● |
our ability to maintain or develop new and existing customer relationships with major refined product importers and exporters, major crude oil companies and major
commodity traders, including our ability to enter into long-term charters for our vessels;
|
● |
our future operating and financial results;
|
● |
our future vessel acquisitions, our business strategy and expected and unexpected capital spending or operating expenses, including any dry-docking, crewing, bunker
costs and insurance costs;
|
● |
our financial condition and liquidity, including our ability to obtain financing in the future to fund capital expenditures, acquisitions and other general corporate
activities;
|
● |
oil and chemical tanker industry trends, including fluctuations in charter rates and vessel values and factors affecting vessel supply and demand;
|
● |
our ability to take delivery of, integrate into our fleet, and employ any newbuildings we have ordered or may acquire or order in the future and the ability of
shipyards to deliver vessels on a timely basis;
|
● |
the aging of our vessels and resultant increases in operation and dry-docking costs;
|
● |
the ability of our vessels to pass classification inspections and vetting inspections by oil majors and big chemical corporations;
|
● |
significant changes in vessel performance, including increased vessel breakdowns;
|
● |
the creditworthiness of our charterers and the ability of our contract counterparties to fulfill their obligations to us;
|
● |
our ability to repay outstanding indebtedness, to obtain additional financing and to obtain replacement charters for our vessels, in each case, at commercially
acceptable rates or at all;
|
● |
changes to governmental rules and regulations or actions taken by regulatory authorities and the expected costs thereof;
|
● |
our ability to maintain the listing of our common shares on Nasdaq or another trading market;
|
● |
our ability to comply with additional costs and risks related to our environmental, social and governance policies;
|
● |
potential liability from litigation, including purported class-action litigation;
|
● |
changes in general economic and business conditions;
|
● |
general domestic and international political conditions, potential disruption of shipping routes due to accidents, political events, including “trade wars,” piracy,
acts by terrorists or major disease outbreaks such as the recent worldwide coronavirus outbreak;
|
● |
changes in production of or demand for oil and petroleum products and chemicals, either globally or in particular regions;
|
● |
the strength of world economies and currencies, including fluctuations in charterhire rates and vessel values;
|
● |
potential liability from future litigation and potential costs due to our vessel operations, including due to discharge of pollutants, any environmental damage and
vessel collisions;
|
● |
the length and severity of epidemics and pandemics, including the ongoing global outbreak of the novel coronavirus (“COVID-19”) and its impact on the demand for
commercial seaborne transportation and the condition of the financial markets;
|
● |
international sanctions, embargoes, import and export restrictions, nationalizations,
piracy and wars or other conflicts, including the war in Ukraine; and
|
● |
other important factors described from time to time in the reports filed by us with the U.S. Securities and Exchange Commission, or the SEC.
|
TOP SHIPS INC.
|
||
(registrant)
|
||
Dated: September 27, 2022
|
By:
|
/s/ Evangelos J. Pistiolis
|
Evangelos J. Pistiolis
|
||
Chief Executive Officer
|
Six months ended June 30,
|
||||||||
(Expressed in thousands of U.S. Dollars)
