STAR BULK CARRIERS CORP.
Unaudited Interim Condensed Consolidated Statements of Cash Flows
For the three-month periods ended March 31, 2022 and 2023

(Expressed in thousands of U.S. dollars except for share and per share data, unless otherwise stated)

 

			Three months ended March 31,
			2022				2023
Cash Flows from Operating Activities:
Net income			$	170,364			$	45,875
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities:
Depreciation (Note 5)				38,461				35,069
Amortization of debt (loans & leases) issuance costs (Note 8)				1,339				1,043
Amortization of operating lease right-of-use assets (Note 6)				-				2,770
Gain/(Loss) on debt extinguishment, net (Note 8)				-				419
Impairment loss (Note 5)				-				7,700
Loss on bad debt				-				300
Share-based compensation (Note 11)				1,233				3,446
Gain from insurance proceeds relating to vessel total loss (Note 5)				-				(28,163	)
Loss on write-down of inventory				-				2,166
Change in fair value of forward freight derivatives and bunker swaps (Note 13)				4,060				4,864
Other non-cash charges				(112	)			42
Equity in income / (loss) of investee (Note 3)				17				56
Changes in operating assets and liabilities:
(Increase)/Decrease in:
Trade accounts receivable				(5,760	)			13,579
Inventories				(8,930	)			(1,585	)
Prepaid expenses and other receivables				(173	)			(8,010	)
Derivatives asset				(136	)			372
Due from related parties				(524	)			24
Due from managers				9,404				31
Increase/(Decrease) in:
Accounts payable				18,014				2,434
Operating lease liability (Note 6)				-				(2,770	)
Due to related parties				1,297				113
Accrued liabilities				5,151				(1,222	)
Due to managers				4,589				6,222
Deferred revenue				(9,138	)			(1,585	)
Net cash provided by / (used in) Operating Activities				229,156				83,190
Cash Flows from Investing Activities:
Vessel upgrades and other fixed assets				(6,414	)			(5,389	)
Hull and machinery insurance proceeds				1,600				358
Net cash provided by / (used in) Investing Activities				(4,814	)			(5,031	)
Cash Flows from Financing Activities:
Proceeds from bank loans, leases and notes (Note 8)				-				47,000
Loan and lease prepayments and repayments				(52,756	)			(87,293	)
Financing and debt extinguishment fees paid				-				(587	)
Dividends paid (Note 9)				(204,801	)			(62,050	)
Proceeds from issuance of common stock				4,350				-
Repurchase of common shares (Note 9)				-				(7,005	)
Net cash provided by / (used in) Financing Activities				(253,207	)			(109,935	)
Net increase/(decrease) in cash and cash equivalents and restricted cash				(28,865	)			(31,776	)
Cash and cash equivalents and restricted cash at beginning of period				473,271				286,344
Cash and cash equivalents and restricted cash at end of period			$	444,406			$	254,568
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid during the period for:
Interest			$	10,386			$	13,640
Non-cash investing and financing activities:
Vessel upgrades				1,619				50
Reconciliation of (a) cash and cash equivalents, and restricted cash reported within the consolidated balance sheets to (b) the total amount of such items reported in the statements of cash flows:
Cash and cash equivalents			$	424,124			$	234,498
Restricted cash, current (Note 8)				18,261				18,049
Restricted cash, non-current (Note 8)				2,021				2,021
Cash and cash equivalents and restricted cash at end of period shown in the statement of cash flows			$	444,406			$	254,568
The accompanying notes are integral part of these consolidated financial statements.

(1)

The amounts represent the minimum contractual charter revenues to be generated from the existing, as of March 31, 2023, non-cancellable time charter agreements, until their expiration, net of address commission, assuming no off-hire days other than those related to scheduled interim and special surveys of the vessels. Future inflows also include revenues deriving from index linked charter agreements using i) the index rates at the commencement date of each agreement, in compliance with ASC 842, and do not reflect relevant index charter rate information prevailing as of March 31, 2023 and ii) the remaining minimum duration of each contract.

(1)	The amounts represent minimum contractual charter-in commitments to be incurred with respect to four Kamsarmax newbuildings and two Ultramax newbuildings which are expected to be delivered during 2024 and the charter-in contracts have a minimum duration of 84 months per vessel.

(2)	The amounts represent the Company’s commitments as of March 31, 2023, for vessel upgrades (BWTS and ESD).