GENCO SHIPPING & TRADING LIMITED Jefferies Industrials Conference September 2025 NYSE: GNK Forward Looking Statements "Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995 This presentation contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements use words such as "anticipate," "budget," "estimate," "expect," "project," "intend," "plan," "believe," and other words and ...

Financial Performance & Capital Allocation - Genco reported a Q2 2025 net loss of $6.8 million, or -$0.16 per share, with an adjusted net loss of $6.2 million, or $0.14 per share[8] - The company's Q2 2025 adjusted EBITDA was $14.3 million[8] - Genco declared a Q2 2025 dividend of $0.15 per share, marking the 24th consecutive quarterly dividend, which represents 41% of the current share price cumulatively[8] - Genco closed a $600 million revolving credit facility in July with a 7% net loan-to-value ratio[8] - Since 2021, Genco has paid $257 million in dividends and invested $347 million in high-specification vessels[12] - Genco has paid down $349 million of debt since 2021[14] Fleet Composition & Strategy - Capesize vessels represent over 50% of Genco's market value (58%) and net revenue (51%)[16, 18] - Genco has invested $197 million in modern eco Capesize vessels since October 2023[17] - Genco's pro forma fleet consists of 17 Capesize vessels, 15 Ultramax vessels, and 11 Supramax vessels[21] - The company estimates a fleet-wide TCE of $15,926 for Q3 2025, with 70% fixed[8, 46] Industry Overview - YTD 2025 China iron ore imports are down by 3% YOY, and iron ore stockpiles are 9% lower YOY[57] - YTD 2025 China steel export growth is +16%, while China's steel inventory declined by 25% YOY[58]

Core Viewpoint Genco Shipping & Trading Limited reported its financial results for Q2 2025, highlighting a net loss while continuing its commitment to shareholder returns through dividends and strategic fleet expansion. The company declared a dividend of $0.15 per share, marking its 24th consecutive quarterly dividend, and announced the acquisition of a high-specification Capesize vessel to enhance its fleet and earnings potential. Financial Performance - The company recorded a net loss of $6.8 million for Q2 2025, translating to a basic and diluted net loss per share of $0.16, compared to a net income of $23.5 million in Q2 2024 [34][45] - Adjusted net loss for Q2 2025 was $6.2 million, or $0.14 per share, excluding non-cash vessel impairment charges [34][36] - Total revenues for Q2 2025 were $80.9 million, down from $107.0 million in Q2 2024, primarily due to lower rates and a smaller fleet [36][45] Dividend Declaration - Genco declared a cash dividend of $0.15 per share for Q2 2025, with cumulative dividends amounting to $6.915 per share, representing approximately 41% of the current share price [5][21] - The Q2 2025 dividend is payable on or about August 25, 2025, to shareholders of record as of August 18, 2025 [21][6] Growth Strategy - The company agreed to acquire a 2020-built, scrubber-fitted Capesize vessel for $63.6 million, expected to be delivered between September and October 2025 [12][56] - Genco has invested approximately $200 million in the Capesize sector over the last two years, focusing on modernizing its fleet with eco-friendly ships [5][12] - The company closed a $600 million revolving credit facility, increasing its borrowing capacity by 50%, to support growth opportunities [15][19] Operational Metrics - Average daily time charter equivalent (TCE) for Q2 2025 was $13,631, down from $19,938 in Q2 2024 [36][42] - Estimated TCE for Q3 2025 to date is $15,926 for 70% of the owned fleet available days [6][30] - The company reported voyage revenues of $80.9 million and net revenue of $46.9 million for Q2 2025 [6][36] Liquidity and Capital Resources - Genco's liquidity position was strong, with $335.6 million available as of June 30, 2025, including $35.8 million in cash and $299.8 million in revolver availability [18][25] - The company maintained a net loan-to-value (LTV) ratio of 7%, with a pro forma LTV of 13% after the vessel acquisition [18][19] Fleet and Capital Expenditures - Following the acquisition of the new vessel, Genco's fleet will expand to 43 vessels, with an average age reduced to 12.5 years [56][58] - The company plans to incur additional capital expenditures for drydocking and upgrades to improve fuel efficiency and reduce emissions [58][59]

