EuroDry Ltd. Q4 FY2025 earnings call

• Sold motor vessel Eirini P for $8.5 million in Q4 2025, resulting in a gain just shy of $1 million as part of fleet renewal strategy. - Fixtures during Q4 were predominantly short term, with some longer-term charters considered if rates increase. - 4 vessels employed on index-linked charters, 7 on time charters. - Used FFAs as hedging strategy, including entering into forward freight agreements in November 2025 and completing others recently. - No idle or commercial off-hire periods during Q4. - Current fleet profile and updates on fleet employment and market highlights were presented.

For the fourth quarter of 2025, total net revenues were $17.4 million, net income attributable to controlling shareholders was $3.2 million or $1.14 earnings per diluted share, adjusted net income was $2.4 million or $0.87 per diluted share, and adjusted EBITDA was $7.5 million. For the full year 2025, total net revenues were $52.3 million, adjusted EBITDA was $12.55 million, and there was a $2.8 million gain on vessel sales. The fleet consists of 11 vessels with an average age of ~14 years and total carrying capacity of ~765,000 deadweight tons, with 2 Ultramax vessels under construction scheduled for delivery in 2027. Utilization rates, time charter equivalent rates, and cash flow breakeven rates were also discussed for different periods.

• Fixed rate coverage for remainder of 2026 stands at ~22% based on existing time charter agreements. - Expect to fix more ships on longer charters if rates continue to increase. - Market remains unpredictable due to geopolitical disruptions, but dry bulk demand growth may continue to lag behind fleet expansion, with factors like off-hire periods and slower operating speeds helping maintain market balance. - Capesize vessels expected to outperform smaller classes due to expanding bauxite trade, but Guinea's Simandou iron ore project and other geopolitical factors could impact market.

• Geopolitical tensions, including ongoing trade frictions and broader geopolitical fragmentation, create uncertainty for the global economy. - Recent events in Venezuela and threatened military activity in the Middle East are external risks. - Uncertainty around technology-driven growth expectations. - Ongoing trade pressures and potential re-routing of trade flows due to geopolitical developments could affect vessel demand. - Limited ordering activity in dry bulk sector due to shipyard capacity constraints, high newbuilding costs, and uncertainty surrounding future fuel technologies and environmental regulations.

Q: About noncontrolling interest and joint venture with NRP partners, are you happy with how it's gone and will more deals be done?

A: Very happy, moving ahead smoothly, and look forward to more such deals, with it being a Norwegian-based entity with mainly Norwegian investors.

Q: On cargo breakdown and coal demand, can you comment?

A: Can offline provide cargo data of ships, and coal demand has reached peak consumption in recent years but will continue growing as an absolute value.

Q: On fixed rate coverage, fleet renewal, etc.?

A: Fixed rate coverage ~22% currently, fleet renewal strategy is discussed but no fixed decisions yet on offloading older ships; market is uncertain with many factors influencing, FFA market changes quickly, and average rate for 2026 could be similar to 2025.

Q: On reported numbers change and insurance claim?

A: Recognized insurance claim in Q4 numbers after press release, included in 20-F, recovered $1.4 million as other operating income, and situation is now closed with no expected adjustments in 2026.