Navios Maritime Holdings Inc. Reports Financial Results for the First Quarter Ended March 31, 2018
$116.9 million revenue for Q1 2018$17.8 million net cash from operating activities for Q1 2018$28.1 million Adjusted EBITDA for Q1 2018; 60% increase vs Q1 2017- Premiere operator in dry bulk sector; 200+ vessel under management
- Renewing and Expanding Fleet; 2017-2018YTD added seven vessels (net)
- Positioned to capture market recovery; 10,870 days market exposure
- 40% increase in TCE for Q1 2018 vs Q1 2017
$121.9 million cash as ofMarch 31, 2018
HIGHLIGHTS – RECENT DEVELOPMENTS
Fleet Renewal and Expansion
In
Including the above agreement,
Fleet update
As of
The above figures do not include the fleet of Navios Logistics and vessels servicing contracts of affreightment.
Exhibit II provides certain details of the Core Fleet of
Earnings Highlights
EBITDA, Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss per Share are non-U.S. GAAP financial measures and should not be used in isolation or as substitution for Navios Holdings’ results calculated in accordance with U.S. GAAP.
See Exhibit I under the heading, “Disclosure of Non-GAAP Financial Measures,” for a discussion of EBITDA, Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss per Share of
First Quarter 2018 and 2017 Results (in thousands of U.S. dollars, except per share data and unless otherwise stated):
The first quarter 2018 and 2017 information presented below was derived from the unaudited condensed consolidated financial statements for the respective periods.
Three Month Period Ended | Three Month Period Ended |
||||||||||||||
March 31, | March 31, | ||||||||||||||
2018 | 2017 | ||||||||||||||
(unaudited) | (unaudited) | ||||||||||||||
Revenue | $ | 116,882 | $ | 95,346 | |||||||||||
Net Loss | $ | (40,857 | ) | $ | (48,719 | ) | |||||||||
Adjusted Net Loss | $ | (34,142 | ) | (1 | ) | $ | (39,621 | ) | (2 | ) | |||||
Net cash provided by operating activities | $ | 17,806 | $ | 25,685 | |||||||||||
EBITDA | $ | 21,383 | $ | 8,434 | |||||||||||
Adjusted EBITDA | $ | 28,098 | (1 | ) | $ | 17,532 | (2 | ) | |||||||
Basic Loss per Share | $ | (0.35 | ) | $ | (0.45 | ) | |||||||||
Adjusted Basic Loss per Share | $ | (0.30 | ) | (1 | ) | $ | (0.37 | ) | (2 | ) |
(1) | Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss per Share for the three months ended March 31, 2018 exclude a $6.7 million impairment loss relating to the sale of Navios Herakles. | |
(2) | Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss per Share for the three months ended March 31, 2017 exclude a $9.1 million impairment loss relating to the sale of Navios Ionian. |
Revenue from dry bulk vessel operations for the three months ended
Revenue from the logistics business was
Net Loss of
Net loss of Navios Logistics was
Adjusted EBITDA of
EBITDA of Navios Logistics was
Fleet Summary Data:
The following table reflects certain key indicators indicative of the performance of
Three Month | Three Month | |||||||||||
Period Ended | Period Ended | |||||||||||
March 31, | March 31, | |||||||||||
2018 | 2017 | |||||||||||
(Unaudited) | (Unaudited) | |||||||||||
Available Days (1) | 5,554 | 5,803 | ||||||||||
Operating Days (2) | 5,517 | 5,791 | ||||||||||
Fleet Utilization (3) | 99.3 | % | 99.8 | % | ||||||||
Equivalent Vessels (4) | 62 | 64 | ||||||||||
TCE (5) | $ | 10,983 | $ | 7,857 |
(1) | Available days for the fleet are total calendar days the vessels were in Navios Holdings' possession for the relevant period after subtracting off-hire days associated with major repairs, drydocking or special surveys and ballast days relating to voyages. The shipping industry uses available days to measure the number of days in a relevant period during which vessels should be capable of generating revenues. | |
