|
GOLDEN OCEAN GROUP LTD.
|
||
|
|
||
|
|
||
|
|
||
|
|
||
|
By:
|
/s/ Peder Simonsen | |
Date: August 29, 2023
|
Name: Peder Simonsen
|
||
|
Title: Principal Financial Officer
|
▪ |
Net income of $34.9 million and earnings per share of $0.17 (basic) for the second quarter of 2023. This compares with a net loss of $8.8 million and loss per share of
$0.04 (basic) for the first quarter of 2023.
|
▪ |
Adjusted EBITDA1 of $80.4 million for the second quarter of 2023, compared with $54.7 million for the first quarter of 2023.
|
▪ |
Reported TCE2 rates for Capesize and Panamax/Ultramax vessels of $19,083 per day and $15,617 per day, respectively, and $17,664 per day for the entire fleet
in the second quarter of 2023.
|
▪ |
Completed the acquisition and took the delivery of six modern Newcastlemax vessels, with last one being delivered after quarter end.
|
▪ |
Taken delivery of four Kamsarmax newbuildings in the second quarter of 2023 and two Kamsarmax newbuildings after the end of the quarter.
|
▪ |
Entered into a $40.0 million facility agreement to partially finance two Kamsarmax newbuildings delivered during the third quarter of 2023, at highly attractive terms.
|
▪ |
Estimated TCE rates, inclusive of charter coverage calculated on a load-to-discharge basis, are approximately:
|
|
• |
$18,300 per day for 79% of Capesize available days and $13,510 per day for 98% of Panamax available days for the third quarter of 2023.
|
|
• |
$21,500 per day for 34% of Capesize days and $16,500 per day for 26% of Panamax days for the fourth quarter of 2023.
|
▪ |
Repurchased 920,243 shares at an aggregate purchase price of $6.9 million, or $7.54 per share. A total of 1.5 million shares at an aggregate purchase price of $11.8
million, or $7.84 per share have been repurchased under the current share repurchase program.
|
▪ |
Announced a cash dividend of $0.10 per share for the second quarter of 2023, which is payable on or about September 19, 2023, to shareholders of record on September 11,
2023. Shareholders holding the Company’s shares through Euronext VPS may receive this cash dividend later on or about September 21, 2023.
|
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
2 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
3 |
|
a. |
84 vessels owned by the Company (52 Capesize and 32 Panamax vessels);
|
|
b. |
Eight Capesize vessels chartered in on long-term leases with profit-sharing arrangements;
|
|
c. |
One Ultramax vessel chartered in; and
|
|
d. |
Four 85,000 dwt Kamsarmax vessels on order.
|
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
4 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
5 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
6 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
7 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
8 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
9 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
10 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
11 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
12 |
Unaudited Interim Condensed Consolidated Statements of Operations
|
|
Unaudited Interim Condensed Consolidated Balance Sheets
|
|
Unaudited Interim Condensed Consolidated Cash Flow Statements
|
|
Unaudited Interim Condensed Consolidated Statements of Changes in Equity
