Company Overview - Seanergy Maritime Holdings Corp. operates a fleet of 21 capesize dry bulk ships [1] - The company is currently trading at a discount compared to some peers in the sector, attributed to the age of its fleet [1] Investment Perspective - The focus is on long-term investing in stocks that are trading at or below their fair value [1] - The analysis aims to identify opportunities arising from market inefficiencies, referred to as mistakes made by 'Mr. Market' [1]

Seanergy Maritime Holdings Corp (SHIP) Q2 2025 Earnings Call August 05, 2025 09:00 AM ET Speaker0Thank you for standing by, ladies and gentlemen. Welcome to the Synergy Maritime Holdings Corp. Conference Call on the Second Quarter and First Half for the Periods Ended 06/30/2025 financial results. We have with us Mr. Stamatis Tantanes, Chairman and CEO and Mr.Stavros Givtakis, Chief Financial Officer of Synergy Maritime Holdings Corp. At this time, all participants are in a listen only mode. There will be a ...

Company Overview - Seanergy Maritime Holdings Corp (SHIP) shares increased by 6.8% to close at $6.76, following notable trading volume compared to typical sessions, despite a 7.3% loss over the past four weeks [1] - The stock has gained 7% in the current month, supported by the stabilization of the Baltic Exchange's dry bulk sea freight index, with improvements in the Panamax and Supramax segments offsetting declines in Capesize rates [2] Financial Performance - The company is expected to report quarterly earnings of $0.09 per share, reflecting a year-over-year decline of 88.3%, with revenues projected at $35.13 million, down 18.5% from the same quarter last year [3] - Management remains optimistic about the Capesize market for the remainder of 2025, which could positively impact the company's future performance [3] Market Sentiment - The consensus EPS estimate for Seanergy Maritime has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [5] - The stock currently holds a Zacks Rank of 3 (Hold), suggesting a neutral outlook in the market [6]

Transaction Summary - Seanergy Maritime Holdings Corp计划发行 1 亿美元的高级无抵押债券[1,37] - 债券发行所得款项将用于一般公司用途，包括船舶收购和债务再融资[40,41] - Seanergy 在纳斯达克上市，股票代码为“SHIP”，市值约为 1.45 亿美元[30,37] Company Overview - Seanergy 是一家领先的 Capesize 型散货船船东和运营商，收购 Meiship 和 Blueship 后，拥有 21 艘船舶[30,40] - 该公司自 2008 年以来在纳斯达克上市，拥有丰富的资本市场经验，自 2020 年以来已筹集 1.8 亿美元的股权[31,42] - Seanergy 拥有高质量的船队，包括 19 艘 Capesize 型和 2 艘 Newcastlemax 型船舶，价值 6.6 亿美元[40,42] - 该公司采用混合运营模式，拥有低成本的内部技术管理和成熟的商业管理平台[42,65] - Seanergy 的船队 100% 采用期租方式，确保 100% 的利用率，平均高于波罗的海海岬型船指数的 105%[42,51] Financial Profile - Seanergy 拥有稳健的信贷指标，净贷款价值比为 45%，经预计债券发行调整后的净杠杆率为 2.7 倍[40,42] - 该公司拥有高效的运营模式，全面运营支出和资本支出盈亏平衡点约为每天 9,600 美元[70,60] - Seanergy 拥有良好的财务战略，过去 5 年在所有市场环境下均确保净贷款价值比低于 50%，交易完成后约为 45%[42,168]

Company Performance - Seanergy Maritime Holdings Corp's stock closed at $6.76, reflecting a -1.17% change from the previous day's closing price, underperforming the S&P 500's daily loss of 0.03% [1] - The stock has increased by 10.68% over the past month, outperforming the Transportation sector's loss of 3.35% and the S&P 500's gain of 0.6% [1] Earnings Expectations - The upcoming earnings report is expected to show an EPS of $0.09, which is a significant decline of 88.31% from the same quarter last year [2] - Revenue is anticipated to be $35.13 million, representing an 18.54% decrease compared to the prior year [2] - For the full year, earnings are projected at $0.49 per share and revenue at $140.21 million, indicating changes of -79.41% and -16.27% respectively from the previous year [3] Analyst Estimates and Rankings - Recent adjustments to analyst estimates for Seanergy Maritime Holdings Corp are being monitored, as these revisions often reflect short-term business trends [4] - The Zacks Rank system, which assesses estimate changes, currently ranks Seanergy Maritime Holdings Corp at 3 (Hold) [6] - Over the last 30 days, the Zacks Consensus EPS estimate has increased by 127.27% [6] Valuation Metrics - The company is currently trading at a Forward P/E ratio of 14.1, which is a premium compared to the industry average Forward P/E of 9.78 [7] - The Transportation - Shipping industry has a Zacks Industry Rank of 186, placing it in the bottom 25% of over 250 industries [7]

