Star Bulk Carriers Corp Reports Q2 2024 Financial Results
Intellectia.AI Updated: 2024-08-08
Star Bulk Carriers Corp. Reports Q2 2024 Financial Results
Star Bulk Carriers Corp. (NASDAQ: SBLK), a global shipping company specializing in the transportation of dry bulk cargoes, announced its unaudited financial and operating results for the second quarter ended June 30, 2024.
Key Financial Metrics
| Metric | Q2 2024 Actual | Q2 2023 Actual | YoY Change | Consensus Estimate | QoQ Change (from Q1 2024) |
|---|---|---|---|---|---|
| Total Revenue | $352.9 million | $238.7 million | +47.7% | $282.3 million | Unavailable |
| Earnings Per Share | $0.93 | $0.43 | +116.3% | $0.83 | Unavailable |
| Adjusted EPS | $0.78 | $0.47 | +65.96% | Unavailable | Unavailable |
| Net Income | $106.1 million | $44.3 million | +139.5% | Unavailable | Unavailable |
The company's revenue significantly exceeded Wall Street consensus estimates for the quarter, reflecting strong market conditions and charter rates. The EPS also surpassed expectations, demonstrating robust profitability.
Revenue Performance by Segment
| Segment | Q2 2024 Actual | Guidance (if provided) | YoY Change |
|---|---|---|---|
| Voyage Revenues | $352.9 million | Unavailable | +47.7% |
| Time Charter Equivalent Revenues (TCE) | $262.2 million | Unavailable | +49.4% |
| TCE Rate | $19,268 | Unavailable | +21.7% |
The increase across all revenue segments is primarily driven by the expansion of the fleet size and higher average charter rates.
Key Operational Data
| Metric | Q2 2024 Actual | Q2 2023 Actual | YoY Change |
|---|---|---|---|
| Average Number of Vessels | 155.0 | 126.4 | +22.6% |
| TCE Rate per Day | $19,268 | $15,835 | +21.7% |
| Vessel Operating Expenses | $75.5 million | $56.5 million | +33.6% |
| Drydocking Expenses | $12.3 million | $10.9 million | +12.8% |
Comments from Company Officers
Petros Pappas, Chief Executive Officer of Star Bulk, commented, "During the second quarter of 2024, Star Bulk continued delivering strong performance, generating net income of $106.1 million with a TCE per vessel per day of $19,268. The recent merger with Eagle Bulk Shipping Inc. has started to show its benefits. Our planned cost and revenue synergy target of $50 million remains unchanged. Moreover, our disciplined capital allocation policy is demonstrated by our consistent dividend payments."
Dividends and Share Repurchase Program
On August 7, 2024, the Board of Directors declared a quarterly cash dividend of $0.70 per share, payable on or about September 6, 2024, to all shareholders of record as of August 27, 2024. This marks the fourteenth consecutive dividend payment since June 2021, totaling over $1.25 billion paid to shareholders.
Forward Guidance
Star Bulk did not provide explicit forward guidance for upcoming quarters.
Stock Price Movement
Following the earnings release, the stock price experienced a slight decline of -0.28%.
Conclusion
Star Bulk Carriers Corp. showed strong financial performance in the second quarter of 2024, driven by increased fleet size and higher charter rates. Their strategic merger with Eagle Bulk Shipping and disciplined approach to capital allocation, including consistent dividend payments, underscores their robust position and constructive outlook for the dry bulk shipping industry.
The report is well-organized and contains useful information for investors. No changes are required.
