-- Net income of $15.3 million or $0.55 basic and diluted earnings per
share calculated on 27,610,993 basic weighted average number of shares
outstanding and 27,748,850 diluted weighted average number of shares
outstanding on total net revenues of $31.5 million. Ignoring the effect on
the earnings for the quarter from the amortization of the fair value of
time charter contracts acquired the earnings per share for the quarter
ended December 31, 2007 would have been be $0.51 per share basic and
diluted.
-- Adjusted EBITDA was $21.5 million. Please refer to a subsequent
section of the Press Release for a reconciliation of adjusted EBITDA to net
income and cash flows provided by operating activities.
-- An average 14.63 vessels were operated during the fourth quarter 2007
earning an average time charter equivalent rate of $26,479 per day.
-- Declared a quarterly dividend of $0.30 per share for the fourth
quarter 2007 payable on March 14, 2008 to shareholders of record as of
March 5, 2008.
2007 Highlights:
-- Net income of $40.7 million or $1.89 basic and $1.88 diluted earnings
per share calculated on 21,566,619 basic weighted average number of shares
outstanding and 21,644,920 diluted weighted average number of shares
outstanding on total net revenues of $82.1 million. Ignoring the effect on
the earnings for the year from the amortization of the fair value of time
charter contracts acquired the earnings per share for the year ended
December 31, 2007 would have been $1.91 per share basic and $1.90 per share
diluted.
-- Adjusted EBITDA was $61.7 million. Please refer to a subsequent
section of the Press Release for a reconciliation of adjusted EBITDA to net
income and cash flows provided by operating activities.
-- An average 11.48 vessels were operated during 2007 earning an average
time charter equivalent rate of $21,468 per day.
-- Declared quarterly dividends for the results of 2007, aggregating
$1.08 per share.
Aristides Pittas, Chairman and CEO of Euroseas, commented: "We are very
pleased with the performance of our company in the fourth quarter of 2007
during which we reaped the benefits of our fleet growth and employment
strategy. With a fleet of 15 vessels we have reached a critical size that
allows us to balance our employment strategy and take advantage of market
developments as we did during the fourth quarter of 2007. The growth of our
dividend from $0.79 per share in 2006 to $1.08 per share in 2007, a 37%
increase, is the best evidence of the effectiveness of our investment and
employment strategy, especially since it represents only a fraction of our
net income and cash flow. We have a strong balance sheet and we are well
positioned to take advantage of additional investment opportunities to
deploy the funds we raised in November 2007. We will continue executing our
plan to grow our fleet by focusing on age and size segments of the drybulk
and containership sectors which we believe maximize our
risk-adjusted shareholder returns, a strategy that we believe will enable
us to continue providing consistent and significant dividends and overall
returns to our shareholders."
Tasos Aslidis, Chief Financial Officer of Euroseas, commented: "The results
of 2007 reflect significantly higher revenues compared to 2006 due to the
higher number of vessels in our fleet and the higher average time charter
equivalent rate our vessels have achieved. Specifically during 2007, our
fleet averaged 11.48 vessels vs. 8.09 in 2006 and earned on average $21,468
per vessel per day compared to $14,313 per vessel per day during 2006.
"As of today, 65% of our ship capacity days in 2008 have been fixed under
time charter contracts or protected from market fluctuations. We believe
that our contract coverage gives us a solid revenue base for 2008 and
beyond, more predictable cash flows and sufficient downside protection,
while still allowing us to participate in the potential upside of the spot
market."
Fourth quarter 2007 Results:
For the fourth quarter of 2007, the Company reported total net revenues of
$31.5 million and net income of $15.3 million representing a 165.1% and
222.7% increase, respectively, over total net revenues of $11.9 million and
net income of $4.8 million during the fourth quarter of 2006. On average,
14.63 vessels were operated during the fourth quarter 2007 earning an
average time charter equivalent rate of $26,479 per day compared to 8.51
vessels in the same period 2006 earning on average $15,774 per day.
Adjusted EBITDA for the fourth quarter of 2007 was $21.5 million, a 166.7%
increase of $8.1 million during the fourth quarter of 2006. Please see
below for Adjusted EBITDA reconciliation to net income and cash flow
provided by operating activities.
