Genco Shipping & Trading (US:GNK)2025-05-07 20:40Dividend and Shareholder Value - Genco Shipping & Trading declared a dividend of $0.15 per share for Q1 2025, marking its 23rd consecutive quarterly dividend, with cumulative dividends totaling $6.765 per share, approximately 50% of the current stock price[5] - Genco announced a $50 million share repurchase program to enhance shareholder value amid market volatility, which is incremental to its dividend policy[6] Financial Performance - The company reported a net loss of $11.9 million for Q1 2025, translating to a basic and diluted net loss per share of $0.28, compared to a net income of $18.8 million in Q1 2024[32] - Total revenues for the three months ended March 31, 2025, were $71.3 million, a decrease of 39.2% compared to $117.4 million for the same period in 2024[52] - Net loss attributable to Genco Shipping & Trading Limited for the three months ended March 31, 2025, was $11.9 million, compared to a net income of $18.8 million for the same period in 2024[52] - Cash flows from operating activities generated $2.9 million for the three months ended March 31, 2025, down from $32.3 million in the same period of 2024[54] - Net cash provided by operating activities fell to $2.9 million in Q1 2025 from $32.3 million in Q1 2024, primarily due to lower rates and increased drydocking costs[40] - Net cash used in financing activities was $13.4 million for the three months ended March 31, 2025, compared to $47.9 million in 2024, primarily due to a $30.0 million decrease in debt repayments[42] Revenue and Expenses - Voyage revenues decreased to $71.3 million in Q1 2025 from $117.4 million in Q1 2024, primarily due to lower rates and a smaller fleet, with average daily TCE rates dropping to $11,884 per day from $19,219 per day[33] - Total voyage expenses decreased to $27.4 million in Q1 2025 from $37.2 million in Q1 2024, a decline of 26.5%[57] - Charter hire expenses decreased to $2.3 million in Q1 2025 from $3.5 million in Q1 2024, a decline of 34.8%[57] - Vessel operating expenses decreased to $24.9 million in Q1 2025, with daily vessel operating expenses (DVOE) at $6,592 per vessel per day, up from $6,275 in Q1 2024[35] Fleet and Utilization - The fleet consists of 42 vessels with an average age of 12.4 years and an aggregate capacity of approximately 4,446,000 dwt[45] - Fleet utilization improved to 98.0% for the three months ended March 31, 2025, compared to 96.2% in the same period of 2024[55] - Total available days for the owned fleet dropped to 3,504 days in Q1 2025 from 3,993 days in Q1 2024, a decrease of 12.2%[57] Future Outlook - Estimated TCE for Q2 2025 is $14,042 per day, reflecting an 18% increase compared to Q1 levels, indicating improved drybulk freight rates[7] - The company plans to continue voluntary debt repayments, aiming for zero net debt to enhance its ability to pay dividends and pursue strategic opportunities[17] - Estimated capital expenditures for drydocking and upgrades for the balance of 2025 total $26.93 million for Q2, $6.83 million for Q3, and $3.24 million for Q4[46] Key Metrics - Average daily time charter equivalent decreased to $11,884 for the three months ended March 31, 2025, from $19,219 in the same period of 2024[55] - Daily vessel operating expenses increased to $6,592 in Q1 2025 from $6,275 in Q1 2024, an increase of 5.1%[57] - Capesize average daily TCE rate decreased significantly to $13,059 in Q1 2025 from $25,601 in Q1 2024, a decline of 48.9%[57] - Ultramax average daily TCE rate decreased to $12,039 in Q1 2025 from $14,572 in Q1 2024, a decline of 17.4%[57] - Supramax average daily TCE rate decreased to $9,804 in Q1 2025 from $15,339 in Q1 2024, a decline of 36.5%[57] - Total current assets decreased to $81.5 million as of March 31, 2025, from $98.0 million as of December 31, 2024[53] - Total liabilities increased to $133.9 million as of March 31, 2025, compared to $128.4 million as of December 31, 2024[53]