(2) | Operating days are the number of available days in the relevant period less the aggregate number of days that the vessels are off-hire due to any reason, including unforeseen circumstances. The shipping industry uses operating days to measure the aggregate number of days in a relevant period during which vessels actually generate revenues. | |
(3) | Fleet utilization is the percentage of time that Navios Holdings' vessels were available for generating revenue, and is determined by dividing the number of operating days during a relevant period by the number of available days during that period. The shipping industry uses fleet utilization to measure a company's efficiency in finding suitable employment for its vessels. | |
(4) | Equivalent Vessels is defined as the total available days during a relevant period divided by the number of days of this period. | |
(5) | TCE is defined as voyage and time charter revenues less voyage expenses during a relevant period divided by the number of available days during the period. |
Conference Call:
As previously announced,
A supplemental slide presentation will be available on the
Conference Call details:
Call Date/Time: | Tuesday, May 15, 2018, at 8:30 am ET | |
Call Title: | Navios Holdings Q1 2018 Financial Results Conference Call | |
US Dial In: | +1.877.480.3873 | |
International Dial In: | +1.404.665.9927 | |
Conference ID: | 322 5559 |
The conference call replay will be available shortly after the live call and remain available for one week at the following numbers:
US Replay Dial In: | +1.800.585.8367 | |
International Replay Dial In: | +1.404.537.3406 | |
Conference ID: | 322 5559 |
This call will be simultaneously Webcast. The Webcast will be available on the
About
About
About
About
Navios Acquisition (NYSE:NNA) is an owner and operator of tanker vessels focusing on the transportation of petroleum products (clean and dirty) and bulk liquid chemicals. For more information about Navios Acquisition, please visit its website: www.navios-acquisition.com.
About
About
Forward Looking Statements - Safe Harbor
This press release and our earnings call contain and will contain 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, including cash flow generation for the remaining nine months of 2018, future contracted revenues, potential capital gains, our ability to take advantage of dislocation in the market and any market recovery, and
Contact:
+1.212.906.8643
investors@navios.com
EXHIBIT I | ||||||||||||||||
NAVIOS MARITIME HOLDINGS INC. | ||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
(Expressed in thousands of U.S. dollars — except share and per share data) | ||||||||||||||||
Three Month Period Ended March 31, 2018 |
Three Month Period Ended March 31, 2017 |
|||||||||||||||
(unaudited) | (unaudited) | |||||||||||||||
Revenue | $ | 116,882 | $ | 95,346 | ||||||||||||
Administrative fee revenue from affiliates | 7,005 | 5,298 | ||||||||||||||
Time charter, voyage and logistics business expenses | (50,966 | ) | (50,726 | ) | ||||||||||||
Direct vessel expenses(1) | (24,793 | ) | (30,044 | ) | ||||||||||||
General and administrative expenses incurred on behalf of affiliates | (7,005 | ) | (5,298 | ) | ||||||||||||
General and administrative expenses(2) | (6,927 | ) | (6,384 | ) | ||||||||||||
Depreciation and amortization | (26,066 | ) | (25,623 | ) | ||||||||||||
Interest expense and finance cost, net | (31,810 | ) | (27,422 | ) | ||||||||||||
Impairment loss on sale of vessel | (6,715 | ) | (9,098 | ) | ||||||||||||
Other expense, net | (4,819 | ) | (1,355 | ) | ||||||||||||
Loss before equity in net earnings of affiliated companies | (35,214 | ) | (55,306 | ) | ||||||||||||
Equity in net (loss)/earnings of affiliated companies | (6,464 | ) | 5,082 | |||||||||||||