Basic and diluted earnings per share for the fourth quarter of 2007 were
$0.55, calculated on 27,610,993 basic weighted average number of shares
outstanding and 27,748,850 diluted weighted average number of shares
outstanding, compared to basic and diluted earnings per share of $0.38 for
the fourth quarter of 2006, calculated on 12,620,148 basic and diluted
weighted average number of shares outstanding. The Company has recently
declared a quarterly dividend of $0.30 per share, which represents its
tenth consecutive quarterly dividend and a 37% increase over last year's
fourth quarter dividend.
Ignoring the effect on the earnings for the quarter from the amortization
of the fair value of time charter contracts acquired the earnings per share
for the quarter ended December 31, 2007 would have been $0.51 per share
basic and diluted, and, for the quarter ended December 31, 2006 would have
been $0.38 per share basic and diluted. Usually, security analysts do not
include amortization of the fair value of period charter contracts in their
published estimates of earnings per share.
Year Ended December 31, 2007 Results:
For the year ended December 31, 2007, the company reported total net
revenues of $82.1 million and net income of $40.7 million, representing a
103.6% and 102.6% increase, respectively over 2006. Adjusted EBITDA for the
year was $61.7 million, a 108.8% increase of $32.1 million over 2006
(please see below for Adjusted EBITDA reconciliation to net income and cash
flow from operating activities). In the year ended December 31, 2006, net
revenues were $40.3 million, net income was $20.1 million and EBITDA was
$29.5 million. On average, 11.48 vessels were operated during 2007 earning
an average time charter equivalent rate of $21,468 per day compared to 8.09
vessels in 2006 earning a time charter equivalent rate of $14,313. Results
for the year ended December 31, 2007 included a capital gain of $3.4
million from the sale of M/V "Ariel," while results for the year ended
December 31, 2006 included a capital gain of $4.4 million from the sale of
M/V "Pantelis P" and M/V "John P," the three eldest of the Company's
vessels.
Basic and diluted earnings per share for the year ended December 31, 2007
were $1.89 and $1.88, respectively, calculated on 21,566,619 basic weighted
average number of shares outstanding and 21,644,920 diluted weighted
average number of shares outstanding, compared to basic and diluted
earnings per share of $1.60 for 2006 calculated on 12,535,365 basic and
diluted weighted average number of shares outstanding.
Ignoring the effect on the earnings for the year from the amortization of
the fair value of time charter contracts acquired the earnings per share
would have been $1.91 basic and $1.90 diluted earnings per share for the
year ended December 31, 2007 and $1.57 per share basic and diluted for the
year ended December 31, 2006. Usually, security analysts do not include
amortization of the fair value of period charter contracts in their
published estimates of earnings per share.
Fleet Profile:
The Euroseas Ltd. fleet profile is as follows:
Year TCERate
Name Type Dwt TEU Built Employment ($/day)
------------- ------- ------ ------- ------------- -------------
Dry Bulk Vessels
Baumarine
Spot Pool - Spot / Partly
IRINI (*) Panamax 69,734 1988 ‘til end 2008 fixed
------------- ------- ------ ------- ------------- -------------
ARISTIDES TC ‘til
N.P. Panamax 69,268 1993 Feb-09 $ 52,000
------------- ------- ------ ------- ------------- -------------
TC ‘til
IOANNA P. Panamax 64,873 1984 Aug-08 $ 35,500
------------- ------- ------ ------- ------------- -------------
NIKOLAOS P. Handysize 34,750 1984 Spot $ 34,000
------------- ------- ------ ------- ------------- -------------
GREGOS Handysize 38,691 1984 Spot $ 45,000
------------- ------- ------ ------- ------------- -------------
