Diana Shipping, Inc. Q2 FY2025 earnings call

• Dry bulk market had mixed performance in Q2; Cape outperformed smaller segments but overall bulk carriers markets softer in first half of 2025 with average sector earnings down 30% y-o-y. - Secured 3 charters since last earnings call across all segments, taking advantage of contango in Capesize segment. - Company snapshot: Founded 1972, listed NYSE 2005, fleet of 36 dry bulk vessels (6 mortgage-free), average age 11.7 years, total deadweight ~4.1 million tonnes. - Anticipate delivery of 2 methanol dual-fuel newbuildings in 2027-2028. - Fleet utilization 99.5% in Q2 2025. - Net debt 46% of market value, cash reserves $150 million as of quarter end. - Celebrated 20-year NYSE listing anniversary, sold motor vessel Selina for ~$11.8 million, secured $117 million in total secured revenues as of July '22, declared $0.01 per common share dividend. - Secured time charters for 3 vessels: 1 Ultramax at $12,250/day for 385 days, 1 Panamax at $10,100/day for avg 372 days, 1 Newcastlemax at $25,000/day for 442 days. - Disciplined chartering strategy with staggered medium- to long-term charters.

Diana Shipping, Inc. had time charter revenues of $54.7 million for the second quarter of 2025, a 2% decrease from the same quarter last year. Net income improved significantly to $4.5 million in Q2 2025 compared to a net loss of $2.8 million in Q2 2024. Fleet utilization was 99.5% for Q2 2025. The fleet consists of 36 dry bulk vessels, with an average age of 11.7 years and total deadweight capacity of approx. 4.1 million tonnes. Time charter equivalent rate increased by 3% in Q2 2025 to $15,492 from $15,106 in Q2 2024. Vessel operating expenses decreased by 6% to $20 million in Q2 2025 compared to $21.3 million in Q2 2024.

• Breakeven rate stood at $16,409 per day as of June 30, 2025. - Secured 69% of ownership days for remainder of 2025 with expected revenues $66.1 million at avg $16,280/day. - Secured 20% of ownership days for 2026 with expected revenues $49.9 million at avg $18,897/day. - Potential revenues for unfixed days in 2025: $90.5 million at avg $15,415/day; in 2026: $202 million at avg $15,376/day.

• Middle East conflict causing concern of Strait of Hormuz closure, Red Sea rerouting likely to continue. - Bulk carrier market affected by weaker demand trends in key commodities, fleet growth outpacing demand in some segments. - U.S. tariff policy uncertainties, though direct impacts on dry bulk trade appeared limited. - Market volatility and potential for prolonged market softness.

Q: I have a couple of questions regarding the recently acquired Genco stake. Firstly, how long perspective do you have on the Genco transaction? And secondly, Genco trades at a lower discount to NAV than yourself. Why not buy back shares instead?

A: Hi Lars. It is Ioannis. Let us explain the reason behind the purchase of the Genco shares. Needless to say that Genco is a very well-run dry bulk company, which was trading admittedly at a discount to NAV less than ours. Having said that, there is an additional value to this purchase, which has to do with the strategic positioning of Diana Shipping as a major shareholder in that company. So in addition to that, you can also say that they have a kind of a different chartering strategy that we can benefit from and stuff like this. It's a dividend-paying company. So all in all, for us, we have considered that to be a better option than buying our stock at discount now without excluding the possibility of us buying back our stock in the future. And for us, it's a medium- to long-term investment.