Thank you for standing by, ladies and gentlemen, and welcome to the Hyde Mark Conference call on the second quarter of 2026 financial results. We have with us Mr. Pankaj Khanna, Chief Executive Officer of the company. At this time, all participants are in a listen-only mode. There will be a presentation followed by a question-and-answer session, at which time, if you wish to ask a question, please press star 1 on your telephone keypad and wait for your name to be announced. I must advise you that this conference is being recorded today. Please be reminded that the company announced their results with a press release that has been publicly distributed. Before passing the floor to Mr. Khanna, I would like to remind everyone that in today's conference call, Hydemar will be making forward-looking statements. These statements are within the meaning of the federal securities laws, Good day to everyone and welcome to the second quarter earnings call for Hyde Mar Maritime.

Aismar delivered a strong second quarter of 2026, marked by continued financial progress, accelerating fleet growth, and a sharpened strategic focus on value creation for our stakeholders. Today's results are further proof of what our asset-light, commercially-driven model can deliver. The ability to scale quickly in markets that reward agility and sharp market intelligence over sheer size. At its core, Hydemar is a commercial manager and we earn fee-based revenue operating tankers in pools or under commercial management and manage vessels on owner's behalf without putting capital into the ships themselves. That means our earnings grow with volume and market strength, not with balance sheet size. So we have the ability to add vessels quickly Move fast when markets dislocate and put capital back into growths or shareholders' hands rather than into debt service. Turning to the results. For the three-month period ended June 30, 2026, Hydemar realized consolidated net income of $2.2 million or $0.04 per share basic compared to net loss of $13.7 million in the second quarter of 2025. The second quarter of the 2025 comparison included a $13.6 million loss from discontinued operations. On a continuing operations basis, Hygma recorded a net loss of $0.1 million in that quarter. So the year-on-year improvement in our core ongoing business is even more pronounced than the headline comparison suggests. Included in net income, is non-cash stock-based compensation of $0.2 million representing the amortization of share aborts granted to key employees and members of the Board of Directors under the Hyde-Mar Equity Incentive Plan. Excluding these non-cash items, Hyde-Mar relies adjusted net income of $2.4 million compared to adjusted net income of $0.5 million in the second quarter of 2025. Gerasimos Ventouris, Pankaj Khanna An increase of $19.4 million, or approximately 203% year-on-year, and an increase of $10.6 million, or approximately 58% quarter-on-quarter. This growth was driven primarily by a sharp increase in voyage and time charter revenues. Kalliopi Michalopoulou, Andreas Konialidis, General and administrative expenses were $5.6 million in the second quarter of 2026 compared to $4.7 million in the second quarter of 2025. The year-on-year increase was mainly attributable to higher cash bonuses paid to our employees, which totaled $1.8 million in the second quarter of 2026 compared to $1.4 million in the second quarter of 2025. Thank you for joining us. Heidemar generated total revenues of $47.3 million and net income attributable to shareholders of $5 million or $5.8 million on an adjusted basis, excluding non-cash stock-based compensation of $0.8 million. Underscoring the consistency of the platform's earnings power across both quarters of the year. Turning to the balance sheet, as of June 30, 2026, Cash and cash equivalents stood at $28.7 million and total assets were $9.6 million. Turning to the market, the tanker market remained highly volatile during the quarter, shaped primarily by escalating geopolitical tensions in the Middle East and in Europe, where the Ukraine-Russia war has escalated into a targeting of energy assets and shipping in general. The extreme dislocation of March-April eased some work following the signing of the peace MOU by the U.S. and Iran in June, however not for long. Continued disruption in the Straits of Hormuz and the Bab al-Mandab kept two key chokepoints under pressure. Supporting rates even as a prolonged Hormuz closure remains a downside risk to oil demand. Combined transits through both chokepoints recovered only modestly Gerasimos Ventouris, Pankaj Khanna Gerasimos Ventouris, Pankaj Khanna also attacks on Russian crude off-take terminals has also impacted crude exports, although most of this is not carried on mainstream tankers. Global seabourn crude volumes contracted during the quarter, however, the combination of sourcing crude from alternative long-haul sources and tenant scarcity kept freight rates elevated across most crude tanker segments. Oil prices did not escalate to over $100 per barrel that many projected, as non-OPEC supply grew approximately 1 million pounds per day year-on-year, mostly from the Americas, and commercial and strategic inventories