Navios Maritime Holdings Inc. Q Earnings Presentation. 23 February 2016

Transcription

1 Navios Maritime Holdings Inc. Q Earnings Presentation 23 February 2016

2 Forward Looking Statements This presentation contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events, including Navios Holdings share repurchases, 2016 cash flow generation, future contracted revenues, future distributions and its ability to pay a dividend going forward, opportunities to reinvest cash accretively in a fleet renewal program or otherwise, potential capital gains, our ability to take advantage of dislocation in the market, and Navios Holdings' growth strategy and measures to implement such strategy; including expected vessel acquisitions and entering into further time charters. Words such as may, expects, intends, plans, believes, anticipates, hopes, estimates, and variations of such words and similar expressions are intended to identify forwardlooking statements. Such statements include comments regarding expected revenue and time charters. These forward-looking statements are based on the information available to, and the expectations and assumptions deemed reasonable by Navios Holdings at the time these statements were made. Although Navios Holdings believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve known and unknown risks and are based upon a number of assumptions and estimates which are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of Navios Holdings. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to uncertainty relating to global trade, including prices of seaborne commodities and continuing issues related to seaborne volume and ton miles, our continued ability to enter into long-term time charters, our ability to maximize the use of our vessels, expected demand in the dry cargo shipping sector in general and the demand for our Panamax, Capesize and Ultra Handymax vessels in particular, fluctuations in charter rates for dry cargo carriers vessels, the aging of our fleet and resultant increases in operations costs, the loss of any customer or charter or vessel, the financial condition of our customers, changes in the availability and costs of funding due to conditions in the bank market, capital markets and other factors, increases in costs and expenses, including but not limited to: crew wages, insurance, provisions, port expenses, lube oil, bunkers, repairs, maintenance, and general and administrative expenses, the expected cost of, and our ability to comply with, governmental regulations and maritime self-regulatory organization standards, as well as standard regulations imposed by our charterers applicable to our business, general domestic and international political conditions, competitive factors in the market in which Navios Holdings operates; risks associated with operations outside the United States; and other factors listed from time to time in Navios Holdings' filings with the Securities and Exchange Commission, including its Form 20- F s and Form 6-K s. Navios Holdings expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forwardlooking statements contained herein to reflect any change in Navios Holdings' expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based. Navios Holdings makes no prediction or statement about the performance of its common stock. EBITDA and Adjusted EBITDA represent net income/loss attributable to Navios Holdings common stockholders plus interest and finance costs plus depreciation and amortization and income taxes, before stock-based compensation and exclude certain items, if any, as described under Earnings Highlights. EBITDA and Adjusted EBITDA are non-gaap financial measures and should not be considered a substitute for net income/loss, cash flow from operating activities and other operations or cash flow statement data prepared in accordance with generally accepted accounting principles in the United States. A reconciliation of these non-gaap measures to the comparable GAAP measures is presented in our earnings release dated today. EBITDA and Adjusted EBITDA are presented to provide additional information with respect to the ability of Navios Holdings to satisfy its respective obligations including debt service, capital expenditures, working capital requirements and pay dividends. While EBITDA and Adjusted EBITDA are frequently used as measures of operating results and the ability to meet debt service requirements, the definition of EBITDA and Adjusted EBITDA used here may not be comparable to that used by other companies due to differences in methods of calculation. Navios Holdings believes that EBITDA and Adjusted EBITDA are a basis upon which liquidity can be assessed. Navios Logistics EBITDA and Adjusted EBITDA are used to measure its operating performance. Note: All fleet data presented is as of February 9, 2016

3 30 Years Baltic Dry Index 43% lower than prior 30-year low of February 2015 New low of BDI = 290 in February Jul Feb Feb

4 Company Highlights Large, Modern Fleet Scale in a Fragmented Industry Operating Leverage Low Cash Flow Breakeven Risk Management Positioned to Weather the Market Diversified Investment Vehicle Strong Brand in Maritime Industry Proven Market Access Favorable Long-Term Industry Dynamics Seasoned Management Team 63 (1) controlled vessels; 40 owned / 23 chartered-in (20 purchase options) Modern high-quality fleet with an average age of 7.6 years (vs. ~ 8.7 year industry average) Diverse fleet 20 Capesize, 22 Panamax, 19 Ultra Handymax and 2 Handysize Scale provides significant operating leverage (cash savings and cost control) Operating costs 41% lower than industry average due to efficient in-house operations Capex-lite charter-in strategy with flexible, discretionary options to purchase 65.9% (2) of revenue days fixed in 2016 Flexible chartering strategy Strong balance sheet Navios Group represents interests in healthy tankers and logistics sectors and dry sector Tankers: (NYSE: NNA) 2015 Net income: $89.7 million; EBITDA: $220.8 million (NYSE: NAP) 2015 Net income: $27.1 million; EBITDA: $62.2 million Logistics: (NSAL) 2015 Net income: $22.2 million; EBITDA $80.4 million Dry sectors: (NYSE: NMM) 2015 Net income: $41.8 million; EBITDA: $153.3 million Contracts with creditworthy counterparties Strategic relationships with shipyards, commercial banks and other industry players Approx. $2.5 billion of debt and equity issued since September 2008 $650 million senior secured notes issued in November 2013 $170 million perpetual preferred stock issued in 2014 Continued market demand coupled with changing supply dynamics (increased scrapping and slippage and no new building orders) Seasoned team with industry experience averaging 20+ years per person (1) Excludes Navios Logistics, Navios Europe I and Navios Europe II fleet (2) Includes index-linked charters, excludes Kleimar vessels (3) Enterprise value and stock price as of February 17,

