Company Overview - C3is Inc. was incorporated on July 25, 2022, and commenced operations after the Spin-Off on June 21, 2023, receiving $5 million in cash for working capital [348]. - The company was incorporated on July 25, 2022, and completed a Spin-Off from Imperial Petroleum on June 21, 2023, receiving $5 million in cash as working capital [22]. - The company has no salaried employees, with management services provided under a management agreement with Brave Maritime [487]. Fleet and Operations - The fleet consists of three drybulk carriers and one Aframax tanker, with a total cargo carrying capacity of 213,468 dwt [351]. - In July 2023, C3is Inc. acquired an Aframax tanker for $43 million and plans to acquire a third handysize drybulk carrier for $16.19 million, with 10% paid in Q2 2024 and the remaining 90% due in April 2025 [349]. - Average number of vessels increased from 1.09 in 2022 to 3.6 in 2024, with total voyage days rising from 136 to 1,327 during the same period [363]. - Fleet utilization was 99.9% in 2023 and 99.5% in 2024, indicating high operational efficiency [363]. - Total voyage days for the fleet increased to 900 in 2023 from 136 in 2022, reflecting a substantial growth in operational capacity [365]. - The average number of vessels in the fleet increased to 3.6 for the year ended December 31, 2024, compared to 2.5 for the year ended December 31, 2023 [392]. - Total calendar days for the fleet were 1,334 days for the year ended December 31, 2024, compared to 901 days for the same period in 2023 [394]. Financial Performance - Total voyage revenues for 2023 reached $28.74 million, up from $3.29 million in 2022, representing a significant increase [365]. - Voyage revenues for the year ended December 31, 2024 amounted to $42.3 million, an increase of $13.6 million compared to $28.7 million for the year ended December 31, 2023 [393]. - Voyage expenses for 2023 amounted to $7.63 million, a significant rise from $497,672 in 2022, highlighting increased operational costs [365]. - Voyage expenses for the year ended December 31, 2024 were $14.1 million, an increase of $6.5 million from $7.6 million for the year ended December 31, 2023 [395]. - A net loss of $2.7 million was reported for the year ended December 31, 2024, compared to a net income of $9.3 million for the year ended December 31, 2023 [403]. - Net cash provided by operating activities increased to $25.0 million for the year ended December 31, 2024, up from $5.6 million in 2023 [435]. - The company had a working capital deficit of $2.4 million as of December 31, 2024 [432]. Operating Costs - The adjusted average charter rate was $23,453 per day in 2023, slightly decreasing to $21,233 in 2024 [363]. - Vessel operating expenses increased from $5,151 per day in 2022 to $6,277 in 2024, reflecting rising operational costs [363]. - Voyage expenses totaled $0.7 million from January 1, 2022 to October 18, 2022, with commissions to third parties accounting for 85.7% of total voyage expenses [419]. - Vessel operating expenses were $2.4 million for the same period, while dry docking costs amounted to $0.8 million [420]. - Vessels' operating expenses for the year ended December 31, 2024 were $8.4 million, compared to $4.8 million for the year ended December 31, 2023 [396]. - General and administrative expenses for 2023 were approximately $0.3 million, with expectations of $0.4 million in 2024, reflecting ongoing operational costs [372]. - General and administrative costs for the year ended December 31, 2024 were $3.0 million, compared to $1.2 million for the year ended December 31, 2023 [398]. Market Conditions - The Baltic Dry Index (BDI) fluctuated significantly, ranging from a low of 530 in February 2023 to a high of 3,346 in December 2023 [358]. - The drybulk fleet size in deadweight tons grew by approximately 3.1% in 2023, while tonne-mile demand increased by 4.8%, yet the Baltic Dry Index (BDI) value declined by 28% compared to 2022 levels [452]. - The BDI experienced significant volatility in 2022, ranging from a low of 965 to a high of 3,369, and in 2023, it ranged from 530 to 3,346, indicating ongoing market instability [453]. - Average handysize drybulk carrier spot rates in 2023 ranged from a low of $7,000 per day to a high of $18,250 per day, with an average of $13,667 per day as of March 1, 2024 [453]. - Crude oil trade increased by 8.8% to 318.4 million deadweight tons (dwt) in 2022 and further increased by 5.2% to 335.0 million dwt in 2023, reflecting a recovery in demand [459]. - The ongoing war in Ukraine has led to increased economic uncertainty, affecting fuel and grain prices, which may impact charter rates and operating expenses [454]. - The tanker industry remains cyclical and volatile, with geopolitical events significantly influencing demand for seaborne transportation of crude oil and oil products [456]. Future Outlook - C3is Inc. plans to evaluate vessel purchase opportunities to expand its fleet and may consider selling vessels when favorable opportunities arise [357]. - Key factors affecting future financial results include global economic conditions, competition in the marine transportation industry, and potential disruptions in shipping routes [27]. - The company expects to incur a financial liability of $14.57 million related to the purchase of the Eco Spitfire, which will impact future financial performance [379]. Compensation and Governance - The aggregate cash compensation for the company's officers in 2023 and 2024 was $0.3 million and $0.4 million, respectively, with an expected cash compensation of approximately $0.4 million in 2025 [474]. - Non-cash stock-based compensation expense recognized was $0.04 million in 2023 and $0.3 million in 2024, with unrecognized non-cash stock-based compensation expense of $0.5 million as of December 31, 2024 [475]. - The company granted an aggregate of 514 restricted shares of common stock to the Non-Executive Chairman and 16 restricted shares to the Chief Financial Officer on November 6, 2023, with vesting conditions over two years [492]. - The Audit Committee consists of two independent members, which is compliant with the rules for foreign private issuers under the Nasdaq Capital Market [481]. - The company has adopted an equity compensation plan that allows for awards totaling up to 10% of the number of common shares outstanding at the time of grant [491]. Stock and Shareholder Information - The company executed a 1-for-100 reverse stock split on April 11, 2024, followed by a 1-for-2.5 reverse split on December 31, 2024, and a 1-for-6 reverse split on April 3, 2025 [23].

