Danaos Corporation Reports Second Quarter and Half Year Results for the Period Ended June 30, 2025
ATHENS, Greece, Aug. 4, 2025 /PRNewswire/ -- Danaos Corporation ("Danaos") (NYSE:DAC), one of the world's largest independent owners of container vessels and drybulk vessels, today reported unaudited results for the period ended June 30, 2025.
Financial SummaryThree Months Ended June 30, 2025 and Three Months Ended June 30, 2024Unaudited(Expressed in thousands of United States dollars, except as otherwise stated)
Three Months Ended
Three Months Ended
June 30, 2025
June 30, 2024
Financial & Operating Metrics
Container Vessels
Dry bulkVessels
Other
Total
ContainerVessels
Dry bulkVessels
Other
Total
Operating Revenues
$239,446
$22,708
-
$262,154
$230,586
$15,720
-
$246,306
Voyage Expenses,excl. commissions
$(442)
$(6,424)
-
$(6,866)
$(448)
$(3,269)
-
$(3,717)
Time CharterEquivalent Revenues (1)
$239,004
$16,284
-
$255,288
$230,138
$12,451
-
$242,589
Net income
$115,893
$266
$14,745
$130,904
$133,683
$2,290
$5,179
$141,152
Adjusted net income(2)
$116,680
$266
$11
$116,957
$127,063
$2,290
$2,955
$132,308
Earnings per share,basic
$7.14
$7.30
Earnings per share,diluted
$7.12
$7.23
Adjusted earnings pershare, diluted (2)
$6.36
$6.78
Operating Days
6,623
908
-
6,088
604
-
Time Charter Equivalent $/day (1)
$36,087
$17,934
-
$37,802
$20,614
-
Ownership days
6,734
910
-
6,253
694
-
Average number ofvessels
74.0
10.0
-
68.7
7.6
-
Fleet Utilization
98.4 %
99.8 %
-
97.4 %
87.0 %
-
Adjusted EBITDA (2)
$170,163
$5,898
$(20)
$176,041
$169,121
$4,712
$2,955
$176,788
Consolidated Balance Sheet & Leverage Metrics
As of June 30, 2025
As of December 31, 2024
Cash and cash equivalents
$546,164
$453,384
Availability under Revolving Credit Facility
$270,000
$292,500
Marketable securities (3)
$107,919
$60,850
Total cash liquidity & marketable securities(4)
$924,083
$806,734
Debt, gross of deferred finance costs
$770,326
$744,546
Net Debt (5)
$224,162
$291,162
LTM Adjusted EBITDA (6)
$716,338
$722,615
Net Debt / LTM Adjusted EBITDA
0.31x
0.40x
1.
Time charter equivalent revenues and time charter equivalent US$/day are non-GAAP measures. Refer to the reconciliation provided inthe appendix.
2.
Adjusted net income, adjusted earnings per share and adjusted EBITDA are non-GAAP measures. Refer to the reconciliation of netincome to adjusted net income and adjusted earnings per share; and net income to adjusted EBITDA provided below.
3.
Marketable securities refer to fair value of 6,256,181 and 4,070,214 shares of common stock of SBLK on June 30, 2025 and December31, 2024 respectively.
4.
Total cash liquidity & marketable securities includes: (i) cash and cash equivalents, (ii) availability under our Revolving Credit Facility and(iii) marketable securities.
5.
Net Debt is defined as total debt gross of deferred finance costs less cash and cash equivalents.
6.
Last twelve months Adjusted EBITDA. Refer to the reconciliation provided below.
For management purposes, the Company is organized based on operating revenues generated from container vessels and dry-bulk vessels and has two reporting segments: (1) a container vessels segment and (2) a dry-bulk vessels segment. The Company measures segment performance based on net income. Items included in the applicable segment's net income are directly allocated to the extent that the items are directly or indirectly attributable to the segments. With regards to the items that are allocated by indirect calculations, their allocation is commensurate to the utilization of key resources. The Other column includes components that are not allocated to any of the Company's reportable segments and includes investments in an affiliate accounted for using the equity method of accounting and investments in marketable securities.