5 Navios Group Structure Navios Maritime Holdings Inc. (NYSE: NM) Controls 63-vessel dry bulk fleet; 40 owned and 23 long term chartered-in vessels. Global brand; Flexible business model Stable cash flow from charter out contracts and distributions from subsidiaries 2015 EBITDA: $133.4 million Share price: $0.95; per share value of investment in public subsidiaries = $ % 46.6% 63.8% Navios Maritime Partners L.P. (NYSE: NMM) MLP - 31 vessels 8 Capesize, 12 Panamax, 3 Ultra Handymax & 8 Containers 2015 EBITDA:$153.3 million 2015 Net Income: $41.8 million NM ownership: $19.9 million market value Navios Maritime Acquisition Corp. (NYSE: NNA) 38 vessels - 26 product tankers, 8 VLCCs, 4 chemical tankers leading company in tanker sector 2015 EBITDA: $220.8 million 2015 Net Income: $89.7 million NM ownership: $146.7 million market value Annual dividend: $0.20; 10.0% yield Navios South American Logistics Logistics operator in Hidrovia Core operations: Port Terminal facilities, barging & cabotage 2015 EBITDA: $80.4 million 2015 Net Income: $22.2 million 20-year contract with Vale for port services expected $35 million annual minimum EBITDA 60.85% All stock prices and yields as of February 17, 2016 Navios Maritime Midstream Partners L.P (NYSE: NAP) MLP - 6 VLCCs Long-term charters in tanker midstream sector Options on 5 VLCC dropdowns provide built-in fleet & distribution growth 2015 EBITDA: $62.2 million 2015 Net Income: $27.1 million Market value of NNA ownership: $123.9 million Annual dividend: $1.69; 17.2% yield 5

6 Weathering a Record Market Strong balance sheet $176.9 million of cash as of December 31, 2015 Operating flexibility: bonds = ~ 85% of total debt - no LTV maintenance perpetual preferred stock - No obligation to redeem $14.6 million annual distributions from Navios Acquisition Reducing annual cash requirements ~ $26 million annual savings from common stock dividend suspension ~ $15 million annual savings from preferred shares dividend suspension Flexible chartering strategy 2016: 65.9% fixed (including index linked days) 2017: 31.2% fixed (including index linked days) Quality charter counterparties Operating efficiencies Navios Holdings Opex ~ 41% less than industry average Diversified investment vehicle Strength in tankers (NYSE:NNA and NYSE: NAP) offsets weakness in dry Strength in logistics (Navios Logistics) offers stability and growth in port and logistics in South America Strength in Navios Partners (NYSE:NMM) stable cash flow from long-term charter coverage Dynamic dry sector undergoing historic restructuring 6

7 Strength through Diversification Navios Maritime Acquisition Corp. (NYSE: NNA) Navios Midstream Partners L.P. (NYSE: NAP) Navios South America Logistics Inc. Navios Maritime Partners L.P. (NYSE: NMM) 38 tanker fleet (8 VLCCs & 30 product and chemical tankers) VLCC spot rate: 2016 YTD=$61,726, 2015=$64,846, 2014=$30,015 p/day 2015 Net income: $89.7 million; EBITDA: $220.8 million Net income per share: $0.57 Pro forma liquidity of $67.8 million Credit Profile: B+ from S&P, B2 from Moody s Pro Forma Net Debt/Book Capitalization: 64.8%; EBITDA/Interest: 3.1x MLP in Tanker midstream owning 6 VLCCs Average remaining charter duration = 5.3 years 2015 Net income: $27.1 million; EBITDA: $62.2 million Earnings per Common Unit: $1.33 Credit Profile: B+ from S&P, B2 from Moody s Net Debt/Book Capitalization: 33.5%; EBITDA/Interest: 7.6x Leading logistics provider in Hidrovia Region of South America Robust growth in exports of grain and mineral commodities Change in Argentinean government is a catalyst for grain exports 20% CAGR EBITDA growth since Net income: $22.2 million; EBITDA $80.4 million Credit Profile: B- from S&P, B2 from Moody s Net Debt/Book Capitalization: 42%; EBITDA/Interest: 3.1x 31 vessel fleet (23 dry bulk and 8 containers) $80 million expected free cash flow in 2016 Unique platform in dry industry for acquiring assets in a distressed environment Average remaining charter duration = 3.2 years 2015 Net income: $41.8 million; EBITDA: $153.3 million Earnings per Common Unit: $0.48 Credit Profile: B+ from S&P, B2 from Moody s Net Debt/Book Capitalization: 42.4% ; EBITDA/Interest: 5.5x Share of Navios Group Enterprise Value 16% 23% Dry bulk (NM) 20% 41% Tankers (NNA & NAP) Containers/ Dry Bulk (NMM) Logistics (NSAL) 7