Group 1 - Recent rate increases and favorable seasonality are expected to favor increased dividends and NAV appreciation for Genco Shipping [1] - This combination could help close Genco Shipping's discount to NAV, indicating potential investment opportunities [1] Group 2 - The analyst has a beneficial long position in Genco Shipping shares, indicating confidence in the company's performance [2]

Financial Data and Key Metrics Changes - In Q1 2025, the company reported total net revenues of $9.2 million, a 26.2% decrease from $14.4 million in Q1 2024, attributed to lower time charter rates and a reduced number of vessels operated [6][28] - The net loss attributable to controlling shareholders was $3.7 million, compared to a loss of $1.8 million in the same period last year, resulting in a loss per share of $1.35 [6][28] - Adjusted EBITDA for Q1 2025 was negative $1 million, down from $2.1 million in Q1 2024 [6][28] Business Line Data and Key Metrics Changes - The fleet currently consists of 12 vessels with an average age of 13.6 years and a total capacity of approximately 843,000 deadweight tons [9] - Fixed rate coverage for the remainder of the year is approximately 22%, excluding vessels under index-linked charters [11] Market Data and Key Metrics Changes - The dry bulk market has softened in Q1 2025, with average spot rates for Panamax vessels below $8,000 per day and one-year time charter rates around $12,000 per day [12] - The Baltic Panamax Index and Baltic Dry Index saw notable contractions, declining approximately 27% year-on-year [12] - The IMF revised global GDP growth forecasts for 2025 down to 2.8% from 3.3%, reflecting increased risks from tariffs and geopolitical tensions [13][14] Company Strategy and Development Direction - The company aims to modernize its fleet by selling older vessels and replacing them with younger ones, with plans to take delivery of two new vessels in 2027 [7][44] - The strategy includes opportunistic share repurchases to reflect confidence in long-term value [7] Management's Comments on Operating Environment and Future Outlook - Management expressed caution regarding the dry bulk sector outlook, citing geopolitical instability and a slowdown in key markets as contributing factors [18][22] - The company anticipates a softer market for the remainder of 2025, particularly in China, where dry bulk import volumes are not expected to replicate previous growth [22] Other Important Information - The company has repurchased 334,000 shares totaling $5.3 million as part of a $10 million share repurchase program initiated in August 2022 [7] - As of March 31, 2025, the company's outstanding debt was $105.2 million, with a projected cash flow breakeven level of approximately $11,935 per vessel per day [32][34] Q&A Session Summary Question: Will vessel operating expenses continue at the current level? - Management indicated that operating expenses were slightly over budget in Q1 but it is premature to predict future spending based on one quarter [39][40] Question: What is the forecast for scheduled off-hire days? - Management expects only one dry docking this year and anticipates minimal commercial off-hire days [41][43] Question: How is the fleet being managed regarding acquisitions and sales? - The company plans to sell older vessels and replace them with younger ones, depending on market conditions [44] Question: Are there opportunities to scrap older vessels? - Currently, there are no immediate candidates for scrapping, but management noted a slight increase in scrap activity in the market [48][49] Question: Have trade patterns changed due to tariffs? - Management noted no significant changes in trade patterns or loading/unloading times due to tariffs [52][55] Question: What is the status of the newbuild program? - The company expects to make a payment towards the end of the year for newbuilds, with further payments scheduled for 2026 [58][60] Question: Why was there no stock buyback in Q1? - Limited liquidity and expectations of market improvement were cited as reasons for not executing buybacks in Q1 [61]

