Q2 2024 Diana Shipping Inc Earnings Call
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Operator: Welcome to the Diana Shipping 2024 second quarter conference call and webcast. At this time, all participants are in a listen-only mode. The question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. I would now like to turn the call over to Edward Nebb, Investor Relations Advisor. Thank you. You may begin. Thank you.
Edward Nebb: Thank you, Daryl, and thanks to everyone who is joining us today for the Diana Shipping Inc. 2024 second quarter conference call. With us today for management is Semiramis Paliou, Chief Executive Officer, who will introduce the other members of the management team. And so, without further ado, I will turn the call over to Ms. Paliou.
Thank you, Daryl, and thanks to everyone who is joining us today for the Diana Shipping Inc. 2024 second quarter conference call.
Speaker Change: With us today for management is Semiramis Paliou, Chief Executive Officer, who will introduce the other members of the management team. And so, without further ado, I will turn the call over to Ms. Paliou.
Semiramis Paliou: Good morning, ladies and gentlemen, and welcome to Diana Shipping Inc.'s second quarter 2024 financial results conference call. I'm, as Ed said, Semiramis Paliou, the CEO of Diana Shipping, and it's my pleasure to present, alongside our esteemed team, Mr. Stacy Margaronis, Director and President, Mr. Ioannis Zafirakis, Director, CFO, and Chief Strategy Officer, Mr. Lester Before we begin, please review the forward-looking statements on page 4 of the accompanying investor presentation. After a strong first quarter, the second quarter has remained resilient.
Semiramis Paliou: Thank you, Ed.
Semiramis Paliou: The average Baltic Time Charter rates for Cape-sized vessels fell around 7%, while Panamax rates increased by 6%, and Supermax rates rose by 16%. Compared to recent years, the end of the second quarter and the start of the third quarter were somewhat muted, but sentiment remains strong, as shown by the time-charter rates in our most recent period pictures. Turning to slide 5, let's review our company, Snapshot. Founded in 1972 and listed on the New York Stock Exchange since 2005, Diana Shipping Inc. operates a fleet of 39 dry bulk vessels, five of which are mortgage-free, with an average age of 11 years and a total dead weight of approximately 4.4 million tons.
Semiramis Paliou: conference call. I'm, as Ed said, Semiramis Paliou, the CEO of Diana Shipping, and it's my pleasure to present, alongside our esteemed team,
Semiramis Paliou: We are expecting the delivery of two methanol dual-fuel new-building CamphorMax dry bulk vessels in around 2027 and 2028. Our fleet utilization reached 99.5% in the second quarter of 2024, reflecting our efficient vessel management. As of the end of June, we employed 1,000 people at sea and ashore.
Semiramis Paliou: Financially, our net debt stands at 38% of market value, with $140 million in cash reserves and total secured revenues of approximately $145 billion. $1,000,000 On slide 6, we highlight key developments from the second quarter. We recharted 8 vessels year-to-date with an average charter rate increase of 11% with high quality counterparts.
Speaker Change: Before we begin, please review the forward-looking statements on page 4 of the accompanying investor presentation.
Speaker Change: After a strong first quarter, the second quarter has remained resilient. The average Baltic Time Charter rates for Cape-sized vessels fell around 7%, while Spanamax rates increased by 6% and Supermax rates rose by 16%.
Speaker Change: Compared to recent years, the end of the second quarter and the start of the third quarter are somewhat muted. The sentiment remains strong, as shown by the time-charter rates in our most recent period pictures.
Speaker Change: Let's review our company snapshot
Speaker Change: Founded in 1972 and listed on the New York Stock Exchange since 2005, Diana Shipping Inc. operates a fleet of 39 dry bulk vessels.
Speaker Change: five of which are mortgage-free, with an average age of 11 years, and a total dead weight of approximately 4.4 million tons.
Speaker Change: As of the end of June , we employed 1,000 people at sea and ashore.
Speaker Change: Financially, our net debt stands at 38% of market value, with $140 million in cash, reserves and total secured revenues of approximately $145 million.