8 ($ million) NM: Strong Liquidity Position ($ million) December 31, 2015 Cash (1) Debt (2) 1,581.3 Shareholders' Equity (3) Debt Maturity Capitalization (3) 2,570.3 Net Debt / Capitalization 54.6% NM NSAL No Committed Shipping Growth CAPEX No Significant Debt Maturities Until 2019 $50 Million Working Capital Facility from NNA (1) Includes $13.5 million of restricted cash (2) Includes $367.6 million debt of Navios Logistics (3) Excludes noncontrolling interest 8

9 Leveraging Scale from In-House Capabilities Navios Group has developed significant efficiencies from inhouse capabilities and economies of scale Ability to hire and retain skilled professionals for technical and commercial management Excellent industry relationships Purchasing power for growing fleet $31.7 million benefit in FY 2015 compared to the industry Opex (in $/day) NM: Dry Bulk Fleet $5,613 Industry Average per Vessel (1) $3,327 NM Average per Vessel Opex (in $/day) NMM: Combined Dry and Container Fleet Opex (in $/day) NNA: Combined Tanker Fleet Opex (in $/day) NAP: VLCC Fleet (2) $7,190 $5,974 $9,137 $7,554 $10,347 $9,500 Industry Average per Vessel (1) NMM Average per Vessel Industry Average per Vessel (1) NNA Average per Vessel Industry Average per Vessel (1) NAP Average per Vessel (1) Source: Drewry and company filings. (2) Excluding Dry docking cost. 9

10 Low Cost Structure Revenue Cost % (1) Fixed $11,793 Capital Repayments 10, E Average Contracted Daily Charter-Out Base Rate $1,259 $4,196 $383 $5, E Interest Expense General & Administrative Expenses Opex (incl. drydocking) + Charter-in Costs H1 2016: 76.2% days fixed (inc. 21.3% index linked days) H2 2016: 55.7% days fixed (inc. 21.7% index linked days) Breakeven includes operating costs of owned fleet (including drydock), charter-in expenses for charterin fleet, general and administrative expenses, interest expense and capital repayments (excludes COAs, short term charters and FFAs) Total Available Days of Core Fleet: 20,336 for 2016 (1) Includes 21.5% days at index linked charters 10

11 One of the Largest US-listed Dry Bulk Fleets Navios Holdings Controls 63 (1) Vessels (6.4 million DWT) 59 Vessels Operating (6.0 million DWT) Average Age: 7.6 years 20 Capesize 22 Panamax 19 Ultra Handymax 2 Handysize 13 Vessels 2.31 million DWT 12 Vessels 0.93 million DWT 14 Vessels 0.75 million DWT 1 Vessel 0.04 million DWT 40 Owned 4.03 million DWT 7 Vessels 1.26 million DWT 10 Vessels 0.80 million DWT 5 Vessels 0.29 million DWT 1 Vessel 0.04 million DWT 23 LT Charter-In 2.39 million DWT (2) 6 Vessels 1.08 million DWT 9 Vessels 0.72 million DWT 4 Vessels 0.24 million DWT 1 Vessel 0.04 million DWT 20 Purchase Options 2.08 million DWT Charter-in strategy allows fleet expansion with zero capital outlay & future ownership via purchase options Navios Group (3) controls 160 vessels 91 dry bulk (9.3 million DWT), 49 tankers (6.0 million DWT) and 20 container vessels (95,978 TEU) (1) Excludes Navios Logistics, Navios Europe I and Navios Europe II fleet (2) Includes 20 vessels that have purchase options (3) Navios Group is composed of Navios Holdings (NM), Navios Partners (NMM), Navios Acquisition (NNA), Navios Midstream (NAP), Navios Europe I and Navios Europe II. Excludes Navios Logistics fleet 11

12 Industry Overview

13 P 2016F 2017F World GDP Growth Continues % Emerging and developing economies World economies Advanced economies IMF Latest Revisions of GDP Growth (%) January 2016 World GDP Advanced economies GDP Emerging markets GDP Source: IMF, Jan

14 Iron Ore, Coal & Grain: 2015 = First YoY Decline Since Iron ore, coal and grain represented 63% of all seaborne dry bulk Average annual seaborne demand grew +177 million tons for the five-year period contraction of ~ 5 million tons (0.1%) in seaborne cargo was first contraction since decline caused by a ~ 60 million ton decline in seaborne coal 2016E seaborne Iron ore, coal and grain expected to grow by million tons (0.5%-1%) Source: SSY Bulk Trade Forecaster, Jan 2016, Clarksons 14

