United Maritime sells oldest Capesize, extends buyback

United Maritime Corporation (UMC), a leading water transportation company, announced the sale of its oldest Capesize vessel and the extension of its share repurchase program. The press release dated January 28, 2025, detailed the company’s strategic move to optimize its fleet and return value to shareholders. According to InvestingPro data, the company maintains impressive gross profit margins of 51.27% despite operating in a challenging market environment. The company currently trades at a price-to-book ratio of 0.26, suggesting potential undervaluation relative to its assets.

The specific Capesize vessel, which was not named in the release, represents the oldest in UMC’s fleet. The decision to sell is part of United Maritime’s ongoing efforts to modernize its fleet and improve its operational efficiency. The financial terms of the sale were not disclosed. With a significant debt burden of $101.11 million and rapid cash burn rate identified by InvestingPro, this sale could provide needed liquidity. Subscribers to InvestingPro gain access to 12 additional key insights about United Maritime’s financial health and future prospects.

In addition to the vessel sale, United Maritime also declared an extension of its share repurchase plan. The company believes that the repurchase program is a prudent use of its capital, signaling confidence in the company’s future prospects and commitment to enhancing shareholder value.

The sale of the vessel and the extension of the buyback program are part of United Maritime’s strategic initiatives to strengthen its market position in the water transportation industry. The company’s actions reflect a focus on maintaining a modern and efficient fleet while also managing its capital structure effectively.

The announcement comes as United Maritime continues to navigate the competitive shipping industry, which demands constant modernization and efficient capital management to remain competitive. The company’s leadership, under CEO Stamatios Tsantanis, is tasked with steering United Maritime through these industry dynamics. Current financial metrics show revenue growth forecasts of 25% for the current year, though InvestingPro analysis indicates challenges ahead with expected earnings decline. The company maintains a notable dividend yield of 16.76%, offering significant returns to shareholders despite operational headwinds.

This report on Form 6-K and the exhibits associated with it, except for statements attributed to the Company’s Chairman & Chief Executive Officer, have been incorporated by reference into the Company’s Registration Statements on Form F-3.

The information provided is based on the latest filing with the Securities and Exchange Commission by United Maritime Corporation. Investors and stakeholders are encouraged to review the full details of the SEC filing to understand the implications of these recent developments.

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