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Revenue

• $517.7 million for FY 2018
• $127.4 million for Q4 2018

Cash from operating activities

• $55.6 millionfor FY 2018
• $16.0 million for Q4 2018

Adjusted EBITDA

• $179.6 millionfor FY 2018
• $45.5 million for Q4 2018

Positioned to Capture Market Recovery

• 26.7% fixed days for FY 2019

MONACO, Feb. 20, 2019 (GLOBE NEWSWIRE) -- Navios Maritime Holdings Inc. ("Navios Holdings" or "the Company") (NYSE: NM), a global, vertically integrated seaborne shipping and logistics company, today reported financial results for the fourth quarter and year ended December 31, 2018.

Angeliki Frangou, Chairman and Chief Executive Officer, stated, “I am pleased with the results of the fourth quarter and full year of 2018. For the fourth quarter, we reported revenue of $127.4 million and Adjusted EBITDA of $45.5 million.  For the full year, we reported revenue of $517.7 million and Adjusted EBITDA of $179.6 million.”

Angeliki Frangou continued, “During 2018, improved charter markets positively impacted our business results. The Time Charter Equivalent of our fleet was about 30% higher in 2018 compared to 2017. This more than doubled our adjusted EBITDA from core shipping operations. Of course, the first quarter of 2019 has been adversely affected by the Vale tragedy, as well as unexpected weakness due to tariff concerns.”

HIGHLIGHTS – RECENT DEVELOPMENTS

Navios Holdings Extended Time Period Under Exchange Offer andWaived Minimum Condition 

The Company has extended the expiration date of its exchange offer and consent solicitation (the “Exchange Offer”) to exchange cash and/or newly issued 9.75% Senior Notes due 2024 (the “Notes”) for approximately 66 2/3% of each of the outstanding American Depositary Shares, each representing 1/100th of a share of 8.75% Series G Cumulative Redeemable Perpetual Preferred Stock (the “Series G ADSs”) and 8.625% Series H Cumulative Redeemable Perpetual Preferred Stock (the “Series H ADSs”) through 5:00 pm on Friday, March 1, 2019 whereby the Company has offered to exchange:

• $7.25 in cash and/or $8.28 principal amount of the Notes for each Series G ADS and
• $7.16 in cash and/or $8.19 principal amount of the Notes for each Series H ADS.

The Company is waiving the following condition to the Exchange Offer:

1. 946,100, representing approximately 66 2/3%, of the outstanding Series G ADSs having been validly tendered and not properly withdrawn prior to the Expiration Date; and
2. 1,907,600, representing approximately 66 2/3%, of the outstanding Series H ADSs having been validly tendered and not properly withdrawn prior to the Expiration Date.

Control over Navios Maritime Containers L.P. (“Navios Containers”)

As of November 30, 2018, Navios Holdings obtained control over Navios Containers and consequently consolidated Navios Containers from that date onwards.

One-for-Ten Reverse Stock Split

A one-for-ten reverse split of Navios Holdings’ common stock was approved by the Company’s stockholders at its annual regular meeting. The reverse stock split was effected on January 3, 2019 when the common stock began trading on a split-adjusted basis on the New York Stock Exchange, under the same ticker symbol, NM. For all the periods presented Basic Loss and Adjusted Basic Loss attributable to Navios Holdings’ common stockholders per Share have been revised to effect the reverse stock split.

Fleet Update

In February 2019, the Company agreed to sell to an unrelated third party the Navios Meridian, a 2002-built Ultra Handymax vessel of 50,316 dwt, for a total net sale price of $6.8 million, to be paid in cash.

Navios Holdings controls a fleet of 65 vessels totaling 6.6 million dwt, of which 35 are owned and 30 are chartered-in under long-term charters (collectively, the "Core Fleet"). The fleet consists of 19 Capesize, 30 Panamax, 14 Ultra-Handymax and two Handysize vessels, with an average age of 7.9 years, basis fully delivered fleet.

As of February 15, 2019, Navios Holdings has chartered-out 70.9% of available days of 2019, out of which 26.7% are chartered-out on fixed rate and 44.2% on index. The 2019 average contracted daily charter-in rate for the long-term charter-in vessels is $13,628.

The above figures do not include the fleets of Navios Logistics and Navios Containers and vessels servicing contracts of affreightment.

Exhibit II provides certain details of the Core Fleet of Navios Holdings. It does not include the fleets of Navios Logistics and Navios Containers.