|
2021
|
2022
|
||||||
Net (Loss) / Income
|
1,682
|
8,605
|
||||||
Add: Operating lease expenses
|
5,378
|
5,378
|
||||||
Add: Vessel depreciation
|
3,339
|
6,114
|
||||||
Add: Impairment on vessels
|
1,160
|
-
|
||||||
Add: Interest and finance costs
|
2,837
|
6,927
|
||||||
Add: Loss / (Gain) on financial instruments
|
(66
|
)
|
-
|
|||||
Less: Gain on sale of vessels
|
-
|
(78
|
)
|
|||||
Adjusted EBITDA
|
14,330
|
26,946
|
A. |
Operating Results
|
Six Month Period Ended June 30,
|
Change
|
|||||||||||||||
2021
|
2022
|
June 30, 2021 vs June 30, 2022
|
||||||||||||||
($ in thousands)
|
$ |
|
%
|
|||||||||||||
Revenues
|
25,310
|
38,846
|
13,536
|
53
|
%
|
|||||||||||
Voyage expenses
|
608
|
875
|
267
|
44
|
%
|
|||||||||||
Operating lease expenses
|
5,378
|
5,378
|
-
|
0
|
%
|
|||||||||||
Other vessel operating expenses
|
7,919
|
9,705
|
1,786
|
23
|
%
|
|||||||||||
Vessel depreciation
|
3,339
|
6,114
|
2,775
|
83
|
%
|
|||||||||||
Management fees-related parties
|
1,661
|
1,030
|
(631
|
)
|
-38
|
%
|
||||||||||
Dry-docking costs
|
26
|
-
|
(26
|
)
|
-100
|
%
|
||||||||||
General and administrative expenses
|
963
|
691
|
(272
|
)
|
-28
|
%
|
||||||||||
(Gain) on sale of vessels
|
-
|
(78
|
)
|
(78
|
)
|
100
|
||||||||||
Impairment on vessels
|
1,160
|
-
|
(1,160
|
)
|
100
|
%
|
||||||||||
Operating income
|
4,256
|
15,131
|
10,875
|
256
|
%
|
|||||||||||
Interest and finance costs
|
(2,837
|
)
|
(6,927
|
)
|
(4,090
|
)
|
144
|
%
|
||||||||
Gain on financial instruments
|
66
|
-
|
(66
|
)
|
-100
|
%
|
||||||||||
Equity gains in unconsolidated joint ventures
|
197
|
401
|
204
|
104
|
%
|
|||||||||||
Total other expenses, net
|
(2,574
|
)
|
(6,526
|
)
|
(3,952
|
)
|
154
|
%
|
||||||||
Net income
|
1,682
|
8,605
|
6,923
|
412
|
%
|
1. |
Revenues, Voyage expenses, Depreciation and Other vessel operating expenses
|
2. |
Management fees—related parties
|
3. |
Interest and finance Costs
|
• |
An increase of $1.9 million in interest and finance costs relating to the accelerated amortization of deferred financing fees of the two vessels sold in the six
months ended June 30, 2022 and of the Central Mare Bridge Loan prepaid in the same period (please see the Unaudited Interim Condensed Consolidated Financial Statements for the six months ended June 30, 2022 – “Note - Debt” included
elsewhere in this document).
|
• |
A decrease of $0.7 million in interest capitalized in the vessels under construction in the six months ended June 30, 2022 when compared with the same period in 2021
mainly due to the completion of our newbuilding program in the first quarter of 2022.
|
• |
An increase of $1.4 million in interest and finance costs mainly relating to the increase of the weighted average debt outstanding from $137.5 million in the six
months ended June 30, 2021 to $239.2 million in the same period of 2022.
|
• |
Finally this increase was also due to an increase of $0.1 million in other financial costs.
|
4. |
General and administrative expenses
|
B. |
Liquidity and Capital Resources
|
Page
|
|
Unaudited Interim Condensed Consolidated Balance Sheets as of December 31, 2021 and June 30, 2022
|
F-2
|
Unaudited Interim Condensed Consolidated Statements of Comprehensive Income / (Loss) for the six months ended June 30, 2021 and 2022
|
F-3
|
Unaudited Interim Condensed Consolidated Statements of Mezzanine and Stockholders’ Equity for the six months ended June 30, 2021 and 2022
|
F-4
|
Unaudited Interim Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2021
and 2022
|
F-5
|
F-6
|
Six Months Ended
|
||||||||
June 30,
|
June 30,
|
|||||||
2021
|
2022
|
|||||||
REVENUES:
|
||||||||
Time charter revenues
|
$
