Pangaea Logistics Solutions (PANL) Reports In-Line Q4 EPS, Revenues Beat

Pangaea Logistics Solutions (NASDAQ: PANL) reported Q4 EPS of $0.10, in-line with the analyst estimate of $0.10. Revenue for the quarter came in at $130.5 million versus the consensus estimate of $99.37 million.

4th Quarter 2019 Highlights

• Net loss of $4.4 million, which includes total losses on impairment and sale of vessels of $9.3 million, as compared to a net loss of $0.6 million in the same period of 2018.
  • Non-GAAP adjusted net income attributable to Pangaea Logistics Solutions Ltd. of $4.4 million, as compared to $3.7 million for the same period of 2018.
  • Adjusted Earnings per share of $0.10, as compared to $0.09 for the same period of 2018.
• Pangaea's TCE rates increased 6% to $15,172 per day for the three months ended December 31, 2019 a premium over the market average of approximately 40%.
• Adjusted EBITDA of $13.5 million for the fourth quarter of 2019 versus $12.2 million for the same period in 2018.
• Net transportation and service revenue was $18.7 million in the three months ended December 31, 2018 as compared to $16.4 million in the comparable period.

Ed Coll, Pangae's Chief Executive Officer, commented;

"We were extremely active in 2019, a year that started and ended with a challenging dry bulk charter market. Despite this environment, we continued to operate profitably. Our $18.2 million of adjusted Net Income and $51.1 million of adjusted EBITDA, adjusted for book losses on sale and impairments, is another strong result for our Company. Our vessel activity increased substantially in the third and fourth quarters, which is traditionally our busiest time of the year. Our premiums were 41% above average market levels for 2019, continuing our industry leading performance. We also pushed forward core strategic initiatives such as our fleet renewal efforts and port logistics. We ordered four new ice class vessels in 2019 to complement our high ice class fleet of vessels that are capable of performing demanding Arctic service, and we built a temporary port and performed a test shipment of valuable ore from Greenland, less than 1,000 miles from the North Pole."

Mr. Coll added, "During the year we purchased some young secondhand vessels and, at the end of the year, we took further steps to renew our fleet by selling some older vessels, putting us in a position to renew when opportunities arise. Strong cash operating income allowed total cash to stay above $50 million at year end, despite aggressive debt amortization, the purchase of new vessels, substantial newbuilding deposits, and payment of dividends to our shareholders. Our plan to reach ashore for cargo-related contract work is moving forward, with the Brayton Point Terminal now in operation, and our stevedoring operations in the Mississippi River started on December 31, 2019. Other logistics projects are in our pipeline as we demonstrate our expertise in handling difficult challenges related to cargo movements. Collectively these efforts solidify our position and we stand ready to expand when opportunities arise."

For earnings history and earnings-related data on Pangaea Logistics Solutions (PANL) click here.

You May Also Be Interested In

• Bristol-Myers Squibb (BMY) stock slips despite earnings beat
• Midday movers: Meta, IBM, Caterpillar fall; Chipotle rises
• Esquire Financial Holdings, Inc. (ESQ) Tops Q1 EPS by 3c