Navios Maritime Holdings Inc.

Thank you for joining us for Navios Maritime Partners' third quarter, 2024, earnings conference call. With us today from the company are chairwoman and CEO, Ms. Angeliki Frangou, Chief Operating Officer, Mr. Stratos Tsipris, Chief Financial Officer, Mrs. Eri Tsironi, and Vice Chairman, Mr. Ted Petron. As a reminder, this conference call is being webcast. To access the webcast, please go to the Investors section of Navios Partners' website at www.navios-mlp.com. You'll see the webcasting link in the middle of the page, and a copy of the presentation referenced in today's earnings conference call will also be found there. Now I will review the safe harbor statement. This conference call could contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 about Navius Partners. Forward-looking statements are statements that are not historical facts. Such forward-looking statements are based upon the current beliefs and expectations of Navios Partners management and are subject to risks and uncertainties which could cause actual results to differ materially from the forward-looking statements. Such risks are more fully discussed in Navios Partners filings with the Securities and Exchange Commission. The information set forth herein should be understood in light of such risks. Navios Partners does not assume any obligation to update the information contained in this conference call. The agenda for today's call is as follows. First, Ms. Fangl will offer opening remarks. Next, Mr. Vesipis will give an overview of Navios Partners segment data. Next, Ms. Cerrone will give an overview of Navios Partners financial results. Then, Mr. Petron will provide an industry overview. And lastly, we'll open the call to take questions. Now, I turn the call over to Navya's partner's chairwoman and CEO, Ms. Angeliki Frangu. Angeliki?

Good morning, and thank you all for joining us on today's call. I am pleased with the results for the third quarter of 2024 and the nine-month period ended September 30th, 2024. For the quarter, we reported revenue and net income of $340.8 million and $97.8 million, respectively. For the first nine months, we reported revenue and net income of $1 billion and $272.6 million, respectively. Earnings per common unit were $3.20 for the quarter and $8.87 for the first nine months. This past 18 months has been a good time for shipping. All sectors have been performing well. More surprisingly, this performance has been in the face of slowing growth from China, an anemic European economy, and two-arm conflict. The Ukrainian conflict is in its third year and is evolving dangerously with the addition of North Korean troops to the battle space. The war in Israel is in its second year, having expanded to Lebanon and now including the direct exchange of fire between Iran and Israel. In light of this, I question whether we are becoming insensitive to increasing risk of struggling economies and expanding conflict zones. At Navios, we vigilantly monitor this increasing risk and try to calibrate our business activity accordingly. Please now turn to slide six. Navier Spartans is a leading publicly listed shipping company with 179 vessels diversified in 16 asset classes in three sectors. We have 331.9 million of cars on our balance sheet. We continue on our glide path to our target net leverage range of 20-25%. As you can see, our net LTV as of the end of the third quarter was 32.9%, not meaningfully up from the last quarter. Please turn to slide seven. I would like to focus on how we are returning capital to our unit holders. Under our dividend program, we pay a 20 cent dividend per unit annually. In addition, we have a 100 million unit purchase program. Under this program, year to date, we repurchased 351,125 units. We used 18.3 million to repurchase 1.2% of the original flow. Including dividends, we have returned a total of $22.9 million to our unit holders. In addition, the repurchase of our unit was accretive. The average estimate of our unit NAV is now around $148 per unit. In contrast, our unit repurchase price averaged $52.1. By repurchasing units well below analyst estimate NAV, we capture a 33.7 million discount. This represents a creation of $1.11 to each remaining unit holder. We have around 81.7 million of availability under the unit repurchase program. The volume and timing of further repurchases will be subject to general market and business conditions working capital requirements, and other investment opportunities, among other factors. Please turn to slide 8, where we provide you an S&P update. For the third quarter and Q4 2024 quarter-to-day sales, we generated 25.9 million gross sales from two dry bulk vessels with an average age of 19 years. For acquisitions, we spent $212 million for two new buildings, methanol-ready and scrubber-fitted 7,900 TU container ships. These container ships were fixed for $43,247 net per day for five years. In terms of deliveries, we took delivery of three previously announced new building vessels. two were 5,300 TU container ships fixed at an average rate of $37,282 net per day for 5.3 years, and one was an Afromax LR2 tanker fixed for 25,576 net per day for five years. Contracted revenue update. Contracted revenue continues to bleed and is currently $3.9 billion, up $200 million from the previous quarter. We added $421.7 million of contracted revenue in the third quarter and fourth quarter to date. $159.2 million was for two new buildings, 7,900 TU container ships, 43,247 net per day for five years, $147.4 million from five 4,250 TU container ships, fixed at $34,915 net per day for 2.3 years. $80.6 million from three MR2 tankers fixed for $24,544 net per day for three years, and $34.5 million from one VLCC tanker fixed at $44,438 net per day for 2.1 years. are operating cash flow potentially remains strong, with the fourth quarter of 2024 we estimate 61.8 million excess of contracted revenue over total cash expense, with 2,650 remaining opening index days. Please turn to slide 9, where we focus on how we are executing on our strategy. We have achieved a 27% decrease in net LTV since year end 2022. In terms of fleet renewal and modernization, we have purchased 46 new buildings since the first quarter of 2021, of which 19 vessels have been delivered. We have also sold 31 vessels since the third quarter of 2022. We provide a view of the evolution of our fleet through selected metrics. As you can see, our fleet is only slightly larger than it was in year end 2022. Our fleet age remains about the same. We maximize energy efficiency by maintaining a fleet of useful vessels with the latest technology. In addition, as you can see from vessels value, the steel value of our fleet has increased by about 31% since the end of 2023. I would like to point out that much of this increase has been from volatility in the container ship segment, which dropped significantly post-pandemic and has recovered in 2024 as a primary beneficiary of the Red Sea conflict and longer ton miles. I would also note that these still values do not give any consideration to our $3.9 billion contracted revenue. With a stable and performing fleet, our financial metrics are strong. Our adjusted EBITDA is up 5% over the first nine months of 2023 and 17.6% over the same period in 2022. Our cash balance is $332 million and current net leverage is 32.9%. A material improvement since the end of 2023 and in a path to reach our target of metallic PV of 20-25%. We present at the bottom of the slide the average analyst estimates of the company's NAV for the period starting Q4 2022 and ending Q3 2024. Navier's per unit NAV increased by $37 to $148, an increase of 33.3% over the 21-month period. I now turn the presentation over to Mr. Stratos Desikris, Navios Partners' Chief Operating Officer. Stratos?

