STEALTHGAS INC. REPORTS FIRST QUARTER 2013 FINANCIAL AND OPERATING RESULTS

ATHENS, GREECE, May 23, 2013.  STEALTHGAS INC. (NASDAQ: GASS), a ship-owning company primarily serving the liquefied petroleum gas (LPG) sector of the international shipping industry, announced today its unaudited financial and operating results for the first quarter ended March 31, 2013.

First Quarter 2013 Results:

§ Revenues for the three months ended March 31, 2013, amounted to $29.4 million, an increase of $0.3 million, or 1.0%, compared to revenues of $29.1 million for the three months ended March 31, 2012, primarily due to the higher number of vessels under spot charters in the 2013 period.

§ Voyage expenses and vessels’ operating expenses for the three months ended March 31, 2013 were $3.5 million and $8.0 million, respectively, compared to $2.6 million and $7.7 million for the three months ended March 31, 2012. The $0.9 million, or 34.6%, increase in voyage expenses was primarily due to the higher number of vessels under spot charters in the 2013 period.

§ Drydocking Costs for the three months ended March 31, 2013 were $0.5 million as only one vessel was drydocked during the period, compared to three vessels being drydocked during the same period last year at a cost of $1.3 million.

§ No vessel sales took place during the three months ended March 31, 2013 while for the same period in 2012 a $1.3 million gain on sale of a vessel was reported.

§ As a result of the above, net income for the three months ended March 31, 2013 was $6.5 million, or $0.31 per share, compared to net income of $7.4 million, or $0.36 per share, for the three months ended March 31, 2012.

§ Included in the first quarter 2013 results are net gains from interest rate derivative instruments of $0.03 million. Interest paid on interest rate swap arrangements amounted to $1.18 million, or $0.06 per share and change in fair value of the same arrangements amounted to $1.21 million. Adjusted net income was $5.3 million or $0.26 per share for the three months ended March 31, 2013 compared to $5.2 million or $0.25 per share for the same period last year.

§ EBITDA for the three months ended March 31, 2013 amounted to $15.8 million. Reconciliations of Adjusted Net Income and EBITDA to Net Income and Adjusted EBITDA to Adjusted Net Income are set forth below.

As of March 31, 2013, cash and cash equivalents amounted to $42.4 million and total debt to $336.0 million. During the three months ended March 31, 2013 debt repayments amounted to $9.4 million.

An average of 37.0 vessels were owned by the Company during the three months ended March 31, 2013, as well as during the same period of 2012.  As of today, charter coverage for the fleet is 77% through the end of 2013 and 47% for 2014.

 

CEO Harry Vafias commented

The first quarter was another quarter of healthy profit for the Company. It could have been better if it were not for some events like the expensive dry-docking of one of our ships trading in South America and some repairs and offhire that had to be undertaken on another spot trading ship in the east. The freight market remained stable during the quarter. We managed to conclude a number of period charters: a three year time charter for the Chiltern which was coming off a bareboat charter, a one year time charter for the Gas Legacy including a further two optional years, a one year time charter extension for the Gas Cerberus and a six month time charter extension for the Gas Monarch. This is part of our short term strategy to reduce the number of vessels available in the spot market and conclude more period charters of various lengths as our fleet grows. Regarding our medium term strategy  on April 30, we have successfully concluded a public offering of 11,500,000 shares of common stock, inclusive of the underwriters’ over-allotment option, at a public offering price of $10.00 per share. The total gross proceeds from the offering were $115,000,000. We believe that this offering will allow us to grow faster predominantly with new high tech newbuildings, and we are currently actively seeking for the optimal deployment of the capital raised. Over the next two years we have already committed to grow the fleet by at least nine LPG vessels and have significant financial firepower for further expansion. In the medium term we aim to control 20-25% of the international 3000-7500 cbm pressurised LPG market. This is an opportune time to take advantage of the positive fundamentals in our core LPG sector, a low orderbook coupled with increasing product supplies coming out of the Middle East and the US that we believe will prove to be positive for the freight markets in the years to come.

 

Conference Call details:

 

On May 23, 2013 at 10:00 am ET, the company’s management will host a conference call to discuss the results and the company’s operations and outlook.