Earnings Highlights

EBITDA, Adjusted EBITDA, Adjusted Net Loss attributable to Navios Holdings’ common stockholders and Adjusted Basic Loss attributable to Navios Holdings’ common stockholders 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 attributable to Navios Holdings’ common stockholders and Adjusted Basic Loss attributable to Navios Holdings’ common stockholders per Share of Navios Holdings (including Navios Logistics and Navios Containers), and EBITDA of Navios Logistics and Navios Containers (both on a stand-alone basis) and a reconciliation of such measures to the most comparable measures calculated under U.S. GAAP.

Fourth Quarter 2018 and 2017 Results (in thousands of U.S. dollars, except per share data and unless otherwise stated):

The fourth 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
		December 31,			December 31,
		2018			2017
		(unaudited)			(unaudited)
Revenue	$	127,353		$	128,530
Net Loss attributable to Navios Holdings’ common stockholders	$	(200,753)		$	(51,601)
Adjusted Net Loss attributable to Navios Holdings’ common stockholders	$	(18,955)	(1)	$	(15,275)	(2)
Net cash provided by operating activities	$	16,046		$	14,540
EBITDA	$	(136,297)		$	7,669
Adjusted EBITDA	$	45,501	(1)	$	43,995	(2)
Basic Loss attributable to Navios Holdings’ common stockholders per Share	$	(16.93)		$	(4.60)
Adjusted Basic Loss attributable to Navios Holdings’ common stockholders per Share	$	(1.79)	(1)	$	(1.51)	(2)

(1)

Adjusted EBITDA, Adjusted Net Loss attributable to Navios Holdings’ common stockholders and Adjusted Basic Loss attributable to Navios Holdings’ common stockholders per Share for the three months ended December 31, 2018 exclude (i) $184.6 million impairment losses related to drybulk vessels, (ii) a $55.5 million other-than-temporary (“OTTI”) impairment relating to our investment in an affiliate company and (iii) $58.3 million bargain gain upon obtaining control over Navios Containers.

(2)

Adjusted EBITDA, Adjusted Net Loss attributable to Navios Holdings’ common stockholders and Adjusted Basic Loss attributable to Navios Holdings’ common stockholders per Share for the three months ended December 31, 2017 exclude $36.3 million impairment losses related to one vessel and intangible assets.

Revenue from dry bulk vessel operations for the three months ended December 31, 2018 was $75.9 million, as compared to $78.6 million for the same period during 2017. The slight decrease in dry bulk revenue was mainly attributable to the decline in freight and time charter market during the periods compared.

Revenue from the logistics business was $39.4 million for the three months ended December 31, 2018 as compared to $49.9 million for the same period in 2017. The decrease was mainly attributable to (i) a $6.6 million decrease in revenue from the port terminal business, mainly due to the iron ore port interruption of services as a consequence of the fire incident, expected to be recovered from loss of earnings insurance. The insurance amount were reflected as “Other income” in the consolidated financial statements; and (ii) a $5.3 million decrease in revenue from the barge business mainly related to liquid cargo transportation. The overall decrease was partially mitigated by a $1.4 million increase in revenue from the cabotage business mainly due to an increase in operating days of the cabotage fleet.

Revenue of Navios Containers for the period from November 30, 2018 (date of obtaining control) to December 31, 2018 amounted to $12.1 million and consisted of time charter revenues.

Net Loss attributable to Navios Holdings’ common stockholders was $200.8 million for the three months ended December 31, 2018, as compared to $51.6 million Net Loss attributable to Navios Holdings’ common stockholders for the same period in 2017. Net Loss attributable to Navios Holdings’ common stockholders was affected by items described in the table above. Excluding these items, Adjusted Net Loss attributable to Navios Holdings’ common stockholders for the three months ended December 31, 2018 was $19.0 million, as compared to $15.3 million Adjusted Net Loss attributable to Navios Holdings’ common stockholders for the same period in 2017. This increase was mainly due to (i) a $2.8 million decrease in income tax benefit, (ii) a $1.6 million increase in interest expense and finance cost, net and (iii) a $1.4 million increase in depreciation and amortization. This overall increase of $5.8 million was partially mitigated by (i) a $1.5 million increase in Adjusted EBITDA and (ii) a $0.6 million decrease in amortization for deferred drydock and special survey costs.

Net Loss of Navios Logistics, on a standalone basis, was $2.8 million for the three month period ended December 31, 2018 as compared to $0.2 million for the same period in 2017.

Net Income, on a standalone basis, of Navios Containers for the period from November 30, 2018 (date of obtaining control) to December 31, 2018 amounted to $0.8 million.

