Pangaea Logistics reports Q3 adjusted EPS 32c, consensus 16c

Reports Q3 revenue $135.62M, consensus $124.54M. “Our strong third quarter results demonstrate the durability and flexibility of our business model during a period of broader market volatility,” stated Mark Filanowski, CEO of Pangaea Logistics Solutions. “Our entire ice class 1A fleet was fully utilized under long-term contracts during the third quarter, resulting in a realized TCE rate that was nearly 50% above prevailing market indices. Our other contract positions and our strategic focus on commercial growth across new and existing trades, together with a continued focus on disciplined expense management, positioned us to produce good margin realization, Adjusted EBITDA and free cash flow in a low market environment.” “We remain committed to a balanced capital allocation strategy, one that prioritizes debt reduction, organic investments, the opportunistic acquisition of complementary assets and a stable quarterly cash dividend,” continued Filanowski. “On a trailing twelve-month basis, we’ve generated more than $62 million in operating cash flow while reducing our total outstanding debt by more than $23 million. Additionally, we have invested approximately $50 million in acquiring new vessels and logistics assets, and have returned more than $18 million to our shareholders through cash dividends, consistent with our mandate to maximize shareholder value. Pangaea also continues to prioritize its multi-year fleet renewal program, as we divest of older vessels while investing in newer, more efficient vessels. To that end, we announced the sale of the 2006-built Bulk Trident for nearly $10 million in October 2023. In 2024, we’ll seek to reinvest in one or more newer vessels as we manage a growing fleet of young, high quality vessels. “The bulk shipping market continues its volatile path,” concluded Filanowski. We believe our premium rate model and long-term COAs position us to execute on our strategy, while continue to drive shareholder returns.”