our strong financial results and healthy balance sheet will soon be reflected in our share price.
Conference Call details:
On October 25, 2023 at 11:00 am ET, the company’s management will host a conference call to discuss the results and the company’s operations and outlook.
Online Registration:
Conference call participants should pre-register using the below link to receive the dial-in numbers and a personal PIN, which are required to access the conference call.
https://edge.media-server.com/mmc/p/tnu92b99
Slides and audio webcast:
There will also be a live and then archived webcast of the conference call, through the IMPERIAL PETROLEUM INC. website (www.ImperialPetro.com). Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.
About IMPERIAL PETROLEUM INC.
IMPERIAL PETROLEUM INC. is a ship-owning company providing petroleum products, crude oil and drybulk seaborne transportation services. The Company owns a total of nine vessels in the water- five M.R. product tankers, two suezmax tankers and two handysize dry bulk carriers with a total capacity of 628,000 deadweight tons (dwt) and has entered into an agreement to acquire two additional tanker vessels- one aframax and one product tanker which will be delivered up until the end of January 2024. Following these deliveries, the Company will own a fleet with an aggregate capacity of 791,716 dwt. IMPERIAL PETROLEUM INC.’s shares of common stock and 8.75% Series A Cumulative Redeemable Perpetual Preferred Stock are listed on the Nasdaq Capital Market and trade under the symbols “IMPP” and “IMPPP,” respectively.
Forward-Looking Statements
Matters discussed in this release may constitute forward-looking statements. Forward-looking statements reflect our current views with respect to future events and financial performance and may include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The forward-looking statements in this release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in our records and other data available from third parties. Although IMPERIAL PETROLEUM INC. believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, IMPERIAL PETROLEUM INC. cannot assure you that it will achieve or accomplish these expectations, beliefs or projections. Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the impact of any lingering impact of the COVID-19 pandemic and efforts throughout the world to contain its spread, the strength of world economies and currencies, general market conditions, including changes in charter hire rates and vessel values, charter counterparty performance, changes in demand that may affect attitudes of time charterers to scheduled and unscheduled drydockings, shipyard performance, changes in IMPERIAL PETROLEUM INC’s operating expenses, including bunker prices, drydocking and insurance costs, ability to obtain financing and comply with covenants in our financing arrangements, performance of counterparty to our vessel sale agreement, or actions taken by regulatory authorities, potential liability from pending or future litigation, domestic and international political conditions, the conflict in Ukraine and related sanctions, the conflict on Israel and Gaza, the potential disruption of shipping routes due to accidents and political events or acts by terrorists.
Risks and uncertainties are further described in reports filed by IMPERIAL PETROLEUM INC. with the U.S. Securities and Exchange Commission.
Fleet List and Fleet Deployment
For information on our fleet and further information:
Visit our website at www.ImperialPetro.com
Company Contact:
Fenia Sakellaris
IMPERIAL PETROLEUM INC.
E-mail: info@ImperialPetro.com
Fleet Data:
The following key indicators highlight the Company’s operating performance during the periods ended September 30, 2022 and September 30, 2023.
FLEET DATA | Q3 2022 | Q3 2023 | 9M 2022 | 9M 2023 |
Average number of vessels (1) | 8.10 | 9.14 | 6.05 | 10.34 |
Period end number of owned vessels in fleet | 9 | 9 | 9 | 9 |
Total calendar days for fleet (2) | 745 | 841 | 1,651 | 2,822 |
Total voyage days for fleet (3) | 745 | 745 | 1,648 | 2,692 |
Fleet utilization (4) | 100.0% | 88.6% | 99.8% | 95.4% |
Total charter days for fleet (5) | 231 | 180 | 914 | 898 |
Total spot market days for fleet (6) | 514 | 565 | 734 | 1,794 |
Fleet operational utilization (7) | 86.3% | 70.5% | 87.8% | 77.0% |
1) Average number of vessels is the number of owned vessels that constituted our fleet for the relevant period, as measured by the sum of the number of days each vessel was a part of our fleet during the period divided by the number of calendar days in that period.
