Performance Shipping, a global shipping company specializing in the ownership of tanker vessels, reported net income of $12.4 million and net income attributable to common stockholders of $12.0 million for the third quarter ended September 30, 2024. These results are compared to a net income of $10.4 million and net income attributable to common stockholders of $9.9 million for the same period in 2023. Earnings per share, basic and diluted, for the third quarter of 2024 were $0.96 and $0.32, respectively.
Revenue was $22.9 million ($22.1 million net of voyage expenses) for the third quarter of 2024, compared to $24.1 million ($23.4 million net of voyage expenses) for the same period in 2023. This decrease was attributable to the decrease in the ownership days following the sale of the vessel P. Kikuma in December 2023, partially offset by the increase in time-charter equivalent rates (“TCE rates”) realized during the quarter. Fleetwide, the average TCE rate for the third quarter of 2024 was $34,307, compared with an average rate of $31,787 for the same period in 2023. During the third quarter of 2024, net cash provided by operating activities was $16.1 million, compared with net cash provided by operating activities of $17.9 million for the third quarter of 2023.
Net income for the nine months ended September 30, 2024, amounted to $34.0 million, compared to a net income of $44.5 million for the nine months ended September 30, 2023. Net income attributable to common stockholders for the nine months ended September 30, 2024, amounted to $32.7 million, and resulted in earnings per share, basic and diluted, of $2.65 and $0.87, respectively. Net income attributable to common stockholders for the nine months ended September 30, 2023, amounted to $32.4 million, and resulted in earnings per common share, basic and diluted, of $3.26 and $1.25, respectively. The difference between net income and net income attributable to common stockholders for the nine-month period ended September 30, 2023, mainly reflects aggregate non-cash items of $10.6 million, as per US GAAP accounting standards, which did not affect the Company’s operating cash flows.
Commenting on the results of the third quarter of 2024, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“We are pleased with our solid third-quarter 2024 performance, which reflected an increase in revenue, net income, and basic and diluted EPS compared to the prior quarter. During this quarter, tanker charter rates maintained their average year-to-date levels, supported by constrained supply growth and increased tonne-mile demand resulting from longer haul tanker voyages due to Red Sea disruptions and the Atlantic–Asia trade growth. Going forward, we believe that our balanced fleet deployment strategy, combined with our exposure to the spot market through pool arrangements, will provide steady cash flows and opportunities to capitalize on the solid market fundamentals of our sector.
“Given our pipeline, we anticipate that we will be able to redeploy our vessels at attractive charter rates during the seasonally strong fall and winter period. At the same time, we remain focused on employing our opening vessels and continuing to secure delivery financing for our newbuilding vessels.
“Looking ahead, our newbuild program is supported by a strategic partnership with a top-tier charterer and we maintain close relationships with international shipping leaders. At the same time, our existing fleet continues to generate strong cash flows. We are executing a clear strategy and believe we have a strong foundation for continued growth and shareholder value creation.”