Company Announcement - C3is Inc. will release its second quarter financial results for the period ended June 30, 2025, before the market opens in New York on September 2, 2025 [1] - A conference call will be hosted by the company's management on September 2, 2025, at 10:00 am ET to present the results and discuss the company's operations and outlook [1] Webcast Information - There will be a live and archived webcast of the conference call available on the C3is Inc. website [2] - Participants are advised to register approximately 10 minutes prior to the start of the webcast, which will be in listen-only mode [2] Company Overview - C3is Inc. is a ship-owning company that provides seaborne transportation services to dry bulk and tanker charterers, including major national and private industrial users, commodity producers, and traders [3] - As of the end of Q2 2025, the company owned three Handysize dry bulk carriers and one Aframax oil tanker, with a total capacity of 213,464 deadweight tons (dwt) [3] - C3is Inc.'s shares are listed on the Nasdaq Capital Market under the symbol "CISS" [3]

[Company Overview](index=1&type=section&id=Company%20Overview) C3is Inc. is a Nasdaq-listed ship-owning company specializing in dry bulk and crude oil seaborne transportation with a four-vessel fleet [Introduction](index=1&type=section&id=Introduction) C3is Inc. announced its unaudited financial and operating results for the first quarter ended March 31, 2025, highlighting its role as a ship-owning company in dry bulk and tanker seaborne transportation services - C3is Inc. reported unaudited financial and operating results for **Q1 2025**[2](index=2&type=chunk)[3](index=3&type=chunk) - The company operates in the dry bulk and tanker seaborne transportation services sector[3](index=3&type=chunk) [About C3is Inc.](index=4&type=section&id=About%20C3is%20Inc.) C3is Inc. is a ship-owning company specializing in dry bulk and crude oil seaborne transportation, operating a fleet of four vessels with a total capacity of 213,464 deadweight tons - C3is Inc. provides drybulk and crude oil seaborne transportation services[19](index=19&type=chunk) C3is Inc. Fleet Composition | Vessel Type | Number of Vessels | Total Capacity (dwt) | | :---------- | :---------------- | :------------------- | | Handysize drybulk carriers | 3 | 97,664 | | Aframax oil tanker | 1 | 115,800 | | **Total Fleet** | **4** | **213,464** | - The company's common stock is listed on the **Nasdaq Capital Market** under the symbol '**CISS**'[19](index=19&type=chunk) [Operational and Financial Highlights (Q1 2025)](index=1&type=section&id=Operational%20and%20Financial%20Highlights%20(Q1%202025)) C3is Inc. reported a net income of $7.9 million for Q1 2025, with 91.7% fleet utilization, despite a 32% revenue decrease and 56% drop in daily TCE [Key Operational Metrics](index=1&type=section&id=Key%20Operational%20Metrics) The company's fleet maintained a high operational utilization of 91.7% in Q1 2025, with Handysize dry bulk carriers on short-term time charters and the Aframax tanker operating in the spot market at strong daily rates - Handysize dry bulk carriers are on short-term time charters, providing steady cash flows[5](index=5&type=chunk) - The Aframax tanker operates in the spot market, achieving voyage charter rates of approximately **$46,000 per day**[5](index=5&type=chunk) Fleet Operational Utilization | Metric | Q1 2025 | | :----------------------- | :------ | | Fleet operational utilization | 91.7% | [Key Financial Metrics](index=1&type=section&id=Key%20Financial%20Metrics) C3is Inc. reported a net income of $7.9 million for Q1 2025, despite a 32% decrease in revenues to $8.7 million, primarily due to a significant 56% drop in daily TCE. Adjusted net income and EBITDA also saw substantial decreases Q1 2025 vs Q1 2024 Key Financial Highlights | Metric | Q1 2025 ($) | Q1 2024 ($) | Change | | :----------------------- | :------ | :------ | :----- | | Revenues | 8.7 million | 12.8 million | -32% | | Daily TCE | 16,202 | 36,480 | -56% | | Net Income | 7.9 million | 3.8 million | +109% | | EBITDA | 9.7 million | 5.7 million | +70% | | Basic EPS | 14.89 | 16.61 | -10.3% | | Adjusted Net Income | 1.2 million | 4.5 million | -73% | | Adjusted EBITDA | 3.0 million | 6.4 million | -53% | - Cash balance stood at **$15.7 million** at the end of **Q1 2025**[5](index=5&type=chunk) [First Quarter 2025 Detailed Financial Results](index=2&type=section&id=First%20Quarter%202025%20Detailed%20Financial%20Results) Q1 2025 saw a $4.1 million decrease in voyage revenues due to lower charter rates, while operating expenses increased with more vessels, and a $6.9 million non-cash gain on warrants boosted net income [Revenue and Voyage Expenses](index=2&type=section&id=Revenue%20and%20Voyage%20Expenses) Voyage revenues decreased by $4.1 million year-over-year to $8.7 million in Q1 2025, primarily due to lower charter rates, despite an increase in total calendar days for the fleet. Voyage expenses remained stable Voyage Revenues and Expenses (Q1 2025 vs Q1 2024) | Metric | Q1 2025 ($) | Q1 2024 ($) | Change ($) | | :---------------- | :------ | :------ | :----- | | Voyage Revenues | 8.7 million | 12.8 million | -4.1 million | | Voyage Expenses | 2.8 million | 2.8 million | Stable | - The decrease in voyage revenues was primarily attributed to lower charter rates[8](index=8&type=chunk) Fleet Calendar and Charter Days | Metric | Q1 2025 | Q1 2024 | | :------------------ | :------ | :------ | | Total calendar days | 360 | 273 | | Time charter days | 247 (68.6%) | 164 (60.1%) | | Fleet utilization | 100.0% | 100.0% | [Operating Expenses and Depreciation](index=2&type=section&id=Operating%20Expenses%20and%20Depreciation) Vessels' operating expenses and depreciation increased in Q1 2025 due to an increase in the average number of vessels. General and administrative costs decreased significantly, mainly due to lower warrant-related expenses Operating Expenses and Depreciation (Q1 2025 vs Q1 2024) | Expense Category | Q1 2025 ($) | Q1 2024 ($) | Change ($) | | :----------------------------- | :------ | :------ | :----- | | Vessels' operating expenses | 2.2 million | 1.8 million | +0.4 million | | Depreciation | 1.6 million | 1.4 million | +0.2 million | | Management fees | 0.16 million | 0.12 million | +0.04 million | | General and Administrative costs | 0.7 million | 1.5 million | -0.8 million | - The increase in vessels' operating expenses, depreciation, and management fees was attributed to the increase in the average number of vessels[8](index=8&type=chunk) - General and Administrative costs decreased mainly due to lower expenses allocated to warrants issued in Q1 2024[8](index=8&type=chunk) [Other Income and Expenses](index=3&type=section&id=Other%20Income%20and%20Expenses) The company recorded a significant non-cash gain on warrants of $6.9 million in Q1 2025, which contributed to the higher net income. Interest and finance costs decreased, while interest income also saw a slight reduction Other Income and Expenses (Q1 2025 vs Q1 2024) | Category | Q1 2025 ($) | Q1 2024 ($) | Change ($) | | :------------------------ | :------ | :------ | :----- | | Interest and finance costs | 0.3 million | 0.7 million | -0.4 million | | Interest income | 0.1 million | 0.2 million | -0.1 million | | Gain on warrants | 6.9 million | -0.6 million (loss) | +7.5 million | - The **$6.9 million** gain on warrants was a non-cash adjustment due to changes in fair value of warrants[8](index=8&type=chunk)[13](index=13&type=chunk) - Interest and finance costs in **Q1 2025** were mainly related to the accrued interest expense for the Eco Spitfire acquisition, which was settled in **April 2025**[9](index=9&type=chunk) [CEO Commentary and Business Outlook](index=3&type=section&id=CEO%20Commentary%20and%20Business%20Outlook) The CEO highlighted a 109% net income increase despite revenue decline, emphasizing debt-free fleet expansion and a strategy for diversification in a mixed 2025 economic environment [CEO's Statement](index=3&type=section&id=CEO's%20Statement) CEO Dr. Diamantis Andriotis highlighted a 109% increase in Net Income for Q1 2025, despite a 32% revenue decrease due to lower TCE rates. He emphasized the company's success in fulfilling all capital expenditure commitments without bank loans, significantly expanding the fleet's deadweight tonnage - Net Income increased by **109%** in **Q1 2025** to **$7.9 million**, while Revenues decreased by **32%** due to a drop in TCE rates[10](index=10&type=chunk) - All capital expenditure commitments were successfully fulfilled by **April 2025** without resorting to any bank loans[11](index=11&type=chunk) - The company more than **trebled the deadweight tonnage** of its exclusively non-Chinese built fleet without incurring bank debts[12](index=12&type=chunk) [Economic Environment and Company Strategy](index=3&type=section&id=Economic%20Environment%20and%20Company%20Strategy) The company anticipates a year of mixed signals in 2025 for the global economic environment and shipping sector. C3is Inc. plans to adapt by focusing on diversification and aligning with sustainable practices to leverage regional growth drivers and evolving economic dynamics - The global economic environment in **2025** is expected to present mixed signals, with risks and opportunities for the shipping sector[13](index=13&type=chunk) - C3is Inc. plans to adapt to evolving dynamics by focusing on diversification and aligning with growing emphasis on sustainable practices[14](index=14&type=chunk) - The company aims to leverage regional growth drivers and evolving economic dynamics to maintain resilience[15](index=15&type=chunk) [Fleet Data](index=6&type=section&id=Fleet%20Data) The fleet data for Q1 2025 shows an increase in the average number of vessels to 4.0, contributing to higher total calendar and voyage days. Fleet utilization remained at 100%, while operational utilization slightly decreased to 91.7% due to commercial idle days Fleet Operating Performance (Q1 2025 vs Q1 2024) | FLEET DATA | Q1 2024 | Q1 2025 | | :-------------------------- | :------ | :------ | | Average number of vessels | 3.00 | 4.00 | | Period end number of owned vessels in fleet | 3 | 4 | | Total calendar days for fleet | 273 | 360 | | Total voyage days for fleet | 273 | 360 | | Fleet utilization (%) | 100.0% | 100.0% | | Total charter days for fleet | 164 | 247 | | Total spot market days for fleet | 109 | 113 | | Fleet operational utilization (%) | 93.4% | 91.7% | - Fleet operational utilization of **91.7%** for **Q1 2025** was mainly due to commercial idle days of the Aframax tanker operating in the spot market[5](index=5&type=chunk) - Definitions for fleet data metrics (Average number of vessels, Total calendar days, Total voyage days, Fleet utilization, Total charter days, Total spot market charter days, Fleet operational utilization) are provided to clarify calculations[28](index=28&type=chunk) [Non-GAAP Financial Measures Reconciliation](index=6&type=section&id=Non-GAAP%20Financial%20Measures%20Reconciliation) This section reconciles non-GAAP financial measures like Adjusted Net Income, EBITDA, and TCE to GAAP, providing insights into the company's operational performance [Adjusted Net Income, EBITDA, Adjusted EBITDA, and Adjusted EPS Reconciliation](index=6&type=section&id=Adjusted%20Net%20Income%2C%20EBITDA%2C%20Adjusted%20EBITDA%2C%20and%20Adjusted%20EPS%20Reconciliation) This section provides reconciliations of non-GAAP measures such as Adjusted Net Income, EBITDA, Adjusted EBITDA, and Adjusted EPS to their most directly comparable GAAP financial measures. These metrics are used by management and investors to assess financial performance on a comparable basis - Adjusted net income represents net income before (loss)/gain on warrants and share-based compensation[26](index=26&type=chunk) - EBITDA represents net income before interest and finance costs, interest income, and depreciation[26](index=26&type=chunk) Reconciliation of Net Income to Adjusted Net Income, EBITDA, and Adjusted EBITDA | Metric | Q1 2024 ($) | Q1 2025 ($) | | :------------------------------------------ | :------ | :------ | | Net income | 3,786,620 | 7,916,841 | | Plus/(less) loss/(gain) on warrants | 629,871 | (6,866,761) | | Plus share based compensation | 63,464 | 113,628 | | **Adjusted Net Income** | **4,479,955** | **1,163,708** | | **EBITDA** | **5,712,285** | **9,723,097** | | **Adjusted EBITDA** | **6,405,620** | **2,969,964** | Basic EPS and Adjusted EPS | Metric | Q1 2024 ($) | Q1 2025 ($) | | :------------------------------------------ | :------ | :------ | | EPS - Basic | 16.61 | 14.89 | | Adjusted EPS, Basic | 32.28 | 1.05 | [Time Charter Equivalent (TCE) Reconciliation](index=8&type=section&id=Time%20Charter%20Equivalent%20(TCE)%20Reconciliation) The Time Charter Equivalent (TCE) rate, a non-GAAP measure, is reconciled by dividing voyage revenue net of voyage expenses by voyage days. It serves as a standard shipping industry performance measure to compare period-to-period changes despite varying charter types - TCE rate is calculated by dividing voyage revenue net of voyage expenses by voyage days[31](index=31&type=chunk) - TCE is a non-GAAP measure used to compare performance across periods despite changes in charter types (spot vs. time charters)[31](index=31&type=chunk) Time Charter Equivalent (TCE) Rate Reconciliation | Metric | Q1 2024 ($) | Q1 2025 ($) | | :-------------------------- | :------ | :------ | | Voyage revenues | 12,792,011 | 8,670,664 | | Voyage expenses | (2,832,992) | (2,837,998) | | Time charter equivalent revenues | 9,959,019 | 5,832,666 | | Total voyage days for fleet | 273 | 360 | | **Time charter equivalent rate** | **36,480** | **16,202** | [Unaudited Condensed Consolidated Financial Statements](index=9&type=section&id=Unaudited%20Condensed%20Consolidated%20Financial%20Statements) The unaudited financial statements for Q1 2025 show increased net income driven by a gain on warrants, higher total assets, and a shift in cash flow dynamics [Statements of Operations](index=9&type=section&id=Statements%20of%20Operations) The condensed consolidated statements of operations show a decrease in total revenues for Q1 2025 compared to Q1 2024, but a significant increase in net income, largely driven by a gain on warrants Unaudited Condensed Consolidated Statements of Operations | | Q1 2024 ($) | Q1 2025 ($) | | :------------------------------------------ | :------ | :------ | | Revenues | 12,792,011 | 8,670,664 | | Total expenses | 7,652,522 | 7,436,472 | | Income from operations | 5,139,489 | 1,234,192 | | Other (expenses)/income, net | (1,352,869) | 6,682,649 | | Net income | 3,786,620 | 7,916,841 | | Earnings per share (Basic) ($) | 16.61 | 14.89 | | Weighted average number of shares (Basic) | 43,716 | 465,245 | - The computation of earnings per share gives retroactive effect to shares issued in connection with the spin-off and reverse stock splits[33](index=33&type=chunk) [Balance Sheets](index=10&type=section&id=Balance%20Sheets) The condensed consolidated balance sheets indicate an increase in total assets and stockholders' equity from December 31, 2024, to March 31, 2025, primarily driven by an increase in cash and cash equivalents and retained earnings, while warrant liability significantly decreased Unaudited Condensed Consolidated Balance Sheets | | Dec 31, 2024 ($) | Mar 31, 2025 ($) | | :------------------------------------------ | :----------- | :----------- | | Cash and cash equivalents | 4,640,343 | 15,691,873 | | Total current assets | 16,339,358 | 21,072,012 | | Vessels, net | 84,149,805 | 82,524,334 | | Total assets | 100,489,163 | 103,596,346 | | Total current liabilities | 18,690,874 | 20,821,849 | | Warrant liability | 10,437,034 | 3,570,273 | | Total liabilities | 29,127,908 | 24,392,122 | | Total stockholders' equity | 71,361,255 | 79,204,224 | | Total liabilities and stockholders' equity | 100,489,163 | 103,596,346 | - Cash and cash equivalents increased significantly from **$4.6 million** at **Dec 31, 2024**, to **$15.7 million** at **Mar 31, 2025**[35](index=35&type=chunk) - Warrant liability decreased substantially from **$10.4 million** to **$3.6 million**, reflecting fair value changes[35](index=35&type=chunk) [Statements of Cash Flows](index=11&type=section&id=Statements%20of%20Cash%20Flows) The condensed consolidated statements of cash flows show a decrease in net cash provided by operating activities in Q1 2025 compared to Q1 2024, but a significant increase in cash from investing activities due to the maturity of time deposits. Financing activities resulted in a net cash outflow Unaudited Condensed Consolidated Statements of Cash Flows | | 3M 2024 ($) | 3M 2025 ($) | | :------------------------------------------ | :------ | :------ | | Net cash provided by operating activities | 14,793,672 | 3,294,491 | | Net cash provided by investing activities | 1,452,006 | 7,948,706 | | Net cash provided by/(used in) financing activities | 11,222,612 | (191,667) | | Net increase in cash and cash equivalents | 27,468,290 | 11,051,530 | | Cash and cash equivalents at end of period | 28,163,578 | 15,691,873 | - Net cash provided by operating activities decreased significantly from **$14.8 million** in **Q1 2024** to **$3.3 million** in **Q1 2025**[36](index=36&type=chunk) - Investing activities provided **$7.9 million** in cash in **Q1 2025**, primarily from the maturity of bank time deposits[36](index=36&type=chunk) [Additional Information](index=4&type=section&id=Additional%20Information) This section provides details on the Q1 2025 conference call, important forward-looking statements, and company contact information [Conference Call Details](index=4&type=section&id=Conference%20Call%20Details) C3is Inc. hosted a conference call on May 15, 2025, to discuss Q1 2025 results, operations, and outlook, with a live and archived webcast available on the company's website - A conference call was held on **May 15, 2025**, at **10:00 am ET** to present **Q1 2025** results and company outlook[17](index=17&type=chunk) - A live and archived webcast of the conference call is available on the C3is Inc. website (**www.c3is.pro**)[18](index=18&type=chunk) [Forward-Looking Statements](index=4&type=section&id=Forward-Looking%20Statements) This section contains forward-looking statements regarding future events and financial performance, which are subject to significant uncertainties and contingencies. Important factors that could cause actual results to differ materially are discussed, including economic conditions, market changes, and geopolitical risks - The release contains forward-looking statements reflecting current views on future events and financial performance, including fleet growth, diversification, and financing[20](index=20&type=chunk) - These statements are based on assumptions inherently subject to significant uncertainties and contingencies beyond the company's control[21](index=21&type=chunk) - Important factors that could cause actual results to differ include world economies, geopolitical conditions (e.g., Ukraine conflict, Middle East conflict, Red Sea disruptions), market conditions, and operating expenses[21](index=21&type=chunk) [Company Contact](index=5&type=section&id=Company%20Contact) Contact information for C3is Inc.'s Chief Financial Officer, Nina Pyndiah, is provided for inquiries - Contact for C3is Inc. is **Nina Pyndiah**, **Chief Financial Officer**[23](index=23&type=chunk)

Financial Data and Key Metrics Changes - The company achieved a net income of $8,000,000 for Q1 2025, an increase of 109% from Q1 2024 [3][30] - Net revenues were reported at $5,800,000, a decrease of 41% compared to Q1 2024, primarily due to a decrease in charter rates [3][21] - Cash balance increased by 25% to $15,700,000 from the end of 2024 [4][24] - Adjusted net income decreased by 74% to $1,200,000 compared to Q1 2024 [24] Business Line Data and Key Metrics Changes - The Aframax tanker, Afra Pearl II, contributed approximately 72% to total revenues, with TCE rates 55% lower than Q1 2024 [4][21] - The TCE rates for the entire fleet were 56% lower than the rates for Q1 2024 [4][21] - Voyage costs remained stable at $2,800,000, while vessel operating expenses increased to $2,100,000 from $1,800,000 in Q1 2024 [22] Market Data and Key Metrics Changes - The dry bulk trade is experiencing shifting dynamics influenced by economic trends and environmental pressures, with a forecasted long-term downtrend in the iron ore market [5][6] - Global dry bulk trading ton miles are expected to grow by 1.5% in 2025, lagging behind fleet growth of 3.1% [8] - China's grain imports are expected to slow due to high inventories and policy adjustments [7] Company Strategy and Development Direction - The company aims for disciplined growth through technical assessments and selective acquisitions of non-Chinese built vessels [27][28] - The strategy includes maintaining high-quality fleet standards to reduce operating costs and secure favorable charters [27][28] - The company has no bank debts and has met all CapEx obligations without resorting to bank loans [29][30] Management's Comments on Operating Environment and Future Outlook - The global economic environment in 2025 is characterized by mixed signals, presenting both risks and opportunities for the shipping sector [11][30] - Economic shocks and evolving policy measures are expected to shape the outlook, contributing to a cautious yet dynamic landscape [11][30] - The company is positioned to leverage regional growth drivers and adapt to evolving economic dynamics [31] Other Important Information - The company has increased its fleet by 234% since inception and maintains a focus on high-quality charterers [28][29] - The global Handysize fleet has seen a slight increase, with 3,151 vessels currently in operation [15] - The Aframax LR2 fleet stands at 1,174 vessels, with a significant portion over 20 years of age [17] Q&A Session Summary - No specific questions or answers were documented in the provided content.

