智通财经APP获悉，港股今日发力走高，午后涨幅进一步扩大，三大指数均涨超2%。截止收盘，恒生 指数涨2.3%或532.38点，报23640.65点，全日成交额2228.41亿港元；恒生国企指数涨2.47%，报8593.07 点；恒生科技指数涨2.13%，报5381.78点。 交银国际表示，考虑到中美双方今年度首次谈判所取得的成效超预期，可以预期后续中美双方关税谈判 还是朝着建设性方向进展。短期来看，中美双方经贸谈判取得进展极大降低了全球范围内的贸易和衰退 风险，风险情绪有望短期内维持平稳，从而为港股市场带来正面催化。 蓝筹股表现 京东健康(06618)表现亮眼。截至收盘，涨5.13%，报39.95港元，成交额10.3亿港元，贡献恒指3.56点。 京东健康发布2025年第一季度业绩，收入166.45亿元(人民币，下同)，同比增长25.5%；经营盈利10.71 亿元，同比增长119.8%。公司表示，一季度在医疗AI领域取得多项进展，持续推动AI技术在医疗健康 服务、专病诊疗、健康管理等方面的应用。 其他蓝筹股方面，中国人寿(02628)涨6.55%，报16.26港元，贡献恒指12.27点；友邦保险(01299)涨 ...

中粮期货指出，对于集运远东至欧美的航线，接下来可能的市场格局为：弱现实的修复与预期的强化， 由负反馈进入正反馈。近日中美两国谈判取得的实质性进展则很可能对此前悲观预期产生较大强度的逆 转，即首先是预期的增强，接着是市场供需现实层面的改善，二者相互影响使得市场从负反馈进入正反 馈。 美线挤压的货量开始大量发运、对未来担忧的一定程度的抢运、旺季到来带来的季节性增量，以及美国 整体的补库需求同时到来，美线瞬间将面对运力紧张(船司考虑调回美线运力需要时间)、供不应求的状 态；欧线运力压力减轻，中欧经济需求端动能的边际修复和旺季的预期重回。 智通财经APP获悉，海运股持续走高，截至发稿，太平洋航运(02343)涨8.33%，报1.95港元；海丰国际 (01308)涨5.58%，报22.7港元；东方海外国际(00316)涨3.87%，报128.8港元；中远海控(01919)涨 3.11%，报13.92港元。 消息面上，近日，中美经贸高层会谈取得实质性进展，大幅降低双边关税水平，美方取消了共计91%的 加征关税，中方相应取消了91%的反制关税。同时，叠加欧美航线迎来集装箱发运旺季，市场预期美国 供应链库存需求将集中增长，带 ...

证券研究报告 内需持续回暖，关注分红提升 ——交运行业24年报及25一季报业绩综述 行业评级：看好 2025年5月5日 分析师 李丹 分析师 李逸 邮箱 Lidan02@stocke.com.cn 邮箱 Liyi01@stocke.com.cn 证书编号 S1230520040003 证书编号 S1230523070008 研究助理 张梦婷 摘要 1、航运：集运表现亮眼，油运干散承压 2、红利：高速公路25Q1车流回升，港口集装箱业务表现亮眼，铁路客运稳健、货运承压 2 • 集运：受俄乌冲突升级、红海局势影响、贸易摩擦加剧、及集运新联盟的诞生等多重复杂因素扰动，全球供应链的脆弱性凸显， 24全年及25年开年，欧线、美线等长航线集运市场表现亮眼。24年下半年，受关税摩擦加剧的预期影响，东南亚集运市场运 价开始上行，带动亚太区域集运市场走强。在此期间，中远海控、海丰国际、锦江航运、德翔海运等标的业绩表现突出。 添加标题 95% • 油运&干散：24年呈现前高后低走势，25年油运有望持续走强。24年上半年，受红海事件影响、巴拿马运河干旱等因素影响， 关键航线运距拉长，致船舶周转率下降，推升了原油轮、成品油轮、干散货 ...

Pacific Basin Shipping (02343) Q1 2025 Earnings Call April 17, 2025 06:00 AM ET Company Participants Martin Fruergaard - CEO & Executive DirectorNathan Gee - MD & Head - Asia Pacific Transportation ResearchNone - Executive Conference Call Participants Parash Jain - AnalystNone - Analyst Operator Welcome to today's Pacific Basin twenty twenty five First Quarter Trading Update Conference Call. I am pleased to present Chief Executive Officer, Mr. Martin Frugard, for the first part of this call. Mr. Frugard, pl ...

