Pangaea Logistics Reports $2.7 Million Net Loss Despite 19% Revenue Growth in Q2 2025

Pangaea Logistics Solutions Ltd. reported a net loss of $2.7 million for the second quarter of 2025, a significant decline from a net income of $3.7 million during the same period in 2024. The company's total revenue for the quarter reached $156.7 million, marking a 19% increase from $131.5 million in the prior year. This growth was primarily driven by a 51% rise in total shipping days, which increased to 6,222 days, attributed to the expansion of the fleet following the acquisition of 15 vessels in December 2024. However, the increase in revenue was partially offset by a decline in market rates for freight and time charters.

In terms of operational performance, voyage revenues increased by 18% to $146.3 million, while charter revenues surged by 78% to $6.9 million. The rise in charter revenues was largely due to a 213% increase in time charter days, despite a 31% decline in average market charter rates. Terminal and stevedore revenues remained stable at $3.6 million. On the expense side, total expenses rose to $153.0 million, up from $123.9 million in the previous year, driven by higher voyage expenses, which increased by 27% to $77.8 million, and vessel operating expenses, which surged by 59% to $23.4 million.

Pangaea's balance sheet as of June 30, 2025, showed total assets of $916.0 million, a decrease from $936.5 million at the end of 2024. Current liabilities increased to $126.0 million from $109.1 million, primarily due to higher accounts payable and accrued expenses. The company's cash and cash equivalents also declined to $59.3 million from $86.8 million. Stockholders' equity decreased to $459.1 million from $474.7 million, reflecting the net loss and dividend payments during the period.

Strategically, Pangaea completed the acquisition of the remaining 49% equity interest in Seamar Management for $2.7 million, making it a wholly owned subsidiary. This consolidation is expected to enhance operational efficiencies. The company also initiated a share repurchase program, authorizing up to $15 million in stock buybacks, of which approximately $1.01 million has been utilized to repurchase 202,882 shares.

Looking ahead, Pangaea anticipates that its current cash reserves, along with expected cash flows, will be sufficient to fund operations for at least the next twelve months, provided that dry bulk shipping rates do not decline significantly. The company remains focused on maintaining a flexible chartering strategy to adapt to market conditions and meet cargo commitments.