Table of Contents
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13A-16 OR 15D-16
OF THE SECURITIES EXCHANGE ACT OF 1934
DATED: December 7, 2022
Commission File No. 001-33811
NAVIOS MARITIME PARTNERS L.P.
7 Avenue de Grande Bretagne, Office 11B2
Monte Carlo, MC 98000 Monaco
(Address of Principal Executive Offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
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NAVIOS MARITIME PARTNERS L.P.
FORM 6-K
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This Report on Form 6-K is hereby incorporated by reference into the Navios Maritime Partners L.P. Registration Statement on Form F-3, File No. 333-237934.
Operating and Financial Review and Prospects
The following is a discussion of the financial condition and results of operations for the three and nine month periods ended September 30, 2022 and 2021 of Navios Maritime Partners L.P. (referred to herein as “we”, “us”, “Company” or “Navios Partners”). All of the financial statements have been stated in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). You should read this section together with the consolidated financial statements and the accompanying notes included in Navios Partners’ 2021 Annual Report filed on Form 20-F with the U.S. Securities and Exchange Commission (the “SEC”) on April 12, 2022.
This Report contains and will contain forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events, TCE rates and Navios Partners’cash flow generation, future contracted revenues, future distributions and its ability to make distributions going forward, opportunities to reinvest cash accretively in a fleet renewal program or otherwise, potential capital gains, its ability to take advantage of dislocation in the market and Navios Partners’ growth strategy and measures to implement such strategy; including expected vessel acquisitions and entering into further time charters and Navios Partners’ ability to refinance its debt on attractive terms, or at all. Words such as “may,” “expects,” “intends,” “plans,” “believes,” “anticipates,” “hopes,” “estimates,” and variations of such words and similar expressions are intended to identify forward-looking statements. These forward-looking statements are based on the information available to, and the expectations and assumptions deemed reasonable by Navios Partners at the time these statements were made. Although Navios Partners believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve risks and are based upon a number of assumptions and estimates that are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of Navios Partners. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, risks relating to: global and regional economic and political conditions including global economic activity, demand for seaborne transportation of the products we ship, the ability and willingness of charterers to fulfill their obligations to us and prevailing charter rates, the economic condition of the markets in which we operate, shipyards performing scrubber installations, construction of newbuilding vessels, drydocking and repairs, changing vessel crews and availability of financing, potential disruption of shipping routes due to accidents, wars, sanctions, diseases, pandemics, political events, piracy or acts by terrorists; uncertainty relating to global trade, including prices of seaborne commodities and continuing issues related to seaborne volume and ton miles, our continued ability to enter into long- term time charters, our ability to maximize the use of our vessels, , expected demand in the dry and liquid cargo shipping sectors in general and the demand for our drybulk, containerships and tanker vessels in particular,, fluctuations in charter rates for drybulk, containerships and tanker vessels, the aging of our fleet and resultant increases in operation costs, the loss of any customer or charter or vessel, the financial condition of our customers, changes in the availability and costs of funding due to conditions in the bank market, capital markets an dother factors, increase in costs and expenses, includint but not limited to: crew, insurance, provisions, port expenses, lube oil, bunkers, repairs, maintenance and general and administrative expenses, the expected cost of, and our ability to comply with, governmental regulations and maritime self-regulatory organization standards, as well as standard regulations imposed by our charterers applicable to our business,general domestic and international political conditions, competitive factos in the market in which Navios Partners operates; risks associated with operations outside the United States; and other factors listed from time to time in Navios Partners’ filings with he Securities and Exchange Commission, including its Form 20-F and Form 6-K. Navios Partners expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Navios Partners’ expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based. Navios Partners makes no prediction or statement about the performance of its common units.
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Table of Contents
Recent Developments
Fleet Developments
| • | Acquisition of Two 115,000 dwt Aframax/LR2 Newbuilding Vessels in November 2022 |
Following the acquisition of four 115,000 dwt Aframax/LR2 newbuilding vessels in April 2022, Navios Partners agreed in November 2022 to acquire two additional 115,000 dwt Aframax/LR2 newbuilding vessels for a purchase price of $60.5 million each (plus $4.2 million in additional features). An investment grade counterparty has the option to charter both vessels for a five-year period at a rate of $27,798 net per day. The option can be exercised in the fourth quarter of 2022. The charterer has also an option to extend each of the charters for five further one-year options at rates increasing by $1,234 per day each year. The vessels are expected to be delivered into Navios Partners’ fleet during the first half of 2025. The closing of the transaction is subject to completion of customary documentation, including the issuance of refund guarantees.
| • | Acquisition of Two Japanese-built Drybulk Vessels for $91.3 million |
In September 2022, Navios Partners agreed to acquire one newbuilding Capesize vessel and one 2016-built Kamsarmax vessel of 84,852 dwt for an aggregate implied purchase price of $91.3 million from an unrelated third party. The Capesize vessel is expected to be delivered into Navios Partners’ fleet during the first half of 2023. The Kamsarmax vessel is expected to be delivered into Navios Partners’ fleet in December 2022.
| • | Delivery of Vessel |
On November 17, 2022, Navios Partners took delivery of the Navios Azalea, a 2022-built Capesize vessel of 182,064 dwt.
| • | Sale of Vessels |
On December 5, 2022, Navios Partners agreed to sell the Nave Cosmos, a 2010-built tanker vessel of 25,130 dwt, to an unrelated third party, for a sales price of $13.6 million. The sale is expected to be completed in the first quarter of 2023.
On December 5, 2022, Navios Partners agreed to sell the Nave Polaris, a 2011-built tanker vessel of 25,145 dwt, to an unrelated third party, for a sales price of $14.7 million. The sale is expected to be completed in the first quarter of 2023.
On December 1, 2022, Navios Partners agreed to sell the Star N, a 2009-built tanker vessel of 37,836 dwt, to an unrelated third party, for a sales price of $18.1 million. The sale is expected to be completed in the first quarter of 2023.
On November 30, 2022, Navios Partners agreed to sell the Nave Dorado, a 2005-built tanker vessel of 47,999 dwt, to an unrelated third party, for a sales price of $15.6 million. The sale is expected to be completed in the first quarter of 2023.
On November 24, 2022, Navios Partners agreed to sell the Perseus N, a 2009-built tanker vessel of 36,264 dwt, to an unrelated third party, for a sales price of $18.5 million. The sale is expected to be completed in the fourth quarter of 2022.
On October 25, 2022, Navios Partners agreed to sell the Navios Alegria, a 2004-built Panamax vessel of 76,466 dwt to an unrelated third party, for a sales price of $11.0 million. The sale was completed on November 14, 2022.
On October 11, 2022, Navios Partners agreed to sell the Navios Symmetry, a 2006-built Panamax vessel of 74,381 dwt to an unrelated third party, for a sales price of $11.7 million. The sale was completed on October 25, 2022.
Financing Update
In October 2022, Navios Partners completed a $100.0 million sale and leaseback transaction, with an unrelated third party, in order to refinance the existing indebtedness of 12 Containerships. The sale and leaseback transaction matures in the first quarter of 2026 and bears interest at Secured Overnight Financing Rate (“SOFR”) plus 210 bps per annum.
On September 30, 2022, Navios Partners entered into a new credit facility with a commercial bank for a total amount up to $86.2 million in order to finance the acquisition of two newbuilding 5,300 TEU containerships. The credit facility matures seven years after the drawdown date and bears interest at SOFR plus 200 bps per annum.
In September 2022, Navios Partners agreed to enter into $84.5 million bareboat contracts under which one newbuilding Capesize vessel and one 2016-built Kamsarmax vessel will be chartered-in. The bareboat contract for the newbuilding Capesize vessel has a duration of 15 years and an implied fixed interest rate of approximately 5.5%. Navios Partners has the option to acquire the Capesize vessel starting at the end of year four until the end of the charter period. The bareboat contract for the 2016-built Kamsarmax vessel matures ten years after the drawdown date and bears interest at 1M ICE LIBOR plus 200 bps per annum.
Overview
We are an international owner and operator of dry cargo and tanker vessels, formed on August 7, 2007 under the laws of the Republic of the Marshall Islands. Olympos Maritime Ltd. is our general partner (the “General Partner”).
As of November 30, 2022, there were 30,184,388 outstanding common units and 622,296 general partnership units. Navios Maritime Holdings Inc. (“Navios Holdings”) currently owns an approximately 10.3% ownership interest in Navios Partners and the General Partner currently owns an approximately 2.0% ownership interest in Navios Partners based on all outstanding common units and general partner units.
Fleet
Navios Partners’ fleet consists of 87 Drybulk vessels, 47 Containerships and 51 Tanker vessels, including three newbuilding Capesize chartered-in vessels under bareboat contracts expected to be delivered by the first half of 2023, one newbuilding Panamax vessel expected to be delivered by the first half of 2023, six newbuilding Aframax/LR2 vessels expected to be delivered in 2024 and by the first half of 2025, 12 newbuilding Containerships expected to be delivered by the second half of 2023 and in 2024, one secondhand Kamsarmax vessel expected to be delivered in December 2022, and five tankers agreed to be sold and expected to be delivered in the fourth quarter of 2022 and first quarter of 2023.
We generate revenues by charging our customers for the use of our vessels to transport their dry cargo commodities, containers, crude oil, refined petroleum products and/or bulk liquid chemicals. From time to time, we operate vessels in the spot market until the vessels have been chartered out under short, medium and long-term charters.
The following table provides summary information about our fleet as of November 25, 2022:
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| Owned Drybulk Vessels |
Type | Built | Capacity (DWT) |
Charter-Out Rate(1) |
Index(2) |
Expiration Date(3) | ||||||
| Navios Amaryllis |
Ultra-Handymax | 2008 | 58,735 | $6,650 | No | Dec-22 | ||||||
| Navios Christine B |
Ultra-Handymax | 2009 | 58,058 | — | 100.0% average BSI 58 10TC | Jul-23 | ||||||
| Navios Celestial |
Ultra-Handymax | 2009 | 58,063 | $11,400 | No | Sep-23 | ||||||
| Navios Vega |
Ultra-Handymax | 2009 | 58,792 | — | 100.0% average BSI 58 10TC | Feb-23 | ||||||
| Serenitas N |
Ultra-Handymax | 2011 | 56,644 | — | 99.0% average BSI 58 10TC | Jan-23 | ||||||
| Navios La Paix |
Ultra-Handymax | 2014 | 61,485 | — | 111% average BSI 58 10TC | Apr-23 | ||||||
| Navios Hyperion |
Panamax | 2004 | 75,707 | $19,000 | No | Nov-23 | ||||||
| Navios Anthos |
Panamax | 2004 | 75,798 | $9,500 | No | Dec-22 | ||||||
| Navios Orbiter |
Panamax | 2004 | 76,602 | — | 100.0% average BPI 4TC | Sep-23 | ||||||
| Navios Hope |
Panamax | 2005 | 75,397 | — | 100.0% average BPI 4TC | Jun-24 | ||||||
| Navios Taurus |
Panamax | 2005 | 76,596 | — | 100.0% average BPI 4TC | Mar-23 | ||||||
| Navios Sun |
Panamax | 2005 | 76,619 | — | 100.0% average BPI 4TC | Jan-23 | ||||||
| Navios Asteriks(5) |
Panamax | 2005 | 76,801 | $16,651 $11,550 — |
No No 100.0% average BPI 4TC |
Dec-22 Mar-23 Sep-23 | ||||||
| Navios Helios |
Panamax | 2005 | 77,075 | $16,363 $11,694 — |
No No 100.0% average BPI 4TC |
Dec-22 Mar-23 Jan-24 | ||||||
| Navios Apollon I |
Panamax | 2005 | 87,052 | — | 105.0% average BPI 4TC | Jul-23 | ||||||
| N Amalthia |
Panamax | 2006 | 75,318 | — | 92.0% average BPI 82 | Jan-23 | ||||||
| Navios Sagittarius |
Panamax | 2006 | 75,756 | — $11,165 — |
100.0% average BPI 4TC No 100.0% average BPI 4TC |
Dec-22 Mar-23 Sep—23 | ||||||
| Navios Galileo |
Panamax | 2006 | 76,596 | — | 101.0% average BPI 4TC | Apr-23 | ||||||
| N Bonanza |
Panamax | 2006 | 76,596 | $15,881 — |
No 100.0% average BPI 4TC |
Dec-22 Apr-24 | ||||||
| Navios Harmony |
Panamax | 2006 | 82,790 | — | No | Spot | ||||||
| Navios Libertas |
Panamax | 2007 | 75,511 | $11,875 | No | Dec-22 | ||||||
| Navios Prosperity I |
Panamax | 2007 | 75,527 | $9,500 | No | Dec-22 | ||||||
| Copernicus N |
Panamax | 2010 | 93,062 | — | 107.0% average BPI 4TC | Sep-23 | ||||||
| Unity N |
Panamax | 2011 | 79,642 | — | 100.0% average BPI 4TC | Feb-23 | ||||||
| Odysseus N |
Panamax | 2011 | 79,642 | $15,753 — |
No 100.5% average BPI 4TC |
Dec-22 Feb-23 | ||||||
| Rainbow N |
Panamax | 2011 | 79,642 | — $10,735 — |
100.0% average BPI 4TC No 100.0% average BPI 4TC |
Dec-22 Mar-23 Aug-23 | ||||||
| Jupiter N |
Post-Panamax | 2011 | 93,062 | — | 108.0% average BPI 4TC | Dec-22 | ||||||
| Navios Avior |
Panamax | 2012 | 81,355 | $17,894 $11,814 — |
No No 100.0% average BPI 82 |
Dec-22 Mar-23 Apr-23 | ||||||
| Navios Centaurus |
Panamax | 2012 | 81,472 | $17,114 $11,836 — |
No No 101.0% average BPI 82 |
Dec-22 Mar-23 Aug-23 | ||||||
| Navios Victory |
Panamax | 2014 | 77,095 | — | 106.75% average BPI 4TC | Oct-23 | ||||||
| Navios Sphera |
Panamax | 2016 | 84,872 | $19,060 — |
No 108.0% average BPI 82 |
Dec-22 Feb-23 | ||||||
| Navios Sky(5) |
Kamsarmax | 2015 | 82,056 | $18,763 | No | Jan-23 | ||||||
| Navios Uranus(23) |
Kamsarmax | 2019 | 81,821 | $20,900 | No | Feb-23 | ||||||
| Navios Herakles I(23) |
Kamsarmax | 2019 | 82,036 | $20,251 $14,897 — |
No No 115% average BPI 82 |
Dec-22 Mar-23 Aug-23 | ||||||
| Navios Galaxy II(23) |
Kamsarmax | 2020 | 81,789 | $13,419 — |
No 125.0% average BPI 4TC |
Dec-22 Jan-23 | ||||||
| Navios Felicity I(23) |
Kamsarmax | 2020 | 81,962 | $31,825 | No | Jan-23 | ||||||
| Navios Magellan II(23) |
Kamsarmax | 2020 | 82,037 | $16,281 — |
No 124.375% average BPI 4TC |
Dec-22 Jan-23 | ||||||
| Navios Primavera(5) |
Panamax | 2022 | 82,003 | $16,802 $14,807 — |
No No 112.0% average BPI 82 |
Dec-22 Mar-23 Jul-23 | ||||||
| Navios Beaufiks(5) |
Capesize | 2004 | 180,310 | $22,563 | No | Sep-23 |
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| Navios Fantastiks(5) |
Capesize | 2005 | 180,265 | $21,650 | No | Mar-23 | ||||||
| Navios Stellar(5) |
Capesize | 2009 | 169,001 | — | 95.75% average BCI 5TC | Mar-23 | ||||||
| Navios Aurora II |
Capesize | 2009 | 169,031 | — | 99.0% average BCI 5TC | Apr-23 | ||||||
| Navios Happiness |
Capesize | 2009 | 180,022 | — | 100.5% average BCI 5TC | Dec-22 | ||||||
| Navios Bonavis(5) |
Capesize | 2009 | 180,022 | — | 101.5% average BCI 5TC | Mar-23 | ||||||
| Navios Phoenix(5) |
Capesize | 2009 | 180,242 | $14,669 — |
No 100.0% average BCI 5TC + |
Dec-22 Jan-24 | ||||||
| Navios Sol(5) |
Capesize | 2009 | 180,274 | $13,846 — |
No 110.0% average BCI 5TC |
Dec-22 Mar-23 | ||||||
| Navios Lumen(5) |
Capesize | 2009 | 180,661 | — | 105.0% average BCI 5TC | Dec-22 | ||||||
| Navios Pollux(5) |
Capesize | 2009 | 180,727 | — | 100.0% of pool earnings | Jan-23 | ||||||
| Navios Antares(5) |
Capesize | 2010 | 169,059 | — | 95.75% average BCI 5TC | Feb-23 | ||||||
| Navios Symphony |
Capesize | 2010 | 178,132 | — | 97.0% average BCI 5TC | Jan-23 | ||||||
| Navios Melodia |
Capesize | 2010 | 179,132 | — | 105.0% average BCI 5TC | Feb-23 | ||||||
| Navios Luz |
Capesize | 2010 | 179,144 | — | 102.0% average BCI 5TC | May-23 | ||||||
| Navios Etoile |
Capesize | 2010 | 179,234 | — | 100.0% average BCI 5TC | Mar-23 | ||||||
| Navios Buena Ventura |
