Performance Shipping (PSHG) Q2 2024 earnings summary

Executive summary

• Net income for Q2 2024 was $10.2 million, down from $18.4 million in Q2 2023; net income attributable to common stockholders was $9.7 million, compared to $17.9 million year-over-year.

• Revenue for Q2 2024 was $20.5 million, a decrease from $31.5 million in Q2 2023, mainly due to lower TCE rates and fewer ownership days after a vessel sale.

• For the six months ended June 30, 2024, net income was $21.6 million, down from $34.1 million in the same period last year.

• The company maintains a strong cash position, with $62.7 million in cash and restricted cash at quarter-end.

Financial highlights

• Q2 2024 revenue: $20.5 million; Q2 2023: $31.5 million.

• Q2 2024 net income: $10.2 million; Q2 2023: $18.4 million.

• Six-month 2024 net income: $21.6 million; six-month 2023: $34.1 million.

• Q2 2024 TCE rate: $30,970; Q2 2023: $41,868.

• Net cash from operating activities in Q2 2024: $14.4 million, down from $22.1 million in Q2 2023.

Outlook and guidance

• Management expects the tanker market to remain firm, supported by trade pattern shifts and limited supply growth.

• Fleet deployment strategy will balance short- and medium-term time charters with spot market exposure.

• Three new LNG-ready LR2 Aframax tankers and one LR1 chemical/product tanker are on order, with deliveries from late 2025 to early 2027.

• Secured five-year time charters for newbuilds will generate $169.8 million in gross revenue.