Global Ship Lease Reports Results for the Fourth Quarter of 2024

Core Insights - Global Ship Lease, Inc. reported a strong financial performance for the year ended December 31, 2024, with significant increases in both revenue and net income, driven by higher charter rates and fleet expansion [2][3][11]. Financial Performance - 4Q 2024 operating revenue reached $182.4 million, while full year operating revenue totaled$711.1 million, marking a 5.4% increase from 2023 [2][17]. - Net income available to common shareholders for 4Q 2024 was $90.2 million, translating to$2.54 EPS, and for the full year, net income was $344.1 million, or$9.74 EPS, reflecting a 16.6% increase from 2023 [2][38]. - Normalized net income for 4Q 2024 was $90.4 million, with a normalized EPS of$2.55, and for the full year, normalized net income was $352.7 million, or$9.99 normalized EPS, up 10.3% from 2023 [3][39]. Operational Highlights - The company added $884.8 million in contracted revenues during 2024 and early 2025, bringing total contracted revenues to$1.88 billion as of December 31, 2024 [6][11]. - Fleet utilization for 4Q 2024 was 94.5%, down from 98.1% in the prior year, primarily due to increased off-hire days for scheduled drydockings [16][17]. Fleet Management - The company acquired four high-reefer, ECO-9,000 TEU containerships for $274 million, with financing terms set at SOFR + 2.50$54.5 million, significantly above their book value of $24.9 million, as part of the fleet renewal strategy [5][11]. Dividend and Shareholder Returns - The Board of Directors announced a quarterly supplemental dividend increase of$0.075 per share, raising the total annualized dividend to $2.10 per share, a 40$5.0 million in 2024, with a total of $57.0 million spent on share repurchases since Q3 2021 [8][11]. Debt and Financing - As of December 31, 2024, total debt was$691.1 million, down from $823.2 million in the previous year, with a significant reduction in interest expenses due to refinancing [31][34]. - Interest expense for 4Q 2024 was$7.8 million, a decrease from $11.2 million in the prior year, attributed to a lower blended cost of debt [33][34]. Market Outlook - The company expressed confidence in sustaining shareholder value through operational excellence and capital allocation discipline, despite a volatile geopolitical environment [11][10].