Capesize | 2010 | 179,259 | — | 100.5% average BCI 5TC | Mar-23 | ||||||
| Navios Bonheur |
Capesize | 2010 | 179,259 | — | 100.5% average BCI 5TC | Dec-22 | ||||||
| Navios Fulvia |
Capesize | 2010 | 179,263 | — | 100.0% average BCI 5TC | Jan-23 | ||||||
| Navios Aster |
Capesize | 2010 | 179,314 | $27,731 — |
No 108.0% average BCI 5TC |
Dec-22 Dec-23 | ||||||
| Navios Ace(5) |
Capesize | 2011 | 179,016 | — | 107.25% average BCI 5TC | Feb-23 | ||||||
| Navios Altamira |
Capesize | 2011 | 179,165 | — | 100.25% average BCI 5TC | Feb-23 | ||||||
| Navios Azimuth |
Capesize | 2011 | 179,169 | — | 100.0% average BCI 5TC | Jan-23 | ||||||
| Navios Koyo |
Capesize | 2011 | 181,415 | $14,499 — |
No 111.0% average BCI 5TC |
Dec-22 Mar-23 | ||||||
| Navios Ray(5) |
Capesize | 2012 | 179,515 | — | 102.0% average BCI 5TC | Jan-23 | ||||||
| Navios Joy |
Capesize | 2013 | 181,389 | Freight Voyage |
No | Nov-23 | ||||||
| Navios Gem |
Capesize | 2014 | 181,336 | $28,500 | No | Jan-23 | ||||||
| Navios Canary(5) |
Capesize | 2015 | 180,528 | — | 119.0% average BCI 5TC | Dec-22 | ||||||
| Navios Corali(5) |
Capesize | 2015 | 181,249 | — | 132.0% average BCI 5TC | Nov-23 | ||||||
| Navios Mars |
Capesize | 2016 | 181,259 | $17,955 — |
No 126.0% average BCI 5TC |
Dec-22 Oct-23 | ||||||
| Navios Armonia(23) |
Capesize | 2022 | 182,079 | $20,750 | No | Sep-27 | ||||||
| Navios Azalea(23) |
Capesize | 2022 | 182,064 | $19,950 | No | Nov-27 | ||||||
| Navios Astra(23) |
Capesize | 2022 | 182,393 | $21,000 | No | Sep-27 |
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| Owned Containerships |
Type | Built | Capacity (TEU) |
Charter-Out Rate(1) |
Index(2) |
Expiration Date(3) | ||||||
| Navios Summer(5) |
Containership | 2006 | 3,450 | $45,480 $39,795 $30,320 $20,845 $34,110 |
No No No No No |
May-23 May-24 May-25 May-26 Jul-26 | ||||||
| Navios Verano (ex. Matson Oahu)(5) |
Containership | 2006 | 3,450 | $22,713 | No | May-23 | ||||||
| Hyundai Hongkong(4) |
Containership | 2006 | 6,800 | $30,119 $21,083 |
No No |
Dec-23 Dec-28 | ||||||
| Hyundai Singapore(4) |
Containership | 2006 | 6,800 | $30,119 $21,083 |
No No |
Dec-23 Dec-28 | ||||||
| Hyundai Busan(4) |
Containership | 2006 | 6,800 | $30,119 $21,083 |
No No |
Aug-24 Aug-29 | ||||||
| Hyundai Shanghai(4) |
Containership | 2006 | 6,800 | $30,119 $21,083 |
No No |
Aug-24 Aug-29 | ||||||
| Hyundai Tokyo(4) |
Containership | 2006 | 6,800 | $30,119 $21,083 |
No No |
Dec-23 Dec-28 | ||||||
| Protostar N |
Containership | 2007 | 2,741 | $46,556 | No | Nov-25 | ||||||
| Navios Spring(5) |
Containership | 2007 | 3,450 | $58,500 | No | May-25 | ||||||
| Matson Lanai(5) |
Containership | 2007 | 4,250 | $55,794 | No | Jul-25 | ||||||
| Navios Indigo(5) |
Containership | 2007 | 4,250 | $63,375 $43,875 $34,125 $24,375 $41,438 |
No No No No No |
Apr-23 Apr-24 Apr-25 Apr-26 Aug-26 | ||||||
| Navios Vermilion(5) |
Containership | 2007 | 4,250 | $54,313 $45,425 $23,972 $41,722 |
No No No No |
Dec-22 Dec-23 Nov-24 Dec-24 | ||||||
| Navios Verde(5) |
Containership | 2007 | 4,250 | $20,845 | No | Jun-23 | ||||||
| Navios Amarillo(5) |
Containership | 2007 | 4,250 | $20,845 $92,381 $63,956 $28,425 $9,475 |
No No No No No |
Jan-23 Jan-24 Jan-25 Jan-26 Jan-28 | ||||||
| Navios Azure(5) |
Containership | 2007 | 4,250 | $22,195 | No | May-23 | ||||||
| Navios Domino(5) |
Containership | 2008 | 4,250 | $24,934 | No | Jun-23 | ||||||
| Navios Delight(5) |
Containership | 2008 | 4,250 | $45,425 | No | Jan-24 | ||||||
| Navios Magnolia |
Containership | 2008 | 4,730 | $45,425 $23,972 $41,722 |
No No No |
Nov-23 Oct-24 Nov-24 | ||||||
| Navios Jasmine |
Containership | 2008 | 4,730 | $21,825 $60,000 |
No No |
Dec-22 Apr-25 | ||||||
| Navios Chrysalis |
Containership | 2008 | 4,730 | $30,083 | No | Jul-23 | ||||||
| Navios Nerine |
Containership | 2008 | 4,730 | $45,425 $23,972 $41,722 |
No No No |
Oct-23 Sep-24 Oct-24 | ||||||
| Spectrum N |
Containership | 2009 | 2,546 | $36,538 | No | Mar-25 | ||||||
| Navios Devotion(5) |
Containership | 2009 | 4,250 | $63,375 $43,875 $34,125 $24,375 $41,438 |
No No No No No |
Mar-23 Mar-24 Mar-25 Mar-26 Jul-26 | ||||||
| Navios Destiny(5) |
Containership | 2009 | 4,250 | $45,425 $23,972 $41,722 |
No No No |
Nov-23 Oct-24 Nov-24 | ||||||
| Navios Lapis |
Containership | 2009 | 4,250 | $31,353 | No | May-23 | ||||||
| Navios Tempo |
Containership | 2009 | 4,250 | $44,438 | No | Sep-25 | ||||||
| Navios Miami |
Containership | 2009 | 4,563 | $45,425 $23,972 $41,722 |
No No No |
Nov-23 Oct-24 Nov-24 | ||||||
| Navios Dorado |
Containership | 2010 | 4,250 | $21,676 | No | Jun-23 | ||||||
| Zim Baltimore |
Containership | 2010 | 4,360 | $63,375 $43,875 $34,125 $24,375 $41,438 |
No No No No No |
Jan-23 Jan-24 Jan-25 Jan-26 May-26 | ||||||
| Bahamas |
Containership | 2010 | 4,360 | $22,219 $60,000 |
No No |
Dec-22 May-25 | ||||||
| Zim Carmel |
Containership | 2010 | 4,360 | $61,114 $42,164 $32,689 $23,214 $39,795 |
No No No No No |
Apr-23 Apr-24 Apr-25 Apr-26 Jun-26 | ||||||
| Navios Unison(5) |
Containership | 2010 | 10,000 | $26,276 | No | Jun-26 | ||||||
| Navios Constellation(5) |
Containership | 2011 | 10,000 | $26,276 | No | Jun-26 | ||||||
| Fleur N |
Containership | 2012 | 2,782 | $19,750 | No | Mar-24 | ||||||
| Ete N |
Containership | 2012 | 2,782 | $19,750 | No | Feb-24 |
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Table of Contents
| Owned Tanker Vessels |
Type | Built | Capacity (DWT) |
Charter-Out Rate(1) |
Profit Sharing Arrangements |
Expiration Date(3) | ||||||
| Nave Cosmos(20) |
Chemical Tanker | 2010 | 25,130 | Floating Rate(6) | No | Feb-23 | ||||||
| Nave Polaris(20) |
Chemical Tanker | 2011 | 25,145 | Floating Rate(6) | No | Feb-23 | ||||||
| Hector N |
MR1 Product Tanker | 2008 | 38,402 | $14,319 $15,306 |
No No |
Jun-23 Oct-23 | ||||||
| Perseus N(5) (20) |
MR1 Product Tanker | 2009 | 36,264 | $12,591 | No | Dec-22 | ||||||
| Star N(20) |
MR1 Product Tanker | 2009 | 37,836 | Floating Rate(21) | No | Jan-23 | ||||||
| Nave Dorado (20) |
MR2 Product Tanker | 2005 | 47,999 | $12,838 | Yes(8) | Dec-22 | ||||||
| Nave Equinox(13)(5) |
MR2 Product Tanker | 2007 | 50,922 | $20,392 | No | Aug-24 | ||||||
| Nave Pulsar(5)(22) |
MR2 Product Tanker | 2007 | 50,922 | $22,713 | No | Jan-23 | ||||||
| Nave Orbit(12)(5) |
MR2 Product Tanker | 2009 | 50,470 | $14,418 | No | Mar-23 | ||||||
| Nave Equator(5) |
MR2 Product Tanker | 2009 | 50,542 | $23,651 | No | Jun-23 | ||||||
| Nave Aquila(5) |
MR2 Product Tanker | 2012 | 49,991 | $27,181 | No | Mar-23 | ||||||
| Nave Atria(5)(9) |
MR2 Product Tanker | 2012 | 49,992 | $13,948 | No | May-23 | ||||||
| Nave Capella(5) |
MR2 Product Tanker | 2013 | 49,995 | $13,956 $22,138 |
No No |
Jan-23 Jan-25 | ||||||
| Nave Alderamin(5) |
MR2 Product Tanker | 2013 | 49,998 | $22,138 | No | Nov-24 | ||||||
| Nave Bellatrix(5) |
MR2 Product Tanker | 2013 | 49,999 | $23,083 | No | Jun-23 | ||||||
| Nave Orion(5) |
MR2 Product Tanker | 2013 | 49,999 | $13,956 $22,138 |
No No |
Dec-22 Nov-24 | ||||||
| Nave Titan(5) |
MR2 Product Tanker | 2013 | 49,999 | $13,716 | No | Mar-23 | ||||||
| Bougainville(5) |
MR2 Product Tanker | 2013 | 50,626 | Floating Rate(26) | No | May-23 | ||||||
| Nave Pyxis(5) |
MR2 Product Tanker | 2014 | 49,998 | $15,881 | No | Feb-23 | ||||||
| Nave Luminosity(24) |
MR2 Product Tanker | 2014 | 49,999 | $14,813 $23,004 |
No No |
Dec-22 Nov-25 | ||||||
| Nave Jupiter |
MR2 Product Tanker | 2014 | 49,999 | $16,491 | No | Aug-23 | ||||||
| Nave Velocity(11)(5) |
MR2 Product Tanker | 2015 | 49,999 | $15,553 | No | Oct-24 | ||||||
| Nave Sextans(5) |
MR2 Product Tanker | 2015 | 49,999 | $16,844 | No | May-23 | ||||||
| Nave Ariadne |
LR1 Product Tanker | 2007 | 74,671 | Floating Rate(15) | No | Feb-23 | ||||||
| Nave Cielo |
LR1 Product Tanker | 2007 | 74,671 | $49,375 $16,335 $26,564 |
No No No |
Dec-22 Sep-23 Nov-23 | ||||||
| Aurora N |
LR1 Product Tanker | 2008 | 63,495 | Floating Rate(15) | No | Feb-23 | ||||||
| Lumen N |
LR1 Product Tanker | 2008 | 63,599 | Floating Rate(15) | No | Feb-23 | ||||||
| Nave Andromeda(5) |
LR1 Product Tanker | 2011 | 75,000 | Floating Rate(16) $28,394 |
No No |
Jan-23 Mar-25 | ||||||
| Nave Cetus(5) |
LR1 Product Tanker | 2012 | 74,581 | $14,138 $16,088 |
No No |
Dec-22 Mar-23 | ||||||
| Nave Cassiopeia(5) |
LR1 Product Tanker | 2012 | 74,711 | Floating Rate(16) | No | Jan-23 | ||||||
| Nave Estella(5) |
LR1 Product Tanker | 2012 | 75,000 | $15,400 $28,394 |
No No |
Dec-22 Dec-24 | ||||||
| Nave Rigel |
LR1 Product Tanker | 2013 | 74,673 | $14,138 $16,088 |
No No |
Dec-22 Mar-23 | ||||||
| Nave Atropos(5) |
LR1 Product Tanker | 2013 | 74,695 | $69,125 $21,971 |
No No |
Dec-22 Oct-24 | ||||||
| Nave Photon |
VLCC | 2008 | 297,395 | — | — | Spot | ||||||
| Nave Galactic |
VLCC | 2009 | 297,168 | $45,425 | No | Sep-23 | ||||||
| Nave Spherical |
VLCC | 2009 | 297,188 | Floating Rate | Yes(18) | Jan-24 | ||||||
| Nave Constellation |
VLCC | 2010 | 296,988 | — | — | Spot | ||||||
| Nave Quasar |
VLCC | 2010 | 297,376 | $16,788 | Yes(19) | Feb-23 | ||||||
| Nave Synergy |
VLCC | 2010 | 299,973 | Freight Voyage | No | Dec-22 | ||||||
| Nave Universe |
VLCC | 2011 | 297,066 | Freight Voyage | No | Dec-22 | ||||||
| Nave Buena Suerte |
VLCC | 2011 | 297,491 | $47,906 | Yes(10) | Jun-25 |
6
Table of Contents
| Bareboat-in vessels |
Type |
Built | Capacity (DWT) |
Charter-Out Rate(1) |
Index(2) |
Expiration Date(3) | ||||||
| Navios Libra |
Panamax | 2019 | 82,011 | $19,691 $13,941 — |
No No 109.75% average BPI 82 |
Dec-22 Mar-23 Jun-24 | ||||||
| Navios Star |
Panamax | 2021 | 81,994 | $19,413 $14,119 — |
No No 110.0% average BPI 82 |
Dec-22 Mar-23 Apr-24 | ||||||
| Navios Amitie |
Panamax | 2021 | 82,002 | $19,254 $13,061 — |
No No 110.0% average BPI 82 |
Dec-22 Mar-23 Apr-24 | ||||||
| Baghdad(14) |
VLCC | 2020 | 313,433 | $27,816 | No | Sep-30 | ||||||
| Nave Electron |
VLCC | 2021 | 313,239 | $47,906 | Yes(10) | Jan-26 | ||||||
| Erbil(14) |
VLCC | 2021 | 313,486 | $27,816 | No | Feb-31 | ||||||
| Nave Celeste |
VLCC | 2022 | 313,418 | Floating rate |
Yes(17) | Jul-24 |
| Chartered-in vessels |
Type |
Built | Capacity (DWT) |
Charter-Out Rate(1) |
Index(2) |
Expiration Date(3) | ||||||
| Navios Lyra |
Handysize | 2012 | 34,718 | $8,550 $9,975 |
No No |
Jan-23 Oct-23 | ||||||
| Navios Venus |
Ultra-Handymax | 2015 | 61,339 | $18,050 | No | Feb-23 | ||||||
| Navios Amber |
Kamsarmax | 2015 | 80,994 | $17,207 — |
No 115.0% average BPI 4TC |
Dec-22 Jan-23 | ||||||
| Navios Coral |
Kamsarmax | 2016 | 84,904 | — | 108.0% average BPI 82 | Feb-24 | ||||||
| Navios Citrine |
Kamsarmax | 2017 | 81,626 | $16,400 — |
No 122.0% average BPI 4TC |
Dec-22 Feb-23 | ||||||
| Navios Dolphin |
Kamsarmax | 2017 | 81,630 | — $14,013 |
122.0% average BPI 4TC No |
Dec-22 Dec-24 | ||||||
| Navios Gemini |
Kamsarmax | 2018 | 81,704 | $29,838 $14,919 |
No No |
Dec-22 Nov-23 | ||||||
| Navios Horizon I |
Kamsarmax | 2019 | 81,692 | $19,361 $13,335 — |
No No 108.5% average BPI 82 |
Dec-22 Mar-23 Oct-23 | ||||||
| Navios Felix |
Capesize | 2016 | 181,221 | $18,810 — |
No 100.0% average BCI 5TC + |
Dec-22 Jan-24 |
| Owned Drybulk Vessels to be |
Type |
Delivery Date |
Capacity (DWT) |
Charter-Out Rate(1) |
Index(2) |
Expiration Date(3) | ||||||
| TBN III |
Panamax | H1 2023 | 81,000 | — | — | — | ||||||
| TBN XXIII (25) |
Kamsarmax | H2 2022 | 84,852 | $14,197 | No | Jul-24 | ||||||
| TBN I |
Capesize | H1 2023 | 180,000 | $19,600 | No | Aug-27 | ||||||
| TBN IV |
Capesize | H1 2023 | 180,000 | $19,550 | No | Mar-28 | ||||||
| TBN II |
Capesize | H1 2023 | 180,000 | — | — | — |
7
Table of Contents
| Owned Containerships to be Delivered |
Type |
Delivery Date |
Capacity (TEU) |
Charter-Out Rate(1) |
Index(2) |
Expiration Date(3) | ||||||
| TBN V |
Containership | H2 2023 | 5,300 | $42,900 $39,000 $37,050 $35,100 $31,200 $37,050 |
No No No No No No |
Aug-24 Aug-25 Aug-26 Aug-27 Aug-28 Oct-28 | ||||||
| TBN VI |
Containership | H2 2023 | 5,300 | $42,900 $39,000 $37,050 $35,100 $31,200 $37,050 |
No No No No No No |
Nov-24 Nov-25 Nov-26 Nov-27 Nov-28 Jan-29 | ||||||
| TBN XI |
Containership | H2 2023 | 5,300 | $42,900 $39,000 $37,050 $35,100 $31,200 $37,050 |
No No No No No No |
Dec-24 Dec-25 Dec-26 Dec-27 Dec-28 Feb-29 | ||||||
| TBN VII |
Containership | H1 2024 | 5,300 | $42,900 $39,000 $37,050 $35,100 $31,200 $37,050 |
No No No No No No |
Jun-25 Jun-26 Jun-27 Jun-28 Jun-29 Aug-29 | ||||||
| TBN VIII |
Containership | H1 2024 | 5,300 | $42,900 $39,000 $37,050 $35,100 $31,200 $37,050 |
No No No No No No |
Jun-25 Jun-26 Jun-27 Jun-28 Jun-29 Aug-29 | ||||||
| TBN XII |
Containership | H1 2024 | 5,300 | $42,900 $39,000 $37,050 $35,100 $31,200 $37,050 |
No No No No No No |
May-25 May-26 May-27 May-28 May-29 Jul-29 | ||||||
| TBN IX |
Containership | H2 2024 | 5,300 | $42,900 $39,000 $37,050 $35,100 $31,200 $37,050 |
No No No No No No |
Sep-25 Sep-26 Sep-27 Sep-28 Sep-29 Nov-29 | ||||||
| TBN X |
Containership | H2 2024 | 5,300 | $42,900 $39,000 $37,050 $35,100 $31,200 $37,050 |
No No No No No No |
Nov-25 Nov-26 Nov-27 Nov-28 Nov-29 Jan-30 | ||||||
| TBN XIII |
Containership | H2 2024 | 5,300 | $37,500 | No | Apr-30 | ||||||
| TBN XIV |
Containership | H2 2024 | 5,300 | $37,500 | No | Apr-30 | ||||||
| TBN XX |
Containership | H2 2024 | 7,700 | $57,213 $52,238 $37,313 $27,363 $24,875 |
No No No No No |
Dec-27 Dec -30 Dec -32 Dec -34 Dec -36 | ||||||
| TBN XIX |
Containership | H2 2024 | 7,700 | $57,213 $52,238 $37,313 $27,363 $24,875 |
No No No No No |
Nov-27 Nov-30 Nov-32 Nov-34 Nov-36 |
8
Table of Contents
| Owned Tanker Vessels to be delivered |
Type |
Delivery Date |
Capacity (DWT) |
Charter-Out Rate(1) |
Index(2) |
Expiration Date(3) | ||||||
| TBN XV |
Aframax / LR2 | H1 2024 | 115,000 | $26,366 (7) | No | Apr-29 | ||||||
| TBN XVI |
Aframax / LR2 | H2 2024 | 115,000 | $26,366 (7) | No | Jul-29 | ||||||
| TBN XVII |
Aframax / LR2 | H2 2024 | 115,000 | $25,576 (7) | No | Oct-29 | ||||||
| TBN XVIII |
Aframax / LR2 | H1 2025 | 115,000 | $25,576 (7) | No | Jan-30 | ||||||
| TBN XXI |
Aframax / LR2 | H1 2025 | 115,000 | — | — | — | ||||||
| TBN XXII |
Aframax / LR2 | H1 2025 | 115,000 | — | — | — |
| (1) | Daily charter-out rate per day, net of commissions. |
| (2) | Index rates exclude commissions. |
| (3) | Estimated dates assuming the midpoint or company’s best estimate of the redelivery period by charterers. |
| (4) | Includes optional years (NMM’s option) after 2023. |
| (5) | The vessel is subject to a sale and leaseback transaction with a purchase obligation at the end of the lease term. |
| (6) | Rate based on Delta-8 pool earnings. |
| (7) | Charterer has the option to extend for five further one-year options at rates increasing by $1,234 per day each year. |
| (8) | Profit sharing arrangement of 100% between $12,838 and $15,800 and 50% above $15,800. |
| (9) | Charterer’s option to extend the charter for up to 18 months at $14,887 net per day. |
| (10) | Profit sharing arrangement of 35% above $54,388, 40% above $59,388 and 50% above $69,388. |
| (11) | Charterer’s option to extend the charter for one year at $16,540 net per day plus one year at $17,528 net per day. |
| (12) | Charterer’s option to extend the charter for up to 18 months at $15,306 net per day. |
| (13) | The premium for when the vessel is trading on ice or follow ice breaker is $1,481 per day. |
| (14) | Charterer’s option to extend the bareboat charter for five years at $29,751 net per day. |
| (15) | Rate based on Penfield pool earnings. |
| (16) | Rate based on LR8 pool earnings. |
| (17) | Bareboat charter based on adjusted TD3C-WS with floor $22,572 and collar at $29,700. |
| (18) | Contract provides 100% of BITR TD3C-TCE index plus $4,875 premium until January 2023, then TD3C-TCE index plus $1,463 premium. |
| (19) | Contract provides 100% of BITR TD3C-TCE index up to $37,031 and 50% thereafter with $16,788 floor. |
| (20) | Vessel agreed to be sold. |
| (21) | Rate based on Scorpio Handymax Tanker pool earnings. |
| (22) | Charterer’s option to extend the charter for six months at $27,650 net per day. |
| (23) | The vessel is chartered-in under bareboat contract. |
| (24) | Charterer’s option to extend the charter for one year at $27,913 net per day. |
| (25) | Secondhand vessel expected to be delivered in the fourth quarter of 2022. |
| (26) | Rate based on Scorpio MR pool earnings. |
Our Charters
We provide seaborne shipping services under short, medium, and long-term time charters, bareboat charters and voyage charters with customers that we believe are creditworthy. For the nine month period ended September 30, 2022, Swissmarine Marine Pte. Ltd. Singapore (“Swissmarine”) represented approximately 10.5% of total revenues. For the nine month period ended September 30, 2021, Swissmarine represented approximately 14.8% of total revenues. No other customers accounted for 10% or more of total revenues for any of the periods presented.