Speaker Change: On slide 6, we highlight key developments from the second quarter.
Semiramis Paliou: On June 18, 2024, we announced the pricing of a $150 million placement in the Norwegian market of senior unsecured bonds maturing in July 2029 with an 8.75% fixed rate coupon. The net proceeds from the bonds were used to refinance all of the company's US$125 million senior unsecured bonds due in 2026. As of July 24, 2024, we raised 25.3 million U.S. dollars from the exercise of warrants under our ongoing warrants program, with a further 65 million U.S. dollars possible. On July 25, 2024, we signed a $167.3 million U.S. dollar six-year secured term loan facility with Nordea Bank, secured by 10 vessels. This refinancing released two previously mortgaged vessels.
Speaker Change: On July 25, 2024, we signed a $167.3 million U.S. dollar six-year secured term loan facility with Nordea Bank, secured by 10 vessels.
Speaker Change: This refinancing released two previously mortgaged vessels.
Semiramis Paliou: We have secured revenue for 74% of the remaining ownership days of 2024, amounting to approximately 76.8 million U.S. dollars and approximately 68.9 million U.S. dollars for 2025, covering 26% of the available ownership days. Ioannis will provide a more detailed analysis of our cash flow generation potential later on. Finally, we are pleased to declare a quarterly cash dividend for the quarter ending June 30 of 7.5 cents per common share, totaling approximately 9.4 million U.S. dollars.
Speaker Change: We have secured revenue for 74% of the remaining ownership trades of 2024.
Speaker Change: covering 26% of the available ownership days. Ioannis will provide a more detailed analysis of our cash flow generation potential later on.
Ioannis: Finally, we are pleased to declare a quarterly cash dividend for the quarter ending June 30th of 7.5 cents per common share, totaling approximately 9.4 million US dollars.
Semiramis Paliou: Slide 7 This summarizes our recent chartering activity. Since our last earnings presentation, we have secured profitable time charters for eight vessels. Specifically, we charted one Ultramax vessel at a daily rate of 15,400 US dollars for 316 days. We charted six Panamax and post-Panamax vessels at a weighted average daily rate of $15,455 for 259 days, and one Newcastle Maxx vessel at $28,700 USD for 438 days. Slide 8 illustrates our strategy of staggered charters that we believe will result in positive free cash flows and efficient market participation. Now I'll pass the floor to Ioannis for a detailed financial analysis. Thank you.
Ioannis: Slide 7 summarizes our recent chartering activity. Since our last earnings presentation, we have secured profitable time charters for 8 vessels.
Ioannis: Specifically, we charted one Ultramax vessel at a daily rate of 15,400 US dollars for 316 days.
Ioannis: We charted six Panamax and post-Panamax vessels at a weighted average daily rate of $15,455 for 259 days.
Ioannis: Slide 8 illustrates our strategy of staggered charters that we believe will result in positive free cash flows and efficient market participation.
Ioannis: Now I'll pass the floor to Ioannis for a detailed financial analysis. Ioannis. Thank you. Thank you, Semiramis.
Ioannis G. Zafirakis: Thank you. Thank you very much.
Ioannis G. Zafirakis: Here we are again for our conference call for the results, and we are going to be talking about the second quarter of 2054 financials. I think this slide is the most important point for someone to notice is the net loss of $2.8 million. However, this has been influenced by some non-cash items like the pricing of the warrants and also our shareholding in Ocean Pal calculated accounting-wise. Otherwise, we would have been on the positive side of the situation.
Speaker Change: Here we are again for our conference call for the results and we are going to be talking about the second quarter of 2024 financials.
Ioannis: I think, at this slide, the most important point for someone to notice is the net loss of 2.8 million dollars, however.
Ioannis: This has been influenced from some non-cash items like the pricing of the warrants and also...
Ioannis: our shareholding in OCEANVAL calculation accounting-wise. Otherwise, we would have been on the positive side of...
