Navios Maritime Holdings Inc. Reports Financial Results for the Fourth Quarter and Year Ended December 31, 2012
by Marketwire
PIRAEUS, GREECE -- (Marketwire) -- 02/19/13 -- Navios Maritime Holdings Inc. (NYSE: NM)
- $166.0 million Net Income for the Full Year 2012
- $146.6 million Net Income for Q4 2012
- $352.6 million Liquidity
- $390.0 million EBITDA for the Full Year 2012
- $205.6 million EBITDA for Q4 2012
- Dividend of $0.06 per share for Q4 2012
Navios Maritime Holdings Inc. ("Navios Holdings" or "the Company") (NYSE: NM), a global, vertically integrated seaborne shipping and logistics company, today reported financial results for the fourth quarter and year ended December 31, 2012.
Angeliki Frangou, Chairman and Chief Executive Officer of Navios Holdings stated, "I believe that Navios Holdings is poised to capture any upturn in the market. During the past few years, as the maritime industry suffered, we focused our energies on controlling that which we could. Today, we not only have excellent cost controls and superb technical management capabilities, we also have a strong balance sheet. As a result, we continue returning capital to our shareholders through dividend payments and declared a $0.06 dividend for Q4 2012 to shareholders of record on March 20, 2013."
HIGHLIGHTS -- RECENT DEVELOPMENTS
Navios Holdings
Credit Default Insurance Settlement
In Q4 of 2012, Navios Holdings restructured the insurance arrangement with its credit default insurer. In connection with this restructuring, Navios Holdings received:
(i) a $175.4 million lump sum cash payment from the credit default insurer; and
(ii) $41.2 million of revenue covered under the restructured credit default insurance policy.
As part of restructuring of the credit default insurance and pursuant to the management agreement between the parties, Navios Holdings agreed to provide supplemental charter insurance for $76.7 million of charters to Navios Maritime Partners L.P. ("Navios Partners"), with a maximum cash payment of $20.0 million.
Navios Holdings has $41.2 million of charters participating in the pool insurance coverage from its credit default insurer. The pool insurance covers charters totaling $217.1 million of both Navios Holdings and Navios Partners, with a maximum cash payment of $120.0 million.
Liquidity
Net Debt to Total Capitalization was 42% as of December 31, 2012. Navios Holdings' total liquidity, including lines of credit, as of December 31, 2012 was approximately $352.6 million.
Time Charter Coverage
As of February 18, 2013, Navios Holdings had chartered-out 46.8% and 8.6% of available days for 2013 and 2014, respectively, equivalent to $93.2 million and $32.7 million in revenue, respectively. The average daily charter-out rate for the core fleet is $13,411 and $25,595 for 2013 and 2014, respectively. The average daily charter-in rate for the active long-term charter-in vessels for 2013 is $13,927.
The above figures do not include the fleet of Navios South American Logistics Inc. ("Navios Logistics") and vessels servicing Contracts of Affreightment.
Dividend Policy
On February 15, 2013, the Board of Directors declared a quarterly cash dividend for the fourth quarter of 2012 of $0.06 per share of common stock. The dividend is payable on March 27, 2013 to stockholders of record as of March 20, 2013. The declaration and payment of any further dividend remain subject to the discretion of the Board and will depend on, among other things, Navios Holdings' cash requirements after taking into account market opportunities, restrictions under its credit agreements and other debt obligations and such other factors as the Board may deem advisable.
Navios Logistics
On February 8, 2013, Navios Logistics agreed to acquire Energias Renovables del Sur S.A. ("Energias"), an Uruguayan company, for a total consideration of $2.0 million. Energias controls approximately 12 hectares of undeveloped land located in the Nueva Palmira free zone in Uruguay, near to Navios Logistics' existing port. Navios Logistics plans on developing this land in expanding its port operations.
Navios Partners
On February 14, 2013, Navios Holdings received $7.3 million representing the cash dividend from Navios Partners for the fourth quarter of 2012.
Navios Maritime Acquisition Corporation ("Navios Acquisition")
On January 4, 2013, Navios Holdings received $1.3 million representing the cash dividend from Navios Acquisition for the third quarter of 2012.
Fleet Profile
Navios Holdings controls a fleet of 50 vessels totaling 5.1 million dwt, of which 30 are owned and 20 are chartered-in under long-term charters (collectively, the "Core Fleet"). Navios Holdings currently operates 46 vessels (16 Capesize, 10 Panamax, 18 Ultra-Handymax and two Handysize) totaling 4.7 million dwt. Additionally, Navios Holdings has four newbuilding charter-in vessels expected to be delivered at various dates through December 2013. The current average age of the operating fleet is 6.0 years.
