Pyxis Tankers, an owner of four eco-efficient MR2 tankers, benefitted from strong markets and the sale of its oldest vessel to post its highest quarterly profit since listing on the Nasdaq eight years ago.
The Valentios Valentis-led company reported late on Monday $8.7m in net income attributable to shareholders for the first three months of the year, compared with a loss of $3.7m in the same period of 2022.
Time charter equivalent earnings (TCE) more than doubled over the period, helping first-quarter voyage revenue increase by 68% to $11.6m — though down from a record $18.4m posted in the previous quarter.
At the same time, Pyxis posted a net gain of $8m from the $24.8m sale at the end of March of the 50,700-dwt Pyxis Malou (built 2009).
The ship has since emerged as Grace Adalberht in the managed fleet of Singapore-based Grace Energy Shipping & Trading.
This is the fourth consecutive profitable quarter for Pyxis, which expects good market conditions to continue.
“Positive momentum has continued into the spring of 2023, indicating another solid year,“ said Valentis, who is the company’s chairman and chief executive officer.
To justify his optimism, Valentis cited low inventories of refined petroleum products, Chinese demand and trade rerouting following Western sanctions against Russia.
“We believe charter rates to stay above five-year average levels,” he said.
The four MRs in the Pyxis fleet are currently all on short-term time charters, with 70% of available days in the second quarter booked at an estimated average TCE of $29,160 per day.
“We expect to prudently continue our mixed chartering strategy of time charters and spot voyages,” Valentis said.
Listed on the Nasdaq in 2015 through the merger with an already listed internet firm, Pyxis stock continues trading far below the company’s estimated net ship value of about $100m.
To help boost the share price, the company’s board of directors authorised a common stock re-purchase programme of up to $2.0m through open-market transactions for a period of six months.
According to its latest annual filing, Valentis owns 53% of the company.
After selling the Pyxis Malou and two smaller tankers early last year, Pyxis is ready to grow again.
“We patiently monitor the market to develop viable opportunities for fleet expansion, especially for the purchase of modern eco-efficient MRs,” Valentis said.
