Nordic American Tankers (NAT)2023-03-07 15:59Financial Data and Key Metrics Changes - The company is focused on increasing its dividend significantly after repaying its debt to Beal Bank of Dallas, which is expected to occur within a year [6][18] - The company has maintained a dividend payment for over 100 consecutive quarters, emphasizing its commitment to prioritizing dividends [6][21] Business Line Data and Key Metrics Changes - The company has a strong focus on transportation work, with an increase in ton-mile activity noted across its worldwide operations [2][4] - The company operates 15 of its 19 tankers in the spot market, indicating a strategy to leverage current favorable market conditions [31] Market Data and Key Metrics Changes - There is a noted scarcity of ships in the marketplace, leading to increased rates and ship values [2][4] - The company has not carried Russian oil for the past 18 months, which has implications for its operations amid geopolitical tensions [4] Company Strategy and Development Direction - The company aims to become debt-free to enhance operational flexibility and increase dividends [31] - The management is focused on maintaining transparency and building strong relationships with major oil companies, which are its primary customers [7][16] Management's Comments on Operating Environment and Future Outlook - The management expressed confidence in the current market conditions, stating that they have not seen a better market for their fleet in years [19] - There is a low order book for new tankers, which is expected to sustain favorable market conditions for the foreseeable future [52][53] Other Important Information - The company has established operations in various regions, including the Middle East, South America, and Asia, with significant business ties to major oil companies [3][4] - The company is actively reducing emissions through speed management practices, which is part of its operational strategy [7] Q&A Session Summary Question: What is the current market situation? - The management noted a scarcity of ships leading to increased rates and values, with a focus on ton-mile transportation work [2][4] Question: How will the dividend policy change after repaying the Beal facility? - The management indicated that the dividend could potentially double from current levels once the debt is repaid [18][21] Question: How does the current market affect chartering strategy? - The company plans to maintain its current strategy of operating primarily in the spot market while focusing on becoming debt-free [31] Question: What is the status of the new tankers and their contracts? - The management clarified that the new tankers were contracted at higher rates than previously mentioned, ensuring financial stability [34][36] Question: How does the company manage its crew nationality? - The management highlighted a diverse crew composition, including Filipino, Russian, and Ukrainian nationals, emphasizing cooperation among them [44]