United Maritime Corp. Q2 FY2024 earnings call

• United Maritime returned to profitability in Q2 2024 with a net income of $0.7 million and net revenues of $12.4 million.
• Declared a 7.5 cents per share cash dividend for Q2 yielding about 13%, with over $1.50 in dividends paid since January 2023.
• Delivered the Oasea (2010 e Kamsarmax) with profits recognized in Q3, to be replaced by the Nisea (2016 Kamsarmax) arriving in October.
• Acquired a minority stake in an offshore energy construction vessel for $8.5 million, with payments in installments over 33 months.
• Joined a time charter on an Aframax crew tanker, committing over $300,000 in working capital.
• Extended charters of Panamax vessels (Exelixsea, Synthesea) and Capesize vessels (Goodship, Gloriuship).
• Drybulk market strong due to capesize demand, grain and coal demand, with low order book favoring positive market balance.

In Q2 2024, United Maritime Corporation had net revenues of $12.4 million with a net income of $0.7 million. The fleet’s average time charter equivalent rate was $17,143. For the first six months of 2024, net revenues were $23 million but there was a net loss of $0.8 million due to Q1 hedging activities. The drybulk segment was the key driver, with the strong capesize market contributing to the performance.

• Anticipate further improvements in profitability.
• Committed to rewarding investors with dividends and share buybacks as appropriate.
• Optimistic about future growth and diversified strategy, benefiting from drybulk market trends.

Q: Can you talk about how you started looking at the energy construction vessel market and if you've done business with a Norwegian partner before?

A: Stavros Gyftakis mentioned they started looking at the sector since early 2024, identified limited supply and growing demand, had connections in Norway, and the project was presented to the Board.

Q: Will the dry docking of the four vessels in the first half affect 3Q costs?

A: Stavros Gyftakis stated almost no costs will extend into 3Q, with a very good operating fleet for the second half improving cash flow.

Q: Was the financing with a Taiwan lender the first time with a known party?

A: Stamatios Tsantanis said they had experience with the lender in synergy with previous parts of United, working well with the known party.