Adjusted EBITDA of Navios Holdings for the three months ended December 31, 2018 increased by $1.5 million to $45.5 million, as compared to $44.0 million for the same period in 2017. The increase in Adjusted EBITDA was primarily due (i) an $11.3 million increase in other income/(expense), net, (ii) a $2.7 million decrease in loss on bond extinguishment, (iii) a $2.5 million decrease in general and administrative expenses (excluding share-based compensation expenses), (iv) a $1.3 million decrease in time charter, voyage and logistics business expenses and (v) a $0.2 million increase in net loss attributable to noncontrolling interest. This overall increase of $18.0 million was partially offset by (i) a $13.2 million decrease in equity in net (losses)/earnings from affiliated companies, (ii) a $2.2 million increase in direct vessel expenses (excluding the amortization of deferred drydock and special survey costs) and (iii) a $1.1 million decrease in revenue.

EBITDA of Navios Logistics, on a standalone basis, was $16.4 million for the three month period ended December 31, 2018, as compared to $15.0 million for the same period in 2017.

EBITDA of Navios Containers, on a standalone basis, for the period from November 30, 2018 (date of obtaining control) to December 31, 2018 amounted to $5.0 million.

Year Ended December 31, 2018 and 2017 Results (in thousands of U.S. dollars, except per share data and unless otherwise stated):

The information for the year ended December 31, 2018 and 2017 presented below was derived from the unaudited condensed consolidated financial statements for the respective periods.

		Year Ended			Year Ended
		December 31,			December 31,
		2018			2017
		(unaudited)			(unaudited)
Revenue	$	517,739		$	463,049
Net Loss attributable to Navios Holdings’ common stockholders	$	(268,718)		$	(165,910)
Adjusted Net Loss attributable to Navios Holdings’ common stockholders	$	(70,850)	(1)	$	(110,666)		(2)
Net cash provided by operating activities	$	55,637		$	48,117
EBITDA	$	(18,231)		$	68,813
Adjusted EBITDA	$	179,637	(1)	$	124,057		(2)
Basic Loss attributable to Navios Holdings’ common stockholders per Share	$	(23.33)		$	(15.02)
Adjusted Basic Loss attributable to Navios Holdings’ common stockholders per Share	$	(6.78)	(1)	$	(10.38)		(3)

(1)	Adjusted EBITDA, Adjusted Net Loss attributable to Navios Holdings’ common stockholders and Adjusted Basic Loss attributable to Navios Holdings’ common stockholders per Share for the year ended December 31, 2018 exclude (i) $200.7 million impairment losses related to drybulk vessels, (ii) a $55.5 million OTTI impairment relating to our investment in an affiliate company and (iii) a $58.3 million bargain gain upon obtaining control over Navios Containers.
(2)	Adjusted EBITDA and Adjusted Net Loss attributable to Navios Holdings’ common stockholders for the year ended December 31, 2017 exclude (i) $50.5 million impairment losses related to drybulk vessels and intangible assets and (iii) $4.7 million non-cash impairment losses relating to our affiliates.
(3)	Adjusted Basic Loss attributable to Navios Holdings’ common stockholders per Share for the year ended December 31, 2017 excludes items referred in footnote (2) as well as a benefit of $1.0 million following the completion of the 2017 Series G and Series H Exchange Programs.

Revenue from dry bulk vessel operations for the year ended December 31, 2018 was $298.0 million, as compared to $250.4 million for the same period in 2017. The increase in dry bulk revenue was mainly attributable to the increase in TCE per day by 29.1% to $12,534 per day in the year ended December 31, 2018, as compared to $9,705 per day in the same period in 2017.

Revenue from the logistics business was $207.6 million for the year ended December 31, 2018 as compared to $212.6 million for the same period during 2017. The decrease was mainly attributable to (i) a $13.2 million decrease in revenue from the barge business mainly related to liquid cargo transportation and (ii) a $5.0 million decrease in revenue from the cabotage business mainly due to fewer operating days and lower rates. The overall decrease was partially mitigated by a $13.2 million increase in revenue from the port terminal business mainly due to the commencement of operations at the new iron ore terminal.

Net Loss attributable to Navios Holdings’ common stockholders was $268.7 million for the year ended December 31, 2018, as compared to $165.9 million Net Loss attributable to Navios Holdings’ common stockholders for the same period in 2017. Net Loss attributable to Navios Holdings’ common stockholders was affected by items described in the table above. Excluding these items, Adjusted Net Loss of Navios Holdings for the year ended December 31, 2018 was $70.9 million, as compared to $110.7 million Adjusted Net Loss attributable to Navios Holdings’ common stockholders for the same period in 2017. This decrease was mainly due to (i) a $55.5 million increase in Adjusted EBITDA, (ii) a $1.3 million decrease in depreciation and amortization and (iii) a $1.0 million decrease in amortization for deferred drydock and special survey costs. This overall decrease of $57.8 million was partially mitigated by (i) a $15.6 million increase in interest expense and finance cost, net, (ii) a $2.1 million decrease in income tax benefit and (iii) a $0.3 million increase in share-based compensation expense.