were drawn down across the board. However, now stocks in certain countries are at critically low levels, some at two-decade lows. During the third quarter to date, the resumption of facilities in the Middle East has reduced the flow of oil through the Straits of Hormuz to a trickle. A new shuttle tanker trade has developed whereby owners willing to take risks are carrying crude oil at astronomical rates from the terminals inside the Arabian Gulf to just outside the Straits, to be discharged in ship-to-ship operations to other vessels. Kalliopi Michalopoulou, Andreas Konialidis, Deepak Laishram, Gerasimos Ventouris, Pankaj Khanna Kalliopi Michalopoulou, Andreas Konialidis, Deepak Laishram, Gerasimos Ventouris, Pankaj Khanna VOCCs are now lifting oil from Sidi Karir and taking it to Asia via the Cape of Good Hope, which is 15,000 miles voyage to China, versus only 6,700 miles via the Gulf of Aden. Notably, Suez Maxes have on average outperformed VOCCs during the period, and Afro-Maxes are also trading at historical highs, reinforcing our view that in periods of geopolitical disruption, Kalliopi Michalopoulou, Andreas Konialidis, Deepak Laishram, Gerasimos Ventouris, and it continues to define our trajectory heading into the second half of the year. We added seven vessels across key tanker segments during the second quarter, building on the eight vessels taken in the first quarter. Taken together, that is 15 vessels added to the platform in the first half of 2026 alone, with our pipeline remaining active and further additions expected through the remainder of this year and into next. We are also pleased to regain compliance with the NASDAQ Continued Listing Rule on June 2, 2026, following 10 consecutive business days with our closing bid price at or above $1 per share, resolving the deficiency notice we received on April 22, 2026. Our scaling efforts have only accelerated since the quarter ended. On July 1, 2026, We completed the acquisition of Q-Shipping BV, a Netherlands-based ship management and crewing enterprise for approximately €0.2 million, funded from existing cash reserves with no regulatory approvals or post-closing conditions required. The transaction added nine vessels to our managed fleet. Gerasimos Ventouris, Pankaj Khanna Gerasimos Ventouris, Pankaj Khanna Delivering overnight operational presence with minimal capital and immediate upside. And we only expect to be immediately accretive to management fee revenue. Put together with our first half fleet, we have added 24 vessels to the Hydemar platform in under two quarters, evidence that our asset-light model lets us scale the business without a proportional increase in overhead. The Q shipping integration is already showing results, with the takeover of three additional vessels expected during the third quarter of 2026. Our global footprint now spans eight locations, supported by a team of more than 75 onshore employees and over 500 seafarers. Alongside this growth, we continue to invest in enhancing our commercial and operational platforms through the use of artificial intelligence and further strengthening the efficiency and scalability of our asset-light model. These upcoming AI-driven enhancements will bring together data and workflows across chartering, operations and finance into a more unified operational view, automating recurring, time-consuming tasks that have traditionally required manual handling and giving teams faster, clearer visibility into performance across the fleet. As these capabilities come online, AI is set to become a core part of how Hyde Mar operates, allowing us to enhance performance and extract more value from every vessel we manage as we leverage every relationship we hold. The fundamental difference between Hyde Mar and traditional shipping companies is this. We don't own ships. Thank you for joining us. The first digital transparency tool built for shipping gives owners real-time visibility into their vessel's earnings and performance that no pure asset owner can match at scale. Deep market knowledge, a trusted owner network, and proprietary technology, together, that's what makes Heidemar structurally different. Scale is Heidemar's flywheel. Thank you for watching. and Shoe Services give us multiple ways to add value across an owner's asset lifecycle. The bigger we get, the harder we are to copy, and the wider our moat grows. Looking ahead, we remain constructive on the tanker market outlook. Near-term volatility tied to the state of hormones and the wider Gulf region may continue. and our ability to deliver sustainable returns for our stakeholders as we build one of the leading maritime services platforms in the global shipping industry. I thank our stakeholders, employees, vessel owners and charter partners for their continued trust and we look forward to updating you on our progress. We will now take questions.

Thank you. If you'd like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 if you'd like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. Our first question comes from the line of Liam Burke with B. Riley Securities. Please proceed with your question.

Thank you. Hi, Pankaj. How are you doing today?

I'm good, Liam. How are you?

