Ardmore Shipping(ASC) - 2024 Q4 - Annual Report

Revenue Performance - Revenue for the three months ended December 31, 2024 was $82.0 million, a decrease of $16.9 million from $98.9 million for the same period in 2023[17] - Revenue for the year ended December 31, 2024, increased to $405,784,000, up 2% from $395,978,000 in 2023[41] - For the three months ended December 31, 2024, Ardmore reported a net income of $6.935 million, a decrease from $27.006 million in the same period of 2023[63] - Net income for the year ended December 31, 2024, rose to $133,006,000, compared to $116,808,000 in 2023, reflecting a 14% increase[42] Operational Metrics - The average TCE rate for the fleet was $22,353 per day, a decrease of $7,349 from $29,702 per day for the same period in 2023[21] - The Company had 2,245 spot revenue days, a decrease from 2,293 for the same period in 2023, resulting in a revenue decrease of $2.1 million[18] - The Company had 92 revenue days from time charters, resulting in an increase in revenue of $2.8 million for the three months ended December 31, 2024[19] - Average daily TCE for MR Eco-Design Tankers decreased to $22,663 in Q4 2024 from $32,542 in Q4 2023, a decline of 30%[44] - The number of vessels in operation remained stable at 26 for both years ended December 31, 2024, and 2023[47] Financial Expenses - Voyage expenses were $32.8 million, consistent with $33.2 million for the same period in 2023[20] - Total charter hire expense was $5.8 million, an increase of $0.1 million from $5.7 million for the same period in 2023[23] - The company recognized total charter hire expenses of $5.8 million for time charter-in vessels, which included $2.8 million for the right to use leased assets[56] - General and administrative expenses increased to $6.8 million, up $1.1 million from $5.7 million for the same period in 2023[26] Cash and Liquidity - As of December 31, 2024, the Company had $243.4 million in liquidity available, with cash and cash equivalents of $47.0 million[32] - Net cash provided by operating activities for the year ended December 31, 2024, was $160,445,000, slightly higher than $159,609,000 in 2023[42] - The company repurchased common stock amounting to $17,935,000 during the year ended December 31, 2024[42] Emissions and Environmental Impact - CO2 emissions generated in metric tons for the year ended December 31, 2024, were 422,083, up from 418,022 in 2023[47] - Ardmore's carbon emissions increased by 1.0% over the trailing 12-month period, rising from 418,022 metric tons to 422,083 metric tons of CO2 due to an increase in shorter voyages[48] - The Fleet Energy Efficiency Operational Indicator (EEOI) decreased from 13.34 g/ctm to 12.38 g/ctm, while the Annual Efficiency Ratio (AER) increased from 6.05 g/tm to 6.13 g/tm[48] - Ardmore plans to continue improving its emissions reporting methodology in line with industry best practices[50] - The company expects to refine performance measures for emissions and efficiency over time, influenced by external factors such as charter speed and vessel orders[50] Shareholder Returns - Ardmore's dividend to be paid is $3.190 million, with a dividend per share of $0.08[66] Market Outlook - The company anticipates potential impacts on the shipping industry from geopolitical conflicts, including the Russia-Ukraine war and the Israel-Hamas war[68] Investor Relations - Investor Relations contact details provided for Mr. Leon Berman and Mr. Bryan Degnan at The IGB Group[70] Impairment and Losses - The Company recognized an impairment loss of $4.4 million related to its equity method investment in Element 1 Corporation[30] - The Company redeemed 25% of its Series A Preferred Stock, resulting in a loss on extinguishment of $0.7 million[31] EBITDA Performance - Adjusted EBITDA for the year ended December 31, 2024, was $162,167,000, slightly up from $159,489,000 in 2023[44] - Adjusted EBITDA for the same period was $20.243 million, compared to $37.839 million in Q4 2023[63] - Adjusted earnings for the quarter were $10.250 million, with adjusted earnings per share (basic) at $0.25[64] Operating Expenses - The average daily fleet operating expenses increased to $6,799 in 2024 from $6,635 in 2023, reflecting a rise of 2.5%[44]