|
|
Selected Notes to the Unaudited Interim Condensed Consolidated Financial Statements
|
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
13 |
(in thousands of $, except per share data)
|
Three months
ended
June 30,
2023
|
Three months
ended
March 31,
2023
|
Three months
ended
June 30,
2022
|
Six months
ended
June 30,
2023
|
Six months
ended
June 30,
2022
|
|||||||||||||||
Operating revenues
|
||||||||||||||||||||
Time charter revenues
|
106,352
|
75,341
|
183,393
|
181,693
|
345,241
|
|||||||||||||||
Voyage charter revenues
|
106,861
|
120,085
|
132,985
|
226,946
|
236,158
|
|||||||||||||||
Other revenues
|
170
|
1,091
|
287
|
1,261
|
450
|
|||||||||||||||
Total operating revenues
|
213,383
|
196,517
|
316,665
|
409,900
|
581,849
|
|||||||||||||||
Gain from disposal of vessels
|
—
|
2,583
|
9,516
|
2,583
|
9,516
|
|||||||||||||||
Other operating income (expenses)
|
—
|
—
|
—
|
—
|
(413
|
)
|
||||||||||||||
Operating expenses
|
||||||||||||||||||||
Voyage expenses and commissions
|
59,395
|
64,231
|
66,628
|
123,626
|
122,901
|
|||||||||||||||
Ship operating expenses
|
62,431
|
61,630
|
50,369
|
124,061
|
108,534
|
|||||||||||||||
Charter hire expenses
|
10,210
|
16,782
|
15,380
|
26,992
|
25,683
|
|||||||||||||||
Administrative expenses
|
5,167
|
4,162
|
5,497
|
9,329
|
10,624
|
|||||||||||||||
Impairment loss on vessels
|
—
|
11,780
|
—
|
11,780
|
—
|
|||||||||||||||
Depreciation
|
32,590
|
31,497
|
32,534
|
64,087
|
64,968
|
|||||||||||||||
Total operating expenses
|
169,793
|
190,082
|
170,408
|
359,875
|
332,710
|
|||||||||||||||
Net operating income
|
43,590
|
9,018
|
155,773
|
52,608
|
258,242
|
|||||||||||||||
Other income (expenses)
|
||||||||||||||||||||
Interest income
|
1,170
|
1,515
|
240
|
2,685
|
294
|
|||||||||||||||
Interest expense
|
(24,184
|
)
|
(22,013
|
)
|
(12,113
|
)
|
(46,197
|
)
|
(22,154
|
)
|
||||||||||
Gain/(loss) on derivatives
|
9,045
|
(2,083
|
)
|
7,127
|
6,962
|
25,877
|
||||||||||||||
Equity results of associated companies
|
4,927
|
4,941
|
12,666
|
9,868
|
27,120
|
|||||||||||||||
Other financial items
|
372
|
(170
|
)
|
86
|
202
|
(242
|
)
|
|||||||||||||
Net other (expenses) income
|
(8,670
|
)
|
(17,810
|
)
|
8,006
|
(26,480
|
)
|
30,895
|
||||||||||||
Net income (loss) before income taxes
|
34,920
|
(8,792
|
)
|
163,779
|
26,128
|
289,137
|
||||||||||||||
Income tax expense
|
30
|
30
|
30
|
60
|
65
|
|||||||||||||||
Net income (loss)
|
34,890
|
(8,822
|
)
|
163,749
|
26,068
|
289,072
|
||||||||||||||
Per share information:
|
||||||||||||||||||||
Earnings (loss) per share: basic
|
$
|
0.17
|
$
|
(0.04
|
)
|
$
|
0.82
|
$
|
0.13
|
$
|
1.44
|
|||||||||
Earnings (loss) per share: diluted
|
$
|
0.17
|
$
|
(0.04
|
)
|
$
|
0.81
|
$
|
0.13
|
$
|
1.43
|
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
14 |
(in thousands of $)
|
As of
June 30, 2023 |
As of
March 31, 2023 |
As of
December 31, 2022 |
|||||||||
ASSETS
|
||||||||||||
Current assets
|
||||||||||||
Cash and cash equivalents
|
103,897
|
118,422
|
134,784
|
|||||||||
Restricted cash
|
3,426
|
4,818
|
3,289
|
|||||||||
Other current assets
|
165,454
|
156,498
|
161,074
|
|||||||||
Total current assets
|
272,777
|
279,738
|
299,147
|
|||||||||
Vessels and equipment, net
|
2,952,894
|
2,693,358
|
2,665,785
|
|||||||||