 

Participants should dial into the call 10 minutes before the scheduled time using the following numbers: 1866 682 8490 (US Toll Free Dial In) or 0844 571 8957 (UK Toll Free Dial In). 


In case of any problems with the above numbers, please dial +1 631 621 5256 (US Toll Dial In), or +44 (0)1452 555 131 (Standard International Dial In). Access Code: 75036430.


A telephonic replay of the conference call will be available until May 29, 2013 by dialing 1866 247 4222 (US Toll Free Dial In), 0800 953 1533 (UK Toll Free Dial In) or +44 (0)1452 5500 00 (Standard International Dial In). Access Code: 75036430#

 

Slides and audio webcast:

There will also be a live-and then archived webcast of the conference call, through the STEALTHGAS INC. website (www.stealthgas.com). Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.

 

 

About STEALTHGAS INC.

Headquartered in Athens, Greece, StealthGas Inc. is a ship-owning company primarily serving the liquefied petroleum gas (“LPG”) sector of the international shipping industry. StealthGas Inc. currently has a fleet of 33 LPG carriers with a total capacity of 161,822 cubic meters, three medium range product tankers and one Aframax oil tanker with a total capacity of 255,804 deadweight tons. The Company has agreed to acquire nine LPG carriers, with expected deliveries in 2013, 2014 and 2015. Once the acquisition of the nine LPG carriers is completed and the vessels are delivered, StealthGas Inc.’s LPG carrier fleet will be composed of 42 LPG carriers with a total capacity of 211,222 cubic meters. StealthGas Inc.’s shares are listed on the NASDAQ Global Select Market and trade under the symbol “GASS.”

 

Forward-Looking Statements

Matters discussed in this release may constitute forward-looking statements. Forward-looking statements reflect our current views with respect to future events and financial performance and may include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The forward-looking statements in this release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in our records and other data available from third parties. Although STEALTHGAS INC. believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, STEALTHGAS INC. cannot assure you that it will achieve or accomplish these expectations, beliefs or projections. Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including changes in charter hire rates and vessel values, charter counterparty performance, changes in demand that may affect attitudes of time charterers to scheduled and unscheduled dry dockings, changes in STEALTHGAS INC’s operating expenses, including bunker prices, dry-docking and insurance costs, ability to obtain financing and comply with covenants in our financing arrangements, or actions taken by regulatory authorities, potential liability from pending or future litigation, domestic and international political conditions, potential disruption of shipping routes due to accidents and political events or acts by terrorists.

Risks and uncertainties are further described in reports filed by STEALTHGAS INC. with the U.S. Securities and Exchange Commission.

 

Fleet List and Fleet Deployment

For information on our fleet  and further information:

Visit our website at www.stealthgas.com

 

Company Contact:

Konstantinos Sistovaris

Chief Financial Officer

STEALTHGAS INC.

011-30-210-6250-001
E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.



 

Fleet Data:

The following key indicators highlight the Company’s operating performance during the first quarters ended March 31, 2012 and March 31, 2013.

 

FLEET DATA

Q1 2012

Q1 2013

Average number of vessels (1)

37.0

37.0

Period end number of vessels in fleet

37

37

Total calendar days for fleet (2)

3,367

3,330

Total voyage days for fleet (3)

3,265

3,307

Fleet utilization (4)

97.0%

99.3%

Total charter days for fleet (5)

2,962

2,789

Total spot market days for fleet (6)

303

518

Fleet operational utilization (7)

95.9%

95.9%

 

 

1) Average number of vessels is the number of vessels that constituted our fleet for the relevant period, as measured by the sum of the number of days each vessel was a part of our fleet during the period divided by the number of calendar days in that period.

2) Total calendar days are the total days the vessels were in our possession for the relevant period including off-hire days associated with major repairs, drydockings or special or intermediate surveys.

3) Total voyage days for fleet reflect the total days the vessels were in our possession for the relevant period net of off-hire days associated with major repairs, drydockings or special or intermediate surveys.

4) Fleet utilization is the percentage of time that our vessels were available for revenue generating voyage days, and is determined by dividing voyage days by fleet calendar days for the relevant period.