2) Total calendar days for fleet are the total days the vessels we operated were in our possession for the relevant period including off-hire days associated with major repairs, drydockings or special or intermediate surveys.
3) Total voyage days for fleet reflect the total days the vessels we operated were in our possession for the relevant period net of off-hire days associated with major repairs, drydockings or special or intermediate surveys.
4) Fleet utilization is the percentage of time that our vessels were available for revenue generating voyage days, and is determined by dividing voyage days by fleet calendar days for the relevant period.
5) Total charter days for fleet are the number of voyage days the vessels operated on time or bareboat charters for the relevant period.
6) Total spot market charter days for fleet are the number of voyage days the vessels operated on spot market charters for the relevant period.
7) Fleet operational utilization is the percentage of time that our vessels generated revenue, and is determined by dividing voyage days excluding commercially idle days by fleet calendar days for the relevant period.
Reconciliation of Adjusted Net Income, EBITDA, adjusted EBITDA and adjusted EPS:
Adjusted net income represents net income before impairment loss, net gain on sale of vessel and share based compensation. EBITDA represents net income before interest and finance costs, interest income and depreciation. Adjusted EBITDA represents net income before interest and finance costs, interest income, depreciation, impairment loss, net gain on sale of vessel and share based compensation.
Adjusted EPS represents Adjusted net income divided by the weighted average number of shares. EBITDA, adjusted EBITDA, adjusted net income and adjusted EPS are not recognized measurements under U.S. GAAP. Our calculation of EBITDA, adjusted EBITDA, adjusted net income and adjusted EPS may not be comparable to that reported by other companies in the shipping or other industries. In evaluating Adjusted EBITDA, Adjusted net income and Adjusted EPS, you should be aware that in the future we may incur expenses that are the same as or similar to some of the adjustments in this presentation.
EBITDA, adjusted EBITDA, adjusted net income and adjusted EPS are included herein because they are a basis, upon which we and our investors assess our financial performance. They allow us to present our performance from period to period on a comparable basis and provide investors with a means of better evaluating and understanding our operating performance.
(Expressed in United States Dollars, | Third Quarter Ended September 30th, | Nine Months Period Ended September 30th, | ||
| 2022 | 2023 | 2022 | 2023 |
Net Income – Adjusted Net Income |
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Net income | 15,450,866 | 12,119,472 | 15,754,967 | 64,670,059 |
Less net gain on sale of vessel | -- | (8,182,777) | -- | (8,182,777) |
Plus impairment loss | -- | -- | -- | 8,996,023 |
Plus share based compensation | -- | 591,259 | -- | 1,682,448 |
Adjusted Net Income | 15,450,866 | 4,527,954 | 15,754,967 | 67,165,753 |
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Net income - EBITDA |
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Net income | 15,450,866 | 12,119,472 | 15,754,967 | 64,670,059 |
Plus interest and finance costs | 273,821 | -- | 726,736 | 1,810,769 |
Less interest income | (401,894) | (1,697,999) | (446,034) | (3,829,145) |
Plus depreciation | 3,406,741 | 3,453,982 | 8,309,572 | 12,144,043 |
EBITDA | 18,729,534 | 13,875,455 | 24,345,241 | 74,795,726 |
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Net income - Adjusted EBITDA |
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Net income | 15,450,866 | 12,119,472 | 15,754,967 | 64,670,059 |
Less net gain on sale of vessel | -- | (8,182,777) | -- | (8,182,777) |
Plus impairment loss | -- | -- | -- | 8,996,023 |
Plus share based compensation | -- | 591,259 | -- | 1,682,448 |
Plus interest and finance costs | 273,821 | -- | 726,736 | 1,810,769 |
Less interest income | (401,894) | (1,697,999) | (446,034) | (3,829,145) |
Plus depreciation | 3,406,741 | 3,453,982 | 8,309,572 | 12,144,043 |
Adjusted EBITDA | 18,729,534 | 6,283,937 | 24,345,241 | 77,291,420 |
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EPS - Adjusted EPS |
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Net income | 15,450,866 | 12,119,472 | 15,754,967 | 64,670,059 |
Adjusted net income | 15,450,866 | 4,527,954 | 15,754,967 | 67,165,753 |
Cumulative dividends on preferred shares | 435,246 | 612,538 | 1,305,737 | 1,668,029 |
Weighted average number of shares, basic | 12,683,602 | 19,754,613 | 7,164,641 | 16,928,482 |
EPS - Basic | 1.18 | 0.56 | 1.61 | 3.59 |
Adjusted EPS | 1.18 | 0.19 | 1.61 | 3.74 |
Imperial Petroleum Inc.
