ATHENS, Greece, June 23, 2023 (GLOBE NEWSWIRE) -- C3is Inc. (Nasdaq: CISS) (the “Company”), a ship-owning company providing drybulk seaborne transportation services, announced today its unaudited financial and operating results for the first quarter ended March 31, 2023. These financial results were prepared on a carve-out basis from the financial statements of Imperial Petroleum Inc., which was our parent company prior to the completion of our spin-off on June 21, 2023, and, accordingly, do not reflect any adjustments for the spin-off, the issuance of our common shares and Series A Convertible Preferred Shares, and the $5.0 million working capital contribution to the Company from Imperial Petroleum Inc. in conjunction therewith.
OPERATIONAL AND FINANCIAL HIGHLIGHTS
Successful spin-off of Imperial Petroleum Inc.’s two drybulk carriers to our newly listed company C3is Inc.; this was concluded on June 21, 2023.
Our newly listed company currently owns 2 Handysize drybulk vessels, the Eco Angelbay (2009 built) and the Eco Bushfire (2011 built), with an average age of 12.9 years.
Both vessels are unencumbered; C3is Inc. is a debt free company.
Fleet operational utilization of 90.6% in Q1 23’, as our vessels were mainly under time charter employment.
Currently our two vessels are on time charters of short-term duration, producing steady cash flows.
Voyage revenues of $3.2 million in Q1 23’ and a daily TCE1 of $15,927 in Q1 23’.
Net income of $0.8 million for Q1 23’.
First Quarter 2023 Results:
Voyage revenues for the three months ended March 31, 2023 amounted to $3.2 million. Total calendar days for our fleet were 180 days for the three months ended March 31, 2023. Of the total calendar days in the first quarter of 2023, 163 or 90.6% were time charter days. Our fleet operational utilization was 90.6% for this period.
Voyage expenses and vessels’ operating expenses for the three months ended March 31, 2023 were $0.3 million and $1.0 million, respectively. Voyage expenses mainly included bunker costs of $0.1 million corresponding to 33.3% of total voyage expenses, and commissions to third parties of $0.1 million corresponding to 33.3% of total voyage expenses. Operating expenses mainly included crew expenses of $0.6 million corresponding to 60% of total operating expenses, spares and consumables costs of $0.3 million, corresponding to 30% of total operating expenses, and maintenance expenses of $0.1 million, representing works and repairs on the vessels, corresponding to 10% of total vessel operating expenses.
General and Administrative costs for the three months ended March 31, 2023 were $0.2 million related to Imperial Petroleum general and administrative expenses allocated to the carve-out entities.
As a result of the above, for the three months ended March 31, 2023, the Company reported a net income of $0.8 million.
EBITDA2 for the three months ended March 31, 2023 amounted to $1.4 million.
An average of 2.0 vessels were owned by the Company during the three months ended March 31, 2023.
Board Chairman Harry Vafias commented:
"We are pleased with the successful spin-off of two of Imperial Petroleum’s handysize drybulk vessels to a newly listed entity called C3is Inc. Our affiliated shipping group operates 5 active shipping companies - 3 Nasdaq listed and 2 private companies.
"C3is is our latest project; although currently a small scale company, we believe that current market conditions of the various shipping markets will assist our fast fleet expansion.
"Looking ahead we are eager to replicate the success story of IMPERIAL PETROLEUM which started with 4 levered ships and in less than 18 months had 12 debt free vessels and considerable cash as well. The dry bulk transport market is expected to see an increase in marine transport volume over the medium- and long-term horizon."
Conference Call details:
On June 23, 2023, at 11:00 am ET, the company’s management will host a conference call to discuss the results and the company’s operations and outlook.
Conference Call details:
Conference call participants should pre-register using the below link to receive the dial-in numbers and a personal PIN, which are required to access the conference call.
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