Loss before taxes | $ | (41,678 | ) | $ | (50,224 | ) | ||||||||||
Income tax benefit | 442 | 417 | ||||||||||||||
Net loss | (41,236 | ) | (49,807 | ) | ||||||||||||
Less: Net loss attributable to the noncontrolling interest | 379 | 1,088 | ||||||||||||||
Net loss attributable to Navios Holdings common stockholders |
$ | (40,857 | ) | $ | (48,719 | ) | ||||||||||
Loss attributable to Navios Holdings common stockholders, basic and diluted | $ | (43,406 | ) | $ | (51,363 | ) | ||||||||||
Basic and diluted net losses per share attributable to Navios Holdings common stockholders | $ | (0.35 | ) | $ | (0.45 | ) | ||||||||||
Weighted average number of shares, basic and diluted | 122,975,604 | 115,168,874 |
(1) | Includes expenses of Navios Logistics of $15.3 million and $17.5 million for the three months ended March 31, 2018 and 2017, respectively. | |
(2) | Includes expenses of Navios Logistics of $3.9 million and $3.5 million for the three months ended March 31, 2018 and 2017, respectively. |
NAVIOS MARITIME HOLDINGS INC. | |||||||||
Other Financial Data | |||||||||
March 31, 2018 |
December 31, 2017 |
||||||||
(unaudited) | (unaudited) | ||||||||
ASSETS | |||||||||
Cash and cash equivalents, including restricted cash | $ | 121,853 | $ | 134,190 | |||||
Other current assets | 125,050 | 121,886 | |||||||
Deposits for vessels, port terminals and other fixed assets | 7,474 | 36,849 | |||||||
Vessels, port terminal and other fixed assets, net | 1,815,291 | 1,809,225 | |||||||
Other non-current assets | 255,897 | 251,073 | |||||||
Goodwill and other intangibles | 275,435 | 276,758 | |||||||
Total assets | $ | 2,601,000 | $ | 2,629,981 | |||||
LIABILITIES AND EQUITY | |||||||||
Current liabilities, including current portion of long-term debt, net | 241,483 | 236,194 | |||||||
Senior and ship mortgage notes, net | 1,303,108 | 1,301,999 | |||||||
Long-term debt, net of current portion | 337,346 | 346,604 | |||||||
Other non-current liabilities | 141,981 | 128,020 | |||||||
Total stockholders’ equity | 577,082 | 617,164 | |||||||
Total liabilities and stockholders’ equity | $ | 2,601,000 | $ | 2,629,981 | |||||
Disclosure of Non-GAAP Financial Measures
EBITDA, Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss per Share are “non-U.S. GAAP financial measures” and should not be used in isolation or considered substitutes for net income/ (loss), cash flow from operating activities and other operations or cash flow statement data prepared in accordance with generally accepted accounting principles in
EBITDA represents net (loss)/income attributable to
EBITDA and Adjusted EBITDA are presented to provide additional information with respect to the ability of
EBITDA and Adjusted EBITDA have limitations as an analytical tool, and therefore, should not be considered in isolation or as a substitute for the analysis of Navios Holdings’ results as reported under U.S. GAAP. Some of these limitations are: (i) EBITDA and Adjusted EBITDA do not reflect changes in, or cash requirements for, working capital needs; (ii) EBITDA and Adjusted EBITDA do not reflect the amounts necessary to service interest or principal payments on our debt and other financing arrangements; and (iii) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized may have to be replaced in the future. EBITDA and Adjusted EBITDA do not reflect any cash requirements for such capital expenditures. Because of these limitations, among others, EBITDA and Adjusted EBITDA should not be considered as a principal indicator of Navios Holdings’ performance. Furthermore, our calculation of EBITDA and Adjusted EBITDA may not be comparable to that reported by other companies due to differences in methods of calculation.
Navios Logistics EBITDA is used to measure its operating performance.
