Performance Shipping Inc. Reports Financial Results for the Second Quarter and Six-Months Ended June 30, 2021

ATHENS, GREECE, July 30, 2021 – Performance Shipping Inc. (NASDAQ: PSHG) (the “Company”), a global shipping company specializing in the ownership of tanker vessels, today reported a net loss and net loss from continuing and discontinued operations attributable to common stockholders of $2.6 million for the second quarter of 2021, compared to net income and net income from continuing and discontinued operations attributable to common stockholders of $4.6 million for the same period in 2020.  Loss per share, basic and diluted, for the second quarter of 2021 was $0.53, while earnings per share, basic and diluted, for the second quarter of 2020 was $0.94.

Voyage and time charter revenues from continuing and discontinued operations were $9.1 million ($4.0 million net of voyage expenses) for the second quarter of 2021, compared to $16.0 million ($11.8 million net of voyage expenses) for the same period in 2020. This decrease was mainly attributable to the decreased time-charter equivalent rates (TCE rates) achieved during the quarter as a result of the depressed market conditions. Fleetwide, the average time charter equivalent rate for the second quarter of 2021 was $9,728, compared with an average rate of $26,092 for the same period of 2020. During the second quarter of 2021, net cash used in operating activities of continuing and discontinued operations was $0.2 million, compared with net cash provided by operating activities of continuing and discontinued operations of $2.9 million for the second quarter of 2020.

Net loss from continuing and discontinued operations for the six-month period ended June 30, 2021 amounted to $5.5 million, compared to net income from continuing and discontinued operations of $5.9 million for the six-month period ended June 30, 2020. Net loss from continuing and discontinued operations attributable to common stockholders for the six-month period ended June 30, 2021 amounted to $5.5 million, and resulted in a loss per share, basic and diluted, of $1.10.  Net income from continuing and discontinued operations attributable to common stockholders for the six-month period ended June 30, 2020 amounted to $7.4 million, including a one-time gain of $1.5 million derived from the repurchase of the Series C preferred shares, and resulted in earnings per common share, basic and diluted, of $1.55 and $1.51, respectively.

As of June 30, 2021, the Company’s number of shares issued and outstanding was 5,082,726.

During the second quarter of 2021 the Company became a signatory of BIMCO’s Gulf of Guinea Declaration to address the piracy issues in the Gulf of Guinea, one of the many ESG initiatives taken by the Company this year.

Commenting on the results of the second quarter of 2021, Mr. Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:

“Spot charter rates during the second quarter of 2021 continued to remain at historically low levels as a result of marginal increases in crude oil and refined petroleum products production. Therefore, in accordance with our dividend policy, we will not declare a dividend for our Q2 2021 results from operations. We continue to expect weak spot charter rates to gradually recover as early as the fourth quarter of 2021, depending on developments pertaining to the COVID-19 pandemic. During the second quarter of 2021, we completed the special survey and ballast water treatment system installation on our M/T Briolette. We will take advantage of the weak market to complete similar work on our M/T P. Fos during the 3rd quarter, and M/T Blue Moon during the 4th quarter, following the completion of the existing time charter with Saudi Aramco.”