Euroseas Stock

Euroseas Ltd. provides ocean-going transportation services worldwide.

The company's containerships transport dry and refrigerated containerized cargoes, including manufactured products and perishables. As of March 31, 2023, the company's fleet consisted of 17 containerships. The total cargo carrying capacity of the 17 containerships is 666,038 deadweight ton (dwt) or 53,261 twenty-foot equivalent unit (teu). After the delivery of the company's nine newbuilding containerships, its fleet will consist of 26 containerships with a cargo carrying capacity of 956,246 dwt or 75,461 teu.

In June 2021, January 2022, and March 2022, the company entered into four separate agreements with Hyundai Mipo Dockyard Co., Ltd. to construct nine modern containerships; six with a carrying capacity of 2,800 teu each; and three with a carrying capacity of 1,800 teu each. From the two vessels ordered in June 2021, the first one M/V 'Gregos', was delivered on April 6, 2023, and the second one is scheduled to be delivered in the third quarter of 2023. Furthermore, the two vessels ordered in January 2022 are scheduled to be delivered during the first and second of 2024. The three vessels ordered in March 2022 are scheduled to be delivered during the second quarter of 2024. The two vessels ordered in May 2022 are scheduled to be delivered during the fourth quarter of 2024. Furthermore, in May and June 2022, the company took delivery of two intermediate 4,250 teu containerships, M/V 'Rena P' built in 2007, and M/V 'Emmanuel P', respectively; built in 2005. The company also assumed the existing charter arrangements of both vessels. In January 2023, the company sold one of its containerships for scrap, the M/V 'Akinada Bridge', a 5,610 teu intermediate containership built in 2001.

The company's fleet consists of containerships that transport container boxes providing scheduled service between ports.

The company plans to expand its fleet by investing in vessels in the containership market under favorable market conditions. The company employs its vessels in the spot and time charter market. As of March 31, 2023, all of its vessels were employed under time charter contracts.

Business Strategy

The company's business strategy is focused on providing consistent shareholder returns by carefully selecting the timing and the structure of its investments in containership vessels and by reliably, safely, and competitively operating the vessels the company owns, through its affiliate, Eurobulk Ltd. (Eurobulk).

The key elements of the company's strategy are to renew and expand its fleet; maintain balanced employment; optimize use of financial leverage; and manage a broad range of Environmental, Social and Governance (ESG) initiatives.

Customers

The company has well established relationships with major containership charterers, which it serves by carrying a variety of cargoes over a multitude of routes around the globe. The company is a relationship driven company.

Environmental and Other Regulations in the Shipping Industry

A variety of government and private entities subject the company's vessels to both scheduled and unscheduled inspections. These entities include the local port authorities (applicable national authorities, such as the United States Coast Guard (USCG), harbor master or equivalent), classification societies, flag state administrations (countries of registry) and charterers, particularly terminal operators.

The SOLAS Convention (International Convention for the Safety of Life at Sea of 1974) was amended to address the safe manning of vessels and emergency training drills. The Convention of Limitation of Liability for Maritime Claims (the 'LLMC') sets limitations of liability for a loss of life or personal injury claim or a property claim against ship owners. The company's vessels are in substantial compliance with SOLAS (Safety of Life at Sea of 1974) and LLMC standards.

Under Chapter IX of the SOLAS Convention, or the International Safety Management Code for the Safe Operation of Ships and for Pollution Prevention (the 'ISM Code'), the company's operations are also subject to environmental standards and requirements.

The company has obtained applicable documents of compliance for its offices and safety management certificates for all of its vessels for which the certificates are required by the International Maritime Organization (IMO). Although all the company's vessels are ISM Code-certified.

In 2001, the IMO adopted the International Convention on the Control of Harmful Anti-fouling Systems on Ships, or the 'Anti-fouling Convention'. The company has obtained Anti-fouling System Certificates for all of its vessels that are subject to the Anti-fouling Convention.

The U.S. Environmental Protection Agency (EPA) and the USCG have also enacted rules relating to ballast water discharge, compliance with which requires the installation of equipment on the company's vessels to treat ballast water before it is discharged or the implementation of other port facility disposal arrangements or procedures at potentially substantial costs, and/or otherwise restrict the company's vessels from entering the U.S. Waters.

All the company's vessels are in substantial compliance with and are certified to meet the Maritime Labor Convention 2006. All of the company's vessels are certified as being 'in class' by all the applicable Classification Societies (e.g., Bureau Veritas, Det Norske Veritas, and Nippon Kaiji Kyokai).

Competition

Some of the company's publicly listed competitors include Danaos Corporation, Costamare Inc., and Global Ship Lease Inc.

History

Euroseas Ltd. was founded in 2005. The company, a Marshall Islands company, was incorporated under the Business Corporations Act in 2005.