IMPERIAL PETROLEUM INC. Reports Third Quarter and Nine Months 2024 Financial and Operating Results
ATHENS, Greece, Dec. 02, 2024 (GLOBE NEWSWIRE) -- IMPERIAL PETROLEUM INC. (NASDAQ: IMPP, the "Company"), a ship-owning company providing petroleum products, crude oil and dry bulk seaborne transportation services, announced today its unaudited financial and operating results for the third quarter and nine months ended September 30, 2024.
OPERATIONAL AND FINANCIAL HIGHLIGHTS
-- Fleet operational utilization of 65.6% in Q3 24' versus 70.5% in Q3 23'.
-- Increased idle time in Q3 24' compared to the same period of last year
mainly due to seasonal factors, the drydocking of a product tanker and
the minor incident of one of our product tankers which, remained off hire
for the whole of Q3 24'.
-- Spot activity in Q3 24' in the order of 65.7%, reduced compared to
previous quarter, due to a rise in tanker time charter activity.
-- Revenues of $33.0 million in Q3 24' compared to $29.4 million in Q3 23'
equivalent to a 12.2% increase.
-- Net income of $10.1 million in Q3 24' compared to $12.1 million in Q3
23'.
-- Adjusted net income of $10.9 million in Q3 24' versus $4.5 million in Q3
23' up by $6.4 million or 142.2%.
-- Cash and cash equivalents including time deposits slightly below $200
million as of September 30, 2024 versus $126 million as of September 30,
2023- equivalent to a 58.7% rise.
-- For the 9M 24' period our total net income was $46.2 million while our
operating cash flows amounted to $68.0 million.
Third Quarter 2024 Results:
-- Revenues for the three months ended September 30, 2024 amounted to $33.0
million, an increase of $3.6 million, or 12.2%, compared to revenues of
$29.4 million for the three months ended September 30, 2023, primarily
due to an increase in voyage days by 19.5% (145 days) attributed mainly
to the increase of our average number of vessels by 1.27 vessels along
with improved revenue stemming from product tankers as three product
tankers underwent drydocking in Q3 23'.
-- Voyage expenses and vessels' operating expenses for the three months
ended September 30, 2024 were $13.0 million and $7.2 million,
respectively, compared to $12.6 million and $6.1 million, respectively,
for the three months ended September 30, 2023. The $0.4 million increase
in voyage expenses is mainly attributed to the increase in bunkers
consumption due to increase in spot days by 11.3% and to expenses
incurred in connection with the EU Emission Allowances (EUAs) in order to
meet our obligation arising from the CO2 emissions as a result of the new
EU regulations entered into force starting from January 1, 2024. The
increase was partially offset by the decrease in port expenses due to
change in trade routes and therefore, decreased transit through the Suez
Canal. The $1.1 million increase in vessels' operating expenses was
primarily due to the increased size of our fleet by an average of 1.27
vessels.
-- Drydocking costs for the three months ended September 30, 2024 and 2023
were $0.9 million and $2.8 million, respectively. This decrease is due to
the fact that during the three months ended September 30, 2024, one of
our product tankers underwent drydocking while in the same period of last
year three of our product tankers underwent drydocking.
-- General and administrative costs for the three months ended September 30,
2024 and 2023 were $1.2 million and $1.3 million, respectively.
-- Depreciation for the three months ended September 30, 2024 and 2023 was
$4.3 million and $3.5 million, respectively. The change is attributable
to the increase in the average number of our vessels.
-- Management fees for the three months ended September 30, 2024 and 2023
were $0.4 million.
-- Net gain on sale of vessel for the three months ended September 30, 2024
and 2023 were nil and $8.2 million, respectively. In the three months
ended September 30, 2023, the net gain on sale of vessel was related to
the sale of the Aframax tanker Afrapearl II (ex. Stealth Berana) to C3is
Inc., a related party.
-- Interest income for the three months ended September 30, 2024 was $2.3
million as compared to $1.7 million for the three months ended September
30, 2023. The $0.6 million increase is mainly attributed to a higher
amount of funds placed under time deposits.
-- Foreign exchange (loss)/gain for the three months ended September 30,
2024 was $1.7 million gain as compared to $0.8 million loss for the three
months ended September 30, 2023. The $2.5 million increase in gain is
mainly attributed to fluctuations in exchange rates in key currencies
mainly from funds placed under time deposits on foreign currency.