Total Dry
Bulk Vessels 5 277,316
------------- ------- ------ ------- ------------- -------------
Multipurpose Dry
Cargo Vessels
$ 8,850 ‘til
Dec-08,
$ 9,500 ‘til
Dec-10,
TASMAN TC ‘til $ 9,000 ‘til
TRADER 1 22,568 950 1990 Mar-12 Mar-12
------------- ------- ------ ------- ------------- -------------
Container Carriers
TIGER TC ‘til
BRIDGE Intermediate 31,627 2,228 1990 Jul-09 $ 16,500
------------- ------- ------ ------- ------------- -------------
TC ‘til
ARTEMIS Intermediate 29,693 2,098 1987 Dec-08 $ 19,000
------------- ------- ------ ------- ------------- -------------
$ 14,750 ‘til
Feb-08
TC ‘til $ 15,250 ‘til
DESPINA P Handysize 33,667 1,932 1990 Feb-09 Feb-09
------------- ------- ------ ------- ------------- -------------
JONATHAN P Handysize 33,667 1,932 1990 Spot Spot
------------- ------- ------ ------- ------------- -------------
CLAN TC ‘til
GLADIATOR Handysize 30,007 1,742 1992 Apr-08 $ 19,000
------------- ------- ------ ------- ------------- -------------
YM TC ‘til
XINGANG I Handysize 23,596 1,599 1993 Jul-09 $ 26,650
------------- ------- ------ ------- ------------- -------------
TC ‘til
MANOLIS P Handysize 20,346 1,452 1995 Mar-08 $ 13,450
------------- ------- ------ ------- ------------- -------------
NINOS $ 12,800 ‘til
(ex-YM Apr-08
QINGDAO TC ‘til $ 13,175 ‘til
I) Feeder 18,253 1,169 1990 Apr-09 Apr-09
------------- ------- ------ ------- ------------- -------------
KUO TC ‘til
HSIUNG Feeder 18,154 1,169 1993 Feb-09 $ 15,800
------------- ------- ------ ------- ------------- -------------
Total Container
Carriers 9 239,010 15,321
------------- ------- ------ ------- ------------- -------------
Fleet Grand
Total 15 538,894 16,271
------------- ------- ------ ------- ------------- -------------
(*) "IRINI" is employed in the Baumarine spot pool that is managed by
Klaveness, a major global charterer in the dry bulk area, and also
participates in "short" funds (contracts to carry cargo at agreed rates),
reducing its exposure to the spot market.
Summary Fleet Data:
3 months 3 months Year Year
ended ended ended ended
December December December December
31, 2006 31, 2007 31, 2006 31, 2007
--------- --------- --------- ---------
FLEET DATA
Average number of vessels (1) 8.51 14.63 8.09 11.48
Calendar days for fleet (2) 783.0 1,346.0 2,942.0 4,190.0
Available days for fleet (3) 783.0 1,253.0 2,894.9 3,980.0
Voyage days for fleet (4) 779.8 1,245.5 2,863.8 3,968.9
Fleet utilization (5) 99.6% 99.4% 98.9% 99.7%
AVERAGE DAILY RESULTS
Time charter equivalent rate (6) 15,774 26,479 14,313 21,468
Vessel operating expenses (7) 4,332 5,399 4,294 4,991
General and administrative
expenses (8) 407 1,105 366 634
Total vessel operating
expenses (9) 4,739 6,504 4,660 5,624
--------- --------- --------- ---------
(1) Average number of vessels is the number of vessels that constituted our
fleet for the relevant period, as measured by the sum of the number of
calendar days each vessel was a part of our fleet during the period divided
by the number of calendar days in that period.
(2) Calendar days. We define calendar days as the total number of days in a
period during which each vessel in our fleet was in our possession
including off-hire days associated with major repairs, drydockings or
special or intermediate surveys. Calendar days are an indicator of the size
of our fleet over a period and affect both the amount of revenues and the
amount of expenses that we record during that period.
(3) Available days. We define available days as the total number of days in
a period during which each vessel in our fleet was in our possession net of
off-hire days associated with scheduled repairs, drydockings or special or
intermediate surveys. The shipping industry uses available days to measure
the number of days in a period during which vessels were available to
generate revenues.
