NYSE$DAC

Danaos Corp · Q4 2024 earnings

Q4 2024 earnings · · After market close · Investor relations

Briefing

Danaos Corporation reported a decrease in net income and diluted EPS for Q4 2024 compared to Q4 2023, despite an increase in operating revenues.

Danaos Corporation's Q4 2024 results show a mixed performance with operating revenues increasing by 3.6% to $258.2 million, but net income decreasing to $90.4 million from $149.9 million in Q4 2023. Diluted EPS also fell to $4.70 from $7.70 in the prior year period. The decrease in net income was primarily due to increased operating expenses and a significant loss on marketable securities, partially offset by higher operating revenues.

  • Operating revenues increased by 3.6% to $258.2 million in Q4 2024, driven by additions of dry bulk vessels to the fleet.
  • Net income decreased significantly to $90.4 million in Q4 2024 from $149.9 million in Q4 2023, primarily due to a $35.6 million loss on marketable securities.
  • Diluted earnings per share decreased to $4.70 in Q4 2024 from $7.70 in Q4 2023.
  • Adjusted EBITDA increased by 9.9% to $189.7 million in Q4 2024, reflecting improved underlying operating performance despite the net income decline.

Headline financials

Total Revenue

$258M

Previous: $245M+5.4%
EPS (adj)

$6.93

Previous: $6.99-0.9%
Adjusted net income

$133M

No prior period
Adjusted EBITDA

$190M

No prior period
Container utilization

96.4%

No prior period
Drybulk utilization

84.2%

No prior period
Container avg daily TCE

$36.9K

No prior period
Drybulk avg daily TCE

$20.3K

No prior period
Avg container vessels

72.9

No prior period
Avg drybulk vessels

10

No prior period
Capital Expenditures

-$62.9M

Previous: -$138M+54.3%
Net Income

$90.4M

Previous: $150M-39.7%
Operating Income

$129M

Previous: $132M-2.4%
Gross Profit

$163M

Previous: $154M+5.5%

Revenue & EPS history

Danaos · Revenue · Quarterly

$258M

Q4 2024+5.4%vs Q4 2023
Beat estimate in 12 of 14 quarters(86%)
ActualEstimate

Revenue by segment

Danaos · $847B total across 3 segments · Q1 2026

  • Electricity distribution and sales
    $847B
  • Container vessels
    $230M
  • Drybulk vessels
    $24.1M

Forward guidance

Danaos Corporation anticipates continued market uncertainty but remains insulated by strong charter coverage and a robust balance sheet, allowing for strategic investments and shareholder returns.

Tailwinds

  • Secured multi-year charter arrangements for 13 of 15 newbuilding vessels with an average duration of 5.1 years.
  • Total contracted cash operating revenues stand at $3.4 billion, including newbuildings, providing income certainty.
  • Contracted operating days charter coverage for the container vessel fleet is 97% for 2025 and 79% for 2026.
  • Entered into a syndicated loan facility of up to $850 million to finance remaining newbuilding container vessels.
  • Strong balance sheet supports increased dividends and share buyback program.

Headwinds

  • Near-term predictions about shipping markets are inherently unreliable due to global economic conditions.
  • Dry bulk market continues to suffer from malaise due to the slow pace of Chinese economic recovery.
  • Delivery of new tonnage in the dry bulk sector, particularly in panamax and smaller segments, is expected to add to market weakness.
  • Container charter market shows liners exhibiting more caution, especially for forward dates.
  • Box rates are weakening, although still higher than pre-pandemic levels.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

+1.8%

Avg return

Earnings day

+3.1%

Avg return

5 days after

-1.6%

Avg return

30 days after

59%

38 / 64 earnings

Positive

+31.7%

Q2 2020

Best reaction

-13.8%

Q1 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.7%-1.1%-0.9%
Q4 2025+1.9%+4.9%+5.8%
Q3 2025+1.0%-1.9%-1.6%
Q2 2025+0.8%+2.5%+1.7%
Q4 2024+4.0%+3.7%-2.7%
Q3 2024+6.1%+5.7%-2.7%
Q2 2024-1.7%-2.0%-3.6%
Q1 2024+1.0%+6.8%+2.2%
Q4 2023-4.6%-5.8%-7.9%
Q3 2023+6.4%+7.7%+6.8%
Q2 2023+2.6%+2.1%-5.2%
Q1 2023+9.0%+9.0%+15.3%
Q4 2022-3.8%+0.0%-10.0%
Q3 2022-3.1%+1.6%-14.7%
Q2 2022+4.3%+3.9%-5.3%
Q1 2022-1.1%+2.3%-10.9%
Q4 2021+0.9%+3.4%-2.5%
Q3 2021+6.8%+4.4%+2.1%
Q2 2021+2.7%+5.7%+29.2%
Q1 2021-13.8%-11.3%+3.2%
Q4 2020+6.6%+5.5%+32.7%
Q3 2020+5.2%+32.6%+57.8%
Q2 2020+31.7%+34.0%+34.0%
Q1 2020+8.4%+8.4%+11.0%
Q4 2019+5.2%+14.9%-24.0%
Q3 2019+15.3%+5.3%-36.9%
Q2 2019-5.8%-8.4%-8.5%
Q1 2019+0.7%+26.4%-4.1%
Q4 2018+3.2%+7.2%+9.6%
Q3 2018+5.7%+2.8%-18.9%
Q2 2018+0.0%-22.6%-30.3%
Q1 2018+0.0%-15.4%-31.2%
Q4 2017+3.8%+3.8%-2.3%
Q3 2017+6.7%+0.0%+0.0%
Q2 2017+2.5%-10.0%-17.5%
Q1 2017+12.0%+4.0%+32.0%
Q4 2016-1.9%-3.8%-32.1%
Q3 2016+0.0%-5.2%-8.6%
Q2 2016+0.7%+1.2%-24.4%
Q1 2016-3.7%
Q4 2015+3.0%
Q3 2015-1.8%
Q2 2015+1.8%
Q1 2015-1.2%
Q4 2014-3.9%
Q3 2014+12.1%
Q2 2014-1.2%
Q1 2014+3.4%
Q4 2013+4.0%
Q3 2013+6.7%
Q2 2013-6.7%
Q1 2013+6.3%
Q4 2012+5.2%
Q3 2012+2.3%
Q2 2012-1.5%
Q1 2012-3.8%
Q4 2011+3.7%
Q3 2011-11.1%
Q2 2011-3.4%
Q1 2011-9.5%
Q4 2010-0.5%
Q3 2010-1.7%
Q2 2010-1.7%
Q1 2009+2.8%

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