Globus Maritime Limited Announces its Trading Update and Financial Highlights for the Three Months Ended March 31, 2010.
Athens, Greece, June, 9 2010. Globus Maritime Limited ("Globus" or the “Company") (AIM: GLBS),
a global shipping transportation company that owns and operates Supramax and Panamax dry bulk
vessels, announces today its trading update and unaudited financial highlights for the three months
ended March 31, 2010 (“Q1-10”).
First Quarter 2010 Highlights versus First Quarter 2009
• Gross Revenues of US$5.8 million versus US$11.8 million in Q1-09;
• Net Revenues of US$5.3 million versus US$10.7 million in Q1-09;
• Operating Expenses of US$1.3 million versus US$2.8 million in Q1-09;
• EBITDA of US$3.0 million versus US$7.1 million in Q1-09;
• Cash flow from Operations of US$3.5 million versus US$7.7 million in Q1-09;
• Net Income of US$0.5 million versus US$2.5 million in Q1-09;
• Average Time Charter Equivalent (TCE) rate of US$19,429 per vessel per day with an average
3.0 vessels operated, versus an average TCE of US$16,919 per vessel per day with an
average of 7.0 vessels operated during Q1-09;
• Fleet utilization of 96.7% versus 98.4% in Q1-09.
Fleet Development
In March 2010, the Company agreed to purchase en-bloc, from an unaffiliated third party, two sistership geared and grab-fitted Supramax vessels for US$32.85 million each. Both vessels were delivered to Globus in May 2010 and were named “Sky Globe” and “Star Globe” respectively.
On the date of this release, Globus’ fleet comprises of four modern dry bulk carriers, consisting of three Supramaxes and one Panamax, with a weighted average age of approximately 4.4 years as at May 31, 2010, and a total carrying capacity of 240,152 dwt.
Fleet Deployment as of the date of this release
Our vessels are currently trading as follows:
• The “River Globe” is currently on a short T/C with Eastern Bulk Carriers, fixed at US$25,000 gross per day.
• The “Tiara Globe” is presently under a T/C initiated in February 2010 with Transgrain Shipping, at the gross rate of US$20,000 per day, for a minimum of 24 to a maximum of 26 months.
• Following her delivery in May 2010, the “Sky Globe” is employed on the spot market: for her first trip she is chartered by a first class European charterer at the gross rate of US$30,000 per day.
• The “Star Globe” (delivered from the shipyard to the Company in May 2010) is presently under a T/C initiated in May 2010 with Transgrain Shipping at the gross rate of US$22,000 per day for a minimum of 11 to a maximum of 13 months.
George Karageorgiou, Chief Executive of Globus Maritime commented: “We are pleased to have initiated our fleet renewal program and commitment, by taking delivery of two modern Supramax vessels during this low phase of the shipping cycle. We have taken advantage of the opportunities that rose and we expect these acquisitions to significantly enhance our earnings. We continue to implement our balanced charter strategy and have secured period employment for the “Star Globe”. Our modern and much younger tonnage reinforces our position in the market, allowing us to benefit from its improved dynamics. Today, our time charter coverage for the remaining of 2010 stands at 61% at the earliest expiration date (or 70% at the latest).
Liquidity and Capital Resources
On February 17, 2010, following the delivery of the vessels “Sea Globe” and “Coral Globe” to their new owners, Globus repaid in full the US$27.0 million loan due to Deutsche Schiffsbank.
Total bank debt outstanding as at March 31, 2010 was US$43.5 million due to Credit Suisse.
In May 2010 following the delivery of the two vessels the Company drew down US$35.5 million from the remaining committed borrowing facility from Credit Suisse. The scheduled bank debt repayments in the second-half of 2010, 2011, and 2012 are US$4.5 million, US$9 million and US$9 million respectively.
As of the date of this release, cash balances exceed US$36.1 million while total outstanding bank debt is US$75.5 million to Credit Suisse.
The issued share capital as at May 31, 2010 is 28,961,152 shares with a nominal value of US$0.001 each, with voting rights ("Ordinary Shares"). The Company does not hold any Ordinary Shares in treasury. Therefore the total number of Ordinary Shares in the Company with voting rights is 28,961,152.
Dry-docking Schedule:
During Q1-10 the Company did not incur any additional capital expenditures for scheduled special surveys for the fleet. No additional capital expenditures related to any scheduled special surveys are expected to be incurred for the rest of 2010.
About Globus Maritime Limited
Globus is a global provider of seaborne transportation services for dry bulk cargoes, including among others iron ore, coal, grain, cement, and fertilizers, along worldwide shipping routes. Currently, Globus owns and operates one panamax and three supramax vessels, with a weighted average age of 4.4 years (as at May 31, 2010) and a total carrying capacity of 240,152 DWT. All vessels are geared and fitted with grabs
Globus is listed on the AIM of the London Stock Exchange under ticker GLBS. Jefferies International Limited is acting as nominated adviser and broker to the Company.
Globus Maritime Limited