Exhibit II provides certain details of the "Core Fleet" of Navios Holdings. It does not include the fleet of Navios Logistics.
Financial Highlights
Fourth Quarter 2012 and 2011 Results (in thousands of U.S. dollars, except per share data and unless otherwise stated):
The fourth quarter 2012 and 2011 information presented below was derived from the unaudited condensed consolidated financial statements for the respective periods. EBITDA is a non-U.S. GAAP financial measure and should not be used in isolation or as substitution for Navios Holdings' results.
See Exhibit I under the heading, "Disclosure of Non-GAAP Financial Measures," for a discussion of EBITDA of Navios Holdings, on a consolidated basis, and Navios Logistics, and a reconciliation of such measure to the most comparable measure under U.S. GAAP.
Three Month Period Three Month Period
Ended Ended
December 31, December 31,
2012 2011
------------------ ------------------
(unaudited) (unaudited)
Revenue $ 128,457 $ 168,420
EBITDA (*) $ 205,562 $ 63,914
Net Income (*) $ 146,614 $ 11,816
Basic Earnings Per Share (*) $ 1.44 $ 0.11
(*) EBITDA for the three months ended December 31, 2012 includes a $161.2
million gain from defaulted charters' compensation and related
accounts, net.
Net Income and Basic Earnings Per Share for the three months ended
December 31, 2012 also includes the item described in the immediately
preceding paragraph, and a $4.1 million accelerated amortization of
intangibles.
EBITDA, Net Income and Basic Earnings Per Share for the three months
ended December 31, 2011 includes a $1.7 million accounting loss related
to the settlement in shares of part of the outstanding receivables from
Korea Line Corporation.
Revenue from drybulk vessel operations for the three months ended December 31, 2012 was $69.9 million as compared to $101.6 million for the same period during 2011. The decrease in drybulk revenue was mainly attributable to (i) a decrease in the time charter equivalent rate ("TCE") per day by 39.2% to $12,805 per day in the fourth quarter of 2012 as compared to $21,068 per day in the same period of 2011 and (ii) a decrease in the short-term charter-in fleet available days of 367 days. This decrease was partially offset by (i) an increase in available days for owned vessels by 6.8% to 2,741 days in the fourth quarter of 2012 from 2,566 days in the same period of 2011 and (ii) an increase in the long-term charter-in fleet available days of 436 days.
Revenue from the logistics business was $58.6 million for the three months ended December 31, 2012 as compared to $66.8 million for the same period of 2011.This decrease was mainly attributable to the decrease in the Paraguayan liquid port's volume of products sold and a decrease in revenues from liquid cargo transportation in the barge business.
EBITDA of Navios Holdings for the three months ended December 31, 2012 increased by $141.7 million to $205.6 million as compared to $63.9 million for the same period of 2011. The $141.7 million increase in EBITDA was primarily due to: (i) a $10.4 million decrease in time charter, voyage and logistics business expenses; (ii) a $0.2 million increase in gains from derivatives; (iii) a $1.2 million increase in equity in net earnings from affiliated companies; (iv) a $1.0 million decrease in direct vessel expenses (excluding the amortization of deferred drydock and special survey costs) and (v) a $170.6 million increase in other income, net (positively affected from defaulted charters' compensation and related accounts, net). The overall variance of $183.4 million was mitigated by: (i) a decrease in revenue of $40.0 million (affected by defaulted charters' loss and the accounting loss related to the settlement in shares of part of the outstanding receivables from Korea Line Corporation in 2011); (ii) an increase in general and administrative expenses of $1.6 million (excluding share based compensation expenses); and (iii) a $0.1 million increase in net income attributable to the noncontrolling interest.
EBITDA of Navios Logistics was $10.9 million for the three month period ended December 31, 2012 as compared to $10.1 million for the same period in 2011.
Net income of Navios Holdings for the three months ended December 31, 2012 was $146.6 million as compared to $11.8 million for the same period of 2011. The increase of Net Income by $134.8 million was mainly due to: (i) an increase in EBITDA of $141.7 million; (ii) a decrease in share-based compensation expense of $0.1 million and (iii) a decrease in income taxes of $0.1 million. This increase was partially offset by: (i) an increase in interest income/expense and finance cost, net of $ 1.8 million; (ii) an increase in depreciation and amortization of $4.9 million (including the accelerated amortization of intangibles); and (iii) an increase of $0.4 million in amortization for deferred drydock and special survey costs.