Financial Performance - In 2024, the company recorded a net profit of $131.7 million and EBITDA of $333.4 million, achieving a return on equity of 7% and basic earnings per share of HKD 0.199[18]. - Revenue for 2023 reached $2,581.6 million, up from $2,296.6 million in 2022, representing an increase of approximately 12.4%[20]. - The company reported a net profit attributable to shareholders of $131.7 million, compared to $109.4 million in the previous year, marking a growth of about 20.4%[20]. - Cash and cash equivalents increased to $282.0 million from $261.5 million, reflecting a positive change in liquidity[20]. - The average return on equity improved to 7% from 6% year-over-year, suggesting enhanced profitability relative to shareholder equity[20]. - The net debt to equity ratio improved to 1% from a negative 2% in the previous year, reflecting better financial stability[20]. - The company maintained a strong financial performance with a total cash and deposits amounting to $282 million as of December 31, 2024[18]. - The company continues to generate healthy cash flow and maintains a robust financial position, allowing for counter-cyclical investments to support future growth and competitiveness[18]. Fleet and Operations - The average daily income for the company's small and ultra-small bulk carriers was $12,840 and $13,630 respectively, generating a total revenue of $178.4 million (excluding management expenses) in 2024[18]. - The average daily profit from operational activities was $630, generating $17.4 million in revenue (excluding management expenses) over 27,610 operational days[18]. - The average age of the fleet is 13 years, with a focus on maintaining a younger fleet to enhance operational efficiency[27]. - The company operates a fleet where 4% of the global fleet of ultra-flexible bulk carriers is under its management, highlighting its significant market presence[26]. - The company has contracted four new dual-fuel ultra-large bulk carriers capable of operating on green methanol and sustainable biodiesel, expected to be delivered in 2028 and 2029[18]. - The company plans to continue updating and expanding its fleet with a disciplined approach, focusing on acquiring high-quality, modern second-hand vessels while selling older, less efficient ones[75]. Sustainability and Emissions - The company plans to transition to net-zero emissions by 2050, marking the first new ship order since 2014 as part of its long-term decarbonization strategy[18]. - The company is committed to sustainable business development and has received high recognition for its efforts in environmental, social, and governance aspects[46]. - The company aims to enhance fuel procurement strategies, prioritizing access to green fuels such as green methanol and sustainable biodiesel[76]. - The company is committed to transitioning to net-zero emissions by 2050, marking a significant milestone with the new vessel orders[62]. - The carbon emission intensity in 2024 was 42% lower compared to the 2008 baseline, with a target to reduce it by over 50% by 2030[166]. - The company is preparing for new decarbonization regulations and has implemented measures to comply with the EU's emissions trading system starting in 2024[179]. Market Outlook and Challenges - The company is optimistic about long-term industry fundamentals but remains cautious about geopolitical uncertainties and challenges in the dry bulk shipping market for 2025[18]. - Global dry bulk shipping trade is expected to grow by approximately 6% in 2024, driven by strong demand for iron ore, coal, and minor bulk commodities from China[59]. - The dry bulk shipping market is expected to start weak in 2025 due to lower-than-expected grain export volumes in Q4 2024[85]. - Geopolitical tensions and economic policies may create market volatility, impacting freight rates and overall demand for dry bulk commodities[108]. Employee and Safety Initiatives - The company recorded 11 lost time injury incidents out of over 20,000,000 man-hours, resulting in a lost time injury frequency of 0.54, ranking among the best in the industry[69]. - The company aims to continue investing in training and technology to enhance safety and health, with a goal to eliminate work-related injuries and promote a healthy work environment[35]. - The company has implemented additional psychological screening tests for crew members before boarding to enhance mental health support[189]. - The company has established a dedicated sustainability committee to oversee its sustainability strategies and ensure effective implementation[196]. Shareholder Value and Governance - The board proposed a final dividend of HKD 5.1 per share, with total dividends representing 50% of the annual net profit, excluding gains from ship sales[53]. - The company completed a share buyback plan in December 2024, repurchasing and canceling 138 million shares at a total cost of approximately $40 million[54]. - The company is actively considering all measures to enhance shareholder value, including dividends, share buybacks, and investments in new green vessels[56]. - The company emphasizes building strong relationships with stakeholders, including customers and employees, to foster trust and support[162].

