Castor Maritime (CTRM) Stock: Why The Price Surged Today

By Amit Chowdhry ● Feb 7, 2022
  • The stock price of Castor Maritime Inc (NASDAQ: CTRM) increased by 20.25% today. This is why it happened.

The stock price of Castor Maritime Inc (NASDAQ: CTRM) increased by 20.25% today. Investors are responding positively to Castor Maritime’s results for the 3 months and year ended December 31, 2021.

Highlights of the Fourth Quarter Ended December 31, 2021:

— Revenues, net: $60.0 million for the three months ended December 31, 2021, as compared to $4.4 million for the three months ended December 31, 2020;

— Net income/loss: Net income of $29.2 million for the three months ended December 31, 2021, as compared to net loss of $0.8 million for the three months ended December 31, 2020;

—Earnings/Loss per common share: $0.18 earnings per share for the three months ended December 31, 2021, as compared to loss per share of $0.06 for the three months ended December 31, 2020;

—EBITDA: $36.1 million for the three months ended December 31, 2021, as compared to $0.3 million for the three months ended December 31, 2020;

—Cash and restricted cash of $43.4 million as of December 31, 2021, as compared to $9.4 million as of December 31, 2020;

—On December 8, 2021, the company redeemed all of the Series A preferred shares at a cash redemption price of $30 per preferred share as per the company’s amended and restated statement of designations; and

—During the fourth quarter of 2021 and as of the date of this announcement, the company has taken successful delivery of three vessels consisting of two Panamax dry bulk carriers and one Aframax /LR2 tanker. As a result, Castor currently owns a diversified fleet of 29 vessels with an aggregate capacity of 2.5 million dwt, having more than quadrupled the number of the vessels it owns since December 31, 2020.

Earnings Highlights of the Year Ended December 31, 2021:

—Revenues, net: $132.0 million for the year ended December 31, 2021, as compared to $12.5 million for the year ended December 31, 2020;

— Net income/loss: Net income of $52.3 million for the year ended December 31, 2021, as compared to net loss of $1.8 million for the year ended December 31, 2020;

—Earnings/Loss per common share: $0.48 earnings per share for the year ended December 31, 2021, as compared to loss per share of $0.26 for the year ended December 31, 2020; and

—EBITDA: $69.9 million for the year ended December 31, 2021, as compared to $2.3 million for the year ended December 31, 2020.

KEY QUOTE:

“2021 was a transformational year for Castor. We have grown exponentially ending the year with 29 vessels, on a fully delivered basis, and we have enjoyed strong operating cash flow especially in the second half of the year. We benefit from a healthy liquidity position and low leverage and in January 2022 we signed and drew down a new credit facility. We did not sell any common shares under the ATM Program during the fourth quarter and up to the date of this release. We will continue to seek attractive acquisition opportunities to further pursue Castor’s growth trajectory.”

— Petros Panagiotidis, Chief Executive Officer of Castor

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.