|
25,310
|
$
|
36,060
|
||||
Time charter revenues from related parties (Note 5)
|
-
|
2,786
|
||||||
Total revenues
|
25,310
|
38,846
|
||||||
EXPENSES:
|
||||||||
Voyage expenses
|
608
|
875
|
||||||
Operating lease expenses
|
5,378
|
5,378
|
||||||
Other vessel operating expenses
|
7,919
|
9,705
|
||||||
Vessel depreciation
|
3,339
|
6,114
|
||||||
Management fees-related parties (Note 5)
|
1,661
|
1,030
|
||||||
Dry-docking costs
|
26
|
-
|
||||||
Gain on sale of vessels
|
-
|
(78
|
)
|
|||||
Impairment on vessels
|
1,160
|
-
|
||||||
General and administrative expenses
|
963
|
691
|
||||||
Operating income
|
4,256
|
15,131
|
||||||
OTHER INCOME (EXPENSES):
|
||||||||
Interest and finance costs
|
(2,837
|
)
|
(6,927
|
)
|
||||
Gain on derivative financial instruments
|
66
|
-
|
||||||
Equity gains in unconsolidated joint ventures
|
197
|
401
|
||||||
Total other expenses, net
|
(2,574 | ) | (6,526 | ) | ||||
Net income and comprehensive income
|
1,682 |
8,605 |
||||||
Less: Deemed dividend equivalents on Series F Shares related to redemption value (Note 12)
|
-
|
(14,400
|
)
|
|||||
Less: Dividends of preferred shares (Note 5, 9 and 12)
|
(915
|
)
|
(7,322
|
)
|
||||
Net income/(loss) and comprehensive income/(loss) attributable to common shareholders
|
767 |
(13,117 | ) | |||||
Earnings/(Loss) per common share, basic and diluted (Note 10)
|
0.39 |
(6.15 | ) | |||||
Weighted average common shares outstanding, basic and diluted
|
1,991,598
|
2,132,179
|
Mezzanine Equity
|
Stockholder’s Equity
|
|||||||||||||||||||||||||||||||||||||||
Preferred Stock
|
Common Stock
|
Additional | Total | |||||||||||||||||||||||||||||||||||||
# of Shares
|
Par
Value
|
Paid-in Capital
|
# of Shares
|
Par
Value
|
# of Shares*
|
Par
Value*
|
Paid –
in Capital*
|
Accumulated Deficit
|
stockholders’
equity
|
|||||||||||||||||||||||||||||||
BALANCE, December 31, 2020
|
11,264
|
-
|
13,517
|
100,000
|
1
|
1,991,598
|
19
|
466,051
|
(345,370
|
)
|
120,701
|
|||||||||||||||||||||||||||||
Net Income
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
1,682
|
1,682
|
|||||||||||||||||||||||||||||||
Stock-based compensation
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(17
|
)
|
-
|
(17
|
)
|
||||||||||||||||||||||||||||
Dividends of Series E shares (Note 5)
|
-
|
-
|
-
|
-
|
-
|
-
|
(915
|
)
|
-
|
(915
|
)
|
|||||||||||||||||||||||||||||
Excess of consideration over carrying value of exchanged assets (Note 1)
|
-
|
-
|
-
|
-
|
-
|
(9,793
|
)
|
-
|
(9,793
|
)
|
||||||||||||||||||||||||||||||
BALANCE, June 30, 2021
|
11,264
|
-
|
13,517
|
100,000
|
1
|
1,991,598
|
19
|
455,326
|
(343,688
|
)
|
111,658
|
Mezzanine Equity
|
Stockholder’s Equity
|
|||||||||||||||||||||||||||||||||||||||
Preferred Stock
|
Common Stock
|
Additional | Total | |||||||||||||||||||||||||||||||||||||
# of Shares
|
Par
Value
|
Paid-in Capital
|
# of Shares
|
Par
Value
|
# of Shares*
|
Par
Value*
|
Paid –
in Capital*
|
Accumulated Deficit
|
stockholders’
equity
|
|||||||||||||||||||||||||||||||
BALANCE, December 31, 2021
|
13,452
|
-
|
16,142
|
100,000
|
1
|
1,991,598
|
19
|
429,956
|
(336,754
|
)
|
93,222
|
|||||||||||||||||||||||||||||
Net Income
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
8,605
|
8,605
|
||||||||||||||||||||||||||||||
Stock-based compensation
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(16
|
)
|
-
|
(16
|
)
|
||||||||||||||||||||||||||||
Issuance of common stock and Pre-Funded Warrants pursuant to equity offerings (Note 9 and 12)
|
-
|
-
|
-
|
-
|
364,443
|
4
|
8,499
|
-
|
8,503
|
|||||||||||||||||||||||||||||||
Issuance of Series F Shares (Note 5, 9 and 12)
|
7,200,000
|
72
|
71,928
