Navios Maritime Partners L.P.(US:NMM)2025-09-08 20:02Financial Performance - For the six-month period ended June 30, 2025, net income was $111,674, down 36.1% from $174,830 for the same period in 2024[106]. - Earnings per common unit, basic, for the three months ended June 30, 2025, were $2.34, compared to $3.30 for the same period in 2024, representing a decline of 29.1%[106]. - The total comprehensive income for the three months ended June 30, 2025, was $69,404, down 31.6% from $101,469 for the same period in 2024[106]. - For the three and six month periods ended June 30, 2025, net income was $69,947 and $111,674 respectively, compared to $101,469 and $174,830 for the same periods in 2024, indicating a decrease of approximately 31% and 36% year-over-year[241]. - Basic earnings per common unit for the three and six month periods ended June 30, 2025 were $2.34 and $3.72 respectively, down from $3.30 and $5.68 in 2024, reflecting a decline of about 29% and 35% year-over-year[241]. Revenue and Expenses - Time charter and voyage revenues for the three months ended June 30, 2025, were $327,558, a decrease of 4.7% from $342,155 for the same period in 2024[106]. - Revenue from time chartering and bareboat chartering of vessels for Q2 2025 was $315,290, up from $301,435 in Q2 2024, representing a 0.3% increase[122]. - Revenue from voyage contracts for Q2 2025 was $3,568, down from $32,729 in Q2 2024, indicating a significant decline[123]. - Revenue from pooling arrangements for Q2 2025 was $8,700, compared to $7,991 in Q2 2024, reflecting an increase of 8.8%[124]. - General and administrative expenses charged by the Manager for the three and six month periods ended June 30, 2025 were $18,454 and $34,790 respectively, compared to $15,770 and $31,549 for the same periods in 2024, showing an increase of approximately 17% and 10% year-over-year[228]. - The company reported a loss on the sale of vessels, net, of $329 for the six months ended June 30, 2025, compared to a gain of $9,133 for the same period in 2024[109]. Assets and Liabilities - As of June 30, 2025, total assets amounted to $5.88 billion, an increase from $5.67 billion as of December 31, 2024[104]. - Total liabilities as of June 30, 2025, were $2.69 billion, up from $2.57 billion at the end of 2024[104]. - The company’s total partners' capital increased to $3.19 billion as of June 30, 2025, from $3.11 billion at the end of 2024[104]. - As of June 30, 2025, total borrowings amounted to $2,252,747, an increase of 4.6% from $2,153,168 on December 31, 2024[148]. - Long-term borrowings, net of deferred finance costs, were $1,957,295 as of June 30, 2025, compared to $1,862,715 at the end of 2024, reflecting a growth of 5.1%[148]. Cash Flow - Net cash provided by operating activities for the six months ended June 30, 2025, was $278,180, an increase of 23.1% from $225,915 for the same period in 2024[109]. - Net cash used in investing activities for the six months ended June 30, 2025, was $268,650, a decrease of 8.6% from $293,957 for the same period in 2024[109]. - The company experienced a net cash inflow from financing activities of $68,304 for the six months ended June 30, 2025, compared to $98,711 for the same period in 2024, a decrease of 30.7%[109]. Debt and Financing - The company entered into a reducing revolving credit facility with National Bank of Greece S.A. for up to $100,000, with $40,000 drawn as of June 30, 2025[149]. - A credit facility with BNP Paribas for up to $227,070 was established, with $62,500 drawn as of June 30, 2025[152]. - The outstanding balance under a sale and leaseback agreement was $170,380 as of June 30, 2025, related to the acquisition of two newbuilding containerships and two Aframax/LR2 tanker vessels[163]. - The total outstanding balance of the credit facilities was $2,226,991, net of deferred finance costs[148]. - The company has drawn a total of $119,434 from an export agency-backed facility for the acquisition of newbuilding containerships, with an outstanding balance of $165,638 as of June 30, 2025[158]. Vessel Operations - The company may face challenges in re-deploying vessels if charters are lost, which could adversely affect revenues and operational performance[96]. - The company has a purchase obligation to acquire vessels at the end of lease terms under ASC 842-40, indicating ongoing investment in fleet expansion[162]. - The company initiated a process to sell a 2009-built transhipper vessel, which was classified as held for sale as of June 30, 2025, with the sale completed on July 30, 2025[142]. - During the six-month period ended June 30, 2025, Navios Partners acquired five vessels for an aggregate cost of $464,612, including $49,934 in capitalized expenses[135]. - In the same period, the company sold three vessels for a net sales price of $33,717, resulting in a loss of $329, which included an impairment loss of $2,992[139]. Risk Management - The company has significant exposure to foreign exchange risk, although most transactions are predominantly U.S. dollar denominated[91]. - The company closely monitors credit risk, with policies in place to ensure trading with customers that have appropriate credit histories[94]. - Navios Partners believes it has adequate financial resources to meet its commitments for at least 12 months from the issuance date of the financial statements[117]. Lease and Regulatory Costs - The company capitalized $16,134 in regulatory-related costs for vessel improvements during the six-month period ended June 30, 2025, compared to $10,284 in the same period of 2024[134]. - Costs related to vessels' regulatory requirements amounted to $7,014 and $16,134 for the three and six-month periods ended June 30, 2025, respectively[217]. - Lease expense for the three and six month periods ended June 30, 2025 amounted to $9,741 and $19,374, respectively, compared to $10,936 and $22,982 for the same periods in 2024, indicating a decrease of approximately 10.9% and 15.5%[248].