Year Ended December 31, 2012 and 2011 Results (in thousands of U.S. dollars, except per share data and unless otherwise stated):
The information for the year ended December 31, 2012 and 2011 (excluding consolidation of Navios Acquisition, with respect to the year ended December 31, 2011) presented below was derived from the unaudited condensed consolidated financial statements for the respective periods. EBITDA is a non-U.S. GAAP financial measure, and should not be used in isolation or as substitution for Navios Holdings' results.
From March 30, 2011, Navios Acquisition is no longer consolidated and is accounted for under the equity method of accounting. The table and the discussion below (with respect to the year ended December 31, 2011) exclude the impact of Navios Acquisition and are presented to provide investors with a clearer picture of Navios Holdings on a going forward basis.
See Exhibit I under the heading, "Disclosure of Non-GAAP Financial Measures," for a discussion of EBITDA of Navios Holdings, on a consolidated basis, Navios Acquisition and Navios Logistics, and a reconciliation of such measure to the most comparable measure under U.S. GAAP.
(Excluding
consolidation of
Navios Acquisition)
Year Ended Year Ended
December 31, December 31,
2012 2011
------------------- -------------------
(unaudited) (unaudited)
Revenue $ 616,494 $ 664,225
EBITDA (*) $ 389,986 $ 245,889
Net Income (*) $ 165,988 $ 42,267
Basic Earnings Per Share (*) $ 1.62 $ 0.40
(*) EBITDA for year ended December 31, 2012 includes (i) a $161.2 million
gain from defaulted charters' compensation and related accounts, net;
and (ii) a $0.3 million gain on the sale of the Navios Buena Ventura to
Navios Partners.
Net Income and Basic Earnings Per Share for the year ended December 31,
2012 includes items (i) and (ii) described in the immediately preceding
paragraph, and a $4.1 million accelerated amortization of intangibles.
EBITDA, Net Income and Basic Earnings Per Share for the year ended
December 31, 2011 include: (i) $21.2 million of expenses relating to
the bond extinguishment in January 2011; (ii) a $35.3 million loss on
deconsolidation of Navios Acquisition; (iii) a $38.8 million gain on
the sale of Navios Luz and Navios Orbiter to Navios Partners; and (iv)
a $1.7 million accounting loss related to the settlement in shares of
part of the outstanding receivables from Korea Line Corporation.
Navios Holdings' total consolidated revenue for the year ended December 31, 2012 decreased by $47.7 million to $616.5 million as compared to $664.2 million for the same period during 2011.
Revenue from drybulk vessel operations for the year ended December 31, 2012 was $369.5 million as compared to $429.5 million for the same period during 2011. The decrease in drybulk revenue was mainly attributable to: (i) a decrease in TCE per day by 21.2% to $18,167 per day during the year ended December 31, 2012 as compared to $23,064 per day in the same period of 2011 and (ii) a decrease in the short-term charter-in fleet available days of 1,544 days. This decrease was partially offset by: (i) an increase in available days for owned vessels by 5.3% to 10,757 days during year ended December 31, 2012 from 10,214 days in the same period of 2011 and (ii) an increase in the long-term charter-in fleet available days of 2,167 days.
Revenue from the logistics business was $247.0 million for the year ended December 31, 2012 as compared to $234.7 million during the same period of 2011. This increase was mainly attributable to: (i) increase in volumes and rates in the dry and liquid port terminals; (ii) increase due to the expansion of the barge fleet in the third and fourth quarter of 2011; and (iii) increase in time charter rates of cabotage vessels.
EBITDA of Navios Holdings for the year ended December 31, 2012 increased by $144.1 million to $390.0 million as compared to $245.9 million for the same period of 2011. The $144.1 million increase in EBITDA was primarily due to: (i) a $3.6 million decrease in time charter, voyage and logistics business expenses; (ii) a decrease in general and administrative expenses of $1.0 million (excluding share based compensation expenses); (iii) an increase in equity in net earnings from affiliated companies of $2.2 million; (iv) a $0.6 million increase in net income attributable to the noncontrolling interest; (v) a $172.6 million increase in other income, net (positively affected from defaulted charters' compensation and related accounts, net); (vi) a $35.3 million loss on deconsolidation of Navios Acquisition in 2011; and (vii) $21.2 million of expenses relating to the bond extinguishment in January 2011. This overall variance of $236.5 million was mitigated by: (i) a decrease in revenue of $47.7 million (affected by defaulted charters' loss and the accounting loss related to the settlement in shares of part of the outstanding receivables from Korea Line Corporation in 2011); (ii) an increase in direct vessel expenses (excluding the amortization of deferred drydock and special survey costs) of $6.2 million; and (iii) a decrease in gain from sale of assets of $38.5 million.