Ioannis G. Zafirakis: Our cash and cash equivalent stands at $140 million, and our long-term debt and financial liabilities, net of deferred financial costs, have decreased, and it is at $613.5 million. Moving to the next slide, our ownership days have decreased compared to the ownership days for the same quarter in 2023, but we have kept the utilization very high. And, of course, the time charter equivalent rate has decreased to $15.5 million, or 15,106 U.S. dollars compared to 17,311 U.S. dollars in the same quarter of the previous year.
Ioannis: Our cash-in-cash equivalent stands at $140 million.
Ioannis: And our long-term debt and financial liabilities, net of deferred financial costs, has been decreased, has decreased, and it is at $613.5 million. Moving to the next slide, our ownership days have decreased compared to the ownership days for the same quarter in 2023.
Ioannis: but we have kept the utilization very high. And, of course, the time charter equivalent rate has decreased to 15.0.
Ioannis: 15,106 US dollars compared to 17,311 US dollars in the same quarter of the previous year.
Ioannis G. Zafirakis: Now, in the six-month period, again, you can see the ownership days that have increased and also the decrease, sorry, I beg your pardon, also the time charter equivalent that has decreased to 15,000, approximately from 17,900 in the previous six months. The daily operating expenses we have kept at a very similar level. Moving to our debt profile, we are very happy, as we have said in the past, with the way we have managed our credit facilities, together with the share and lease back facilities, and also the senior and secure bond.
Ioannis: Now, in the six-month period, again, you can see the ownership days that have increased and also the decrease, sorry, I beg your pardon.
Ioannis: Also the time charter equivalent that has decreased to 15,000 approximately from 17,900 in the previous six months.
Ioannis: The daily operating expenses we have kept at very similar levels.
Ioannis: Moving to our debt profile, we are very happy, as we have said in the past, the way we have managed our credit facilities, together with the share and lease back facilities, and also the senior and secure bonds.
Ioannis G. Zafirakis: Basically, the way now the debt profile is that we don't have, basically, we have no maturities except a small one in 2028, and we start having maturities in 2029. Also, if you notice at the bottom of the graph, the projected senior and secured, on balance, together with the Seilen-Lisbach unamortized balance, and the loan balances are supposed to be decreasing steadily and slowly until 2029. In the next slide, here again, we show that based on our fixed dates and our unfixed dates, if we were to project using the FFA rates as of July 26, 2024, there is some room to have a profit in 2024 and also in 2025.
Ioannis: Basically, the way now...
Ioannis: The debt profile is that we don't have... basically we have no maturities except a small one in 2028 and we start having maturities in 2029.
Ioannis: Notice at the bottom of the graph, the projected senior and secured...
Ioannis: on balance, together with the salient leaseback and amortized balance and the loan balances, is supposed to be decreasing steadily and slowly till 2029 onwards.
Ioannis: In the next slide, here again, we show that based on our fixed dates and our unfixed dates, if we were to project using the FFA rates as of July 26, 2024, there is some room to have a profit in 2024 and also in 2025.
Ioannis G. Zafirakis: As regards our dividend policy, we are very happy also that we managed to accumulate since 2021, the third quarter of 2021, $2.634 per common share. You can see that our CEO also mentioned that we just announced another 7.5 cents per share. Stacey Margaronis is going to follow with the dry bulk market overview.
Ioannis: As regards our dividend policy, we are...
Ioannis: We are very happy also that we have managed to accumulate since 2021, the third quarter of 2020.
Ioannis: $2.634 per common share
Speaker Change: She also mentioned that we just announced another 7.5 cents per share.
Speaker Change: Stacey Margaronis is going to follow now with the dry bulk market overview.
Anastasios C. Margaronis: As mentioned in our last call, geopolitical developments have continued to have a profound effect on developments in the dry bulk carrier market during the second quarter of this year as well. For example, the 12-month time charter rate for CAPES started the year at $19,500 per day, and the latest fixtures were around $22,100 per day. For CAPESMAXXES, the figures were $14,500 per day and $15,600, respectively. And for SUPRAMAXXES, rates started the year at $13,000 a day, and recent pictures were around 14,000 per day.