Our revenues are driven by the number of vessels in the fleet, the number of days during which vessels operate and our charter hire rates, which, in turn, are affected by a number of factors, including:
| • | the duration of the charters; |
| • | the level of spot and long-term market rates at the time of charters; |
| • | decisions relating to vessel acquisitions and disposals; |
| • | the amount of time spent positioning vessels; |
| • | the amount of time that vessels spend in dry dock undergoing repairs and upgrades; |
| • | the age, condition and specifications of the vessels; |
| • | the aggregate level of supply and demand in the shipping industry; |
| • | economic conditions, such as the impact of inflationary cost pressures, decreased consumer discretionary spending, fluctuations in foreign currency exchange rates, increasing interest rates, and the possibility of recession or financial market instability; |
| • | armed conflicts, such as the Russian/Ukrainian conflicts; and |
| • | the ongoing global outbreak of COVID-19 or other epidemics or pandemics. |
Time charters are available for varying periods, ranging from a single trip (spot charter) to long-term which may be many years. In general, a long-term time charter assures the vessel owner of a consistent stream of revenue. Operating the vessel in the spot market affords the owner greater spot market opportunity, which may result in high rates when vessels are in high demand or low rates when vessel availability exceeds demand. We intend to operate our vessels in the medium to long-term charter market. Vessel charter rates are affected by world economics, international events, weather conditions, strikes, governmental policies, supply and demand and many other factors that might be beyond our control. Please read “Risk Factors” in our 2021 Annual Report on Form 20-F for a discussion of certain risks inherent in our business.
9
Table of Contents
We could lose a customer or the benefits of a charter if:
| • | the customer fails to make charter payments because of its financial inability, disagreements with us or otherwise; |
| • | the customer exercises certain rights to terminate the charter of the vessel; |
| • | the customer terminates the charter because we fail to deliver the vessel within a fixed period of time, the vessel is lost or damaged beyond repair, there are serious deficiencies in the vessel or prolonged periods of off-hire, or we default under the charter; or |
| • | a prolonged force majeure event affecting the customer, including damage to or destruction of relevant production facilities, war or political unrest prevents us from performing services for that customer. |
Under some of our time charters, either party may terminate the charter contract in the event of war in specified countries or in locations that would significantly disrupt the free trade of the vessel. Some of the time charters covering our vessels require us to return to the charterer, upon the loss of the vessel, all advances paid by the charterer but not earned by us.
Trends and Factors Affecting Our Future Results of Operations
We believe the principal factors that will affect our future results of operations are the economic, regulatory, political and governmental conditions that affect the shipping industry generally and that affect conditions in countries and markets in which our vessels engage in business. Please read “Risk Factors” in our 2021 Annual Report on Form 20-F for a discussion of certain risks inherent in our business.
Results of Operations
Overview
The financial condition and the results of operations presented for the three and nine month periods ended September 30, 2022 and 2021 of Navios Partners presented and discussed below include the following entities:
| Company name |
Vessel name |
Country of |
2022 | 2021 | ||||
| Libra Shipping Enterprises Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Alegria Shipping Corporation(35) |
Navios Alegria | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Felicity Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Gemini Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Galaxy Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Aurora Shipping Enterprises Ltd. |
Navios Hope | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Palermo Shipping S.A |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Fantastiks Shipping Corporation(12) |
Navios Fantastiks | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Sagittarius Shipping Corporation |
Navios Sagittarius | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Hyperion Enterprises Inc. |
Navios Hyperion | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Chilali Corp. |
Navios Aurora II | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Surf Maritime Co.(12) |
Navios Pollux | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Pandora Marine Inc. |
Navios Melodia | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Customized Development S.A. |
Navios Fulvia | Liberia | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Kohylia Shipmanagement S.A. |
Navios Luz | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Orbiter Shipping Corp. |
Navios Orbiter | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Floral Marine Ltd. |
Navios Buena Ventura | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Golem Navigation Limited(13) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Kymata Shipping Co. |
Navios Helios | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Joy Shipping Corporation |
Navios Joy | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Micaela Shipping Corporation |
Navios Harmony | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Pearl Shipping Corporation |
Navios Sun | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Velvet Shipping Corporation |
Navios La Paix | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Perigiali Navigation Limited(12) |
Navios Beaufiks | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Finian Navigation Co.(12) |
Navios Ace | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Ammos Shipping Corp. |
Navios Prosperity I | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Wave Shipping Corp. |
Navios Libertas | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Casual Shipholding Co.(12) |
Navios Sol | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Avery Shipping Company |
Navios Symphony | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Coasters Ventures Ltd. |
Navios Christine B | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Ianthe Maritime S.A. |
Navios Aster | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Rubina Shipping Corporation |
Hyundai Hongkong | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 |
10
Table of Contents
| Topaz Shipping Corporation |
Hyundai Singapore | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Beryl Shipping Corporation |
Hyundai Tokyo | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Cheryl Shipping Corporation |
Hyundai Shanghai | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Christal Shipping Corporation |
Hyundai Busan | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Fairy Shipping Corporation (5) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Limestone Shipping Corporation (28) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Dune Shipping Corp. |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Citrine Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Cavalli Navigation Inc. |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Seymour Trading Limited(2) |
Navios Altair I | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Goldie Services Company(34) |
Navios Symmetry | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Andromeda Shiptrade Limited |
Navios Apollon I | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Esmeralda Shipping Corporation |
Navios Sphera | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Triangle Shipping Corporation |
Navios Mars | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Oceanus Shipping Corporation(19) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Cronus Shipping Corporation |
Protostar N | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Leto Shipping Corporation(17) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Dionysus Shipping Corporation(4) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Prometheus Shipping Corporation(18) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Camelia Shipping Inc.(31) |
Navios Camelia | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Anthos Shipping Inc. |
Navios Anthos | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Azalea Shipping Inc.(1) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Amaryllis Shipping Inc. |
Navios Amaryllis | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Zaffre Shipping Corporation(14) |
Serenitas N | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Wenge Shipping Corporation(14),(20) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Sunstone Shipping Corporation(14) |
Copernicus N | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Fandango Shipping Corporation(14) |
Unity N | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Flavescent Shipping Corporation(14) |
Odysseus N | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Emery Shipping Corporation(15) |
Navios Gem | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Rondine Management Corp.(15) |
Navios Victory | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Prosperity Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Aldebaran Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| JTC Shipping and Trading Ltd.(11) |
Holding Company | Malta | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Navios Maritime Partners L.P. |
N/A | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Navios Maritime Operating LLC. |
N/A | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Navios Partners Finance (US) Inc. |
Co-Borrower | Delaware | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Navios Partners Europe Finance Inc. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Solange Shipping Ltd.(16) |
Navios Avior | Marshall Is. | 1/01 – 9/30 | 3/30 – 9/30 | ||||
| Mandora Shipping Ltd.(16) |
Navios Centaurus | Marshall Is. | 1/01 – 9/30 | 3/30 – 9/30 | ||||
| Olympia II Navigation Limited |
Navios Domino | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Pingel Navigation Limited |
Navios Delight | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Ebba Navigation Limited |
Navios Destiny | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Clan Navigation Limited |
Navios Devotion | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Sui An Navigation Limited(23) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Bertyl Ventures Co. |
Navios Azure | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Silvanus Marine Company |
Navios Summer | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Anthimar Marine Inc. |
Navios Amarillo | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Enplo Shipping Limited |
Navios Verde | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Morven Chartering Inc. |
Matson Oahu | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Rodman Maritime Corp. |
Navios Spring | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Isolde Shipping Inc. |
Navios Indigo | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Velour Management Corp. |
Navios Vermilion | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Evian Shiptrade Ltd. |
Matson Lanai | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 |
11
Table of Contents
| Theros Ventures Limited |
Navios Lapis | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Legato Shipholding Inc. |
Navios Tempo | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Inastros Maritime Corp. |
Navios Chrysalis | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Zoner Shiptrade S.A. |
Navios Dorado | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Jasmer Shipholding Ltd. |
Navios Nerine | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Thetida Marine Co. |
Navios Magnolia | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Jaspero Shiptrade S.A. |
Navios Jasmine | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Peran Maritime Inc. |
Zim Baltimore | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Nefeli Navigation S.A. |
Navios Unison | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Crayon Shipping Ltd |
Navios Miami | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Chernava Marine Corp. |
Bahamas | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Proteus Shiptrade S.A |
Zim Carmel | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Vythos Marine Corp. |
Navios Constellation | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Navios Maritime Containers Sub L.P. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Navios Partners Containers Finance Inc. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Boheme Navigation Company |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Navios Partners Containers Inc. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Iliada Shipping S.A. |
Operating Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Vinetree Marine Company |
Operating Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Afros Maritime Inc. |
Operating Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Cavos Navigation Co.(9) |
Navios Libra | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Perivoia Shipmanagement Co.(10) |
Navios Amitie | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Pleione Management Limited(10) |
Navios Star | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Bato Marine Corp.(32) |
Navios Armonia | Marshall Is. | 1/01 – 9/30 | 3/05 – 9/30 | ||||
| Agron Navigation Company(21) |
Navios Azalea | Marshall Is. | 1/01 – 9/30 | 3/05 – 9/30 | ||||
| Teuta Maritime S.A.(22) |
TBN IV | Marshall Is. | 1/01 – 9/30 | 3/05 – 6/30 | ||||
| Ambracia Navigation Company(29) |
Navios Primavera | Marshall Is. | 1/01 – 9/30 | 3/05 – 9/30 | ||||
| Artala Shipping Co.(22) |
TBN II | Marshall Is. | 1/01 – 9/30 | 3/05 – 9/30 | ||||
| Migen Shipmanagement Ltd. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 3/05 – 9/30 | ||||
| Bole Shipping Corporation(24) |
Spectrum N | Marshall Is. | 1/01 – 9/30 | 4/28 – 9/30 | ||||
| Brandeis Shipping Corporation(24) |
Ete N | Marshall Is. | 1/01 – 9/30 | 5/10 – 9/30 | ||||
| Buff Shipping Corporation(24) |
Fleur N | Marshall Is. | 1/01 – 9/30 | 5/10 – 9/30 | ||||
| Morganite Shipping Corporation(25) |
TBN III | Marshall Is. | 1/01 – 9/30 | 6/01 – 9/30 | ||||
| Balder Martitime Ltd.(26) |
Navios Koyo | Marshall Is. | 1/01 – 9/30 | 6/04 – 9/30 | ||||
| Melpomene Shipping Corporation(25) |
TBN V | Marshall Is. | 1/01 – 9/30 | 6/23 – 9/30 | ||||
| Urania Shipping Corporation(25) |
TBN VI | Marshall Is. | 1/01 – 9/30 | 6/23 – 9/30 | ||||
| Terpsichore Shipping Corporation(8) |
TBN VII | Marshall Is. | 1/01 – 9/30 | 6/23 – 9/30 | ||||
| Erato Shipping Corporation(8) |
TBN VIII | Marshall Is. | 1/01 – 9/30 | 6/23 – 9/30 | ||||
| Lavender Shipping Corporation(12)(7) |
Navios Ray | Marshall Is. | 1/01 – 9/30 | 6/30 – 9/30 | ||||
| Nostos Shipmanagement Corp.(12) (7) |
Navios Bonavis | Marshall Is. | 1/01 – 9/30 | 6/30 – 9/30 | ||||
| Navios Maritime Acquisition Corporation |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Acquisition Europe Finance Inc. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Acquisition Finance (US) Inc. |
Co-Issuer of Ship Mortgage Notes | Delaware | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Maritime Midstream Partners GP LLC |
Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Letil Navigation Ltd. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Maritime Midstream Partners Finance (US) Inc. |
Sub-Holding Company | Delaware | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Aegean Sea Maritime Holdings Inc. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Amorgos Shipping Corporation(38) |
Nave Cosmos | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Andros Shipping Corporation(38) |
Nave Polaris | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Antikithira Shipping Corporation |
Nave Equator | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Antiparos Shipping Corporation |
Nave Atria | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Antipaxos Shipping Corporation(39) |
Nave Dorado | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 |
12
Table of Contents
| Antipsara Shipping Corporation |
Nave Velocity | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Crete Shipping Corporation |
Nave Cetus | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Delos Shipping Corporation |
Nave Photon | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Folegandros Shipping Corporation |
Nave Andromeda | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Ikaria Shipping Corporation |
Nave Aquila | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Ios Shipping Corporation |
Nave Cielo | Cayman Islands | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Iraklia Shipping Corporation |
Bougainville | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Kimolos Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Kithira Shipping Corporation |
Nave Orbit | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Kos Shipping Corporation |
Nave Bellatrix | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Lefkada Shipping Corporation |
Nave Buena Suerte | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Leros Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Mytilene Shipping Corporation |
Nave Orion | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Oinousses Shipping Corporation |
Nave Jupiter | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Psara Shipping Corporation |
Nave Luminosity | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Rhodes Shipping Corporation |
Nave Cassiopeia | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Samos Shipping Corporation |
Nave Synergy | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Samothrace Shipping Corporation |
Nave Pulsar | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Serifos Shipping Corporation |
Nave Estella | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Sifnos Shipping Corporation |
Nave Titan | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Skiathos Shipping Corporation |
Nave Capella | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Skopelos Shipping Corporation |
Nave Ariadne | Cayman Islands | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Skyros Shipping Corporation |
Nave Sextans | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Syros Shipping Corporation |
Nave Alderamin | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Thera Shipping Corporation |
Nave Atropos | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Tilos Shipping Corporation |
Nave Spherical | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Tinos Shipping Corporation |
Nave Rigel | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Zakynthos Shipping Corporation |
Nave Quasar | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Cyrus Investments Corp. |
Baghdad | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Olivia Enterprises Corp. |
Erbil | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Limnos Shipping Corporation |
Nave Pyxis | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Thasos Shipping Corporation |
Nave Equinox | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Agistri Shipping Limited |
Operating Subsidiary | Malta | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Paxos Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Donoussa Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Schinousa Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Alonnisos Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Makronisos Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Loyalty Limited |
Former Vessel-Owning Company | Hong Kong | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Navigator Limited |
Former Vessel-Owning Company | Hong Kong | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Amindra Navigation Co. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Maritime Midstream Partners L.P. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Maritime Midstream Operating LLC |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Dream Limited |
Former Vessel-Owning Company | Hong Kong | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Kannika Limited |
Former Vessel-Owning Company | Hong Kong | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Kieran Limited |
Nave Universe | British Virgin Islands | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Ocean Limited |
Former Vessel-Owning Company | Hong Kong | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Saowalak Limited |
Nave Constellation | British Virgin Islands | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Sikinos Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Kerkyra Shipping Corporation |
Nave Galactic | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Doxa International Corp. |
Nave Electron | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Alkmene Shipping Corporation(38) |
Star N | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 |
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Table of Contents
