Good day, and welcome to the Pyxis Tankers conference call to discuss the Financial Results for the First Quarter 2023. As a reminder, today's call is being recorded. Additionally, a live webcast of today's conference call and an accompanying presentation is available on Pyxis Tankers website, which is www.pyxistankers.com. Hosting the call is Mr. Eddie Valentis, Chairman and Chief Executive Officer of Pyxis Tankers; and Mr. Henry Williams, Chief Financial Officer of the company. I would like to pass the floor over to one of your speakers today, Mr. Eddie Valentis. Please go ahead, sir.

Good afternoon, everyone, and thank you for joining our call to review the results of the three months ended March 31, 2023. The recent announcement by OPEC+ to cut its members' crude oil production by 1.65 million barrels, starting this month has now joined the Russian invasion of Ukraine as the focal points affecting global energy markets. Many countries within the OECD continue to show resilience as they battle high inflation, tighter monetary policies and the slowing economic activity. In spite of this, the product tanker sector continues to be positively affected with healthy chartering activities and high asset values. At Pyxis, we continue to successfully manage through these uncertain times and are pleased to report good operating and financial results for the most recent period. Before starting, please let me draw your attention to some important legal notifications on Slide 2 that we recommend you read, including our presentation today, which will include forward-looking statements. Thank you. Turning to Slide 3, our most recent quarterly results reflected solid financial performance in operating revenue and stability, combined with a substantial gain from vessel sales. In the first quarter ended March 31, we generated consolidated time charter equivalent revenues, TCE of $9.2 million, an increase of 139% over the same period in 2022. Initially, spot charter rates were soft in the Atlantic Basin during the first quarter but subsequently rebounded as the period progressed. We completed the sale of our oldest tanker, the Pyxis Malou in late March for $24.8 million to realize a noncash gain on sale of $8 million and almost $19 million in net cash proceeds. In Q1 '23, our daily TCE for our MRs was $23,508, more than double the results in the same period last year. Most importantly, we reported net income to common shareholders of…

Thanks, Eddie. On Slide 12, let's review our unaudited results for the three months ended March 31, 2023. Our time charter equivalent revenues for Q1 of '23, which we define as revenues net minus voyage-related costs and commissions improved to $9.2 million, an increase of almost $5.4 million from the same period in 2022, primarily due to higher charter rates. In March, we completed the sale of our oldest tanker. So by the end of the 2023 period, we operated 4 MRs. In the most recent quarter, utilization picked up significantly. But importantly, TCE rate for our MRs was $23,508 per day, a dramatic increase from the comparable 2022 period. Moving to Slide 13, we generated net income to common shareholders of $8.7 million for the three months ended March 31, 2023, or $0.81 basic and $0.71 diluted EPS compared to a net loss of $3.7 million or $0.34 basic and diluted loss per share in the same period in 2022. For accounting purposes, the fully diluted earnings calculation in 2023 assumes the potential conversion of all outstanding Series A convertible preferred stock into common shares and the elimination of the associate dividend. In Q1 '23, a substantial portion of the increase in TCE revenues dropped to the bottom line. Adjusted EBITDA rose $4.2 million, an improvement of $4.9 million from Q1 of last year. Please turn to Slide 14, which reveals our recent MR fleet data as we operated one eco-modified vessel, the Malou and 4 eco efficient tankers. Given the size of our fleet, changes in these metrics related to a single vessel in one reporting period can have disproportionate effects on the total fleet operating results. For example, during March 23, we sold the 2009-built eco-modified tanker and commenced the special survey of the Pyxis Karteria. Overall, the key takeaways for Q1 of '23 was higher charter revenues for the eco-efficient MRs more than offset rising vessel operating expenses, but inflation continues to be a concern. Now flip to Slide 15 to review our capitalization at March 31, 2023. At quarter end, our consolidated leverage ratio of net funded debt stood at approximately 23% of total capitalization with book value per fully diluted common share of $5.56. Due to increases in LIBOR, SOFR, our weighted average interest rate was 8.15% for the most recent quarter and the next bank loan maturity is July of 2025. For the remainder of this year, we have one special survey, which is scheduled for late summer at an estimated total cost of approximately $1.25 million, including BWTS installation. I should point out that our total cash position at March 31 of $30.5 million should only increase in the current quarter due to free cash flow generated from operations. With that, I would like to turn the call back over to Eddie to conclude our presentation.

Thanks, Henry. As we discussed over the near term, fundamental demand looks to be relatively in balance with supply. Despite recent macroeconomic headwinds and geopolitical conflicts, the combination of solid end market consumption, relatively low product inventories in many parts of the world, changing trade patterns and expanding ton-miles continue to support a healthy chartering environment. Scheduled additions to the global refinery landscape only enhance the long-term outlook of the sector. Given various uncertainties and growing complexity, we will continue our mixed chartering strategy of time charters complemented by spot deployment in order to prudently optimize revenues and provide cash flow visibility. Our sizable and growing cash position and low leverage, strengthen our operating and financial flexibility as well as broadened corporate and strategic opportunities for us to further increase shareholder value. We appreciate your interest and thank you for joining our call today. We look forward to reporting on future progress at Pyxis Tankers. Be safe, be well.

This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.