Paragon Shipping Inc · OTC:PRGNF
Paragon Shipping — Investor Presentation (June 2013)
23 slides from Paragon Shipping's investor presentation, June 2013
Slide 1: Investor Presentation
Investor Presentation June, 2013
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains certain statements that may be deemed to be “forward-looking statements” within the meaning of the Securities Acts. Forward-looking statements reflect management's current views with respect to future events and financial performance and may incl
Slide 3: Company Overview
Company Overview
Slide 4: About Paragon Shipping Inc.
About Paragon Shipping Inc. Formed in April 2006. Completed Private Placement in December 2006. Completed IPO in August 2007. The Company is trading on the NASDAQ Global Market under the symbol “PRGN”. In the second quarter of 2010 announced the entry into shipbuilding contracts. In the third quarte
Slide 5: Latest Fleet Developments
Latest Fleet Developments M/V Priceless Seas delivered in January 2013 Fleet size increased to 13 drybulk vessels Debt-Free Vessel, Low Breakeven Point Slide 5
Slide 6: Chartering Update
Chartering Update Spot exposure – significant upside potential Rem ainder 2014 2015 2016 2013 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Kind Seas Sapphire Seas Dream Seas F riendly Seas On the W ater Diam ond Seas Pearl Seas C alm Seas Golden Seas C oral Seas Deep Seas Prosperous Seas Precious
Slide 7: Chartering Performance
Chartering Performance Consistently beating market since 2009 35,000 30,000 25,000 USD Per Day 20,000 15,000 10,000 5,000 0 2009 2010 2011 Q112 Q212 Q312 Q412 Q113 PRGN TCE Rate BPI (average TC routes) BSI (average TC routes) BHSI (average TC routes) 2009 2010 2011 Q112 Q212 Q312 Q412 Q113 PRGN TCE
Slide 8: Financing Update
Financing Update Leverage ratio of 63% Debt restructuring completed - Reduced debt repayment requirements $25 m. remaining under Nordea Facility to finance our last Handysize newbuilding Agreed with CDB for a $69 m. credit facility to partially finance the containership newbuildings (1) Leverage Rat
Slide 9: Industry Overview
Industry Overview
Slide 10: Drybulk Market
Drybulk Market TC rates remain close to breakeven levels in all sectors Asset values are stabilizing in all sectors Average T/C Routes (USD Per Day) 5 Year Old Secondhand Prices (USD Million) 30,000 Capesize 40 Panamax Supramax Handysize 30 20,000 20 10,000 10 Capesize Panamax Supramax Handysize Lin
Slide 11: Demand Fundamentals
Demand Fundamentals Drybulk market growing by 6.3% CAGR in volumes through 2016 6,000 14% 12% Iron Ore 5,000 10% Met Coal Million Tonnes 4,000 8% Steam Coal 6% Grain 3,000 4% Steel Products 2,000 2% Phosrock 0% Alumina / Bauxite 1,000 -2% Other 0 -4% Growth 2006 2007 2008 2009 2010 2011 2012 2013f 2
Slide 12: Supply Fundamentals
Supply Fundamentals Drybulk orderbook is contracting – currently stands at 18% of existing fleet Full year 2012: 99 million dwt delivered vs 34 million dwt scrapped (or 34%) 2013YTD: 26 million dwt delivered vs 9 million dwt scrapped (or 35%) Outstanding Orderbook by Vessel Type Global Fleet vs Orde
Slide 13: Demand & Supply Equilibrium
Demand & Supply Equilibrium Net Fleet Growth is expected to be higher than required through 2013 inclusive 4,500 16.9% 16.9% 18% 16% 14.4% 4,000 14% Trade in Million Tonnes 12% 10.2% 3,500 10% 8.6% 8% 3,000 6% 4.8% 5.7% 4.9% 4% 2,500 2.9% 2% 1.5% 2,000 0% 2005 2006 2007 2008 2009 2010 2011 2012e 201
Slide 14: Financial Overview
\ ae arenes. NE Financial Overview
Slide 15: Financial Performance – Full Year 2012
Financial Performance – Full Year 2012 F .Y. 2 0 1 2 F .Y. 2 0 1 1 Average No. of Vessels 11.2 11.5 Time Charter Equivalent rate $ 11,923 $ 21,312 Fleet Utilization 99.1% 98.8% Net Revenue $ 50.3 m $ 86.9 m EBITDA $ 7.6 m ($ 238.4 m) Adjusted EBITDA $ 24.2 m $ 57.7 m Net Income / (Loss) ($ 17.6 m) (
Slide 16: Financial Performance – 1Q 2013
Financial Performance – 1Q 2013 Q1 2 0 1 3 Q1 2 0 1 2 Average No. of Vessels 12.7 10.0 Time Charter Equivalent rate $ 11,388 $ 14,030 Fleet Utilization 99.8% 99.8% Net Revenue $ 13.5 m $ 12.5 m EBITDA $ 2.6 m $ 6.6 m Adjusted EBITDA $ 3.2 m $ 7.0 m Net (Loss) / Income ($ 3.5 m) $ 0.7 m Adjusted Net
Slide 17: Investment Summary
—— = — —— ‘Investment Summary
Slide 18: Investment Summary
Investment Summary Drybulk Market • 2013 remains challenging, but a recovery is in sight. • Increased scrapping and reduced orderbook. • A gradual recovery in the drybulk market is expected. Paragon Shipping Inc. • Financing & Debt Exposure: Debt restructuring completed. Reduced Debt repayment requi
Slide 19: Investor Relations / Media Contacts
Investor Relations /Media: Company: Allen & Caron Inc. Paragon Shipping Inc. Rudy Barrio (Investors) Robert Perri, CFA Tel: (212) 691-8087 Chief Financial Officer Email: [email protected] 15 Karamanli Ave. Len Hall (Media) GR 166 73, Voula, Greece Tel: (949) 474-4300 Tel: +30 (210) 8914 600 Em
Slide 20: Appendices
Appendices Slide 20 {ES} Paragon Shipping Inc.
Slide 21: Current Operating Fleet
Current Operating Fleet Name & Type DWT Year Built Country of Build Date Acquired Panamax Fleet Calm Seas 74,047 1999 Japan December 2006 Deep Seas 72,891 1999 Korea December 2006 Kind Seas 72,493 1999 Japan December 2006 Pearl Seas 74,483 2006 China August 2007 Diamond Seas 74,274 2001 Japan Septem
Slide 22: Current Newbuilding Program
Current Newbuilding Program Hull No. & Type DWT / TEU Country of Build Expected Delivery Drybulk Handysize 625 (Proud Seas) 37,200 China Q4 2013 TOTAL 37,200 Containerships 656 (1) 4,800 China Q2 2014 657 (1) 4,800 China Q2 2014 TOTAL 9,600 (1) The Company has granted Box Ships Inc. an option to pur
Slide 23: Paragon Shipping Inc. - Fleet Employment
Paragon Shipping Inc. - Fleet Employment PARAGON FLEET EMPLOYMENT VESSEL CHARTERER GROSS HIRE DURATION T/C COMMENCED T/C EXPIRES PANAMAX FLEET Calm Seas Intermare Transport GmbH $ 11,800 19-24 Months Mar-12 Oct-13 / Mar-14 Morgan Stanley $ 11,000 plus 50/50 Profit Share 33-36 Months Oct-11 Jul-14 /