| Aphrodite Shipping Corporation |
Aurora N | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Dione Shipping Corporation |
Lumen N | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Persephone Shipping Corporation |
Hector N | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Rhea Shipping Corporation(36) |
Perseus N | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Tzia Shipping Corporation (30) |
Nave Celeste | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Boysenberry Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Cadmium Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Celadon Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Cerulean Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Kleio Shipping Corporation (6) |
TBN IX | Marshall Is. | 1/01 – 9/30 | 8/12 – 9/30 | ||||
| Polymnia Shipping Corporation (6) |
TBN X | Marshall Is. | 1/01 – 9/30 | 8/12 – 9/30 | ||||
| Goddess Shiptrade Inc. |
Navios Astra | Marshall Is. | 1/01 – 9/30 | 8/02 – 9/30 | ||||
| Navios Acquisition Merger Sub. Inc. |
Merger SPV | Marshall Is. | 1/01 – 9/30 | 8/23 – 9/30 | ||||
| Aramis Navigation Inc.(3) |
Navios Azimuth | Marshall Is. | 1/01 – 9/30 | 7/09 – 9/30 | ||||
| Thalia Shipping Corporation (6) |
TBN XIII | Marshall Is. | 1/01 – 9/30 | — | ||||
| Muses Shipping Corporation (6) |
TBN XIV | Marshall Is. | 1/01 – 9/30 | — | ||||
| Euterpe Shipping Corporation (8) |
TBN XII | Marshall Is. | 1/01 – 9/30 | — | ||||
| Calliope Shipping Corporation (25) |
TBN XI | Marshall Is. | 1/01 – 9/30 | — | ||||
| Karpathos Shipping Corporation (6) |
TBN XIX | Marshall Is. | 6/22 – 9/30 | — | ||||
| Patmos Shipping Corporation (27) |
TBN XX | Marshall Is. | 6/22 – 9/30 | — | ||||
| Tarak Shipping Corporation (8) |
TBN XV | Marshall Is. | 4/26 – 9/30 | — | ||||
| Astrovalos Shipping Corporation (6) |
TBN XVI | Marshall Is. | 4/26 – 9/30 | — | ||||
| Ithaki Shipping Corporation (6) |
TBN XVII | Marshall Is. | 4/26 – 9/30 | — | ||||
| Gavdos Shipping Corporation (27) |
TBN XVIII | Marshall Is. | 4/26 – 9/30 | — | ||||
| Galera Management Company(22) |
TBN I | Marshall Is. | 6/24 – 9/30 | — | ||||
| Vatselo Enterprises Corp. (21) |
TBN XXIII | Marshall Is. | 6/24 – 9/30 | — | ||||
| Thalassa Marine S.A. |
Navios Galaxy II | Marshall Is. | 7/29 – 9/30 | — | ||||
| Anafi Shipping Corporation(12) |
Navios Sky | Marshall Is. | 9/08 – 9/30 | — | ||||
| Asteroid Shipping S.A. |
Navios Herakles I | Marshall Is. | 7/29 – 9/30 | — | ||||
| Bulkinvest S.A. |
Operating Company | Luxembourg | 9/08 – 9/30 | — | ||||
| Cloud Atlas Marine S.A. |
Navios Uranus | Marshall Is. | 7/29 – 9/30 | — | ||||
| Corsair Shipping Ltd. (33) |
Navios Ulysses | Marshall Is. | 9/08 – 9/30 | — | ||||
| Ducale Marine Inc. |
Navios Etoile | Marshall Is. | 9/08 – 9/30 | — | ||||
| Faith Marine Ltd (12) |
Navios Altamira | Marshall Is. | 9/08 – 9/30 | — | ||||
| Kleimar N.V.(37) |
Operating Company/Vessel Owning Company/ Management Company |
Belgium | 9/08 – 9/30 | — | ||||
| Iris Shipping Corporation |
N Amathia | Marshall Is. | 9/08 – 9/30 | — | ||||
| Moonstone Shipping Corporation |
Jupiter N | Marshall Is. | 9/08 – 9/30 | — | ||||
| NAV Holdings Limited |
Sub-Holding Company | Malta | 9/08 – 9/30 | — | ||||
| Navios International Inc. |
Operating Company | Marshall Is. | 7/29 – 9/30 | — | ||||
| Veja Navigation Company |
Sub-Holding Company | Marshall Is. | 9/08 – 9/30 | — | ||||
| Vernazza Shiptrade Inc. (12) |
Navios Canary | Marshall Is. | 9/08 – 9/30 | — | ||||
| White Narcissus Marine S.A. (12) (37) |
Navios Asteriks | Marshall Is. | 9/08 – 9/30 | — | ||||
| Talia Shiptrade S.A. |
Navios Magellan II | Marshall Is. | 7/29 – 9/30 | — | ||||
| Shikhar Ventures S.A. (12) |
Navios Stellar | Liberia | 9/08 – 9/30 | — | ||||
| Opal Shipping Corporation |
Rainbow N | Marshall Is. | 9/08 – 9/30 | — | ||||
| Pharos Navigation S.A. (12) |
Navios Phoenix | Marshall Is. | 9/08 – 9/30 | — | ||||
| Pueblo Holdings Ltd. (12) |
Navios Lumen | Marshall Is. | 9/08 – 9/30 | — | ||||
| Red Rose Shipping Corp. |
Navios Bonheur | Marshall Is. | 9/08 – 9/30 | — |
14
Table of Contents
| Rider Shipmanagement Inc. |
Navios Felicity I | Marshall Is. | 7/29 – 9/30 | — | ||||
| Roselite Shipping Corporation (12) |
Navios Corali | Marshall Is. | 9/08 – 9/30 | — | ||||
| Rumer Holding Ltd. (12) |
Navios Antares | Marshall Is. | 9/08 – 9/30 | — | ||||
| Jasmine Shipping Corporation |
N Bonanza | Marshall Is. | 9/08 – 9/30 | — | ||||
| Highbird Management Inc. |
Navios Celestial | Marshall Is. | 9/08 – 9/30 | — |
| (1) | The vessel was sold on August 13, 2021. |
| (2) | The vessel was sold on October 29, 2021. |
| (3) | The vessel was acquired on July 9, 2021. |
| (4) | The vessel was sold on August 16, 2021. |
| (5) | The vessel was sold on September 12, 2022 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (6) | Expected to be delivered by the second half of 2024. |
| (7) | The vessel was acquired on June 30, 2021 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (8) | Expected to be delivered by the first half of 2024. |
| (9) | The vessel was delivered on July 24, 2019 (see Note 15 – Leases to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (10) | The vessels were delivered on May 28, 2021 and June 10, 2021 (see Note 15 – Leases to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (11) | Not a vessel-owning subsidiary and only holds right to charter-in contracts. |
| (12) | Vessels under the sale and leaseback transaction. |
| (13) | The vessel was sold on December 10, 2020. |
| (14) | The vessels were acquired on June 29, 2020, following the liquidation of Navios Europe II. |
| (15) | The vessels were acquired on September 30, 2020. |
| (16) | The vessels were acquired on March 30, 2021 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (17) | The vessel was sold on January 13, 2021 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (18) | The vessel was sold on January 28, 2021 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (19) | The vessel was sold on February 10, 2021 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (20) | The vessel was sold on March 25, 2021 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (21) | Expected to be delivered by the second half of 2022. |
| (22) | Expected to be delivered in the first half of 2023. |
| (23) | The vessel was sold on July 31, 2021 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (24) | The vessels were acquired on May 10, 2021 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (25) | Expected to be delivered by the second half of 2023. |
| (26) | The vessel was acquired on June 4, 2021 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (27) | Expected to be delivered by the first half of 2025. |
| (28) | The vessel was sold on September 21, 2022 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (29) | The vessel was acquired on July 27, 2022 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (30) | The vessel was delivered on July 5, 2022 (see Note 15 – Leases to the unaudited condensed consolidated financial statements included elsewhere in this Report) . |
| (31) | The vessel was sold on November 17, 2022 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (32) | The vessel was acquired on September 21, 2022 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (33) | The vessel was sold on October 14, 2022 (see Note 5 – Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (34) | The vessel was sold on October 25, 2022 (see Note 17 – Subsequent events to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (35) | The vessel was sold on November 14, 2022 (see Note 17 – Subsequent events to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (36) | The vessels agreed to be sold in November 2022. The sale is expected to be completed in the fourth quarter of 2022 (see Note 17 – Subsequent events to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
15
Table of Contents
| (37) | The vessel is owned 50% by White Narcissus Marine S.A. and 50% by Kleimar N.V. |
| (38) | The vessel agreed to be sold in December 2022. The sale is expected to be completed in the first quarter of 2023 (see Note 17 – Subsequent events to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
| (39) | The vessels agreed to be sold in November 2022. The sale is expected to be completed in the first quarter of 2023 (see Note 17 – Subsequent events to the unaudited condensed consolidated financial statements included elsewhere in this Report). |
The following table reflects certain key indicators of Navios Partners’ fleet performance for the three and nine month periods ended September 30, 2022 and 2021 (including, for 2021, the Navios Maritime Containers L.P.’s (“Navios Containers”) fleet and Navios Maritime Acquisition Corporation’s (“Navios Acquisition”) fleet from April 1, 2021 and from August 26, 2021, respectively).
| Three Month Period Ended September 30, 2022 (unaudited) |
Three Month Period Ended September 30, 2021 (unaudited) |
Nine Month Period Ended September 30, 2022 (unaudited) |
Nine Month Period Ended September 30, 2021 (unaudited) |
|||||||||||||
| Available Days(1) |
12,897 | 9,027 | 35,394 | 20,521 | ||||||||||||
| Operating Days(2) |
12,785 | 8,951 | 35,008 | 20,342 | ||||||||||||
| Fleet Utilization(3) |
99.1 | % | 99.2 | % | 98.9 | % | 99.1 | % | ||||||||
| Time Charter Equivalent rate (per day)(4) |
$ | 23,781 | $ | 24,447 | $ | 22,717 | $ | 20,991 | ||||||||
| Vessels operating at end of periods |
166 | 129 | 166 | 129 | ||||||||||||
| (1) | Available days for the fleet represent total calendar days the vessels were in Navios Partners’ possession for the relevant period after subtracting off-hire days associated with scheduled repairs, dry dockings or special surveys and ballast days relating to voyages. The shipping industry uses available days to measure the number of days in a relevant period during which a vessel is capable of generating revenues. |
| (2) | Operating days are the number of available days in the relevant period less the aggregate number of days that the vessels are off-hire due to any reason, including unforeseen circumstances. The shipping industry uses operating days to measure the aggregate number of days in a relevant period during which vessels actually generate revenues. |
| (3) | Fleet utilization is the percentage of time that Navios Partners’ vessels were available for generating revenue, and is determined by dividing the number of operating days during a relevant period by the number of available days during that period. The shipping industry uses fleet utilization to measure efficiency in finding employment for vessels and minimizing the amount of days that its vessels are off-hire for reasons other than scheduled repairs, dry dockings or special surveys. |
| (4) | Time Charter Equivalent rate per day (“TCE”) is defined as voyage, time charter revenues and charter-out revenues under bareboat contracts (grossed up by currently applicable fixed vessel operating expenses) less voyage expenses during a period divided by the number of available days during the period. The TCE rate per day is a standard shipping industry performance measure used primarily to present the actual daily earnings generated by vessels on various types of charter contracts for the number of available days of the fleet. |
FINANCIAL HIGHLIGHTS
Upon completion of the merger (the “NMCI Merger”) with Navios Containers and the merger with Navios Acquisition (the “NNA Merger”), the results of operations of Navios Containers and Navios Acquisition are included in Navios Partners’ condensed Consolidated Statements of Operations.
The following table presents consolidated revenue and expense information for the three and nine month periods ended September 30, 2022 and 2021.
| Three Month Period Ended September 30, 2022 ($ ’000) (unaudited) |
Three Month Period Ended September 30, 2021 ($ ’000) (unaudited) |
Nine Month Period Ended September 30, 2022 ($ ’000) (unaudited) |
Nine Month Period Ended September 30, 2021 ($ ’000) (unaudited) |
|||||||||||||
| Time charter and voyage revenues |
$ | 322,387 | $ | 227,957 | $ | 839,665 | $ | 445,029 | ||||||||
| Time charter and voyage expenses |
(35,439 | ) | (11,465 | ) | (74,300 | ) | (19,829 | ) | ||||||||
| Direct vessel expenses |
(15,398 | ) | (10,864 | ) | (39,511 | ) | (18,007 | ) | ||||||||
| Vessel operating expenses (entirely through related parties transactions) |
(78,928 | ) | (53,952 | ) | (226,089 | ) | (118,685 | ) | ||||||||
| General and administrative expenses |
(15,597 | ) | (9,491 | ) | (43,683 | ) | (24,717 | ) | ||||||||
| Depreciation and amortization of intangible assets |
(59,270 | ) | (32,102 | ) | (143,820 | ) | (67,309 | ) | ||||||||
| Amortization of unfavorable lease terms |
24,779 | 35,576 | 64,205 | 77,602 | ||||||||||||
| Gain on sale of vessels, net |
143,764 | 30,859 | 143,764 | 30,348 | ||||||||||||
| Interest expense and finance cost, net |
(22,270 | ) | (14,446 | ) | (50,019 | ) | (27,624 | ) | ||||||||
| Interest income |
74 | — | 98 | 859 | ||||||||||||
| Other expense, net |
(6,938 | ) | (4,969 | ) | (9,321 | ) | (8,864 | ) | ||||||||
| Equity in net earnings of affiliated companies |
— | — | — | 80,839 | ||||||||||||
| Transaction costs |
— | (2,870 | ) | — | (2,870 | ) | ||||||||||
| Bargain gain |
— | 3,962 | — | 48,015 | ||||||||||||
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|
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|
|
|
|
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| Net income |
$ | 257,164 | $ | 158,195 | $ | 460,989 | $ | 394,787 | ||||||||
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|
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| Net loss attributable to the noncontrolling interest |
— | 3,859 | — | 3,859 | ||||||||||||
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|
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|
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|
|
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| Net income attributable to Navios Partners unitholders |
$ | 257,164 | $ | 162,054 | $ | 460,989 | $ | 398,646 | ||||||||
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|
|||||||||
| EBITDA(1) |
$ | 321,433 | $ | 177,185 | $ | 611,028 | $ | 426,160 | ||||||||
|
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|
|
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|
|
|
|
|||||||||
| Adjusted EBITDA(1) |
$ | 177,669 | $ | 145,234 | $ | 467,264 | $ | 269,828 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Operating Surplus (1) |
$ | 94,790 | $ | 104,693 | $ | 240,859 | $ | 183,059 | ||||||||
|
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|
|
|
|
|
|
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| (1) | EBITDA, Adjusted EBITDA and Operating Surplus are non-GAAP financial measures. See “Reconciliation of EBITDA and Adjusted EBITDA to Net Cash from Operating Activities, EBITDA and Operating Surplus” for a description of EBITDA, Adjusted EBITDA and Operating Surplus and a reconciliation of EBITDA, Adjusted EBITDA and Operating Surplus to the most comparable measure under U.S. GAAP. |
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Period over Period Comparisons
For the Three Month Period ended September 30, 2022 compared to the Three Month Period ended September 30, 2021
Time charter and voyage revenues: Time charter and voyage revenues of Navios Partners for the three month period ended September 30, 2022 increased by $94.4 million, or 41.4%, to $322.4 million, as compared to $228.0 million for the same period in 2021. The increase in revenue was mainly attributable to the increase in the size of our fleet. For the three month period ended September 30, 2022, the time charter and voyage revenues were affected by $13.6 million relating to the straight-line effect of the containerships charters with de-escalating rates. The TCE rate decreased by 2.7% to $23,781 per day, as compared to $24,447 per day for the same period in 2021. The available days of the fleet increased by 42.9% to 12,897 days for the three month period ended September 30, 2022, as compared to 9,027 for the same period in 2021, mainly due to the acquisition of the 36-vessel drybulk fleet and the NNA Merger.
Time charter and voyage expenses: Time charter and voyage expenses for the three month period ended September 30, 2022 increased by approximately $23.9 million to $35.4 million, as compared to $11.5 million for the three month period ended September 30, 2021. The increase was mainly attributable to a: (i) $13.2 million increase in bareboat and charter-in hire expense due to the delivery of one bareboat-in vessel during the third quarter of 2022, the NNA Merger and the delivery of five chartered-in vessels upon the acquisition of the 36-vessel drybulk fleet during the third quarter of 2022; (ii) $6.4 million increase in bunkers expenses; (iii) $2.0 million net increase in other voyage expenses; (iv) $1.9 million increase in brokers’ commissions; and (v) $0.4 million increase in port expenses related to freight voyages.
Direct vessel expenses: Direct vessel expenses for the three month period ended September 30, 2022 increased by $4.5 million, to $15.4 million, as compared to $10.9 million for the three month period ended September 30, 2021. The increase of $4.5 million was mainly attributable to the amortization of deferred drydock and special survey costs and insurance costs due to the increase in the size of our fleet.
Vessel operating expenses: Vessel operating expenses for the three month period ended September 30, 2022, increased by approximately $24.9 million, or 46.1%, to $78.9 million, as compared to $54.0 million for the same period in 2021. The increase was mainly due to the increase in the size of our fleet.
General and administrative expenses: General and administrative expenses increased by $6.1 million to $15.6 million for the three month period ended September 30, 2022, as compared to $9.5 million for the three month period ended September 30, 2021. The increase was mainly due to a: (i) $4.2 million increase in administrative fees paid to Navios Shipmanagement Inc., (the “Manager”) and Navios Tankers Management Inc. (“Tankers Manager” and together with the Manager, the “Managers”) due to the increased number of vessels in Navios Partners’ fleet; and (ii) $2.0 million increase in legal and professional fees, as well as audit fees and other administrative expenses. The above increase was partially mitigated by a $0.1 million decrease in stock-based compensation.
Depreciation and amortization of intangible assets: Depreciation and amortization of intangible assets amounted to $59.3 million for the three month period ended September 30, 2022, as compared to $32.1 million for the three month period ended September 30, 2021. The increase of $27.2 million was mainly attributable to: (i) an $18.0 million increase due to the delivery of the 36-vessel drybulk fleet in Navios Partners’ owned fleet; (ii) a $9.0 million increase due to the delivery of the fleet of Navios Acquisition in Navios Partners’ owned fleet; (iii) a $0.3 million increase due to the delivery of three vessels in the third quarter of 2022; and (iv) a $0.2 million increase due to vessel additions. The above increase was partially mitigated by a $0.3 million decrease due to the sale of two and four vessels in the third quarter of 2022 and in the same period in 2021, respectively.
Amortization of unfavorable lease terms: Amortization of unfavorable lease terms amounted to $24.8 million for the three month period ended September 30, 2022 as compared to $35.6 million for the three month period ended September 30, 2021, that related to the fair value of the time charters with unfavorable lease terms as determined at the acquisition date of Navios Containers, at the date of obtaining control of Navios Acquisition and at the date of the acquisition of the 36-vessel drybulk fleet. Amortization of unfavorable lease terms amounted to $35.6 million for the three month period ended September 30, 2021, related to the fair value of the time charters with unfavorable lease terms as determined at the acquisition date of Navios Containers and at the date of obtaining control of Navios Acquisition.
Gain on sale of vessels, net: Gain on sale of vessels, net amounted to $143.8 million for the three month period ended September 30, 2022, relating to the sale of the Navios Unite and the Navios Utmost. Gain on sale of vessels amounted to $30.9 million for the three month period ended September 30, 2021, relating to the sale of the Harmony N, the Navios Azalea and the Navios Dedication.
Interest expense and finance cost, net: Interest expense and finance cost, net, for the three month period ended September 30, 2022 increased by approximately $7.9 million or 54.9% to $22.3 million, as compared to $14.4 million for the three month period ended September 30, 2021. The increase was mainly due to the increase in Navios Partners’ average loan balance to $1,579.0 million for the three month period ended September 30, 2022 as compared to $1,071.9 million for the same period of 2021 due to the credit facilities and financial liabilities recognized following the NNA Merger and the acquisition of the 36-vessel drybulk fleet of Navios Holdings and to the increase of the weighted average interest rate for the three month period ended September 30, 2022 to 5.59% from 4.77% for the same period in 2021.