-- As a result of the above, for the three months ended September 30, 2024,
the Company reported net income of $10.1 million, compared to net income
of $12.1 million for the three months ended September 30, 2023. Dividends
paid on Series A Preferred Shares amounted to $0.4 million for the three
months ended September 30, 2024. The weighted average number of shares of
common stock outstanding, basic, for the three months ended September 30,
2024 was 31.4 million. Earnings per share, basic and diluted, for the
three months ended September 30, 2024 amounted to $0.29 and $0.27,
respectively, compared to earnings per share, basic and diluted, of $0.56
and $0.43, respectively, for the three months ended September 30, 2023.
-- Adjusted net income1 was $10.9 million corresponding to an Adjusted EPS1,
basic of $0.32 for the three months ended September 30, 2024 compared to
an Adjusted net income of $4.5 million corresponding to an Adjusted EPS,
basic, of $0.19 for the same period of last year.
-- EBITDA1 for the three months ended September 30, 2024 amounted to $12.2
million, while Adjusted EBITDA1 for the three months ended September 30,
2024 amounted to $13.0 million.
-- An average of 10.4 vessels were owned by the Company during the three
months ended September 30, 2024 compared to 9.1 vessels for the same
period of 2023.
Nine months 2024 Results:
-- Revenues for the nine months ended September 30, 2024 amounted to $121.3
million, a decrease of $32.5 million, or 21.1%, compared to revenues of
$153.8 million for the nine months ended September 30, 2023, primarily
due to a year to date decline of daily spot market rates of suezmax
tankers by approximately 18% and the seasonal weakening of tanker market
rates following the end of the first half of 2024.
-- Voyage expenses and vessels' operating expenses for the nine months ended
September 30, 2024 were $43.6 million and $19.7 million, respectively,
compared to $48.7 million and $20.0 million, respectively, for the nine
months ended September 30, 2023. The $5.1 million decrease in voyage
expenses is mainly attributed to the decreased port expenses by
approximately $3.9 million due to decreased transit through the Suez
Canal and decreased voyage commissions by approximately $1.1 million due
to the lower revenues. The $0.3 million decrease in vessels' operating
expenses was primarily due to the slight decrease in the average number
of vessels.
-- Drydocking costs for the nine months ended September 30, 2024 and 2023
were $1.5 million and $4.1 million, respectively. This decrease is due to
the fact that during the nine months ended September 30, 2024 two tanker
vessels underwent drydocking while in the same period of last year three
of our product tankers and one of our drybulk carriers underwent
drydocking.
-- General and administrative costs for the nine months ended September 30,
2024 and 2023 were $3.9 million and $3.8 million, respectively.
-- Depreciation for the nine months ended September 30, 2024 was $12.5
million, a $0.4 million increase from $12.1 million for the same period
of last year, due to the higher carrying amount of our newly acquired
vessels.
-- Management fees for the nine months ended September 30, 2024 and 2023
were $1.2 million.
-- Other operating income for the nine months ended September 30, 2024 was
$1.9 million and related to the collection of an insurance claim in
connection with repairs undertaken in prior years.
-- Net loss on sale of vessel/ Net gain on sale of vessel - related party
for the nine months ended September 30, 2024 was $1.6 million and related
to the sale of the Aframax tanker Gstaad Grace II to a third party
whereas net gain on sale of vessel for the nine months ended September
30, 2023 was $8.2 million and related to the sale of the Aframax tanker
Afrapearl II (ex. Stealth Berana) to C3is Inc., a related party.
-- Impairment loss for the nine months period ended September 30, 2024 and
2023 stood at nil and $9.0 million, and related to the spin-off of two
drybulk carriers to C3is Inc. The decline of drybulk vessels' fair values,
at the time of the spin off, compared to one year before when these
vessels were acquired resulted in the incurrence of impairment loss.
-- Interest and finance costs for the nine months ended September 30, 2024
and 2023 were $0.1 million and $1.8 million, respectively. The $0.1
million of costs for the nine months ended September 30, 2024 relate
mainly to the accrued interest expense -- related party, in connection
with the $14.0 million, part of the acquisition price of our bulk carrier,
(MORE TO FOLLOW) Dow Jones Newswires
December 02, 2024 09:20 ET (14:20 GMT)
Comments