EBITDA of Navios Logistics was $48.1 million for the year ended December 31, 2012 as compared to $39.0 million during the same period in 2011.
Net income of Navios Holdings for the year ended December 31, 2012 was $166.0 million as compared to $42.3 million for the same period of 2011. The increase of Net Income by $123.7 million was mainly due to an increase in EBITDA of $144.1 million. This increase was mitigated by: (i) an increase in interest income/expense and finance cost, net of $8.8 million; (ii) an increase in depreciation and amortization of $8.9 million (including the accelerated amortization of intangibles); (iii) an increase of $1.9 million in amortization for deferred drydock and special survey costs; (iv) an increase of $0.5 million in share-based compensation expense; and (v) an increase in income taxes of $0.3 million.
Fleet Summary Data:
The following table reflects certain key indicators indicative of the performance of the Navios Holdings' drybulk operations (excluding the Navios Acquisition and the Navios Logistics fleets) and its fleet performance for the three and twelve month periods ended December 31, 2012 and 2011.
Three Month Three Month
Period Ended Period Ended Year Ended Year Ended
December 31, December 31, December 31, December 31,
2012 2011 2012 2011
------------ ------------ ------------ ------------
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
Available Days (1) 4,474 4,230 17,589 16,423
Operating Days (2) 4,391 4,139 17,273 16,201
Fleet Utilization
(3) 98.2% 97.8% 98.2% 98.7%
Equivalent Vessels
(4) 49 46 48 45
TCE (5) $ 12,805 $ 21,068 $ 18,167 $ 23,064
(1) Available days for the fleet are total calendar days the vessels were
in Navios Holdings' possession for the relevant period after
subtracting off-hire days associated with major repairs, drydocking or
special surveys. The shipping industry uses available days to measure
the number of days in a relevant period during which vessels should be
capable of generating revenues.
(2) Operating days are the number of available days in the relevant period
less the aggregate number of days that the vessels are off-hire due to
any reason, including unforeseen circumstances. The shipping industry
uses operating days to measure the aggregate number of days in a
relevant period during which vessels actually generate revenues.
(3) Fleet utilization is the percentage of time that Navios Holdings'
vessels were available for generating revenue, and is determined by
dividing the number of operating days during a relevant period by the
number of available days during that period. The shipping industry uses
fleet utilization to measure a company's efficiency in finding suitable
employment for its vessels.
(4) Equivalent Vessels is defined as the total available days during a
relevant period divided by the number of days of this period.
(5) TCE is defined as voyage and time charter revenues less voyage expenses
during a relevant period divided by the number of available days during
the period
Conference Call:
As previously announced, Navios Holdings will host a conference call today, February 19, 2013, at 8:30 am EST, at which time members of senior management will provide highlights and commentary on the financial results of the Company for the fourth quarter and twelve months ended December 31, 2012.
A supplemental slide presentation will be available on the Navios Holdings website at www.navios.com under the "Investors" section at 8:00 am EST.
Conference Call details:
Call Date/Time: February 19, 2013, at 8:30 am EST
Call Title: Navios Holdings Inc. Q4 and FY 2012 Financial Results Conference Call
US Dial In: +1.877.480.3873
International Dial In: +1.404.665.9927
Conference ID: 8968 0240
The conference call replay will be available two hours after the live call and remain available for one week at the following numbers:
US Replay Dial In: +1.800.585.8367
International Replay Dial In: +1.404.537.3406
Conference ID: 8968 0240
This call will be simultaneously Webcast. The Webcast will be available on the Navios Holdings website, www.navios.com, under the "Investors" section. The Webcast will be archived and available at the same Web address for two weeks following the call.
About Navios Maritime Holdings Inc.
Navios Maritime Holdings Inc. (NYSE: NM) is a global, vertically integrated seaborne shipping and logistics company focused on the transport and transshipment of drybulk commodities including iron ore, coal and grain. For more information about Navios Holdings please visit our website: www.navios.com.
About Navios South American Logistics Inc.
Navios South American Logistics Inc. is one of the largest logistics companies in the Hidrovia region of South America, focusing on the Hidrovia region river system, the main navigable river system in the region, and on cabotage trades along the eastern coast of South America. Navios Logistics serves the storage and marine transportation needs of its petroleum, agricultural and mining customers through its port terminals, river barge and coastal cabotage operations. For more information about Navios Logistics please visit its website: www.navios-logistics.com.
About Navios Maritime Partners L.P.
Navios Partners (NYSE: NMM) is a publicly traded master limited partnership which owns and operates dry cargo vessels. For more information, please visit its website: www.navios-mlp.com.