Financial Data and Key Metrics Changes - The company reported a net income of $8,000,000 for Q1 2025, an increase of 109% from Q1 2024 [3][24] - Net revenues were $5,800,000, a decrease of 41% compared to Q1 2024, primarily due to a decrease in charter rates [3][21] - Cash balance increased by 25% to $15,700,000 from the end of 2024 [4][24] - Adjusted net income decreased by 74% to $1,200,000 compared to Q1 2024 [24] Business Line Data and Key Metrics Changes - The Aframax tanker, Afra Pearl II, contributed 72% to total revenues, with TCE rates 55% lower than Q1 2024 [4][21] - The TCE rates for the entire fleet were 56% lower than the rates for Q1 2024 [4][21] - Voyage costs remained stable at $2,800,000, while vessel operating expenses increased to $2,100,000 from $1,800,000 in Q1 2024 [22] Market Data and Key Metrics Changes - The dry bulk trade is experiencing shifting dynamics influenced by economic trends and environmental pressures, with a forecasted long-term downtrend in the iron ore market [5][6] - Global dry bulk trading ton miles are expected to grow by 1.5% in 2025, lagging behind fleet growth of 3.1% [8] - China's grain imports are expected to slow due to high inventories and policy adjustments [7] Company Strategy and Development Direction - The company aims for disciplined growth through technical assessments and selective acquisitions of non-Chinese built vessels [27] - The strategy includes maintaining high-quality fleet standards to reduce operating costs and secure favorable charters [26] - The company has no bank debts and has met all CapEx obligations without resorting to bank loans [28][29] Management's Comments on Operating Environment and Future Outlook - The global economic environment in 2025 is characterized by mixed signals, presenting both risks and opportunities for the shipping sector [10][29] - Economic shocks and evolving policy measures are expected to shape the outlook, contributing to a cautious yet dynamic landscape [10][29] - The company is positioned to leverage regional growth drivers and adapt to evolving economic dynamics [30] Other Important Information - The company has increased its fleet by 234% since inception and maintains a focus on short to medium-term charters and spot voyages [27][28] - The global Handysize fleet has seen a slight increase, with 3,151 vessels currently in operation [14] Q&A Session Summary Question: What are the expectations for the dry bulk market in 2025? - The dry bulk market is expected to face lower demand growth due to various uncertainties, but a relatively balanced supply-demand dynamic is anticipated [9] Question: How is the company managing its fleet and operational costs? - The company maintains high standards of safety and reliability, conducting regular inspections and adopting comprehensive maintenance programs [26] Question: What impact do environmental regulations have on the shipping sector? - Environmental regulations are expected to play a significant role in market dynamics, influencing supply-side conditions and operational practices [8][10]

Financial Performance - Net income for Q1 2025 was $8 million, a 109% increase compared to Q1 2024[7] - Net revenues for Q1 2025 were $5.6 million, a 43% decrease compared to Q1 2024[7] - Adjusted EBITDA for Q1 2025 was $2.8 million, a 56% decrease compared to Q1 2024[7] Fleet and TCE Rates - The company's vessels NBV (Net Book Value) is $82.5 million[7] - The company's cash balance is $15.7 million[7] - Q1 2025 TCE rates for the C3is fleet were 56% lower than Q1 2024 and 21% lower than the full year 2024[7] - Q1 2025 TCE rates for the Aframax tanker were 55% lower than Q1 2024 and 25% lower than the full year 2024[7] Fleet Composition and Strategy - The company's fleet consists of three Handysize drybulk carriers and one Aframax oil tanker[41] - The average age of the fleet is 14.3 years as of March 31, 2025[7, 43] - CAPEX repayments of $59.2 million have been made from July 2023 to April 2025 without resorting to bank loans[7, 49]

Core Insights - C3is Inc. reported a net income of $7.9 million for Q1 2025, a 109% increase from Q1 2024, despite a 32% decrease in revenues due to lower TCE rates [8][30][31] - The company successfully met all capital expenditure obligations totaling $59.2 million without resorting to bank loans, while increasing fleet deadweight tonnage significantly [8][14] Operational Highlights - The fleet operational utilization was 91.7% for Q1 2025, primarily due to idle days of the Aframax tanker in the spot market [5][19] - The average number of vessels owned increased from 3.0 in Q1 2024 to 4.0 in Q1 2025, with total calendar days for the fleet rising from 273 to 360 [19][30] Financial Performance - Revenues for Q1 2025 were $8.7 million, down from $12.8 million in Q1 2024, with a daily TCE of $16,202, a 56% decrease year-over-year [5][29] - Adjusted net income for Q1 2025 was $1.2 million, a 73% decrease from $4.5 million in Q1 2024, while adjusted EBITDA fell by 53% to $3.0 million [5][9][30] Cash Flow and Balance Sheet - The cash balance at the end of Q1 2025 was $15.7 million, up from $4.6 million at the end of Q4 2024 [32][34] - The company recorded a non-cash adjustment of $6.9 million as "Gain on Warrants" for Q1 2025, reflecting changes in fair value [5][9] Market Outlook - The global economic environment in 2025 is expected to present mixed signals, with risks and opportunities influencing the shipping sector [10][11] - C3is Inc. plans to adapt to evolving market dynamics by focusing on diversification and sustainable practices [11]

Company Overview - C3is Inc. is a ship-owning company that provides seaborne transportation services to dry bulk and tanker charterers, including major national and private industrial users, commodity producers, and traders [3] - As of the end of Q1 2025, the company owns three Handysize dry bulk carriers and one Aframax oil tanker, with a total capacity of 213,464 deadweight tons (dwt) [3] - The company's shares are listed on the Nasdaq Capital Market under the symbol "CISS" [3] Upcoming Financial Results - C3is Inc. will release its first quarter financial results for the period ended March 31, 2025, before the market opens in New York on May 15, 2025 [1] - A conference call will be hosted by the company's management on May 15, 2025, at 10:00 am ET to present the results and discuss the company's operations and outlook [1] - There will be a live and archived webcast of the conference call available on the C3is Inc. website [2]