Group 1 - The focus has shifted towards offshore drilling, supply industry, and shipping, including tankers, containers, and dry bulk [1] - The fuel cell industry is being monitored as it is still in its early stages of development [1] Group 2 - The individual has extensive experience in navigating significant market events such as the dotcom bubble, the aftermath of the World Trade Center attacks, and the subprime crisis [2] - The individual has a background in auditing with PricewaterhouseCoopers before transitioning to day trading [2]

Company Performance - Seanergy Maritime Holdings Corp reported a quarterly loss of $0.27 per share, better than the Zacks Consensus Estimate of a loss of $0.44, and compared to earnings of $0.57 per share a year ago, representing an earnings surprise of 38.64% [1] - The company posted revenues of $24.21 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 3.76%, but down from year-ago revenues of $38.29 million [2] - Over the last four quarters, Seanergy Maritime Holdings has surpassed consensus EPS estimates four times and topped consensus revenue estimates four times [2] Stock Outlook - Seanergy Maritime Holdings shares have declined approximately 13.4% since the beginning of the year, while the S&P 500 has decreased by 1.3% [3] - The current consensus EPS estimate for the upcoming quarter is $0.15 on revenues of $37.05 million, and for the current fiscal year, it is $0.33 on revenues of $141.21 million [7] Industry Context - The Transportation - Shipping industry, to which Seanergy Maritime Holdings belongs, is currently ranked in the bottom 28% of over 250 Zacks industries, indicating potential challenges for stock performance [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact investor sentiment [5]

Financial Data and Key Metrics Changes - In Q1 2025, the company recorded revenue of $24.2 million, EBITDA of $6.6 million, and a net loss of $6.8 million, with a cash balance of $31 million at quarter end [5][10][11] - The daily time charter equivalent (TCE) was $13,400, down from $24,100 in the same period last year, but still above the Baltic Capesize Index average [10][11] - Adjusted EBITDA was $8 million, with an adjusted net loss of $5.2 million [10] Business Line Data and Key Metrics Changes - The company took delivery of two high-quality Capesize vessels, enhancing its fleet with modern, fuel-efficient tonnage [6][7] - The daily TCE achieved in Q1 2025 was approximately 3% above the Baltic Capesize Index average, validating the company's commercial strategy [8] Market Data and Key Metrics Changes - The Capesize market experienced a temporary correction in Q1 2025, influenced by severe weather disruptions and high inventories from 2024, but rates rebounded sharply in March [16][19] - The Capesize and Newcastle Max order book is currently slightly below 8%, indicating limited new supply growth [17] - Global steel demand remains resilient, with iron ore imports growing due to depletion of domestic mines [18][21] Company Strategy and Development Direction - The company is focused on disciplined growth, balance sheet strength, and delivering shareholder value through dividends and targeted share buybacks [22][23] - The strategy is built on three pillars: capital returns, strategic fleet growth, and balance sheet strength [23] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about profitability in the coming quarters, supported by stronger market conditions and freight hedging activities [11][15] - The long-term fundamentals of the Capesize market are positive, driven by constrained vessel supply growth and steady demand for dry bulk commodities [16][18] Other Important Information - The company has secured long-term coverage for roughly one-third of its available days at an average daily rate exceeding $22,000 [9] - The company has no balloon payments due until Q2 2026, allowing for operational flexibility [15] Q&A Session Summary Question: Can you walk us through the dry dock schedule? - The company has approximately seven ships remaining for dry docking this year, with expected CapEx of around $10 million to $14 million for the second, third, and fourth quarters [26][27] Question: Can you elaborate on the company's strategic and capital allocation priorities? - The company prioritizes distributing a significant part of cash flow in dividends and has no immediate plans for further acquisitions due to limited compelling candidates [28][29] Question: Can you discuss the competition for ship purchases? - The company has a right of first offer on several ships and maintains strong relationships with potential sellers and charterers, which aids in securing favorable deals [32][33] Question: How much can we expect bauxite to support demand over time? - Bauxite exports have increased significantly, and while a flat demand is anticipated, the company expects continued strong volumes from West Africa [39][40] Question: What are the near-term market catalysts being tracked? - The company is monitoring export projections from major miners, which need to increase to meet their stated goals, indicating potential for higher rates in the second half of the year [46][51]