About Navios Maritime Acquisition Corporation
Navios Acquisition (NYSE: NNA) is an owner and operator of tanker vessels focusing in the transportation of petroleum products (clean and dirty) and bulk liquid chemicals. For more information about Navios Acquisition, please visit its website: www.navios-acquisition.com.
Forward Looking Statements - Safe Harbor
This press release contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events and Navios Holdings' growth strategy and measures to implement such strategy, including expected vessel acquisitions and entering into further time charters. Words such as "expects," "intends," "plans," "believes," "anticipates," "hopes," "estimates," and variations of such words and similar expressions are intended to identify forward-looking statements. Such statements include comments regarding expected revenues and time charters. Although Navios Holdings believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve known and unknown risks and are based upon a number of assumptions and estimates which are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of Navios Holdings. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to changes in the demand for drybulk vessels; competitive factors in the market in which Navios Holdings operates; risks associated with operations outside the United States; and other factors listed from time to time in Navios Holdings' filings with the Securities and Exchange Commission. Navios Holdings expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Navios Holdings' expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.
EXHIBIT I
NAVIOS MARITIME HOLDINGS INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Expressed in thousands of U.S. dollars -- except share data)
December 31, December 31,
2012 2011
------------ ------------
(unaudited) (unaudited)
ASSETS
Current assets
Cash and cash equivalents $ 257,868 $ 171,096
Restricted cash 24,704 6,399
Accounts receivable, net 83,091 101,386
Due from affiliate companies 50,837 49,404
Prepaid expenses and other current assets 51,437 42,689
------------ ------------
Total current assets 467,937 370,974
------------ ------------
Deposit for vessel acquisitions -- 63,814
Vessels, port terminal and other fixed assets,
net 1,746,493 1,767,946
Loan receivable from affiliate company 35,000 40,000
Long term receivable from affiliate companies 57,701 --
Investments in affiliates 187,794 117,088
Investments in available for sale securities 559 82,904
Other long term assets 64,457 67,489
Intangibles other than goodwill 209,058 243,273
Goodwill 160,336 160,336
------------ ------------
Total non-current assets 2,461,398 2,542,850
------------ ------------
Total assets $ 2,929,335 $ 2,913,824
============ ============
LIABILITIES AND EQUITY
Current liabilities
Accounts payable $ 63,921 $ 52,113
Dividends payable -- 6,149
Accrued expenses 75,681 63,870
Deferred income and cash received in advance 12,696 28,557
Current portion of capital lease obligations 1,353 31,221
Current portion of long term debt 33,095 70,093
------------ ------------
Total current liabilities 186,746 252,003
------------ ------------
Senior and ship mortgage notes, net of discount 1,034,141 945,538
Long term debt, net of current portion 290,976 437,926
Capital lease obligations, net of current portion 23,759 --
Unfavorable lease terms 32,006 44,825
Other long term liabilities and deferred income 29,643 38,212
Deferred tax liability 18,522 19,628
------------ ------------
Total non-current liabilities 1,429,047 1,486,129
------------ ------------
Total liabilities 1,615,793 1,738,132
------------ ------------
Commitments and contingencies -- --
Stockholders' equity
Preferred Stock -- $0.0001 par value, authorized
1,000,000 shares, 8,479 issued and outstanding
for both December 31, 2012 and 2011. -- --
Common stock -- $0.0001 par value, authorized
250,000,000 shares, issued and outstanding
103,255,409 and 102,409,364, as of December 31,
2012 and 2011,respectively 10 10
Additional paid-in capital 547,377 542,582
Accumulated other comprehensive (loss)/income (558) 6,166
Retained earnings 650,050 510,348
------------ ------------
Total Navios Holdings' stockholders' equity 1,196,879 1,059,106
------------ ------------
Noncontrolling interest 116,663 116,586
------------ ------------
Total stockholders'equity 1,313,542 1,175,692
------------ ------------
Total liabilities and stockholders'equity $ 2,929,335 $ 2,913,824
============ ============
NAVIOS MARITIME HOLDINGS INC.