15 (million tons) Urbanization - Continued Demand for Iron Ore 1, Chinese Iron Ore Imports P CAGR = 12% P 2016F Million tons Chinese iron ore production and imports and steel production Domestic Production Iron Ore World Seaborne Iron Ore Trade F Million tons F 2016F Change YoY% Total World Trade 1,337 1,367 1, % Of which: Australia % Brazil % Seaborne Imports 2016 Chinese iron ore imports forecast to decrease by 0.5% to 927 million tons Steel Production YoY% 319 YoY% 421 YoY% % % % % % 500 2% % % % ,065 22% 602-2% % ,315 24% % 683 9% ,329 1% 723 9% 717 5% ,424 7% % 779 9% ,497 4% % 823 6% , % % % Source: World Steel Association, National Bureau of Statistics, China/Mysteel, GTIS, MSI Forecasts: Clarksons January 15

16 Chinese & Indian Coal Changing Seaborne Requirements (million tons) CAGR = 20% Chinese + Indian Seaborne Coal P 2016 F CHINESE COAL INDIAN COAL COMBINED IMPORTS Domestic Production Seaborne Imports Domestic Production Seaborne Imports Seaborne Imports MT YoY% MT YoY% MT YoY% MT YoY% MT YoY% ,325 10% 36 53% % 42 8% % ,523 9% 48 34% % 52 25% % ,716 8% 39-18% % 62 18% % ,050 12% % % 89 43% % ,240 6% % % % % ,520 9% % % % % ,660 4% % % % % ,969 8% % % % % ,870-2% % % % % ,685-5% % 2015 F 682 5% 204-6% 2015 F % 2016 Chinese and Indian coal imports forecast to decrease by 8% to 361 million tons Sources: Clarksons, GTIS, EIA, IEA, MSI, Citibank Clarksons 2016 forecasts 16

17 Orderbook for 2016 and Beyond 2016 Jan million actual DWT delivered; 20.0 million DWT projected (57% non-delivery by DWT-provisional) 105 actual deliveries, 233 newbuilds projected (55% non-delivery by # of vessels provisional) 49.3 million actual DWT delivered; 85.1 million DWT projected (42% non-delivery by DWT-provisional) 659 actual deliveries, 1,104 newbuilds projected (40% non-delivery by # of vessels provisional) 48.1 million actual DWT delivered; 75.1 million DWT projected (36% non-delivery by DWT) 609 actual deliveries, 987 newbuilds projected (38% non-delivery by # of vessels) 62.1 million actual DWT delivered; million DWT projected (39% non-delivery by DWT) 780 actual deliveries, 1,272 newbuilds projected (39% non-delivery by # of vessels) Orderbook (by year of delivery) Before non-delivery deliveries = 92.7 million DWT (before non deliveries) 2016 estimated deliveries : Actual nondelivery 35.8mdwt As of Jan 1, million DWT assuming 40% non deliveries 41.7 million DWT annuallizing current 55% non delivery rate Source: Clarksons February YTD Deliveries: 127 actual deliveries / 10.2 actual DWT deliveries 17

18 M DWT Significant Increase in Scrapping 70 Drybulk Scrapping 63.3 million DWT annualized Capesize Other Drybulk % Fleet Scrapped Annualized scrapping in 2016 = 8.1% of fleet (prior record = 6.4% in 1986) Source: Clarksons 18

19 ytd Scrapping Age M DWT Scrap % of Fleet Growing Vessel Scrapping Pool Younger Vessels Being Scrapped Average scrapped vessel age = 23 years vs 32 five years ago Average scrapped cape age = 20 years vs ~ 28 years, 5 years ago Scrapping Pool (15+ Years of Age) ~ 18% of fleet (140 million dwt) = 15+ years old ~ 9% of fleet (70 million dwt) = 20+ year old % % 16% 14% 12% Total Bulkcarrier Capesize Vessels 25+ years old Vessels years old Vessels years old Total Scrapping Potential 10% 8% 6% 4% 2% 0% Source: Clarksons 19

20 M DWT M DWT Net Fleet Growth for 2016 / 2017 Orderbook non deliveries - scrap = net fleet growth Projected deliveries = 92.7 M DWT YTD non-deliveries = 57% Assuming 40% non-deliveries, estimated deliveries = 55.6 M DWT YTD scrapping = 8.6 M DWT Annualized scrapping = 63.3 M DWT Projected deliveries = 24.9 M DWT Assuming 40% non-deliveries, estimated deliveries = 14.9 M DWT (20) (20) 2017 assumed scrapping = 23.3 M DWT (average of last 3 years) Source: Clarksons Net fleet growth = -1% in 2016 and -1% in

