REG - Taylor Maritime Ltd Taylor Maritime -TMI - Half Year Results for the Period Ended 30 Sep 2025

Taylor MaritimeAnnouncement

12/12/2025 07:30

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20251212:nRSL3650La&default-theme=true

RNS Number : 3650L  Taylor Maritime Limited  12 December 2025

12 December 2025

 

Taylor Maritime Limited (the "Company")

 

Unaudited Interim Results for the period 1 April 2025 to 30 September 2025

 

Taylor Maritime Limited, the specialist dry bulk shipping company, today
announces its interim results for the six month period ended 30 September
2025.

The Interim Report of the current financial period is now available on the
Company's website, www.taylormaritime.com (http://www.taylormaritime.com) ,
and on the National Storage Mechanism,
https://data.fca.org.uk/#/nsm/nationalstoragemechanism
(https://data.fca.org.uk/#/nsm/nationalstoragemechanism) .

Financial & Operational Highlights for the Interim Period

 Total Shareholder Return                           8.1%
 Fleet Net Book Value (NBV) at 30 September 2025    $202.3 million
 Bank Debt 1  (#_ftn1) at 30 September 2025         $0.0 million
 Other Debt 2  (#_ftn2) at 30 September 2025        $41.5 million
 Cash & Cash Equivalents at 30 September 2025       $139.2 million 3  (#_ftn3)
 Other Net Assets 4  (#_ftn4) at 30 September 2025  $23.2 million
 Net Charter Revenue 5  (#_ftn5)                    $68.4 million
 Loss                                               $(32.1) million  6  (#_ftn6)
 Loss per Ordinary Share                            $(0.10)
 Adjusted EBITDA 7  (#_ftn7)                        $18.2 million
 Adjusted EBITDA per share                          $0.06
 Time Charter Equivalent ("TCE") Earnings           $12,031

Commenting on the interim results Henry Strutt, Independent Chair, said:

"The period has been one of decisive execution and consolidation amid ongoing
geopolitical uncertainty and considerable levels of market volatility.
Having already secured the objective of eliminating bank debt, the management
team prudently accelerated vessel sales in expectation of a potentially
volatile 2025, in order to preserve value for shareholders.  With resilience
built into the balance sheet and exposure to ongoing market volatility greatly
reduced, the Board has determined to make a substantial return of capital to
shareholders, as the Company has announced separately today.   The Company
will retain sufficient cash to support the remaining fleet while it considers
strategic options during the first half of calendar year 2026."

Edward Buttery, Chief Executive Officer, added:

"After an active 2024 of asset disposals, we accelerated our sales programme
in 2025, adapting our strategy in anticipation of market turbulence and
stronger global fleet growth to prioritise the preservation of shareholder
value.  At the same time, we continued to focus on streamlining operations
and aligning costs to our reduced fleet size.  With a lower and reducing cost
base and a strengthened balance sheet, we are more nimble and better poised to
withstand ongoing market volatility with our remaining core fleet of
high-quality vessels.  We will maintain an open line of communication with
shareholders as we establish the future direction of the Company."

Operating results, fleet outperforms benchmark indices

·      Adjusted EBITDA for the period was $18.2 million, demonstrating a
robust operating performance despite a reduced fleet size.  The Company and
its subsidiaries (the "Group") reported a net loss of $32.1 million for the
period, driven primarily by vessel impairment 8  (#_ftn8) of $18.8 million in
respect of 13 vessels and depreciation of $22.6 million, recognised under the
new reporting basis following the Company's transition from an investment fund
to a commercial company

·      The Group generated net charter revenue of $68.4 million, after
voyage expenses of $22.3 million, equating to time charter equivalent ("TCE")
earnings of $12,031 per day for the six month period ending 30 September 2025
(versus, on a look-through basis, $122.5 million net charter revenue, after
voyage expenses of $36.1 million, equating to TCE of $13,885 per day for the
equivalent period last year, given a smaller operating fleet)

·      The Handysize fleet and the Supramax/Ultramax fleet outperformed
their respective indices by c.$356 per day (3%) and c.$346 per day (3%),
respectively

Preserving value through vessel sales

·      The Group agreed or completed 21 vessel sales during the six
month period ended 30 September 2025 for combined gross proceeds of $348.8
million, representing an average discount to Fair Market Value as at the
previous quarter end of 2.6%

·      Of these, 18 vessel sales were completed during the period for
combined gross proceeds of $295.8 million, representing an average discount to
Fair Market Value of 2.7%, while the three additional vessel sales completed
post period for combined gross proceeds of $53.0 million, representing an
average discount to Fair Market Value of 2.4%