Vessels held for sale
|
—
|
43,560
|
12,542
|
|||||||||
Newbuildings
|
62,397
|
111,096
|
91,898
|
|||||||||
Finance leases, right of use assets, net
|
76,177
|
79,904
|
83,589
|
|||||||||
Operating leases, right of use assets, net
|
12,988
|
14,324
|
15,646
|
|||||||||
Other long term assets
|
87,048
|
92,561
|
88,684
|
|||||||||
Total assets
|
3,464,281
|
3,314,541
|
3,257,291
|
|||||||||
LIABILITIES AND EQUITY
|
||||||||||||
Current liabilities
|
||||||||||||
Current portion of long-term debt
|
106,372
|
97,402
|
92,865
|
|||||||||
Current portion of finance lease obligations
|
19,007
|
18,720
|
18,387
|
|||||||||
Current portion of operating lease obligations
|
4,900
|
5,646
|
5,546
|
|||||||||
Other current liabilities
|
113,054
|
123,067
|
94,830
|
|||||||||
Total current liabilities
|
243,333
|
244,835
|
211,628
|
|||||||||
Long-term debt
|
1,252,669
|
1,104,316
|
1,027,991
|
|||||||||
Non-current portion of finance lease obligations
|
77,816
|
82,681
|
87,588
|
|||||||||
Non-current portion of operating lease obligations
|
10,907
|
11,576
|
13,051
|
|||||||||
Other long-term liabilities
|
3,825
|
3,389
|
—
|
|||||||||
Total liabilities
|
1,588,550
|
1,446,797
|
1,340,258
|
|||||||||
Equity
|
1,875,731
|
1,867,744
|
1,917,033
|
|||||||||
Total liabilities and equity
|
3,464,281
|
3,314,541
|
3,257,291
|
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
15 |
(in thousands of $)
|
Three months
ended
June 30,
2023
|
Three months
ended
March 31,
2023
|
Three months
ended June 30,
2022
|
Six months
ended
June 30,
2023
|
Six months
ended
June 30,
2022
|
|||||||||||||||
Net income (loss)
|
34,890
|
(8,822
|
)
|
163,749
|
26,068
|
289,072
|
||||||||||||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities;
|
||||||||||||||||||||
Gain from disposal of vessels
|
—
|
(2,583
|
)
|
(9,516
|
)
|
(2,583
|
)
|
(9,516
|
)
|
|||||||||||
Depreciation
|
32,590
|
31,497
|
32,534
|
64,087
|
64,968
|
|||||||||||||||
Impairment loss on vessels
|
—
|
11,780
|
—
|
11,780
|
—
|
|||||||||||||||
Amortization of unfavorable contracts
|
(545
|
)
|
—
|
—
|
(545
|
)
|
—
|
|||||||||||||
Dividends from associated companies
|
1,600
|
15,268
|
945
|
16,868
|
7,497
|
|||||||||||||||
Equity results from associated companies
|
(4,927
|
)
|
(4,941
|
)
|
(12,666
|
)
|
(9,868
|
)
|
(27,120
|
)
|
||||||||||
Mark to market value on derivatives
|
(9,452
|
)
|
5,773
|
(7,541
|
)
|
(3,679
|
)
|
(26,471
|
)
|
|||||||||||
Other, net
|
252
|
1,904
|
1,271
|
2,156
|
239
|
|||||||||||||||
Change in operating assets and liabilities
|
(8,859
|
)
|
26,643
|
(13,300
|
)
|
17,784
|
(19,569
|
)
|
||||||||||||
Net cash provided by operating activities
|
45,549
|
76,519
|
155,476
|
122,068
|
279,100
|
|||||||||||||||
Investing activities
|
||||||||||||||||||||
Additions to vessels and right of use assets
|
(130,146
|
)
|
(123,864
|
)
|
(848
|
)
|
(254,010
|
)
|
(2,242
|
)
|
||||||||||
Additions to newbuildings
|
(98,028
|
)
|
(15,711
|
)
|
(13,727
|
)
|
(113,739
|
)
|
(13,727
|
)
|
||||||||||
Repayments of loans receivable from related parties
|
—
|
925
|
—
|
925
|
5,350
|
|||||||||||||||
Proceeds from sale of vessels
|
43,560
|
15,313
|
51,479
|
58,873
|
51,479
|
|||||||||||||||
Other investing activities, net
|
2
|
2
|
939
|
4
|
941
|
|||||||||||||||
Net cash provided by (used in) investing activities
|
(184,612
|
)
|
(123,335
|
)
|
37,843
|
(307,947
|
)
|
41,801
|
||||||||||||
Financing activities
|
||||||||||||||||||||
Repayment of long-term debt
|
(49,960
|
)
|
(247,545
|
)
|
(305,418
|
)
|
(297,505
|
)
|
(338,648
|
)
|
||||||||||
Proceeds from long-term debt
|
207,140
|
330,000
|
275,000
|
537,140
|
275,000
|
|||||||||||||||
Net proceeds from share distributions
|
—
|
—
|
828
|
—
|
828
|
|||||||||||||||
Debt fees paid
|
(924
|
)
|
(3,592
|
)
|
(2,750
|
)
|
(4,516
|
)
|
(2,750
|
)
|
||||||||||
Dividends paid
|
(20,035
|
)
|
(40,085
|
)
|
(100,443
|
)
|
(60,120
|
)
|
(280,835
|
)
|
||||||||||
Share repurchases
|
(6,943
|
)
|
(509
|
)
|
—
|
(7,452
|
)
|
—
|
||||||||||||
Repayment of finance leases
|
(6,132
|
)
|
(6,286
|
)
|
(7,936
|
)
|
(12,418
|
)
|
(16,192
|
)
|
||||||||||
Net cash provided by (used in) financing activities
|
123,146
|
31,983
|
(140,719
|
)
|
155,129
|
(362,597
|
)
|
|||||||||||||
Net change
|
(15,917
|
)
|
(14,833
|
)
|
52,600
|
(30,750
|
)
|
(41,696
|
)
|
|||||||||||
Cash, cash equivalents and restricted cash at start of period
|
123,240
|
138,073
|
115,721
|
138,073
|
210,017
|
|||||||||||||||
Cash, cash equivalents and restricted cash at end of period
|
107,323
|
123,240
|
168,321
|
107,323
|
168,321
|
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
16 |
(in thousands of $, except for share data)
|
Six months
ended
June 30,
2023
|
Six months
ended
June 30,
2022
|
||||||
Number of shares outstanding
|
||||||||
Balance at beginning of period
|
200,485,621
|
200,435,621
|
||||||
Repurchase of shares
|
(982,328
|
)
|
—
|
|||||
Distribution of treasury shares
|
—
|
450,000
|
||||||
Balance at end of period
|
199,503,293
|
200,885,621
|
||||||
Share capital
|
||||||||
Balance at beginning of period
|
10,061
|
10,061
|
||||||
Shares issued
|
—
|
—
|
||||||
Balance at end of period
|
10,061
|
10,061
|
||||||
Treasury shares
|
||||||||
Balance at beginning of period
|
(5,014
|
)
|
(4,309
|
)
|
||||
Repurchase of shares
|
(7,452
|
)
|
—
|
|||||
Share distribution
|
—
|
2,568
|
||||||
Balance at end of period
|
(12,466
|
)
|
(1,741
|
)
|
||||
Additional paid in capital
|
||||||||
Balance at beginning of period
|
851
|
285
|
||||||
Stock option expense
|
202
|
302
|
||||||
Balance at end of period
|
1,053
|
587
|
||||||
Contributed capital surplus
|
||||||||
Balance at beginning of period
|
1,582,257
|
1,762,649
|
||||||
Distributions to shareholders
|
—
|
(180,392
|
)
|
|||||
Balance at end of period
|
1,582,257
|
1,582,257
|
||||||
Accumulated earnings
|
||||||||
Balance at beginning of period
|
328,878
|
160,055
|
||||||
Distributions to shareholders
|
(60,120
|
)
|
(100,443
|
)
|
||||
Distribution treasury shares
|
—
|
(1,740
|
)
|
|||||
Net income
|
26,068
|
289,072
|
||||||
Balance at end of period
|
294,826
|
346,944
|
||||||
Total equity
|
1,875,731
|
1,938,108
|
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
17 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
18 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
19 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
20 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
21 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
22 |
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
23 |
(in thousands of $)
|
Three months
