Another profitable year for Seanergy despite global challenges


Seanergy Maritime Holdings Corp., announced its financial results for the fourth quarter and twelve months ended December 31, 2022. The Company also declared a quarterly dividend of $0.025 per share for the fourth quarter of 2022.

For the quarter ended December 31, 2022, the Company generated Net Revenues of $28.5 million, compared to $56.7 million in the fourth quarter of 2021. Adjusted EBITDA for the quarter was $12.5 million, compared to $38.8 million in the same period of 2021. Net Income and Adjusted Net Income for the quarter were $0.5 million and $0.9 million, respectively, compared to Net Income of $20.6 million and Adjusted Net Income of $27.9 million in the fourth quarter of 2021. The daily Time Charter Equivalent (“TCE”4 ) of the fleet for the fourth quarter of 2022 was $17,294, compared to $36,642 in the same period of 2021.

For the twelve-month period ended December 31, 2022, Net Revenues were $125.0 million, compared to $153.1 million in the same period of 2021. Adjusted EBITDA for the twelve months of 2022 was $65.6 million, compared to $90.1 million in the same period of 2021. The daily TCE of the fleet for the twelve months of 2022 was $20,040, compared to $27,399 in the twelve months of 2021. The average daily OPEX was $6,819, compared to $6,211 of the respective period of 2021.

Cash and cash-equivalents, restricted cash and term deposits, as of December 31, 2022, stood at $32.5 million. Shareholders’ equity at the end of the fourth quarter was $221.7 million. Long-term debt (senior loans, convertible note and other financial liabilities) net of deferred charges stood at $255.7 million, while the book value of the fleet was $462.4 million.

Stamatis Tsantanis, the Company’s Chairman & Chief Executive Officer, stated:

“We are pleased to report another profitable year for Seanergy, despite the prevailing global economic and political challenges that have negatively affected our industry.

“For the fourth quarter of 2022 our Board of Directors has approved a cash dividend of $0.025 per share which represents the majority of Seanergy’s net income for the quarter. We remain cognizant of current Capesize market conditions and our primary aim is to preserve a balance between financial flexibility, capital returns and investment opportunities. Since we initiated our dividend policy in the beginning of 2022, total cash dividends declared have been approximately $22.9 million or $1.275 per share, representing a 20% yield based on our share price as of March 10, 2023. Along with the successful execution of $35.5 million in repurchases of common shares and convertible securities since December 2021, we have deployed approximately $58.4 million benefiting our common shareholders over the last 15 months.

“In July 2022, we completed the spin-off of United Maritime Corporation, which commenced trading on the NASDAQ Capital Market on July 6, 2022, under the ticker “USEA”. The distribution of all of United’s common shares to our shareholders represents an additional significant return of value.

“As far as our results for the fourth quarter of 2022 are concerned, we recorded a TCE of $17,300, achieving a premium of 16% over the Baltic Capesize Index and for the full year our daily TCE of $20,040 represented a premium of about 24% over the index. We have outperformed the market consistently over the past quarters, despite the volatility experienced in day-rates, and we consider this a main pillar of our success. Our Net Income for the fourth quarter and full year period was equal to $0.5 million and $17.2 million, respectively. Our decision to focus on high quality vessels in combination with our proactive freight hedging strategy and the premiums earned by our scrubber fitted vessels have mitigated the effects of a falling spot market.

“Regarding our fleet renewal strategy, in December 2022 we took delivery of a scrubber fitted Capesize vessel built in 2012 in Japan, the M/V Paroship. The vessel entered a time charter (“T/C”) with a major European ship operator for a period of about 10 months at an index linked rate with the majority of the scrubber profit being assigned to Seanergy. This was the second vessel purchased by our Company in 2022, following the acquisition of the 2010 Japanese-built M/V Honorship in the second quarter, also chartered to NYK and for a period of about 20 to about 24 months on an index linked rate. These vessels replaced the older M/V Goodship and M/V Tradership, built in 2005 and 2006, respectively, which we agreed to sell in the fourth quarter of 2022 to United Maritime, as well as the 2004-built M/V Gloriuship that was spun-off in July 2022 as part of United Maritime. Through these purchase and sale transactions we reduced the average age of our fleet by approximately one year. Furthermore, the scrubber profit sharing schemes of our fleet have been improved, which will add meaningfully to our revenues in 2023 and beyond.

“On the financing front, within 2022 we concluded approximately $124.8 million in new financing arrangements and refinancings and we have sufficient liquidity to mitigate a softer market environment, whilst we are continuously renewing our fleet in expectancy of a stronger rates environment later in 2023.

“In February 2023, we effected a one-for-ten reverse stock split to proactively achieve compliance with Nasdaq’s listing rules, attract a broader and long-term investor base and improve the daily marketability and liquidity of our shares. On that note, given what I believe to be a material undervaluation of our common stock, I have decided to invest up to $1 million of my personal capital in additional Seanergy shares. I intend to commence the purchases in the open market following the announcement of our financial results in line with Seanergy’s trading policy.

“Moving on to issues relating to Environmental, Social and Governance, in December 2022 we released our first ESG report, which has been prepared in accordance with the Global Reporting Initiative Standards (GRI) and the Sustainability Accounting Standards Board (SASB). On this note, I am pleased to see our fleet consistently managing to secure premiums to benchmark Baltic Capesize Index levels on our recent time charter renewals, which in many ways comes on the back of our ambitious energy efficiency improvement program implemented over the last two years.

“Regarding current market conditions, we are glad to see that the seasonal spot market weakness was short-lived, and we already see signs of recovery with spot rates and forward curves moving up substantially in recent days. We also note that vessel values have remained firm through the recent months based on our sector’s strong forward outlook. With dry bulk fleet growth at the lowest levels on record and with demand for dry bulk commodities expected to rebound after the reopening of China, we remain confident in the long-term prospects of the market and believe that Seanergy is very well positioned to benefit from the widely anticipated rebound in the sector. We will continue to evaluate our options with respect to returning capital to shareholders and accretive vessel acquisitions.”


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