Financial Data and Key Metrics Changes - In 2024, the company generated an EBITDA of $333 million, an underlying profit of $114 million, and a net profit of $132 million, resulting in a 7% return on equity and trading per share of 19.9% of sales [1] - The company has a strong balance sheet with net cash of approximately $20 million and committed liquidity of $548 million [1][14] - The total dividend recommended amounts to $61 million, representing 50% of the net profit for the full year, excluding vessel disposal gains [2][16] - The company completed a $40 million share buyback program, buying back and canceling 138 million shares, reducing issued share capital by 2% [2] Business Line Data and Key Metrics Changes - The core business generated $178 million before overheads, benefiting from a stronger freight market, while operating activity contributed $70 million with a margin of $630 per day over 27,610 days [1][11] - Average market spot freight rates for Handysize and Supramax increased by 24% year on year to $11,200 and $12,920 per day, respectively [3] - Dry bulk loading volumes grew approximately 2% year on year, driven by robust Chinese demand, while minor bulk loading decreased by 3% [5][6] Market Data and Key Metrics Changes - Thermal dry bulk demand growth, particularly from China for coal and bauxite, supported the trade market in 2024, despite a weakening market in the fourth quarter [3][4] - Grain loadings increased by 4% year on year due to increased loadings from Argentina and the U.S., while Ukraine grain loadings increased by 84% year on year [6][7] - Iron ore loadings increased by 4% year on year, driven by increased production from key exporters and strong Chinese demand [7] Company Strategy and Development Direction - The company aims to optimize capital allocation and maintain a robust capital structure to enable strategic investments and growth initiatives [17][29] - The company is focused on acquiring modern secondhand vessels while selling older, less efficient vessels to enhance shareholder value [3][24] - The long-term strategy includes transitioning to net zero emissions by 2050 and maximizing growth optionality through newbuilding vessels and long-term charters [25][26] Management's Comments on Operating Environment and Future Outlook - Management anticipates a weaker start to 2025 due to market corrections in the fourth quarter of 2024, but expects steady improvements in the first quarter of 2025 [4][60] - The company remains cautiously optimistic about the year ahead, prepared to seize opportunities arising from increased productivity [23][28] - Management highlighted that geopolitical tensions and trade tariffs could create volatility but may also provide advantages in the short term [41][42] Other Important Information - The company paid a total of $66 million in dividends, including final and interim dividends for 2023 and 2024 [16] - The company’s owned vessels have a total net book value of approximately $1.7 billion, with a market value estimated at $2 billion [17] - A new Chief Financial Officer, Jimmy Woo, will join the company in December 2025 [30] Q&A Session All Questions and Answers Question: Impact of U.S. potential actions on Chinese vessels - Management acknowledged that the majority of their ships are Japanese built, with only 25% being Chinese built, and noted that any regulations would impact trading patterns [34][35] Question: Outlook on dividends and impact of tariffs - Management confirmed a total 50% dividend for 2024 and a $40 million share buyback program, stating that U.S. tariffs may not significantly impact operations as the U.S. is not a major importer of dry bulk [39][40] Question: Percentage of owned fleet that is Chinese built - Management stated that 25% of the owned fleet is Chinese built, and they are always looking for opportunities in the market, including potential purchases from Chinese shipyards [44][45] Question: Cover ratio and rates in the first quarter of 2025 - Management indicated that the cover ratio is lower than the previous year, allowing for more flexibility to optimize ship positioning and maximize earnings [58][61]

Financial Performance - For the year ending December 31, 2024, the company reported revenue of $2,581.6 million, an increase of 12.4% from $2,296.6 million in 2023[6]. - The company achieved a basic profit of $114.1 million and a net profit of $131.7 million, with an EBITDA of $333.4 million[7]. - The basic earnings per share increased to 19.9 HK cents from 16.5 HK cents, reflecting a growth of 20.5%[6]. - The company recorded a basic profit of $114.1 million in 2024, a decrease of 4% compared to 2023, primarily due to increased employee and IT-related expenses[62]. - Shareholder profit increased by 20% to $131.7 million from $109.4 million in 2023[107]. - The average return on equity rose to 7% from 6%[107]. - The company reported a net profit margin of 5%, unchanged from the previous year[107]. - The company's pre-tax profit for 2024 was $131.7 million, an increase of 20.4% compared to $109.4 million in 2023[123]. Dividends and Shareholder Returns - The board proposed a final dividend of 5.1 HK cents per share, bringing the total dividend to 50% of the annual net profit, excluding gains from vessel sales[8]. - The board proposed a final dividend of HKD 0.051 per share, along with an interim dividend of HKD 0.041 per share, totaling 50% of the annual net profit (excluding gains from vessel sales) for 2024[15]. - The