Milestone 100th vessel, continued fleet growth, new strategic partners, and strong core results define the quarter
St. Catharines, Ontario November 4, 2025 – Algoma Central Corporation (TSX: ALC) (“Algoma”, the “Company”) today reported its results for the three and nine months ended September 30, 2025. Algoma reported third quarter revenues of $228,035, compared to revenues of $204,644 in 2024. EBITDA was $89,739 in the third quarter compared to $75,696 in 2024. All amounts reported below are in thousands of Canadian dollars, except for per share data and where the context dictates otherwise.
“This quarter marked a milestone for Algoma with the delivery of the Algoma Legacy, the first of three next-generation, methanol-ready self-unloading vessels,” said Gregg Ruhl, President and CEO of Algoma Central Corporation. “The Algoma Legacy underscores our commitment to sustainability and operational excellence and is a symbolic marker as our 100th vessel in our expanding global fleet. We also approved investments in two newbuild 9,500-deadweight mini-bulkers in our global short sea joint venture, NASC, with delivery expected in late 2027. With 100 vessels plus ten now under construction, we are growing our fleet and shaping the next chapter of Algoma’s legacy,” continued Mr. Ruhl.
Financial Highlights: Third Quarter 2025 Compared to Third Quarter 2024
- Domestic Dry-Bulk segment revenue increased to $131,453 compared to $119,522 in 2024, reflecting improvement in volumes, freight rates and revenue days from one additional vessel. Operating earnings for the segment increased 17% to $38,552 compared to $32,879 in 2024.
- Revenue for Product Tankers increased to $49,691 compared to $38,706 in 2024, primarily due to a larger fleet size and higher freight rates. Operating earnings were $7,154 compared to $3,198 in 2024.
- Revenue in the Ocean Self-Unloaders segment increased slightly to $46,277 compared to $45,803 in 2024. This increase was primarily due to an increase in revenue days driven by fewer dry-docking off-hire days when compared to the prior year. Operating earnings decreased 24% to $8,747 from $11,558 in 2024.
- Joint venture equity earnings decreased slightly quarter-over-quarter, with earnings of $6,551 in 2025 compared to $6,856 for the prior year period. Decreased earnings in the cement and mini-bulker fleets were driven by a reduction in available revenue days due to increased dry-dockings across both fleets, while the mini-bulker fleet was impacted by softer market conditions compared to the previous period. The increase in earnings from the product tanker fleet reflects the growth in the fleet size from two vessels in the prior year to eight in the current quarter.
“All our business segments continue to perform well despite market uncertainties,” said Christopher Lazarz, Chief Financial Officer. “In Domestic Dry-Bulk, higher volumes in salt, iron ore, and agricultural products offset lower shipments of construction materials. The replenishment of de-icing salt across the Great Lakes marked a shift from the previous quarter, while ongoing trade uncertainties continued to weigh on aggregate demand. Although iron ore volumes were higher this quarter, we expect them to decline going forward as the effects of U.S. steel tariffs begin to materialize. In Product Tankers, performance remained strong, supported by a larger fleet and fewer non-productive days. Ocean Self-Unloaders also delivered steady results, with increased aggregate volumes and spot cargoes partially offset by lower gypsum and coal shipments,” concluded Mr. Lazarz.
