Emily Marie Harkins's questions to SAFE BULKERS (SB) leadership • Q3 2024
Question
Emily Marie Harkins, on behalf of Omar Nokta at Jefferies, questioned Safe Bulkers' strategy regarding its 32% consolidated leverage ratio and asked for commentary on the discrepancy between lagging Panamax spot rates and stronger rates for other dry bulk classes.
Answer
CFO Konstantinos Adamopoulos stated that the 32% leverage is a 'very comfortable level' and the company does not plan to reduce it further, noting that even 45-50% would be manageable with the young fleet and newbuilds. President Dr. Loukas Barmparis added that the debt is low relative to the fleet's scrap value. Regarding vessel classes, Adamopoulos described the company's expansion strategy as opportunistic and highlighted the strength of the Capesize market, stating they would expand in that sector if prices were lower.