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||||||||||||||||||||||||||
Deemed dividend equivalents on Series F Shares related to redemption value (Note 9 and 12)
|
-
|
-
|
14,400
|
-
|
-
|
-
|
-
|
(14,400
|
)
|
-
|
(14,400
|
)
|
||||||||||||||||||||||||||||
Dividends of Preferred Shares (Note 5, 9 and 12)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(7,322
|
)
|
-
|
(7,322
|
)
|
||||||||||||||||||||||||||||
BALANCE, June 30, 2022
|
7,213,452
|
72
|
102,470
|
100,000
|
1 |
2,356,041
|
23
|
416,717
|
(328,149
|
)
|
88,592
|
Six months ended June 30,
|
||||||||
2021
|
2022
|
|||||||
Net Cash provided by Operating Activities
|
9,347 |
13,947 |
||||||
Cash Flows from Investing Activities:
|
||||||||
Advances for vessels under construction
|
(98,257
|
)
|
(216,559
|
)
|
||||
Net proceeds from exchange/ sale of vessels
|
10,000
|
72,060
|
||||||
Investments in affiliates
|
(4,599
|
)
|
-
|
|||||
Returns of investments in unconsolidated joint ventures
|
2,026
|
1,449
|
||||||
Net Cash used in Investing Activities
|
(90,830 | ) | (143,050 | ) | ||||
Cash Flows from Financing Activities:
|
||||||||
Proceeds from debt (Note 7)
|
74,800
|
156,201
|
||||||
Principal payments of debt
|
(3,418
|
)
|
(6,906
|
)
|
||||
Prepayment of debt
|
-
|
(54,179
|
)
|
|||||
Proceeds from issuance of series F preferred stock
|
-
|
47,630
|
||||||
Proceeds from related party debt (Note 7)
|
-
|
9,000
|
||||||
Prepayment of related party debt (Note 7)
|
-
|
(9,000
|
)
|
|||||
Proceeds from equity offerings, gross (Note 9)
|
-
|
9,217
|
||||||
Equity offerings costs
|
-
|
(574
|
)
|
|||||
Dividends of Preferred shares (Note 5 and 12)
|
-
|
(6,921
|
)
|
|||||
Payment of financing costs
|
(834
|
)
|
(3,468
|
)
|
||||
Net Cash provided by Financing Activities
|
70,548
|
141,000
|
||||||
Net (decrease)/increase in cash and cash equivalents and restricted cash
|
(10,935
|
)
|
11,897
|
|||||
Cash and cash equivalents and restricted cash at beginning of year
|
23,328
|
6,370
|
||||||
Cash and cash equivalents and restricted cash at end of the period
|
12,393
|
18,267
|
||||||
Cash breakdown
|
||||||||
Cash and cash equivalents
|
8,393
|
14,267
|
||||||
Restricted cash, non-current
|
4,000
|
4,000
|
||||||
SUPPLEMENTAL CASH FLOW INFORMATION
|
||||||||
Capital expenditures included in Accounts payable/ Accrued liabilities/ Due to related parties
|
333
|
155
|
||||||
Capitalized fees relating to Investments in unconsolidated Joint Ventures included in Due to Related Parties
|
702
|
-
|
||||||
Interest paid net of capitalized interest
|
3,588
|
4,414
|
||||||
Finance fees included in Accounts payable/Accrued liabilities/Due to related parties
|
184
|
100
|
||||||
Dividends of Preferred shares included in Due to Related Parties (Note 5 and 12)
|
1,779
|
1,369
|
||||||
Offering expenses included in liabilities
|
-
|
141
|
||||||
Deemed dividend equivalents on Series F Shares related to redemption value
|
-
|
14,400
|
||||||
Carrying value of net assets of companies acquired
|
3,131
|
-
|
||||||
Settlement of related party payables
|
1,150
|
-
|
||||||
Settlement of Due to related parties with the issuance of Series F Shares
|
-
|
24,370
|
||||||
Related party S&P commissions relating to Proceeds from vessel sales included in Due to related parties
|
-
|
346
|
1. |
Basis of Presentation and General Information:
|
Companies
|
Date of
Incorporation
|
Country of
Incorporation
|
Activity
|
Top Tanker Management Inc.
|
|
Marshall Islands
|
Management company
|
Wholly owned Shipowning Companies (“SPC”)
with vessels in operation during period ended
June 30, 2022
|
Date of
Incorporation |
Country of
Incorporation |
Vessel
|
Delivery Date
|
|
1
|
PCH Dreaming Inc.
