Safe Bulkers Inc (SB) Q3 2024 Earnings Call Highlights: Strong Financial Performance Amid ...

GuruFocus.com11-19

Revenue Backlog: $175 million in contracted revenue backlog from Capes alone. Debt: Consolidated debt of approximately $500 million as of September 30, 2024. Leverage: Comfortable leverage at 32%. Net...

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overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSafe Bulkers Inc (SB) Q3 2024 Earnings Call Highlights: Strong Financial Performance Amid ...\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-19 09:03 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/safe-bulkers-inc-sb-q3-010303837.html><strong>GuruFocus.com</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Revenue Backlog: $175 million in contracted revenue backlog from Capes alone.\nDebt: Consolidated debt of approximately $500 million as of September 30, 2024.\nLeverage: Comfortable leverage at 32%.\nNet...</p>\n\n<a href=\"https://finance.yahoo.com/news/safe-bulkers-inc-sb-q3-010303837.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"SB","symbol_name":"Safe Bulkers","start_time":0,"source_url":"https://finance.yahoo.com/news/safe-bulkers-inc-sb-q3-010303837.html","article_id":"2484098958","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/q7lfSnNsXMfc6U.mTYureA--~B/aD00OTt3PTc2O2FwcGlkPXl0YWNoeW9u/https://media.zenfs.com/en/us.finance.gurufocus/13fa3d8d77c28e42db2af985cb793e66"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2484098958","pubTimestamp":1731978183,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"Revenue Backlog: $175 million in contracted revenue backlog from Capes alone.Debt: Consolidated debt of approximately $500 million as of September 30, 2024.Net Debt per Vessel: Just below $9 million.Fleet Age: Average fleet age of 9.8 years.Fleet Size: 46 vessels, with 23 environmentally upgraded and 11 eco vessels.GuruFocus has detected 3 Warning Sign with SB.For the complete transcript of the earnings call, please refer to the full earnings call transcript.Safe Bulkers Inc  reported a strong quarter with increased revenues compared to the same period last year.Safe Bulkers Inc  maintains a comfortable leverage of 32%, which is considered manageable given the age of their fleet.","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":["earning"],"viewcount":null,"language":"en","relate_stocks":{"SB":"Safe Bulkers"},"translate_title":"Safe Bulkers Inc(SB)2024年第三季度收益看涨期权亮点：强劲的财务业绩……","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"SB":1},"content_text":"Revenue Backlog: $175 million in contracted revenue backlog from Capes alone.\nDebt: Consolidated debt of approximately $500 million as of September 30, 2024.\nLeverage: Comfortable leverage at 32%.\nNet Debt per Vessel: Just below $9 million.\nLiquidity: Approximately $318 million.\nContracted Revenue: About $250 million.\nAdjusted EBITDA: $41.3 million for Q3 2024.\nAdjusted EPS: $0.16 for Q3 2024.\nNet Income: $25.1 million for Q3 2024.\nAverage TCE: $17,108 for Q3 2024.\nDividend: $0.05 per common share.\nFleet Age: Average fleet age of 9.8 years.\nFleet Size: 46 vessels, with 23 environmentally upgraded and 11 eco vessels.\n\n\nWarning! GuruFocus has detected 3 Warning Sign with SB.\n\nRelease Date: November 14, 2024\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.\n Positive Points \n\nSafe Bulkers Inc (NYSE:SB) reported a strong quarter with increased revenues compared to the same period last year.\nThe company has a significant contracted revenue backlog of $175 million from Capesize vessels alone, providing cash flow visibility.\nSafe Bulkers Inc (NYSE:SB) maintains a comfortable leverage of 32%, which is considered manageable given the age of their fleet.\nThe company has a robust liquidity position with approximately $318 million in liquidity and capital resources.\nSafe Bulkers Inc (NYSE:SB) has a green fleet advantage with 23 vessels having undergone environmental upgrades, aligning with stringent environmental regulations.\n\n Negative Points \n\nThe charter market is gradually softening, particularly for Panamax vessels, due to supply-demand imbalances.\nGeopolitical uncertainties, including tensions in the Middle East and Ukraine, contribute to a softer global GDP growth outlook.\nChina's slower economic growth and real estate sector crisis are expected to impact demand for key commodities like iron ore.\nFreight rates are likely to be softer due to the projected growth in fleet sizes outpacing demand.\nAsset prices, which rose in 2024, are projected to weaken over the next two years, potentially impacting the company's asset valuation.\n\n Q & A Highlights \nQ: You outlined that consolidated leverage is 32% at the end of the quarter. Are you comfortable at this level, or are you striving to lower your debt? Is the goal to be debt-free? A: Konstantinos Adamopoulos, CFO: We are very comfortable with a 32% leverage level. We do not plan to reduce it much further, especially as we take newbuilding deliveries in the next three years. A ratio below 40% is good, and even if it rises to 45% or 50% in later years, it remains comfortable given the fleet's age.\nQ: Panamax spot rates have lagged compared to other dry bulk classes like Capes and Supramaxes. Could you provide some color on why there might be a discrepancy? A: Konstantinos Adamopoulos, CFO: The company owns Panamaxes, Kamsarmaxes, Post-Panamax, and Capes, focusing on medium to large dry bulk assets. The discrepancy is due to market dynamics and demand, particularly from China for Capesize vessels. Future expansion will depend on market opportunities and price conditions.\nQ: Are there plans to expand the fleet in specific categories like Kamsarmax or Capes? A: Konstantinos Adamopoulos, CFO: Expansion is opportunistic and will depend on market conditions and opportunities. We are open to expanding in sectors like Kamsarmax or Capes if prices are favorable.\nQ: How does the company view its leverage in comparison to the scrap value of its vessels? A: Loukas Barmparis, President: We feel extremely comfortable with our leverage, as it is less than $200 million from the scrap value of the vessels when they are 25 years old.\nQ: What is the company's strategy regarding fleet renewal and environmental upgrades? A: Loukas Barmparis, President: We have a fleet renewal strategy involving the divestment of older vessels, acquisition of second-hand vessels, and delivery of newbuilds. Our fleet is environmentally upgraded, with a significant portion being eco vessels, positioning us favorably for future regulations.\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.This article first appeared on \nGuruFocus.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2484098958"}