Genco Shipping & Trading Limited (NYSE:GNK) Q3 2022 Earnings Conference Call November 10, 2022 8:30 AM ET Company Participants Peter Allen - Investor Relations John Wobensmith - Chief Executive Officer Apostolos Zafolias - Chief Financial Officer Conference Call Participants Omar Nokta - Jefferies Greg Lewis - BTIG Liam Burke - B. Riley Operator Good morning, ladies and gentlemen and welcome to the Genco Shipping & Trading Limited Third Quarter 2022 Earnings Conference Call and Presentation. Before we begin ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ⌧ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 OR ◻ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to | Title of each class | Trading Symbol(s) | Name of exchange on which registered | | --- | --- | --- | | Common stock, par value $0.01 per share ...

Financial Data and Key Metrics Changes - Genco Shipping reported a net income of $47.4 million for Q2 2022, translating to $1.12 basic and $1.10 diluted earnings per share, with EBITDA of $64.2 million compared to $50.2 million in the same period last year [19] - The company declared a dividend of $0.50 per share for Q2 2022, representing an annualized yield of 10% based on the current share price, and anticipates a substantial increase in the third quarter dividend [9][18] - The time charter equivalent (TCE) rate for the quarter was $28,756 per day, a 36% increase from the same period in 2021, with expectations of a firm TCE in Q3 at approximately $25,059 per day for 79% of available days booked [14][19] Business Line Data and Key Metrics Changes - The company maintained a focus on rewarding shareholders through dividends while continuing to deleverage, with a cumulative debt paydown of $261 million or 58% since the beginning of 2021 [12][18] - Genco's balance sheet strength and low breakeven levels are highlighted as core differentiators compared to publicly traded peers, with a net loan to value of 12% and a goal to reduce net debt to zero [11][21] Market Data and Key Metrics Changes - The Baltic Capesize Index rose from approximately $11,000 per day at the end of April to nearly $40,000 per day one month later, indicating significant upside potential in freight rates [29] - Production guidance from Brazilian iron ore miner Vale suggests an increase in shipments ranging from 26% to 33% in the second half of the year compared to the first half, supported by China's economic stimulus measures [30] Company Strategy and Development Direction - Genco's strategy focuses on paying meaningful and sustainable dividends, deleveraging, and capitalizing on growth opportunities, with a commitment to reducing leverage and breakeven rates [9][12] - The company aims to maintain a strong financial position to take advantage of attractive growth opportunities as markets develop, with a focus on improving financial standing over time [13] Management's Comments on Operating Environment and Future Outlook - Management expressed a constructive outlook for the drybulk market, citing historically low order book levels as a factor that could lead to improved fleet utilization and freight rates [15][34] - The company anticipates a stronger fourth quarter compared to previous years, driven by expected increases in iron ore shipments and the effects of Chinese stimulus measures [40][41] Other Important Information - Genco has completed the transition to a new technical management joint venture, which has resulted in higher vessel operating expenses in Q2 but is expected to normalize in the second half of the year [25][26] - The company incurred one-time expenses of $9.3 million for ballast water treatment systems and energy-saving devices, which are expected to enhance shareholder returns over the long term [23] Q&A Session Summary Question: Demand side of the iron ore equation for the second half of the year - Management noted that while COVID lockdowns affected steel production and iron ore imports, they expect a more than 20% gain in shipments from Brazil in the second half of the year [39] Question: Budgeted daily vessel operating expenses - Management confirmed that higher expenses in Q2 were due to crew costs and higher repair and maintenance expenses, but they expect significantly lower expenses in the second half [42][43] Question: Dividend outlook for Q3 - Management indicated that they expect a higher dividend in Q3 compared to Q2, supported by fixed rates and lower operating expenses [48] Question: Stock buybacks and valuation concerns - Management expressed frustration with the current stock valuation but emphasized the importance of maintaining the dividend strategy over initiating buybacks at this time [55][58] Question: North American grain trade outlook - Management is optimistic about the North American grain trade, expecting benefits from increased ton miles and a strong season, despite disruptions in the Black Sea region [62]

GENCO SHIPPING & TRADING LIMITED Q2 2022 Earnings Presentation August 4th, 2022 Forward Looking Statements "Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995 This presentation contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements use words such as "anticipate," "budget," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of si ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ⌧ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR ◻ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-33393 GENCO SHIPPING & TRADING LIMITED (Exact name of registrant as specified in its charter) Republic of the Marshall Isl ...