Core Viewpoint - EuroDry Ltd. reported a challenging first quarter of 2025, with significant declines in revenues and profitability due to low charter rates and market volatility, particularly influenced by external economic factors and geopolitical tensions [4][6][9]. Financial Performance - Total net revenues for Q1 2025 were $9.2 million, a decrease of 36.2% compared to $14.4 million in Q1 2024 [6][9]. - The average time charter equivalent rate dropped by 42.5% to $7,167 per day in Q1 2025 from $12,455 per day in Q1 2024 [6][9]. - Adjusted EBITDA for Q1 2025 was $(1.0) million, down from $2.1 million in Q1 2024 [8][17]. - The net loss attributable to controlling shareholders was $3.7 million, or $1.35 loss per share, compared to a net loss of $1.8 million, or $0.65 loss per share, in the same period of 2024 [16][18]. Operational Insights - The company operated an average of 12.8 vessels in Q1 2025, compared to 13.0 vessels in Q1 2024 [9][23]. - Vessel operating expenses increased to $6.6 million in Q1 2025 from $6.2 million in Q1 2024, primarily due to higher costs for spare parts and maintenance [7][10]. - The fleet utilization rate was 97.4% in Q1 2025, slightly down from 98.1% in Q1 2024 [24]. Strategic Decisions - The company opted not to lock vessels into longer duration charters at unprofitable levels, instead pursuing short-term trip charters to capitalize on potential market recoveries [5]. - EuroDry sold the M/V Tasos for approximately $5 million, resulting in a gain on sale of $2.1 million [13]. Market Conditions - The charter market was described as the lowest since the early COVID pandemic, with a slight rebound in April and May that was insufficient to restore profitability [4]. - The demand side of the supply/demand equation remains volatile, influenced by the steel industry's weakness and economic growth uncertainties in China, as well as ongoing geopolitical conflicts [4]. Fleet Profile - EuroDry's fleet consists of 12 vessels with a total cargo capacity of 843,402 dwt, including 4 Panamax, 5 Ultramax, and 2 Kamsarmax drybulk carriers [57]. - Two Ultramax vessels are under construction, expected to be delivered in 2027, which will increase the fleet to 14 vessels with a total capacity of 970,402 dwt [21][57].

Financial Data and Key Metrics Changes - The adjusted EBITDA for Q1 2025 was $29.4 million, down from $64.3 million in Q1 2024 [20] - Adjusted earnings per share for Q1 2025 were $0.05, compared to $0.20 in Q1 2024 [20] - Average daily time charter equivalent decreased to $14,655 in Q1 2025 from $18,158 in Q1 2024 [21] - Daily vessel operating expenses increased by 6% to $5,765 in Q1 2025 from $5,442 in Q1 2024 [21] Business Line Data and Key Metrics Changes - The company operated an average of 46 vessels in Q1 2025, down from 47.08 vessels in Q1 2024 [21] - Daily vessel earning expenses, excluding dry docking and pre-delivery expenses, increased by 10% to $5,546 in Q1 2025 from $5,038 in Q1 2024 [21] Market Data and Key Metrics Changes - The drybulk fleet is projected to grow by about 2.8% on average in 2025 and 2026, with Panamax vessels comprising the largest share [7] - Global drybulk demand is forecasted to decline by 1% to 0% in 2025, followed by growth of 1.5% to 2.5% in 2026 [12] - China's GDP growth is projected at 4% for 2025 and 2026, while India is expected to grow at 6.2% during the same period [13] Company Strategy and Development Direction - The company is focused on operational excellence, environmental performance, and long-term value creation for shareholders [6] - The company plans to continue its newbuild program and improve operational efficiency while maintaining a strong capital structure and liquidity [6] - The company has a strong emphasis on energy-efficient designs and compliance with new environmental regulations [10] Management's Comments on Operating Environment and Future Outlook - The management noted a softer charter market due to seasonality, geopolitical uncertainties, and tariff concerns affecting global trade [5] - There is an expectation of a softer freight rate market as supply grows faster than demand, leading to pressure on freight rates [11] - The management remains cautious about the macroeconomic environment but is optimistic about future opportunities for share repurchases when market conditions improve [26][30] Other Important Information - The company declared a $0.05 per share dividend, marking the fourteenth consecutive quarterly dividend [14] - The company completed a share repurchase program of 3 million common shares [15] - The company maintains a healthy cash position of around $122 million and has $128 million available in committed revolving credit facilities [22] Q&A Session Summary Question: Thoughts on future share buybacks given market conditions - Management indicated that buybacks depend on market conditions and stock price, with a focus on buying back shares in profitable markets [26][27] Question: Current state of the sale and purchase market for ships - Management noted that S&P values have dropped by around 25% for older ships and 10-15% for modern ships, making it unattractive to buy ships at this time [29] Question: Status of Capesize vessels and future chartering plans - Management stated that they prefer to trade in the spot market unless period employment above $20,000 is available, with plans to reassess as contracts come open [37][38]