The following tables provide a reconciliation of EBITDA and Adjusted EBITDA of
Navios Holdings Reconciliation of EBITDA and Adjusted EBITDA to Cash from Operations
March 31, | March 31, | ||||||
Three Months Ended | 2018 | 2017 | |||||
(in thousands of U.S. dollars) | (unaudited) | (unaudited) | |||||
Net cash provided by operating activities | $ | 17,806 | $ | 25,685 | |||
Net increase/(decrease) in operating assets | 3,622 | (28,136 | ) | ||||
Net increase in operating liabilities | (21,635 | ) | (14,690 | ) | |||
Net interest cost | 31,809 | 27,422 | |||||
Deferred finance charges | (1,641 | ) | (1,389 | ) | |||
Provision for losses on accounts receivable | (433 | ) | (254 | ) | |||
(Loss)/ equity in affiliates, net of dividends received | (6,937 | ) | 821 | ||||
Payments for drydock and special survey costs | 5,100 | 5,955 | |||||
Noncontrolling interest | 379 | 1,088 | |||||
Other gain on assets | 28 | 1,030 | |||||
Impairment loss on sale of vessel | (6,715 | ) | (9,098 | ) | |||
EBITDA | $ | 21,383 | $ | 8,434 | |||
Impairment loss on sale of vessel | 6,715 | 9,098 | |||||
Adjusted EBITDA | $ | 28,098 | $ | 17,532 |
Three Month Period Ended (in thousands of U.S. dollars) |
March 31, 2018 |
March 31, 2017 |
|||||
(unaudited) | (unaudited) | ||||||
Net cash provided by operating activities | $ | 17,806 | $ | 25,685 | |||
Net cash used in investing activities | $ | (17,500 | ) | $ | (22,977 | ) | |
Net cash used in financing activities | $ | (12,643 | ) | $ | (5,895 | ) |
Navios Logistics EBITDA Reconciliation to Net Loss
March 31, | March 31, | ||||||
Three Months Ended | 2018 | 2017 | |||||
(in thousands of U.S. dollars) | (unaudited) | (unaudited) | |||||
Net loss | $ | (1,047 | ) | $ | (3,007 | ) | |
Depreciation and amortization | 7,228 | 6,090 | |||||
Amortization of deferred drydock and special survey costs | 1,890 | 1,698 | |||||
Interest expense and finance cost, net | 9,245 | 5,781 | |||||
Income tax benefit | (510 | ) | (484 | ) | |||
EBITDA | $ | 16,806 | $ | 10,078 |
EXHIBIT II | |||||||||
Owned Vessels | |||||||||
Vessel Name | Vessel Type | Year Built | Deadweight (in metric tons) |
||||||
Navios Serenity | Handysize | 2011 | 34,690 | ||||||
Navios Achilles | Ultra Handymax | 2001 | 52,063 | ||||||
Navios Vector | Ultra Handymax | 2002 | 50,296 | ||||||
Navios Meridian | Ultra Handymax | 2002 | 50,316 | ||||||
Navios Mercator | Ultra Handymax | 2002 | 53,553 | ||||||
Navios Arc | Ultra Handymax | 2003 | 53,514 | ||||||
Navios Hios | Ultra Handymax | 2003 | 55,180 | ||||||
Navios Kypros | Ultra Handymax | 2003 | 55,222 | ||||||
Navios Astra | Ultra Handymax | 2006 | 53,468 | ||||||
Navios Ulysses | Ultra Handymax | 2007 | 55,728 | ||||||
Navios Celestial | Ultra Handymax | 2009 | 58,063 | ||||||
Navios Vega | Ultra Handymax | 2009 | 58,792 | ||||||
Navios Magellan | Panamax | 2000 | 74,333 | ||||||
Navios Star | Panamax | 2002 | 76,662 | ||||||
Navios Amitie | Panamax | 2005 | 75,395 | ||||||
Navios Northern Star | Panamax | 2005 | 75,395 | ||||||
Navios Taurus | Panamax | 2005 | 76,596 | ||||||
Navios Asteriks | Panamax | 2005 | 76,801 | ||||||
Navios Galileo | Panamax | 2006 | 76,596 | ||||||
N Amalthia | Panamax | 2006 | 75,318 | ||||||
N Bonanza | Panamax | 2006 | 76,596 | ||||||
Navios Avior | Panamax | 2012 | 81,355 | ||||||
Navios Centaurus | Panamax | 2012 | 81,472 | ||||||