total dividend for the year was $0.12 per share, down from $0.16 per share in 2023, reflecting a decrease of 1.2%[121]. - The company repurchased a total of 138,221,000 shares at a total cost of approximately $40 million, aimed at optimizing capital structure and enhancing shareholder returns[129]. Financial Position and Liquidity - The company maintained a strong financial position with cash and deposits amounting to $282 million and committed available liquidity of $547.6 million as of December 31, 2024[7]. - As of December 31, 2024, the company had no net debt, with a cash net amount of $19.7 million and committed available liquidity of $547.6 million[17]. - Cash and cash equivalents increased by 8% to $282 million as of December 31, 2024, compared to $261.5 million in 2023[98]. - Total borrowings decreased by 13% to $262.3 million from $300.4 million in the previous year[98]. - The net cash position improved significantly to $19.7 million from a net debt of $38.9 million in 2023, representing a greater than 100% increase[98]. - The company's total liabilities decreased to $100.31 million in 2024 from $104.67 million in 2023, indicating improved financial health[127]. Operational Performance - The average daily income for small and ultra-large bulk carriers was $12,840 and $13,630 respectively, generating a total revenue of $178.4 million[7]. - The average daily income for small bulk carriers was $12,840, while for ultra-small bulk carriers it was $13,630, outperforming the BHSI index by $1,720 (15%) and $710 (5%) respectively[80]. - The operational activities contributed $17.4 million in 2024, a decline of 32% from $25.6 million in 2023[63]. - The average daily operating expenses for small and ultra-small bulk carriers decreased by 2% to $4,750, attributed to the normalization of crew costs[85]. - The average daily financial expenses increased by 25% to $150, primarily due to a decrease in interest income from falling interest rates[87]. - General and administrative expenses rose to $82,700,000 from $76,000,000, with an average daily expense of $780, remaining competitive[88]. Market Trends and Industry Outlook - Global dry bulk shipping trade volume increased by approximately 6% in 2024, driven by strong demand for iron ore, coal, and minor bulk commodities from China[22]. - The demand for minor bulk commodities rose by about 9% in 2024, primarily due to strong imports of iron ore and forestry products into China[23]. - The global dry bulk fleet's net growth was maintained at 3% in 2024, with an 18% increase in new deliveries of small and ultra-small bulk carriers[24]. - The dry bulk shipping market is projected to experience a return to volatility in 2025, influenced by geopolitical tensions and trade policy uncertainties[34]. - The overall dry bulk fleet's supply growth is expected to exceed demand growth in 2025 due to high new ship deliveries and limited scrapping[60]. - The geopolitical tensions and climate-related events are anticipated to continue affecting market conditions, making it challenging for the company to capture the full market value[62]. Sustainability and Environmental Initiatives - The company is committed to achieving net-zero emissions by 2050, with orders for four dual-fuel newbuild bulk carriers capable of operating on green methanol and sustainable bio-diesel[11]. - The company aims to enhance energy efficiency of its existing conventional fuel-powered vessels, with a focus on applying ultra-low friction silicone resin hull coating technology to over one-third of its fleet, potentially reducing fuel consumption by approximately 8%[27]. - The investment in low-emission vessels is based on the belief that a market for such vessels will emerge quickly due to regulatory developments, providing attractive long-term economic benefits[26]. - The company emphasizes the importance of fuel procurement, including prioritizing access to green fuels such as green methanol and sustainable biodiesel[38]. Fleet and Vessel Management - The company ordered four new dual-fuel ultra-large bulk carriers capable of running on green methanol and sustainable biodiesel, marking its first new vessel order since 2014[7]. - The estimated market value of the company's small and ultra-large bulk carriers was $2,008 million, significantly higher than the book value of $1,676.2 million[7]. - The average age of the existing fleet is 14 years for small handy bulk carriers, with 8.8% of the fleet being over 20 years old as of January 1, 2024[53]. - The delivery of new small handy and super handy bulk carriers is expected to increase by 18%, while the delivery of Capesize and Panamax bulk carriers is projected to decrease by 28% and 8%, respectively[54]. - The company plans to continue updating and expanding its fleet with a disciplined approach, focusing on acquiring modern second-hand vessels and selling older, less efficient ships[35]. Safety and Employee Welfare - The company recorded 11 lost-time injury incidents over 20,000,000 man-hours in 2024, resulting in a lost-time injury frequency rate of 0.54, ranking among the best in the industry[30]. - The company is committed to maintaining the highest health and safety standards for its employees, providing training to adapt to evolving business challenges[31]. - The company has made significant progress in its sustainable development initiatives, focusing on safety, security, health, and well-being, as well as diversity, equity, and inclusion[30].