ended
June 30,
2023
|
Three months
ended
March 31,
2023
|
Three months
ended
June 30,
2022
|
Six months
ended
June 30,
2023
|
Six months
ended
June 30,
2022
|
|||||||||||||||
Net income (loss)
|
34,890
|
(8,822
|
)
|
163,749
|
26,068
|
289,072
|
||||||||||||||
Interest income
|
(1,170
|
)
|
(1,515
|
)
|
(240
|
)
|
(2,685
|
)
|
(294
|
)
|
||||||||||
Interest expense
|
24,184
|
22,013
|
12,113
|
46,197
|
22,154
|
|||||||||||||||
Income tax expense
|
30
|
30
|
30
|
60
|
65
|
|||||||||||||||
Depreciation
|
32,590
|
31,497
|
32,534
|
64,087
|
64,968
|
|||||||||||||||
Amortization of time charter party out contracts
|
(545
|
)
|
—
|
—
|
(545
|
)
|
—
|
|||||||||||||
Earnings before Interest Taxes Depreciation
and Amortization
|
89,979
|
43,203
|
208,186
|
133,182
|
375,965
|
|||||||||||||||
Impairment loss on vessels
|
—
|
11,780
|
—
|
11,780
|
—
|
|||||||||||||||
Gain from sale of vessels
|
—
|
(2,583
|
)
|
(9,516
|
)
|
(2,583
|
)
|
(9,516
|
)
|
|||||||||||
(Gain)/loss on derivatives
|
(9,045
|
)
|
2,083
|
(7,127
|
)
|
(6,962
|
)
|
(25,877
|
)
|
|||||||||||
Other financial items
|
(530
|
)
|
232
|
100
|
(298
|
)
|
430
|
|||||||||||||
Adjusted Earnings before Interest Taxes
Depreciation and Amortization
|
80,404
|
54,715
|
191,643
|
135,119
|
341,002
|
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
24 |
(in thousands of $)
|
Three months
ended
June 30,
2023
|
Three months
ended
March 31,
2023
|
Three months
ended
June 30,
2022
|
Six months
ended
June 30,
2023
|
Six months
ended
June 30,
2022
|
|||||||||||||||
Total operating revenues
|
213,383
|
196,517
|
316,665
|
409,900
|
581,849
|
|||||||||||||||
Add: Amortization of time charter party out contracts
|
(545
|
)
|
—
|
—
|
(545
|
)
|
—
|
|||||||||||||
Add: Other operating income (expenses)
|
—
|
—
|
—
|
—
|
(413
|
)
|
||||||||||||||
Less: Other revenues*
|
170
|
1,091
|
287
|
1,261
|
450
|
|||||||||||||||
Net time and voyage charter revenues
|
212,668
|
195,426
|
316,378
|
408,094
|
580,986
|
|||||||||||||||
Less: Voyage expenses & commission
|
59,395
|
64,231
|
66,628
|
123,626
|
122,901
|
|||||||||||||||
Time charter equivalent income
|
153,273
|
131,195
|
249,750
|
284,468
|
458,085
|
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
25 |
(in thousands of $, except for TCE rate and days)
|
Three months
ended
June 30,
2023
|
Three months
ended
March 31,
2023
|
Three months
ended
June 30,
2022
|
Six months
ended
June 30,
2023
|
Six months
ended
June 30,
2022
|
TCE Income Capesize vessels
|
97,802
|
67,635
|
156,277
|
165,437
|
280,786
|
TCE Income Panamax vessels and Ultramax vessels
|
55,471
|
63,560
|
93,473
|
119,031
|
177,299
|
Total Time charter equivalent income
|
153,273
|
131,195
|
249,750
|
284,468
|
458,085
|
in days
|
|||||
Fleet onhire days Capesize vessels
|
5,125
|
4,966
|
5,097
|
10,091
|
10,122
|
Fleet onhire days Panamax and Ultramax vessels
|
3,552
|
3,822
|
3,389
|
7,374
|
6,927
|
Total Fleet onhire days
|
8,677
|
8,788
|
8,486
|
17,465
|
17,049
|
in $ per day
|
|||||
TCE per day Capesize vessels
|
19,083
|
13,620
|
30,661
|
16,395
|
27,740
|
TCE per day Panamax and Ultramax vessels
|
15,617
|
16,630
|
27,581
|
16,142
|
25,595
|
Time charter equivalent rate
|
17,664
|
14,929
|
29,431
|
16,288
|
26,869
|
GOLDEN OCEAN GROUP LIMITED, SECOND QUARTER 2023
|
||
26 |