Net Income of Navios Logistics, on a standalone basis, was $6.9 million for the year ended December 31, 2018, as compared to $3.1 million for the same period in 2017.

Adjusted EBITDA of Navios Holdings for the year ended December 31, 2018 increased by $55.5 million to $179.6 million, as compared to $124.1 million for the same period in 2017. The increase in Adjusted EBITDA was primarily due to (i) a $54.7 million increase in revenue, (ii) a $14.2 million decrease in direct vessel expenses (excluding the amortization of deferred drydock and special survey costs), (iii) a $7.6 million decrease in time charter, voyage and logistics business expenses, (iv) a $7.5 million increase in gain on bond and debt extinguishment, (v) a $7.1 million decrease in other expense, net and (vi) a $0.3 million decrease in general and administrative expenses (excluding share-based compensation expenses). This overall increase of $91.4 million was partially mitigated by (i) a $33.8 million decrease in equity in net earnings from affiliated companies and (ii) a $2.1 million increase in net income attributable to the noncontrolling interest.

EBITDA of Navios Logistics, on a standalone basis, was $81.1 million for the year ended December 31, 2018, as compared to $62.5 million for the same period in 2017.

Fleet Summary Data:

The following table reflects certain key indicators indicative of the performance of Navios Holdings' dry bulk operations (excluding the Navios Logistics and Navios Containers fleet) and its fleet performance for the three month period and year ended December 31, 2018 and 2017, respectively.

		Three Month			Three Month			Year			Year
		Period Ended			Period Ended			Ended			Ended
		December 31,			December 31,			December 31,			December 31,
		2018			2017			2018			2017
		(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
Available Days (1)			5,716			5,869			22,938			23,433
Operating Days (2)			5,705			5,845			22,855			23,359
Fleet Utilization (3)			99.8%			99.6%			99.6%			99.7%
Equivalent Vessels (4)			62			64			63			64
TCE (5)		$	13,033		$	12,305		$	12,534		$	9,705

(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 scheduled 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, Navios Holdings will host a conference call today, February 20, 2019, at 8:30 am ET, at which time Navios Holdings' senior management will provide highlights and commentary on earnings results for the fourth quarter and year ended December 31, 2018.

A supplemental slide presentation will be available on the Navios Holdings website at www.navios.com under the "Investors" section by 8:00 am ET on the day of the call.

Conference Call details:

Call Date/Time: Wednesday, February 20, 2019 at 8:30 am ET
Call Title: Navios Holdings Q4 2018 Financial Results Conference Call
US Dial In: +1.877.480.3873
International Dial In: +1.404.665.9927
Conference ID: 419 1839

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: 419 1839

This call will be simultaneously Webcast. The Webcast will be available on the Navios Holdings website, www.navios.com, under the "Investors" section. The Webcast will be archived and available at the same Web address for two weeks following the call.

Complete Terms and Conditions of the Exchange Offer 

Georgeson LLC is acting as the Information Agent for the Exchange Offer. 
Bank of New York Mellon is acting as the Exchange Agent and Depositary for the Exchange Offer. 
The complete terms and conditions of the Exchange Offer and Consent Solicitation are set forth in the Prospectus (defined below), as supplemented by Amendment No. 3 to the Schedule TO filed on February 19, 2019  (the “Offering Materials”).
Copies of the Offering Materials may also be obtained from the Information Agent upon request:
Georgeson LLC 
Call Toll-Free: (888) 566-3252
Contact via E-mail at: Navios@georgeson.com 

Important Notices and Additional Information
This press release is for informational purposes only. This press release is neither an offer to purchase nor a solicitation to buy any of the existing Series G ADSs or Series H ADSs or the underlying preferred shares of the Series G ADSs or Series H ADSs. This press release shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful. In connection with the Exchange Offer and Consent Solicitation, the Company has filed with the SEC a Registration Statement on Form F-4 that includes a Prospectus, as it may be amended or supplemented, (the “Prospectus”) and other Exchange Offer and Consent Solicitation related documents, which fully describe the terms and condition of the Exchange Offer and Consent Solicitation. The Company is making the Exchange Offer and Consent Solicitation only by, and pursuant to the terms of, the Prospectus. The Exchange Offer and Consent Solicitation are not being made in any jurisdiction in which the making or acceptance thereof would not be in compliance with the securities, blue sky or other laws of such jurisdiction. None of the Company, the Information Agent or the Exchange Agent for the Exchange Offer and Consent Solicitation makes any recommendation in connection with the Exchange Offer and Consent Solicitation. The Company urges holders of Series G ADSs and Series H ADSs to read the registration statement, the Prospectus, and related financial disclosures (including all amendments and supplements) and to consult with their tax, financial, etc. advisors before making any investment decision.”