21 Fleet Development 2015: 428 vessels removed vs. 659 delivered 2016 YTD: 99 vessels removed vs. 128 delivered Capesize 2015: 95 vessels removed vs. 88 delivered 2016 YTD : 27 vessels removed vs. 21 delivered Panamax 2015: 92 vessels removed vs. 120 delivered 2016 YTD : 34 vessels removed vs. 31 delivered Capesize Net Fleet Growth (# vssls) Capes Cumulative Panamax Net Fleet Growth (# of vssls) Panamax Cumulative Source: Clarksons 21

22 Net Fleet, Age Profile + Historical Scrapping Deliveries 2016 Jan 8.6 million actual DWT delivered; 20.0 million DWT projected (57% non-delivery by DWT-preliminary) million actual DWT delivered; 85.1 million DWT projected (42% non-delivery by DWT-preliminary) million actual DWT delivered; 75.1 million DWT projected (36% non-delivery by DWT) million actual DWT delivered; million DWT projected (38% non-delivery by DWT) million actual DWT delivered; million DWT projected (28% non-delivery by DWT) million actual DWT delivered; million DWT projected (27% non-delivery by DWT) million actual DWT delivered; million DWT projected (36% non-delivery by DWT) million actual DWT delivered; 71.3 million DWT projected (38% non-delivery by DWT) Scrapping million DWT 1.1% of fleet DWT thru 2/19/ million DWT 4.0% of fleet DWT million DWT 2.2% of fleet DWT million DWT 3.4% of fleet DWT million DWT 5.4% of fleet DWT million DWT 4.3% of fleet DWT million DWT 1.4% of fleet DWT million DWT 2.5% of fleet DWT Net Fleet Growth Net fleet growth for 2016 YTD = (1) Source: Clarksons 0.2% to million DWT Net fleet growth for 2015 = 2.4% to million DWT Net fleet growth for 2014 = 4.2% to million DWT Net fleet growth for 2013 = 5.4% to million DWT Net fleet growth for 2012 = 9.6% to million DWT Net fleet growth for 2011 Net fleet growth for 2010 = 13.0% to million DWT = 14.5% to million DWT Net fleet growth for 2009 = 9.2% to million DWT Demolition (1) Year Total Demolition (m dwt) Demolition as % of Fleet % % % % % % % % % % % % % % % % % % 2016 Through 2/19/ % 2016 Annualized % 30.5 million DWT = 428 Vessels Scrapped in million DWT = 99 Vessels Scrapped Since January 1, 2016 Net Fleet Growth 1.7 M DWT = 10.4 Delivered M DWT 8.6 Scrapped M DWT Total Fleet Age Profile # % DWT Total 25 years % 21,224, % Total 20 years + 1, % 68,073, % Total 15 years + 2, % 136,267, % < 15 years 8, % 641,393, % Total Fleet thru 2/17/16 10, ,661,215 % 22

23 NM Q4 & FY 2015 Earnings Highlights Earnings Highlights ($ 000 except per share data) Three months ended December 31, 2015 Three months ended December 31, 2014 P-O-P Variance FY ended December 31, 2015 FY ended December 31, 2014 Y-O-Y Variance Revenue 111, ,825 (25%) 480, ,016 (15%) EBITDA 16,055 52,023 (69%) 112, ,698 (36%) Adjusted EBITDA 33,602 (1) 37,762 (2) (11%) 133,390 (3) 191,402 (4) (30%) Net Loss (60,560) (4,981) (1,116%) (134,112) (56,203) (139%) Adjusted Net Loss (27,850) (1) (19,242) (2) (45%) (104,253) (3) (41,499) (4) (151%) Basic Loss per Share (0.61) (0.09) (578%) (1.42) (0.65) (118%) Adjusted Basic Loss per Share (0.30) (1) (0.22) (2) (36%) (1.14) (3) (0.51) (4) (124%) (1) Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss per Share for the three months ended December 31, 2015 exclude $17.5 million non-cash guarantee loss relating to Navios Partners. Adjusted Net Loss and Adjusted Basic Loss per Share also exclude $15.2 million of accelerated amortization of intangibles. (2) Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Net Loss per Share for the three months ended December 31, 2014 exclude $14.3 million portion of gain from sale of Navios Acquisition's assets. (3) Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Loss per Share for the year ended December 31, 2015 exclude (i) $18.8 million non-cash guarantee loss relating to Navios Partners; and (ii) $1.8 million non-cash loss on available-for-sale securities. Adjusted Net Loss and Adjusted Basic Loss per Share also exclude $9.3 million of accelerated amortization of intangibles. (4) Adjusted EBITDA, Adjusted Net Loss and Adjusted Basic Net Loss per Share for the year ended December 31, 2014 exclude (i) $17.4 million portion of loss on Navios Logistics' bond extinguishment; (ii) $11.5 million non-cash loss on available-for-sale securities; and (iii) $14.3 million portion of gain from sale of Navios Acquisition's assets. Operating Highlights Three months ended December 31, 2015 Three months ended December 31, 2014 FY ended December 31, 2015 FY ended December 31, 2014 Available Days 6,316 5,460 23,787 21,465 Fleet Utilization 99.3% 99.9% 98.6% 99.8% Time Charter Equivalent $8,091 $11,085 $7,846 $11,830 23

