HD Korea Shipbuilding & Offshore Engineering (HD KSOE) has formalised a shipbuilding contract worth $1.456bn with global shipping company HMM. The contract covers the construction of eight container vessels, each with a capacity of 13,400 twenty-foot equivalent unit (TEU). The vessels will measure 337m in length, 51m in width, and 27.9m in height. Out of the eight ships, two are scheduled for construction at HD Hyundai Heavy Industries while six will be built at HD Hyundai Samho. The container ships wil ...

Core Points - HD Hyundai has achieved a significant milestone by delivering its 5,000th ship, marking 50 years since its first vessel delivery in 1974 [1][8] - The 5,000th vessel, named Diego Silang, is an offshore patrol vessel for the Philippine Navy, showcasing advanced specifications [3][4] - The company has delivered vessels to over 700 shipowners across 68 countries, highlighting its global reach and influence in the shipbuilding industry [4][8] Company Achievements - HD Hyundai Heavy Industries has delivered a total of 2,631 vessels, while its subsidiaries, HD Hyundai Mipo and HD Hyundai Samho, have delivered 1,570 and 799 vessels respectively [5] - The combined length of the 5,000 ships is approximately 1,250 kilometers, surpassing the distance from Seoul to Tokyo [6] - In 2024, HD Hyundai's subsidiaries delivered a total of 144 vessels, including various types such as container ships and LNG carriers [7] Industry Impact - Chairman Chung Kisun emphasized that the milestone represents pride for Korea's shipbuilding industry and reflects a history of innovation [7][8] - The achievement of delivering 5,000 ships is noted as unmatched by European or Japanese shipbuilders, despite their longer histories [5] - The company is focused on future growth, aiming to build the next 5,000 vessels over the coming decades [7]

Company Overview - Danaos Corporation (NYSE: DAC) owns and operates a large fleet primarily consisting of container ships, with a smaller portion in the capesize dry bulk segment [1] - The company is currently trading at a significant discount to its fair value [1] Investment Focus - The focus is on long-term investing in stocks that are trading at or below fair value [1] - The strategy involves analyzing companies to identify opportunities arising from market inefficiencies [1]

Summary of Global Shipbuilding Industry Conference Call Industry Overview - The global shipbuilding industry is experiencing a prolonged upcycle, expected to last until 2032, driven by decarbonization and the replacement of aging fleets [1][8][9] - The total addressable market (TAM) for global shipyards (excluding naval ships) is projected to be 441 million CGTs (compensated gross tonnage) with a value of US$1.2 trillion from 2025 to 2032 [8][22] Key Drivers of the Upcycle - **Decarbonization**: Stricter environmental regulations are anticipated to increase operating costs for conventional fuel vessels, making alternative fuel vessels more competitive by 2035 [11][22] - **Replacement Demand**: A significant portion of the fleet will exceed 20 years of age by 2029, necessitating replacements with greener vessels [9][21] Orderbook and Pricing Dynamics - The orderbook is expected to remain elevated, with a forecast of new ship orders increasing significantly from 2029 due to replacement demand and stricter regulations [10][12] - Newbuild prices are projected to remain high, with only a slight retreat of 12% from the peak in 2024 due to disciplined capacity and strong demand [10][25] Market Share and Competitive Landscape - Chinese shipyards are expected to regain market share from 2026 onwards, despite short-term losses attributed to tighter capacity and higher US port fees for China-built vessels [12][14] - The market share of Chinese shipyards is projected to decline in 2025 but is expected to recover due to competitive pricing and capacity expansion [12][14] Earnings and Valuation - Earnings are expected to boom from 2025 to 2028, driven by high-value orderbooks and lower steel prices, despite a potential decline in profitability for container shipping and LNG carriers [10][15] - Yangzijiang Shipbuilding is highlighted as a preferred investment due to its attractive valuation metrics, including the lowest price-to-book ratio and highest return on equity among peers [15][14] Future Projections - The global shipbuilding capacity is expected to grow at a compound annual growth rate (CAGR) of only 2% from 2025 to 2027, primarily driven by Chinese shipyards [13][25] - The orderbook cover years are projected to remain above 2.5 years, indicating a healthy backlog for shipyards [10][13] Conclusion - The global shipbuilding industry is positioned for a robust upcycle driven by environmental regulations and the need for fleet modernization. Investment opportunities are particularly favorable in Chinese shipyards, with Yangzijiang Shipbuilding being a standout choice for investors looking for growth in this sector [8][15][12]