Interest income: Interest income amounted to $0.1 million for the three month period ended September 30, 2022, as compared to $0 for the three month period ended September 30, 2021.
Other expense, net: Other expense, net for the three month period ended September 30, 2022 increased by $1.9 million to $6.9 million, as compared to $5.0 million for the three month period ended September 30, 2021, mainly due to the increase in claims related expenses.
Transaction costs: Transaction costs amounted to $2.9 million for the three month period ended September 30, 2021 and were related to the NNA Merger. There were no transaction costs for the three month period ended September 30, 2022.
Bargain gain: Bargain gain amounted to $4.0 million for the three month period ended September 30, 2021, resulting from the excess of Navios Acquisition’s fair value of the identifiable assets acquired of $211.6 million over the fair value of the consideration transferred of $150.0 million and the fair value of the noncontrolling interest of $57.6 million. There was no bargain gain for the three month period ended September 30, 2022.
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Net income: Net income for the three month period ended September 30, 2022 amounted to $257.2 million as compared to $158.2 million net income for the three month period ended September 30, 2021. The increase of $99.0 million was due to the factors discussed above.
Operating surplus: Navios Partners generated Operating Surplus for the three month period ended September 30, 2022 of $94.8 million, as compared to $104.7 million for the three month period ended September 30, 2021. Operating Surplus is a non-GAAP financial measure used by certain investors to assist in evaluating a partnership’s ability to make quarterly cash distributions (See “Reconciliation of EBITDA and Adjusted EBITDA to Net Cash from Operating Activities, EBITDA and Operating Surplus” contained herein).
For the Nine Month Period ended September 30, 2022 compared to the Nine Month Period ended September 30, 2021
Time charter and voyage revenues: Time charter and voyage revenues of Navios Partners for the nine month period ended September 30, 2022 increased by approximately $394.7 million, or 88.7%, to $839.7 million, as compared to $445.0 million for the same period in 2021. The increase in revenue was mainly attributable to the increase in the size of our fleet and to the increase in TCE rate. For the nine month period ended September 30, 2022, the time charter and voyage revenues were affected by $30.1 million relating to the straight-line effect of the containerships charters with de-escalating rates. The TCE rate increased by 8.2% to $22,717 per day, as compared to $20,991 per day in the same period in 2021. The available days of the fleet increased by 72.5% to 35,394 days for the nine month period ended September 30, 2022, as compared to 20,521 days in the same period in 2021, mainly due to the acquisition of the 36-vessel drybulk fleet, the NMCI Merger and the NNA Merger.
Time charter and voyage expenses: Time charter and voyage expenses for the nine month period ended September 30, 2022 increased by $54.5 million to $74.3 million, as compared to $19.8 million for the nine month period ended September 30, 2021. The increase was mainly attributable to a: (i) $27.1 million increase in bareboat and charter-in hire expense due to the delivery of one bareboat-in vessel during the third quarter of 2022, the NNA Merger and the delivery of five chartered-in vessels upon the acquisition of the 36-vessel drybulk fleet during the third quarter of 2022; (ii) $14.0 million increase in bunkers expenses; (iii) $6.3 million increase in brokers’ commissions; (iv) $5.5 million net increase in other voyage expenses; and (v) $1.6 million increase in port expenses related to the freight voyages.
Direct vessel expenses: Direct vessel expenses for the nine month period ended September 30, 2022 increased by $21.5 million, to $39.5 million, as compared to $18.0 million for the nine month period ended September 30, 2021. The increase of $21.5 million was mainly attributable to the amortization of deferred drydock and special survey costs due to the increase in the size of our fleet, insurance costs due to the increase in the size of our fleet and crew related expenses as a result of COVID-19 measures pursuant to the terms of the Management Agreements (defined herein).
Vessel operating expenses: Vessel operating expenses for the nine month period ended September 30, 2022, increased by $107.4 million, or 90.5%, to $226.1 million, as compared to $118.7 million for the same period in 2021. The increase was mainly due to the increase in the size of our fleet.
General and administrative expenses: General and administrative expenses increased by $19.0 million to $43.7 million for the nine month period ended September 30, 2022, as compared to $24.7 million for the nine month period ended September 30, 2021. The increase was mainly due to a: (i) $14.9 million increase in administrative fees paid to the Managers due to the increased number of vessels in Navios Partners’ fleet; and (ii) $4.4 million increase in legal and professional fees, as well as audit fees and other administrative expenses. The above increase was partially mitigated by an approximately $0.3 million decrease in stock based compensation.
Depreciation and amortization of intangible assets: Depreciation and amortization of intangible assets amounted to $143.8 million for the nine month period ended September 30, 2022, as compared to $67.3 million for the nine month period ended September 30, 2021. The increase of $76.5 million was mainly attributable to: (i) a $46.9 million increase due to the delivery of the fleet of Navios Acquisition in Navios Partners’ owned fleet; (ii) an $18.0 million increase due to the delivery of the 36-vessel drybulk fleet in Navios Partners’ owned fleet; (iii) an $8.1 million increase due to the delivery of the fleet of Navios Containers in Navios Partners’ owned fleet; (iv) a $4.4 million increase due to the delivery of three and nine vessels in 2022 and 2021, respectively; and (v) a $0.6 million increase due to vessel additions. The above increase was partially mitigated by a $1.5 million decrease due to the sale of two and eight vessels in 2022 and 2021, respectively.
Amortization of unfavorable lease terms: Amortization of unfavorable lease terms amounted to $64.2 million for the nine month period ended September 30, 2022 as compared to $77.6 million for the nine month period ended September 30, 2021, that related to the fair value of the time charters with unfavorable lease terms as determined at the acquisition date of Navios Containers, at the date of obtaining control of Navios Acquisition, and at the date of the acquisition of the 36-vessel drybulk fleet.
Gain on sale of vessels, net: Gain on sale of vessels, net amounted to $143.8 million for the nine month period ended September 30, 2022, relating to the sale of the Navios Unite and the Navios Utmost. Gain on sale of vessels amounted to $30.3 million for the nine month period ended September 30, 2021, relating to a gain on sale of the Harmony N, the Navios Azalea, the Navios Dedication, the Esperanza N, the Castor N and the Solar N amounted to $31.7 million, partially mitigated by a loss on sale of the Joie N amounted to $1.4 million.
Interest expense and finance cost, net: Interest expense and finance cost, net, for the nine month period ended September 30, 2022 increased by approximately $22.4 million or 81.2%, to $50.0 million, as compared to $27.6 million for the nine month period ended September 30, 2021. The increase was mainly due to the increase in Navios Partners’ average loan balance to $1,415.2 million for the nine month period ended September 30, 2022 as compared to the $758.8 million for the same period of 2021 due to credit facilities and financial liabilities recognized following the acquisition of 36-vessel drybulk fleet of Navios Holdings, the NNA Merger and the NMCI Merger and due to the increase of the weighted average interest rate for the nine month period ended September 30, 2022 to 4.59% from 4.29% for the same period in 2021.
Interest income: Interest income decreased by $0.8 million to $0.1 million for the nine month period ended September 30, 2022, as compared to $0.9 million for the nine month period ended September 30, 2021.
Other expense, net: Other expense, net for the nine month period ended September 30, 2022 amounted to $9.3 million, as compared to $8.9 million for the nine month period ended September 30, 2021 mainly due to the increase in claims related expenses.
Equity in net earnings of affiliated companies: Equity in net earnings of affiliated companies for the nine month period ended September 30, 2021 amounted to $80.8 million. The amount of $80.8 million is the gain from equity in net earnings resulting from remeasurement of existing interest held in Navios Containers upon the NMCI Merger. As of March 31, 2021, Navios Partners’ previously held interest of 35.7% in Navios Containers was remeasured to a fair value of $107.0 million, resulting in revaluation gain of $75.4 million which along with the equity gain of approximately $5.4 million from the operations of Navios Containers, up to the closing date, aggregate to a gain on acquisition of control in the amount of $80.8 million. There was no equity in net earnings of affiliated companies for the nine month period ended September 30, 2022.
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Table of Contents
Bargain gain: Bargain gain amounted to $48.0 million for the nine month period ended September 30, 2021, resulting from the excess Navios Containers’ fair value of the identifiable assets acquired of $342.7 million over the total purchase price consideration of $298.6 million and Navios Acquisition’s fair value of the identifiable assets acquired of $211.6 million over the fair value of the consideration transferred of $150.0 million and the fair value of the noncontrolling interest of $57.6 million. There was no bargain gain for the nine month period ended September 30, 2022.
Transaction costs: Transaction costs amounted to $2.9 million for the nine month period ended September 30, 2021 and were related to the NNA Merger. There were no transaction costs for the nine month period ended September 30, 2022.
Net income: Net income for the nine month period ended September 30, 2022 amounted to $461.0 million as compared to $394.8 million net income for the nine month period ended September 30, 2021. The increase in net income of approximately $66.2 million was due to the factors discussed above.
Operating surplus: Navios Partners generated Operating Surplus for the nine month period ended September 30, 2022 of $240.9 million, as compared to $183.1 million for the nine month period ended September 30, 2021.
Off-Balance Sheet Arrangements
We have no off-balance sheet arrangements that have or are reasonably likely to have, a current or future material effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources.
Liquidity and Capital Resources
In addition to distributions on our units, our primary short-term liquidity needs are to fund general working capital requirements, cash reserve requirements including those under our credit facilities and debt service, while our long-term liquidity needs primarily relate to expansion and investment capital expenditures and other maintenance capital expenditures and debt repayment. We anticipate that our primary sources of funds for our short-term liquidity needs will be cash flows from our operations, proceeds from asset sales, long-term bank borrowings, debt raisings, and equity offerings. As of September 30, 2022, Navios Partners’ current assets totaled $239.9 million, while current liabilities totaled $597.9 million, resulting in a negative working capital position of $358.0 million. Navios Partners’ cash forecast indicates that it will generate sufficient cash through its contracted revenue of $3.4 billion as of November 25, 2022 and cash proceeds from the sale of vessels (see Note 5 - Vessels, net to the unaudited condensed consolidated financial statements included elsewhere in this Report and Note 17 - Subsequent Events to the unaudited condensed consolidated financial statements included elsewhere in this Report) to make the required principal and interest payments on its indebtedness, provide for the normal working capital requirements of the business for a period of at least 12 months from the date of issuance of our condensed consolidated financial statements.
Generally, our long-term sources of funds derive from cash from operations, long-term bank borrowings and other debt or equity financings to fund acquisitions and expansion and investment capital expenditures. We cannot assure you that we will be able to secure adequate financing or to obtain additional funds on favorable terms, or at all, to meet our liquidity needs.
Cash deposits and cash equivalents in excess of amounts covered by government provided insurance are exposed to loss in the event of non-performance by financial institutions. Navios Partners does maintain cash deposits and equivalents in excess of government provided insurance limits. Navios Partners also minimizes exposure to credit risk by dealing with a diversified group of major financial institutions.
| Nine Month Period Ended September 30, 2022 ($ ‘000) (unaudited) |
Nine Month Period Ended September 30, 2021 ($‘000) (unaudited) |
|||||||
| Net cash provided by operating activities |
$ | 366,271 | $ | 148,153 | ||||
| Net cash used in investing activities |
(265,710 | ) | (103,052 | ) | ||||
| Net cash (used in)/ provided by financing activities |
(159,687 | ) | 65,351 | |||||
|
|
|
|
|
|||||
| (Decrease)/ increase in cash, cash equivalents and restricted cash |
$ | (59,126 | ) | $ | 110,452 | |||
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|
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Cash provided by operating activities for the nine month period ended September 30, 2022 as compared to the cash provided by operating activities for the nine month period ended September 30, 2021
Net cash provided by operating activities increased by $218.1 million to $366.3 million of cash provided by operating activities for the nine month period ended September 30, 2022, as compared to $148.2 million of cash provided by operating activities for the same period in 2021. In determining net cash provided by operating activities, net income is adjusted for the effects of certain non-cash items as discussed below.
The aggregate adjustments to reconcile net income to net cash provided by operating activities was $2.2 million of non-cash negative net adjustments for the nine month period ended September 30, 2022, which consisted mainly of the following adjustments: (i) $143.8 million gain from sale of vessels; and (ii) $64.2 million amortization of unfavorable lease terms. These adjustments were partially mitigated by: (i) $143.8 million depreciation and amortization of intangible assets; (ii) $36.2 million non-cash amortization of deferred revenue and straight-line effect of the containerships charters with de-escalating rates; (iii) $20.5 million amortization of deferred dry dock and special survey costs; (iv) $3.9 million amortization and write-off of deferred finance costs and discount; (v) $1.3 million amortization of operating lease assets/ liabilities; and (vi) $0.1 million stock based compensation.
The net cash outflow resulting from the change in operating assets and liabilities of $92.5 million for the nine month period ended September 30, 2022 resulted from: (i) $48.8 million in payments for dry dock and special survey costs; (ii) a $26.2 million increase in prepaid expenses and other current assets; (iii) a $21.6 million increase in accounts receivable; (iv) a $6.8 million increase in amounts due from related parties; and (v) a $2.4 million decrease in amounts due to related parties. This was partially mitigated by: (i) a $7.8 million increase in accounts payable; (ii) a $4.3 million increase in deferred revenue; and (iii) a $1.2 million increase in accrued expenses.
The aggregate adjustments to reconcile net income to net cash provided by operating activities was a $157.5 million net loss for the nine month period ended September 30, 2021, which consisted mainly of the following adjustments: (i) $80.8 million equity in net earnings of affiliated companies; (ii) $77.6 million amortization of unfavorable lease terms; (iii) $48.0 million bargain gain related to the NMCI Merger and the control obtained over Navios Acquisition; (iv) $30.3 million gain on sale of assets; (v) $1.7 million non-cash accrued interest income and amortization of deferred revenue; and (vi) $0.2 million amortization of operating lease right-of-use asset. These adjustments were partially mitigated by: (i) $67.3 million depreciation and amortization of intangible assets; (ii) $11.0 million amortization of deferred dry dock and special survey costs; (iii) $2.5 million amortization and write-off of deferred finance costs and discount; and (iv) $0.3 million stock based compensation.
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The net cash outflow resulting from the change in operating assets and liabilities of $89.1 million for the nine month period ended September 30, 2021 resulted from a $37.5 million decrease in amounts due to related parties, a $32.5 million in payments for dry dock and special survey costs, an $18.2 million increase in amounts due from related parties, a $6.6 million increase in prepaid expenses and other current assets, a $5.6 million decrease in accrued expenses and a $5.0 million increase in accounts receivable. This was partially mitigated by a $13.3 million increase in deferred revenue and a $3.0 million increase in accounts payable.
Cash used in investing activities for the nine month period ended September 30, 2022 as compared to the cash used in investing activities for the nine month period ended September 30, 2021
Net cash used in investing activities for the nine month period ended September 30, 2022 amounted to $265.7 million as compared to $103.1 million cash used in investing activities for the nine month period ended September 30, 2021.
Cash used in investing activities of $265.7 million for the nine month period ended September 30, 2022 was mainly due to: (i) $395.4 million related to vessels’ acquisitions and additions; and (ii) $95.5 million related to deposits for the acquisition/ option to acquire vessels and capitalized expenses. This was partially mitigated by : (i) $215.3 million proceeds related to the sale of two vessels; and (ii) $9.9 million cash acquired through the delivery of the 36-vessel drybulk fleet.
Cash used in investing activities of approximately $103.1 million for the nine month period ended September 30, 2021 was mainly due to: (i) $213.8 million related to vessels acquisitions and additions; and (ii) $48.5 million related to deposits for the option to acquire seven bareboat charter-in vessels, four newbuilding containership vessels and capitalized expenses. This was partially mitigated by: (i) $107.6 million of proceeds related to the sale of seven vessels; (ii) $42.7 million cash acquired from Navios Containers and Navios Acquisition following the NMCI Merger and the control obtained over Navios Acquisition, respectively; and (iii) an $8.9 million of proceeds from the senior unsecured notes of HMM.
Cash used in financing activities for the nine month period ended September 30, 2022 as compared to cash provided by financing activities for the nine month period ended September 30, 2021
Net cash provided by financing activities decreased by approximately $225.1 million to $159.7 million outflow for the nine month period ended September 30, 2022, as compared to $65.4 million inflow for the same period in 2021.
Cash used in financing activities of $159.7 million for the nine month period ended September 30, 2022 was mainly due to: (i) $497.6 million repayments of loans and financial liabilities ; (ii) $4.6 million payments in total for cash distributions; and (iii) $2.7 million payments of deferred finance costs related to the new credit facilities. This was partially mitigated by $345.2 million proceeds from new credit facilities.
Cash provided by financing activities of $65.4 million for the nine month period ended September 30, 2021 was mainly due to: (i) $662.6 million proceeds from the new credit facilities and sale and leaseback agreements; and (ii) $206.6 million proceeds from the issuance of 7,330,222 common units and 315,586 additional general partner units related to the Continuous Offering Program Sales Agreements and the acquisition of Navios Containers. This was partially mitigated by: (i) $789.4 million repayments of loans and financial liabilities; (ii) $11.3 million payments of deferred finance fees related to the new credit facilities and sale and leaseback agreements; and (iii) $3.1 million payments in total for cash distributions.