(4) Voyage days. We define voyage days as the total number of days in a
period during which each vessel in our fleet was in our possession net of
off-hire days associated with scheduled and unscheduled repairs,
drydockings or special or intermediate surveys or days waiting to find
employment or other offhire. The shipping industry uses voyage days to
measure the number of days in a period during which vessels actually
generate revenues.
(5) Fleet utilization. We calculate fleet utilization by dividing the
number of our voyage days during a period by the number of our available
days during that period. The shipping industry uses fleet utilization to
measure a company's efficiency in finding suitable employment for its
vessels and minimizing the amount of days that its vessels are off-hire for
reasons such as unscheduled repairs or days waiting to find employment.
(6) Time charter equivalent, or TCE, is a measure of the average daily
revenue performance of a vessel on a per voyage basis. Our method of
calculating TCE is consistent with industry standards and is determined by
dividing revenue generated from voyage charters net of voyage expenses by
available days for the relevant time period. Voyage expenses primarily
consist of port, canal and fuel costs that are unique to a particular
voyage, which would otherwise be paid by the charterer under a time charter
contract, as well as commissions. TCE is a standard shipping industry
performance measure used primarily to compare period-to-period changes in a
shipping company's performance despite changes in the mix of charter types
(i.e., spot voyage charters, time charters and bareboat charters) under
which the vessels may be employed between the periods.
(7) Daily vessel operating expenses, which includes crew costs, provisions,
deck and engine stores, lubricating oil, insurance, maintenance and repairs
are calculated by dividing vessel operating expenses by fleet calendar days
for the relevant time period.
(8) Daily general and administrative expense is calculated by dividing
general and administrative expense by fleet calendar days for the relevant
time period.
(9) Total vessel operating expenses, or TVOE, is a measure of our total
expenses associated with operating our vessels. TVOE is the sum of vessel
operating expenses and general and administrative expenses. Daily TVOE is
calculated by dividing TVOE by fleet calendar days for the relevant time
period.
Conference Call and Webcast:
Tomorrow, Friday, February 29, 2008 at 9:30 a.m. EST, the company's
management will host a conference call to discuss the results.
Conference Call details:
Participants should dial into the call 10 minutes before the scheduled time
using the following numbers: 1 866 819 7111 (from the US), 0800 953 0329
(from the UK) or +44 (0)1452 542 301 (international standard dial in).
Please quote "Euroseas."
In case of any problems with the above numbers, please dial 1 866 223 0615
(from the US), 0800 694 1503 (from the UK) or +44 (0)1452 586 513
(international standard dial in). Quote "Euroseas."
A recording of the conference call will be available until March 07, 2008
by dialing 1 866 247 4222 (from the US), 0800 953 1533 (from the UK) or +44
(0)1452 550 000 (international standard dial in). Access Code: 6973591#
Audio webcast - Slides Presentation:
There will be a live and then archived audio webcast of the conference
call, via the internet through the Euroseas website (www.euroseas.gr).
Participants to the live webcast should register on the website
approximately 10 minutes prior to the start of the webcast.
A slides presentation on the fourth quarter and year ended December 31,
2007 results in PDF format will also be available 30 minutes prior to the
conference call and webcast accessible on the company's website
(www.euroseas.gr) on the webcast page. Participants to the webcast can
download the PDF presentation.
Euroseas Ltd.