Financial Performance - In the first half of 2024, the company recorded a basic profit of $43.9 million and a net profit of $57.6 million, with EBITDA of $157.9 million, resulting in a return on equity of 6% and basic earnings per share of HKD 0.087[6]. - For the first half of 2024, the company reported a revenue of $1,281.5 million, an increase from $1,148.1 million in the same period of 2023, representing an increase of approximately 11.6%[11]. - The net profit for the first half of 2024 was $57.6 million, compared to $85.3 million in the first half of 2023, indicating a decrease of about 32.5%[11]. - The company achieved an EBITDA of $157.9 million for the first half of 2024, down from $189.1 million in the same period of 2023, reflecting a decline of approximately 16.4%[11]. - The company’s net profit margin for the first half of 2024 was 4%, down from 7% in the first half of 2023[11]. - The company’s basic earnings per share (EPS) for 2024 is 1.11 USD, down from 1.64 USD in 2023, representing a decrease of approximately 32.3%[131]. Operational Highlights - The company completed over 1,130 voyages in the first half of 2024, supported by a fleet of approximately 286 owned and chartered vessels[3]. - The average daily profit during operational days was $550, generating $7.8 million in revenue, excluding management expenses[7]. - The average daily operating days for the fleet in the first half of 2024 is projected to be 7,800,000[55]. - The average daily revenue for the company's large and ultra-large bulk carriers was $12,670, with a total of 76,800,000 in daily revenue, while the average indices for small and ultra-small bulk carriers were $9,780 and $11,030, respectively[26]. - The average daily performance of small bulk carriers exceeded the BHSI index by $840, while ultra-small bulk carriers outperformed the index by $410[52]. Fleet and Market Dynamics - The estimated market value of the small handy and super handy bulk carriers as of June 30, 2024, was $2.2 billion, significantly higher than the book value of $1.738 billion[7]. - The company’s fleet capacity was reported at 286 million tons with an average age of 13 years as of June 30, 2024[14]. - The global dry bulk cargo loading volume increased year-on-year, driven by rising demand for minor bulk, iron ore, and grains, despite concerns over global economic growth and geopolitical conflicts[39]. - The order book for new dry bulk carriers remains constrained, with the total order volume accounting for 9.7% of the existing fleet, and new orders for the first half of 2024 decreased by 13% compared to the same period last year[31]. - The net growth rate of the global dry bulk carrier fleet was 1.6% year-to-date, with a net growth rate of 2.1% for small and ultra-small bulk carriers[31]. Financial Position and Liquidity - The company maintained a healthy financial position with committed available liquidity of $537.4 million and a net debt ratio of only 2%[6]. - The total cash and deposits amounted to $215.0 million as of June 30, 2024, down from $261.5 million at the end of 2023[11]. - The company’s operating cash flow for the first half of 2024 was $133.6 million, compared to $184.8 million in the first half of 2023, a decrease of about 27.7%[11]. - The company has committed liquidity of $537,400,000 available for operational needs[26]. - The net debt as of June 30, 2024, was $32.2 million, a 17% decrease from $38.9 million at the end of 2023[66]. Dividend and Shareholder Returns - The company declared an interim dividend of HKD 0.041 per share, representing approximately 50% of net profit excluding gains from vessel sales[6]. - The interim dividend declared was 4.1 HK cents per share, representing approximately 50% of the net profit for the period[25]. - The company announced a share buyback program of up to $40 million, reflecting confidence in the long-term prospects of the dry bulk shipping market[25]. - The company repurchased a total of 42,716,000 shares at a cost of approximately HKD 