Taylor Maritime Investments (TMI) Trading Update summary

Financial performance and capital allocation

• Charter revenue for Q1 FY25 was $37.3m, down from $61.8m in Q1 FY24 due to a smaller fleet and softer market rates.

• Average TCE earnings were $11,284 per day, outperforming benchmarks by 11% (Handysize) and 20% (Supra/Ultramax).

• Declared a 2 US cent interim dividend per share, maintaining the regular quarterly payout.

• Net proceeds from vessel sales and cash were used to fully repay all bank debt in July; remaining debt is $46.4m, mainly from sale-leasebacks.

• Cash and cash equivalents stood at $62.4m at quarter end, supporting strategic flexibility.

Fleet and portfolio developments

• 49 vessel disposals since January 2023 generated $806.9m in gross proceeds, with 10 sales since the last update totaling $176.3m at an average 1.1%–3.1% below FMV.

• Fleet reduced to 18 Japanese-built vessels at quarter end, expected to decrease to 8 after announced sales, with an average age of 10.7 years.

• Fleet value at 30 June 2025 was $338.0m, a 6.6% decrease quarter-on-quarter.

• 60% of covered fleet ship days for the year are secured at an average TCE rate of $12,915 per day.

• Six additional vessel sales in 2H CY25 are expected to generate $128.7m in gross proceeds.

Market conditions and outlook

• US-China tariff pause improved sentiment, but risks remain; direct impact on dry bulk trade has been limited so far.

• Supra/Ultramax values declined amid cautious outlook due to forecast deliveries and low demolition rates.

• Dry bulk demand expected to be modest for the rest of 2025 due to trade protectionism and lower global GDP growth.

• Red Sea disruptions continue, with no near-term return to normal transit activity, supporting tonne-mile demand.

• Medium-term outlook constructive, with net supply growth forecasts of 4.6% in 2025 and 3.8% in 2026, and a significant portion of the fleet approaching scrapping age.