Navios Maritime Partners reported second-quarter results largely in line with analyst expectations as the owner continued to benefit from recovery in its core dry-bulk and containership sectors.
Navios’ adjusted earnings came in at $0.05 per share, slightly above the average Wall Street analyst estimate of $0.04. The adjusted net income of $9.2m is more than double the $4.6m earned in the year-ago quarter.
Without adjustment for one-time items, Navios lost $29.5m for the quarter. The loss includes a $37.9m impairment tied to sale of two boxships in the quarter and a $600,000 equity compensation expense.
Navios also exceeded analyst expectations on earnings before interest, taxes, depreciation and amortisation (Ebitda) with a figure of $37.4m against a $33m consensus.
However, the owner fell short of projections on revenue at $58.2m against consensus of $60.5m.
Navios saw time charter revenue hit $58.2m against the $50m recorded in the second quarter of 2017.
Navios also declared the expected $0.02 dividend for the quarter.
Chief executive Angeliki Frangou hailed the results.
“Over the past two years, we used excess cash flow from operations and financing activities to renew and expand our fleet to 35 drybulk vessels,” she said. “ We also leveraged historic weakness in the container sector by establishing Navios Maritime Containers Inc, a growth vehicle with 26 containerships.
“Having taken advantage of these opportunities, we restored distributions to unitholders in the first quarter of this year and are seeking to deleverage with excess cash flow and the contemplated sale of our remaining containerships. If and when these sales are completed, Navios Partners will host the drybulk business and Navios Containers will hold the container business, thereby simplifying our business structure.”
Navios Maritime Containers has filed a public prospectus seeking an initial public offering in New York.
Navios Maritime Partners further agreed during the quarter to acquire two bulkers — the 84,872-dwt Navios Sphera and 181,259-dwt Navios Mars (both built 2016) from its affiliate, Navios Maritime Holdings, for $79m.
It also sold two containerships and agreed to sell a third to Navios Maritime Containers. Sale of the 8.204-teu YM Unity and YM Utmost (both built 2006) triggered the $37.9m impairment charge reflected in its unadjusted loss for the quarter.