But if I knew how to manage my portfolio safer and smarter than most hedge fund managers, I could realistically grow my wealth.
What’s the outlook for Star Bulk’s market trends?
Star Bulk Carriers is slightly more bullish on the iron ore ton mile side due to the expected increase in the Brazilian export share to China.
Star Bulk’s deliveries for 2008–2012 average delivery slippage stood at ~30% compared to ~39% in 2013. Forecast delivery slippage is at 35% for 2014 and 40% for 2015.
Star Bulk believes the recent coal import restrictions were minimal, while the freight rate agreement signing between Australia and China can be a positive development.
Star Bulk management stated that commodity demand remains healthy, while substantial supply expansion has resulted in surpluses across various commodity markets.
This part covers Star Bulk’s cash flow numbers given the company’s rapid expansion of its fleet size through acquisitions and other related developments.
Star Bulk’s management fee income is at $0.3 million compared to $0.5 million for 3Q13, due mainly to a decrease in the number of vessels under management.
Star Bulk obtained commitments for $157.0 million of post-delivery debt financing, secured by mortgage collateral on eight newbuilding Ultramax vessels.
Due to rapid expansion, Star Bulk’s financing levels are higher compared to its industry peers.
Star Bulk’s depreciation and interest costs Star Bulk Carriers Corp.’s (SBLK) depreciation expense increased to $10.7 million for the third quarter of 2014, compared to $4.0 million for the third…
Star Bulk places an emphasis on its eco-fleet, which thus leads to bunker savings up to 25% on some of its ships. Almost 60% of its fleet is energy efficient.
While Star Bulk has a growth in personnel headcount to accommodate the fleet growth over the years, there’s a decline in core overhead cost per vessel.
Star Bulk seeks to employ its fleet in an active and sophisticated manner tailored to the fuel efficiency of its vessels.
For 3Q14, Star Bulk recorded total voyage revenues of $36.5 million compared to $17.3 million for 3Q13. This increase is due mainly to its growing fleet.
Star Bulk merged with Ocean Bulk in July, right after the high price levels of March weakened. It took advantage of even lower vessel prices in its Excel acquisition in August.
Star Bulk Carriers’ fleet includes 52 operating vessels, 16 second-hand vessels yet to be delivered, and 35 newbuilding vessels still under construction.
Frontline’s (FRO) current tanker fleet level has reached its highest since 2009. Looking ahead, it’s likely that there could be higher utilization environments and thereby a stronger tanker market.
Frontline recorded better vessel earnings compared to the second quarter. Improved fleet utilization was due to increased travel distance driven by crude moving from the Atlantic Basin to China.
As of September 30, 2014, Frontline Ltd.’s (FRO) cash and cash equivalents increased to $104.6 million from $79.3 million as of September 30, 2013.
Frontline’s board is continuing to consider several alternatives in restructuring the company’s debt and capital lease obligations with a target to rebuild Frontline as a leading tanker company.
Frontline’s (FRO) financial expenses increased by $3.4 million during 3Q14, which includes an increase in expenses of $5.0 million of Independent Tankers Corporation Limited (ITCL) related to the deconsolidation of the Windsor group.