Navios Maritime Holdings Inc. Price & Performance (NM)

Caine Mala. The Now I will review the Safe Harbor statement. This conference call could contain forward looking statements under the meaning of the Private Securities Litigation Reform Act of 1995 about Navios Holdings. Forward looking statements are statements that are not historical facts. Such forward looking statements are based upon the current beliefs and expectations of Navios Holdings Management and are Object 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 Holdings filings with the Securities and Exchange Commission. The information set forth herein should be understood in light of such risks. Navios Holdings does not We will begin this morning's conference call with Navios Holdings' Chairwoman and CEO, Ms. Angeliki Frangou. Angeliki?

Thank you, Michael, and good morning to all of you who joined us on today's call. I am pleased with our results for the Q2 of 2023, during which we reported revenue of $82,000,000 A net income of $15,500,000 Navios Holdings owns 2 assets, A 10.3 percent ownership interest in Navios Partners, a diversified marine transportation company And the 63.8 percent ownership interest in Navios South America Logistics, a logistics And infrastructure provided in the Hedrovia region of South America. We believe that the global conditions support Continued growth in the Hydrovia region. As the world's requirements involve whether for raw materials for green technology, All the requirements for mineral commodities or dynamically changing great rate patterns, our region will be providing solutions. We intend to play our part by maximizing the return from our existing assets through innovative logistics solutions that leverage I would like now to turn the call over to Mr. George Asniotis, We will go through the financials. George?

Thank you, Angeliki. Please turn to Slide 5 for a review of the Navios Holdings financial highlights for the Q2 and 1st 6 months of 2023. Focusing on EBITDA and net income from continuing operations In order to exclude the sale of the drybulk fleet in Q3 of 2022, EBITDA for the quarter was $42,300,000 compared to $41,600,000 in 2022. The 2023 results include 1,100,000 in Navios Holdings' shares Cain Malloy. $15,000,000 in 2022. Moving to the first half financial highlights. EBITDA for the first half of twenty twenty three It was $82,800,000 compared to $74,900,000 in the first half of twenty twenty two. The improvement is mostly due to an increase in the equity pickup Navios Partners and the improved results of Navios South American Logistics. Net income for the The period was about $30,000,000 compared to $590,000 in the first half of twenty twenty two. Net income for 2022 includes The $24,000,000 upfront fee paid in the form of convertible debenture for the refinancing of the ship mortgage notes in Q1 of 2022. Moving to Slide 6 and our balance sheet highlights. Following the sale of the fleet, the consolidated balance sheet mainly represents the balance sheet of Navios Safarmaker And our investment in Navios Partners.

The cash balance was about $69,000,000 compared to about $79,000,000 at the end of December 2022. Out of the 69,000,000, 23 was at Navios Holdings and 46 was at Navios South American Logistics. Please turn to Slide 7 for an overview of Navios South American Logistics. Navios Logistics is a leading infrastructure and logistics company in the Lithopiarejo. The company operates 3 port terminals, which for the first half of the year provided about 71% of our EBITDA, And these are complemented by our barge fleet for river transportation and product tanker fleet for coastal cabozar trade. We have unique infrastructure assets in the region, which we leverage to serve our existing clients and develop new business opportunities. At this point, I turn the call over to Ioannis Kajiotis for an update of Navios South American Logistics' recent developments.

Thank you, George. Please turn to Slide 8, where we discuss the recent developments. Increased mineral exports from the Curumba area in Brazil, As well as increased exports of agricultural products from Paraguay, Bolivia and the state of Mato Grosso in Brazil through the Hydrovir River system Are creating a positive environment for our iron ore port terminal and our barge business. In the Q2 of 2023, A record of 1,200,000 tons of minerals were transited through our port terminal compared to just 266,000 in the same period last year. Increased exports of iron ore as well as strong soybean and corn crops in Paraguay drive the demand for bus transportation. Since the beginning of the year, we have fixed 6 dry bus convoys on period charters, which should generate about $27,000,000 in revenue. All our remaining drybulk convoys are also fixed under volume contracts for this year. In the market of logistics for agricultural products, Trading partners are dynamic and our company is adapting its services to offer our clients innovative logistics solutions and capture new business. Argentinian crushing plants are importing soybeans from Brazil to cover the shortfall in the supply of raw material due to the Very domestic soybean crop.

Our grain port terminal in Uruguay is a cost competitive solution for the storage and transshipment of Brazilian beans Destined to Argentina. We expect the new trade to continue through the year and mitigate partially the impact of a weak Uruguayan soybean production this year. Market conditions in Cabotas continue to be healthy and our vessels are performing well. For the remaining 6 months of the year, We have fixed 90% of our available days expecting to earn a time charter equivalent of $27,143 per day per vessel. I would now like to turn the call over to Enrique Ferando, Navios Logistics' CFO, for the discussion of the financial results.

Thank you, Jan. Please turn to Page 9. Navios Logistics had a strong performance during Q2 2023, mainly driven by the improved results on the valves segment. EBITDA and profit in this slide have been adjusted to exclude €1,700,000 of impairment losses Incurred as a result of the sale of our banking in vessel, Him and H, which was completed in August 2023. The adjusted EBITDA was $32,500,000 3 percent higher as compared to the same quarter last year. In the VAR segment, Q2 2023 EBITDA increased by $4,200,000 to 9,500,000 A significantly increased demand for iron ore and grain transportation has allowed us to fix various bars convoys under period contracts at attractive rates. 4th segment EBITDA was $21,100,000 13% lower as compared to $24,400,000 during the same quarter last year. The positive impact of higher tariffs at the iron ore report and increased iron ore throughput from declines for the mine in Ambitria It was negatively offset by a lower grain throughput, mainly related to a reduction in the Uruguayan exports. In the Cabotage business, Q2 2023 adjusted EBITDA remained almost stable at €1,900,000 For Q2 2023, the adjusted profit was $6,100,000 4% lower as compared to the same period last year.

Turning to the financial results for the 6 months period ending June 30, 2023, revenue increased 15% to 146,600,000 Adjusted EBITDA increased by 6% to €59,100,000 and adjusted profit increased by €1,700,000 €7,700,000 compared to the same period last year. Please turn to Slide 10. Navios Logistics There's no significant debt maturities until 2025. Cash and cash equivalents at the end of Q2 2023 were 45,900,000 This concludes my presentation. I would now like to turn the call over to Angeliki for her final comments. Angeliki?

Thank you, Enrique. This concludes our Q2 2023 earnings conference call. Thank you. Thank you. This concludes today's program. Thank you for your participation. You may disconnect at any time.