Financial SummarySix Months Ended June 30, 2025 and Six Months Ended June 30, 2024Unaudited(Expressed in thousands of United States dollars, except as otherwise stated)
Six Months Ended
Six Months Ended
June 30, 2025
June 30, 2024
Financial & Operating Metrics
ContainerVessels
Dry bulkVessels
Other
Total
ContainerVessels
Dry bulkVessels
Other
Total
Operating Revenues
$475,636
$39,825
-
$515,461
$463,997
$35,758
-
$499,755
Voyage Expenses,excl. commissions
$(749)
$(14,794)
-
$(15,543)
$(936)
$(14,096)
-
$(15,032)
Time CharterEquivalent Revenues (1)
$474,887
$25,031
-
$499,918
$463,061
$21,662
-
$484,723
Net income/(loss)
$234,938
$(6,276)
$17,389
$246,051
$272,042
$2,627
$16,981
$291,650
Adjusted net income /(loss) (2)
$236,483
$(6,276)
$172
$230,379
$265,919
$2,627
$3,778
$272,324
Earnings per share,basic
$13.27
$15.05
Earnings per share,diluted
$13.24
$14.92
Adjusted earnings pershare, diluted (2)
$12.39
$13.93
Operating Days
13,074
1,740
-
12,107
1,200
-
Time CharterEquivalent $/day (1)
$36,323
$14,386
-
$38,247
$18,052
-
Ownership days
13,371
1,810
-
12,438
1,331
-
Average number ofvessels
73.9
10.0
-
68.3
7.3
-
Fleet Utilization
97.8 %
96.1 %
-
97.3 %
90.2 %
-
Adjusted EBITDA (2)
$343,051
$4,549
$114
$347,714
$343,309
$6,904
$3,778
$353,991
1.
Time charter equivalent revenues and time charter equivalent US$/day are non-GAAP measures. Refer to the reconciliation provided in the appendix.
2.
Adjusted net income/(loss), adjusted earnings per share and adjusted EBITDA are non-GAAP measures. Refer to the reconciliation ofnet income to adjusted net income and adjusted earnings per share; and net income to adjusted EBITDA provided below.
Highlights for the Second Quarter and Half Year Results Ended June 30, 2025:
In June 2025, we added one 6,014 TEU newbuilding containership to our orderbook, which has expected delivery in 2027. We took delivery of 6 newbuilding containerships in 2024 and 1 in January 2025.
Our remaining orderbook currently consists of 16 newbuilding containership vessels with an aggregate capacity of 134,234 TEU with expected deliveries of one vessel in 2025, three vessels in 2026, ten vessels in 2027 and two vessels in 2028. All the vessels in our orderbook are designed with the latest eco characteristics, will be methanol fuel ready, fitted with open loop scrubbers (except for two 6,014 TEU vessels) and Alternative Maritime Power (AMP) units and will be built in accordance with the latest requirements of the International Maritime Organization (IMO) in relation to Tier III emission standards and Energy Efficiency Design Index (EEDI) Phase III.
We have secured multi-year charter arrangements for all of our 16 newbuilding vessels orderbook, with an average charter duration of approximately 5.2 years weighted by aggregate contracted charter hire.
Since the date of the previous earnings release, we added approximately $113 million to our contracted revenue backlog through a combination of a new charter for our recent containership newbuilding vessel and charter extensions for three of our existing container vessels.
As a result, total contracted cash operating revenues, on the basis of concluded charter contracts through the date of this release, currently stand at $3.6 billion, including newbuildings. The remaining average contracted charter duration for our containership fleet is 3.8 years, weighted by aggregate contracted charter hire.
Contracted operating days charter coverage for our container vessel fleet is currently 99% for 2025 and 88% for 2026. This includes newbuildings based on their scheduled delivery dates.
As of the date of this release, Danaos has repurchased a total of 2,937,158 shares of its common stock in the open market for $205.7 million under its recently upsized $300 million authorized share repurchase program that was originally introduced in June 2022 and was upsized twice in $100 million increments, in November 2023 and in April 2025.
Danaos has declared a dividend of $0.85 per share of common stock for the Second Quarter of 2025. The dividend is payable on August 28, 2025, to stockholders of record as of August 19, 2025.
Danaos' CEO Dr. John Coustas commented:
As we move through the second half of the year, some uncertainties around global trade are beginning to subside. In particular, there is increasing clarity about tariffs, many of which have been or are being finalized at much lower rates than feared. While tariffs on imports to the U.S. will be much higher than historic averages, the U.S. economy is stable, and the American consumer keeps purchasing foreign goods. As inventories normalize, we anticipate a gradual improvement in trade flows.
