Navios Maritime Holdings Inc. Reports Financial Results for the Third Quarter and Nine Months Ended September 30, 2015
$131.0 million revenue for Q3 2015- Strong balance sheet -
$174.5 million of cash - Diversified investment vehicle -Significant investment in two public companies
- Positioned to weather difficult market through
- Low operating expenses - significantly below industry average
- Flexible chartering strategy
- Strong balance sheet
- Return of Capital - up to
$25.0 million share repurchase program.
HIGHLIGHTS -- RECENT DEVELOPMENTS
Return of capital
Share repurchase program
On
Time Charter Coverage
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
As of
- Net Debt to Total Book Capitalization of 53.5%
- Cash of
$174.5 million
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
See Exhibit I under the heading, "Disclosure of Non-GAAP Financial Measures," for a discussion of Adjusted EBITDA of
Third Quarter 2015 and 2014 Results (in thousands of U.S. dollars, except per share data and unless otherwise stated):
The third quarter 2015 and 2014 information presented below was derived from the unaudited condensed consolidated financial statements for the respective periods.
Three Month Period | Three Month Period | |||||||
Ended | Ended | |||||||
September 30, | September 30, | |||||||
2015 | 2014 | |||||||
(unaudited) | (unaudited) | |||||||
Revenue | $ | 130,955 | $ | 152,592 | ||||
EBITDA | $ | 37,755 | $ | 42,414 | ||||
Adjusted EBITDA (*) | $ | 39,538 | $ | 42,414 | ||||
Net Loss | $ | (22,061 | ) | $ | (16,595 | ) | ||
Adjusted Net Loss (*) | $ | (20,278 | ) | $ | (16,595 | ) | ||
Basic Loss per Share | $ | (0.25 | ) | $ | (0.20 | ) | ||
Adjusted Basic Loss per share (*) | $ | (0.23 | ) | $ | (0.20 | ) | ||
(*) Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss per Share for the three months ended
Revenue from drybulk vessel operations for the three months ended
Revenue from the logistics business was
Adjusted EBITDA of
Adjusted EBITDA of Navios Logistics was
Adjusted Net Loss of
Nine Months Ended
The information for the nine month period ended
Nine Month Period | Nine Month Period | |||||||
Ended | Ended | |||||||
September 30, | September 30, | |||||||
2015 | 2014 | |||||||
(unaudited) | (unaudited) | |||||||
Revenue | $ | 369,074 | $ | 420,191 | ||||
EBITDA | $ | 96,701 | $ | 124,675 | ||||
Adjusted EBITDA (*) | $ | 98,484 | $ | 153,640 | ||||
Net Loss | $ | (73,552 | ) | $ | (51,222 | ) | ||
Adjusted Net Loss (*) | $ | (71,769 | ) | $ | (22,257 | ) | ||
Basic Loss per Share | $ | (0.81 | ) | $ | (0.56 | ) | ||
Adjusted Basic Loss per Share (*) | $ | (0.80 | ) | $ | (0.28 | ) | ||
(*) Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss per Share for the nine months ended
Revenue from drybulk vessel operations for the nine months ended
Revenue from the logistics business was
Adjusted EBITDA of
Adjusted EBITDA of Navios Logistics was
Adjusted Net Loss of
Fleet Summary Data:
The following table reflects certain key indicators indicative of the performance of the
Three Month | Three Month | Nine Month | Nine Month | |||||||||||||
Period Ended | Period Ended | Period Ended | Period Ended | |||||||||||||
September 30, | September 30, | September 30, | September 30, | |||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
(Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||
Available Days (1) | 6,245 | 5,449 | 17,429 | 16,006 | ||||||||||||
Operating Days (2) | 6,122 | 5,443 | 17,188 | 15,972 | ||||||||||||
Fleet Utilization (3) | 98.0 | % | 99.9 | % | 98.6 | % | 99.8 | % | ||||||||