Reconciliation of EBITDA and Adjusted EBITDA to Net Cash from Operating Activities, EBITDA and, Operating Surplus
| Three Month Period Ended September 30, 2022 ($ ‘000) (unaudited) |
Three Month Period Ended September 30, 2021 ($ ‘000) (unaudited) |
Nine Month Period Ended September 30, 2022 ($ ‘000) (unaudited) |
Nine Month Period Ended September 30, 2021 ($ ‘000) (unaudited) |
|||||||||||||
| Net cash provided by operating activities |
$ | 219,108 | $ | 70,904 | $ | 366,271 | $ | 148,153 | ||||||||
| Net increase in operating assets |
14,948 | 32,241 | 103,465 | 62,341 | ||||||||||||
| Net (increase)/ decrease in operating liabilities |
(62,898 | ) | 21,540 | (10,918 | ) | 26,789 | ||||||||||
| Net interest cost |
22,197 | 14,446 | 49,921 | 26,765 | ||||||||||||
| Amortization and write-off of deferred finance costs and discount |
(1,251 | ) | (900 | ) | (3,928 | ) | (2,468 | ) | ||||||||
| Amortization of operating lease assets/ liabilities |
(1,719 | ) | 126 | (1,297 | ) | 187 | ||||||||||
| Non-cash amortization of deferred revenue and straight-line |
(12,676 | ) | 284 | (36,128 | ) | 1,702 | ||||||||||
| Stock-based compensation |
(40 | ) | (136 | ) | (122 | ) | (370 | ) | ||||||||
| Gain on sale of vessels |
143,764 | 30,859 | 143,764 | 30,348 | ||||||||||||
| Bargain gain |
— | 3,962 | — | 48,015 | ||||||||||||
| Equity in net earnings of affiliated companies |
— | — | — | 80,839 | ||||||||||||
| Net loss attributable to noncontrolling interest |
— | 3,859 | — | 3,859 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| EBITDA(1) |
$ | 321,433 | $ | 177,185 | $ | 611,028 | $ | 426,160 | ||||||||
| Equity in net earnings of affiliated companies |
— | — | — | (80,839 | ) | |||||||||||
| Bargain gain |
— | (3,962 | ) | — | (48,015 | ) | ||||||||||
| Transaction costs |
— | 2,870 | — | 2,870 | ||||||||||||
| Gain on sale of vessels |
(143,764 | ) | (30,859 | ) | (143,764 | ) | (30,348 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Adjusted EBITDA(1) |
$ | 177,669 | $ | 145,234 | $ | 467,264 | $ | 269,828 | ||||||||
| Cash interest income |
74 | — | 98 | 745 | ||||||||||||
| Cash interest paid |
(22,983 | ) | (22,812 | ) | (48,447 | ) | (35,087 | ) | ||||||||
| Maintenance and replacement capital expenditures |
(59,970 | ) | (17,729 | ) | (178,056 | ) | (52,427 | ) | ||||||||
|
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|
|
|
|
|
|
|
|||||||||
| Operating Surplus(2) |
$ | 94,790 | $ | 104,693 | $ | 240,859 | $ | 183,059 | ||||||||
|
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|
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20
Table of Contents
(1) EBITDA and Adjusted EBITDA
EBITDA represents net income before interest and finance costs, depreciation and amortization (including intangible accelerated amortization) and income taxes. Adjusted EBITDA represents EBITDA excluding certain items, as described in the table above. Navios Partners uses Adjusted EBITDA as a liquidity measure and reconciles EBITDA and Adjusted EBITDA to net cash provided by operating activities, the most comparable U.S. GAAP liquidity measure. EBITDA in this document is calculated as follows: net cash provided by operating activities adding back, when applicable and as the case may be, the effect of: (i) net increase/(decrease) in operating assets; (ii) net (increase)/ decrease in operating liabilities; (iii) net interest cost; (iv) amortization and write-off of deferred finance costs and discount; (v) equity in net earnings of affiliated companies; (vi) non-cash amortization of deferred revenue and straight-line effect of the containerships charters with de-escalating rates; (vii) stock-based compensation; (viii) amortization of operating lease assets/ liabilities; (ix) gain/ (loss) on sale of assets; (x) bargain gain; and (xi) net loss attributable to noncontrolling interest. Navios Partners believes that EBITDA and Adjusted EBITDA are each the basis upon which liquidity can be assessed and presents useful information to investors regarding Navios Partners’ ability to service and/or incur indebtedness, pay capital expenditures, meet working capital requirements and make cash distributions. Navios Partners also believes that EBITDA and Adjusted EBITDA are used: (i) by potential lenders to evaluate potential transactions; (ii) to evaluate and price potential acquisition candidates; and (iii) by securities analysts, investors and other interested parties in the evaluation of companies in our industry.
Each of EBITDA and Adjusted EBITDA have limitations as an analytical tool, and should not be considered in isolation or as a substitute for the analysis of Navios Partners’ results as reported under U.S. GAAP. Some of these limitations are: (i) EBITDA and Adjusted EBITDA do not reflect changes in, or cash requirements for, working capital needs; and (ii) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized may have to be replaced in the future. EBITDA and Adjusted EBITDA do not reflect any cash requirements for such capital expenditures. Because of these limitations, EBITDA and Adjusted EBITDA should not be considered as a principal indicator of Navios Partners’ performance. Furthermore, our calculation of EBITDA and Adjusted EBITDA may not be comparable to that reported by other companies due to differences in methods of calculation.
EBITDA for the three month period ended September 30, 2022 and 2021 was affected by the items described in the table above. Excluding these items, Adjusted EBITDA increased by approximately $32.5 million to $177.7 million for the three month period ended September 30, 2022, as compared to $145.2 million for the same period in 2021. The increase in Adjusted EBITDA was primarily due to a $94.4 million increase in time charter and voyage revenues. The above increase was partially mitigated by a: (i) $24.9 million increase in vessel operating expenses, mainly due to the increased fleet; (ii) $23.9 million increase in time charter and voyage expenses, mainly due to the increase in bareboat and charter-in hire expense of the tanker and drybulk fleet; (iii) $6.1 million increase in general and administrative expenses, mainly due to the increased fleet; (iv) $3.9 million decrease in net loss attributable to noncontrolling interest; (v) $1.9 million increase in other expenses, net; and (vi) $1.2 million increase in direct vessel expenses (excluding the amortization of deferred drydock, special survey costs and other capitalized items).
EBITDA of Navios Partners for the nine month period ended September 30, 2022 and 2021 was affected by the items described in the table above. Excluding these items, Adjusted EBITDA increased by approximately $197.5 million to $467.3 million for the nine month period ended September 30, 2022, as compared to $269.8 million for the same period in 2021. The increase in Adjusted EBITDA was primarily due to a $394.7 million increase in time charter and voyage revenues. The above increase was partially mitigated by: (i) a $107.4 million increase in vessel operating expenses, mainly due to the increased fleet; (ii) a $54.5 million increase in time charter and voyage expenses, mainly due to the increase in bareboat and charter-in hire expense of the tanker and drybulk fleet; (iii) a $19.0 million increase in general and administrative expenses, mainly due to the increased fleet; (iv) an $11.9 million increase in direct vessel expenses (excluding the amortization of deferred drydock, special survey costs and other capitalized items); (v) a $3.9 million decrease in net loss attributable to noncontrolling interest; and (vi) a $0.5 million increase in other expenses, net.
(2) Operating Surplus
Operating Surplus represents net income adjusted for depreciation and amortization expense, non-cash interest expense, non-cash interest income, estimated maintenance and replacement capital expenditures and one-off items. Maintenance and replacement capital expenditures are those capital expenditures required to maintain over the long term the operating capacity of, or the revenue generated by, Navios Partners’ capital assets.
Operating Surplus is a quantitative measure used in the publicly-traded partnership investment community to assist in evaluating a partnership’s ability to make quarterly cash distributions and is a non-GAAP measure. Operating Surplus is not required by accounting principles generally accepted in the United States and should not be considered a substitute for net income, cash flow from operating activities and other operations or cash flow statement data prepared in accordance with accounting principles generally accepted in the United States or as a measure of profitability or liquidity.
Capital Expenditures
Navios Partners finances its capital expenditures with cash flow from operations, equity raisings, long-term bank borrowings and other debt raisings. Capital expenditures for each of the nine month periods ended September 30, 2022 and 2021 amounted to $490.8 million and $262.2 million, respectively. The reserves for estimated maintenance and replacement capital expenditures for the three and nine month periods ended September 30, 2022 were $60.0 million and $178.1 million, respectively. The reserves for estimated maintenance and replacement capital expenditures for the three and nine month periods ended September 30, 2021 were $17.7 million and $52.4 million, respectively.
Maintenance for our vessels and expenses related to drydocking expenses are reimbursed at cost by Navios Partners to our Managers under the Management Agreements (as defined herein).
Maintenance and Replacement Capital Expenditures Reserve
We estimate that our annual replacement reserve for the year ending December 31, 2022 will be approximately $243.5 million, for replacing our vessels at the end of their useful lives.
The amount for estimated replacement capital expenditures attributable to future vessel replacement was based on the following assumptions: (i) current market price to purchase a five year old vessel of similar size and specifications; (ii) a 25-year useful life for drybulk and tanker vessels and a 30-year useful life for containerships; and (iii) a relative net investment rate.
The amount for estimated maintenance capital expenditures attributable to future vessel drydocking and special survey was based on certain assumptions including the remaining useful life of the owned vessels of our fleet, market costs of drydocking and special survey and a relative net investment rate.
Our Board of Directors, with the approval of the Conflicts Committee, may determine that one or more of our assumptions should be revised, which could cause our Board of Directors to increase or decrease the amount of estimated maintenance and replacement capital expenditures. The actual cost of replacing the vessels in our fleet will depend on a number of factors, including prevailing market conditions, charter hire rates and the availability and cost of financing at the time of replacement. We may elect to finance some or all of our maintenance and replacement capital expenditures through the issuance of additional common units, which could be dilutive to existing unitholders.
21
Table of Contents
Limitations on Cash Distributions and Our Ability to Change Our Cash Distribution Policy
There is no guarantee that unitholders will receive quarterly distributions from us on the common units on any quarter.
Our ability to make distributions to our unitholders depends on the performance of our subsidiaries and their ability to distribute funds to us. The ability of our subsidiaries to make distributions to us may be restricted by, among other things, the provisions of existing and future indebtedness, applicable partnership and limited liability company laws and other laws and regulations.
See Note 14 – Cash distributions and earnings per unit to the unaudited condensed consolidated financial statements included elsewhere in this Report.
Quantitative and Qualitative Disclosures about Market Risks
Foreign Exchange Risk
Our functional and reporting currency is the U.S. dollar. We engage in worldwide commerce with a variety of entities. Although our operations may expose us to certain levels of foreign currency risk, our transactions are predominantly U.S. dollar denominated. Transactions in currencies other than U.S. dollars are translated at the exchange rate in effect at the date of each transaction. Differences in exchange rates during the period between the date a transaction denominated in a foreign currency is consummated and the date on which it is either settled or translated, are recognized.
Interest Rate Risk
Borrowings under our credit facilities bear interest at a rate based on a premium over U.S. $ LIBOR or SOFR. Therefore, we are exposed to the risk that our interest expense may increase if interest rates rise. For the nine month periods ended September 30, 2022 and 2021, we paid interest on our outstanding debt at a weighted average interest rate of 4.59% and 4.29%, respectively. An 1% increase in LIBOR or SOFR would have increased our interest expense for the nine month periods ended September 30, 2022 and 2021 by $9.1 million and $4.8 million, respectively.
Concentration of Credit Risk
Financial instruments, which potentially subject us to significant concentrations of credit risk, consist principally of trade accounts receivable. We closely monitor our exposure to customers for credit risk. We have policies in place to ensure that we trade with customers with an appropriate credit history.
For the nine month period ended September 30, 2022, Swissmarine represented approximately 10.5% of total revenues. For the nine month period ended September 30, 2021, Swissmarine represented approximately 14.8% of total revenues. No other customers accounted for 10% or more of total revenues for any of the periods presented.
If we lose a charter, we may be unable to re-deploy the related vessel on terms as favorable to us due to the long-term nature of most charters and the cyclical nature of the industry or we may be forced to charter the vessel on the spot market at then market rates which may be less favorable than the charter that has been terminated. If we are unable to re-deploy a vessel for which the charter has been terminated, we will not receive any revenues from that vessel, but we may be required to pay expenses necessary to maintain the vessel in proper operating condition. If we lose a vessel, any replacement or newbuilding would not generate revenues during its construction acquisition period, and we may be unable to charter any replacement vessel on terms as favorable to us as those of the terminated charter.
Even if we successfully charter our vessels in the future, our charterers may go bankrupt or fail to perform their obligations under the charter agreements, they may delay payments or suspend payments altogether, they may terminate the charter agreements prior to the agreed-upon expiration date or they may attempt to renegotiate the terms of the charters. The permanent loss of a customer, time charter or vessel, or a decline in payments under our charters, could have a material adverse effect on our business, results of operations and financial condition and our ability to make cash distributions in the event we are unable to replace such customer, time charter or vessel. For further details, please read “Risk Factors” in our 2021 Annual Report on Form 20-F.
Recent Accounting Pronouncements
The Company’s recent accounting pronouncements are included in the accompanying notes to the unaudited condensed consolidated financial statements included elsewhere in this Report.
Critical Accounting Policies
Our financial statements have been prepared in accordance with U.S. GAAP. The preparation of these financial statements requires us to make estimates in the application of our accounting policies based on the best assumptions, judgments and opinions of management. Actual results may differ from these estimates under different assumptions or conditions.
Critical accounting policies are those that reflect significant judgments or uncertainties, and potentially result in materially different results under different assumptions and conditions. Other than as described below, all significant accounting policies are as described in Note 2-Summary of Significant Accounting Policies to the notes to the consolidated financial statements included in the Company’s Annual Report on Form 20-F for the year ended December 31, 2021 filed with the SEC on April 12, 2022 and in Note 2-Summary of Significant Accounting Policies included in the accompanying notes to the unaudited condensed consolidated financial statements included elsewhere in this report.
22
Table of Contents
| Exhibit No. | ||
| 99.1 | Facility Agreement dated September 30, 2022, by and among Melpomene Shipping Corporation and Urania Shipping Corporation, as borrowers, and KFW IPEX-Bank GMBH, as lender, mandated lead arranger, facility agent and security agent * | |
| 99.2 | Form of Bareboat Charter and Memorandum of Agreement, dated October 27, 2022, for the sale and leaseback transaction between Xiang H131 International Ship Lease Co., Limited Xiang H129 International Ship Lease Co., Limited Xiang H130 International Ship Lease Co., Limited, Xiang H104 International Ship Lease Co., Limited, Xiang H119 International Ship Lease Co., Limited, Xiang H132 International Ship Lease Co., Limited, Jiahai International Ship Lease Co., Limited, Jialong International Ship Lease Co., Limited,, Xiang L33 HK International Ship Lease Co., Limited, Xiang T51 HK International Ship Lease Co., Limited, Longshi International Ship Lease Co., Limited, Longli International Ship Lease Co., Limited, being subsidiaries Bank of Communications Financial Leasing Company Limited, and Velour Management Corp., Morven Chartering Inc., Isolde Shipping Inc., Rodman Maritime Corp., Silvanus Marine Company, Enplo Shipping Limited, Olympia II Navigation Limited, Pingel Navigation Limited, Ebba Navigation Limited, Clan Navigation Limited, Evian Shiptrade Ltd, Anthimar Marine Inc. being wholly owned subsidiaries of Navios Maritime Partners L.P., providing for the sale and leaseback of the Navios Vermilion, Matson Oahu, Navios Indigo, Navios Spring, Navios Summer, Navios Verde, Navios Domino, Navios Delight, Navios Destiny, Navios Devotion, Matson Lanai, Navios Amarillo, respectively.* | |
| 99.3 | Unaudited condensed combined financial statements as at and for each of the six month periods ended June 30, 2022 and 2021 and audited combined financial statements as at and for each of the years ended December 31, 2021 and 2020 of the Dry Bulk Group of Companies (a fleet of Navios Maritime Holdings Inc.)* | |
| 99.4 | Unaudited pro forma condensed combined financial statements as at and for the six month periods ended June 30, 2022 and unaudited pro forma condensed combined financial statements as at and for each of the years ending December 31, 2021 and 2020 of the Dry Bulk Group of Companies (a fleet of Navios Maritime Holdings Inc.)* | |
| 99.5 | Consent of PricewaterhouseCoopers independent auditor for the Dry Bulk Group of Companies (a fleet of Navios Maritime Holdings Inc.)* | |
| * | Filed herewith |
23
Table of Contents
| Page | ||||
| NAVIOS MARITIME PARTNERS L.P. | ||||
| UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS AS AT SEPTEMBER 30, 2022 AND DECEMBER 31, 2021 |
F-2 | |||
| F-3 | ||||
| F-4 | ||||
| F-6 | ||||
| NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) |
F-7 | |||
F-1
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Expressed in thousands of U.S. Dollars except unit data)
| Notes | September 30, 2022 (unaudited) |
December 31, 2021 |
||||||||||
| ASSETS |
||||||||||||
| Current assets |
||||||||||||
| Cash and cash equivalents |
4 | $ | 91,971 | $ | 159,467 | |||||||
| Restricted cash |
4 | 18,349 | 9,979 | |||||||||
| Vessel held for sale |
5, 8 | 13,965 | — | |||||||||
| Accounts receivable, net |
50,109 | 23,774 | ||||||||||
| Prepaid expenses and other current assets |
16 | 65,497 | 33,120 | |||||||||
|
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|
|
|
|||||||||
| Total current assets |
239,891 | 226,340 | ||||||||||
|
|
|
|
|
|||||||||
| Vessels, net |
5 | 3,794,454 | 2,852,570 | |||||||||
| Deposits for vessels acquisitions |
12 | 133,899 | 46,335 | |||||||||
| Other long-term assets |
7, 12 | 48,002 | 48,168 | |||||||||
| Deferred dry dock and special survey costs, net |
94,061 | 69,882 | ||||||||||
| Amounts due from related parties |
13 | 42,083 | 35,245 | |||||||||
| Intangible assets |
6 | 86,332 | 100,422 | |||||||||
| Operating lease assets |
15 | 335,809 | 244,337 | |||||||||
|
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|
|
|
|||||||||
| Total non-current assets |
4,534,640 | 3,396,959 | ||||||||||
|
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|
|
|||||||||
| Total assets |
$ | 4,774,531 | $ | 3,623,299 | ||||||||
|
|
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|
|
|||||||||