5) Total charter days for fleet are the number of voyage days the vessels in our fleet operated on time or bareboat charters for the relevant period.

6) Total spot market charter days for fleet are the number of voyage days the vessels in our fleet operated on spot market charters for the relevant period.

7) Fleet operational utilization is the percentage of time that our vessels generated revenue, and is determined by dividing voyage days (excluding commercially idle days) by fleet calendar days for the relevant period.

 

 

Reconciliation of Adjusted Net Income, EBITDA, adjusted EBITDA and adjusted EPS:

Adjusted Net Income represents Net Income before (gain)/loss on sale of assets, loss on derivatives, excluding swap interest paid, share based compensation and unrealized exchange differences. EBITDA represents net income before interest, income tax expense, depreciation and amortization. Adjusted EBITDA represents EBITDA before (gain)/loss on sale of assets, loss on derivatives, excluding swap interest paid, share based compensation and unrealized exchange differences. Adjusted net income, adjusted EPS, EBITDA and adjusted EBITDA, are not recognized measurements under U.S. GAAP. Our calculation of adjusted net income, adjusted EPS, EBITDA and adjusted EBITDA, may not be comparable to that reported by other companies in the shipping or other industries.  In evaluating Adjusted EBITDA and Adjusted Net Income, you should be aware that in the future we may incur expenses that are the same as  or similar to some of the adjustments in this presentation.

 

EBITDA, adjusted EBITDA, adjusted net income and adjusted EPS are included herein because they are a basis, upon which we assess our financial performance. They allow us to present our performance from period to period on a comparable basis and provide additional information on fleet operational results. We also use EBITDA to assess our liquidity position and believe it represents useful information for investors regarding a company's ability to service and/or incur indebtedness. 

 

(Expressed in United States Dollars,
except number of shares)

First Quarter Ended March 31,

 

2012

2013

Net Income - Adjusted Net Income

 

 

Net income

7,379,512

6,458,657

Loss/(Gain) on derivatives

451,528

(28,085)

Less swap interest paid

(1,317,148)

(1,181,756)

Gain on sale of vessel, net

(1,274,965)

--

Share based compensation

--

72,155

Unrealized exchange gain

(20,416)

(885)

Adjusted Net Income

5,218,511

5,320,086

 

 

 

Net Income - EBITDA

 

 

Net income

7,379,512

6,458,657

Plus interest and finance costs

2,457,523

2,021,041

Less interest income

(47,487)

(59,982)

Plus depreciation

7,035,342

7,334,221

EBITDA

16,824,890

15,753,937

 

 

 

Adjusted Net Income - Adjusted EBITDA

 

 

Adjusted Net Income

5,218,511

5,320,086

Plus interest and finance costs

2,457,523

2,021,041

Less interest income

(47,487)

(59,982)

Plus depreciation

7,035,342

7,334,221

Adjusted EBITDA

14,663,889

14,615,366

 

 

 

EPS - Adjusted EPS

 

 

Net income

7,379,512

6,458,657

Adjusted net income

5,218,511

5,320,086

Weighted average number of shares

20,552,568

20,552,568

EPS – Basic and Diluted

0.36

0.31

Adjusted EPS

0.25

0.26

 

 

 

 

 

 

 

 

 

StealthGas Inc.

Unaudited Consolidated Statements of Income

(Expressed in United States Dollars, except number of shares)

 

 

 

 

 

 

For The Three Months Ended March 31,

 

 

 

 

 

 

2012

 

2013

 

 

 

 

 

 

Revenues

 

 

 

 

 

 

 

 

Voyage revenues

 

 

 

29,122,817

 

27,013,711

 

Voyage revenues – related party

 

 

 

  --

 

2,433,750

Total revenues

 

 

 

29,122,817

 

29,447,461

 

 

 

 

 

 

 

 

 

Expenses

 

 

 

 

 

 

 

 

Voyage expenses

 

 

 

2,233,473

 

3,105,359

 

Voyage expenses – related party

 

 

 

358,462

 

365,459

 

Vessels' operating expenses

 

 

7,665,065

 

6,987,069

 

Vessels' operating expenses – related party

 