Unaudited Consolidated Statements of Income
(Expressed in United States Dollars, except for number of shares)
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| Quarters Ended September 30, |
| Nine Month Periods Ended September 30, | ||||
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| 2022 |
| 2023 |
| 2022 |
| 2023 |
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Revenues |
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| Revenues |
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| 42,640,525 |
| 29,378,684 |
| 59,105,174 |
| 153,844,006 | |
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Expenses |
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| Voyage expenses |
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| 17,856,046 |
| 12,206,039 |
| 22,577,358 |
| 46,806,284 | |
| Voyage expenses - related party |
| 528,457 |
| 358,645 |
| 731,919 |
| 1,905,444 | ||
| Vessels' operating expenses |
| 4,872,302 |
| 5,993,408 |
| 9,907,069 |
| 19,754,593 | ||
| Vessels' operating expenses - related party | 58,000 |
| 74,750 |
| 95,500 |
| 229,083 | |||
| Drydocking costs |
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| -- |
| 2,778,264 |
| -- |
| 4,096,574 | |
| Management fees - related party |
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| 307,135 |
| 370,480 |
| 648,760 |
| 1,242,120 | |
| General and administrative expenses |
| 311,772 |
| 1,294,943 |
| 839,757 |
| 3,761,348 | ||
| Depreciation |
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| 3,406,741 |
| 3,453,982 |
| 8,309,572 |
| 12,144,043 | |
| Impairment loss |
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| -- |
| -- |
| -- |
| 8,996,023 | |
| Net gain on sale of vessel - related party |
| -- |
| (8,182,777) |
| -- |
| (8,182,777) | ||
Total expenses |
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| 27,340,453 |
| 18,347,734 |
| 43,109,935 |
| 90,752,735 | ||
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Income from operations |
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| 15,300,072 |
| 11,030,950 |
| 15,995,239 |
| 63,091,271 | ||
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Other (expenses)/income |
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| Interest and finance costs |
| (273,821) |
| -- |
| (726,736) |
| (1,810,769) | ||
| Interest income |
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| 401,894 |
| 1,078,279 |
| 446,034 |
| 3,209,425 | |
| Interest income - related party |
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| -- |
| 619,720 |
| -- |
| 619,720 | |
| Dividend income from related party |
| -- |
| 191,667 |
| -- |
| 212,500 | ||
| Foreign exchange gain/(loss) |
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| 22,721 |
| (801,144) |
| 40,430 |
| (652,088) | |
Other income/(expenses), net |
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| 150,794 |
| 1,088,522 |
| (240,272) |
| 1,578,788 | ||
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Net Income |
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| 15,450,866 |
| 12,119,472 |
| 15,754,967 |
| 64,670,059 | ||
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Earnings per share1 |
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- Basic |
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| 1.18 |
| 0.56 |
| 1.61 |
| 3.59 | |
- Diluted |
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| 1.18 |
| 0.19 |
| 1.61 |
| 3.05 | |
Weighted average number of shares1 |
|
|
|
|
|
|
|
| |||
-Basic |
|
|
| 12,683,602 |
| 19,754,613 |
| 7,164,641 |
| 16,928,482 | |
-Diluted |
|
|
| 12,683,602 |
| 26,506,177 |
| 7,164,641 |
| 20,181,126 | |
______________________
1 Adjusted retroactively to reflect the 1-for-15 reverse stock split effected on April 28, 2023.
Imperial Petroleum Inc.