PART I [Key Information](index=5&type=section&id=Item%203.%20Key%20Information) This section outlines the principal risks associated with the company's business, industry, and corporate structure [Risk Factors](index=5&type=section&id=D.%20Risk%20Factors) This subsection details the specific risks faced by the company, categorized into industry, business, taxation, corporate structure, and investment-related risks - The drybulk and tanker shipping industries are **cyclical and highly volatile**, leading to significant fluctuations in charter rates, vessel utilization, and profitability[25](index=25&type=chunk)[28](index=28&type=chunk)[36](index=36&type=chunk) - Geopolitical events, including conflicts in Ukraine and Gaza and Houthi attacks in the Red Sea, disrupt shipping routes and can materially affect business operations and financial results[25](index=25&type=chunk)[87](index=87&type=chunk) - The company's **small fleet size** (three drybulk carriers and one tanker) makes it highly dependent on the performance of these few vessels, where any operational limitations could materially harm the business[25](index=25&type=chunk)[111](index=111&type=chunk) - Investors face **significant future dilution risk** from equity offerings, expected to be a primary financing source for fleet expansion, and from the conversion of Series A Convertible Preferred Shares and warrant exercises[29](index=29&type=chunk)[198](index=198&type=chunk)[199](index=199&type=chunk) - The company's common stock may be **delisted from Nasdaq** for failing to meet the minimum bid price requirement, adversely affecting liquidity and access to capital markets[29](index=29&type=chunk)[206](index=206&type=chunk) - Imperial Petroleum holds all **600,000 Series A Convertible Preferred Shares**, granting it approximately **49.99% of aggregate voting power** and considerable control over shareholder matters[215](index=215&type=chunk) [Information on the Company](index=43&type=section&id=Item%204.%20Information%20on%20the%20Company) C3is Inc., incorporated in the Marshall Islands in July 2022, was spun off from Imperial Petroleum in June 2023 to provide international seaborne transportation services with a focus on reliable vessel operation and strategic fleet expansion [History and Development of the Company](index=43&type=section&id=A.%20History%20and%20Development%20of%20the%20Company) C3is Inc. was incorporated on July 25, 2022, in the Marshall Islands and completed its spin-off from Imperial Petroleum on June 21, 2023, becoming an independent, Nasdaq-listed company - C3is Inc. was incorporated on **July 25, 2022**, and completed its spin-off from Imperial Petroleum on **June 21, 2023**, becoming a separate publicly traded company[218](index=218&type=chunk) - Initial assets contributed by Imperial Petroleum included **two drybulk carriers** and **$5 million in cash**, in exchange for C3is's Common Shares and Series A Convertible Preferred Stock[218](index=218&type=chunk) [Business Overview](index=43&type=section&id=B.%20Business%20Overview) The company operates a fleet of three drybulk carriers and one Aframax tanker, totaling 213,468 dwt, employing a mix of short-term time charters and spot market employment, with management outsourced to Brave Maritime Fleet Profile (as of April 15, 2025) | Name | Year Built | Country Built | Size (dwt) | Vessel Type | Employment Status | Daily Charter Rate | Expiration of Charter(1) | | :--------------- | :--------- | :------------ | :--------- | :------------------------ | :---------------- | :----------------- | :----------------------- | | **Drybulk Carriers** | | | | | | | | | Eco Bushfire | 2011 | Japan | 32,000 | Handysize drybulk carrier | Time Charter | $ 16,000 | May 2025 | | Eco Angelbay | 2009 | Japan | 32,000 | Handysize drybulk carrier | Time Charter | $ 9,500 | May 2025 | | Eco Spitfire | 2012 | Japan | 33,664 | Handysize drybulk carrier | Time Charter | $ 10,750 | May 2025 | | **Tanker** | | | | | | | | | Afrapearl II | 2010 | Korea | 115,804 | Aframax oil tanker | Spot | - | - | - The company's fleet is managed by Brave Maritime, which handles technical, administrative, and commercial services for a fixed daily fee of **$440 per vessel**, plus commissions on charter hire (**1.25%**) and vessel sales/purchases (**1.0%**)[225](index=225&type=chunk)[226](index=226&type=chunk) - The company is subject to significant environmental regulations from the IMO, US (OPA, CERCLA), and EU, covering air emissions (SOx, NOx), ballast water management (BWM Convention), and greenhouse gases (EEXI, CII, EU ETS)[240](index=240&type=chunk)[244](index=244&type=chunk)[254](index=254&type=chunk)[262](index=262&type=chunk) [Operating and Financial Review and Prospects](index=63&type=section&id=Item%205.%20Operating%20and%20Financial%20Review%20and%20Prospects) This section analyzes the company's financial performance and condition, highlighting increased revenues in FY2024 driven by fleet expansion, offset by a net loss primarily due to non-cash warrant losses and higher operating costs Key Financial Performance (2023 vs. 2024) | Metric | 2023 | 2024 | Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | **Voyage Revenues** | $28.7M | $42.3M | +$13.6M | Increase in the average number of vessels in the fleet | | **Vessel Operating Expenses** | $4.8M | $8.4M | +$3.6M | Increase in the average number of vessels | | **General & Admin Costs** | $1.2M | $3.0M | +$1.8M | Expenses related to public offerings, warrants, and operating as a public company | | **Loss on Warrants** | $0 | $11.1M | -$11.1M | Fair value losses on warrants classified as liabilities | | **Net Income/(Loss)** | $9.3M | ($2.7M) | -$12.0M | Primarily due to loss on warrants and increased operating/finance costs | Fleet Operational Data | Metric | July 25 - Dec 31, 2022 | Year Ended Dec 31, 2023 | Year Ended Dec 31, 2024 | | :--- | :--- | :--- | :--- | | Average number of vessels | 1.09 | 2.5 | 3.6 | | Total voyage days | 136 | 900 | 1,327 | | Fleet utilization | 78.2% | 99.9% | 99.5% | | Adjusted average charter rate | $20,511 | $23,453 | $21,233 | | Vessel operating expenses/day | $5,151 | $5,323 | $6,277 | - As of December 31, 2024, the company had **$12.6 million in cash, cash equivalents, and time deposits** and **no outstanding bank debt**, with primary liquidity needs related to the remaining **$14.57 million** purchase price for the Eco Spitfire, paid in April 2025[412](index=412&type=chunk)[414](index=414&type=chunk)[415](index=415&type=chunk) - The company's impairment test as of December 31, 2024, showed that while three of four vessels had carrying values approximately **$11 million** above market values, projected undiscounted cash flows exceeded carrying values, resulting in **no impairment loss** recognized[373](index=373&type=chunk) [Directors, Senior Management and Employees](index=82&type=section&id=Item%206.