Equivalent Vessels (4) | 68 | 59 | 64 | 59 | ||||||||||||
TCE (5) | $ | 8,570 | $ | 11,550 | $ | 7,776 | $ | 12,084 | ||||||||
(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. 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:
Call Title:
US Dial In: +1.877.480.3873
International Dial In: +1.404.665.9927
Conference ID: 5673 8586
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: 5673 8586
This call will be simultaneously Webcast. The Webcast will be available on the
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Forward Looking Statements - Safe Harbor
This press release contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events and expectations, including with respect to
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 September 30, 2015 |
Three Month Period Ended September 30, 2014 |
Nine Month Period Ended September 30, 2015 |
Nine Month Period Ended September 30, 2014 |
|||||||||||||
(unaudited) | (unaudited) | (unaudited) | (unaudited) | |||||||||||||
Revenue | $ | 130,955 | $ | 152,592 | $ | 369,074 | $ | 420,191 | ||||||||
Administrative fee revenue from affiliates | 4,142 | 3,631 | 11,946 | 10,512 | ||||||||||||
Time charter, voyage and logistics business expenses | (63,386 | ) | (72,506 | ) | (191,176 | ) | (187,198 | ) | ||||||||
Direct vessel expenses (1) | (33,751 | ) | (35,785 | ) | (100,316 | ) | (97,953 | ) | ||||||||
General and administrative expenses incurred on behalf of affiliates | (4,142 | ) | (3,631 | ) | (11,946 | ) | (10,512 | ) | ||||||||
General and administrative expenses (2) | (6,303 | ) | (7,784 | ) | (21,782 | ) | (28,382 | ) | ||||||||
Depreciation and amortization | (27,356 | ) | (26,798 | ) | (76,040 | ) | (78,300 | ) | ||||||||
Interest expense and finance cost, net | (27,534 | ) | (27,940 | ) | (83,410 | ) | (84,507 | ) | ||||||||
Loss on bond extinguishment | - | - | - | (27,281 | ) | |||||||||||
Other (expense)/income, net | (6,709 | ) | (2,392 | ) | (11,944 | ) | (7,807 | ) | ||||||||
Loss before equity in net earnings of affiliated companies | (34,084 | ) | (20,613 | ) | (115,594 | ) | (91,237 | ) | ||||||||
Equity in net earnings of affiliated companies | 16,828 | 5,094 | 48,708 | 34,591 | ||||||||||||
Loss before taxes | $ | (17,256 | ) | $ | (15,519 | ) | $ | (66,886 | ) | $ | (56,646 | ) | ||||
Income tax (expense) / benefit | (955 | ) | 35 | 888 | (1,101 | ) | ||||||||||
Net loss | (18,211 | ) | (15,484 | ) | (65,998 | ) | (57,747 | ) | ||||||||
Less: Net (income)/loss attributable to thenoncontrolling interest | (3,850 | ) | (1,111 | ) | (7,554 | ) | 6,525 | |||||||||
Net loss attributable to NaviosHoldings common stockholders | $ | (22,061 | ) | $ | (16,595 | ) | $ | (73,552 | ) | $ | (51,222 | ) | ||||
Loss attributable to Navios Holdingscommon stockholders, basic and diluted | $ | (26,115 | ) | $ | (20,506 | ) | $ | (85,772 | ) | $ | (57,933 | ) | ||||
Basic and diluted net losses per share attributable toNavios Holdings common stockholders | $ | (0.25 | ) | $ | (0.20 | ) | $ | (0.81 | ) | $ | (0.56 | ) | ||||
Weighted average number of shares, basic and diluted | 106,409,052 | 103,798,829 | 105,641,650 | 103,082,480 | ||||||||||||
(1) | Includes expenses of Navios Logistics of $21.4 million, $22.8 million, $62.3 million and $58.4 million for the three months ended September 30, 2015 and 2014 and nine months ended September 30, 2015 and 2014, respectively. |