Fleet development and market value

·      At 30 September 2025, the fleet comprised 11 Japanese-built
vessels at quarter end, including three vessels held for sale and one vessel
agreed for sale post period, with a Net Book Value of $202.3 million

Zero bank debt achieved

·      The Group's outstanding debt stood at $41.5 million as at 30
September 2025 (versus, on a look-through basis, $247.1 million as at 31 March
2025) representing a debt-to-gross assets ratio of 10.6% (versus 38.2% as at
31 March 2025).  This comprised entirely of financial liabilities under
sale-leaseback transactions with bank debt fully repaid during the period

Board Developments

·      Ms. Sandra Platts retired from the Board at the 2025 Annual
General Meeting which took place on 4 September 2025 and Ms. Rebecca Brosnan
assumed the role of Remuneration Committee Chair

Other Highlights

·      The Company continued to maintain its dividend policy and in
aggregate distributed $13.2 million, declaring dividends of 4.00 US cents per
Ordinary Share in the six month period ended 30 September 2025 (30 September
2024: 4.00 US cents)

Post Period Trading Update (Since 30 September 2025)

·      The Company today announced its intention to distribute to
shareholders an aggregate amount of approximately $150.0 million, expected to
be split between the quarterly dividend and return of capital proposed to be
by way of a partial compulsory redemption of shares.  Details will be shared
in a shareholder circular planned to be published in January 2026 ahead of a
General Meeting to approve necessary changes to the articles of incorporation
of the Company.  The Company's dividend target for the current financial year
remains 8.00 US cents per Ordinary Share

·      The Company declared an interim dividend on 24 October 2025 of
2.00 US cents per Ordinary Share in respect of the quarter ended 30 September
2025, which was paid on 28 November 2025

·      Three vessel sales agreed during the period have since completed,
generating combined gross proceeds of $53.0 million at an average discount to
Fair Market Value of 2.4%

·      Post period, the Group agreed the opportunistic sale of a
Handysize vessel for gross proceeds of $15.3 million, representing a 2.6%
premium to Fair Market Value

·      The Company's owned fleet currently consists of eight vessels,
reducing to seven vessels after the completion of the post period sale
mentioned above.  The Company also has one vessel under JV agreement and five
vessels in its chartered in fleet

·      At the time of writing, the fleet has coverage for 88% of the
remaining days in the current financial year at a TCE of $13,816 per day

Dry bulk market review and outlook

Following a soft start to 2025 marked by geopolitical uncertainty and concerns
for trade, sentiment gradually improved and charter rates stabilised with
tariffs seemingly having a limited direct impact on dry bulk demand.  Market
conditions strengthened considerably from July onwards driven by a surge in US
Gulf corn exports and robust grain volumes out of East Coast South America
(ECSA) destined for China.  As a result, the Baltic Supramax Index Time
Charter Average ("BSI TCA") and the Baltic Handysize Index Time Charter
Average ("BHSI TCA") ended the period c.65 % and c.42% higher.  Charter rates
remained firm post period with a prolonged ECSA grain season being supported
by increased levels of Chinese forward purchasing activity as China sought
alternative sources to US supply amid geopolitical tensions.

Values of benchmark second-hand Supra/Ultramax vessels 9  (#_ftn9) experienced
a brief dip as forecasts of an acceleration in fleet growth in 2025 weighed
upon sentiment.  Values later recovered to be in line with March 2025
valuations by the end of the period, supported by improved freight rates, yet
remaining well below their 2024 peak.  The value of benchmark second-hand
Handysize vessels 10  (#_ftn10) , meanwhile, also responded to strengthening
freight rates climbing c.10.8% over the period.

US-China trade talks in October temporarily relieved escalating tensions but
unresolved issues remain in the absence of a lasting trade agreement and thus
considerable geopolitical and macroeconomic uncertainty continues to cloud the
market outlook.  While Chinese promises to recommence purchases of US grains
should be supportive for midsize bulkers in the coming months the lingering
threat of trade protectionism continues to impact sentiment and structural
challenges in the Chinese economy are providing raw material demand
headwinds.  As a result, minor bulk and grain volumes are expected to grow at
a moderate 2.0% in 2026 vs 3.2% in 2025 where front-loading of imports ahead
of tariff hikes along with Chinese forward purchasing of grains from Bazil and
Argentina provided unseasonal demand drivers.

Meanwhile, an acceleration of geared dry bulk carrier deliveries, which have
so far been absorbed by demand in 2025, is forecast to increase the size of
the global fleet at a net rate of 4.0% in 2026 which outpaces forecast minor
bulk and grain demand growth.

