On 20 February, Navios Maritime Holdings Inc. (Navios Holdings), a global, vertically integrated seaborne shipping and logistics company, reported financial results for the fourth quarter and year ended 31 December 2018.
Angeliki Frangou, Chairman and CEO, stated: “I am pleased with the results of the fourth quarter and full year of 2018. For the fourth quarter, we reported revenue of US$127.4 million and Adjusted EBITDA of US$45.5 million. For the full year, we reported revenue of US$517.7 million and Adjusted EBITDA of US$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.”
Navios Holdings extended time period under exchange offer and waived 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 1 March 2019 whereby the company has offered to exchange:
- US$7.25 in cash and/or US$8.28 principal amount of the Notes for each Series G ADS and
- US$7.16 in cash and/or US$8.19 principal amount of the Notes for each Series H ADS.
- The company is waiving the following condition to the Exchange Offer:
- 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representing approximately 66 2/3%, of the outstanding Series G ADSs having been validly tendered and not properly withdrawn prior to the Expiration Date; and
- 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representing approximately 66 2/3%, of the outstanding Series H ADSs having been validly tendered and not properly withdrawn prior to the Expiration Date.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 30 November 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 3 January 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.
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 US$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 15 February 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 US$13 628.
The above figures do not include the fleets of Navios Logistics and Navios Containers and vessels servicing contracts of affreightment.
Read the article online at: https://www.drybulkmagazine.com/shipping/25022019/navios-maritime-holdings-shares-financial-results-for-4q18-and-fy18/