|
|
Marshall Islands
|
M/T Eco Marina Del Ray
|
|
2
|
South California Inc.
|
|
Marshall Islands
|
M/T Eco Bel Air
|
(sold and leased back in 2020) |
3
|
Malibu Warrior Inc.
|
|
Marshall Islands
|
M/T Eco Beverly Hills
|
(sold and leased back in 2020) |
4
|
Roman Empire Inc.
|
|
Marshall Islands
|
Eco West Coast
|
|
5
|
Athenean Empire Inc.
|
|
Marshall Islands
|
Eco Malibu
|
|
6
|
Eco Oceano Ca Inc.
|
|
Marshall Islands
|
Eco Oceano Ca
|
|
7
|
Julius Caesar Inc.
|
|
Marshall Islands
|
Julius Caesar (Hull No. 3213)
|
|
8
|
Legio X Inc.
|
|
Marshall Islands
|
Legio X Equestris (Hull No. 3214)
|
|
SPC
|
Date of
Incorporation
|
Country of
Incorporation
|
Vessel
|
Built Date
|
|
1
|
California 19 Inc.
|
|
Marshall Islands
|
M/T Eco Yosemite Park
|
|
2
|
California 20 Inc.
|
|
Marshall Islands
|
M/T Eco Joshua Park
|
|
2. |
Significant Accounting Policies:
|
3.
|
Going Concern:
|
4(a).
|
Vessels, net:
|
Vessel
Cost
|
Accumulated
Depreciation
|
Net Book Value
|
||||||||||
Balance, December 31, 2021
|
163,501
|
(6,916
|
)
|
156,585
|
||||||||
— Transferred from advances for vessels under construction
|
245,763
|
-
|
245,763
|
|||||||||
— Depreciation
|
-
|
(6,114
|
)
|
(6,114
|
)
|
|||||||
Balance, June 30, 2022
|
409,264
|
(13,030
|
)
|
396,234
|
4(b).
|
Advances for vessels acquisitions / under construction:
|
Advances for
vessels acquisitions/
under construction
|
||||
Balance, December 31, 2021
|
30,579
|
|||
— Advances paid
|
213,429
|
|||
— Capitalized expenses
|
1,755
|
|||
— Transferred to Vessels, net
|
(245,763
|
)
|
||
Balance, June 30, 2022
|
-
|
5. |
Transactions with Related Parties:
|
(a)
|
Central Mare– Executive Officers and Other Personnel Agreements: On September 1, 2010, the Company entered into separate agreements with Central
Mare, a related party affiliated with the family of Mr. Evangelos J. Pistiolis, pursuant to which Central Mare provides the Company with its executive officers and other administrative employees (Chief Executive Officer, Chief Financial
Officer, Chief Technical Officer and Chief Operating Officer).
|
(b) |
Central Shipping Inc (“CSI”) – Letter Agreement and Management Agreements: On January 1, 2019, the Company entered into a letter agreement with CSI, a related party affiliated
with the family of Mr. Evangelos J. Pistiolis, which detailed the services and fees for the management of the Company’s fleet.