(2) | Includes expenses of Navios Logistics of $3.1 million, $3.8 million, $10.6 million and $10.5 million for the three months ended September 30, 2015 and 2014 and nine months ended September 30, 2015 and 2014, respectively. |
NAVIOS MARITIME HOLDINGS INC. Other Financial Data |
||||||
September 30, 2015 |
December 31, 2014 |
|||||
(unaudited) | (unaudited) | |||||
ASSETS | ||||||
Cash and cash equivalents | $ | 173,360 | $ | 247,556 | ||
Restricted cash | 1,131 | 2,564 | ||||
Other current assets | 140,830 | 167,011 | ||||
Deposits for vessel acquisitions | 63,223 | 45,365 | ||||
Vessels, port terminal and other fixed assets, net | 1,847,285 | 1,911,143 | ||||
Other noncurrent assets | 439,970 | 404,230 | ||||
Goodwill and other intangibles | 336,292 | 349,828 | ||||
Total assets | $ | 3,002,091 | $ | 3,127,697 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||
Current liabilities, including current portion of long-term debt, net | 201,135 | 198,334 | ||||
Senior and ship mortgage notes, net | 1,349,943 | 1,347,316 | ||||
Long-term debt, net | 222,065 | 242,291 | ||||
Other noncurrent liabilities | 58,476 | 73,246 | ||||
Total stockholders' equity | 1,170,472 | 1,266,510 | ||||
Total liabilities and stockholders' equity | $ | 3,002,091 | $ | 3,127,697 | ||
Nine Month Period Ended September 30, 2015 |
Nine Month Period Ended September 30, 2014 |
|||||||
(unaudited) | (unaudited) | |||||||
Net cash provided by operating activities | $ | 22,378 | $ | 33,775 | ||||
Net cash used in investing activities | $ | (27,624 | ) | $ | (165,908 | ) | ||
Net cash (used in)/ provided by financing activities | $ | (68,950 | ) | $ | 234,394 | |||
Disclosure of Non-GAAP Financial Measures
EBITDA represents net income/ (loss) attributable to
EBITDA and Adjusted EBITDA are presented to provide additional information with respect to the ability of
Navios Logistics EBITDA and Adjusted EBITDA are used to measure the company's operating performance.
The following tables provide a reconciliation of Adjusted EBITDA of
Navios Holdings Reconciliation of Adjusted EBITDA to Cash from Operations
September 30, | September 30, | |||||||
Three Months Ended | 2015 | 2014 | ||||||
(in thousands of U.S. dollars) | (unaudited) | (unaudited) | ||||||
Net cash provided/ (used in) by operating activities | $ | 20,639 | $ | (6,717 | ) | |||
Net increase/ (decrease) in operating assets | 30,837 | (2,841 | ) | |||||
Net (increase)/ decrease in operating liabilities | (45,771 | ) | 26,189 | |||||
Net interest cost | 27,534 | 27,940 | ||||||
Deferred finance charges | (1,135 | ) | (943 | ) | ||||
Provision for losses on accounts receivable | (95 | ) | (377 | ) | ||||
Equity in affiliates, net of dividends received | 7,512 | (2,693 | ) | |||||
Payments for drydock and special survey | 3,867 | 2,967 | ||||||
Noncontrolling interest | (3,850 | ) | (1,111 | ) | ||||
Adjusted EBITDA | $ | 39,538 | $ | 42,414 | ||||
Navios Logistics Adjusted EBITDA Reconciliation to Net Income
September 30, | September 30, | ||||||
Three Months Ended | 2015 | 2014 | |||||
(in thousands of U.S. dollars) | (unaudited) | (unaudited) | |||||
Net income | $ | 10,642 | $ | 3,072 | |||
Depreciation and amortization | 6,486 | 6,652 | |||||
Amortization of deferred drydock and special survey costs | 1,656 | 1,696 | |||||
Interest expense and finance cost, net | 6,521 | 6,836 | |||||
Income tax expense/ (benefit) | 880 | (129 | ) | ||||
Adjusted EBITDA | $ | 26,185 | $ | 18,127 | |||
Navios Holdings Reconciliation of Adjusted EBITDA to Cash from Operations
September 30, | September 30, | |||||||
Nine Months Ended | 2015 | 2014 | ||||||