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(Expressed in thousands of U.S. dollars -- except share and per share data)
Three Month Three Month
Period Ended Period Ended Year Ended Year Ended
December 31, December 31, December 31, December 31,
2012 2011 2012 2011
------------ ------------ ------------ ------------
(unaudited) (unaudited) (unaudited) (unaudited)
Revenue $ 128,457 $ 168,420 $ 616,494 $ 689,355
Time charter, voyage
and logistics
business expenses (65,774) (76,188) (269,279) (273,312)
Direct vessel
expenses (26,167) (26,788) (117,790) (117,269)
General and
administrative
expenses (15,239) (13,731) (51,331) (52,852)
Depreciation and
amortization (29,932) (25,055) (108,206) (107,395)
Interest
income/(expense)
and finance cost,
net (25,981) (24,219) (103,479) (103,061)
Gain/(loss) on
derivatives 79 (80) (196) (165)
Gain on sale of
assets -- -- 323 38,822
Loss on change in
control -- -- -- (35,325)
Loss on bond
extinguishment -- -- -- (21,199)
Other
income/(expense),
net 167,144 (3,412) 161,110 (11,569)
------------ ------------ ------------ ------------
Income/(loss) before
equity in net
earnings of
affiliated
companies 132,587 (1,053) 127,646 6,030
Equity in net
earnings of
affiliated
companies 13,772 12,544 38,731 35,246
------------ ------------ ------------ ------------
Income before taxes $ 146,359 $ 11,491 $ 166,377 $ 41,276
Income tax
(expense)/benefit (31) (80) (312) 56
------------ ------------ ------------ ------------
Net income 146,328 11,411 166,065 41,332
Less: Net
loss/(income)
attributable to the
noncontrolling
interest 286 405 (77) (506)
Preferred stock
dividends of
subsidiary -- -- -- (27)
Preferred stock
dividends
attributable to the
noncontrolling
interest -- -- -- 12
------------ ------------ ------------ ------------
Net income
attributable to
Navios Holdings
common stockholders $ 146,614 $ 11,816 $ 165,988 $ 40,811
============ ============ ============ ============
Income attributable
to Navios Holdings
common
stockholders, basic $ 146,187 $ 11,388 $ 164,283 $ 39,115
============ ============ ============ ============
Income attributable
to Navios Holdings
common
stockholders,
diluted $ 146,614 $ 11,816 $ 165,988 $ 40,811
============ ============ ============ ============
Basic earnings per
share attributable
to Navios Holdings
common stockholders $ 1.44 $ 0.11 $ 1.62 $ 0.39
============ ============ ============ ============
Weighted average
number of shares,
basic 101,326,887 100,939,063 101,232,720 100,926,448
============ ============ ============ ============
Diluted earnings per
share attributable
to Navios Holdings
common stockholders $ 1.32 $ 0.11 $ 1.49 $ 0.37
============ ============ ============ ============
Weighted average
number of shares,
diluted 111,107,512 110,395,599 111,033,758 110,323,652
============ ============ ============ ============
Other Comprehensive
income/(loss)
Unrealized holding
gains/(losses) on
investments in
available for sale
securities 41 8,075 (566) (26,458)
Reclassification to
investments in
affiliates -- -- (6,158) --
------------ ------------ ------------ ------------
Total other
comprehensive
income/(loss) 41 8,075 (6,724) (26,458)
============ ============ ============ ============
Total comprehensive
income 146,369 19,486 159,341 14,859
Comprehensive
loss/(income)
attributable to
noncontrolling
interest 286 405 (77) (506)
------------ ------------ ------------ ------------
Total comprehensive
income attributable
to Navios Holdings
common stockholders 146,655 19,891 159,264 14,353
============ ============ ============ ============
NAVIOS MARITIME HOLDINGS INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in thousands of U.S. dollars)
Year Ended Year Ended
December 31, December 31,
2012 2011
------------- -------------
(unaudited) (unaudited)
OPERATING ACTIVITIES:
Net income $ 166,065 $ 41,332
Adjustments to reconcile net income to net
cash provided by operating activities:
Non-cash adjustments 150,945 131,470
Increase in operating assets (48,057) (77,023)
(Decrease)/increase in operating liabilities (20,646) 23,633
Payments for drydock and special survey costs (14,461) (12,769)
------------- -------------
Net cash provided by operating activities $ 233,846 $ 106,643
------------- -------------
INVESTING ACTIVITIES:
Cash acquired through asset acquisition 33 --
Deconsolidation of Navios Acquisition -- (72,425)
Acquisition of subsidiary, net of cash
acquired -- --
Proceeds from sale of assets 67,500 120,000
