Overview

* Pangaea Q2 adjusted net income misses analyst expectations, per LSEG data

* Adjusted EBITDA for Q2 misses consensus, reflecting lower market shipping rates

* Company sold Strategic Endeavor and purchased remaining equity ownership in Seamar Management

Outlook

* Pangaea sees signs of stabilization and increased activity in panamax and supramax segments

* Company focuses on disciplined capital deployment and fleet renewal

* Pangaea expects increased activity in arctic trade during Q3

* Company notes uncertainty around tariffs affecting long-term commitments

Result Drivers

* TCE RATE DECLINE - TCE rates decreased 25% year-over-year to $12,108 per day

* SHIPPING DAYS INCREASE - Shipping days rose 51% due to the acquisition of 15 handy-sized vessels, completed in late 2024

* MARKET RATE PRESSURE - Lower market shipping rates impacted adjusted EBITDA, which fell 4.1% from the prior year

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 -$0.02

Adjusted

EPS

Q2 Miss -$1.40 $4.14

Adjusted mln mln (1

Net Analyst)

Income

Q2 Net -$2.70

Income mln

Q2 Miss $15.30 $17.10

Adjusted mln mln (3

EBITDA Analysts

)

Q2 9.8%

Adjusted

EBITDA

Margin

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the marine freight & logistics peer group is "buy"

* Wall Street's median 12-month price target for Pangaea Logistics Solutions Ltd ( PANL ) is $8.80, about 43.9% above its August 6 closing price of $4.94

* The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)