Corporate Highlights - CMB.TECH completed its merger with Golden Ocean on August 20, 2025, significantly expanding its fleet to approximately 250 vessels, including 89 dry bulk vessels [4][6][18] - The company has declared an interim dividend of USD 0.05, payable on or about October 9, 2025 [9][10] - The Supervisory Board has undergone changes, with Mr. Marc Saverys resigning and Mr. Patrick de Brabandere appointed as chairman [6][21][22] Financial Highlights - For Q2 2025, CMB.TECH reported a net loss of USD 7.6 million, compared to a net gain of USD 184.4 million in Q2 2024 [3][6] - Revenue for Q2 2025 was USD 387.8 million, up from USD 252 million in Q2 2024, while year-to-date revenue reached USD 622.9 million compared to USD 492.4 million in the previous year [5][6] - EBITDA for Q2 2025 was USD 224.1 million, down from USD 261.2 million in Q2 2024 [3][8] Fleet Highlights - The company has a contract backlog of approximately USD 2.93 billion, providing solid revenue visibility [6][27] - CMB.TECH's fleet includes a diverse range of vessels, with over 80 hydrogen- and ammonia-ready vessels, and an estimated fair market value of approximately USD 11.1 billion [27] - The average age of the fleet is 6.1 years, indicating a young and fuel-efficient fleet [27] Market & Outlook - The tanker markets experienced volatility in Q2 2025, with average earnings reaching a five-month low in mid-June but rebounding sharply to USD 47,519/day by June 20 [30] - China's crude oil imports showed a decline in Q2 2025, reflecting a shift in the country's energy demand profile, which may have lasting implications for global oil trade [31][32] - The Capesize market remains supported by strong iron ore demand, particularly from China, which accounted for 76.4% of total seaborne iron ore volumes in H1 2025 [37]

Core Viewpoint - CMB.TECH has successfully completed a stock-for-stock merger with Golden Ocean Group, creating one of the world's largest diversified maritime groups [1][6]. Group 1: Merger Details - The merger was approved by 92.72% of Golden Ocean shareholders present at the special general meeting [2]. - CMB.TECH issued 95,952,934 new ordinary shares as part of the merger, with an exchange ratio of 0.95 CMB.TECH shares for each Golden Ocean share [3][8]. - The newly issued shares began trading on Euronext Brussels and NYSE, with a secondary listing approved on Euronext Oslo [4]. Group 2: Fleet and Financial Highlights - The combined fleet consists of approximately 250 vessels, including various types such as dry bulk vessels and crude oil tankers [7]. - The fleet has a fair market value of around USD 11.1 billion, with a contract backlog of approximately USD 3.0 billion, ensuring revenue visibility [7][8]. - CMB.TECH maintains a robust liquidity position exceeding USD 400 million, providing financial flexibility for growth [7]. Group 3: Corporate Structure and Listings - CMB.TECH is now listed on Euronext Brussels, NYSE, and Euronext Oslo under the ticker symbols "CMBT" and "CMBTO" [13]. - The total share capital post-merger is USD 343,439,903.39, with a total of 315,977,647 voting rights [11].

Core Viewpoint - CMB.TECH NV is set to announce its Q2 2025 earnings on August 28, 2025, and is providing preliminary figures due to an impending stock-for-stock merger with Golden Ocean Group Limited [1][2][3]. Group 1: Earnings Announcement - The Q2 2025 results will be released before market opening on August 28, 2025, followed by a conference call at 8 a.m. EST / 2 p.m. CET [1][4]. - Preliminary key figures for Q2 2025 will be shared in the business update, although these figures are unaudited and subject to change [2][3]. Group 2: Conference Call Details - The earnings conference call will be an audio webcast with a user-controlled slide presentation [5]. - Participants can register for the conference call through a provided link, and those unable to pre-register can dial in using a specific phone conference ID [6]. Group 3: Company Overview - CMB.TECH is a diversified maritime group operating over 150 vessels, including crude oil tankers, dry bulk vessels, and offshore wind vessels [7]. - The company is headquartered in Antwerp, Belgium, and has a global presence with offices in Europe, Asia, the United States, and Africa [7][8].

Financial Data and Key Metrics Changes - The company generated net income of approximately $99 million for the second quarter of 2025, translating to $0.83 per share, while adjusted net income was around $92 million or $0.77 per share [4][7] - Total contracted revenues amount to $2.5 billion with a remaining time charter duration of about 3.2 years [5][8] - Liquidity is reported to be above $500 million [7] Business Line Data and Key Metrics Changes - The company completed the spin-off of Costa Maria Parques, which includes its dry bulk fleet and CPI operating platform, while retaining ownership of 68 container ships [4] - The company ordered four new container ships with a capacity of approximately 3,100 TEU, expected to be delivered in 2027, and will commence an eight-year time charter with a first-class liner company [4][5] - The fleet deployment rates are reported at 100% for 2025 and 75% for 2026 [5][8] Market Data and Key Metrics Changes - The idle fleet is reported to be at less than 1%, indicating a fully employed market [6][10] - Charter rates remain robust due to low availability of vessels and high demand, with current market conditions supporting firm charter rates [6][10] Company Strategy and Development Direction - The company maintains its focus on container shipping and does not plan to shift its strategy despite the spin-off of the dry bulk segment [15][16] - The company is patient regarding new transactions, only pursuing opportunities that justify entering into deals [17] - The company continues to invest in Neptune Maritime Leasing, with commitments exceeding $650 million for 47 shipping assets [6][9] Management's Comments on Operating Environment and Future Outlook - Management noted that the current market conditions are favorable, with charter rates supported by high demand and low fleet availability [10] - The company remains committed to its dividend policy, paying $0.15 per share per quarter, while also considering capital deployment for new business opportunities [25][26] Other Important Information - The company has no major debt maturities until 2027, indicating a stable financial position [8][9] - The company has a long track record of uninterrupted dividend payments [9] Q&A Session Summary Question: Regarding the spin-off and new container ship orders - Management clarified that the new orders do not indicate a shift in focus but are based on favorable pricing and market conditions [14][15] Question: Changes in strategy or approach post-spin-off - Management confirmed that the strategy remains unchanged, focusing on opportunities in the container sector while being patient during high asset price periods [16][17] Question: Development of Neptune Maritime Leasing and potential for increased investment - Management indicated that Neptune is progressing well, with nearly 90% of the initially committed capital employed, but no immediate plans for additional investment were disclosed [23][24] Question: Expectations on shareholder returns and dividend policy - Management reiterated that the dividend policy remains the same, with a healthy dividend payout, but future changes are subject to the Board's decision [25][26]