Financial Data and Key Metrics Changes - The adjusted EBITDA for Q1 2025 was $29.4 million, down from $64.3 million in Q1 2024, indicating a significant decline in profitability [18] - Adjusted earnings per share for Q1 2025 were $0.05, compared to $0.20 in the same period last year [18] - Average daily time charter equivalent decreased to $14,655 in Q1 2025 from $18,158 in Q1 2024 [19] - Daily vessel operating expenses increased by 6% to $5,765 in Q1 2025, up from $5,442 in Q1 2024 [19] Business Line Data and Key Metrics Changes - The company operated an average of 46 vessels in Q1 2025, compared to 47 vessels in Q1 2024 [19] - The charter market for Capesize vessels is currently weaker, with average rates around $23,000, compared to $16,000 on the spot market [13] Market Data and Key Metrics Changes - The global drybulk demand is forecasted to decline by 1% to 0% in 2025, with a potential recovery of 1.5% to 2.5% in 2026 [11] - China's GDP growth is projected at 4% for 2025 and 2026, while India is expected to grow at 6.2% during the same period, impacting drybulk demand [12] Company Strategy and Development Direction - The company is focused on maintaining a strong balance sheet, operational excellence, and environmental performance in line with IMO regulations [5] - The fleet renewal strategy includes taking delivery of six newbuilds by Q1 2027, which are positioned to meet stringent greenhouse gas targets [9] - The company aims to leverage its majority Japanese-built fleet for energy efficiency and lower CO2 taxation [17] Management's Comments on Operating Environment and Future Outlook - The management noted a softer charter market due to seasonality, geopolitical uncertainties, and tariff concerns affecting global trade [4] - There is an expectation of continued supply growth outpacing demand, which may pressure freight rates [12] - The management remains cautious about further share repurchases, indicating that market conditions will dictate future actions [24][28] Other Important Information - The company declared a $0.05 dividend per share, marking the fourteenth consecutive quarterly dividend [13] - The company completed a share repurchase program of 3 million shares, maintaining a healthy cash position of around $122 million [20] Q&A Session Summary Question: Thoughts on future share buybacks given market conditions - Management indicated that buybacks depend on market conditions and stock price, suggesting they may initiate buybacks if the stock price remains depressed [24][25] Question: Current state of the sale and purchase market for ships - Management noted that S&P values for older ships have dropped around 25% and 10-15% for modern ships, making it unattractive to buy ships at this time [27] Question: Status of Capesize vessels and future chartering strategy - Management stated that they prefer to trade in the spot market unless period employment rates exceed $20,000, indicating a cautious approach to chartering [34][35]