Fine, thank you. There's been a lot of talk about the straight hormones, and we all know what that's doing for rates. But has that crisis in the Mideast helped you acquire or add more vessels to your managed fleet?

I would say not at this time. Rates are just elevated. People are trying to do their own thing. But where we are seeing additions are also from the fact that many owners have ordered new buildings and the new buildings are starting to deliver and they do not have the expertise to handle those new buildings. So people are coming to us to take that over. So we are helping some Chinese owners who are taking over new builds to find time charters or to trade spot for one of the owners who we have a long-standing relationship with. We've just fixed the first voyage on a short two-month TC to a leading trading house. So we are seeing additions on commercial management from new buildings coming to us. but not necessarily from what's happening in the Middle East.

Great. Thank you. And then we're looking at your new acquisition, Deque Shipping. You're starting to pay dividends. You added three vessels to the fleet. Are those tankers?

Yeah, it's one small tanker and two handy-sized bulk carriers.

Great. And two handy-sized bulkers?

Gerasimos Ventouris, Deepak Laishram, Gerasimos Ventouris Gerasimos Ventouris, Deepak Laishram, Gerasimos Ventouris, Pankaj Khanna Thank you, Pankaj. Thank you.

Thank you. Our next question comes from the line of Tate Sullivan with Maxim Group. Please proceed with your question.

All right. Thank you, Pankaj. I appreciate your comments. And I think in previous, can you give more background on how your shipping services business benefits from higher tanker rates to earn a percent fee when you lock in those higher rates for clients or does it vary based on the structure of the agreements?

Look, I mean, as you know, the fee-based business is based on a percentage of gross freight. So with rates being as high as they are, people focus on headline rates. You know, what rates are published by the Baltic, for example, AG East of 500, 600, 700,000 are the exception. They're done by one or two or three ships. It's not the norm. Gerasimos Ventouris, Pankaj Khanna That really drives revenue growth for us. So the more the ships we add, with the rates being where they are, and expected in Q4 and Q1 to go even higher, we should be able to get even higher revenues from there.

Is the contracting business a meaningful portion of the total shipping services business in terms of getting that fee on the higher rates?

Yes, it is, but it varies quarter to quarter. So there is the core business of the commercial management that drives the fee-based business, and then the so-called, let's say, the proprietary book. That varies from quarter to quarter. I mean, you know, like a year ago, we didn't have much of it because the rates were elevated. There were no opportunities to time charter it. and then we went in and took some ships and we were able to capitalize on the market. So we are constantly looking for ships to increase the book where we see a margin. Right now, for example, three-year rate on an MR would be about 23, 23 and a half, whereas the one-year rate is about 30. So if we can lock in those kind of numbers where we can go long with the three years and lock in the first year at 30, That's of interest to us. But that's more on the long-term basis. On the short-term, it's very opportunistic. We have a captive cargo that looks good and then we find a ship that matches with it and we are able to make a margin offer to it.

Kalliopi Michalopoulou, Andreas Konialidis, Deepak Laishram, Gerasimos Ventouris, Pankaj Khanna Kalliopi Michalopoulou, Andreas Konialidis, Deepak Laishram, Gerasimos Ventouris, Pankaj Khanna

Gerasimos Ventouris, Pankaj Khanna Gerasimos Ventouris, Pankaj Khanna Gerasimos Ventouris, Deepak Laishram, Gerasimos Ventouris, are excluded from the mainstream trades. So I think the age of the fleet plus the sanctioned fleet, which is substantial, it's 15 to 20% of the fleet is sanctioned. If you look at the long-term trades, you have to look at that aspect of the fleet besides what happens with oil demand. But also the other thing we're looking at is the distances that ships are traveling. Because of The need for diversifying sources of oil imports. I mean, I've spoken about this before. Japan was importing 90% of their crude oil from the Middle East. Now they're trying desperately to diversify. And so that means longer haul imports. A lot of oil is coming from Guyana, Brazil, U.S. Gulf. So that means ton mile demand is increasing, not only for crude but also for products.

Thank you very much.

Thank you.

Thank you. Ladies and gentlemen, as a reminder, it's Star 1 to join the question queue. We pause just a moment to offer any other questions.

Okay, Melissa, if there are no further questions, we can end the call, please.

Sir, did you have any final comments to make?

No, thank you very much for listening in, everyone, and I will speak to you in the next quarter.

Thank you. This concludes today's conference call. You may disconnect your lines at this time. Thank you for your patience.