Consolidated Statement of Earnings
| Three Months Ended | Nine Months Ended | |||
| For the periods ended September 30 | 2025 | 2024 | 2025 | 2024 |
| Revenue | $ 228,035 | $ 204,644 | $ 546,951 | $ 494,826 |
| Operating expenses | (146,410) | (133,657) | (403,876) | (379,395) |
| Selling, general and administrative expenses | (9,081) | (9,609) | (32,254) | (31,432) |
| Depreciation and amortization | (21,784) | (18,206) | (60,571) | (53,456) |
| Operating earnings (loss) | 50,760 | 43,172 | 50,250 | 30,543 |
| Interest expense | (7,656) |
(5,291) | (18,944) | (15,177) |
| Interest income | 276 | 297 | 521 | 1,786 |
| Gain on sale of assets | – | 983 | – | 1,404 |
| Foreign exchange gain (loss) | (1,967) | 317 | 1,349 | 149 |
| 41,413 | 39,478 | (33,176) | (18,705) | |
| Income tax recovery (expense) | (8,527) | (6,420) | (2,897) | 3,987 |
| Net earnings from investments in joint ventures | 6,551 | 6,856 | 18,761 | 17,433 |
| Net earnings | $ 39,437 | $ 39,914 | $ 49,040 | $ 40,125 |
| Earnings per share | $ 0.97 | $ 0.98 | $ 1.21 | $ 1.01 |
EBITDA
The Company uses EBITDA as a measure of the cash generating capacity of its businesses. The following table provides a reconciliation of net earnings in accordance with GAAP to the non-GAAP EBITDA measure for the three and nine months ended September 30, 2025 and 2024 and presented herein:
| Three Months Ended | Nine Months Ended | |||
| For the periods ended September 30 | 2025 | 2024 | 2025 | 2024 |
| Net earnings | $ 39,437 | $ 39,941 | $ 49,040 | $ 40,125 |
| Depreciation and amortization | 29,975 | 23,796 | 83,760 | 68,942 |
| Net interest and tax recoveries | 18,750 | 13,340 | 29,691 | 15,857 |
| Foreign exchange loss (gain) | 1,577 | (446) | (2,509) | 36 |
| Net gain on sale of assets | — | (908) | (41) | (2,127) |
| EBITDA(1) | $ 89,739 | $ 75,696 | $ 159,941 | $ 122,833 |
Select Financial Performance by Business Segment
| Three Months Ended | Nine Months Ended | |||
| For the periods ended September 30 | 2025 | 2024 | 2025 | 2024 |
| Domestic Dry-Bulk | ||||
| Revenue | $ 131,453 | $ 119,522 | $ 285,611 | $ 254,527 |
| Operating earnings (loss) | 38,552 | 32,879 | 28,034 | 13,188 |
| Product Tankers | ||||
| Revenue | 49,691 | 38,706 | 125,155 | 106,352 |
| Operating earnings (loss) | 7,154 | 3,198 | 11,295 | 5,571 |
| Ocean Self-Unloaders | ||||
| Revenue | 46,277 | 45,803 | 134,322 | 131,821 |
| Operating earnings | 8,747 | 11,558 | 25,667 | 26,275 |
| Corporate | ||||
| Revenue | 614 | 613 | 1,863 | 2,126 |
| Operating loss | (3,693) | (4,463) | (14,746) | (14,491) |
The MD&A for the three and nine months ended September 30, 2025 and 2024 includes further details. Full results for the three and nine months ended September 30, 2025 and 2024 can be found on the Company’s website at www.algonet.com/investor-relations and on SEDAR at www.sedarplus.ca.
Sale of Controlling Interest in NovaAlgoma Cement Carriers Limited Wholly-Owned Vessels
Subsequent to the quarter end, NovaAlgoma Cement Carriers Limited (“NACC”) completed the sale of a controlling stake in its wholly-owned vessels to P&O Maritime Logistics, a subsidiary of DP World. The resulting gain on the sale will be recorded in the fourth quarter and the proceeds from the sale will be used to repay a significant portion of Algoma’s short-term borrowings. “This strategic move strengthens partnerships and positions us for continued growth in new markets while still maintaining a substantial ownership in the world’s leading pneumatic cement carrier fleet”, said Gregg Ruhl.
Business Outlook(2)
In the Domestic Dry-Bulk segment, additional spot demand from the construction and export iron ore sectors, combined with steady salt volumes, are anticipated to keep fleet utilization relatively strong through the remainder of the year. A decline in domestic iron ore volumes is expected to be offset by strong grain demand from a record crop in Western Canada.
In the Product Tanker segment, customer demand is anticipated to remain steady throughout the reminder of the year and fuel distribution patterns should support strong utilization for the vessels trading under Canadian flag. We expect all ten Canadian vessels to remain in full employment for the balance of the year.