Thank you, Angeliki, and good morning, all. Please turn to slide 10, which details our operating free cash flow potential for Q4 of 2024. We fixed 81% of available days at a net average rate of $26,052 per day. Contracted revenue is expected to exceed total cash expense by $61.8 million, and we have 2,650 remaining open or index linked days that should provide substantial additional cash flow. So that you can perform your own sensitivity analysis, on the right side of the slide, we provide our 15,741 available days by vessel type. Please turn to slide 11. We are constantly renewing the fleet, so we maintain a young profile. We reduce our carbon footprint by modernizing our fleet, benefiting from new technologies and ecovessels with greener characteristics. In Q3 and so far in Q4, we took delivery of three vessels, two 5,300 TU container ships, all chartered out for an average period of 5.3 years at an average net daily rate of $57,282. One LR2 Aframax vessel, which has been chartered out for five years, at $25,576 net per day. Following the deliveries, we have 27 additional new building vessels delivering to our fleet through 2028, representing $1.9 billion of investment. In container ships, we have eight vessels to be delivered, with a total acquisition price of $0.8 billion. We have mitigated this risk with long-term credit-worthy charges expected to generate about $0.8 billion in revenue over a 6.6-year average started duration. In tankage, we have 19 vessels to be delivered for a total price of approximately $1.1 billion, which, after out 15 of the vessels for an average period of five years, expected to generate aggregate contracted revenue of about $0.7 billion. We have also been opportunistically replacing older vessels. In 2024, we sold 9 vessels with an average age of 17.5 years for 183 million. At the same time, we exercised purchase options on 5 chapter-in Japanese-built vessels with an average age of 8 years for a total price of 142.1 million. Moving to slide 12, we continued to secure long-term employment. In Q3 and so far in Q4, we created about 420 million additional contracted revenue. approximately $305 million from our container ships and about $150 million from tankers. Our total contracted revenue amounts to $3.9 billion. $1.5 billion relates to our tanker fleet, $0.3 billion relates to our dry bulk fleet, and $2.1 billion relates to our container ships. Charters are extended through 2037 with a diverse group of quality counterparties. Almost 50% of our contracted revenue is expected to be earned by the end of 2026. I now pass the call to Eri Tsironi, our CFO, which will take you through the financial highlights. Eri?