113,800,000 (about USD 14,600,000) during the first half of 2024[87]. Environmental and Sustainability Initiatives - The company is committed to achieving significant progress in reducing carbon emissions and aims for net-zero emissions by 2050[34]. - The company is finalizing the design of dual-fuel low-emission vessels capable of operating on fuel and methanol, with a decision on construction expected in 2024[33]. - The company has implemented measures that are expected to reduce fuel consumption by approximately 8% through the application of silicone resin coatings on 22 owned vessels[76]. - The company is actively modernizing its existing fleet with the latest eco-friendly technologies, including low-friction silicone resin hull coatings[33]. - The company aims to enhance its governance and risk management practices to build stakeholder confidence and ensure sustainable value creation[83]. Employee and Community Engagement - The company is committed to attracting and retaining a diverse workforce, offering competitive compensation and training programs[108]. - The company emphasizes the importance of employee safety and well-being amid increasing threats in the maritime industry[36]. - The company has implemented community measures to support education and mental health, including an internship program for ethnic minorities in Hong Kong[82]. - The company is committed to improving employee health and safety standards, including additional psychological screening for crew members before boarding[77]. Governance and Risk Management - The company received a BBB rating from MSCI for its ESG performance in the first half of 2024[84]. - The company ranked in the top 10% for governance quality according to the Institutional Shareholder Services (ISS) assessment[84]. - The company emphasizes a strong governance and risk management framework to enhance stakeholder confidence and ensure effective implementation of sustainability strategies[33].

Investment Rating - The investment rating for the company is "Buy" with a target price of HKD 2.90 [2]. Core Views - The company reported a net profit of USD 57.63 million for 1H24, a year-on-year decline of 32.5%, primarily due to low charter rates and increased charter costs. The company anticipates a recovery in profitability in the second half of the year due to seasonal demand and decreasing charter costs [4][5]. - The report has adjusted the net profit forecasts for 2024, 2025, and 2026 downwards by 34%, 16%, and 19% respectively, reflecting the lower charter rate assumptions [4]. Summary by Sections Financial Data - The closing price as of August 8 was HKD 2.16, with a market capitalization of HKD 11,343 million. The 52-week price range was HKD 1.98 to HKD 3.01 [3]. - The average daily trading volume over the past six months was HKD 69.06 million [3]. Performance Metrics - The average charter rates for the company's flexible and super-flexible vessels decreased by 9.4% and 0.1% year-on-year in 1H24, while the Baltic indices for these vessel types increased by 25% and 34% respectively [5]. - The company has locked in average daily charter rates for 3Q24 at USD 13,750 and USD 13,440 for flexible and super-flexible vessels, with a locking ratio of 87% and 98% respectively [5]. Market Outlook - The global bulk shipping volume increased by 2% year-on-year in 1H24, with specific increases in iron ore and grain shipments. The report anticipates a seasonal increase in shipping volumes in the second half of the year [5]. - The global supply of bulk carriers is expected to grow by 3.6% and 3.2% in 2024 and 2025, respectively, matching the demand growth of 3.6% and 1.2% [5]. Earnings Forecasts - The company's revenue is projected to be USD 2.398 billion in 2024, with a net profit forecast of USD 134 million, reflecting a 22.49% increase from the previous year [6]. - The report indicates a decrease in earnings per share (EPS) from USD 0.14 in 2022 to USD 0.02 in 2023, with a gradual recovery to USD 0.04 by 2026 [6][13].