GENCO SHIPPING & TRADING LIMITED Q1 2022 Earnings Presentation May 5th, 2022 Forward Looking Statements "Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995 This presentation contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements use words such as "anticipate," "budget," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of simil ...

Fleet Operations - The company operates a fleet of 44 drybulk vessels with a total carrying capacity of approximately 4,636,000 deadweight tons (dwt) and an average age of 10.2 years[106]. - The fleet currently consists of 44 drybulk vessels, including 17 Capesize, 15 Ultramax, and 12 Supramax drybulk carriers[195]. - Ultramax ownership days increased significantly by 83.1% to 1,339.9 days, while Supramax ownership days decreased by 23.3% to 1,080.0 days[129]. - The company has installed scrubbers on its 17 Capesize vessels to comply with IMO 2020 sulfur emissions regulations[120]. - The company has completed the installation of scrubbers on 17 Capesize vessels, with the last installation completed on January 17, 2020[200]. - A fuel efficiency upgrade program has been implemented for certain vessels to generate fuel savings and increase future earnings potential[196]. - The company plans to upgrade a portion of its fleet with energy-saving devices and apply high-performance paint systems to reduce fuel consumption and emissions[201]. Financial Performance - Total voyage revenues for the three months ended March 31, 2022, were $136.2 million, an increase of 55.5% from $87.6 million in 2021[137]. - Net income attributable to Genco Shipping & Trading Limited was $41.7 million for Q1 2022, a significant increase of $39.7 million or 2,000.2% compared to $1.985 million in Q1 2021[141]. - Operating income surged to $42.1 million in Q1 2022, up 567.2% from $6.3 million in Q1 2021[145]. - EBITDA for Q1 2022 was $58.0 million, compared to $19.9 million in Q1 2021, reflecting a 191.4% increase[142]. - Total operating expenses rose to $94.1 million in Q1 2022, an increase of 15.8% from $81.3 million in Q1 2021[145]. - Net cash provided by operating activities increased to $52.6 million for the three months ended March 31, 2022, compared to $13.5 million for the same period in 2021, primarily due to higher rates achieved by vessels and changes in working capital[186]. - Net cash used in investing activities was $47.0 million for the three months ended March 31, 2022, a decrease from net cash provided of $20.0 million in the same period in 2021, mainly due to the purchase of two Ultramax vessels[187]. - Net cash used in financing activities increased to $77.1 million for the three months ended March 31, 2022, compared to $49.1 million in 2021, driven by a $27.4 million increase in dividend payments[188]. Debt Management - In 2021, the company paid down $203 million of debt and an additional $49 million in 2022, reducing cash flow breakeven rates[109]. - The company announced a new $450 million credit facility to refinance prior credit facilities, improving terms and increasing flexibility[109]. - The company entered into a $450 million credit facility on August 3, 2021, to refinance existing debt[189]. - As of March 31, 2022, the company had three interest rate cap agreements with a total notional principal amount of $200.0 million to manage interest costs[190]. - Net interest expense decreased by $2.2 million from $4.5 million in Q1 2021 to $2.2 million in Q1 2022, primarily due to lower outstanding debt[162]. Dividend Policy - The first quarterly dividend under the company's value strategy was paid in Q1 2022 based on Q4 2021 financial results[109]. - A quarterly dividend of $0.79 per share was announced on May 4, 2022, subject to the company's financial performance and compliance with legal and contractual obligations[173]. - The company aims to pay attractive dividends, continue debt reduction, and opportunistically grow the fleet[110]. Operational Challenges - The company continues to monitor COVID-19 impacts on operations, including crew rotations and supply chain disruptions[118]. - China's GDP growth forecast for 2022 is around 5.5%, with Q1 2022 growth reported at 4.8% due to COVID-19 impacts[113]. - Daily vessel operating expenses rose to $6,839, a 39.9% increase compared to $4,887 in 2021[130]. - Vessel operating expenses increased by $8.0 million to $27.0 million in Q1 2022, primarily due to higher crew expenses and COVID-19 related costs[151]. - Voyage expenses were $38.5 million in Q1 2022, up from $35.1 million in Q1 2021, driven by increased fuel prices due to oil supply disruptions[150]. Asset Management - The total carrying value of vessels as of March 31, 2022, is $897.9 million, a decrease from $906.3 million as of December 31, 2021[218]. - The carrying value of eleven Capesize vessels exceeded their valuation for covenant compliance purposes by an aggregate of $71.0 million as of March 31, 2022[215]. - The consolidated total carrying value of assets, including unencumbered vessels, is $1,031.9 million as of March 31, 2022[218]. Risk Management - The company has entered into bunker swap and forward fuel purchase agreements to mitigate the risk of changing fuel prices, although these do not qualify for hedge accounting treatment[227]. - The majority of the company's transactions are denominated in U.S. Dollars, minimizing foreign exchange risk[228]. - The company is exposed to interest rate changes, impacting earnings and cash flow related to borrowings[219]. - A 1% increase in LIBOR would result in an increase of $0.6 million in interest expense for the three months ended March 31, 2022[222]. - Inflation has a moderate effect on the company's expenses, but significant global inflationary pressures could increase operating and financing costs[208].

