Navios Maritime Holdings Inc.

Thank you for joining us for Navios Maritime Partners' fourth quarter, 2024, earnings conference call. With us today from the company are Chairwoman and CEO, Ms. Angeliki Frangou, Chief Operating Officer, Mr. Stratos Desipris, Chief Financial Officer, Mrs. Eri Tsironi, and Vice Chairman, Mr. Ted Petroni. As a reminder, this conference call is being webcast. To access the webcast, please go to the investor 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. Frango will offer opening remarks. Next, Mr. DeCipris will give an overview of Navios Partners segment data. Next, Ms. Cerrone will give an overview of Navios Partners financial results. Then, Mr. Petrone will provide an industry overview. And lastly, we'll open the call to take questions. Now, I turn the call over to Navios Partners 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 full year and the fourth quarter of 2024. For the full year, we reported revenue of $1.33 billion, of which $332.5 million related to the fourth quarter. We also reported net income of $367.3 million and $94.7 million for the full year and the fourth quarter, respectively. Earnings per common unit were $11.98 for the 2024 and $3.11 for the fourth quarter. Since the pandemic, our markets were driven primarily by geopolitical events of conflict in Ukraine and the Middle East. We don't know how these events will be resolved. We also don't know the extent to which nations will be subject to continuing or even expanded sanctions. In our view, the resolution of the conflicts in Ukraine and the Middle East may involve significant sanctions on oil-producing nations, materially impacting world trade. In addition, the Trump administration has been vocal about its new tariff scheme, but has not yet provided a complete roadmap so we cannot fully understand its inevitable impact on global trade. Please turn to slide 6. Navios Partners is a leading publicly listed shipping company with 176 vessels. These vessels have an average age of 9.8 years and are in three different segments and 16 asset classes. As you can see, the vessel value is approximately equal in each sector. We ended 2024 with a contracted revenue of $3.6 billion and $312.1 million of cash on our balance sheet. We also entered 2025 well-positioned, as 63% of our 2025 available days are fixed. As a result, our break-even is estimated at about $425 per open index day. Our net LTV as of the end of the fourth quarter was calculated at 34.8%, resulting from a contraction in value primarily in the dry bike sector. Please turn to slide seven. I would like to focus on our return on capital program. Under our dividend program, we pay 20 cents dividend per unit annually. or $6.1 million in total for 2024. In addition, in 2024, we repurchased 489,955 common units for $25 million under the unit repurchase program. Including dividends, we returned a total of $31.1 million in 2024. Through February 7, 2025, we purchased a total of 585,420 common units for $29.2 million, retiring 1.9% of the original float. As unit repurchases were well below estimated NAV, we effectively returned another $1.8 per unit of value to each unit holder through this NAV aggregation. As of February 7, 2025, we have $70.8 million available under our unit repurchase program. The volume and timing of further repurchase 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 a sales and purchase update. For the fourth quarter and 2025 year-to-date sales, we generated 18.8%. million gross sales proceeds from the sale of two dry bulk vessels with an average age of 18.7 years. We acquired one vessel for an effective price of $25.4 million by exercising an option on a chartering vessel. We also received delivery of four previously announced new building vessels. three container ships, and one tanker vessel. You can see the terms of the related charters on the slide. Contracted revenue update. We continue to focus on building contracted revenue, which is now calculated at about $3.6 billion. We added $79 million of contracted revenue as follows, $59.4 million relating to tankers, and $19.6 million related to a container ship. our operating cash flow potentially remains strong. For 2025, we have an estimated break-even of $425 per open index day, with 37% of our fleet available days open or index. Please turn to slide nine, where we focus on how we are executing on our strategy. We have achieved a 23% 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 23 vessels have been delivered. We have also sold 33 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 the same size as it was in the 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 vessel value, the steel value of our fleet has increased by about 34% since the end of 2022. I would also note that these still values do not give any consideration to a $3.6 billion contracted revenue. We present at the bottom of this slide the average analyst estimate of the company's NAV per unit for the period starting fourth quarter 2022 and ending fourth quarter 2024. Navios per unit and AV increased by $32.2 to $143.2, an increase of 29% over the two-year period. And I'll turn the presentation over to Mr. Stratos Desipris, 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 2025. We fixed 63% of our available days at the net average rate of $26,198 per day. Contracted revenue almost covers our total cash expense for the year, leaving an estimated break-even of $425 per open index day. We have 21,018 remaining open or index-linked days that should provide substantial cash flow. So that you can perform your own sensitivity analysis, on the right side of the slide, we provide our 56,387 available days by vessel type. Please turn to slide 11. We are constantly renewing our fleet in order to maintain a young profile. We reduce our carbon footprint by modernizing our fleet, benefiting from newer technologies and advanced environmentally friendly features. In Q4 and so far in Q1, we took delivery of four vessels. Two 5,300 TEU container ships all chartered out for an average period of 5.3 years at an average net daily rate of $36,818. One LR2 Aframax vessel, which has been chartered out for five years at $25,253 net per day. And our first 7,700 TEU LNG dual fuel container ships, which is chartered out for 12 years at an average rate of $41,753 net per day. Following these deliveries, we have 23 additional new building vessels delivering to our fleet through 2028, representing 1.6 billion of investment. In container ships, we have five vessels to be delivered with a total acquisition price of about 0.6 billion. We have mitigated this risk with long-term credit-worthy charters, expected to generate about half a billion in revenue over a six-year average charter duration. In tankers, we have 18 vessels to be delivered, for a total price of approximately 1 billion. We chartered out 14 of these vessels for an average period of 5 years, expected to generate aggregate contracted revenue of about 0.7 billion. We have also been opportunistically replacing older vessels. In 2024 and 2025 to date, we sold 11 vessels with an average age of 17.8 years for about 202 million. At the same time, we exercised purchase options on five chartering Japanese-built dry-bulk vessels with an average age of eight years for a total price of 142 million. Moving to slide 12, we continued to secure long-term employment. In Q4 and 2025 year-to-date, we created about 79 million additional contracted revenue. Approximately 20 million is from container ships and about 59 million from tankers. Our total contracted revenue amounts to 3.6 billion. 1.4 billion relates to our tanker fleet, 0.2 billion relates to our dry-bark fleet, and 2 billion relates to our container ships. Charters are extending through 2037 with a diverse group of quality counterparties. I now pass the call to Eri Cironi, our CFO, who will take you through the financial highlights. Eri?