About Navios Maritime Holdings Inc.

Navios Maritime Holdings Inc. (NYSE: NM) is a global, vertically integrated seaborne shipping and logistics company focused on the transport and transshipment of dry bulk commodities including iron ore, coal and grain. For more information about Navios Holdings please visit our website: www.navios.com.

About Navios South American Logistics Inc.

Navios South American Logistics Inc. is one of the largest logistics companies in the Hidrovia region of South America, focusing on the Hidrovia region river system, the main navigable river system in the region, and on cabotage trades along the eastern coast of South America. Navios Logistics serves the storage and marine transportation needs of its petroleum, agricultural and mining customers through its port terminals, river barge and coastal cabotage operations. For more information about Navios Logistics please visit its website: www.navios-logistics.com.

About Navios Maritime Containers L.P.

Navios Maritime Containers L.P. (NASDAQ: NMCI) is a growth vehicle dedicated to the container sector of the maritime industry. For more information, please visit its website at www.navios-containers.com.

About Navios Maritime Partners L.P.

Navios Maritime Partners L.P. (NYSE: NMM) is a publicly traded master limited partnership which owns and operates container and dry cargo vessels. For more information, please visit its website at www.navios-mlp.com.

About Navios Maritime Acquisition Corporation

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.

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 2019, future contracted revenues, potential capital gains, our ability to take advantage of dislocation in the market and any market recovery, and Navios Holdings' growth strategy and measures to implement such strategy; including expected vessel acquisitions and entering into further time charters. Words such as “may,” “expects,” “intends,” “plans,” “believes,” “anticipates,” “hopes,” “estimates,” and variations of such words and similar expressions are intended to identify forward-looking statements. Such statements include comments regarding expected revenue and time charters. These forward-looking statements are based on the information available to, and the expectations and assumptions deemed reasonable by Navios Holdings at the time these statements were made. Although Navios Holdings 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 Navios Holdings. 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 uncertainty relating to global trade, including prices of seaborne commodities and continuing issues related to seaborne volume and ton miles, our continued ability to enter into long-term time charters, our ability to maximize the use of our vessels, expected demand in the dry cargo shipping sector in general and the demand for our Panamax, Capesize and Ultra Handymax vessels in particular, fluctuations in charter rates for dry cargo carriers vessels, the aging of our fleet and resultant increases in operations costs, the loss of any customer or charter or vessel, the financial condition of our customers, changes in the availability and costs of funding due to conditions in the bank market, capital markets and other factors, increases in costs and expenses, including but not limited to: crew wages, insurance, provisions, port expenses, lube oil, bunkers, repairs, maintenance, and general and administrative expenses, the expected cost of, and our ability to comply with, governmental regulations and maritime self-regulatory organization standards, as well as standard regulations imposed by our charterers applicable to our business, general domestic and international political conditions, competitive factors in the market in which Navios Holdings operates, the value of our publicly traded subsidiaries, risks associated with operations outside the United States, Vale’s obligations under the Vale port contract, and other factors listed from time to time in Navios Holdings' filings with the Securities and Exchange Commission, including its Forms 20-F and Forms 6-K. Navios Holdings 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 Navios Holdings' expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based. Navios Holdings makes no prediction or statement about the performance of its common stock.
Contact:

