Pyxis Tankers (US:PXS)2025-08-11 12:01Ownership and Fleet Composition - As of June 30, 2025, the company owns 100% of its vessel-owning companies and has a 60% ownership in DRYKON MARITIME Corp. and ACCUSHIP MARITIME Ltd., which own dry-bulk carriers[7][8]. - The average number of vessels in the fleet increased to 6.0 in 2025 from 4.8 in 2024, reflecting an expansion in fleet size[32]. - The company acquired two dry-bulk vessels, "Konkar Asteri" and "Konkar Venture," in February and June 2024, respectively, contributing to fleet expansion[39]. - The company completed the acquisition of an eco-efficient Kamsarmax vessel for $26.625 million, funded by $14.5 million in secured bank debt and cash on hand[61]. - In mid-September 2023, Pyxis acquired the 2016 Japanese built Ultramax dry-bulk carrier "Konkar Ormi" for $28.5 million, funded by a $19.0 million secured bank loan and cash[126]. - In mid-February 2024, Pyxis completed the acquisition of the "Konkar Asteri" for $26.625 million, funded by $14.5 million secured bank debt and cash[127]. Financial Performance - For the six months ended June 30, 2025, the company reported net revenues of $18,756,000, a decrease of 27.1% compared to $25,715,000 in the same period of 2024[30]. - Operating income for the same period was $694,000, down from $10,707,000 in 2024, indicating a significant decline in operational performance[30]. - The net loss attributable to common shareholders for the six months ended June 30, 2025, was $1,237,000, compared to a net income of $8,459,000 in the prior year[30]. - The daily time charter equivalent (TCE) rate for MR vessels decreased to $22,049 in 2025 from $32,337 in 2024, reflecting a decline of 31.9%[32]. - Net revenues for the six months ended June 30, 2025, were $18.8 million, a decrease of $7.0 million or 27.1% from $25.7 million in the same period of 2024[39]. - The average daily TCE rate for the MR fleet decreased by $10,288 to $22,049 in the first half of 2025, compared to $32,337 in the same period of 2024[39]. - Dry-bulk average daily TCE rate was $12,919, a decrease of $7,192 from $20,111 in the first half of 2024, despite an increase in utilization to 90.8% from 78.5%[39]. - Operating income significantly dropped to $694,000 in 2025, compared to $10,707,000 in 2024, reflecting a decline of 93.5%[80]. - The company reported a basic loss per common share of $(0.12) for the six months ended June 30, 2025, compared to a profit of $0.81 in the same period of 2024[148]. Cash Flow and Liquidity - Net cash provided by operating activities was $7.6 million for the six months ended June 30, 2025, down from $10.7 million in the same period of 2024[51]. - Cash and cash equivalents as of June 30, 2025, amounted to $28.8 million, compared to $22.6 million as of December 31, 2024[50]. - The company expects to cover its liquidity needs for the next 12 months through cash generated from operations and managing working capital[58]. - The company reported a working capital surplus of $30.8 million as of June 30, 2025, defined as current assets minus current liabilities[58]. - Cash provided by operating activities decreased from $10,679,000 in 2024 to $7,551,000 in 2025, representing a decline of approximately 29.9%[83]. Expenses and Liabilities - Daily vessel operating expenses for MR vessels increased to $7,421 in 2025 from $7,175 in 2024, representing a rise of 3.4%[32]. - General and administrative expenses increased to $4.6 million in the first half of 2025, up $3.0 million from $1.5 million in the same period of 2024[42]. - As of June 30, 2025, total current liabilities increased to $15,277,000 from $12,254,000 as of December 31, 2024, indicating a rise in short-term obligations[30]. - The company’s total assets decreased to $186,593,000 as of June 30, 2025, down from $188,881,000 at the end of 2024[30]. - Total liabilities increased to $88,450,000 as of June 30, 2025, compared to $89,226,000 as of December 31, 2024[78]. Risks and Market Conditions - The company is subject to various risks, including changes in governmental regulations, economic conditions, and competition in the shipping market, which could impact future results[4][10]. - The impact of geopolitical events, such as the Ukraine War and Middle East conflicts, is noted as a significant factor affecting market conditions and operational performance[10]. - Forward-looking statements regarding the company’s future performance are subject to various uncertainties and should be interpreted with caution[6]. Shareholder and Equity Information - The company has a total of 10,485,865 common shares issued and outstanding, with Mr. Valentis owning 57.3%[68]. - The company does not intend to pay dividends on common shares in the near future, focusing instead on reinvestment in vessel operating costs and acquisitions[60]. - The company has authorized an increase of $1.0 million in its share repurchase program, bringing the total to $3.0 million[63]. - The company repurchased 67,534 common shares at an average price of $3.91 per share, totaling $264 thousand during the six months ended June 30, 2025[63]. Debt and Financing - A "hunting license" loan facility of up to $45 million was closed to finance the potential acquisition of modern vessels, with an interest rate of SOFR + average margin of 1.9%[70]. - The company refinanced existing debt, reducing the interest margin from 3.15% to 2.40% for certain credit facilities[66]. - The total principal payments required after June 30, 2025, amount to $81.29 million, with the largest payment of $34.96 million due in 2029[132]. - As of June 30, 2025, the outstanding loan balance for "Konkar Ormi" is $16.5 million, repayable in 13 quarterly installments of $300, with a balloon payment of $12.6 million due in September 2028[126]. - The outstanding balance of the Seventhone loan was $9,550,000 as of June 30, 2025, with a repayment plan of 17 quarterly installments of $300,000 each[116]. Related Party Transactions - Total related party transactions increased from $1,782,000 in the first half of 2024 to $1,930,000 in the first half of 2025, representing an increase of 8.3%[101]. - Ship-management fees increased from $498,000 in 2024 to $686,000 in 2025, reflecting a 37.8% increase[101]. Asset Valuation and Depreciation - The net book value of vessels decreased from $140,024,000 at the beginning of 2025 to $136,728,000 by June 30, 2025, a decline of 2.3%[111]. - Depreciation expenses increased from $3,095,000 in 2024 to $3,752,000 in 2025, reflecting higher asset values[83]. - No impairment loss was recognized for the six months ended June 30, 2024, and 2025, indicating stable asset valuations[155].