Pangaea Logistics Solutions, a global provider of comprehensive maritime logistics solutions, announced today its results for the three months ended March 31, 2025.
FIRST QUARTER 2025 RESULTS
- Net loss attributable to Pangaea of $2.0 million, or $0.03 per share
- Adjusted net loss attributable to Pangaea of $2.2 million, or $0.03 per share
- Adjusted EBITDA of $14.8 million
- Time Charter Equivalent (“TCE”) rates earned by Pangaea of $11,390 per day
- Pangaea’s TCE rates exceeded the weighted average Baltic Panamax, Supramax, and Handysize indices by 33%
- Announces $15million share repurchase authorization
- Declared quarterly cash dividend of $0.05 per common share
For the three months ended March 31, 2025, Pangaea reported non-GAAP adjusted net loss of $2.2 million, or $0.03 per share, on total revenue of $122.8 million. First quarter TCE rates decreased 36% on a year-over-year basis, while total shipping days, which include both voyage and time charter days, increased 41% to 5,210 days, when compared to the year-ago period. The increase in shipping days relative to the year-ago period was primarily attributable to the acquisition of fifteen handy-sized vessels, which was completed at the end of the fourth quarter of 2024.
The TCE earned was $11,390 per day for the three months ended March 31, 2025, compared to an average of $17,697 per day for the same period in 2024. During the first quarter ended March 31, 2025, the Company’s average TCE rate exceeded the benchmark weighted average Baltic Panamax, Supramax, and Handysize indices by 33%, supported by Pangaea’s long-term contracts of affreightment (“COAs”), specialized fleet, and cargo-focused strategy.
Total Adjusted EBITDA decreased by 24.2% to $14.8 million in the first quarter of 2025, compared to the prior-year period. Total Adjusted EBITDA margin was 12.0% during the first quarter of 2025, compared to 18.6% during the prior year period. This decrease is primarily due to a decrease in market freight and time charter hire rates, which resulted in lower TCE earnings.
As of March 31, 2025, the Company had $63.9 million in cash and cash equivalents. Total debt, including finance lease obligations was $390.8 million. On December 30, 2024, the Company assumed approximately $100.6 million of indebtedness in connection with its transaction with Strategic Shipping, Inc. During the three months ended March 31, 2025, the Company repaid $11.03 million of long-term debt, financing obligations, and finance lease, while also distributing $6.73 million in cash dividends.
On May 8, 2025, the Company’s Board of Directors authorized a new share repurchase program. Pursuant to the authorized program, the Company may repurchase up to $15 million of its outstanding shares of common stock in the open market, in accordance with applicable rules and regulations. The authorization represents 5.6% of the Company’s market capitalization as of May 8, 2025. The Company’s decision to repurchase its shares, as well as the timing of such repurchases, will depend on a variety of factors, including the ongoing assessment of the Company’s capital needs, the market price of the Company’s common stock, general market conditions and other corporate considerations, as determined by management. The repurchase program may be suspended or discontinued at any time.
The Company’s Board of Directors also declared a quarterly cash dividend of $0.05 per common share, to be paid on June 16, 2025 to all shareholders of record as of June 2, 2025.
MANAGEMENT COMMENTARY
“We showed disciplined execution during the first quarter, maintaining our cargo-focused strategy and delivering consistent premium TCE rates supported by our portfolio of long-term contracts,” stated Mark Filanowski, Chief Executive Officer of Pangaea Logistics Solutions. “Our results reflected both the expected seasonal softness early in the quarter and increased market volatility driven by shifting U.S. trade policy dynamics.”
“Strategically, we’re making progress integrating the Handysize fleet we acquired at the end of 2024, and that integration is already unlocking operational efficiencies across our broader platform,” continued Filanowski. “We remain on track with our infrastructure investment at the Port of Tampa, which represents another step in the expansion of our Terminal and Stevedore business once completed late this year.”
“While uncertainty and volatility continue to characterize the global trade environment, demand for core dry bulk commodities has remained resilient, and our trade routes have largely been insulated from the impact of tariffs,” Filanowski added. “Revised U.S. Trade Representative proposals on port fees will not negatively impact our fleet operations. Our flexible model allows us to actively optimize vessel and cargo positioning to maximize returns. Through today we’ve executed 4,275 shipping days at an average TCE of $12,524 per day for the second quarter—demonstrating the continued strength of our commercial platform even in turbulent conditions.”
“Looking ahead, the dry bulk market is navigating uncharted waters, but we remain confident in our ability to adapt, outperform and create durable long-term value through the cycle. With a focus on integration, we’re advancing targeted fleet investments and expanding our port logistics infrastructure, while maintaining disciplined capital allocation,” stated Filanowski.
“Pangaea remains focused on prudent capital allocation and long-term value creation,” concluded Filanowski. “In line with this commitment, our Board of Directors has authorized a new $15 million share repurchase program. This provides us with added flexibility to return capital to shareholders while continuing to invest in our business and preserve balance sheet strength. We intend to take a measured approach to deploying the program alongside our revised quarterly dividend, consistent with our strategy to maximize shareholder value in a dynamic operating environment.”