In the Ocean Self-Unloader segment, vessel supply at the Pool level may be tight for the remainder of the year. Two additional vessels in the Algoma fleet are scheduled for dry-docking over the remainder of 2025, which will have a significant impact on available days. The Algoma Legacy, currently in its delivery voyage, will join the pool in the fourth quarter and represents the 100th vessel in Algoma’s global fleet.
Within our global joint ventures, we anticipate steady earnings from the cement fleet with most assets committed to long-term time charter contracts, while the handy-size and mini-bulker fleets are expected to experience slightly lower daily rates. Following the sale of NACC’s 51% interest in its wholly-owned vessels to DP World, Algoma’s future results will show a reduction in earnings from the cement segment. We are optimistic the FureBear fleet will realize a steady rate environment for the tankers through the remainder of the year.
Global tariffs could increase operating costs and reduce trade volumes, potentially leading to shifts in global supply chain routes. While Algoma is closely monitoring the situation, we do not anticipate major changes in cargo volumes at this time; however, we are expecting continued higher costs across our supply chains, and are exploring ways to mitigate potential impacts.
Normal Course Issuer Bid
Effective March 21, 2025, the Company renewed its normal course issuer bid (the “2025 NCIB”) to purchase up to 2,028,391 of its common shares (“Shares”), representing approximately 5% of the 40,567,816 Shares issued and outstanding as of the close of business on March 7, 2025. Under the 2025 NCIB, no Shares were purchased and cancelled for the period ended September 30, 2025.
Cash Dividends
The Company’s Board of Directors authorized payment of a quarterly dividend to shareholders of $0.20 per common share. The dividend will be paid on December 1, 2025 to shareholders of record on November 17, 2025.
Notes
(1) Use of Non-GAAP Measures
The Company uses several financial measures to assess its performance including earnings before interest, income taxes, depreciation, and amortization (EBITDA), free cash flow, return on equity, and adjusted performance measures. Some of these measures are not calculated in accordance with Generally Accepted Accounting Principles (GAAP), which are based on International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB), are not defined by GAAP, and do not have standardized meanings that would ensure consistency and comparability among companies using these measures. From Management’s perspective, these non-GAAP measures are useful measures of performance as they provide readers with a better understanding of how management assesses performance. Further information on Non-GAAP measures please refer to page 2 in the Company’s Management’s Discussion and Analysis for the three and nine months ended September 30, 2025 and 2024.
(2) Forward Looking Statements
Algoma Central Corporation’s public communications often include written or oral forward-looking statements. Statements of this type are included in this document and may be included in other filings with Canadian securities regulators or in other communications. All such statements are made pursuant to the safe harbour provisions of any applicable Canadian securities legislation. Forward-looking statements may involve, but are not limited to, comments with respect to our objectives and priorities for 2025 and beyond, our strategies or future actions, our targets, expectations for our financial condition or share price and the results of or outlook for our operations or for the Canadian, U.S. and global economies. The words “may”, “will”, “would”, “should”, “could”, “expects”, “plans”, “intends”, “trends”, “indications”, “anticipates”, “believes”, “estimates”, “predicts”, “likely” or “potential” or the negative or other variations of these words or other comparable words or phrases, are intended to identify forward-looking statements.
By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties. There is significant risk that predictions, forecasts, conclusions or projections will not prove to be accurate, that our assumptions may not be correct and that actual results may differ materially from such predictions, forecasts, conclusions or projections. We caution readers of this document not to place undue reliance on our forward-looking statements as a number of factors could cause actual future results, conditions, actions or events to differ materially from the targets, expectations, estimates or intentions expressed in the forward-looking statements.
Algoma Central Corporation is a global provider of marine transportation, owning and operating dry and liquid bulk carriers that serve critical industries throughout the Great Lakes-St. Lawrence Region and internationally. Focused on delivering exceptional customer service, utilizing fuel efficient vessels, and advancing innovative technologies, Algoma drives productivity while contributing to economic growth, strengthening communities, and supporting its people. Algoma truly is Your Marine Carrier of Choice™. Learn more at algonet.com.
Contacts:
| Gregg A. Ruhl | Christopher A.L. Lazarz |
| President & CEO | Chief Financial Officer |
| 905-687-7890 | 905-687-7940 |