Unaudited Consolidated Balance Sheets
(Expressed in United States Dollars)
|
| December 31, | September 30, | ||
|
| 2022 | 2023 | ||
|
|
|
| ||
Assets |
|
| |||
Current assets |
|
| |||
| Cash and cash equivalents | 50,901,092 | 49,149,246 | ||
| Time deposits | 68,000,000 | 76,741,450 | ||
| Restricted cash | 1,005,827 | -- | ||
| Receivables from related parties | 146,708 | 37,163,181 | ||
| Trade and other receivables | 7,898,103 | 12,825,182 | ||
| Other current assets | 240,002 | 198,366 | ||
| Inventories | 5,507,423 | 8,072,015 | ||
| Advances and prepayments | 172,908 | 323,381 | ||
Total current assets | 133,872,063 | 184,472,821 | |||
|
|
|
| ||
Non current assets |
|
| |||
| Operating lease right-of-use assets | -- | 15,749 | ||
| Vessels, net | 226,351,081 | 183,418,145 | ||
| Restricted cash | 5,600,000 | -- | ||
| Investment in related party | -- | 12,848,500 | ||
Total non current assets | 231,951,081 | 196,282,394 | |||
Total assets | 365,823,144 | 380,755,215 | |||
|
|
|
| ||
Liabilities and Stockholders' Equity |
|
| |||
Current liabilities |
|
| |||
| Trade accounts payable | 8,115,462 | 8,896,122 | ||
| Payable to related parties | 3,016,438 | 6,034,553 | ||
| Accrued liabilities | 1,982,306 | 2,854,781 | ||
| Operating lease liabilities | -- | 15,749 | ||
| Deferred income | 1,089,959 | 146,884 | ||
| Current portion of long-term debt | 10,176,538 | -- | ||
Total current liabilities | 24,380,703 | 17,948,089 | |||
|
|
|
| ||
Non current liabilities |
|
| |||
| Long-term debt | 59,787,923 | -- | ||
Total non current liabilities | 59,787,923 | -- | |||
Total liabilities | 84,168,626 | 17,948,089 | |||
|
|
|
| ||
Commitments and contingencies |
|
| |||
|
|
|
| ||
Mezzanine equity |
|
| |||
| Preferred stock, Series C | -- | 10,000,000 | ||
Total Mezzanine equity | -- | 10,000,000 | |||
|
|
|
| ||
Stockholders' equity |
|
| |||
| Capital stock | 129,724 | 255,679 |
| |
| Preferred stock, Series A | 7,959 | 7,959 | ||
| Preferred stock, Series B | 160 | 160 | ||
| Treasury stock | - | (220,571) | ||
| Additional paid-in capital | 252,912,550 | 261,157,744 | ||
| Retained earnings | 28,604,125 | 91,606,155 | ||
Total stockholders' equity | 281,654,518 | 352,807,126 | |||
Total liabilities, mezzanine equity and stockholders' equity | 365,823,144 | 380,755,215 | |||
Imperial Petroleum Inc.
Unaudited Consolidated Statements of Cash Flows
(Expressed in United States Dollars
|
|
|
|
|
|
| Nine Month Periods Ended | ||
|
|
|
|
|
|
| 2022 |
| 2023 |
|
|
|
|
|
|
| |||
Cash flows from operating activities |
|
|
|
|
|
| |||
| Net income for the period |
|
|
|
| 15,754,967 |
| 64,670,059 | |
|
|
|
|
|
|
|
|
|
|
Adjustments to reconcile net income to net cash |
|
|
|
|
| ||||
provided by operating activities: |
|
|
|
|
|
| |||
| Depreciation |
|
|
|
| 8,309,572 |
| 12,144,043 | |
| Amortization of deferred finance charges |
|
| 39,589 |
| 474,039 | |||
| Amortization of operating lease right-of-use assets |
|
| -- |
| 46,859 | |||
| Share based compensation |
|
|
| -- |
| 1,682,448 | ||
| Impairment loss |
|
|
|
| -- |
| 8,996,023 | |
| Net gain on sale of vessel - related party |
|
|
| -- |
| (8,182,777) | ||
| Dividends income from related party |
|
|
| -- |
| (212,500) | ||
|
|
|
|
|
