FOURTH QUARTER 2025 RESULTS
GAAP net income attributable to Pangaea of $11.9 million, or $0.19 per share
Adjusted net income attributable to Pangaea of $10.1 million, or $0.16 per share
Adjusted EBITDA of $28.7 million
Operating cash flow of $15.1 million
Time Charter Equivalent ("TCE") rates earned by Pangaea of $17,773 per day
Pangaea's TCE rates exceeded the average Baltic Panamax, Supramax, and Handysize indices by 19%
Declared quarterly cash dividend of $0.05 per common share
Entered into a memorandum of agreement in February 2026 to sell the 2006-built Bulk Xaymaca for $9.6 million.
For the three months ended December 31, 2025, Pangaea reported non-GAAP adjusted net income of $10.1 million, or $0.16 per share, on total revenue of $183.9 million. Fourth quarter TCE rates increased 11% on a year-over-year basis, while total shipping days, which include both voyage and time charter days, increased 26% to 6,025 days. The increase in shipping days relative to the year-ago period was primarily due to the acquisition of fifteen handy-size vessels completed at the end of the fourth quarter of 2024.
The TCE earned was $17,773 per day for the three months ended December 31, 2025, compared to an average of $15,942 per day for the same period in 2024. The Company's average TCE exceeded the benchmark Baltic Panamax, Supramax, and Handysize indices by 19%, supported by its long-term COAs, specialized fleet, and cargo-focused strategy.
Total Adjusted EBITDA increased by 23% to $28.7 million in the fourth quarter of 2025, compared to the prior-year quarter. Total Adjusted EBITDA margin was 16% during the fourth quarter of 2025 and 2024.
As of December 31, 2025, the Company had $103.1 million in unrestricted cash and cash equivalents. Total debt, including finance lease obligations was $375.6 million. During the three months ending December 31, 2025, the Company repaid $7.6 million in finance leases and $4.2 million in long term debt, and received $0.7 million from installment sale contract in connection with purchase Caterpillar equipment. In addition the Company paid $3.2 million in dividends, and repurchased $1.0 million of its common stock.
On February 17, 2026 the Company's Board of Directors declared a quarterly cash dividend of $0.05 per common share, payable on March 13, 2026, to all shareholders of record as of February 27, 2026.
MANAGEMENT COMMENTARY
"We delivered strong fourth quarter results, supported by solid Arctic trade activity, robust utilization across our niche ice class fleet, and the stability of our long term COAs," said Mads Boye Petersen, President and Chief Executive Officer of Pangaea Logistics Solutions. "As we entered 2026 and completed a smooth leadership transition, I want to thank Mark Filanowski for his many years of leadership and support during the transition. Our results reflect the strength and continuity of Pangaea's differentiated operating model and expanded fleet, driving TCE rates 19% above the market and meaningfully improving year over year profitability for the quarter"
"Dry bulk fundamentals remain healthy as we enter the seasonally softer first quarter, supported by a constructive market backdrop. We are positioning our fleet to maximize TCE premiums, and thus far in the first quarter of 2026 have executed 5,920 shipping days at an average TCE of $14,917 per day, reflecting a stronger than expected first quarter" Petersen added. "Looking ahead, we continue to see a favorable medium‑term environment, underpinned by constrained vessel supply and positive market sentiment."
"We remain committed to disciplined, returns‑focused capital allocation, including sustainable return of capital, organic growth investment and ongoing fleet renewal," continued Petersen. "Most recently, we entered an agreement to sell the Bulk Xaymaca for $9.6 million, with delivery expected in the second quarter of 2026. We also commenced operations in Lake Charles under a multi‑year contract and are advancing strategic investments across our terminal network, with new activities underway at Port Everglades and Tampa operations set to launch in second half of 2026."
"As we move into 2026, our strategic direction remains unchanged, and we will continue executing the proven operating model that differentiates Pangaea," concluded Petersen. "With over $100 million in cash at year‑end, we maintain strong liquidity to support balance sheet flexibility, capital returns, and disciplined investment. We remain committed to delivering consistent shareholder returns."
STRATEGIC UPDATE
Pangaea remains committed to developing a leading dry bulk logistics and transportation services company of scale, providing its customers with specialized shipping and supply chain and logistics offerings in commodity and niche markets that drive premium returns measured in time charter equivalent per day.