Consolidated Condensed Statements of Income
(All amounts expressed in U.S. Dollars - except share amounts)
Three Months Three Months
Ended Ended, Year Ended, Year Ended
December 31, December 31, December 31, December 31,
2006 2007 2006 2007
----------- ----------- ----------- -----------
(unaudited) (unaudited) (unaudited) (unaudited)
Revenues
Voyage revenue 12,441,416 33,041,513 42,143,361 86,104,365
Commissions (549,129) (1,516,764) (1,829,534) (4,024,032)
Net revenues 11,892,287 31,524,749 40,313,827 82,080,333
Operating expenses
Voyage expenses 140,355 62,177 1,154,738 897,463
Vessel operating
expenses 2,768,869 6,022,711 10,368,817 17,240,132
Amortization and
depreciation 2,303,081 7,132,304 7,292,838 17,963,072
Management fees 623,447 1,244,343 2,266,589 3,669,137
Other general and
administrative
expenses 318,603 1,487,958 1,076,884 2,656,176
Net gain from sale of
vessels - - (4,445,856) (3,411,397)
Total operating
expenses 6,154,355 15,949,493 17,714,010 39,014,583
Operating income 5,737,932 15,575,256 22,599,817 43,065,750
Other income/(expenses)
Interest and finance
cost (1,139,908) (1,259,048) (3,398,858) (4,850,239)
Interest income 149,495 909,686 870,046 2,357,633
Unrealized gain on
trading securities - 98,744 - 98,744
Foreign exchange loss (534) (6,060) (1,598) (7,824)
Other expenses, net (990,947) (256,678) (2,530,410) (2,401,686)
----------- ----------- ----------- -----------
Net income 4,746,985 15,318,578 20,069,407 40,664,064
----------- ----------- ----------- -----------
Earnings, per share,
basic 0.38 0.55 1.60 1.89
Weighted average number
of shares, basic 12,620,148 27,610,993 12,535,365 21,566,619
----------- ----------- ----------- -----------
Earnings, per share,
diluted 0.38 0.55 1.60 1.88
----------- ----------- ----------- -----------
Weighted average number
of shares, diluted 12,620,148 27,748,850 12,535,365 21,644,920
----------- ----------- ----------- -----------
Euroseas Ltd.
Consolidated Condensed Balance Sheets
(All amounts expressed in U.S. Dollars - except share amounts)
December 31, December 31,
2006 2007
-------------- --------------
(unaudited) (unaudited)
ASSETS
Current Assets:
Cash and cash equivalents 2,791,107 104,135,320
Trade accounts receivable 378,216 1,174,045
Other receivables 268,864 741,081
Due from related company 2,649,259 5,291,197
Inventories 716,131 1,903,678
Restricted cash 1,146,621 1,739,879
Vessel held for sale 1,782,840 -
Trading securities - 2,891,658
Prepaid expenses 242,558 430,605
Total current assets 9,975,596 118,307,463
Fixed assets:
Vessels, net 95,494,342 238,248,984
Long-term assets:
Restricted cash 2,700,000 4,500,000
Deferred charges, net 1,291,844 5,529,870
Deferred offering expenses 500,000 -
Fair value of above market time charter
acquired 7,543,477 4,604,514
Total long-term assets 107,529,663 252,883,368
Total assets 117,505,259 371,190,831
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Long term debt, current portion 18,040,000 25,575,000
Trade accounts payable 1,034,713 3,789,764
Accrued expenses 1,233,185 2,043,585
Deferred revenue 1,357,501 3,774,162
Total current liabilities 21,665,399 35,182,511
Long-term liabilities:
Long term debt, net of current portion 56,910,000 56,015,000
Fair value of below market time charter
acquired 918,200 8,202,972
Total long-term liabilities 57,828,200 64,217,972
Total liabilities 79,493,599 99,400,483
Shareholders' equity:
Common stock (par value $0.03, 100,000,000
shares authorized, 12,620,150 and
30,261,113 issued and outstanding)
Preferred shares (par value $0.01,
20,000,000 shares authorized, no shares
issued and outstanding) 378,605 907,834
Additional paid-in capital 18,283,767 231,147,700
Retained earnings 19,349,288 39,734,814
Total shareholders' equity 38,011,660 271,790,348
Total liabilities and shareholders' equity 117,505,259 371,190,831
-------------- --------------
Euroseas Ltd.