(in thousands of U.S. dollars) | (unaudited) | (unaudited) | ||||||
Net cash provided by operating activities | $ | 22,378 | $ | 33,775 | ||||
Net (decrease)/ increase in operating assets | (28,671 | ) | 26,506 | |||||
Net increase in operating liabilities | (9,142 | ) | (21,739 | ) | ||||
Net interest cost | 83,410 | 84,507 | ||||||
Deferred finance charges | (3,290 | ) | (2,679 | ) | ||||
Expenses related to Navios Logistics bond extinguishment | - | (4,786 | ) | |||||
Provision for losses on accounts receivable | (104 | ) | (866 | ) | ||||
Equity in affiliates, net of dividends received | 21,674 | 7,291 | ||||||
Payments for drydock and special survey | 19,783 | 7,694 | ||||||
Noncontrolling interest | (7,554 | ) | 6,525 | |||||
Portion of loss on Navios Logistics bond extinguishment | - | 17,412 | ||||||
Adjusted EBITDA | $ | 98,484 | $ | 153,640 | ||||
Navios Logistics Adjusted EBITDA Reconciliation to Net Income/ (Loss)
September 30, | September 30, | |||||||
Nine Months Ended | 2015 | 2014 | ||||||
(in thousands of U.S. dollars) | (unaudited) | (unaudited) | ||||||
Net income/ (loss) | $ | 20,880 | $ | (18,540 | ) | |||
Depreciation and amortization | 19,544 | 18,701 | ||||||
Amortization of deferred drydock and special survey costs | 5,119 | 4,246 | ||||||
Interest expense and finance cost, net | 20,069 | 20,999 | ||||||
Income tax (benefit)/ expense | (1,105 | ) | 829 | |||||
Loss on bond extinguishment | -- | 27,281 | ||||||
Adjusted EBITDA | $ | 64,507 | $ | 53,516 | ||||
EXHIBIT II | ||||||
Owned Vessels | ||||||
Vessel Name | Vessel Type | Year Built | Deadweight (in metric tons) |
|||
Navios Serenity | Handysize | 2011 | 34,690 | |||
Navios Ionian | Ultra Handymax | 2000 | 52,067 | |||
Navios Horizon | Ultra Handymax | 2001 | 50,346 | |||
Navios Herakles | Ultra Handymax | 2001 | 52,061 | |||
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 Northern Star | Panamax | 2005 | 75,395 | |||
Navios Amitie | 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 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 | |||
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 Apollon | Ultra Handymax | 2000 | 52,073 | No | ||||
Navios Primavera | Ultra Handymax | 2007 | 53,464 | Yes | ||||
Navios Oriana | Ultra Handymax | 2012 | 61,442 | Yes | ||||
Navios Mercury | Ultra Handymax | 2013 | 61,393 | Yes | ||||
Navios Venus | Ultra Handymax | 2015 | 61,339 | Yes | ||||
Navios Libra II | Panamax | 1995 | 70,136 | No | ||||
Golden Heiwa | Panamax | 2007 | 76,662 | 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 | ||||
Navios Sky | Panamax | 2015 | 82,056 | Yes | ||||
Navios Amber | Panamax | 2015 | 80,994 | Yes | ||||
Beaufiks | Capesize | 2004 | 180,310 | Yes | ||||
Rubena N | Capesize | 2006 | 203,233 | No | ||||
King Ore | Capesize | 2010 | 176,800 | No | ||||
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 | ||||
Owned Fleet to be Delivered
Vessels | Vessel Type | Delivery Date |
Deadweight (in metric tons) |
|||
Navios Sphera | Panamax | Q1 2016 | 84,000 | |||
Navios Mars | Capesize | Q1 2016 | 180,600 | |||
Long-term Chartered-in Fleet to be Delivered
Vessel | Delivery | Deadweight | Purchase | |||||
Vessels | Type | Date | (in metric tons) | Option | ||||
Navios Felix | Capesize | Q1 2016 | 180,000 | Yes | ||||
Navios TBN | Panamax | Q4 2016 | 81,000 | Yes | ||||
Navios TBN | Panamax | Q4 2016 | 81,000 | Yes | ||||
Navios Coral | Panamax | Q4 2016 | 84,000 | 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. |
Contact:
+1.212.906.8643
investors@navios.com
Source: