# Pangaea strengthens earnings as Arctic shipping and dry bulk markets support growth

- **Source:** https://pelavox.com/pangaea-q3-2026-dry-bulk-arctic-earnings/
- **Publisher:** pelavox. (The voice of shipping)
- **Author:** Jason Nicholson
- **Published:** 2026-11-07T18:00:00+00:00
- **Updated:** 2026-11-06T12:28:30+00:00
- **Section:** Business / Company Results
- **Type:** News
- **Topics:** Arctic Shipping, Dry Bulk Shipping, Freight Earnings, Ice-Class Vessels, Pangaea Logistics Solutions, Tampa Bay

Pangaea Logistics Solutions reported a significant improvement in third-quarter 2026 earnings, supported by stronger dry bulk freight markets, seasonal Arctic shipping activity and increased contributions from its port and terminal operations. The company’s specialised ice-class fleet played a central role in its performance, alongside higher utilisation across its broader shipping platform.

Net income attributable to Pangaea increased to US$38.3 million for the three months ended September 30, compared with US$12.2 million in the corresponding period of 2025. Total revenue rose to US$219.1 million from US$168.7 million, while adjusted EBITDA increased 81.3% to US$52.4 million, compared with US$28.9 million a year earlier.

Average daily time charter equivalent (TCE) earnings reached US$20,414, an increase of 31% from US$15,559 in the third quarter of 2025. The company reported that its average TCE exceeded the combined benchmark average of the Baltic Panamax, Supramax and Handysize indices by 13%, reflecting the contribution of its specialised fleet, long-term contracts of affreightment and cargo-focused commercial strategy.

Total shipping days increased 8% year on year to 6,339 days, including voyage and time charter activity. The improvement coincided with the strongest seasonal period for Pangaea’s ice-class vessels, which operate on Arctic routes, while firmer conditions across the wider dry bulk market provided additional support.

## Arctic operations and logistics expansion

Mads Boye Petersen, President and Chief Executive Officer of Pangaea Logistics Solutions, said the combination of seasonal Arctic activity and stronger dry bulk markets had contributed to the company’s earnings performance.

“The third quarter represents our strongest period for Arctic ice-class activity, and this year that seasonal strength was reinforced by a strengthening dry bulk market,” said Mads Boye Petersen, President and Chief Executive Officer of Pangaea Logistics Solutions.

Petersen added that the company’s specialised fleet and wider commercial operations had contributed to record quarterly adjusted EBITDA and adjusted net income. The results reflected the operating leverage of Pangaea’s business model, which combines vessel ownership, chartering and cargo transportation with logistics services.

The company operated an owned fleet of 38 dry bulk vessels during the quarter, supplemented by an average of 31 chartered-in ships to fulfil cargo transportation and contractual commitments. Its fleet strategy remains focused on maintaining high utilisation, upgrading vessel quality and selectively disposing of older, non-core assets.

Beyond shipping, Pangaea reported further growth in its port and terminal operations. Terminal and stevedoring revenue increased 73% year on year to US$7.1 million, while dry bulk cargo volumes discharged across its network rose 65%.

The quarter also marked the company’s first full reporting period of terminal operations at Tampa Bay, Florida. The expansion of these activities forms part of Pangaea’s strategy to provide integrated services covering cargo transportation, handling and terminal operations.

## Cash generation and market outlook

Pangaea generated US$57.2 million in operating cash flow during the third quarter, strengthening its financial position. At September 30, the company held US$144.9 million in unrestricted cash and cash equivalents, while total debt, including finance lease obligations, stood at US$340.9 million.

Its net debt-to-adjusted EBITDA ratio, measured over the trailing 12 months, was 1.4 times. Following the end of the quarter, Pangaea refinanced US$134 million of debt at a lower financing margin, as part of its efforts to reduce borrowing costs and simplify its capital structure.

The company also declared a quarterly cash dividend of US$0.10 per common share, payable on December 15, 2026, to shareholders of record as of December 1.

For the first nine months of 2026, Pangaea recorded net income attributable to the company of US$61.8 million, compared with US$7.5 million a year earlier. Revenue increased to US$576.8 million from US$448.2 million, while adjusted EBITDA rose to US$112.6 million from US$59.3 million.

Looking ahead, Pangaea reported that it had executed 5,040 shipping days during the fourth quarter to date at an average TCE of US$21,423 per day. The company indicated that late-season Arctic voyages continued to contribute during October, while management remained positive about demand for minor bulk commodities and industrial cargoes.

The results illustrate how Pangaea’s specialised shipping operations and expanding landside logistics activities contributed to earnings growth during a stronger dry bulk market. Future performance will remain sensitive to freight market conditions, seasonal Arctic activity and the utilisation of its owned and chartered fleet.

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Cite as: "Pangaea strengthens earnings as Arctic shipping and dry bulk markets support growth", pelavox., 7 November 2026, https://pelavox.com/pangaea-q3-2026-dry-bulk-arctic-earnings/