%20Directors%2C%20Senior%20Management%20and%20Employees) This section details the company's leadership and governance structure, including its four-member board, outsourced executive services from Brave Maritime, and compensation practices, with established Audit, Nominating, and Compensation committees Board of Directors and Executive Officers | Name | Age | Position | | :--- | :--- | :--- | | Harry Vafias | 47 | Non-Executive Chairman, Class III Director | | Dr. Diamantis Andriotis | 43 | Chief Executive Officer, President and Class I Director | | John Kostoyannis | 58 | Class II Director | | George Xiradakis | 60 | Class III Director | | Nina Pyndiah | 62 | Chief Financial Officer | - The company has **no direct employees**; CEO, CFO, and other executive services are provided through the management agreement with Brave Maritime, which is reimbursed for their compensation[461](index=461&type=chunk)[474](index=474&type=chunk) - Aggregate cash compensation for executive officers was **$0.3 million in 2023** and **$0.4 million in 2024**; non-executive directors receive annual fees, with the Chairman receiving **€72,000** and independent directors **€25,000**[459](index=459&type=chunk)[461](index=461&type=chunk) - The Board of Directors is classified into **three classes with staggered three-year terms**, which may have an anti-takeover effect[463](index=463&type=chunk)[592](index=592&type=chunk) [Major Stockholders and Related Party Transactions](index=87&type=section&id=Item%207.%20Major%20Stockholders%20and%20Related%20Party%20Transactions) This section discloses major shareholders and related party transactions, highlighting Imperial Petroleum Inc.'s significant voting power and key agreements with Brave Maritime, including management services, vessel acquisitions, and office space leases Major Beneficial Owners (as of April 15, 2025) | Name of Beneficial Owner | Common Shares Beneficially Owned | Percentage | | :--- | :--- | :--- | | Imperial Petroleum Inc. | 4,935,671 | 86.8% | | Pandora Consultants II SA. | 42,947 | 5.5% | | Harry Vafias | 95,578 | 12.2% | - Imperial Petroleum Inc. holds **600,000 Series A Convertible Preferred Shares**, granting it voting power equivalent to **49.99% of total votes**, providing significant influence over corporate matters[483](index=483&type=chunk)[484](index=484&type=chunk) - The company has a management agreement with Brave Maritime, an entity affiliated with the Vafias family, for all technical, commercial, and administrative services[495](index=495&type=chunk) - In July 2023, the company acquired the Aframax tanker 'Afrapearl II' from Imperial Petroleum for **$43 million**; in April 2024, it acquired the drybulk carrier 'Eco Spitfire' from a Brave Maritime affiliate for **$16.19 million**[507](index=507&type=chunk)[508](index=508&type=chunk) [Additional Information](index=93&type=section&id=Item%2010.%20Additional%20Information) This section details the company's share capital, corporate governance, material contracts, and tax considerations, including authorized shares, outstanding warrants with adjustment features, and U.S. federal income tax rules for foreign shipping companies [Share Capital](index=93&type=section&id=A.%20Share%20Capital) The company's authorized capital includes 2 billion common shares and 200 million preferred shares, with multiple classes of warrants and Series A Convertible Preferred Shares outstanding, all subject to complex adjustment features and potential dilution Authorized and Outstanding Shares (as of April 15, 2025) | Security | Authorized | Outstanding | | :--- | :--- | :--- | | Common Stock, $0.01 par | 2,000,000,000 | 780,768 | | Preferred Stock, $0.01 par | 200,000,000 | 600,000 (Series A) | - The company has **five classes of warrants outstanding** (A, B-1, B-2, C-1, C-2) to purchase common stock, with Class B and C exercise prices subject to downward adjustment based on future stock offerings or splits, potentially leading to significantly more common shares[523](index=523&type=chunk)[537](index=537&type=chunk)[545](index=545&type=chunk)[556](index=556&type=chunk)[565](index=565&type=chunk) - The **600,000 Series A Convertible Preferred Shares** held by Imperial Petroleum have a **$25.00 liquidation preference per share**, a **5.0% cumulative dividend**, and a conversion price that adjusts downward to the lowest price of any subsequent registered offering, currently at **$3.0391 per share**[570](index=570&type=chunk)[573](index=573&type=chunk)[576](index=576&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=117&type=section&id=Item%2011.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risks include fluctuations in freight rates and vessel values, potential interest rate risk on future debt, and foreign exchange risk from non-U.S. dollar expenses, with no current bank debt or interest rate swaps - The company's main market risks are **fluctuations in shipping freight rates and vessel values**[660](index=660&type=chunk) - The company has **no outstanding bank debt or interest rate swap agreements**, thus currently having no direct exposure to interest rate risk[661](index=661&type=chunk) - In 2024, **15.1% of expenses** were incurred in currencies other than the U.S. dollar, creating foreign exchange rate risk, which the company does not currently hedge[662](index=662&type=chunk) PART II [Controls and Procedures](index=118&type=section&id=Item%2015.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that the company's disclosure controls and internal control over financial reporting were effective as of December 31, 2024, with no auditor attestation report due to emerging growth company status - Management concluded that the company's **disclosure controls and procedures were effective** as of December 31, 2024[667](index=667&type=chunk) - Management's report on internal control over financial reporting concluded the system was **effective as of December 31, 2024**, based on the COSO framework[671](index=671&type=chunk)[672](index=672&type=chunk) - The annual report does not include an auditor's attestation report on internal controls, as the company is an **emerging growth company**[673](index=673&type=chunk) [Corporate Governance and Other Matters](index=119&type=section&id=Item%2016.