|
Six Months Ended June 30,
|
|||||||||
2021
|
2022
|
Presented in:
|
|||||||
Management fees
|
99
|
61
|
Capitalized in Vessels, net / Advances for vessels under construction –Balance sheet
|
||||||
705
|
866
|
Management fees - related parties -Statements of comprehensive income/(loss)
|
|||||||
Supervision services fees
|
27
|
14
|
Capitalized in Vessels, net / Advances for vessels under construction –Balance sheet
|
||||||
Superintendent fees
|
13
|
13
|
Vessel operating expenses -Statements of comprehensive income/(loss)
|
||||||
178
|
129
|
Capitalized in Vessels, net / Advances for vessels under construction –Balance sheet
|
|||||||
Accounting and reporting cost
|
180
|
180
|
Management fees - related parties -Statements of comprehensive income/(loss)
|
||||||
Commission for sale and purchase of vessels
|
793
|
-
|
Management fees - related parties -Statements of comprehensive income/(loss)
|
||||||
-
|
730
|
Gain from vessel sales -Statements of comprehensive income/(loss)
|
|||||||
702
|
-
|
Capitalized in Investments in unconsolidated joint ventures –Balance sheet
|
|||||||
-
|
455
|
Capitalized in Vessels, net / Advances for vessels under construction –Balance sheet
|
|||||||
Commission on charter hire agreements
|
316
|
486
|
Voyage expenses - Statements of comprehensive income/(loss)
|
||||||
Financing fees
|
150
|
312
|
Net in Current and Non-current portions of long-term debt – Balance Sheet
|
||||||
Total
|
3,163
|
3,246
|
(c) |
Dividends of Series E Shares to Family Trading Inc (“Family Trading”): On June 30, 2022, the Company declared a dividend of $1,015 for the period January 1, 2022 through June 30, 2022 and accrued interest on unpaid dividends amounted to $30 for the same period. As of December 31, 2021 and June 30, 2022 dividends due to Family Trading were $968 and $0 respectively and are presented in Due to
related parties, in the accompanying unaudited interim condensed consolidated balance sheets.
|
(d) |
Dividends of Series F Shares to Africanus Inc (“Africanus”): On January 17, 2022, the Company entered into a stock purchase agreement
with Africanus Inc., an affiliate of Evangelos J. Pistiolis for the sale of up to 7,560,759 newly-issued Series F
Non-Convertible Perpetual Preferred Shares (“Series F Shares”, see Note 9 and 12). The issuance of the Series F Shares was approved by a committee of the Company’s board of directors, of which all of the directors were independent. On June
30, 2022, the Company declared dividends of $6,307 for the period January 17, 2022 through June 30, 2022 and accrued interest on
unpaid dividends amounted to $8 for the same period. As of June 30, 2022 dividends due to Africanus were $1,369 and are presented in Due to related parties, on the accompanying unaudited interim condensed consolidated balance sheets.
|
(e) |
Charter party with Central Tankers Chartering Inc (“CTC”): On January 6, 2021 the Company acquired a shipowning company from an entity affiliated with Mr. Evangelos J. Pistiolis
that owned M/T Eco Oceano Ca which was party to a time charter, with CTC, for a firm duration of five years at a gross daily
rate of $32,450, with
optional years at $33,950 and $35,450
at CTC’s option. On February 22, 2022 the Company amended the previously agreed time charter with CTC and increased its firm period from 5 years
to 15 years and reduced the daily rate from $32,450 to $24,500. This amendment was approved by a committee of the
Company’s board of directors, of which all of the directors were independent, after obtaining a fairness opinion from an independent financial advisor. The time charter commenced on the date of delivery. For the six months ended June 30,
2022 the CTC charter generated $2,786 of revenue presented in Time charter revenues from related parties in the accompanying
unaudited interim condensed consolidated statements of comprehensive income / (loss). As of June 30, 2022, there were no amounts
due to CTC.
|
(f) |
Short term loan from Central Mare (“Central Mare Bridge Loan”): On January 5, 2022 the Company entered into an unsecured credit facility for up to $20,000 with Central Mare in order to finance part of the cost of its newbuilding program (see Note 7). Related party interest expense,
commitment fees and arrangement fees for the period ended June 30, 2022 incurred in connection with this credit facility, amounted to $169,
$18 and $400
respectively and are included in interest and finance costs in the accompanying unaudited interim condensed consolidated statements of comprehensive income/(loss). The Central Mare Bridge Loan was terminated on March 4, 2022 and as of June
30, 2022, there are no interest, arrangement fees nor commitment fees due to Central Mare.