| LIABILITIES AND PARTNERS’ CAPITAL |
||||||||||||
| Current liabilities |
||||||||||||
| Accounts payable |
$ | 31,487 | $ | 21,062 | ||||||||
| Accrued expenses |
18,927 | 12,889 | ||||||||||
| Liabilities associated with the vessel held for sale |
7 | 10,708 | — | |||||||||
| Deferred revenue |
30,672 | 23,921 | ||||||||||
| Operating lease liabilities, current portion |
15 | 40,816 | 18,292 | |||||||||
| Amounts due to related parties |
13 | 115,820 | 64,204 | |||||||||
| Current portion of financial liabilities, net |
7, 15 | 179,094 | 82,291 | |||||||||
| Current portion of long-term debt, net |
7 | 170,341 | 172,846 | |||||||||
|
|
|
|
|
|||||||||
| Total current liabilities |
597,865 | 395,505 | ||||||||||
|
|
|
|
|
|||||||||
| Operating lease liabilities, net |
15 | 280,445 | 225,512 | |||||||||
| Unfavorable lease terms |
6 | 58,665 | 122,481 | |||||||||
| Long-term financial liabilities, net |
7, 15 | 814,940 | 465,633 | |||||||||
| Long-term debt, net |
7 | 752,214 | 640,939 | |||||||||
| Other long-term liabilities |
12 | 44,189 | 3,504 | |||||||||
|
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|
|
|||||||||
| Total non-current liabilities |
1,950,453 | 1,458,069 | ||||||||||
|
|
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|
|
|||||||||
| Total liabilities |
$ | 2,548,318 | $ | 1,853,574 | ||||||||
|
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|
|
|||||||||
| Commitments and contingencies |
12 | — | — | |||||||||
| Partners’ capital: |
||||||||||||
| Common Unitholders (30,184,388 and 30,197,087 units issued and outstanding at September 30, 2022 and December 31, 2021, respectively) |
9 | 2,191,079 | 1,743,717 | |||||||||
| General Partner (622,296 and 622,555 units issued and outstanding at September 30, 2022 and December 31, 2021, respectively) |
9 | 35,134 | 26,008 | |||||||||
|
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|
|
|||||||||
| Total partners’ capital |
2,226,213 | 1,769,725 | ||||||||||
|
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|
|||||||||
| Total liabilities and partners’ capital |
$ | 4,774,531 | $ | 3,623,299 | ||||||||
|
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|
|
|
|||||||||
See unaudited notes to the condensed consolidated financial statements
F-2
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Expressed in thousands of U.S. Dollars except unit and per unit data)
| Notes | Three Month Period Ended September 30, 2022 (unaudited) |
Three Month Period Ended September 30, 2021 (unaudited) |
Nine Month Period Ended September 30, 2022 (unaudited) |
Nine Month Period Ended September 30, 2021 (unaudited) |
||||||||||||||||
| Time charter and voyage revenues |
2,10, 15 | $ | 322,387 | $ | 227,957 | $ | 839,665 | $ | 445,029 | |||||||||||
| Time charter and voyage expenses |
15 | (35,439 | ) | (11,465 | ) | (74,300 | ) | (19,829 | ) | |||||||||||
| Direct vessel expenses |
13 | (15,398 | ) | (10,864 | ) | (39,511 | ) | (18,007 | ) | |||||||||||
| Vessel operating expenses (entirely through related parties transactions) |
13 | (78,928 | ) | (53,952 | ) | (226,089 | ) | (118,685 | ) | |||||||||||
| General and administrative expenses |
13 | (15,597 | ) | (9,491 | ) | (43,683 | ) | (24,717 | ) | |||||||||||
| Depreciation and amortization of intangible assets |
5,6 | (59,270 | ) | (32,102 | ) | (143,820 | ) | (67,309 | ) | |||||||||||
| Amortization of unfavorable lease terms |
6 | 24,779 | 35,576 | 64,205 | 77,602 | |||||||||||||||
| Gain on sale of vessels, net |
5 | 143,764 | 30,859 | 143,764 | 30,348 | |||||||||||||||
| Interest expense and finance cost, net |
(22,270 | ) | (14,446 | ) | (50,019 | ) | (27,624 | ) | ||||||||||||
| Interest income |
74 | — | 98 | 859 | ||||||||||||||||
| Other expense, net |
(6,938 | ) | (4,969 | ) | (9,321 | ) | (8,864 | ) | ||||||||||||
| Equity in net earnings of affiliated companies |
3 | — | — | — | 80,839 | |||||||||||||||
| Transaction costs |
— | (2,870 | ) | — | (2,870 | ) | ||||||||||||||
| Bargain gain |
3 | — | 3,962 | — | 48,015 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||
| Net income |
$ | 257,164 | $ | 158,195 | $ | 460,989 | $ | 394,787 | ||||||||||||
|
|
|
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|
|
|
|
|
|||||||||||||
| Net loss attributable to the noncontrolling interest |
— | 3,859 | — | 3,859 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||
| Net income attributable to Navios Partners’ unitholders |
$ | 257,164 | $ | 162,054 | $ | 460,989 | $ | 398,646 | ||||||||||||
|
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|
|||||||||||||
| Net income attributable to Navios Partners’ unitholders | Three Month Period Ended September 30, 2022 (unaudited) |
Three Month Period Ended September 30, 2021 (unaudited) |
Nine Month Period Ended September 30, 2022 (unaudited) |
Nine Month Period Ended September 30, 2021 (unaudited) |
||||||||||||
| Common Unitholders |
$ | 252,021 | $ | 158,813 | $ | 451,770 | $ | 390,673 | ||||||||
| General Partner |
5,143 | 3,241 | 9,219 | 7,973 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net income attributable to Navios Partners’ unitholders |
$ | 257,164 | $ | 162,054 | $ | 460,989 | $ | 398,646 | ||||||||
|
|
|
|
|
|
|
|
|
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Earnings attributable to Navios Partners’ unitholders per unit (see note 14):
| Three Month Period Ended September 30, 2022 (unaudited) |
Three Month Period Ended September 30, 2021 (unaudited) |
Nine Month Period Ended September 30, 2022 (unaudited) |
Nine Month Period Ended September 30, 2021 (unaudited) |
|||||||||||||
| Earnings attributable to Navios Partners’ unitholders per unit: |
||||||||||||||||
| Earnings attributable to Navios Partners’ unitholders per common unit, basic |
$ | 8.36 | $ | 5.97 | $ | 14.98 | $ | 19.27 | ||||||||
| Earnings attributable to Navios Partners’ unitholders per common unit, diluted |
$ | 8.35 | $ | 5.95 | $ | 14.97 | $ | 19.19 | ||||||||
See unaudited notes to the condensed consolidated financial statements
F-3
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in thousands of U.S. Dollars)
| Notes | Nine Month Period Ended September 30, 2022 (unaudited) |
Nine Month Period Ended September 30, 2021 (unaudited) |
||||||||||
| OPERATING ACTIVITIES: |
||||||||||||
| Net income |
$ | 460,989 | $ | 394,787 | ||||||||
| Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||||||
| Depreciation and amortization of intangible assets |
5,6 | 143,820 | 67,309 | |||||||||
| Amortization of unfavorable lease terms |
6 | (64,205 | ) | (77,602 | ) | |||||||
| Non-cash amortization of deferred revenue and straight-line |
36,128 | (1,702 | ) | |||||||||
| Amortization of operating lease assets/ liabilities |
15 | 1,297 | (187 | ) | ||||||||
| Amortization and write-off of deferred finance costs and discount |
3,928 | 2,468 | ||||||||||
| Amortization of deferred dry dock and special survey costs |
20,503 | 11,042 | ||||||||||
| Gain on sale of vessels, net |
5 | (143,764 | ) | (30,348 | ) | |||||||
| Bargain gain |
3 | — | (48,015 | ) | ||||||||
| Equity in net earnings of affiliated companies |
3 | — | (80,839 | ) | ||||||||
| Stock-based compensation |
9 | 122 | 370 | |||||||||
| Changes in operating assets and liabilities: |
||||||||||||
| Increase in accounts receivable |
(21,638 | ) | (5,051 | ) | ||||||||
| Increase in prepaid expenses and other current assets |
(26,152 | ) | (6,654 | ) | ||||||||
| Increase in amounts due from related parties |
13 | (6,838 | ) | (18,175 | ) | |||||||
| Increase in accounts payable |
7,775 | 3,023 | ||||||||||
| Increase/ (decrease) in accrued expenses |
1,159 | (5,644 | ) | |||||||||
| Increase in deferred revenue |
4,345 | 13,324 | ||||||||||
| Decrease in amounts due to related parties |
13 | (2,361 | ) | (37,492 | ) | |||||||
| Payments for dry dock and special survey costs |
(48,837 | ) | (32,461 | ) | ||||||||
|
|
|
|
|
|||||||||
| Net cash provided by operating activities |
366,271 | 148,153 | ||||||||||
| INVESTING ACTIVITIES: |
||||||||||||
| Net cash proceeds from sale of vessels |
5 | 215,250 | 107,615 | |||||||||
| Deposits for acquisition/ option to acquire vessel |
(95,472 | ) | (48,464 | ) | ||||||||
| Cash acquired from asset acquisitions/ business acquisitions |
2, 3 | 9,862 | 42,676 | |||||||||
| Acquisition of/ additions to vessels, net of cash acquired |
2, 5 | (395,350 | ) | (213,751 | ) | |||||||
| Repayments of notes receivable |
— | 8,872 | ||||||||||
|
|
|
|
|
|||||||||
| Net cash used in investing activities |
(265,710 | ) | (103,052 | ) | ||||||||
| FINANCING ACTIVITIES: |
||||||||||||
| Cash distributions paid |
14 | (4,623 | ) | (3,074 | ) | |||||||
| Net proceeds from issuance of general partner units |
9 | — | 8,067 | |||||||||
| Net proceeds from issuance of common units |
9 | — | 198,495 | |||||||||
| Repayment of long-term debt and financial liabilities |
7 | (497,573 | ) | (789,436 | ) | |||||||
| Payments of deferred finance costs |
(2,726 | ) | (11,267 | ) | ||||||||
| Proceeds from long-term debt and financial liabilities |
7,9 | 345,235 | 662,566 | |||||||||
|
|
|
|
|
|||||||||
| Net cash (used in)/ provided by financing activities |
(159,687 | ) | 65,351 | |||||||||
|
|
|
|
|
|||||||||
| (Decrease)/ Increase in cash, cash equivalents and restricted cash |
(59,126 | ) | 110,452 | |||||||||
| Cash, cash equivalents and restricted cash, beginning of period |
169,446 | 30,728 | ||||||||||
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|
|
|
|||||||||
| Cash, cash equivalents and restricted cash, end of period |
$ | 110,320 | $ | 141,180 | ||||||||
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|
|
|
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See unaudited notes to the condensed consolidated financial statements
F-4
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in thousands of U.S. Dollars)
| Nine Month Period Ended September 30, 2022 (unaudited) |
Nine Month Period Ended September 30, 2021 (unaudited) |
|||||||
| Supplemental disclosures of cash flow information |
||||||||
| Cash interest paid |
$ | 48,447 | $ | 35,087 | ||||
| Non-cash financing activities |
||||||||
| Stock-based compensation |
$ | 122 | $ | 370 | ||||
| Long-term debt and financial liabilities assumed |
$ | 609,037 | $ | — | ||||
| Long-term financial liabilities |
$ | 107,685 | $ | — | ||||
| Non-cash investing activities |
||||||||
| Deposits for acquisition/ option to acquire vessel (see Note 12) |
$ | (3,430 | ) | $ | — | |||
| Acquisition of vessels |
$ | (729,389 | ) | $ | (5,766 | ) | ||
See unaudited notes to the condensed consolidated financial statements
F-5
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS’ CAPITAL
(Expressed in thousands of U.S. Dollars except unit data)
| Limited Partners | ||||||||||||||||||||
| General Partner | Common Unitholders | |||||||||||||||||||
| Units | Amount | Units | Amount | Total Partners’ Capital |
||||||||||||||||
| Balance, December 31, 2021 |
622,555 | $ | 26,008 | 30,197,087 | $ | 1,743,717 | $ | 1,769,725 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Cash distribution paid ($0.05 per unit—see Note 14) |
— | (31 | ) | — | (1,510 | ) | (1,541 | ) | ||||||||||||
| Stock-based compensation (see Note 9) |
— | — | — | 42 | 42 | |||||||||||||||
| Net income |
— | 1,713 | — | 83,952 | 85,665 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Balance, March 31, 2022 |
622,555 | $ | 27,690 | 30,197,087 | $ | 1,826,201 | $ | 1,853,891 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Cash distribution paid ($0.05 per unit—see Note 14) |
— | (31 | ) | — | (1,510 | ) | (1,541 | ) | ||||||||||||
| Stock-based compensation (see Note 9) |
— | — | — | 40 | 40 | |||||||||||||||
| Net income |
— | 2,363 | — | 115,797 | 118,160 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Balance June 30, 2022 |
622,555 | $ | 30,022 | 30,197,087 | $ | 1,940,528 | $ | 1,970,550 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Cash distribution paid ($0.05 per unit—see Note 14) |
— | (31 | ) | — | (1,510 | ) | (1,541 | ) | ||||||||||||
| Units cancelled/ forfeited (see Note 9) |
(259 | ) | — | (12,699 | ) | — | — | |||||||||||||
| Stock-based compensation (see Note 9) |
— | — | — | 40 | 40 | |||||||||||||||
| Net income |
— | 5,143 | — | 252,021 | 257,164 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Balance September 30, 2022 |
622,296 | $ | 35,134 | 30,184,388 | $ | 2,191,079 | $ | 2,226,213 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
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| Limited Partners | ||||||||||||||||||||||||
| General Partner | Common Unitholders | |||||||||||||||||||||||
| Units | Amount | Units | Amount | Noncontrolling Interest |
Total Partners’ Capital |
|||||||||||||||||||
| Balance, December 31, 2020 |
237,822 | $ | 2,817 | 11,345,187 | $ | 652,013 | — | $ | 654,830 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Cash distribution paid ($0.05 per unit—see Note 14) |
— | (12 | ) | — | (567 | ) | — | (579 | ) | |||||||||||||||
| Proceeds from public offering and issuance of units, net of offering costs (see Note 9) |
8,142 | 203 | 398,934 | 9,705 | — | 9,908 | ||||||||||||||||||
| Units issued for the acquisition of Navios Containers, net of expenses (see Note 9) |
165,989 | 3,911 | 8,133,452 | 191,624 | — | 195,535 | ||||||||||||||||||
| Stock-based compensation (see Note 9) |
— | — | — | 118 | — | 118 | ||||||||||||||||||
| Net income |
— | 2,733 | — | 133,946 | — | 136,679 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Balance, March 31, 2021 |
411,953 | $ | 9,652 | 19,877,573 | $ | 986,839 | — | $ | 996,491 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Cash distribution paid ($0.05 per unit—see Note 14) |
— | (22 | ) | — | (1,105 | ) | — | (1,127 | ) | |||||||||||||||
| Proceeds from public offering and issuance of units, net of offering costs (see Note 9) |
120,042 | 3,417 | 5,882,061 | 163,233 | — | 166,650 | ||||||||||||||||||
| Stock-based compensation (see Note 9) |
— | — | — | 116 | — | 116 | ||||||||||||||||||
| Net income |
— | 1,999 | — | 97,914 | — | 99,913 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Balance June 30, 2021 |
531,995 | $ | 15,046 | 25,759,634 | $ | 1,246,997 | — | $ | 1,262,043 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Cash distribution paid ($0.05 per unit—see Note 14) |
— | (28 | ) | — | (1,340 | ) | — | (1,368 | ) | |||||||||||||||
| Proceeds from public offering and issuance of units, net of offering costs (see Note 9) |
21,413 | 536 | 1,049,227 | 25,557 | — | 26,093 | ||||||||||||||||||
| Deemed contribution (see Note 3) |
— | 3,000 | — | 147,000 | — | 150,000 | ||||||||||||||||||
| Stock-based compensation (see Note 9) |
— | — | — | 136 | — | 136 | ||||||||||||||||||
| Net income/ (loss) |
— | 3,241 | — | 158,813 | (3,859 | ) | 158,195 | |||||||||||||||||
| Fair value of noncontrolling interest (see Note 3) |
— | — | — | — | 57,635 | 57,635 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Balance September 30, 2021 |
553,408 | $ | 21,795 | 26,808,861 | $ | 1,577,163 | 53,776 | $ | 1,652,734 | |||||||||||||||
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|
|
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|
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|
|
|
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See unaudited notes to the condensed consolidated financial statements
F-6
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
UNAUDITED NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Expressed in thousands of U.S. Dollars except unit and per unit data)
NOTE 1 – DESCRIPTION OF BUSINESS
Navios Maritime Partners L.P. (“Navios Partners” or the “Company”), is an international owner and operator of dry cargo and tanker vessels, formed on August 7, 2007 under the laws of the Republic of the Marshall Islands. The Company’s general partner is Olympos Maritime Ltd. (the “General Partner”) (see Note 13 – Transactions with related parties and affiliates).
Navios Partners is engaged in the seaborne transportation services of a wide range of liquid and dry cargo commodities including crude oil, refined petroleum, chemicals, iron ore, coal, grain, fertilizer and also containers, chartering its vessels under short, medium and longer-term charters. The operations of Navios Partners are managed by Navios Shipmanagement Inc., (the “Manager”) and Navios Tankers Management Inc. (“Tankers Manager” and together with the Manager, the “Managers”) which are entities affiliated with the Company’s Chairwoman and Chief Executive Officer (see Note 13 – Transactions with related parties and affiliates).
As of September 30, 2022, there were 30,184,388 outstanding common units and 622,296 general partnership units. As of September 30, 2022, Navios Maritime Holdings Inc. (“Navios Holdings”) owned an approximately 10.3% ownership interest in Navios Partners and the General Partner held an approximately 2.0% ownership interest in Navios Partners based on all outstanding common units and general partner units.
NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(a) Basis of presentation: The accompanying interim condensed consolidated financial statements are unaudited, but, in the opinion of management, reflect all adjustments for a fair statement of Navios Partners’ consolidated balance sheets, statement of partners’ capital, statements of operations and cash flows for the periods presented. The results of operations for the interim periods are not necessarily indicative of results for the full year. The footnotes are condensed as permitted by the requirements for interim financial statements and accordingly, do not include information and disclosures required under United States generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. All such adjustments are deemed to be of a normal recurring nature. These interim financial statements should be read in conjunction with the Company’s consolidated financial statements and notes included in Navios Partners’ Annual Report for the year ended December 31, 2021 filed on Form 20-F on April 12, 2022 with the U.S. Securities and Exchange Commission (“SEC”).
Based on internal forecasts and projections that take into account reasonably possible changes in Company’s trading performance, management believes that the Company has adequate financial resources, including cash from sale of vessels (see Note 5 – Vessels, net and Note 17 – Subsequent Events) to continue in operation and meet its financial commitments, including but not limited to capital expenditures and debt service obligations, for a period of at least twelve months from the date of issuance of these condensed consolidated financial statements. Accordingly, the Company continues to adopt the going concern basis in preparing its financial statements.
Following Russia’s invasion of Ukraine in February 2022 the United States, the European Union, the United Kingdom and other countries have announced sanctions against Russia, and may impose wider sanctions and take other actions in the future. To date, no apparent consequences have been identified on the Company’s business. It should be noted that since the Company employs Ukrainian and Russian seafarers, it may face problems in relation to their employment, repatriation, salary payments and be subject to claims in this regard. Notwithstanding the foregoing, it is possible that these tensions might eventually have an adverse impact on our business, financial condition, results of operations and cash flows.
(b) Principles of consolidation: The accompanying interim condensed consolidated financial statements include Navios Partners’ wholly owned subsidiaries incorporated under the laws of the Republic of Marshall Islands, Liberia, Malta, Delaware, Cayman Islands, Hong Kong, British Virgin Islands, Luxemburg and Belgium from their dates of incorporation or from the date of acquiring control or, for chartered-in vessels, from the dates charter-in agreements were in effect. All significant inter-company balances and transactions have been eliminated in Navios Partners’ consolidated financial statements.
Navios Partners also consolidates entities that are determined to be variable interest entities (“VIE”) as defined in the accounting guidance, if it determines that it is the primary beneficiary. A VIE is defined as a legal entity where either (i) equity interest holders as a group lack the characteristics of a controlling financial interest, including decision making ability and an interest in the entity’s residual risks and rewards, (ii) the equity holders have not provided sufficient equity investment to permit the entity to finance its activities without additional subordinated financial support, or (iii) the voting rights of some investors are not proportional to their obligations to absorb the expected losses of the entity, their rights to receive the expected residual returns of the entity, or both and substantially all of the entity’s activities either involve or are conducted on behalf of an investor that has disproportionately few voting rights.