Anastasios C. Margaronis: Thank you, Ioannis.
Anastasios C. Margaronis: As mentioned in our last call, geopolitical developments have continued to have a profound effect on developments in the dry bulk area market during the second quarter of this year as well.
Anastasios C. Margaronis: The 12-month time charter rate for CAPES started a year at $19,500 per day, and the latest fixtures were around $22,100 per day. For cancer maxes, the figures were $14,500 per day and $15,600 per day.
Anastasios C. Margaronis: respectively and for supramaxes rates started the year at 13,000 a day and recent pictures were around 14,000 per day.
Anastasios C. Margaronis: The highest levels for case and cancer maxes were reached in March this year at $27,000 a day and $17,000 a day, respectively. Rates reached their highest level early this month for supramaxes at around $16,000 a day.
Anastasios C. Margaronis: The highest levels for case and cancer maxes were reached in March this year at $27,000 a day and $17,000 a day, respectively. Rates reached their highest level early this month for supramaxes at around $16,000 a day.
Anastasios C. Margaronis: As reported by Clarkson, during the first five months of this year, average sector earnings were U.S. dollars $15,750 per day, up 40% on a year-on-year basis. The main reasons for this firmness were firm bulker demand in the Atlantic created by firstly Brazilian iron ore exports and, secondly, Guinean bauxite exports. Thirdly, Brazilian grain exports for U.S. East Coast Coal and Grain Exports, and finally manganese ore shipments from West Africa, mainly Ghana and Gabon.
Clarkson: As reported by Clarkson, during the first five months of this year, average sector earnings were US dollars $15,750 per day, up 40% on a year-on-year basis.
Speaker Change: The main reasons for this firmness were firm bulker demand in the Atlantic created by firstly Brazilian iron ore exports, secondly guinea bauxite exports, thirdly Brazilian grain exports.
Speaker Change: Fourth, U.S. East Coast coal and grain exports, and finally manganese ore shipments from West Africa, mainly Ghana and Gabon.
Anastasios C. Margaronis: According to Brehmar, due to its use in steelmaking, China remains the dominant driver for manganese imports, while shipments to India might be rising soon as well. Growth in this group of commodity shipments mentioned above is expected to add 500 billion ton miles to dry bulk demand this year alone, which would represent about 45 percent of dry bulk demand growth in Thammae. Added to the above are the positive impacts of the Red Sea and Panama Canal disruptions, which according to Clarkson's have increased bulker demand by about 1.2% over the last 12 months. As regards the Panama Canal, bulker transits have until recently been one-third their normal number. These might start increasing during the second half of the year, which will somewhat reduce 10 miles demand going forward.
Anastasios C. Margaronis: According to Brehmardt, due to its use in steelmaking, China remains the dominant driver for manganese imports, while shipments to India might be rising soon as well.
Brehmardt: Growth in this group of commodity shipments mentioned above is expected to add 500 billion ton miles to dry bulk demand this year alone, which would represent about 45% of dry bulk demand growth.
Thang Mai: and Thang Mai.
Thang Mai: As regards the Panama Canal, bulker transits until recently have been one-third their normal number. These might start increasing during the second half of the year, which will somewhat reduce ton-mile demand going forward.
Anastasios C. Margaronis: Average bulker earnings in 2021 were 26,887 per day and in 2022, 20,478. So the market has plenty of catching up to do before reaching those levels. Turning to macroeconomic news, the expected GDP growth figures as published by the IMF are shown in this slide. World GDP growth, which has been adjusted slightly upward to 3.2% this year and 3.3% in 2025, is supportive of demand for bulk carriers, particularly through its effect on minor bulk trade.
Thang Mai: World GDP growth, which has been adjusted slightly upward to 3.2% this year and 3.3% in 2025, is supportive for demand for bulk carriers, particularly through its effect on minor bulk trade.