Decrease in restricted cash -- 778
Receipts from investment in finance lease -- --
Loan repayment from affiliate company 10,000 6,000
Loan proceeds to affiliate company (11,120) (33,609)
Deposits for vessel acquisitions -- (66,769)
Acquisition of General Partner units (1,472) (2,052)
Acquisition of vessels (38,357) (56,059)
Purchase of property, equipment and other
fixed assets (19,333) (71,128)
------------- -------------
Net cash provided by/(used in) investing
activities $ 7,251 $ (175,264)
------------- -------------
FINANCING ACTIVITIES:
Proceeds from long-term loans 52,230 86,379
Proceeds from issuance of ship mortgage and
senior notes, net of debt issuance costs 84,965 534,188
Repayment of long-term debt and payment of
principal (236,178) (248,487)
Repayment of senior notes -- (300,000)
Payments of obligations under capital leases (1,519) (1,040)
Debt issuance costs (1,858) (2,767)
Increase in restricted cash (19,623) (284)
Acquisition of noncontrolling interest -- (8,638)
Issuance of common stock 93 415
Dividends paid (32,435) (27,238)
Acquisition of treasury stock -- (221)
------------- -------------
Net cash (used in)/provided by financing
activities (154,325) 32,307
------------- -------------
Increase/(decrease) in cash and cash
equivalents 86,772 (36,314)
------------- -------------
Cash and cash equivalents, beginning of year 171,096 207,410
------------- -------------
Cash and cash equivalents, end of year $ 257,868 $ 171,096
============= =============
Disclosure of Non-GAAP Financial Measures
EBITDA represents net income plus interest and finance costs plus depreciation and amortization and income taxes, if any, unless otherwise stated. EBITDA is a "non-GAAP financial measure" and should not be considered a substitute for net income, cash flow from operating activities and other operations or cash flow statement data prepared in accordance with generally accepted accounting principles in the United States or as a measure of profitability or liquidity.
EBITDA is presented to provide additional information with respect to the ability of Navios Holdings and Navios Acquisition to satisfy their respective obligations including debt service, capital expenditures and working capital requirements. While EBITDA is frequently used as a measure of operating results and the ability to meet debt service requirements, the definition of EBITDA used here may not be comparable to that used by other companies due to differences in methods of calculation.
Navios Logistics EBITDA is used to measure company's operating performance.
The following tables provide a reconciliation of EBITDA of Navios Holdings, Navios Acquisition and Navios Logistics, which in the case of Navios Holdings is on a consolidated basis:
Navios Holdings Reconciliation of EBITDA to Cash from Operations
December 31, December 31,
Three Months Ended 2012 2011
------------- -------------
(in thousands of U.S. dollars) (unaudited) (unaudited)
Net cash provided by operating activities $ 172,135 $ 48,598
Net decrease in operating assets (17,641) (40,603)
Net decrease in operating liabilities 34,451 27,245
Net interest cost 25,981 24,219
Deferred finance charges (1,554) (1,254)
Provision for losses on accounts receivable (16,694) (120)
Unrealized gain on FFA derivatives 49 43
Equity in affiliates, net of dividends
received 2,619 1,498
Payments for drydock and special survey 5,930 3,883
Noncontrolling interest 286 405
------------- -------------
EBITDA $ 205,562 $ 63,914
------------- -------------
Navios Logistics EBITDA Reconciliation to Net Loss
December 31, December 31,
Three Months Ended 2012 2011
------------- -------------
(in thousands of U.S. dollars) (unaudited) (unaudited)
Net loss attributable to Navios Logistics
shareholders $ (748) $ (1,179)
Depreciation and amortization 6,866 6,007
Amortization of deferred drydock and special
survey costs 312 275
Interest income (104) (136)
Interest expense and finance cost, net 4,598 5,096
Income tax expense (39) 8
------------- -------------
EBITDA $ 10,885 $ 10,071
============= =============
Navios Holdings Reconciliation of EBITDA to Cash from Operations
December 31, December 31,
Twelve Months Ended 2012 2011
------------- -------------
(in thousands of U.S. dollars) (unaudited) (unaudited)
Net cash provided by operating activities $ 233,846 $ 106,643
Net increase in operating assets 48,057 77,023
Net decrease/(increase) in operating
liabilities 20,646 (23,633)