|
6. |
Leases
|
Year ending December 31,
|
Bareboat charter
lease payments
|
|||
2022 (remainder)
|
6,021
|
|||
2023
|
10,220
|
|||
2024
|
10,038
|
|||
2025
|
6,777
|
|||
Total
|
33,056
|
|||
Less imputed interest
|
(4,201
|
)
|
||
Total Lease Liability
|
28,855
|
|||
Presented as follows:
|
||||
Short-term lease liability
|
9,213
|
|||
Long-term lease liability
|
19,642
|
Year ending December 31,
|
Time Charter
receipts
|
|||
2022 (remaining)
|
41,814
|
|||
2023
|
81,772
|
|||
2024
|
44,525
|
|||
2025
|
11,879
|
|||
2026 to 2037
|
98,545
|
|||
Total
|
278,535
|
7. |
Debt:
|
Bank / Vessel(s)
|
||||||||
December 31,
2021
|
June 30,
2022
|
|||||||
Total long term debt:
|
||||||||
2nd ABN Facility (M/T Eco West Coast)
|
34,955
|
33,725
|
||||||
2nd Alpha Bank Facility (M/T Eco Malibu)
|
36,500
|
35,000
|
||||||
2nd CMBFL Facility (M/T Julius Caesar and M/T Legio X Equestris)
|
-
|
106,652
|
||||||
Cargill Facility (M/T Eco Marina Del Ray)
|
27,195
|
26,211
|
||||||
2nd AVIC Facility (M/T Eco Oceano Ca)
|
-
|
46,844
|
||||||
Total long term debt
|
98,650
|
248,432
|
||||||
Less: Deferred finance fees
|
(1,282
|
)
|
(3,974
|
)
|
||||
Total long term debt net of deferred finance fees
|
97,368
|
244,458
|
||||||
Presented:
|
||||||||
Current portion of long term debt
|
7,205
|
14,949
|
||||||
Long term debt
|
90,163
|
229,509
|
||||||
Debt related to Vessels held for sale:
|
||||||||
1st AVIC Facility (M/T Eco Los Angeles and M/T Eco City of Angels)
|
54,665
|
-
|
||||||
Less: Deferred finance fees
|
(1,463
|
)
|
-
|
|||||
Debt related to Vessels held for sale net of deferred finance fees
|
53,202
|
-
|
||||||
Total Debt net of deferred finance fees
|
150,570
|
244,458
|
• |
Ownership of M/T Eco Oceano Ca.;
|
• |
Assignment of insurance and earnings of M/T Eco Oceano Ca.;
|
• |
Specific assignment of any time charters with duration of more than 12 months;
|
• |
Corporate guarantee of the Company;
|
• |
Pledge of the shares of the relative shipowning subsidiary;
|
• |
Pledge over the earnings account of the vessel.
|
8. |
Commitments and Contingencies:
|
9. |
Common Stock, Additional Paid-In Capital and Dividends:
|
10. |
Earnings / (Loss) Per Common Share:
|
Six months ended June 30,
|
||||||||
2021
|
2022
|
|||||||
Net Income
|
1,682 |
8,605 |
|
|||||
Less: Dividends of Preferred shares
|
(915
|
)
|
(7,322
|
)
|
||||
Less: Deemed dividend equivalents on Series F Shares related to redemption value
|
-
|
(14,400
|
)
|
|||||
Gain / (loss) attributable to common shareholders
|
767
|
(13,117
|
)
|
|||||
Earnings / (loss) per share:
|
||||||||
Weighted average common shares outstanding, basic
|
1,991,598 |
2,132,179 |
||||||
Earnings / (loss) per share, basic and diluted
|
0.39 |
(6.15 | ) |
Six months ended June 30,
|
||||||||
2021
|
2022
|
|||||||
June 2022 Private Placement Warrants
|
-
|
282,740
|
||||||
Series E Shares
|
599,148
|
974,782
|
||||||
Potentially dilutive securities
|
599,148
|
1,257,522
|
11. | Fair value of Financial Instruments and derivative instruments: |
a) |
Interest rate risk: The Company is subject to market risks relating to changes in interest rates of debt outstanding under the 2nd ABN, the 2nd Alpha Bank, the 2nd AVIC and the 2nd CMBFL facilities on which it pays interest based on LIBOR plus a margin. As of June 30, 2022 the Company has not entered into any rate swap agreements, however
in order to manage part or whole of its exposure to changes in interest rates due to this floating rate indebtedness, the Company might do so in the future.
|
b) |
Credit risk: Financial instruments, which potentially subject the Company to significant concentrations of credit risk, consist principally of cash. The Company places its temporary cash
investments, consisting mostly of deposits, with high credit qualified financial institutions. The Company performs periodic evaluations of the relative credit standing of those financial institutions with which it places its temporary cash
investments.
|
c) |
Fair value:
|
12. |
Mezzanine Equity
|
13. |
Subsequent Events
|