Financial Performance - For the first half of 2024, the company reported a basic profit of $43.9 million, net profit of $57.6 million, and EBITDA of $157.9 million, achieving a return on equity of 6% and basic earnings per share of 8.7 HK cents[3]. - The company's revenue for the period was $1,281.5 million, compared to $1,148.1 million in the same period of 2023, reflecting a year-on-year increase[3]. - The company recorded a basic profit of $43.9 million for the first half of 2024, down 42% from $76.2 million in the same period of 2023[31]. - The contribution from core business for the small handymax dry bulk carriers decreased by 34% to $41.1 million, while the contribution from the ultra handymax dry bulk carriers increased by 7% to $35.7 million[32]. - The total cargo volume for the first half of 2024 was 44.7 million tons, representing a 30% increase from 40.9 million tons in the first half of 2023[33]. - The total comprehensive income attributable to shareholders for the six months ended June 30, 2024, was $56,939,000, compared to $84,594,000 in 2023[70]. - Pre-tax profit for the six months ended June 30, 2024, was $57,634 thousand, down 32.5% from $85,339 thousand in the same period of 2023[80]. Fleet and Operations - The company operated a fleet of 286 vessels, including 114 owned small and ultra-large bulk carriers, and continued to modernize its fleet by selling older vessels and acquiring new ones[4]. - The average age of the company's owned fleet is 13 years, with a total deadweight tonnage of 5.2 million tons[4]. - The average daily net income for the company's small and ultra-large bulk carriers was $11,810 and $13,690, generating a total revenue of $76.8 million from these operations[3]. - The average daily income for small and ultra-small bulk carriers was $11,810 and $13,690 respectively, exceeding the BHSI and BSI indices by $840 and $410[6]. - The fleet consists of 286 vessels, with a total deadweight capacity of 5,100,000 tons, including 131 small handy and ultra-handy/ultra-large handy bulk carriers[12]. - The company operates approximately 154 short-term chartered vessels, with operational days increasing by 29% year-on-year[44]. Market Outlook - The company remains optimistic about the long-term outlook for the dry bulk shipping industry, supported by increasing demand for minor bulk, iron ore, and grain[4]. - Global dry bulk cargo loading volume increased year-on-year, supported by rising demand for minor bulk, iron ore, and grains[7]. - Strong demand and moderate supply growth are expected to balance the dry bulk market, with projected net fleet growth of 3.1% in 2023 and 4.4% in 2024[27]. - The overall dry bulk ton-mile demand is projected to grow, reflecting a positive long-term market outlook due to supply constraints[23]. Environmental and Regulatory Compliance - The company is committed to further expanding its ultra-large bulk carrier fleet and optimizing its operations to comply with stricter environmental regulations[4]. - The company aims to achieve net-zero emissions by 2050 and is implementing a diverse decarbonization strategy to enhance fuel efficiency and reduce carbon footprint[11]. - The company is actively modernizing existing vessels with the latest environmental technologies, including low-friction silicone resin hull coatings and advanced weather routing[11]. - The company is implementing measures to enhance fuel efficiency and comply with new carbon reduction regulations, ensuring the operational continuity of its existing fleet[14]. Financial Position and Liquidity - The company maintained a healthy financial position with committed available liquidity of $537.4 million and a net debt ratio of only 2%[3]. - The company has a committed liquidity of $537.4 million and aims for a net debt-to-net asset ratio of only 2%[5]. - Cash and deposits as of June 30, 2024, were $260.7 million, showing a 0% change from December 31, 2023[62]. - The total borrowings decreased to $292.9 million as of June 30, 2024, reflecting a 3% increase compared to $300.4 million on December 31, 2023[62]. - The average interest rate for borrowings was 5.7%, with total financial expenses amounting to $10.6 million, a decrease of 5% compared to the previous year[65]. Shareholder Returns - The board declared an interim dividend of 4.1 HK cents per share, representing approximately 50% of the net profit for the period[3]. - A mid-term dividend of HK$0.041 per share was declared, representing approximately 50% of the net profit excluding gains from vessel sales[5]. - The company repurchased a total of 42,716,000 shares at a cost of approximately $14,600,000 during the six months ended June 30, 2024[85]. - The interim dividend declared for the six months ended June 30, 2024, is HKD 0.041 per share, payable on September 4, 2024[90]. Challenges and Risks - The company faces threats from rising interest rates and reduced housing construction in China, which may negatively impact global economic activity and demand for dry bulk commodities[30]. - The ongoing disruptions in the Suez and Panama Canals are expected to further reduce fleet efficiency and increase ton-mile demand in the second half of 2024[18]. - The company continues to adapt to challenges in the Panama Canal and Red Sea, which are expected to maintain shipping restrictions at least until the second half of 2024, supporting freight rates[10].