Navios Maritime Holdings Inc.
+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 December 31, 2018					Three Month  Period Ended  December 31, 2017					Year Ended December 31, 2018					Year Ended December 31, 2017
	(unaudited)					(unaudited)					(unaudited)					(unaudited)
Revenue		$	127,353				$	128,530				$	517,739			$	463,049
Administrative fee revenue from affiliates			6,905					6,725					28,393				23,667
Time charter, voyage and logistics business expenses			(50,970)					(52,301)					(206,333)				(213,929)
Direct vessel expenses(1)			(27,787)					(26,147)					(101,543)				(116,713)
General and administrative expenses incurred on behalf of affiliates			(6,905)					(6,725)					(28,393)				(23,667)
General and administrative expenses(2)			(5,756)					(8,318)					(27,513)				(27,521)
Depreciation and amortization			(27,592)					(26,219)					(102,839)				(104,112)
Interest expense and finance cost, net			(32,575)					(30,968)					(130,372)				(114,780)
Impairment losses			(184,587)					(36,326)					(200,657)				(50,565)
Bargain gain upon obtaining control			58,313					—					58,313				—
(Loss)/gain on bond and debt extinguishment			—					(2,695)					6,464				(981)
Other income/(expense), net			9,255					(2,037)					327				(6,826)
Loss before equity in net earnings of affiliated companies			(134,346)					(56,481)					(186,414)				(172,378)
Equity in net (losses)/earnings of affiliated companies			(66,485)					2,191					(80,205)				4,399
Loss before taxes		$	(200,831)				$	(54,290)				$	(266,619)			$	(167,979)
Income tax (expense)/benefit			(216)					2,630					1,108				3,192
Net loss			(201,047)					(51,660)					(265,511)				(164,787)
Less: Net loss/(income) attributable to the noncontrolling interest			294					59					(3,207)				(1,123)
Net loss attributable to Navios Holdings’ common stockholders		$	(200,753)				$	(51,601)				$	(268,718)			$	(165,910)
Loss attributable to Navios Holdings’ common stockholders, basic and diluted		$	(203,315)				$	(54,249)				$	(278,959)			$	(175,298)
Basic and diluted net losses per share attributable to Navios Holdings’ common stockholders		$	(16.93)				$	(4.60)				$	(23.33)			$	(15.02)
Weighted average number of shares, basic and diluted			12,008,386					11,789,846					11,958,959				11,667,346

(1)	Includes expenses of Navios Logistics of $12.9 million and $15.5 million for the three months ended December 31, 2018 and 2017, respectively, and $56.2 million and $70.5 million for the year ended December 31, 2018 and 2017, respectively. Also includes expenses of Navios Containers of $5.3 million for the period from November 30, 2018, (date of obtaining control) to December 31, 2018.
(2)	Includes expenses of Navios Logistics of $3.8 million and $5.0 million for the three months ended December 31, 2018 and 2017, respectively, and $15.1 million and $16.7 million for the year ended December 31, 2018 and 2017, respectively. Also includes expenses of Navios Containers of $0.9 million for the period from November 30, 2018, (date of obtaining control) to December 31, 2018.

NAVIOS MARITIME HOLDINGS INC.
Other Financial Data

		December 31,				December 31,
		2018				2017
		(unaudited)				(unaudited)
ASSETS
Cash and cash equivalents, including restricted cash		$	150,774			$	134,190
Deposits for vessels, port terminals and other fixed assets			—				36,849
Vessels, port terminal and other fixed assets, net			1,898,455				1,809,225
Goodwill and other intangibles			299,273				276,758
Other current and non-current assets			333,994				372,959
Total assets		$	2,682,496			$	2,629,981
LIABILITIES AND EQUITY
Long-term, debt, including current portion			543,899				380,489
Senior and ship mortgage notes, net			1,272,108				1,301,999
Other current and non-current liabilities			344,809				330,329
Total stockholders’ equity			521,680				617,164
Total liabilities and stockholders’ equity		$	2,682,496			$	2,629,981

Disclosure of Non-GAAP Financial Measures

EBITDA, Adjusted EBITDA, Adjusted Net Loss attributable to Navios Holdings’ common stockholders 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 the United States.

EBITDA represents net (loss)/income attributable to Navios Holdings' common stockholders before interest and finance costs, before depreciation and amortization, before income taxes and before stock-based compensation. Adjusted EBITDA represents EBITDA, excluding certain items as described under “Earnings Highlights”. We use EBITDA and Adjusted EBITDA as liquidity measures and reconcile EBITDA and Adjusted EBITDA to net cash provided by operating activities, the most comparable U.S. GAAP liquidity measure. EBITDA is calculated as follows: net cash provided by operating activities adding back, when applicable and as the case may be, the effect of (i) net increase/(decrease) in operating assets, (ii) net (increase)/decrease in operating liabilities, (iii) net interest cost, (iv) deferred finance charges and gains/(losses) on bond and debt extinguishment, (v) (provision)/recovery for losses on accounts receivable, (vi) equity in affiliates, net of dividends received, (vii) payments for drydock and special survey costs, (viii) noncontrolling interest, (ix) gain/ (loss) on sale of assets/ subsidiaries and bargain gain, (x) unrealized (loss)/gain on derivatives, and (xi) loss on sale and reclassification to earnings of available-for-sale securities and impairment charges. Navios Holdings believes that EBITDA and Adjusted EBITDA are a basis upon which liquidity can be assessed and represents useful information to investors regarding Navios Holdings’ ability to service and/or incur indebtedness, pay capital expenditures, meet working capital requirements and pay dividends. Navios Holdings also believes that EBITDA and Adjusted EBITDA are used (i) by prospective and current lessors as well as potential lenders to evaluate potential transactions; (ii) to evaluate and price potential acquisition candidates; and (iii) by securities analysts, investors and other interested parties in the evaluation of companies in our industry.