GENCO SHIPPING & TRADING LIMITED GENCO CONSTANTINE 16th Annual Capital Link International Shipping Forum March 2022 NYSE: GNK Forward Looking Statements "Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995 This presentation contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements use words such as "anticipate," "budget," "estimate," "expect," "project," "intend," "pla ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ⌧ Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended December 31, 2021 or ◻ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commission file number 001-33393 GENCO SHIPPING & TRADING LIMITED (Exact name of registrant as specified in its charter) Republic of the Marshall Islands ...

Financial Data and Key Metrics Changes - For Q4 2021, the company recorded net income of $90.9 million, with basic and diluted earnings per share of $2.16 and $2.13 respectively, marking the highest earnings per share since 2008 [18] - Adjusted EBITDA for Q4 was $102.2 million, exceeding the adjusted EBITDA for all of 2020 [18] - The company paid down $203 million of debt during 2021, representing 45% of its debt balance at the start of the year [9][10] Business Line Data and Key Metrics Changes - The company declared a quarterly dividend of $0.67 per share for Q4 2021, a nearly 350% increase from the previous quarter [12] - The time charter equivalent (TCE) rate for Q4 was $35,200 per day, with estimates for Q1 2022 pointing to a TCE of approximately $24,215 per day [13][14] Market Data and Key Metrics Changes - Freight rates remained firm in Q4 2021, with Capesize rates exceeding $85,000 per day and Supramax earnings approaching $40,000 per day [24] - The order book as a percentage of the fleet is at 6.6%, indicating a low supply environment that supports future rate increases [27] Company Strategy and Development Direction - The company has pivoted towards a low leverage, compelling dividend model, focusing on financial deleveraging and growth [7] - Management aims to reduce net debt to zero while continuing to reward shareholders with dividends [10][19] Management Comments on Operating Environment and Future Outlook - Management expressed a positive outlook for dry bulk rates due to a historically low new building order book and anticipated improvements in demand from China [16][26] - The company is positioned to benefit from a cyclical upturn in the dry bulk market, with solid visibility on the supply side [17][27] Other Important Information - The company has no mandatory debt repayments until 2026, allowing for continued voluntary debt paydowns [10][19] - The cash position as of December 31, 2021, was $120.5 million, following significant debt repayments and vessel acquisitions [19] Q&A Session Summary Question: Plans for additional tonnage and percentage of days fixed - Management indicated a portfolio approach to charters, with about 30% of full year days fixed at approximately $24,000 per day [31][35] Question: Dividend expectations based on current rates - Management noted that with 15% of the fleet still to be fixed, it is difficult to predict the next dividend but indicated potential for an increase [36][37] Question: Potential acquisitions and capital allocation strategy - Management emphasized a focus on dividends and fleet renewal, with opportunities for acquisitions if they align with the company's strategy [45][71] Question: Impact of geopolitical issues on exports and market - Management acknowledged the fluid situation in Eastern Europe but maintained a positive outlook due to low supply and the company's strong positioning [60][62]