24 NM Strong Balance Sheet Selected Balance Sheet Data (in $'000) December 31, 2015 December 31, 2014 Cash & cash equivalents (incl. restricted cash) 176, ,120 Other current assets 126, ,011 Deposits for vessel acquisitions 73,949 45,365 Vessels, port terminal and other fixed assets, net 1,823,961 1,911,143 Total Assets 2,958,813 3,127,697 Current portion of long term debt 16,944 23,283 Other current liabilities 209, ,051 Senior and ship mortgage notes, net 1,350,941 1,347,316 Long term debt, net of current portion 213, ,291 Stockholders Equity (1) 988,960 1,152,963 Book Capitalization (1) 2,570,268 2,765,853 Net Debt / Book Capitalization 54.6% 49.3% (1) Excludes noncontrolling interest 24

25 NMM Ownership Structure & Economic Interest 100% Membership Interest Navios Maritime Holdings Inc. NYSE: NM Common Unitholders Navios GP L.L.C. (General Partner) 18.1% Limited Partner Interest 79.9% Limited Partner Interest 2.0% General Partner Interest Incentive Distribution Rights Navios Maritime Partners L.P. NYSE: NMM 31 vessels 8 Capesize, 12 Panamax, 3 Ultra Handymax, 8 Container vessels $19.9 (1) million Market Value (17.0 million units) $193.9 million received in cash distributions FY (1) As of February 17, 2016 and including GP interest 25

26 NNA Ownership Structure & Economic Interest Navios Maritime Holdings Inc. NYSE: NM Public Shareholders 46.6% Interest Navios Maritime Acquisition Corp. NYSE: NNA 53.5% Interest 100.0% Membership Interest 38 Tankers 26 Product Tankers, 8 VLCCs, 4 Chemical Tankers Navios Maritime Midstream Partners GP LLC (1) (General Partner) 58.85% Limited Partner Interest Common Unitholders 2.0% G. P. Interest & IDRs Navios Maritime Midstream Partners LP 6 VLCCs 39.15% L. P. Interest $146.7 (2) million Market Value (73.0 million shares) $14.6 million annual dividends to NM $53.3 million received in dividends FY (1) Navios Holdings will have a ten-year option to purchase a minimum of 25% of the general partner interest held by the general partner, the incentive distribution rights held by the general partner and/or the membership interests of the general partner from Navios Acquisition at fair market value (2) As of February 17,

27 Navios Logistics Ownership Structure Navios Maritime Holdings Inc. NYSE: NM Peers Business Inc. 63.8% Ownership 36.2% Ownership Navios South American Logistics Inc. (Marshall Islands) Port Terminals Barge Business Cabotage Business Storage and Transshipment Bulk Terminal Nueva Palmira, Uruguay (tax free zone) with 460,000 mt storage capacity Fuel Terminal San Antonio, Paraguay with 45,660 m 3 storage capacity 20-year contract with Vale for port services expected $35 million annual minimum EBITDA 362 (1) barges and pushboats transporting dry and liquid cargoes across the river system Push boats Dry barges Oil barges LPG barges 1 floating dry dock Refined product transportation along the Argentinean coast Six ocean going product tankers, two self-propelled barges and one bunker vessel Strategy to secure cash flows with long term contracts Awarded Brazilian Cabotage contracts for six new building vessels (1) Including three new building push boats to be delivered in Q

28 Navios Logistics Highlights Leading Logistics Provider in the Hidrovia Region of South America Multiple Avenues of Growth Favorable Market Fundamental Scale and Strong Asset Base Provide Operating Efficiency Strong Counterparties Focus on Contracted Cash Flow Seasoned Management Team with Strong Track Record and Established Brand Largest independent dry terminal in Hidrovia One of the largest independent liquid terminals in Paraguay One of the largest, most versatile river barge fleets serving a diverse set of industries One of the largest Argentinean product cabotage fleet with an average age of 7 years New port infrastructure being constructed 20-year contract with Vale for storage and transshipment of mineral commodities Increasing minerals and grain production and fuel demand create need for new convoys Opportunity to expand in Brazilian cabotage Robust growth in exports of grain and mineral commodities Hidrovia system and coastal cabotage are critical infrastructure for region Economies of scale provide low costs per ton transported Integrated terminal, barge and cabotage network offers substantial operating leverage Diverse group of large, high-quality counterparties ADM, Bunge, Cargill, Dreyfus, Vale, Vitol, YPF among others Strategic positioning with fixed rate contracts and CoAs with minimum volume guarantees Long-term relationships with high contract renewal rates Strategic relationships Experienced management team Long operating history in region 28