Geopolitically, there have been no major shifts, with the conflicts in Ukraine and Gaza ongoing. The absence of further escalation is somewhat reassuring, though the potential for volatility remains elevated. We continue to monitor developments closely, but we have not seen any new disruptions to global shipping routes in the past quarter.
Against this backdrop, we are maintaining our disciplined approach to capital allocation. We are not broadly participating in the current wave of speculative ordering, particularly in the feeder segment, where pricing appears disconnected from long-term fundamentals, and are only pursuing investments that meet our return criteria. In the second quarter, we added one additional 6,000 TEU vessel to our orderbook at a shipyard with which we have an existing relationship. Importantly, this vessel has already been fixed on a five year charter to a long standing client, locking in visibility and attractive returns.
Our chartering strategy continues to deliver results. We added approximately $113 million to our contracted revenue backlog since the previous earnings release, and our $3.6 billion total contracted revenue base provides meaningful insulation from short-term market fluctuations. Our contracted charter coverage stands at 99% for 2025 and 88% for 2026, including newbuildings scheduled for delivery during this period.
On the dry bulk side, we saw some seasonal firming in the market, but broader weakness persists, largely due to deflationary conditions in China. While we continue to evaluate opportunities in the sector, asset values for modern tonnage remain elevated, and we are in no rush to commit capital in an uncertain macroeconomic environment.
From a financial perspective, we remain in an enviable position. With minimal leverage and a growing base of contracted earnings, we have the luxury of patience. Our strong balance sheet and cash generation capacity provide ample firepower to support our strategic priorities and position Danaos for long-term success. We continue to focus on disciplined execution, operational excellence, and value creation for our shareholders.
Three months ended June 30, 2025 compared to the three months ended June 30, 2024
During the three months ended June 30, 2025, Danaos had an average of 74 container vessels and 10 drybulk vessels compared to 68.7 container vessels and 7.6 drybulk vessels during the three months ended June 30, 2024. Our container vessels utilization for the three months ended June 30, 2025 was 98.4% compared to 97.4% in the three months ended June 30, 2024. Our drybulk vessels utilization for the three months ended June 30, 2025 was 99.8% compared to 87.0% in the three months ended June 30, 2024.
Our adjusted net income amounted to $117.0 million, or $6.36 per diluted share, for the three months ended June 30, 2025 compared to $132.3 million, or $6.78 per diluted share, for the three months ended June 30, 2024. We have adjusted our net income in the three months ended June 30, 2025 for a $14.7 million change in fair value of investments and a $0.8 million of non-cash finance fees amortization.
Adjusted net income of our container vessels segment amounted to $116.7 million for the three months ended June 30, 2025 compared to $127.1 million for the three months ended June 30, 2024. We adjusted net income of container vessels segment in the three months ended June 30, 2025 for a $0.8 million of non-cash finance fees amortization.
Adjusted net income of our drybulk vessels segment amounted to $0.3 million income for the three months ended June 30, 2025 compared to $2.3 million income for the three months ended June 30, 2024.
The $15.3 million decrease in adjusted net income for the three months ended June 30, 2025 compared to the three months ended June 30, 2024 is primarily attributable to a $24.7 million increase in total operating expenses, a $3.6 million increase in net finance expenses, a $2.7 million decrease in dividends received, and a $0.2 million increase in equity loss on investments, partially off-set by a $15.9 million increase in operating revenues.
Please refer to the Adjusted Net Income reconciliation tables, which appear later in this earnings release.
On a non-adjusted basis, our net income amounted to $130.9 million, or $7.12 earnings per diluted share, for the three months ended June 30, 2025 compared to net income of $141.2 million, or $7.23 earnings per diluted share, for the three months ended June 30, 2024. Our net income for the three months ended June 30, 2025 includes $14.7 million gain on marketable securities compared to $2.2 million gain on marketable securities in the three months ended June 30, 2024. On a non-adjusted basis, the net income of our container vessels segment amounted to $115.9 million for the three months ended June 30, 2025 compared to $133.7 million for the three months ended June 30, 2024. On a non-adjusted basis, the net income of our drybulk vessels segment amounted to $0.3 million net income for the three months ended June 30, 2025 compared to $2.3 million income for the three months ended June 30, 2024.
