Navios: $280 million revenue in Q2 2022

By Anastasia Vamvaka

The financial results of the second quarter of 2022 published by Navios are impressive. The company is up 84.7% compared to the corresponding period in 2021, while it announced the acquisition of 36 dry bulk carriers for $835.0 million, including the assumption of $441.6 million in bank liabilities, bareboat liabilities and liabilities leasing. Accordingly, Navios Partners time charter and commercial voyage revenue increased in the first half of 2022 by $300.2 million, or 138.3%, to $517.3 million, compared to $217.1 million in 2021 .

In her message, Angeliki Fragou, President and CEO of Navios Partners stated that “we are pleased to report our results for the second quarter of 2022 in which we recorded revenues of $280.7 million and net income of $118.2 million ” while emphasizing that Navios Partners is the second largest shipping company listed on the US stock exchange and the third largest dry cargo company listed in the US, in terms of number of ships.

“Our board has approved a unit repurchase program for up to $100 million. At current prices, this program would cover approximately 17% of the public offering. The timing of the repurchases and the exact number of units to be repurchased are determined by the Company with based on market conditions and economic and other considerations, including working capital and projected or expected growth opportunities”.

New fleet

The fleet of 36 vessels consists of 26 owned vessels and 10 chartered vessels (all with purchase option) with a total capacity of 3.9 million dwt and an average age of 9.6 years. The acquired vessels are expected to generate approximately $164.0 million of estimated EBITDA and $81.5 million of estimated liquidity in 2023 to Navios Partners.
Upon completion of the Transaction, Navios Partners will own and operate a fleet consisting of 90 dry bulk vessels, 49 container vessels and 49 tankers, including 22 newbuilds to be delivered by the first quarter of 2025.

The financial data

Income:

$280.7 million for the second quarter of 2022;
$517.3 million for the first half of 2022;
Net income:

118.2 million for the second quarter of 2022
$203.8 million for the first half of 2022;

EBITDA:

$163.5 million for the second quarter of 2022;
$289.6 million for the first half of 2022;

YTD fleet update

$1.3 billion acquisition of ships
$835.0 million acquisition of a 36-vessel dry cargo fleet;
$241.2 million purchase of two newbuild dual-fuel LNG containerships
Acquisition of four newbuild LR2/Aframax tankers $234.0 million
$100 million buyback program
$0.05 per distribution unit for the second quarter of 2022

Time charter and travel revenue for the three-month period ended June 30, 2022 increased $128.7 million, or 84.7%, to $280.7 million, compared to $152.0 million for the same period in 2021. The increase in revenue was mainly attributed to the increase in the size of the company’s fleet. EBITDA was $163.5 million compared to $90.4 million for the same period in 2021. The increase in EBITDA was primarily due to: (i) a $128.7 million increase in time charter and voyage revenue; and (ii) a $2.3 million decrease in other expenses, net.

Net income was $118.2 million compared to $99.9 million for the same period in 2021. Accordingly, adjusted net income for the first half of 2022 was $203.8 million compared to $111.7 million 2021 dollars