Danaos Corporation

Good day and welcome to the Denaus Corporation Conference Call to discuss the financial results for the three months ending June 30, 2025. As a reminder, today's call is being recorded. Hosting the call today is Dr. John Gustas, Chief Executive Officer of Denaus Corporation, and Mr. Evangelos Hadzis, Chief Financial Officer of Denaus Corporation. Dr. Gustas and Mr. Hadzis will be making some introductory comments, and then we will open the call to a question and answer session. Should you need assistance, please signal a conference specialist by pressing star, then zero on your telephone keypad. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star, then one on your telephone keypad. To withdraw your question, please press star, then two. Please note this event is being recorded. I would now like to turn the conference over to Evangelos Hadzis. Please go ahead.

Thank you, operator. Good morning, everyone, and thank you for joining us today. Before we begin, I quickly want to remind everyone that management's remarks this morning may contain certain forward-looking statements and that actual results could differ materially from those projected today. These forward-looking statements are made as of today, and we undertake no obligation to update them. Factors that might affect future results are discussed in our filings with the SEC, and we encourage you to review these detailed safe harbor and risk factor disclosures. Please also note that where we feel appropriate, we will continue to refer to non-GAAP financial measures such as EBITDA, adjusted Metinkan, time charter equivalent revenues, and time charter equivalent dollars per day to evaluate our business. Reconciliation of non-GAAP financial measures to GAAP financial measures are included in our earnings release and accompanying materials. With that, let me now turn the call over to Dr. John Kustos, who will provide the broad overview of the quarter. John?

Thank you, Evangelos. Good morning, and thank you all for joining today's call to discuss our results for the second quarter of 2025. As we move through the second half of the year, some uncertainties around global trade are beginning to subside. In particular, there is increasing clarity about tariffs, many of which have been or are being finalized at much lower rates than feared. While tariffs on imports to the U.S. will be much higher than historic averages, the U.S. economy is stable and the American consumer keeps purchasing foreign goods. As inventories normalize, we anticipate a gradual improvement in trade flows. Geopolitically, there have been no major shifts with the conflicts in Ukraine and Gaza ongoing. The absence of further escalation is somewhat reassuring, though the potential for volatility remains elevated. We continue to monitor developments closely, but we have not seen any new disruptions to global shipping routes in the past quarter. Against this backdrop, we are maintaining our disciplined approach to capital allocation. We're not broadly participating in the current wave of speculative ordering, particularly in the figure segment, where pricing appears disconnected from long-term fundamentals, and we're only pursuing investments that meet our return criteria. In the second quarter, we added one additional 6,000 EU vessel to our order book at the figure with which we have an existing relationship. Importantly, this vessel has already been fixed on a five-year charter to a long-standing client, locking in visibility and attractive returns. Our chartering strategy continues to deliver results. We added approximately $113 million to our contracted revenue backlog since the previous earnings release, and our $3.6 billion total contracted revenue base provides meaningful insulation from shorter market fluctuations. Our contracted charter coverage stands at 99% for 2025 and 88% for 2026, including new buildings scheduled for delivery during this period. On the dry bulk side, we saw some seasonal firming in the market, but broader weakness persists largely due to deflationary conditions in China. While we continue to evaluate opportunities in the sector, asset values for modern tonnage remain elevated, and we are in no rush to commit capital in an uncertain macroeconomic environment. From a financial perspective, we remain in an enviable position. With minimal leverage on the growing base of contracted earnings, we have the luxury of patience. Our strong balance sheet and cash generation capacity provide ample firepower to support our strategic priorities and position the announced for long-term success. We continue to focus on discipline execution, operational excellence, and value creation for our shareholders. With that, I'll hand the call over back to Evangelos, who will take you through the finances of the quarter. Evangelos?