Safe Bulkers (SB) Q1 2025 earnings summary

Executive summary

• Q1 2025 net revenues were $64.3 million, down 21% year-over-year due to softer charter markets and lower scrubber-related earnings, with net income at $7.2 million, a significant decrease from $25.3 million in Q1 2024.

• Maintained strong liquidity, with $276 million in cash and capital resources as of May 2025.

• Completed delivery of the 12th IMO GHG Phase 3 - NOx Tier III newbuild, with zero vessels in “D” & “E” CII rating.

• Completed a 3 million share repurchase in Q1 2025, representing 2.8% of outstanding shares, and declared a $0.05 per share dividend.

• 14 consecutive quarterly common dividends paid since 2022.

Financial highlights

• Adjusted EBITDA for Q1 2025 was $29.4 million, down from $64.3 million in Q1 2024; adjusted EPS was $0.05, compared to $0.20 in the same period last year.

• Average daily TCE rate was $14,655, down from $18,158 year-over-year.

• Daily vessel operating expenses increased 6% to $5,765; daily G&A expenses rose to $1,608.

• Net cash provided by operating activities was $29.9 million, down from $35.9 million in Q1 2024.

• Cash and equivalents at March 31, 2025, were $120.2 million, with total debt at $519.7 million.

Outlook and guidance

• Global dry bulk demand growth forecasted at 0% for 2025 and 1.5% for 2026, with supply growth at 2% for 2025 and 2.5% for 2026.

• Freight rates and second-hand ship prices expected to soften as supply/demand balance weakens.

• Management expects continued volatility due to seasonality, geopolitical uncertainties, and trade/tariff concerns.

• Focus remains on capital allocation to newbuilds, operational efficiency, and environmental upgrades.

• Scheduled dry-docking downtime is expected to be 96 days in Q2 2025 and 21 days in Q3 2025.