Navios Sphera | Panamax | 2016 | 84,872 | ||||||
Navios Equator Prosper | Capesize | 2000 | 171,191 | ||||||
Navios Stellar | Capesize | 2009 | 169,001 | ||||||
Navios Bonavis | Capesize | 2009 | 180,022 | ||||||
Navios Happiness | Capesize | 2009 | 180,022 | ||||||
Navios Phoenix | Capesize | 2009 | 180,242 | ||||||
Navios Lumen | Capesize | 2009 | 180,661 | ||||||
Navios Antares | Capesize | 2010 | 169,059 | ||||||
Navios Etoile | Capesize | 2010 | 179,234 | ||||||
Navios Bonheur | Capesize | 2010 | 179,259 | ||||||
Navios Altamira | Capesize | 2011 | 179,165 | ||||||
Navios Azimuth | Capesize | 2011 | 179,169 | ||||||
Navios Ray | Capesize | 2012 | 179,515 | ||||||
Navios Gem | Capesize | 2014 | 181,336 | ||||||
Navios Mars | Capesize | 2016 | 181,259 |
Long term Chartered-in Fleet in Operation
Vessel Name | Vessel Type | Year Built |
Deadweight (in metric tons) |
Purchase Option(1) |
||||
Navios Lyra | Handysize | 2012 | 34,718 | Yes (2) | ||||
Navios Primavera | Ultra Handymax | 2007 | 53,464 | Yes | ||||
Mercury Ocean | Ultra Handymax | 2008 | 53,452 | No | ||||
Kouju Lily | Ultra Handymax | 2011 | 58,872 | No | ||||
Navios Oriana | Ultra Handymax | 2012 | 61,442 | Yes | ||||
Navios Mercury | Ultra Handymax | 2013 | 61,393 | Yes | ||||
Navios Venus | Ultra Handymax | 2015 | 61,339 | Yes | ||||
Osmarine | Panamax | 2006 | 76,000 | No | ||||
Navios Aldebaran | Panamax | 2008 | 76,500 | Yes | ||||
KM Imabari | Panamax | 2009 | 76,619 | No | ||||
Navios Marco Polo | Panamax | 2011 | 80,647 | Yes | ||||
Navios Southern Star | Panamax | 2013 | 82,224 | Yes | ||||
Sea Victory | Panamax | 2014 | 77,095 | Yes | ||||
Navios Sky | Panamax | 2015 | 82,056 | Yes | ||||
Navios Amber | Panamax | 2015 | 80,994 | Yes | ||||
Elsa S | Panamax | 2015 | 80,954 | No | ||||
Navios Coral | Panamax | 2016 | 84,904 | Yes | ||||
Navios Dolphin | Panamax | 2017 | 81,630 | Yes | ||||
Navios Citrine | Panamax | 2017 | 81,626 | Yes | ||||
Mont Blanc Hawk | Panamax | 2017 | 81,638 | No | ||||
Pacific Explorer | Capesize | 2007 | 177,000 | No | ||||
King Ore | Capesize | 2010 | 176,800 | Yes | ||||
Navios Koyo | Capesize | 2011 | 181,415 | Yes | ||||
Navios Obeliks | Capesize | 2012 | 181,415 | Yes | ||||
Dream Coral | Capesize | 2015 | 181,249 | Yes | ||||
Dream Canary | Capesize | 2015 | 180,528 | Yes | ||||
Navios Felix | Capesize | 2016 | 181,221 | Yes |
Long term Chartered-in Fleet to be delivered
Vessel Name | Vessel Type | Delivery date | Deadweight (in metric tons) |
Purchase Option(1) |
||||||
TBN | Panamax | May 2018 | 82,000 | No | ||||||
Navios Gemini | Panamax | Q4 2018 | 81,500 | No(3) | ||||||
Navios Horizon I | Panamax | Q1 2019 | 81,500 | No(3) | ||||||
Long term Bareboat Chartered-in Fleet to be delivered
Vessel Name | Vessel Type | Delivery date | Deadweight (in metric tons) |
Purchase Option(1) |
||||
TBN | Panamax | Q4 2019 | 82,000 | Yes | ||||
TBN | Panamax | Q1 2020 | 82,000 | Yes | ||||
TBN | Panamax | Q4 2019 | 82,000 | Yes | ||||
TBN | Panamax | Q4 2019 | 81,000 | Yes |
(1) | Generally, Navios Holdings may exercise its purchase option after three to five years of service. | |
(2) | Navios Holdings holds the initial 50% purchase option on the vessel. | |
(3) | Navios Holdings has the right of first refusal and profit share on sale of vessel. |
Source: Navios Maritime Holdings, Inc.