 

  --

 

975,339

 

Dry-docking costs

 

 

 

1,283,085

 

495,726

 

Management fees – related party

 

 

1,080,170

 

1,078,200

 

General and administrative expenses

 

 

623,011

 

681,595

 

Depreciation

 

 

 

7,035,342

 

7,334,221

 

Net gain on sale of vessel

 

 

(1,274,965)

 

  --

Total expenses

 

 

 

19,003,643

 

21,022,968

 

 

 

 

 

 

 

 

 

Income from operations

 

 

10,119,174

 

8,424,493

 

 

 

 

 

 

 

 

 

Other (expenses)/income

 

 

 

 

 

 

Interest and finance costs

 

 

(2,457,523)

 

(2,021,041)

 

(Loss)/Gain on derivatives

 

 

 

(451,528)

 

28,085

 

Interest income

 

 

 

47,487

 

59,982

 

Foreign exchange gain/(loss)

 

 

121,902

 

(32,862)

Other expenses, net

 

 

 

(2,739,662)

 

(1,965,836)

 

 

 

 

 

 

 

 

 

Net income

 

 

 

7,379,512

 

6,458,657

 

 

 

 

 

 

 

 

 

Earnings per share

 

 

 

 

 

 

- Basic

 

 

 

 

0.36

 

0.31

- Diluted

 

 

 

 

0.36

 

0.31

 

 

 

 

 

 

 

 

 

Weighted average number of shares

 

 

 

 

-Basic

 

 

 

 

20,552,568

 

20,552,568

-Diluted

 

 

 

 

20,552,568

 

20,552,568

 

 

 

 

 

 

 

 

 

 

 

 

StealthGas Inc.

Unaudited Consolidated Balance Sheets

(Expressed in United States Dollars)

 

 

 

 

 

 

December 31,

 

March 31,

 

 

 

 

 

 

2012

 

2013

 

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

 

Current assets

 

 

 

 

 

 

 

Cash and cash equivalents

 

 

42,273,000

 

42,413,111

 

Receivable from related party

 

 

  --

 

413,893

 

Trade and other receivables

 

 

3,029,284

 

2,693,966

 

Claims receivable

 

 

 

32,835

 

307,896

 

Inventories

 

 

 

3,152,407

 

3,406,849

 

Advances and prepayments

 

 

435,226

 

597,349

 

Restricted cash

 

 

 

7,340,655

 

8,617,536

Total current assets

 

 

 

56,263,407

 

58,450,600

 

 

 

 

 

 

 

 

 

Non current assets

 

 

 

 

 

 

 

Advances for vessels under construction

 

19,321,045

 

19,428,115

 

Vessels, net

 

 

 

634,634,671

 

627,300,450

 

Other receivables

 

 

 

224,422

 

366,954

 

Restricted cash

 

 

 

1,300,000

 

1,300,000

 

Deferred finance charges, net of accumulated

 

 

 

 

 

   amortization of $1,786,158 and $1,894,998

 

1,295,486

 

1,186,646

Total non current assets

 

 

656,775,624

 

649,582,165

Total assets

 

 

 

713,039,031

 

708,032,765

 

 

 

 

 

 

 

 

 

Liabilities and Stockholders' Equity

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

 

Payable to related party

 

 

7,288,899

 

7,447,014

 

Trade accounts payable

 

 

5,927,526

 

6,111,086

 

Accrued liabilities

 

 

 

2,855,170

 

2,857,353

 

Customer deposits

 

 

 

280,000

 

  --

 

Deferred income

 

 

 

3,129,671

 

2,010,896

 

Fair value of derivatives

 

 

539,904

 

51,332

 

Current portion of long-term debt

 

 

35,787,544

 

35,787,544

Total current liabilities

 

 

 

55,808,714

 

54,265,225

 

 

 

 

 

 

 

 

 

Non current liabilities

 

 

 

 

 

 

 

Fair value of derivatives

 

 

5,409,337

 

4,714,873

 

Other non current liabilities

 

 

222,770

 

301,551

 

Long-term debt

 

 

 

309,564,768

 

300,213,667

Total non current liabilities

 

 

315,196,875

 

