Pangaea Logistics Solutions Ltd. reported its financial results for the third quarter and nine months ended September 30, 2024, showing notable changes in revenue, profitability, and strategic developments compared to the previous fiscal period.

For Q3 2024, total revenue reached $153.1 million, a 13% increase from $135.6 million in Q3 2023. This growth was primarily driven by a 13.5% rise in voyage revenue, which amounted to $145.1 million, up from $127.9 million in the prior year. Year-to-date (YTD) total revenue for the nine months ended September 30, 2024, was $389.4 million, reflecting a 6% increase from $367.4 million in the same period of 2023. The increase in revenue was attributed to higher Time Charter Equivalent (TCE) rates, which rose from $15,256 to $16,692 per day.

Despite the revenue growth, net income for Q3 2024 significantly decreased to $6.1 million, down from $20.2 million in Q3 2023. YTD net income also fell to $22.7 million from $26.4 million in the previous year. Basic earnings per share for Q3 2024 were $0.11, compared to $0.42 in Q3 2023. The decline in profitability was influenced by increased operating expenses, including a 21% rise in voyage expenses and a 43% increase in charter hire expenses due to higher market rates.

Pangaea's total assets increased to $749.2 million as of September 30, 2024, up from $705.2 million at the end of 2023. Total stockholders' equity also rose to $378.8 million from $370.2 million. The company reported cash and cash equivalents of $93.1 million, a decrease from $99.0 million at the end of 2023.

Strategically, Pangaea completed the acquisition of the remaining 50% interest in Nordic Bulk Partners LLC on November 6, 2024, achieving full ownership of its fleet. The company also expanded its port and terminal operations, which contributed to a 105% increase in terminal and stevedore revenues for the nine months ended September 30, 2024, compared to the same period in 2023.

In terms of financing, Pangaea reported net cash provided by operating activities of $46.4 million for the nine months ended September 30, 2024, an increase from $29.9 million in the prior year. The company also secured $64.2 million in long-term debt during the period, compared to no proceeds in the same timeframe last year.

Overall, while Pangaea Logistics Solutions Ltd. experienced revenue growth, its profitability faced challenges due to rising expenses, alongside significant strategic acquisitions that may enhance its operational capacity moving forward.