Anastasios C. Margaronis: Overall, Clarkson predicts that rival Sunmile trade growth this year will be 3.9%, outpacing Fleet growth of 3.1%. Slower bulk carrier operating speeds, down about 1% so far this year, and the gradual rise in port congestion from last year's lows, particularly in Brazil, are also likely to support earnings. Turning to the demand side, Major bulk commodities such as iron ore, coal, and grains are all expected to grow this year by around 2 to 3%.
Thang Mai: Turning to the demand side.
Anastasios C. Margaronis: As for 2025, iron ore shipments are expected by classrooms to drop by 1% to 1.576 billion tons, as well as thermal coal growth which might come in negative by 1% and reach 1.033 billion tons. The rest of the major commodities should show some growth going into 2025. Chinese seaboard iron ore imports were up 7% year-on-year between January and May this year, reaching 505 million tons.
Speaker Change: As for 2025, iron ore shipments are expected by classrooms to drop by 1% to 1.576 billion tons, as well as thermal coal growth, which might come in negative by 1% and reach 1.033 billion tons.
Thang Mai: Chinese seaborne iron ore imports were up 7% year-on-year between January and May this year, reaching 505 million tons.
Anastasios C. Margaronis: These were supported by higher iron ore prices despite concerns about stocks in Chinese ports. The seaborne miner bulk trade is also expected to grow by about 3% in 2024 and by the same percentage next year and reach 2.269 billion tons. This trade is more directly related to world growth, and macroeconomic headwinds are expected to ease somewhat for the rest of this year and into 2025, thus lending support to shipments of such commodities as agribusiness, fertilizers, sugar, minerals, and related products.
Thang Mai: These were supported by software iron ore prices despite concerns about stocks in Chinese ports.
Thang Mai: The seaborne miner bulk trade is also expected to grow by about 3% in 2024 and by the same percentage next year and reach 2.269 billion tons.
Speaker Change: of such commodities as agribus, fertilizers, sugar, minerals and related products.
Anastasios C. Margaronis: Demand from China is expected to remain strong through the end of this year and into 2025. However, the potential onset of a strong La Nina event later this year could bring weather disruption to the operation of key exporters such as Australia, Brazil, and Indonesia.
Anastasios C. Margaronis: On Slide 17, we turn to Supply. According to Clarkson's, bulk carrier contracting has so far been slower, in 2024 compared to 2023, with 148 vessels contracted between January and May this year, down 40% year-on-year. Deliveries are currently projected to reach 35 million dead weight this year before easing back in 2025 to around 33 million tonne steps. The cape size fleet is expected to increase by 1.8% this year and by a mere 1.3% in 2025. For the Panama Camshell Maxes, the expected increases are 3.5% and 3%, respectively.
Speaker Change: On slide 17, we turn to supply. According to Clarkson's bulk carriers, contracting has so far been slower.
Speaker Change: Deliveries are currently projected to reach 35 million dead weight this year before easing back in 2025 to around 33 million tons still. The Cape side fleet is expected to increase by 1.8% this year and by a mere 1.3% in 2025.
Anastasios C. Margaronis: The HandiMax fleet is expected to increase by 4.1% this year and about the same in 2025. Looking at the order book, according to figures provided by Clarkson's, as of 1st July this year, there were 26.2 million deadweight tons of capes on order, representing just 6.6% of the trading fleet. The 32.7 million deadweight worth of Panamaxis on order represents 13% of the existing fleet. On the handymark side, there were 26.8 million deadweight on order, which represents 11.1% of the trading fleet. According to Braemar, congestion is apparently on the rise again.
Anastasios C. Margaronis: The HandiMax fleet is expected to increase by 4.1% this year and about the same in 2025.
Speaker Change: Looking at the order book, according to figures provided by Clarkson, as of 1st July this year there were 26.2 million deadweight worth of capes on order, representing just 6.6% of the trading fleet.
Speaker Change: The 32.7 million deadweight worth of Panamaxes on order represent 13% of the existing fleet.
