Euroseas Ltd. provides ocean-going transportation services worldwide. The company’s fleet consists of containerships that transport container boxes providing scheduled service between ports.
As of March 31, 2024, the company’s fleet consisted of 20 containerships. The total cargo carrying capacity of the 20 containerships is 777,749 dwt or 61,661 teu. Since June 2005, the company has purchased 40 vessels, sold 22 vessels and ordered 13 newbuildings.
In June 2021, January 2022, March 2022 and M...
Euroseas Ltd. provides ocean-going transportation services worldwide. The company’s fleet consists of containerships that transport container boxes providing scheduled service between ports.
As of March 31, 2024, the company’s fleet consisted of 20 containerships. The total cargo carrying capacity of the 20 containerships is 777,749 dwt or 61,661 teu. Since June 2005, the company has purchased 40 vessels, sold 22 vessels and ordered 13 newbuildings.
In June 2021, January 2022, March 2022 and May 2022, the company entered into four separate agreements with Hyundai Mipo Dockyard Co., Ltd. to construct nine modern containerships; six with a carrying capacity of 2,800 teu each and three with a carrying capacity of 1,800 teu each. Furthermore, in May and June 2022, the company took delivery of two intermediate 4,250 teu containerships, M/V ‘Rena P’ built in 2007, and M/V ‘Emmanuel P’ built in 2005.
The M/V ‘Gregos’, the first of the two newbuilding vessels ordered in June 2021, was delivered on April 6, 2023, while M/V ‘Terataki’, the second of the two, was delivered on July 6, 2023. The company also ordered two newbuilding vessels in January 2022; the first of these, the M/V ‘Tender Soul’, was delivered to the company on February 6, 2024, while the other newbuilding is scheduled to be delivered in the second quarter of 2024. The three vessels ordered in March 2022 are scheduled to be delivered during the second and third quarter of 2024. Finally, the two vessels ordered in May 2022 are scheduled to be delivered during the fourth quarter of 2024.
As of March 31, 2024, approximately 78% of the company’s ship capacity days for the remainder of 2024, 28% of its ship capacity days in 2025 and 8% of its ship capacity days in 2026 are under contract.
Business Strategy
The company’s business strategy focuses on providing consistent shareholder returns by carefully timing and structuring acquisitions of containerships and by reliably, safely and competitively operating its vessels through Eurobulk. The company continuously evaluates purchase and sale opportunities, as well as long term employment opportunities for its vessels.
Renew and Expand Fleet: The company performs technical review and financial analysis of each potential acquisition and only purchase vessels as market opportunities present themselves. The company focuses on purchasing well-maintained secondhand vessels, newbuildings or newbuilding resales based on the evaluation of each investment option at the time it is made.
Customers
The company is a relationship driven company, and its top five customers in 2023 include four of its top five customers from 2022. The company’s top five customers accounted for approximately 82% of its revenues in 2023. In 2023, ZIM, Maersk, Sealand, ASYAD and CMA accounted for 23%, 23%, 15%, 11% and 10% of its revenues, respectively.
Competitors
Some of the company’s publicly listed competitors, include Danaos Corporation (NYSE: DAC), Costamare Inc. (NASDAQ: CMRE) and Global Ship Lease Inc. (NYSE: GSL).
Regulations
Under Chapter IX of the SOLAS Convention, or the International Safety Management Code for the Safe Operation of Ships and for Pollution Prevention (ISM Code), the company’s operations are also subject to environmental standards and requirements. The company rely upon the safety management system that the company and its technical management team have developed for compliance with the ISM Code.
The company has obtained applicable documents of compliance for its offices and safety management certificates for all of its vessels for which the certificates are required by the International Maritime Organization, the United Nations agency for maritime safety and the prevention of pollution by vessels (IMO) IMO. The documents of compliance and safety management certificates are renewed as required.
To comply, the company has developed a Cybersecurity Manual for all its vessels that was reviewed by IMO’s Maritime Safety Committee in March 2021.
In 2001, the IMO adopted the International Convention on the Control of Harmful Anti fouling Systems on Ships, or the ‘Anti fouling Convention.’ The Anti fouling Convention, which entered into force on September 17, 2008, the company has obtained Anti fouling System Certificates for all of its vessels that are subject to the Anti fouling Convention.
History
Euroseas Ltd. was founded in 2005. The company was incorporated in 2005.