EuroDry (NASDAQ:EDRY) reported a profitable fourth quarter of 2025 as improved dry bulk charter rates and a vessel sale contributed to stronger earnings and liquidity, according to management’s discussion of results for the three- and twelve-month periods ended Dec. 31, 2025.
Fourth-quarter results
For the fourth quarter, the company reported total net revenues of $17.4 million, up from $14.5 million in the prior-year quarter. Net income attributable to controlling shareholders was $3.2 million, or $1.14 per diluted share. Adjusted net income attributable to controlling shareholders was $2.4 million, or $0.87 per diluted share, while adjusted EBITDA totaled $7.5 million.
EuroDry also recorded a $0.7 million gain on the sale of the M/V Eirini P. during the quarter. Aslidis noted that excluding the impact of an unrealized gain on derivatives and the vessel sale gain, adjusted earnings per share would have been approximately $0.88 basic and $0.87 diluted, compared with an adjusted loss of $1.33 per share in the fourth quarter of 2024.
Fleet activity, charters, and hedging
Chairman and CEO Aristides Pittas said EuroDry sold the Panamax vessel M/V Eirini P. (built 2004) for $8.5 million, with delivery to its new owners on Oct. 21, 2025, generating a gain “just shy of $1 million.” Management described the sale as part of its fleet renewal strategy.
From a chartering perspective, management said fourth-quarter fixtures were “predominantly short-term,” with the company concluding one one-year time charter for the Ultramax Christos K at $15,500 per day. Pittas characterized the fixture as a shift from the company’s prior approach of maintaining full market exposure when rates were lower, adding that EuroDry may increase longer-term coverage if rates continue to rise.
As of the update provided on the call:
- Four vessels were employed on index-linked charters at 115% of the average Baltic Supramax 10-time charter index through at least November 2026.
- The remaining seven vessels were on time charters ranging from approximately one to just over three months.
- Management said there were no idle or commercial off-hire periods during the quarter.
EuroDry also discussed its use of forward freight agreements (FFAs) as an occasional hedge. Pittas said the company sold 180 days of the Supramax 10 TC average for the first quarter of 2026 at an average of $12,012 per day (equivalent to about two vessels). He also said the company completed an additional trade to sell 90 days of the Supramax 5 TC average index for each of the second and third quarters of 2026 at average levels of $19,250 (Q2) and $17,250 (Q3), equivalent to one vessel.
Full-year 2025 comparison
For the full year 2025, EuroDry reported total net revenues of $52.3 million, down from $61.1 million in 2024. Aslidis attributed the decrease to both fewer vessels operated and slightly lower average time charter equivalent (TCE) rates versus the prior year. Interest and other financing costs were $6.9 million in 2025 compared with $8.0 million in 2024.
Despite lower revenue, adjusted EBITDA increased to $12.6 million from $9.4 million in 2024. The company recorded a $2.8 million gain on vessel sales in 2025, which included the Eirini P. sale in the fourth quarter and another sale earlier in the year, with no vessel sales reported in 2024.
EuroDry posted a basic and diluted loss per share attributable to controlling shareholders of $1.55 for 2025, compared with a loss per share of $4.62 in 2024. Excluding the unrealized loss on derivatives and the net gain on vessel sales, adjusted loss per share would have been $2.50 in 2025 versus $4.10 in 2024, according to the CFO.
Operating metrics, balance sheet, and capital allocation
EuroDry reported commercial utilization of 100% and operational utilization of 99.6% in the fourth quarter. The company operated an average of 11.2 vessels during the quarter, earning an average TCE rate of $16,260 per day, compared with 13 vessels and $12,201 per day in the fourth quarter of 2024.
Total operating expenses (including management fees and G&A, excluding drydocking) rose to $7,869 per vessel per day in the fourth quarter from $7,087 a year earlier. The company’s cash flow breakeven rate was $13,231 per day in the fourth quarter, compared with $11,259 in the prior-year quarter, which management said partly reflected higher drydocking costs during the period.
On the balance sheet, EuroDry reported:
- Outstanding debt of $103.7 million as of Dec. 31, 2025, with an average margin of about 2%. Using a three-month SOFR estimate of 3.65% (as of Feb. 18), management indicated an average senior debt cost of about 5.65%.
- Debt repayments of $12.2 million during 2026, $21.0 million in 2027, and $17.0 million in 2028, inclusive of balloon payments.
- A projected next-12-month cash flow breakeven of about $11,663 per vessel per day.
As of Dec. 31, 2025, the company reported $31.8 million in cash and other assets, $14.4 million in advances for newbuildings, and a fleet book value of about $166 million, for total assets of roughly $212 million. Shareholders’ equity was about $93 million, translating to net book value per share of $31.8. Aslidis added that based on internal and external ship valuations, EuroDry estimated the market value of its fleet at about $214 million versus the $166 million book value, implying a net asset value per share “in excess of $48 per share.”
EuroDry’s fleet consisted of 11 vessels with an average age of about 14 years and total capacity of roughly 765,000 dwt. The company has two Ultramax newbuildings (63,500 dwt each) scheduled for delivery in the second and third quarters of 2027, which would expand the fleet to 13 vessels and about 893,000 dwt upon delivery.
Pittas said that after the Eirini P. sale, refinancing of the Giannis P. loan, and funding of a substantial portion of delivery installments for the Aristeidis newbuilding, the company’s balance sheet was “much more robust.” While EuroDry said it is positioned to pursue additional investments if opportunities arise, Pittas added the company does not currently see attractive opportunities “in this high valuation environment,” and emphasized disciplined capital allocation and operational efficiency.
Market commentary and Q&A highlights
Management described a strengthening but volatile dry bulk market. Pittas noted that Panamax spot rates declined from about $14,600 per day in the fourth quarter to roughly $9,650 by late December before recovering to around $13,500. As of Feb. 13, he cited a Clarksons assessment of the standard Panamax one-year time charter rate at about $16,250 per day. He also said the Baltic Dry Index and Baltic Panamax Index were up approximately 47% and 52% year over year in the fourth quarter.
In the question-and-answer session, Pittas said the company was “very happy” with its joint venture arrangement with NRP and its investors, describing it as Norwegian-based and indicating EuroDry may pursue similar deals in the future. On coal, Pittas said coal has been expected to peak for years but has remained steady recently; he added that while coal’s share of the energy mix is expected to shrink over time, he believes absolute consumption will “continue growing.”
Asked about 2026 coverage, management reiterated that decisions depend on market evolution, noting the company had recently added hedging through FFAs. On fleet renewal, Pittas said the company was down to two 2004-built ships and one 2005-built ship, but added that no decision had been made on additional sales, and any sales could be paired with purchases of more modern vessels.
Aslidis also clarified that an insurance claim was recognized after a press release but included in the company’s audited results, and he said the matter was resolved with a recovery of $1.4 million recorded as other operating income, with no further expected adjustments.
About EuroDry (NASDAQ:EDRY)
EuroDry Limited is a Marshall Islands–incorporated shipping company, formed in 2005 and headquartered in Piraeus, Greece. The company is publicly traded on the NASDAQ under the symbol EDRY. Since its inception, EuroDry has focused exclusively on the marine transportation of drybulk commodities and has grown its fleet through a combination of newbuilding contracts and second-hand acquisitions.
As of mid-2024, EuroDry’s operating fleet comprises Capesize, Panamax and Supramax drybulk carriers, collectively providing over one million deadweight tons (dwt) of capacity.