Further ahead, however, structural supply pressures continue to suggest an
encouraging medium-term outlook for the geared dry bulk segment.  A recent
contraction in bulk carrier newbuild ordering amid trade and regulatory
uncertainty could lead to a drop in deliveries from 2027 onwards while the
general trend toward decarbonisation should incentivise further slower
steaming and an incremental scrapping of older, less efficient tonnage.  The
impact should be more pronounced for the ageing Handysize fleet where 3.4% of
the current fleet is 30 years or older.

 

ENDS

 

 For further information, please contact:

Taylor Maritime Limited              IR@taylormaritime.com

 Edward Buttery

 Kael O'Sullivan

 Jefferies International Limited      +44 20 7029 8000

 Stuart Klein

 Gaudi Le Roux

 Panmure Liberum Limited              +44 20 3100 2190

 Chris Clarke

 Nicholas How

 

The person responsible for arranging for the release of this announcement on
behalf of the Company is Matt Falla, Company Secretary.

 

Notes to Editors

 

About the Company

Taylor Maritime Limited (formerly Taylor Maritime Investments Limited) is a
shipping company listed under the equity shares (commercial companies)
category of the Official List, with its shares trading on the Main Market of
the London Stock Exchange since May 2021.  Between May 2021 and February
2025, the Company was listed under the closed-ended investment funds category
of the Official List.

The Company is focused on navigating shipping market cycles on behalf of its
shareholders, leveraging a dynamic and experienced management team with deep
relationships in the industry and an agile business model underpinned by low
leverage and financial flexibility, to deliver long-term attractive returns
through both income and capital appreciation.

The Company, through its subsidiaries, currently has an owned fleet of 8 dry
bulk vessels (including 1 vessel held for sale) consisting of 6 Handysize
vessels and 2 Supra/Ultramax vessels.  The Company also has 1 vessel under JV
agreement and 5 vessels in its chartered in fleet.  The ships are employed
utilising a mix of time charter, voyage charter, and Contracts of
Affreightment ("CoAs") to optimise fleet earnings and cargo coverage.

The Company's current target dividend policy is 8 cents p.a. paid on a
quarterly basis.

For more information, please visit www.taylormaritime.com
(http://www.taylormaritime.com/) .

About Geared Vessels

Geared vessels are characterised by their own cargo loading equipment. The
Handysize and Supra/Ultramax market segments are particularly attractive,
given the flexibility, versatility and port accessibility of these vessels
which carry necessity goods - principally food and products related to
infrastructure building - ensuring broad diversification of fleet activity and
stability of earnings through the cycle.

IMPORTANT NOTICE

The information in this announcement may include forward-looking statements,
which are based on the current expectations and projections about future
events and in certain cases can be identified by the use of terms such as
"may", "will", "should", "expect", "anticipate", "project", "estimate",
"intend", "continue", "target", "believe" (or the negatives thereof) or other
variations thereon or comparable terminology. These forward-looking statements
are subject to risks, uncertainties and assumptions about the Company,
including, among other things, the development of its business, trends in its
operating industry, and future capital expenditures and acquisitions. In light
of these risks, uncertainties and assumptions, the events in the
forward-looking statements may not occur.

References to target dividend yields and returns are targets only and not
profit forecasts and there can be no assurance that these will be achieved.

 

LEI: 213800FELXGYTYJBBG50

 

 1  (#_ftnref1) Bank debt prepaid in full in July 2025

 2  (#_ftnref2) Financial liabilities relating to sale-leaseback transactions

 3  (#_ftnref3) Increasing to $186.9 million by 30 November 2025 following the
completion of three vessel sales post period

 4  (#_ftnref4) Includes Right-of-Use (ROU) assets, lease liabilities and
other assets and liabilities

 5  (#_ftnref5) Net of voyage expenses

 6  (#_ftnref6) Includes depreciation of $22.6 million, loss on disposal of
vessels of $1.8 million and impairment of vessels of $18.8 million

 7  (#_ftnref7) Excluding loss on disposal from vessel sales and net changes
in fair value of financial assets

 8  (#_ftnref8) The impairment charge relates entirely to vessels designated
for sale during the period, reflecting the required remeasurement to fair
value less costs to sell under IFRS 5

 9  (#_ftnref9) Clarksons benchmark 61k dwt 10 year old Supra/Ultramax vessel

 10  (#_ftnref10) Clarksons benchmark 37k dwt 10 year old Handysize vessel

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  IR EAXAAFADSFEA



            Copyright 2019 Regulatory News Service, all rights reserved