|
|
|
|
|
Changes in operating assets and liabilities: |
|
|
|
|
| ||||
| (Increase)/decrease in |
|
|
|
|
|
|
| |
| Trade and other receivables |
|
|
| (3,300,366) |
| (5,804,281) | ||
| Other current assets |
|
|
|
| (336,049) |
| 41,636 | |
| Inventories |
|
|
|
| (6,876,162) |
| (2,689,405) | |
| Changes in operating lease liabilities |
|
|
| (304,589) |
| (46,859) | ||
| Advances and prepayments |
|
|
|
|
| (343,434) | ||
| Increase/(decrease) in |
|
|
|
|
|
|
| |
| Trade accounts payable |
|
|
| 4,810,104 |
| 1,191,399 | ||
| Balances with related parties |
|
|
| 1,164,908 |
| 1,360,652 | ||
| Accrued liabilities |
|
|
|
| 1,068,377 |
| 1,230,122 | |
| Deferred income |
|
|
|
| 1,697,180 |
| (827,135) | |
Net cash provided by operating activities |
|
| 22,027,531 |
| 73,730,889 | ||||
|
|
|
|
|
|
|
|
|
|
Cash flows from investing activities |
|
|
|
|
|
| |||
| Proceeds from sale of vessel, net |
|
|
| -- |
| 3,865,890 | ||
| Acquisition and improvement of vessels |
|
| (99,772,170) |
| (27,684,795) | |||
| Increase in bank time deposits |
|
|
| (30,000,000) |
| (138,646,650) | ||
| Maturity of bank time deposits |
|
|
| (571,233) |
| 129,905,200 | ||
Net cash used in investing activities |
|
|
| (130,343,403) |
| (32,560,355) | |||
|
|
|
|
|
|
|
|
|
|
Cash flows from financing activities |
|
|
|
|
|
| |||
| Proceeds from equity offering |
|
|
| 167,572,514 |
| 27,950,586 | ||
| Stock issuance costs |
|
|
|
| (10,916,611) |
| (303,933) | |
| Stock repurchase |
|
|
| -- |
| (220,571) | ||
| Dividends paid on preferred shares |
|
|
| (1,305,737) |
| (1,515,789) | ||
| Customer deposits paid |
|
|
| (368,000) |
| -- | ||
| Deferred finance charges paid |
|
|
| (127,500) |
| -- | ||
| Loan repayments |
|
|
|
| (2,402,000) |
| (70,438,500) | |
| Proceeds from long-term debt |
|
|
| 17,000,000 |
| -- | ||
| Cash retained by C3is Inc. at spin off |
|
|
| -- |
| (5,000,000) | ||
Net cash provided by/(used in) financing activities |
| 169,452,666 |
| (49,528,207) | |||||
|
|
|
|
|
|
|
|
|
|
Net increase/(decrease) in cash, cash equivalents and restricted cash |
| 61,136,794 |
| (8,357,673) | |||||
Cash, cash equivalents and restricted cash at beginning of year |
|
| 6,341,059 |
| 57,506,919 | ||||
Cash, cash equivalents and restricted cash at end of period |
|
| 67,477,853 |
| 49,149,246 | ||||
Cash breakdown |
|
|
|
|
| ||||
| Cash and cash equivalents |
|
|
| 62,435,080 |
| 49,149,246 | ||
| Restricted cash, current |
|
|
| 1,942,773 |
| -- | ||
| Restricted cash, non current |
|
|
| 3,100,000 |
| -- | ||
Total cash, cash equivalents and restricted cash shown in the statements of cash flows | 67,477,853 |
| 49,149,246 | ||||||
Supplemental Cash Flow Information: |
|
|
|
|
|
| |||
| Interest paid |
|
|
|
| -- |
| 1,735,054 | |
| Non cash investing activity – Vessel improvements included in liabilities | -- |
| 405,448 | |||||
| Non cash investing activity – Dividend income from related party included in Investment in related party | -- |
| 212,500 | |||||
| Non cash financing activity – Dividends on Preferred Shares Series C included in Balances with related parties | -- |
| 152,240 | |||||
| Distribution of net assets of C3is Inc. to shareholders and warrantholders | -- |
| 20,957,952 | |||||