Leverage integrated shipping and logistics model. Pangaea continues to leverage its integrated shipping and logistics model to deliver value across the supply chain. In addition to operating the world's largest high ice-class dry bulk fleet of Panamax and post-Panamax vessels, the Company provides stevedoring services and maintains robust port and terminal operations capabilities. The Company is advancing organic growth initiatives to scale its terminal operations business. Key projects include the expansion at the Port of Tampa and the launch of new operations at the Ports of Aransas, Texas; Lake Charles, Louisiana; and Pascagoula, Mississippi. As of the end of the fourth quarter of 2025, operations have commenced at Pascagoula, Lake Charles and Aransas, while Tampa operations are on track to begin early in the second half of 2026. These investments position Pangaea to capture growing demand for integrated logistics services and reinforce our commitment to long-term growth.
Continue to drive strong fleet utilization. Pangaea delivered strong fleet utilization during the fourth quarter, supported by robust demand across key Arctic trade routes. The Company's owned fleet of 39 vessels operated at high efficiency, supplemented by an average of 2,439 chartered-in vessels to fulfill cargo and COA commitments. Following the successful integration of the recently acquired handy-size fleet, Pangaea remains focused on optimizing utilization across its expanded platform and enhancing flexibility to meet the evolving needs of its customers.
Continue to upgrade fleet, while divesting older, non-core assets. Pangaea continues to execute its disciplined fleet renewal strategy, selectively investing in modern assets to maximize TCE performance, comply with evolving regulatory standards, and meet customer cargo requirements on demand. During the fourth quarter, the Company completed the sale of the Bulk Freedom for $9.6 million. In February 2026, Pangaea entered into an agreement to sell the Bulk Xaymaca for $9.6 million. Built in 2006, the sale of the Bulk Xaymaca underscores our commitment to maintaining a modern, efficient platform. Delivery to the buyer is expected in the second quarter of 2026.
FOURTH QUARTER 2025 CONFERENCE CALL
The Company's management team will host a conference call to discuss the Company's financial results on Wednesday, March 11, 2026 at 8:00 a.m., Eastern Time (ET). Accompanying presentation materials will be available in the Investor Relations section of the Company's website at https://www.pangaeals.com/investors/.
To participate in the live teleconference:
Domestic Live: 1-833-316-1983International Live: 1-785-838-9310Conference ID: PANLQ425
To listen to a replay of the teleconference, which will be available through March 18, 2026:
Domestic Replay: 1-800-839-5492International Replay: 1-402-220-2251
Pangaea Logistics Solutions Ltd.
Unaudited Consolidated Statements of Operations
(U.S. dollars in thousands, except per share data)
For the Three Months Ended December 31,
For the Years Ended December 31,
2025
2024
2025
2024
Revenues:
Voyage revenue
$ 166,348
$ 137,601
$ 577,547
$ 494,107
Charter revenue
13,117
6,588
39,258
30,326
Port terminal & stevedore revenue
4,415
2,986
15,236
12,103
Total revenues, net
183,880
147,175
632,041
536,536
Operating expenses:
Voyage expense
72,382
67,674
283,679
237,479
Charter hire expense
46,788
34,425
129,735
130,764
Vessel operating expense
27,658
14,254
94,948
55,544
Terminal & Stevedore Expenses
3,818
1,974
12,189
9,299
General and administrative
6,743
6,277
31,071
24,626
Depreciation and amortization
11,740
7,766
42,475
30,376
Gain on sale of vessel and equipment
(2,692)
—
(3,000)
—
Total expenses
166,438
132,370
591,097
488,088
Income from operations
17,442
14,805
40,944
48,449
Other income (expense):
Interest expense
(5,920)
(4,708)
(24,006)
(17,073)
Interest income
539
588
1,632
3,023
Income attributable to non-controlling interest recorded as long-term liability interest expense
—
(2,682)
—
(3,103)
Unrealized (loss) gain on derivative instruments
(903)
851
(1,355)
(953)
Other income
1,121
198
2,952
1,428
Total other expense, net
(5,164)
(5,752)
(20,777)
(16,679)
Net income
12,278
9,053
20,167
31,769
Income attributable to non-controlling interests
(394)
(618)
(798)
(2,866)
Net income attributable to Pangaea Logistics Solutions Ltd.
$ 11,884
$ 8,435
$ 19,369
$ 28,903
Earnings per common share:
Basic
$ 0.19
$ 0.18
$ 0.30
$ 0.64
Diluted
$ 0.19