Consolidated Condensed Statements of Cash Flows
Years ended December 31, 2006 and 2007
(All amounts expressed in U.S. Dollars)
Year Ended Year Ended
December 31, December 31,
2006 2007
------------ ------------
(unaudited) (unaudited)
------------ ------------
Cash flows from operating activities:
Net income 20,069,407 40,664,064
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation of vessels 6,277,328 16,423,092
Amortization of deferred charges 1,090,111 1,612,695
Amortization of fair value of time charters (351,369) 548,254
Gain on sale of vessels (4,445,856) (3,411,397)
Share-based compensation - 822,782
Purchase of trading securities - (2,792,914)
Unrealized gain on trading securities - (98,744)
Changes in operating assets and liabilities (1,670,797) (4,809,062)
------------ ------------
Net cash provided by operating activities 20,968,824 48,958,770
------------ ------------
Cash flows from investing activities:
Purchase of vessels including improvements (53,830,357) (149,502,254)
Cash paid for above-market charter acquired (7,923,480) -
Change in restricted cash (2,765,672) (2,393,258)
Proceeds from sale of vessels 9,152,494 5,223,521
------------ ------------
Net cash (used in) investing activities (55,367,015) (146,671,991)
------------ ------------
Cash flows from financing activities:
Issuance of share capital 10,000 527,204
Net proceeds from shares issued - 213,692,070
Dividends paid (9,465,082) (20,278,535)
Loan arrangement fees paid (151,250) (110,000)
Deferred offering expenses paid (41,671) (1,413,305)
Proceeds from long-term debts 43,750,000 25,000,000
Repayment of long-term debts (17,360,000) (18,360,000)
------------ ------------
Net cash provided by financing activities 16,741,997 199,057,434
------------ ------------
Net (decrease) increase in cash and cash
equivalents (17,656,194) 101,344,213
Cash and cash equivalents at beginning of year 20,447,301 2,791,107
------------ ------------
Cash and cash equivalents at end of year 2,791,107 104,135,320
------------ ------------
Euroseas Ltd.
Reconciliation of Adjusted EBITDA to
Net Income and Cash Flow Provided By Operating Activities
(All amounts expressed in U.S. Dollars)
Three Months Three Months
Ended Ended Year Ended Year Ended
December 31, December 31, December 31, December 31,
2006 2007 2006 2007
------------- ------------- ------------- -------------
Net income 4,746,985 15,318,578 20,069,407 40,664,064
------------- ------------- ------------- -------------
Interest and
finance costs,
net (incl.
interest
income) 990,413 349,362 2,528,812 2,492,606
------------- ------------- ------------- -------------
Depreciation
and
amortization 2,303,081 7,132,304 7,292,838 17,963,072
------------- ------------- ------------- -------------
Amortization of
deferred
revenue of
below market
time charter
acquired (361,566) (2,042,062) (731,372) (2,390,709)
------------- ------------- ------------- -------------
Amortization of
deferred
revenue of
above market
time charter
acquired 380,003 737,773 380,003 2,938,963
------------- ------------- ------------- -------------
Adjusted EBITDA 8,058,916 21,495,955 29,539,688 61,667,996
============= ============= ============= =============
Three Months Three Months
Ended Ended Year Ended Year Ended
December 31, December 31, December 31, December 31,
2006 2007 2006 2007
-------------- ------------- -------------- -------------
Net cash flow
provided by
operating
activities 5,253,526 15,645,916 20,968,824 48,958,770
-------------- ------------- -------------- -------------
Changes in
operating
assets /
liabilities 1,830,796 3,449,963 1,670,796 4,809,063
-------------- ------------- -------------- -------------
Gain from sale
of vessels - - 4,445,856 3,411,397
-------------- ------------- -------------- -------------
Purchase of
trading
securities - 2,792,914 - 2,792,914
-------------- ------------- -------------- -------------
Unrealized gain
on trading
securities - 98,744 - 98,744
-------------- ------------- -------------- -------------
Share-based
compensation - (822,782) - (822,782)
-------------- ------------- -------------- -------------
Interest, net 974,594 331,200 2,454,212 2,419,890
-------------- ------------- -------------- -------------
Adjusted EBITDA 8,058,916 21,495,955 29,539,688 61,667,996
============== ============= ============== =============
EBITDA Reconciliation:
Euroseas Ltd. considers Adjusted EBITDA to represent net earnings before
interest, income taxes, depreciation, amortization and amortization of
deferred revenues from above or below market time charters acquired.