Net interest cost 103,479 103,061
Deferred finance charges (6,309) (5,580)
Provision for losses on accounts receivable (17,136) (239)
Unrealized loss on FFA derivatives (124) (5,284)
Equity in affiliates, net of dividends
received (7,180) (6,909)
Payments for drydock and special survey 14,461 12,769
Noncontrolling interest (77) (521)
Gain on sale of assets 323 38,822
Loss on change in control -- (35,325)
------------- -------------
EBITDA $ 389,986 $ 260,827
============= =============
Navios Acquisition Reconciliation of EBITDA to Cash from Operations
December 31, December 31,
Twelve Months Ended 2012 2011
------------- -------------
(in thousands of U.S. dollars) (unaudited) (unaudited)
Net cash provided by operating activities $ -- $ 18,749
Net decrease in operating assets -- (4,117)
Net increase in operating liabilities -- (6,613)
Net interest cost -- 8,349
Deferred finance charges -- (318)
Equity in affiliates, net of dividends
received -- (1,300)
Noncontrolling interest -- 188
------------- -------------
EBITDA $ -- $ 14,938
============= =============
Navios Logistics EBITDA Reconciliation to Net Income/(Loss)
December 31, December 31,
Twelve Months Ended 2012 2011
------------- -------------
(in thousands of U.S. dollars) (unaudited) (unaudited)
Net income/(loss) attributable to Navios
Logistics shareholders $ 156 $ (196)
Depreciation and amortization 26,940 22,616
Amortization of deferred drydock and special
survey costs 1,332 718
Interest income (388) (843)
Interest expense and finance cost, net 20,057 17,074
Income taxes 35 (348)
------------- -------------
EBITDA $ 48,132 $ 39,021
============= =============
EXHIBIT II
Owned Vessels
Deadweight
Vessel Name Vessel Type Year Built (in metric tons)
------------------------- ------------------ ------------ ------------------
Navios Serenity Handysize 2011 34,690
Navios Ionian Ultra Handymax 2000 52,067
Navios Vector Ultra Handymax 2002 50,296
Navios Horizon Ultra Handymax 2001 50,346
Navios Herakles Ultra Handymax 2001 52,061
Navios Achilles Ultra Handymax 2001 52,063
Navios Meridian Ultra Handymax 2002 50,316
Navios Mercator Ultra Handymax 2002 53,553
Navios Arc Ultra Handymax 2003 53,514
Navios Hios Ultra Handymax 2003 55,180
Navios Kypros Ultra Handymax 2003 55,222
Navios Ulysses Ultra Handymax 2007 55,728
Navios Vega Ultra Handymax 2009 58,792
Navios Celestial Ultra Handymax 2009 58,063
Navios Astra Ultra Handymax 2006 53,468
Navios Magellan Panamax 2000 74,333
Navios Star Panamax 2002 76,662
Navios Asteriks Panamax 2005 76,801
Navios Centaurus Panamax 2012 81,472
Navios Avior Panamax 2012 81,355
Navios Bonavis Capesize 2009 180,022
Navios Happiness Capesize 2009 180,022
Navios Lumen Capesize 2009 180,661
Navios Stellar Capesize 2009 169,001
Navios Phoenix Capesize 2009 180,242
Navios Antares Capesize 2010 169,059
Navios Etoile Capesize 2010 179,234
Navios Bonheur Capesize 2010 179,259
Navios Altamira Capesize 2011 179,165
Navios Azimuth Capesize 2011 179,169
Long term Chartered-in Fleet in Operation
Year Deadweight Purchase
Vessel Name Vessel Type Built (in metric tons) Option(1)
------------------- ---------------- ------- ------------------ -----------
Navios Lyra Handysize 2012 34,718 Yes (2)
Navios Apollon Ultra Handymax 2000 52,073 No
Navios Primavera Ultra Handymax 2007 53,464 Yes
Navios Armonia Ultra Handymax 2008 55,100 No
Navios Oriana Ultra Handymax 2012 61,442 Yes
Navios Libra II Panamax 1995 70,136 No
Navios Altair Panamax 2006 83,001 No
Navios Esperanza Panamax 2007 75,356 No
Golden Heiwa Panamax 2007 76,662 No
Navios Marco Polo Panamax 2011 80,647 Yes
Beaufiks Capesize 2004 180,310 Yes
Rubena N Capesize 2006 203,233 No
SC Lotta Capesize 2009 169,056 No
King Ore Capesize 2010 176,800 No
Navios Koyo Capesize 2011 181,415 Yes
Navios Obeliks Capesize 2012 181,415 Yes
Long-term Chartered-in Fleet to be Delivered
Delivery Purchase Deadweight
Vessels Vessel Type Date Option (in metric tons)
---------------- ------------------ ----------- ----------- ----------------
Navios Felix Capesize 07/2013 Yes 180,000
Navios Mercury Ultra Handymax 08/2013 Yes 61,000
Navios Venus Ultra Handymax 12/2013 Yes 61,000
Navios Southern
Star Panamax 03/2013 Yes 82,100
(1) Generally, Navios Holdings may exercise its purchase option after three
to five years of service.
(2) The initial 50% purchase option on the vessel is held by Navios
Holdings.
Contact:
Navios Maritime Holdings Inc.
+1.212.906.8643
investors@navios.com