29 Navios Logistics Q & FY 2015 Earnings Highlights (in $ 000) Three months ended Dec 31, 2015 Three months ended Dec 31, 2014 P-O-P Variance FY ended Dec 31, 2015 FY ended Dec 31, 2014 Y-O-Y Variance Revenue 52,419 74,072 (29%) 251, ,774 (7%) Navios Logistics Adjusted EBITDA 15,942 15,255 4% 80,449 68,771 (1) 17% Net income/(loss) 1,358 1,836 (26%) 22,238 (16,704) n/a Adjusted net income 1,358 1,836 (26%) 22,238 10,577 (1) 110% Port Terminals Barge Business Cabotage Business Revenue 13,497 33,380 (60%) 81,729 99,954 (18%) Adjusted EBITDA 4,548 6,097 (25%) 29,907 28,662 4% Revenue 26,782 28,810 (7%) 105, ,100 (3%) Adjusted EBITDA 10,530 6,833 54% 38,186 21,303 (1) 79% Revenue 12,140 11,882 2% 63,345 59,720 6% Adjusted EBITDA 864 2,325 (63%) 12,356 18,806 (1) (34%) Revenue ($ million) EBITDA ($ million) % CAGR % CAGR (1) (1) EBITDA and Net Income for the year ended December 31, 2014 have been adjusted to exclude $27.3 million loss on bond extinguishment 29

30 Navios Logistics Strong Balance Sheet Selected Balance Sheet Data (in $'000) December 31, 2015 December 31, 2014 Cash & cash equivalents 81,507 71,931 Accounts Receivable 26,097 29,317 Deposits for vessels, port terminals and other fixed assets, net 44,254 23,225 Vessels port terminal and other fixed assets, net 427, ,625 Total Assets 785, ,133 Senior notes, net of deferred financing costs 367, ,250 Current portion of long term debt Long term debt, net of current portion Current portion of capital lease obligations 2,929 1,449 Capital lease obligations, net of current portion 17,720 20,911 Stockholders Equity 336, ,775 Book Capitalization 724, ,844 Net Debt / Book Capitalization 42% 45% $42.0 million undrawn export financing facility to finance the construction of the iron ore port 30

31 Appendix: Current Navios Holdings Fleet

32 Appendix: Core Fleet Owned Fleet: Ultra Handymax Vessels Type Built DWT Charter Rate ($) (1) Expiration Date (2) Profit Share Navios Serenity Handysize ,690 6,650 02/2016 No Navios Ionian Ultra Handymax ,067 6,175 03/2016 No Navios Horizon Ultra Handymax ,346 4,275 04/2016 No Navios Herakles Ultra Handymax ,061 8,930 09/2016 No 3,892 02/ % of weighted average Navios Achilles Ultra Handymax ,063 03/2017 Supramax Index 6TC Routes Navios Vector Ultra Handymax ,296 1,900 03/2016 No Navios Meridian Ultra Handymax ,316 6,888 02/2016 No Navios Mercator Ultra Handymax ,553 5,700 02/2016 No Navios Arc Ultra Handymax ,514 4,044 02/ / % of average Supramax Index 6TC Routes Navios Hios Ultra Handymax ,180 3,895 02/2016 No 02/ % of Pool Earnings 3,857 02/ % of average Supramax Index Navios Kypros Ultra Handymax ,222 6TC Routes 02/ % of Pool Earnings Navios Astra Ultra Handymax ,468 7,125 03/2016 No Navios Ulysses Ultra Handymax ,728 4,087 02/ /2016 Average Supramax Index 6TC Routes Navios Celestial Ultra Handymax ,063 8,075 02/2016 No Navios Vega Ultra Handymax ,792 Total: 15 vessels 785,359 4,979 02/ /2016 Pool Earnings +7% (1) Daily rate net of commissions. (2) Expected redelivery basis midpoint of full redelivery period. 32

33 Appendix: Core Fleet Owned Fleet: Panamax Vessels Type Built DWT Charter Rate ($) (1) Date (2) Expiration Profit Share Navios Magellan Panamax ,333 4,560 06/2016 No Navios Star Panamax ,662 Navios Amitie Panamax ,395 9,986 9,986 12/ / / /2018 Navios Northern Star Panamax ,395 2,850 04/2016 No Navios Taurus Panamax ,596 Navios Asteriks Panamax ,801 2,375 9,986 02/ / / /2018 No Yes (3) No Yes (3) No Average Panamax Index 4TC Routes +4% No Yes (3) N Amalthia Panamax ,318 9,986 12/ /2018 No Yes (3) N Bonanza Panamax ,596 9,986 11/ /2018 No Yes (3) Navios Galileo Panamax ,596 Navios Avior Panamax ,355 Navios Centaurus Panamax ,472 9,986 3,323 11,983 12/ / / / / /2018 No Yes (3) Weighted Average basis Panamax Index Routes +16.5% No 110% of average BPI 4TC Routes less adjustment to be based on index formula Navios Sphera Panamax ,872 Total: 12 vessels 931,391 11,983 01/ /2019 No 123% of average BPI 4TC Routes less adjustment to be based on index formula (1) Daily rate net of commissions. (2) Expected Redelivery basis midpoint of full redelivery period. (3) 100% of average BPI 4TC Routes less $2,488/day. 33