EBITDA and Adjusted EBITDA are presented to provide additional information with respect to the ability of Navios Holdings to satisfy its respective obligations, including debt service, capital expenditures, working capital requirements and pay dividends. While EBITDA and Adjusted EBITDA are frequently used as measures of operating results and the ability to meet debt service requirements, the definitions of EBITDA and Adjusted EBITDA used here may not be comparable to those used by other companies due to differences in methods of calculation.

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.

We present Adjusted Net Loss because we believe it assists investors and analysts in comparing our operating performance across reporting periods on a consistent basis by excluding items that we do not believe are indicative of our core operating performance. Our presentation of Adjusted Net Loss adjusts net income/(loss) attributable to Navios Holdings’ common stockholders for the items described above under “Earnings Highlights”.  The definition of Adjusted Net Loss used here may not be comparable to that used by other companies due to differences in methods of calculation.

Adjusted Basic Loss Per Share is defined as Adjusted Loss attributable to Navios Holdings’ common stockholders divided by the weighted average number of shares for each of the periods presented.

The following tables provide a reconciliation of EBITDA and Adjusted EBITDA of Navios Holdings (including Navios Logistics and Navios Containers) and EBITDA of Navios Logistics and Navios Containers on a stand-alone basis:

Navios Holdings Reconciliation of EBITDA and Adjusted EBITDA to Cash from Operations

	December 31,					December 31,
Three Months Ended	2018					2017
(in thousands of U.S. dollars)	(unaudited)					(unaudited)
Net cash provided by operating activities	$		16,046			$	14,540
Net increase in operating assets			11,890				8,568
Net increase in operating liabilities			(3,567)				(8,711)
Net interest cost			32,575				30,968
Deferred finance charges			(1,917)				(2,097)
Provision for losses on accounts receivable			(157)				(545)
Equity in affiliates, net of dividends received			(12,095)				1,954
Payments for drydock and special survey costs			1,566				800
Noncontrolling interest			294				59
Other gain/(loss) on assets			866				(11)
Vessel impairment losses			(184,587)				(36,326)
Bargain gain upon obtaining control			58,313				—
Impairment loss on investment in affiliate			(55,524)				—
Loss on bond and debt extinguishment			—				(1,530)
EBITDA	$		(136,297)			$	7,669
Vessel impairment losses			184,587				36,326
Bargain gain upon obtaining control			(58,313)				—
Impairment loss on investment in affiliate			55,524				—
Adjusted EBITDA	$		45,501			$	43,995

Three Month Period Ended (in thousands of U.S. dollars)	December 31, 2018			December 31, 2017
	(unaudited)			(unaudited)
Net cash provided by operating activities	$	16,046		$	14,540
Net cash used in investing activities	$	(24,007)		$	(9,378)
Net cash provided by financing activities	$	15,754		$	9,790

Adjusted EBITDA breakdown
	December 31,			December 31,
Three Months Ended	2018			2017
(in thousands of U.S. dollars)	(unaudited)			(unaudited)
Adjusted EBITDA from core shipping operations	$	34,763		$	26,730
Navios Logistics (including noncontrolling interest)		17,408			15,074
Navios Containers (including noncontrolling interest)		4,291			—
Equity in net (losses)/earnings of affiliated companies		(10,961)			2,191
Adjusted EBITDA	$	45,501		$	43,995

Navios Logistics EBITDA Reconciliation to Net Loss

	December 31,			December 31,
Three Months Ended	2018			2017
(in thousands of U.S. dollars)	(unaudited)			(unaudited)
Net loss	$	(2,815)		$	(162)
Depreciation and amortization		7,672			7,241
Amortization of deferred drydock and special survey costs		1,429			2,054
Interest expense and finance cost, net		9,954			8,587
Income tax expense/(benefit)		150			(2,705)
EBITDA	$	16,390		$	15,015

Navios Containers Reconciliation of EBITDA to Cash from Operations

		Period from November 30, 2018 (date of obtaining control) to December 31, 2018
(in thousands of U.S. dollars)		(unaudited)
Net cash used in operating activities	$	(3,791)
Net increase in operating assets		1,292
Net decrease in operating liabilities		4,833
Net interest cost		1,204
Deferred finance charges		(14)
Payments for drydock and special survey costs		1,491
EBITDA	$	5,015

Navios Holdings Reconciliation of EBITDA and Adjusted EBITDA to Cash from Operations

