GasLog Ltd. and its subsidiaries, an international owner, operator and manager of liquefied natural gas (“LNG”) carriers, yesterday reported its financial results for the quarter ended September 30, 2020.
• Delivery of the GasLog Westminster on July 15, a 180,000 cubic meter (“cbm”) LNG carrier with dual fuel medium speed propulsion (“X-DF”) and commencement of its seven-year time charter agreement with Centrica Plc. (“Centrica”).
• Refinanced all debt to mature in 2021 with four new credit facilities representing a total of approximately $1.1 billion, strengthening the balance sheet and delivering $30.2 million of incremental liquidity to the Group.
• Post-quarter end, completed the sale-and-leaseback of the GasLog Hong Kong, with CMB Financial Leasing Co. Ltd. (“CMBFL”), one of China’s largest lessors, releasing $26.4 million of incremental liquidity to GasLog and extending the repayment profile to 21 years.
• Repaid approximately $86.0 million of debt, bringing total debt repayment (excluding prepayments for refinanced facilities) to approximately $193.0 million through the first nine-months of 2020.
• Contracted time charter revenues of approximately $164.1 million for the fourth quarter of 2020, representing 95% charter coverage, based on signed contracts until November 10, 2020.
• Quarterly Revenues of $156.7 million, Profit of $10.1 million and Loss per share1 of ($0.03) for the three-month period ended September 30, 2020.
• Quarterly Adjusted EBITDA1 of $102.1 million, Adjusted Profit1 of $13.0 million and Adjusted Loss per share1 of $(0.01) for the three-month period ended September 30, 2020.
• Quarterly dividend of $0.05 per common share payable on November 30, 2020.
Chairman and CEO Statements
Peter G. Livanos, Chairman of GasLog, stated: “GasLog progressed on several strategic initiatives during the third quarter, a testament to the resiliency of our business model. Our fully contracted newbuilding program continues to deliver on time and on budget, operating and overhead expenses have been reduced considerably with an eye toward further improvement and the Group’s liquidity has been further bolstered following a sale-and-leaseback with a leading Chinese lessor.”
Paul Wogan, Chief Executive Officer, stated: “Our fleet continued to deliver high levels of service and reliability to our customers during the third quarter. We markedly increased the change over our crews but given the ongoing COVID-19 restrictions we continue to work with the authorities and through industry bodies to see how we can improve this situation for all seafarers.
During the third quarter, we refinanced all the Group’s debt maturing in 2021 and took delivery of the GasLog Westminster. This progress has continued in the fourth quarter and in October we completed the sale-and-leaseback of the GasLog Hong Kong. This transaction increased our available liquidity, improved the vessel’s average annual free cash flow over the term of the agreement and opened up a new source of capital as this was our first financial transaction with a mainland Chinese counterparty. In addition, we expect to take delivery of the GasLog Georgetown later this month, the first of four vessels to be delivered into multi-year charters with Cheniere Energy Inc. (“Cheniere”).”
On September 16, 2020, the board of directors declared a dividend on the Series A Preference Shares of $0.546875 per share, or $2.5 million in the aggregate, payable on October 1, 2020 to holders of record as of September 30, 2020. GasLog paid the declared dividend to the transfer agent on October 1, 2020.
On November 9, 2020, the board of directors declared a quarterly cash dividend of $0.05 per common share, or $4.0 million in the aggregate, payable on November 30, 2020 to shareholders of record as of November 20, 2020.