%20Corporate%20Governance%20and%20Other%20Matters) This section covers corporate governance, including the Audit Committee financial expert, Code of Business Conduct, principal accountant fees, differences from Nasdaq standards as a foreign private issuer, and the Board-overseen cybersecurity risk management program Principal Accountant Fees (in thousands) | Fee Category | 2023 | 2024 | | :--- | :--- | :--- | | Audit fees | $203 | $205 | | Assurance/audit related fees | — | — | | Tax fees | — | — | | All other fees | — | — | | **Total** | **$203** | **$205** | - As a foreign private issuer, the company differs from Nasdaq corporate governance standards by having a **two-member audit committee** and not requiring prior stockholder approval for certain share issuances[688](index=688&type=chunk) - The company has a cybersecurity risk management program managed by Brave Maritime, with ultimate oversight by the Board of Directors, including risk assessments, employee training, and an incident response plan[692](index=692&type=chunk)[693](index=693&type=chunk)[698](index=698&type=chunk) PART III [Financial Statements](index=124&type=section&id=Item%2018.%20Financial%20Statements) This section presents the audited consolidated financial statements for C3is Inc. for fiscal years 2023 and 2024, and prior periods, prepared under U.S. GAAP and audited by Deloitte Certified Public Accountants S.A. [Consolidated Balance Sheets](index=129&type=section&id=Consolidated%20Balance%20Sheets) The consolidated balance sheet shows total assets increased to $100.5 million in 2024, driven by vessel acquisitions, while total liabilities decreased to $29.1 million, and total stockholders' equity grew to $71.4 million Consolidated Balance Sheet Data (as of Dec 31) | (In millions of U.S. Dollars) | 2023 | 2024 | | :--- | :--- | :--- | | **Assets** | | | | Total current assets | $20.3 | $16.3 | | Vessels, net | $75.2 | $84.1 | | **Total assets** | **$95.5** | **$100.5** | | **Liabilities and Stockholders' Equity** | | | | Total current liabilities | $39.9 | $18.7 | | Warrant liability (non-current) | $0.0 | $10.4 | | **Total liabilities** | **$39.9** | **$29.1** | | **Total stockholders' equity** | **$55.5** | **$71.4** | [Consolidated Statements of Operations](index=130&type=section&id=Consolidated%20Statements%20of%20Operations) For the year ended December 31, 2024, total revenues increased to $42.3 million, but the company reported a net loss of $2.7 million, primarily due to a non-cash loss on warrants and higher operating and finance costs Consolidated Statement of Operations Data (Year Ended Dec 31) | (In millions of U.S. Dollars) | 2022 (Period) | 2023 | 2024 | | :--- | :--- | :--- | :--- | | **Revenues** | **$3.3** | **$28.7** | **$42.3** | | Total expenses | $2.7 | $18.3 | $32.2 | | **Income from operations** | **$0.6** | **$10.4** | **$10.1** | | Interest and finance costs | $0.0 | $1.4 | $2.5 | | Loss on warrants | $0.0 | $0.0 | ($11.1) | | **Net income/(loss)** | **$0.6** | **$9.3** | **($2.7)** | [Consolidated Statements of Cash Flows](index=133&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) In 2024, net cash from operating activities significantly increased to $25.0 million, while investing activities used $1.4 million, and financing activities used $19.7 million, resulting in a year-end cash balance of $4.6 million Consolidated Statement of Cash Flows Data (Year Ended Dec 31) | (In millions of U.S. Dollars) | 2022 (Period) | 2023 | 2024 | | :--- | :--- | :--- | :--- | | Net cash provided by operating activities | $1.1 | $5.6 | $25.0 | | Net cash used in investing activities | ($39.4) | ($12.4) | ($1.4) | | Net cash provided by/(used in) financing activities | $38.3 | $7.5 | ($19.7) | | **Net increase in cash and cash equivalents** | **$0.0** | **$0.7** | **$3.9** |

Financial Data and Key Metrics Changes - For the year 2024, the company reported revenues of $42,300,000, an increase of 47% compared to 2023 [5] - Net revenues were $28,000,000, reflecting a 33% increase from 2023 [5] - Adjusted EBITDA was $16,400,000, an increase of 11% from 2023 [6] - Adjusted net income was $8,700,000, a decrease of 7% from 2023 [6] - Cash balance at the end of Q4 2024 was $12,600,000, a 39% increase from year-end 2023 [6] Business Line Data and Key Metrics Changes - The Aframax tanker, Afrappel II, contributed approximately 76% to total revenues [5] - Daily time charter equivalent (TCE) for 2024 was $21,000 per day, down 10% from 2023 [7] - Fleet operational utilization was 90.3% for the twelve-month period ending December 31, 2024, compared to 91.6% for the same period in 2023 [24] Market Data and Key Metrics Changes - The dry bulk trade showed resilience despite global economic fluctuations, particularly in the latter half of the year [7] - The iron ore market is navigating a transitional phase with robust production despite subdued demand [8] - The seaborne coal market in 2024 experienced significant shifts, with demand dynamics contrasting between the first and second halves of the year [9] Company Strategy and Development Direction - The company aims for disciplined growth with a focus on timely and selective acquisition of quality vessels [32] - The strategy includes maintaining a high-quality fleet to reduce operating costs and improve safety [31] - The company has no bank debts and has increased its fleet capacity by 234% since inception [33] Management's Comments on Operating Environment and Future Outlook - The shipping industry is navigating a transitional phase influenced by geopolitical factors and environmental regulations [35] - The Trump administration's potential policies may significantly impact the oil industry and shipping profitability in 2025 [36] - The company remains confident that 2025 will yield strong financial performance and growth prospects [37] Other Important Information - The company recorded a noncash item of $11,130,000 loss at year-end 2024, resulting in a net loss of $2,700,000 for the year [29] - The fleet book value as of December 2024 was $84,000,000, a 12% increase from year-end 2023 [30] Summary of Q&A Session - There was no question and answer session at the end of the call [1]