34 Appendix: Core Fleet Owned Fleet: Capesize Vessels Type Built DWT Charter Rate ($) (1) Expiration Date (2) Profit Share Navios Stellar Capesize ,001 10/2017 Yes (3) Navios Happiness Capesize ,022 6,367 02/ /2017 $4,750+50% Weighted Average BCI 5TC Index Routes Navios Bonavis Capesize ,022 13,110 02/2017 No Navios Phoenix Capesize ,242 08/2017 (4) Yes (3) Navios Lumen Capesize ,661 5,083 01/2017 No Navios Antares Capesize ,059 2,900 02/2016 No Navios Etoile Capesize ,234 29,356 12/2020 No Navios Bonheur Capesize ,259 01/2017 Pool Earnings Navios Altamira Capesize ,165 09/2017 Yes (3) Navios Azimuth Capesize ,169 10,450 02/2016 No Navios Ray Capesize ,515 7,991 02/2016 $6, % Weighted Average BCI 5TC Index Routes Navios Gem Capesize ,336 6,681 02/ /2017 Navios Mars Capesize ,259 10/2017 Total: 13 vessels 2,317,944 $7, % Weighted Average BCI 5TC Index Routes $11,455 adjusted for 50% Pool Earnings or Weighted Average BCI 5TC Routes (1) Daily rate net of commissions. (2) Expected Redelivery basis midpoint of full redelivery period. (3) $9,480 adjusted for 50% Pool Earnings or Weighted Average BCI 5TC Index Routes. (4) Subject to COA of $34,013 per day for the remaining period until fourth quarter of

35 Appendix: Core Fleet Long-Term Chartered-In Fleet Vessels Type Built DWT Charter Expiration Purchase Rate ($) (1) Date (2) Option (3) Profit Share Navios Lyra Handysize ,718 1,425 03/2016 Yes (4) No Navios Apollon Ultra Handymax ,073 1,900 03/2016 No No Navios Primavera Ultra Handymax ,464 1,900 03/2016 Yes No Navios Oriana Ultra Handymax ,442 01/2017 Yes 118% Pool Earnings Navios Mercury Ultra Handymax ,393 02/2017 Yes 118% Pool Earnings Navios Venus Ultra Handymax ,339 02/2017 Yes 118% Pool Earnings Navios Libra II Panamax ,136 3,800 02/2016 No No Navios Aldebaran Panamax ,500 3,104 02/2016 Yes Weighted Average Panamax Index 4TC Routes +10% 06/ ,983 01/2017 Yes No Navios Marco Polo Panamax ,647 10/ % of average BPI 4TC Routes less adjustment to be based on index formula Navios Southern Star Panamax ,224 5,700 02/2016 $6, % Weighted Avg Panamax Index 4TC Yes 06/2016 Routes Sea Victory Panamax ,095 9,986 11/2016 Yes No 11/ % of average BPI 4TC Routes less $2,488/ day Navios Sky Panamax ,056 Navios Amber Panamax ,994 3,593 11,983 11,983 02/ / / / / /2019 Yes Weighted Average Panamax Index 4TC Routes +18% Weighted Average Panamax Index 4TC Routes +18% No 115% of average BPI 4TC Routes less adjustment to be based on index formula Yes No 120% of average BPI 4TC Routes less adjustment to be based on index formula Navios Koyo Capesize ,415 6,403 02/2016 $5, % Weighted Average BCI 5TC Index Routes Yes 01/2017 Dream Coral Capesize ,249 12,350 11/2017 Yes No Dream Canary Capesize ,528 10,450 11/2016 Yes No Total: 16 vessels 1,417,273 Note: Average contracted daily charter-in rate of core fleet for 2016 is $14,067. (1) Daily rate net of commissions. (2) Expected Redelivery basis midpoint of full redelivery period. (3) Generally, Navios Holdings may exercise its purchase option after three to five years of service. (4) Navios Holdings holds the initial 50% purchase option on the vessel. 35

36 Appendix Core Fleet Vessels to be Delivered Vessels Type Delivery Date DWT Purchase Option Navios Felix Capesize 05/ ,000 Yes Long-term Chartered-in Vessels Navios TBN Panamax 12/ ,000 Yes Navios TBN Panamax 02/ ,000 Yes Navios Coral Panamax 06/ ,000 Yes Total: 4 vessels 426,000 Kleimar Controlled Fleet Vessels Type DWT Built Expiration Purchase Option Beaufiks Capesize 180, /2017 Yes King Ore Capesize 176, /2020 No Navios Obeliks Capesize 181, /2022 Yes Total: 3 vessels 538,525 36

37 Containership Sector Clarkson Research