Adjusted EBITDA does not represent and should not be considered as an
alternative to net income or cash flow from operations, as determined by
United States generally accepted accounting principles, or U.S. GAAP, and
our calculation of Adjusted EBITDA may not be comparable to that reported
by other companies. Adjusted EBITDA is included herein because it is a
basis upon which we assess our financial performance and liquidity position
and because we believe that it presents useful information to investors
regarding a company's ability to service and/or incur indebtedness. The
Company's definition of Adjusted EBITDA may not be the same as that used by
other companies in the shipping or other industries.
Euroseas Ltd.
Reconciliation of Net Income Excluding the Effect from the Amortization of
the Fair Value of Charters Acquired to Net Income
(All amounts expressed in U.S. Dollars - except share data and per share
amounts)
Three Months Three Months
Ended Ended Year Ended Year Ended
December 31, December 31, December 31, December 31,
2006 2007 2006 2007
------------- ------------- ------------- -------------
Net income 4,746,985 15,318,578 20,069,407 40,664,064
------------- ------------- ------------- -------------
Amortization of
deferred
revenue of
below market
time charter
acquired (361,566) (2,042,062) (731,372) (2,390,709)
------------- ------------- ------------- -------------
Amortization of
deferred
revenue of
above market
time charter
acquired 380,003 737,773 380,003 2,938,963
------------- ------------- ------------- -------------
Net Income
excluding
amortization
of the fair
value of
charters
acquired 4,765,422 14,014,289 19,718,038 41,212,318
------------- ------------- ------------- -------------
Net Income per
share
excluding
amortization
of the fair
value of
charters
acquired,
basic 0.38 0.51 1.57 1.91
------------- ------------- ------------- -------------
Weighted
average number
of shares,
basic 12,620,148 27,610,993 12,535,365 21,566,619
------------- ------------- ------------- -------------
Net Income per
share
excluding
amortization
of the fair
value of
charters
acquired,
diluted 0.38 0.51 1.57 1.90
------------- ------------- ------------- -------------
Weighted
average number
of shares,
diluted 12,620,148 27,748,850 12,535,365 21,644,920
============= ============= ============= =============
About Euroseas Ltd.
Euroseas Ltd. was formed on May 5, 2005 under the laws of the Republic of
the Marshall Islands to consolidate the ship owning interests of the Pittas
family of Athens, Greece, which has been in the shipping business over the
past 136 years. Euroseas trades on the NASDAQ Global Market under the
ticker ESEA since January 31, 2007.
Euroseas operates in the dry cargo, drybulk and container shipping markets.
Euroseas' operations are managed by Eurobulk Ltd., an ISO 9001:2000
certified affiliated ship management company, which is responsible for the
day-to-day commercial and technical management and operations of the
vessels. Euroseas employs its vessels on spot and period charters and
through pool arrangements.
The Company has a fleet of 15 vessels, including 3 Panamax drybulk
carriers, 2 Handysize drybulk carriers, 2 Intermediate container ships, 5
Handysize container ships, 2 Feeder container ships and a multipurpose dry
cargo vessel. Euroseas' 5 drybulk carriers have a total cargo capacity of
277,316 dwt, its 9 container ships will have a cargo capacity of 239,010
dwt or 15,321 teu and its 1 multipurpose vessel has a cargo capacity of
22,568 dwt or 950 teu.
Forward-Looking Statement
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 the Company's 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.
Although the Company 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 that are inherently subject to significant uncertainties and
contingencies, many of which are beyond the control of the Company. 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
dry bulk vessels and container ships, competitive factors in the market in
which the Company operates; risks associated with operations outside the
United States; and other factors listed from time to time in the Company's
filings with the Securities and Exchange Commission. The Company 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 the Company's expectations with respect thereto or any change in
events, conditions or circumstances on which any statement is based.
Visit our website www.euroseas.gr
Contact Information: Company Contact: Tasos Aslidis Chief Financial Officer Euroseas Ltd. 11 Canterbury Lane, Watchung, NJ 07069 Tel. (908) 301-9091 E-mail: aha@euroseas.gr Investor Relations / Financial Media: Nicolas Bornozis President Capital Link, Inc. 230 Park Avenue, Suite 1536 New York, NY 10169 Tel. (212) 661-7566 E-mail: nbornozis@capitallink.com