305,230,091

Total liabilities

 

 

 

371,005,589

 

359,495,316

 

 

 

 

 

 

 

 

 

Commitments and contingencies

 

 

  --

 

  --

 

 

 

 

 

 

 

 

 

Stockholders' equity

 

 

 

 

 

 

 

Capital stock

 

206,273

 

206,273

 

Additional paid-in capital

 

 

275,792,164

 

275,864,319

 

Retained earnings

 

 

 

66,016,627

 

72,475,284

 

Accumulated other comprehensive income/(loss)

 

18,378

 

(8,427)

Total stockholders' equity

 

 

342,033,442

 

348,537,449

Total liabilities and stockholders' equity

 

713,039,031

 

708,032,765

 

 

 

 

 

 

StealthGas Inc.
Unaudited Consolidated Statements of Cash Flows

(Expressed in United States Dollars)

 

 

 

 

 

 

For The Three Months Ended March 31,

 

 

 

 

 

 

2012

 

2013

 

 

 

 

 

 

Cash flows from operating activities

 

 

 

 

 

 

Net income for the period

 

 

7,379,512

 

6,458,657

 

 

 

 

 

 

 

 

 

Adjustments to reconcile net income to net cash

 

 

 

 

  provided by operating activities:

 

 

 

 

 

 

Depreciation

 

 

 

7,035,342

 

7,334,221

 

Amortization of deferred finance charges

 

119,286

 

108,840

 

Unrealized exchange gain

 

 

(20,416)

 

(885)

 

Share based compensation

 

 

--

 

72,155

 

Change in fair value of derivatives

 

 

(865,620)

 

(1,209,841)

 

Net gain on sale of vessel

 

 

(1,274,965)

 

  --

 

 

 

 

 

 

 

 

 

Changes in operating assets and liabilities:

 

 

 

 

 

(Increase)/decrease in

 

 

 

 

 

 

Trade and other receivables

 

 

458,215

 

192,786

 

Claims receivable

 

 

 

(131,986)

 

(288,545)

 

Inventories

 

 

 

191,022

 

(254,442)

 

Advances and prepayments

 

 

(81,020)

 

(162,123)

 

Increase/(decrease) in

 

 

 

 

 

 

Balances with related parties

 

 

(392,613)

 

(255,778)

 

Trade accounts payable

 

 

(486,820)

 

183,560

 

Accrued liabilities

 

 

 

536,797

 

2,183

 

Other non current liabilities

 

 

--

 

78,781

 

Deferred income

 

 

 

615,602

 

(1,118,775)

Net cash provided by operating activities

 

13,082,336

 

11,140,794

 

 

 

 

 

 

 

 

 

Cash flows from investing activities

 

 

 

 

 

 

Insurance proceeds

 

 

 

299,299

 

13,484

 

Acquisitions and advances for vessels under construction

 

(23,927,728)

 

(107,070)

 

Proceeds from sale of vessel, net

 

 

1,956,249

 

--

 

Increase in restricted cash account

 

 

(651,689)

 

(1,276,881)

Net cash used in investing activities

 

(22,323,869)

 

(1,370,467)

 

 

 

 

 

 

 

 

 

Cash flows from financing activities

 

 

 

 

 

 

Customer deposits paid

 

 

--

 

(280,000)

 

Loan repayment

 

 

 

(9,608,924)

 

(9,351,101)

 

Proceeds from long-term debt

 

 

21,750,000

 

--

Net cash provided by/(used in) financing activities

 

12,141,076

 

(9,631,101)

 

 

 

 

 

 

 

 

 

Effect of exchange rate changes on cash

 

20,416

 

885

 

 

 

 

 

 

 

 

 

Net increase in cash and cash equivalents

 

2,919,959

 

140,111

Cash and cash equivalents at beginning of year

 

43,539,303

 

42,273,000

Cash and cash equivalents at end of period

 

46,459,262

 

42,413,111

 

 

 

 

 

 

 

 

 

 

StealthGas Inc.
3rd Quarter 2017 Results
Image
The webcast is scheduled for:
Wednesday, November 22, 2017,
5:00 pm CEST / 11:00 am EDT