Global Ship Lease(US:GSL)2024-11-12 21:05Financial Performance - Operating revenues for the nine months ended September 30, 2024, were $528,622 thousand, up from $495,901 thousand in the same period of 2023, reflecting an increase of about 6.65%[10] - Net income available to common shareholders for the nine months ended September 30, 2024, was $253,912 thousand, compared to $230,299 thousand in 2023, marking a rise of approximately 10.27%[12] - The company reported a basic earnings per share of $7.20 for the nine months ended September 30, 2024, compared to $6.49 for the same period in 2023, indicating an increase of about 10.92%[10] - Total comprehensive income for the nine months ended September 30, 2024, was $243,301 thousand, up from $227,693 thousand in 2023, reflecting an increase of about 6.85%[12] - Net income for 2024 was $261,064, an increase of 9.95% compared to $237,451 in 2023[15] - Net cash provided by operating activities increased to $324,307, up from $269,549, representing a growth of 20.27%[15] Assets and Liabilities - Total assets increased to $2,238,005 thousand as of September 30, 2024, compared to $2,171,780 thousand as of December 31, 2023, representing a growth of approximately 3.06%[7] - Cash and cash equivalents rose to $260,456 thousand as of September 30, 2024, from $138,640 thousand as of December 31, 2023, showing a significant increase of approximately 88%[7] - Total current liabilities decreased to $255,508 thousand as of September 30, 2024, from $280,440 thousand as of December 31, 2023, a reduction of about 8.87%[7] - Long-term debt, net of current portion, decreased to $528,015 thousand as of September 30, 2024, from $619,175 thousand as of December 31, 2023, a decline of approximately 14.69%[7] - Total shareholders' equity increased to $1,387,380 thousand as of September 30, 2024, compared to $1,184,388 thousand as of December 31, 2023, representing a growth of about 17.14%[7] Cash Flow and Financing Activities - Cash flows used in investing activities decreased significantly to $(33,793) from $(142,165), indicating improved cash management[15] - Proceeds from drawdown of credit facilities amounted to $300,000, a substantial increase from $76,000 in the previous year[15] - Net cash used in financing activities increased to $(192,608) compared to $(143,971) in 2023, reflecting higher repayment of credit facilities[15] - The Company entered into a $300 million senior secured term loan facility on August 7, 2024, to refinance existing debt facilities[118] - The total borrowings as of September 30, 2024, amounted to $687,992, a decrease from $823,178 as of December 31, 2023[111] Fleet and Vessel Management - The fleet comprises 68 containerships with an average age of 18.0 years as of September 30, 2024[25] - The company purchased four 8,544 TEU vessels during Q2 2023 for a total price of $123,300,000[24] - The company completed the sale of GSL Amstel on March 23, 2023, as part of its fleet management strategy[25] - The company has made significant investments in vessels with capacities ranging from 2,207 TEUs to 6,008 TEUs, enhancing its operational capabilities[29] - The company has options for charter extensions for several vessels, providing flexibility in fleet management[31] Impairment and Valuation - The company recorded an impairment loss of $18,830 for two vessel groups as of December 31, 2023, with a total aggregate carrying amount of $43,830, which was written down to their fair value of $25,000[54] - The company performed step one of the impairment assessment for all vessel groups and determined no impairment tests were necessary for the nine months ended September 30, 2024, and 2023[53] - The estimated residual values of the company's vessels are based on a scrap rate of $400 per lightweight ton (LWT)[42] Debt and Covenants - The repayment schedule for long-term debt includes $152,522 thousand due by September 30, 2025, and a total of $687,992 thousand due by September 30, 2029[188] - The company was in compliance with its debt covenants as of September 30, 2024[192] Other Financial Information - The company recognized $16,289 thousand in management fees charged by Technomar for the nine months ended September 30, 2024, compared to $14,072 thousand for the same period in 2023[196] - The company incurred total costs of $2,625 thousand related to the 2024 Senior Secured Term Loan Facility for the nine-month period ended September 30, 2024[189] - The minimum contracted future charter hire receivable for the 68 vessels as of September 30, 2024, totals $1,666,885 thousand[200]