Speaker Change: On the handymark side, there were 26.8 million deadwheat on order, which were 11.1% of the trading fleet.
Speaker Change: According to Braemar, congestion is apparently on the rise again.
Anastasios C. Margaronis: Leading this trend are ports in Brazil, where according to the International Grain Council's annual conference report in June, many of the factors that caused the surge in congestion in 2023 are reappearing today as well. Some of these are sugar exports putting pressure on sugar terminals and soybean exports likely to carry over into the third quarter corn export season. Turning to after-price, according to Clarkson, the overall change in bulk carrier asset values in July over the past 12 months was an increase of 22 percent. Kamsher Maxis, and particularly Kate, led this overall inquiry.
Speaker Change: Some of these are sugar exports, putting pressure on sugar terminals, and soybean exports likely to carry over into the third quarter corn export season.
Speaker Change: Turning to after prizes now.
Speaker Change: According to Clarkson, the overall change in bulk carrier asset values in July over the past 12 months was an increase of 22%.
Anastasios C. Margaronis: According to Clarkson, five-year-old capes are worth about $64 million today, and the resale new building price stands at around $77 million. Five-year-old CountryMaxes are selling for around $38.5 million, while a new building resale would bring about $43.5 million. All these are for ships with conventional engines. On the demolition side, according to Simpson, Spence & Young, during the first half of 2024, around 190 bulkers were committed to be scrapped, amounting to 3.73 million deadweight.
Speaker Change: According to Clarkson, five-year-old capes are worth about $64 million today and the resale new building price stands at around $77 million.
Speaker Change: Five-year-old Campshermaxes are selling at around $38.5 million, while new building resale would bring about $43.5 million today.
Anastasios C. Margaronis: All these are for ships with conventional engines.
Anastasios C. Margaronis: Statistics provided by Grafton show that 5.4 million deadweight tons of bulk carriers were sold for scrap in 2023, and 2.3 million deadweight tons have been scrapped so far this year. However, prices have remained relatively steady at between $510 and $525 per lifetime.
Glaston: Statistics provided by Glaston show that 5.4 million deadweight worth of bulk carriers were sold for scrap in 2023 and 2.3 million deadweight tons have been scrapped so far this year.
Anastasios C. Margaronis: Scrapping in 2025 will very much depend on the state of the freight market at the time, as well as sentiment for the medium-term prospects of the industry. It is worth noting that most of the huge numbers of bulkers that were delivered between 2009 and 2011 will soon have to pass their third special survey and will be required to comply with the latest environmental restrictions on emissions. Depending on their overall condition and the state of the market, several of these ships will be sold for scrap.
Anastasios C. Margaronis: So on slide 18, we have the outlook for our industry, and we list several items as bullet points which are positive and negative for our industry. Brehmer and Flatsons believe that the capesize market is expected to continue benefiting through the second half of this year from firm Atlantic iron ore, bauxite, and manganese extracts. The latter have recently started being shipped, not only in gear with Ultramaxes but larger vessels as well. Looking ahead into 2025, projections predict that there could be a small easing in markets as dry bulk trade is projected to grow by 1% in tonne-mile, slightly below the fleet growth of about 2.5%.
Speaker Change: Looking ahead into 2025, startups predict that there could be a small easing in markets as dry bulk trade is projected to grow by 1% in-ton miles, slightly below the fleet growth of about 2.5%.
Anastasios C. Margaronis: This assumes that the Red Sea disruption will gradually ease as the year progresses. However, impacts from environmental policies will influence earnings going forward, as 25% of the bulk area fleet capacity is estimated to have been rated D or E for CIIs last year. This fact, together with even slower operating speed, TST retrofitting, and the demolition of older units, will also influence the supply-demand balance over the next few quarters. Therefore, there is no firm direction that the market is expected to go from from the rest of this year and into 2025.
Speaker Change: Impacts from environmental policies will influence earnings going forward, as 25% of the bulk area fleet capacity is estimated to have been rated D or E for CII last year.
Speaker Change: Therefore, there is no firm direction that the market is expected to go from.