Financial Data and Key Metrics Changes - In Q1 2025, market spot rates for Hetty Seizen and Supramax vessels averaged $8,000 and $7,900 net per day, respectively, representing a decrease of 24% to 36% compared to the same period in 2024 [3][4] - The average Handysize and Supramax daily time charter equivalent earnings were $10,940 and $12,210 per day, respectively, reflecting a year-on-year decrease of 11% [6][7] - The operating activity generated a daily average margin of $830 per day over $6,950 in Q1, representing an increase of 634% year on year [8][9] Business Line Data and Key Metrics Changes - Global minor bulk loadings increased by approximately 2% year on year, driven by higher loading of bauxite, cement, and clinker [4] - Global grain loadings decreased by 16% year on year, influenced by reduced Chinese demand and harvest delays in Brazil [4][5] - Global coal loadings dropped by 5% year on year, primarily due to an 11% decline in seaborne coal volumes to China [5][6] Market Data and Key Metrics Changes - Iron ore loadings declined by 7% year on year, mainly due to reduced Australian iron ore loadings caused by cyclones [6] - The Baltic Exchange Forward Freight Agreement average rates for the remainder of 2025 are projected at $9,120 for Hetty Seizen and $9,860 for Supramax vessels [3] - Global net fleet growth is projected to outpace demand growth, with dry bulk and minor bulk fleets estimated to grow by 3% to 4.5% in 2025 [12][17] Company Strategy and Development Direction - The company aims to grow and renew its fleet, maintaining a disciplined approach amidst market uncertainties [19][20] - The strategy includes purchasing larger and younger vessels while selling older ones, contributing to a 4% increase in total deadweight capacity [19][20] - The company is evaluating the impact of IMO's midterm measures on its operations and investments in dual fuel methanol newbuildings [21][63] Management's Comments on Operating Environment and Future Outlook - The near-term bulk market demand outlook is clouded by uncertainties from trade and geopolitical tensions, but potential shifts in trade flows could support tonne mile demand [10][15] - The company expects some support from ASEAN countries for coal demand, while iron ore demand may remain under pressure due to reduced Chinese domestic demand [11][15] - Management acknowledges the volatility in the market and emphasizes the importance of positioning for potential opportunities amidst uncertainties [34][58] Other Important Information - The company has covered 77% of committed vessel stays for Q2 2025 at rates higher than current market spot rates [7] - The company has a solid balance sheet that allows for growth opportunities despite market uncertainties [78] - The company is focused on optimizing short-term cargo commitments to navigate expected market volatility [22] Q&A Session Summary Question: Can you comment on the market rate expectations for the rest of the year? - Management indicated that the market has developed normally, with stable freight rates and ongoing activity despite uncertainties [30][34] Question: How is the company preparing for various scenarios regarding USTR? - Management noted that 70% of the fleet is Japanese built, which may present opportunities amidst regulatory changes, but emphasized the need for clarity on regulations [38][40] Question: What is the outlook for secondhand prices and potential buybacks? - Management acknowledged a slight improvement in secondhand prices recently and confirmed ongoing share buyback programs due to undervaluation [50][51] Question: What kind of trade shifts have been observed recently? - Management reported that there has been a general step back in trade involving the US due to tariff uncertainties, but demand remains for various commodities [72][75] Question: Can you elaborate on M&A opportunities? - Management expressed interest in M&A opportunities but emphasized a preference for organic growth while remaining open to potential acquisitions [78][79]

Financial Data and Key Metrics Changes - The company achieved a net income of $8,000,000 for Q1 2025, an increase of 109% from Q1 2024 [3][30] - Net revenues were reported at $5,800,000, a decrease of 41% compared to Q1 2024, primarily due to a decrease in charter rates [3][21] - Cash balance increased by 25% to $15,700,000 from the end of 2024 [4][24] - Adjusted net income decreased by 74% to $1,200,000 compared to Q1 2024 [24] Business Line Data and Key Metrics Changes - The Aframax tanker, Afra Pearl II, contributed approximately 72% to total revenues, with TCE rates 55% lower than Q1 2024 [4][21] - The TCE rates for the entire fleet were 56% lower than the rates for Q1 2024 [4][21] - Voyage costs remained stable at $2,800,000, while vessel operating expenses increased to $2,100,000 from $1,800,000 in Q1 2024 [22] Market Data and Key Metrics Changes - The dry bulk trade is experiencing shifting dynamics influenced by economic trends and environmental pressures, with a forecasted long-term downtrend in the iron ore market [5][6] - Global dry bulk trading ton miles are expected to grow by 1.5% in 2025, lagging behind fleet growth of 3.1% [8] - China's grain imports are expected to slow due to high inventories and policy adjustments [7] Company Strategy and Development Direction - The company aims for disciplined growth through technical assessments and selective acquisitions of non-Chinese built vessels [27][28] - The strategy includes maintaining high-quality fleet standards to reduce operating costs and secure favorable charters [27][28] - The company has no bank debts and has met all CapEx obligations without resorting to bank loans [29][30] Management's Comments on Operating Environment and Future Outlook - The global economic environment in 2025 is characterized by mixed signals, presenting both risks and opportunities for the shipping sector [11][30] - Economic shocks and evolving policy measures are expected to shape the outlook, contributing to a cautious yet dynamic landscape [11][30] - The company is positioned to leverage regional growth drivers and adapt to evolving economic dynamics [31] Other Important Information - The company has increased its fleet by 234% since inception and maintains a focus on high-quality charterers [28][29] - The global Handysize fleet has seen a slight increase, with 3,151 vessels currently in operation [15] - The Aframax LR2 fleet stands at 1,174 vessels, with a significant portion over 20 years of age [17] Q&A Session Summary - No specific questions or answers were documented in the provided content.