Euroseas(US:ESEA) Globenewswire·2026-02-25 13:47Core Viewpoint - Euroseas Ltd. reported strong financial results for the fourth quarter and full year of 2025, highlighting high profitability and robust charter rates, while also addressing challenges in the containership market [4][5][6]. Fourth Quarter 2025 Financial Highlights - Total net revenues reached $57.4 million, a 7.7% increase from $53.3 million in Q4 2024, driven by higher average time charter rates despite a decrease in the average number of vessels operated [9][12]. - Net income for the quarter was $40.5 million, compared to $24.4 million in Q4 2024, with earnings per share of $5.82 (basic) and $5.79 (diluted) [7][23]. - The average time charter equivalent rate for the quarter was $30,268 per day, up from $26,479 per day in the same period last year [12][41]. - Adjusted EBITDA for Q4 2025 was $40.7 million, an increase from $32.8 million in Q4 2024 [11][22]. Full Year 2025 Highlights - Total net revenues for 2025 were $227.9 million, a 7.0% increase from $212.9 million in 2024, attributed to a higher number of vessels and increased charter rates [25]. - Net income for the year was $137.0 million, up from $112.8 million in 2024, with earnings per share of $19.73 (basic) and $19.72 (diluted) [36]. - The average time charter equivalent rate for the year was $29,107 per day, compared to $28,054 per day in 2024 [25][41]. - Adjusted EBITDA for the full year was $155.9 million, compared to $135.8 million in 2024 [35]. Fleet and Charter Coverage - The company has a charter coverage of approximately 87% for 2026 and over 71% for 2027, with contracted revenues exceeding $550 million over the next five years [5][6]. - The fleet operated an average of 22.22 vessels in 2025, compared to 21.73 vessels in 2024 [25][41]. Market Conditions and Challenges - The containership market faces challenges such as high orderbook levels in large containership segments and potential reductions in demand due to resumed traffic through the Suez Canal [6]. - Euroseas operates in the feeder and intermediate size vessel segments, which are expected to see a contraction in supply, benefiting modern vessel owners [6]. Shareholder Returns - The company declared a quarterly dividend of $0.75 per share for Q4 2025, reflecting a 7% increase and providing an annualized yield of about 5% [8]. - As of February 25, 2026, the company repurchased 480,455 shares, representing about 6.8% of outstanding shares, under a $20 million share repurchase plan [7].