Anastasios C. Margaronis: However, as we have mentioned on numerous past conference calls, Diana's strategy is to avoid predicting future trends in fleet earnings and charter vessels in a staggered way, as was the case in 2005. This strategy helps avoid a cluster of vessels opening at the same time and smoothens out the company's cash flow over the medium and long term. I'll now pass the call to our CEO, Semiramis Paliou, to provide some important takeaway points from our quarterly earnings call. Thank you.
Speaker Change: from the rest of this year and into 2025. However, as we have mentioned on numerous past conference calls, Diana's strategy is to avoid predicting future trends in fleet earnings and charter vessels in a staggered way.
Speaker Change: as has been the case in 2005. This strategy helps avoid a cluster of vessels opening at the same time and smoothens out the company's cash flow over the medium and long term.
Semiramis Paliou: I'll now pass the call to our CEOs, Semiramis Paliou, to provide some important takeaway points from our quarterly earnings call. Thank you.
Semiramis Paliou: Thank you, Stacy. Before summarizing today's presentation, I'd like to highlight our ESG initiatives. We are committed to promoting eco-friendly technologies, modernizing our fleet, and transparently sharing emission data. We build on partnerships and collaborations to further our goals. We have developed an equity, diversity, and inclusion program, and we continuously invest in our people. For the past four years, we have published our ESG reports and remain committed to embracing and improving our standards.
Semiramis Paliou: Thank you, Stacy. Before summarizing today's presentation, I'd like to highlight our ESG initiatives. We are committed to promoting eco-friendly technologies, modernizing our fleet, and transparently sharing emission data.
Speaker Change: We build on partnerships and collaborations to further our goals.
Semiramis Paliou: We have developed an equity, diversity and inclusion program and we continuously invest in our people.
Semiramis Paliou: For the past four years, we have published our ESG report and remain committed to embracing and improving our standards.
Semiramis Paliou: Moving on to slide 20, in summary, Diana Shipping Inc., with over 50 years of experience and nearly 20 years on NICE, has an experienced management team ready to tackle industry challenges. We maintain strong stakeholder relationships and a disciplined strategy, focusing on a solid balance sheet, a counter-cyclical approach, fleet modernization, rewarding our shareholders whenever possible, and a robust ESG strategy.
Semiramis Paliou: So moving on to slide 20. In summary, Diana Shipping Inc., with over 50 years of experience and nearly 20 years on the NICE, has an experienced management team ready to tackle industry challenges.
Speaker Change: We maintain strong stakeholder relationships and a disciplined strategy, focusing on a solid balance sheet, a counter-cyclical approach, fleet modernization, rewarding our shareholders whenever possible, and a robust ESG strategy.
Operator: Thank you for joining us today. We now look forward to addressing your questions during the Q&A session. Thank you. At this time, we will be conducting a question and answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will sound.
Operator: Thank you for joining us today. We now look forward to addressing your questions during the Q&A session.
Operator: Thank you. At this time, we will be conducting a question and answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 if you would like to remove your question from the queue for participants using speaker equipment. It may be necessary to pick up your handset before pressing start.
Operator: Thank you. At this time, we will be conducting the question and answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 if you would like to remove your question from the queue.
Operator: One moment, please, while we poll for your question. Thank you. I'm not showing any questions at this time. I'd like to turn the floor back over to management for closing remarks.
Speaker Change: For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys.
Operator: One moment, please, while we poll for your questions.
Operator: Thank you. I'm not showing any questions at this time. I'd like to turn the floor back over to management for closing remarks.
Semiramis Paliou: Thank you. So once again, thank you all for joining us today.
Semiramis Paliou: Thank you. So once again, thank you all for joining us today.
Operator: This does conclude today's teleconference. We appreciate your participation. You may disconnect your lines at this time. Enjoy the rest of your day.
Operator: Thank you.
Operator: This does conclude today's teleconference. We appreciate your participation. You may disconnect your lines at this time.
Operator: Enjoy the rest of your day.