Company Overview - Danaos Corporation (NYSE: DAC) is a tonnage provider and non-operating owner of container ships and dry-bulk ships [1] - The company operates a fleet of 84 ships, which includes 471,500 TEUs of containerized capacity and 1,760,861 DWT (dry weight tons) of dry-bulk capacity [1] Leadership and Background - Benjamin Halliburton, the founder of Danaos, has a long history in investment management, having started his career at Merrill Lynch in 1986 [1] - Halliburton has been recognized for his investment acumen, being named "PSN Manager of the Decade" for All-Cap in the 2000s and for Dividend Value in the 2010s [1] - He earned an MBA with a focus on finance from Duke's Fuqua School of Business and holds the Chartered Financial Analyst designation [1] Investment Strategy - Halliburton's "Disciplined Growth Strategy" has historically outperformed the S&P 500 during the 1990s bull market [1] - He was noted as the youngest partner at his previous firm and received accolades from senior managing partners for his investment skills [1]

Financial Data and Key Metrics Changes - For Q1 2025, the company reported total net revenues of $56.3 million, a 20.6% increase from $46.7 million in Q1 2024 [35] - Net income for the period was $36.9 million, compared to $20 million in Q1 2024 [36] - Adjusted EBITDA for Q1 2025 was $37.1 million, up from $24.6 million in the same period last year [37] - Basic and diluted earnings per share were $5.31 and $5.29 respectively, compared to $2.89 and $2.87 in Q1 2024 [37] Business Line Data and Key Metrics Changes - The company operated an average of 23.68 vessels in Q1 2025, compared to 19.6 vessels in Q1 2024 [39] - The daily operating expenses were $7,511 per vessel per day, down from $7,963 in the previous year [39] - The cash flow breakeven rate was $13,062 per vessel per day, significantly lower than $17,171 in Q1 2024 [39] Market Data and Key Metrics Changes - The average one-year time charter rate for 2,500 TEU containerships reached approximately $35,000 per day, significantly above historical averages [20] - Average charter rates increased by 10% for future vessels and by 4% for Panamax and post-Panamax vessels compared to Q4 2024 [15] - The idle fleet, excluding vessels under repair, stood at 19 million TEU, representing 6.6% of the global fleet [17] Company Strategy and Development Direction - The company completed a spin-off of Europoading, allowing it to focus on its younger, more efficient fleet and growth strategy [12] - The fleet consists of 22 vessels with an average age of under 13 years, and the company expects to receive two new intermediate containers in Q4 2027 [13] - The company aims to secure long-term charters to enhance cash flow visibility and reduce exposure to market volatility [10] Management's Comments on Operating Environment and Future Outlook - The management highlighted heightened geopolitical risks and shifting global trade dynamics as challenges for 2025 [16] - The company anticipates that the market will remain strong and resilient throughout 2025, despite potential downward pressure on charter rates [29] - The management expressed concerns about energy conditions and their impact on markets, while also noting the increasing demand for eco-efficient vessels [31] Other Important Information - The company declared a quarterly dividend of $0.65 per share for Q1 2025, payable on July 16, 2025 [7] - The company has repurchased 463,000 shares for approximately $10.5 million since initiating its repurchase plan [7] - The net asset value per share was estimated to be between $74 and $75, indicating a significant upside potential compared to the current trading price [43] Q&A Session Summary Question: What is the latest estimate for scheduled hire days for the remainder of the year? - Management indicated that the estimated stoppage time for the vessel undergoing dry dock is 25 days, and no incremental days are expected for the rest of the fleet [51][52] Question: Which assumption has the most bearing on the conclusion regarding downward pressure on charter rates? - Management noted that rerouting of ships is a significant negative factor as it reduces ton miles, while tariffs and global trade drops can also negatively impact the market [54][55] Question: Will total daily vessel operating expenses decline further with the incorporation of new builds? - Management suggested that as the fleet composition becomes more favorable with new builds, the blended average operating expenses might decrease slightly, but a 2% increase in operating expenses is budgeted [58]