	December 31,		December 31,
Year Ended	2018		2017
(in thousands of U.S. dollars)	(unaudited)		(unaudited)
Net cash provided by operating activities	$	55,637		$	48,117
Net increase/(decrease) in operating assets		25,632			(22,385)
Net increase in operating liabilities		(6,662)			(20,814)
Net interest cost		130,372			114,780
Deferred finance charges		(7,880)			(6,391)
Provision for losses on accounts receivable		(575)			(269)
Equity in affiliates, net of dividends received		(28,793)			(4,610)
Payments for drydock and special survey costs		7,755			10,824
Noncontrolling interest		(3,207)			(1,123)
Other gain on assets		894			1,064
Vessel impairment losses		(200,657)			(50,565)
Bargain gain upon obtaining control		58,313			—
Impairment loss on investment in affiliate		(55,524)			—
Gain on bond and debt extinguishment		6,464			185
EBITDA	$	(18,231)		$	68,813
Vessel impairment losses		200,657			50,565
Bargain gain upon obtaining control		(58,313)			—
Impairment loss on investment in affiliate		55,524			—
Other items from affiliates		—			4,679
Adjusted EBITDA	$	179,637		$	124,057

Year Ended	December 31, 2018				December 31, 2017
(in thousands of U.S. dollars)	(unaudited)				(unaudited)
Net cash provided by operating activities	$	55,637			$	48,117
Net cash provided by/(used in) investing activities	$	27,863			$	(42,365)
Net cash used in financing activities	$	(66,916)			$	(12,940)

Adjusted EBITDA breakdown
	December 31,			December 31,
Year Ended	2018			2017
(in thousands of U.S. dollars)	(unaudited)			(unaudited)
Adjusted EBITDA from core shipping operations	$	121,361		$	53,563
Navios Logistics (including noncontrolling interest)		78,666			61,416
Navios Containers (including noncontrolling interest)		4,291			—
Equity in net (losses)/earnings of affiliated companies		(24,681)			9,078
Adjusted EBITDA	$	179,637		$	124,057

Navios Logistics EBITDA Reconciliation to Net Income

	December 31,			December 31,
Year Ended	2018			2017
(in thousands of U.S. dollars)	(unaudited)			(unaudited)
Net income	$	6,862		$	3,105
Depreciation and amortization		29,307			26,865
Amortization of deferred drydock and special survey costs		7,204			7,928
Interest expense and finance cost, net		39,152			28,109
Income tax benefit		(1,376)			(3,468)
EBITDA	$	81,149		$	62,539

EXHIBIT II

Owned Vessels

Vessel Name		Vessel Type		Year Built		Deadweight (in metric tons)
Navios Serenity		Handysize		2011		34,690
Navios Vector		Ultra Handymax		2002		50,296
Navios Meridian (1)		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 Primavera		Ultra Handymax		2007		53,464
Navios Ulysses		Ultra Handymax		2007		55,728
Navios Celestial		Ultra Handymax		2009		58,063
Navios Vega		Ultra Handymax		2009		58,792
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 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
(1) Agreed to be sold

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 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
Navios Marco Polo		Panamax		2011		80,647		Yes
Navios Southern Star		Panamax		2013		82,224		Yes
Sea Victory		Panamax		2014		77,095		Yes
Elsa S		Panamax		2015		80,954		No
Navios Amber		Panamax		2015		80,994		Yes
Navios Sky		Panamax		2015		82,056		Yes
Navios Coral		Panamax		2016		84,904		Yes
Navios Citrine		Panamax		2017		81,626		Yes
Navios Dolphin		Panamax		2017		81,630		Yes
Mont Blanc Hawk		Panamax		2017		81,638		No
Cassiopeia Ocean		Panamax		2018		82,069		No
Navios Gemini		Panamax		2018		81,704		No (3)
Navios Horizon I		Panamax		2019		81,692		No (3)
King Ore		Capesize		2010		176,800		Yes
Navios Koyo		Capesize		2011		181,415		Yes
Navios Obeliks		Capesize		2012		181,415		Yes
Dream Canary		Capesize		2015		180,528		Yes
Dream Coral		Capesize		2015		181,249		Yes
Navios Felix		Capesize		2016		181,221		Yes

Long term Bareboat Chartered-in Fleet to be delivered

Vessel Name		Vessel Type		Delivery date		Deadweight (in metric tons)		Purchase Option(1)
Navios Herakles I		Panamax		Q3 2019		82,000		Yes
Navios Felicity I		Panamax		Q4 2019		81,000		Yes
Navios Uranus		Panamax		Q4 2019		82,000		Yes
TBN		Panamax		Q1 2020		82,000		Yes
Navios Magellan II		Panamax		Q2 2020		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.