Financial Data and Key Metrics Changes - In Q1 2025, the company recorded revenue of $24.2 million, EBITDA of $6.6 million, and a net loss of $6.8 million, compared to $38.3 million in revenue and a TCE of $24.1 million in the same period last year [5][10] - The cash balance at the end of the quarter stood at $31 million, reflecting a strong and flexible balance sheet despite the quarterly loss [5][11] - Adjusted EBITDA was $8 million, with an adjusted net loss of $5.2 million, indicating a focus on returning to profitability in the upcoming quarters [10][11] Business Line Data and Key Metrics Changes - The daily time charter equivalent (TCE) achieved was $13,400, which was about 3% above the Baltic Capesize Index average [7][10] - The company expects TCE levels to recover to over $19,000 per day in Q2, indicating a strong quarter-on-quarter improvement [7][11] Market Data and Key Metrics Changes - The Capesize market experienced a temporary correction in Q1 2025, influenced by severe weather disruptions and high inventories from 2024, but rates rebounded sharply in March [15][16] - The Capesize and Newcastle Max order book is currently below 8%, indicating constrained vessel supply growth, which is expected to support earnings [16][17] - Global steel demand remains resilient, with iron ore imports growing due to depletion of domestic mines, while bauxite exports from Guinea have increased by 43% year-to-date [18][20] Company Strategy and Development Direction - The company is focused on disciplined growth, balance sheet strength, and delivering value to shareholders, with a commitment to capital returns and strategic fleet growth [4][21] - The strategy is built on three pillars: capital returns, strategic fleet growth, and balance sheet strength, positioning the company well in the Capesize market [21][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term fundamentals of the Capesize market, despite short-term volatility [4][15] - The company anticipates a return to profitability in Q2, supported by stronger market conditions and freight hedging activities [10][11] - Management highlighted that the effective supply of Capesize vessels is expected to tighten progressively in the coming quarters, creating a supportive environment for earnings [21] Other Important Information - The company has secured long-term coverage for roughly one-third of its available days at an average daily rate exceeding $22,000, reflecting a commitment to securing profitable cash flows [9][11] - The company has no balloon payments due until Q2 2026, allowing for operational flexibility and sustained returns [14][15] Q&A Session Summary Question: Can you walk us through the dry dock schedule? - The company has approximately seven ships remaining for dry docking this year, with expected CapEx of around $10 million to $14 million for the second, third, and fourth quarters [24][26] Question: What are the company's strategic and capital allocation priorities? - The company plans to distribute a significant part of cash flow in dividends and continue with buybacks, while currently not pursuing further acquisitions due to limited asset availability [27][28] Question: Who are the competitors in the market for purchasing Capesize vessels? - The company has a right of first offer on several ships and maintains strong relationships with potential sellers and commercial operators, which aids in securing favorable agreements [32][33] Question: How much can bauxite support demand over time? - Bauxite exports have increased significantly, and while a flat demand is expected, the company anticipates continued strong volumes from West Africa [38][39] Question: What are the near-term market catalysts being tracked? - The company is monitoring export projections from major miners, which need to increase to meet their stated goals, indicating potential for higher rates in the second half of the year [50][51]

Highlights (in million USD, except EPS)Q1 2025Q1 2024Net Revenues$24.2$38.3Net (loss) / income($6.8)$10.2Adjusted net (loss) / income1($5.2)$11.6EBITDA1$6.6$21.6Adjusted EBITDA1$8.0$23.2   (Loss) / earnings / per share Basic & Diluted($0.34)$0.50Adjusted (loss) / earnings per share Basic1  ($0.27)$0.58Adjusted (loss) / earnings per share Diluted1($0.27)$0.57    Other Highlights and Developments: Fleet TCE2 of $13,403, outperforming the Baltic Capesize Index (“BCI”) by 3% in Q1 2025Declared $0.05 per share ...