Subsidiaries: Subsidiaries are those entities in which Navios Partners has an interest of more than one half of the voting rights or otherwise has power to govern the financial and operating policies of the entity.
A discussion of the Company’s significant accounting policies can be found in Note 2 to the Company’s Consolidated Financial Statements included in the Annual Report on Form 20-F on April 12, 2022 with the SEC for the year ended December 31, 2021. There have been no material changes to these policies in the nine months ended September 30, 2022, except for as discussed below:
(c) Asset Acquisitions: When the Company enters into an acquisition transaction, it determines whether the acquisition transaction is a purchase of an asset or a business based on the facts and circumstances of the transaction. In accordance with Topic 805, Business Combinations, the Company first evaluates whether substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets (Step 1). If that threshold is met, the set of assets and activities is not a business. If the threshold is not met, the Company evaluates whether the set meets the definition of a business (Step 2). To be considered a business, a set must include an input and a substantive process that together significantly contributes to the ability to create an output. All assets acquired and liabilities assumed in a business combination are measured at their acquisition date fair values. For asset acquisitions, the net assets acquired should be measured following a cost accumulation and allocation model under which the cost of the acquisition is allocated on a relative fair value basis to the qualifying assets acquired. Transaction costs associated with asset acquisitions are capitalized.
On July 26, 2022, the Company entered into a share purchase agreement to acquire a 36-vessel drybulk fleet for a purchase price of $835,000 including the assumption of bank liabilities, bareboat obligations and finance leasing obligations, subject to debt and working capital adjustments, from Navios Holdings. The fleet consists of: (i) 30 vessels (including eight vessels under sale and leaseback and ten vessels under finance leases), (ii) five operating leases (all with purchase options) and (iii) one vessel that has been classified as held for sale. On July 29, 2022, 15 of the 36 vessels were delivered to Navios Partners. On September 8, 2022, the remaining 21 vessels were delivered to Navios Partners.
F-7
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
UNAUDITED NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Expressed in thousands of U.S. Dollars except unit and per unit data)
The Company performed an assessment, as defined under ASC 805, Business Combinations, and concluded that the acquisition of the 36-vessel drybulk fleet is an asset acquisition. The consideration paid amounted to $370,638 and is presented under the caption “Acquisition of/ additions to vessels, net of cash acquired” in the condensed Consolidated Statements of Cash Flows including working capital balances of $(37,016) in accordance with the share purchase agreement of which an amount of $9,862 related to cash and cash equivalents and restricted cash and is presented under the caption “Cash acquired from asset acquisitions/ business acquisitions” in the condensed Consolidated Statements of Cash Flows. The amount of net assets acquired compared to the cost of consideration resulted in an excess value of $217,161 that was allocated to qualyfing assets on a relative fair value basis. The qualifying assets were the vessels held and used, leases (finance and operating lease assets) and intangible assets.
Vessels held and used acquired as part of an asset acquisition are recorded at fair value, which is determined based on vessel valuations, obtained from independent third party shipbrokers which are, among other things, based on recent sales and purchase transactions of similar vessels.
When a vessel along with the current charter contract is acquired where the company acts as a lessor as part of asset acquisition, intangible assets and intangible liabilities are recorded at fair value. Navios Partners recorded favorable and unfavorable lease terms (intangible assets and liabilities) amounting to $15,790 and $389, respectively (see Note 6 – Intangible assets and liabilities). The fair value of the favorable and unfavorable lease terms (intangible assets and liabilities) was determined by reference to market data and the discounted amount of expected future cash flows. The key assumptions that were used in the discounted cash flow analysis were as follows: (i) the contracted charter rate of the acquired charter over the remaining lease term compared to the current market charter rates for a similar contract and (ii) discounted using the Company’s relevant discount factor of 11.32%.
For acquired leases as part of an asset acquisition, where the Company is a lessee, the Company has elected to reassess classification. The Company recognizes the right-of-use assets for operating and finance leases acquired at the same amount as the lease liability, adjusted to reflect favorable and unfavorable terms of the lease when compared with market terms.
(d) Operating leases: In cases of operating lease agreements where an entity acts as the lessee that meet the definition of ASC 842 for a short-term lease, a lease that has a lease term of 12 months or less and does not include an option to purchase the underlying asset that the lessee is reasonably certain to exercise, it can make the short-term lease election at the commencement date. A lessee that makes the short-term lease election does not recognize a lease liability or right-of-use asset on its balance sheet. Instead, the lessee recognizes lease payments on a straight-line basis over the lease term.
Following the acquisition of the 36-vessel drybulk fleet from Navios Holdings, Navios Partners upon reassessing the classification of the leases in accordance with the criteria in ASC 842, concluded that for a Capesize vessel, with a remaining lease term of less than one year charter-in agreement, the criteria of the definition of short-term lease were met. Consequently, the Company has not recognized an operating lease liability based on the net present value of the remaining charter-in payments and a right-of-use asset at an amount equal to the operating liability adjusted for the carrying amount of the straight-line liability (if any). The lease payments of the vessel are included under the caption “Time charter and voyage expenses” in the condensed Consolidated Statements of Operations (see Note 15 – Leases)
F-8
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
UNAUDITED NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Expressed in thousands of U.S. Dollars except unit and per unit data)
The accompanying interim condensed consolidated financial statements include the following entities:
| Company name |
Vessel name |
Country of incorporation |
2022 |
2021 | ||||
| Libra Shipping Enterprises Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Alegria Shipping Corporation(35) |
Navios Alegria | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Felicity Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Gemini Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Galaxy Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Aurora Shipping Enterprises Ltd. |
Navios Hope | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Palermo Shipping S.A |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Fantastiks Shipping Corporation(12) |
Navios Fantastiks | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Sagittarius Shipping Corporation |
Navios Sagittarius | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Hyperion Enterprises Inc. |
Navios Hyperion | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Chilali Corp. |
Navios Aurora II | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Surf Maritime Co.(12) |
Navios Pollux | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Pandora Marine Inc. |
Navios Melodia | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Customized Development S.A. |
Navios Fulvia | Liberia | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Kohylia Shipmanagement S.A. |
Navios Luz | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Orbiter Shipping Corp. |
Navios Orbiter | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Floral Marine Ltd. |
Navios Buena Ventura | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Golem Navigation Limited(13) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Kymata Shipping Co. |
Navios Helios | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Joy Shipping Corporation |
Navios Joy | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Micaela Shipping Corporation |
Navios Harmony | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Pearl Shipping Corporation |
Navios Sun | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Velvet Shipping Corporation |
Navios La Paix | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Perigiali Navigation Limited(12) |
Navios Beaufiks | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Finian Navigation Co.(12) |
Navios Ace | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Ammos Shipping Corp. |
Navios Prosperity I | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Wave Shipping Corp. |
Navios Libertas | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Casual Shipholding Co.(12) |
Navios Sol | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Avery Shipping Company |
Navios Symphony | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Coasters Ventures Ltd. |
Navios Christine B | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Ianthe Maritime S.A. |
Navios Aster | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Rubina Shipping Corporation |
Hyundai Hongkong | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Topaz Shipping Corporation |
Hyundai Singapore | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Beryl Shipping Corporation |
Hyundai Tokyo | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Cheryl Shipping Corporation |
Hyundai Shanghai | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Christal Shipping Corporation |
Hyundai Busan | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Fairy Shipping Corporation (5) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Limestone Shipping Corporation (28) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Dune Shipping Corp. |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Citrine Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Cavalli Navigation Inc. |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Seymour Trading Limited(2) |
Navios Altair I | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Goldie Services Company(34) |
Navios Symmetry | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Andromeda Shiptrade Limited |
Navios Apollon I | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Esmeralda Shipping Corporation |
Navios Sphera | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Triangle Shipping Corporation |
Navios Mars | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 |
F-9
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
UNAUDITED NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Expressed in thousands of U.S. Dollars except unit and per unit data)
| Oceanus Shipping Corporation(19) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Cronus Shipping Corporation |
Protostar N | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Leto Shipping Corporation(17) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Dionysus Shipping Corporation(4) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Prometheus Shipping Corporation(18) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Camelia Shipping Inc.(31) |
Navios Camelia | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Anthos Shipping Inc. |
Navios Anthos | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Azalea Shipping Inc.(1) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Amaryllis Shipping Inc. |
Navios Amaryllis | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Zaffre Shipping Corporation(14) |
Serenitas N | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Wenge Shipping Corporation(14),(20) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Sunstone Shipping Corporation(14) |
Copernicus N | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Fandango Shipping Corporation(14) |
Unity N | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Flavescent Shipping Corporation(14) |
Odysseus N | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Emery Shipping Corporation(15) |
Navios Gem | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Rondine Management Corp.(15) |
Navios Victory | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Prosperity Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Aldebaran Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| JTC Shipping and Trading Ltd.(11) |
Holding Company | Malta | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Navios Maritime Partners L.P. |
N/A | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Navios Maritime Operating LLC. |
N/A | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Navios Partners Finance (US) Inc. |
Co-Borrower | Delaware | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Navios Partners Europe Finance Inc. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||||
| Solange Shipping Ltd.(16) |
Navios Avior | Marshall Is. | 1/01 – 9/30 | 3/30 – 9/30 | ||||||
| Mandora Shipping Ltd.(16) |
Navios Centaurus | Marshall Is. | 1/01 – 9/30 | 3/30 – 9/30 | ||||||
| Olympia II Navigation Limited |
Navios Domino | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Pingel Navigation Limited |
Navios Delight | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Ebba Navigation Limited |
Navios Destiny | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Clan Navigation Limited |
Navios Devotion | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Sui An Navigation Limited(23) |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Bertyl Ventures Co. |
Navios Azure | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Silvanus Marine Company |
Navios Summer | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Anthimar Marine Inc. |
Navios Amarillo | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Enplo Shipping Limited |
Navios Verde | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Morven Chartering Inc. |
Navios Verano (ex. Matson Oahu) | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Rodman Maritime Corp. |
Navios Spring | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Isolde Shipping Inc. |
Navios Indigo | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Velour Management Corp. |
Navios Vermilion | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Evian Shiptrade Ltd. |
Matson Lanai | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Theros Ventures Limited |
Navios Lapis | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Legato Shipholding Inc. |
Navios Tempo | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Inastros Maritime Corp. |
Navios Chrysalis | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Zoner Shiptrade S.A. |
Navios Dorado | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Jasmer Shipholding Ltd. |
Navios Nerine | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Thetida Marine Co. |
Navios Magnolia | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Jaspero Shiptrade S.A. |
Navios Jasmine | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Peran Maritime Inc. |
Zim Baltimore | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Nefeli Navigation S.A. |
Navios Unison | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Crayon Shipping Ltd |
Navios Miami | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Chernava Marine Corp. |
Bahamas | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Proteus Shiptrade S.A |
Zim Carmel | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||||
| Vythos Marine Corp. |
Navios Constellation | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 |
F-10
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
UNAUDITED NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Expressed in thousands of U.S. Dollars except unit and per unit data)
| Navios Maritime Containers Sub L.P. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Navios Partners Containers Finance Inc. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Boheme Navigation Company |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Navios Partners Containers Inc. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Iliada Shipping S.A. |
Operating Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Vinetree Marine Company |
Operating Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Afros Maritime Inc. |
Operating Company | Marshall Is. | 1/01 – 9/30 | 3/31 – 9/30 | ||||
| Cavos Navigation Co.(9) |
Navios Libra | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Perivoia Shipmanagement Co.(10) |
Navios Amitie | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Pleione Management Limited(10) |
Navios Star | Marshall Is. | 1/01 – 9/30 | 1/01 – 9/30 | ||||
| Bato Marine Corp.(32) |
Navios Armonia | Marshall Is. | 1/01 – 9/30 | 3/05 – 9/30 | ||||
| Agron Navigation Company(21) |
Navios Azalea | Marshall Is. | 1/01 – 9/30 | 3/05 – 9/30 | ||||
| Teuta Maritime S.A.(22) |
TBN IV | Marshall Is. | 1/01 – 9/30 | 3/05 – 6/30 | ||||
| Ambracia Navigation Company(29) |
Navios Primavera | Marshall Is. | 1/01 – 9/30 | 3/05 – 9/30 | ||||
| Artala Shipping Co.(22) |
TBN II | Marshall Is. | 1/01 – 9/30 | 3/05 – 9/30 | ||||
| Migen Shipmanagement Ltd. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 3/05 – 9/30 | ||||
| Bole Shipping Corporation(24) |
Spectrum N | Marshall Is. | 1/01 – 9/30 | 4/28 – 9/30 | ||||
| Brandeis Shipping Corporation(24) |
Ete N | Marshall Is. | 1/01 – 9/30 | 5/10 – 9/30 | ||||
| Buff Shipping Corporation(24) |
Fleur N | Marshall Is. | 1/01 – 9/30 | 5/10 – 9/30 | ||||
| Morganite Shipping Corporation(25) |
TBN III | Marshall Is. | 1/01 – 9/30 | 6/01 – 9/30 | ||||
| Balder Martitime Ltd.(26) |
Navios Koyo | Marshall Is. | 1/01 – 9/30 | 6/04 – 9/30 | ||||
| Melpomene Shipping Corporation(25) |
TBN V | Marshall Is. | 1/01 – 9/30 | 6/23 – 9/30 | ||||
| Urania Shipping Corporation(25) |
TBN VI | Marshall Is. | 1/01 – 9/30 | 6/23 – 9/30 | ||||
| Terpsichore Shipping Corporation(8) |
TBN VII | Marshall Is. | 1/01 – 9/30 | 6/23 – 9/30 | ||||
| Erato Shipping Corporation(8) |
TBN VIII | Marshall Is. | 1/01 – 9/30 | 6/23 – 9/30 | ||||
| Lavender Shipping Corporation(12)(7) |
Navios Ray | Marshall Is. | 1/01 – 9/30 | 6/30 – 9/30 | ||||
| Nostos Shipmanagement Corp.(12) (7) |
Navios Bonavis | Marshall Is. | 1/01 – 9/30 | 6/30 – 9/30 | ||||
| Navios Maritime Acquisition Corporation |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Acquisition Europe Finance Inc. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Acquisition Finance (US) Inc. |
Co-Issuer of Ship Mortgage Notes | Delaware | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Maritime Midstream Partners GP LLC |
Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Letil Navigation Ltd. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Maritime Midstream Partners Finance (US) Inc. |
Sub-Holding Company | Delaware | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Aegean Sea Maritime Holdings Inc. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Amorgos Shipping Corporation(38) |
Nave Cosmos | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Andros Shipping Corporation(38) |
Nave Polaris | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Antikithira Shipping Corporation |
Nave Equator | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Antiparos Shipping Corporation |
Nave Atria | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Antipaxos Shipping Corporation(39) |
Nave Dorado | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Antipsara Shipping Corporation |
Nave Velocity | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Crete Shipping Corporation |
Nave Cetus | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Delos Shipping Corporation |
Nave Photon | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Folegandros Shipping Corporation |
Nave Andromeda | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Ikaria Shipping Corporation |
Nave Aquila | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Ios Shipping Corporation |
Nave Cielo | Cayman Islands |
1/01 – 9/30 | 8/25 – 9/30 | ||||
| Iraklia Shipping Corporation |
Bougainville | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Kimolos Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Kithira Shipping Corporation |
Nave Orbit | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Kos Shipping Corporation |
Nave Bellatrix | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Lefkada Shipping Corporation |
Nave Buena Suerte | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Leros Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 |
F-11
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
UNAUDITED NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Expressed in thousands of U.S. Dollars except unit and per unit data)
| Mytilene Shipping Corporation |
Nave Orion | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Oinousses Shipping Corporation |
Nave Jupiter | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Psara Shipping Corporation |
Nave Luminosity | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Rhodes Shipping Corporation |
Nave Cassiopeia | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Samos Shipping Corporation |
Nave Synergy | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Samothrace Shipping Corporation |
Nave Pulsar | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Serifos Shipping Corporation |
Nave Estella | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Sifnos Shipping Corporation |
Nave Titan | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Skiathos Shipping Corporation |
Nave Capella | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Skopelos Shipping Corporation |
Nave Ariadne | Cayman Islands | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Skyros Shipping Corporation |
Nave Sextans | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Syros Shipping Corporation |
Nave Alderamin | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Thera Shipping Corporation |
Nave Atropos | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Tilos Shipping Corporation |
Nave Spherical | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Tinos Shipping Corporation |
Nave Rigel | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Zakynthos Shipping Corporation |
Nave Quasar | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Cyrus Investments Corp. |
Baghdad | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Olivia Enterprises Corp. |
Erbil | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Limnos Shipping Corporation |
Nave Pyxis | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Thasos Shipping Corporation |
Nave Equinox | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Agistri Shipping Limited |
Operating Subsidiary | Malta | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Paxos Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Donoussa Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Schinousa Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Alonnisos Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Makronisos Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Loyalty Limited |
Former Vessel-Owning Company | Hong Kong | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Navigator Limited |
Former Vessel-Owning Company | Hong Kong | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Amindra Navigation Co. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Maritime Midstream Partners L.P. |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Navios Maritime Midstream Operating LLC |
Sub-Holding Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Dream Limited |
Former Vessel-Owning Company | Hong Kong | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Kannika Limited |
Former Vessel-Owning Company | Hong Kong | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Kieran Limited |
Nave Universe | British Virgin Islands |
1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Ocean Limited |
Former Vessel-Owning Company | Hong Kong | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Shinyo Saowalak Limited |
Nave Constellation | British Virgin Islands |
1/01 – 9/30 | 8/25 – 9/30 | ||||
| Sikinos Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Kerkyra Shipping Corporation |
Nave Galactic | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Doxa International Corp. |
Nave Electron | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Alkmene Shipping Corporation(38) |
Star N | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Aphrodite Shipping Corporation |
Aurora N | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Dione Shipping Corporation |
Lumen N | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Persephone Shipping Corporation |
Hector N | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Rhea Shipping Corporation(36) |
Perseus N | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Tzia Shipping Corporation (30) |
Nave Celeste | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Boysenberry Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Cadmium Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Celadon Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Cerulean Shipping Corporation |
Former Vessel-Owning Company | Marshall Is. | 1/01 – 9/30 | 8/25 – 9/30 | ||||
| Kleio Shipping Corporation (6) |
TBN IX | Marshall Is. | 1/01 – 9/30 | 8/12 – 9/30 | ||||
| Polymnia Shipping Corporation (6) |
TBN X | Marshall Is. | 1/01 – 9/30 | 8/12 – 9/30 |
F-12
Table of Contents
NAVIOS MARITIME PARTNERS L.P.
UNAUDITED NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Expressed in thousands of U.S. Dollars except unit and per unit data)
| Goddess Shiptrade Inc. |
Navios Astra | Marshall Is. | 1/01 – 9/30 | 8/02 – 9/30 | ||||
| Navios Acquisition Merger Sub. Inc. |
Merger SPV | Marshall Is. | 1/01 – 9/30 | 8/23 – 9/30 | ||||
| Aramis Navigation Inc.(3) |
Navios Azimuth | Marshall Is. | 1/0 |