- GAAP net loss attributable to Pangaea of US$2.7 million, or US$0.04 per share
- Adjusted net loss attributable to Pangaea of US$1.4 million, or US$0.02 per share
- Adjusted EBITDA of US$15.3 million
- Time Charter Equivalent ("TCE") rates earned by Pangaea of US$12,108 per day
- Pangaea's TCE rates exceeded the average Baltic Panamax, Supramax, and Handysize indices by 17%
- Declared quarterly cash dividend of US$0.05 per common share and repurchased 202 822 of common stock
- Announced the sale of the 2010 built Strategic Endeavor for US$7.7 million in July 2025
- Announced the purchase of the remaining 49% equity ownership of Seamar Management for US$2.7 million on July 31, 2025
For the three months ended June 30, 2025, Pangaea reported non-GAAP adjusted net loss of US$1.4 million, or US$0.02 net loss per share, on total revenue of US$156.7 million. Second quarter TCE rates decreased 25% on a year-over-year basis, while total shipping days, which include both voyage and time charter days, increased 51% to 6222 days. The increase in shipping days relative to the year-ago period was primarily attributable to the acquisition of fifteen handy-sized vessels, which was completed at the end of the fourth quarter of 2024.
The TCE earned was US$12 108 per day for the three months ended June 30, 2025, compared to an average of US$16 223 per day for the same period in 2024. During the second quarter ended June 30, 2025, the Company's average TCE rate exceeded the benchmark average Baltic Panamax, Supramax, and Handysize indices by 17%, supported by Pangaea's long-term contracts of affreightment ("COAs"), specialised fleet, and cargo-focused strategy.
Total Adjusted EBITDA decreased by 4.1% to US$15.3 million in the second quarter of 2025, compared to the prior-year period. Total Adjusted EBITDA margin was 9.8% during the second quarter of 2025, compared to 12.1% during the prior year period. The decrease in Adjusted EBITDA margin compared to the prior year period is primarily due to a 31% decrease in market shipping rates, which was more than offset by the 51% increase in shipping days.
As of June 30, 2025, Pangaea had US$59.3 million in cash and cash equivalents. Total debt, including finance lease obligations was US$379.7 million. During the three months ending June 30, 2025, Pangaea repaid US$7.1 million in finance leases, US$4.1 million in long term debt, paid US$3.2 million in dividends, and repurchased US$1 million of its common stock.
During the second quarter, Pangaea entered into an agreement to sell the Strategic Endeavor for US$7.7 million. The sale of the vessel was completed on July 21, 2025. Subsequent to the end of the second quarter, Pangaea purchased the remaining 49% equity ownership of Seamar Management, the Company's technical management operations subsidiary, for $2.7 million. Pangaea has also begun the process of financing the Strategic Spirit for US$9.0 million payable over 7 years to US$1 million at SOFR +1.95%, and the Strategic Vision for US$9.0 million payable over 5 years to US$3.6 million at SOFR+1.95%. The financings are expected to close in August 2025 and September 2025 respectively.
Pangaea's Board of Directors also declared a quarterly cash dividend of US$0.05 per common share, payable on September 15, 2025, to all shareholders of record as of September 2, 2025.
Management commentary
"Our focused execution and flexible business model continued to deliver premium TCE returns during the second quarter," stated Mark Filanowski, Chief Executive Officer of Pangaea Logistics Solutions. "Even as market rates remained pressured by macroeconomic uncertainty, we leveraged our expanded fleet and differentiated chartered-in strategy to navigate the current environment."
"The global trade environment remains highly dynamic, with uncertainty around tariffs and port fees slowing long-term commitments from shippers," Filanowski added. "The second quarter ended with an uptick of market rates from seasonal demand in South America. As we enter the third quarter and the peak of our arctic trade season, we see some signs of stabilisation and increased activity, especially in our panamax and supramax segments. Quarter-to-date in the third quarter, we've executed 3671 shipping days at an average TCE of US$14 272 per day, supported by our niche ice class fleet and seasonal summer arctic trade."
"Going forward, Pangaea is focused on disciplined capital deployment" stated Filanowski. "During the quarter, we repurchased over 200 000 shares under our existing authorisation, reflecting our continued focus on returning capital to shareholders. In addition, we began the process of financing two of our vessels and completed the opportunistic sale of Strategic Endeavor, consistent with our fleet renewal efforts. On the growth side, we are beginning installation of equipment at our Redwing Terminal in Tampa (Florida), and in the second half of this year we will be starting new terminal operations in the Ports of Aransas (Texas), Lake Charles (Louisiana), and Pascagoula (Mississippi)."
Strategic update
Pangaea remains committed to developing a leading dry bulk logistics and transportation services company of scale, providing its customers with specialised shipping and supply chain and logistics offerings in commodity and niche markets, which drive premium returns measured in time charter equivalent per day.
Leverage integrated shipping and logistics model. In addition to operating the largest high ice class dry bulk fleet of Panamax and post-Panamax vessels globally, Pangaea also performs stevedoring services, together with port and terminal operations capabilities. Following the completion of the SSI acquisition in late 2024, Pangaea is focused on the integration of the handy sized fleet and leveraging these vessels to compliment and expand its terminal services and stevedoring operations. Pangaea is steadily advancing its terminal operations expansion at the Port of Tampa, with completion on track for first half 2026.
Continue to drive strong fleet utilisation. In the second quarter, Pangaea's owned fleet of 41 vessels was well utilised on average, despite 167 days of off-hire due to dry dockings. The owned vessel fleet was supplemented with an average of 29 chartered-in vessels to support cargo and COA commitments. Through successful integration of the recently acquired fleet of handy-sized vessels, Pangaea is focused on improving utilisation across it's fleet and continuing to meet the dynamic demands of its customers.
Continue to upgrade fleet, while divesting older, non-core assets. Pangaea continues to selectively invest in its fleet with the purpose of maximising TCE rates, meeting evolving regulatory requirements and supporting client cargo needs on an on-demand basis. During the second quarter, Pangaea entered into an agreement to sell the Strategic Endeavor for US$7.7 million. The 2010-built ship was the oldest of the strategic handysize fleet. The vessel was sold and delivered to the buyer on July 21, 2025.
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