Operating RevenuesOperating revenues increased by $15.9 million, to $262.2 million in the three months ended June 30, 2025 from $246.3 million in the three months ended June 30, 2024.
Operating revenues of our container vessels segment increased by 3.9%, or $8.9 million, to $239.4 million in the three months ended June 30, 2025, compared to $230.5 million in the three months ended June 30, 2024, analyzed as follows:
$19.7 million increase in revenues as a result of newbuilding containership vessel additions;
$2.7 million increase in revenues as a result of higher fleet utilization between the two periods;
$8.2 million decrease in revenues as a result of lower charter rates between the two periods; and
$5.3 million decrease in revenues due to lower non-cash revenue recognition in accordance with US GAAP.
Operating revenues of our drybulk vessels segment increased by 44.3%, or $7.0 million, to $22.8 million in the three months ended June 30, 2025, compared to $15.8 million of revenues in the three months ended June 30, 2024, analyzed as follows:
$6.9 million increase in revenues as a result of dry bulk vessel acquisitions; and
$0.1 million net increase in revenues as a result of higher dry bulk vessel utilization partially offset by lower charter rates between the two periods.
Vessel Operating ExpensesVessel operating expenses increased by $9.3 million to $56.4 million in the three months ended June 30, 2025 from $47.1 million in the three months ended June 30, 2024, primarily as a result of the increase in the average number of vessels in our fleet due to container vessel newbuilding deliveries and dry bulk vessels acquisitions, combined with an increase in the average daily operating cost of our vessels to $7,556 per vessel per day for the three months ended June 30, 2025 compared to $6,961 per vessel per day for the three months ended June 30, 2024, mainly due to increased total repairs & maintenance expenses between the two periods. Management believes that our daily operating costs remain among the most competitive in the industry.
Depreciation & AmortizationDepreciation & Amortization includes Depreciation and Amortization of Deferred Dry-docking and Special Survey Costs.
DepreciationDepreciation expense increased by $5.3 million, to $40.7 million in the three months ended June 30, 2025 from $35.4 million in the three months ended June 30, 2024, due to the increase in the average number of vessels in our fleet.
Amortization of Deferred Dry-docking and Special Survey CostsAmortization of deferred dry-docking and special survey costs increased by $4.5 million to $11.5 million in the three months ended June 30, 2025, from $7.0 million in the three months ended June 30, 2024, reflecting a larger number of vessels drydocked for which vessels drydocking amortization costs were recognized during the three months ended June 30, 2025 compared to the three months ended June 30, 2024.
General and Administrative ExpensesGeneral and administrative expenses decreased by $0.1 million, to $11.2 million in the three months ended June 30, 2025 from $11.3 million in the three months ended June 30, 2024.
Other Operating ExpensesOther Operating Expenses include Voyage Expenses.
Voyage ExpensesVoyage expenses increased by $4.1 million to $16.8 million in the three months ended June 30, 2025 from $12.7 million in the three months ended June 30, 2024, mainly driven by a $3.6 million increase in voyage expenses of our dry bulk vessels, attributed to the different mix of time charter and voyage charter contracts under which our dry bulk vessels were deployed between the two periods.
Voyage expenses of our container vessels segment increased by $0.4 million to $8.9 million in the three months ended June 30, 2025, from $8.5 million in the three months ended June 30, 2024, mainly due to increased commissions. For the three months ended June 30, 2025, total voyage expenses of our container vessels comprised of $8.5 million in commissions and $0.4 million in other voyage expenses, compared to $8.0 million in commissions and $0.5 million in other voyage expenses for the three months ended June 30, 2024.
Voyage expenses of our drybulk vessels segment increased by $3.7 million to $7.9 million in the three months ended June 30, 2025 compared to $4.2 million voyage expenses in the three months ended June 30, 2024. For the three months ended June 30, 2025, voyage expenses of our drybulk vessels comprised of $1.5 million in commissions and $6.4 million in other voyage expenses, mainly comprised of bunkers cost and port expenses, compared to $0.9 million in commissions and $3.3 million in other voyage expenses for the three months ended June 30, 2024.
Interest Expense and Interest IncomeInterest expense increased by $4.6 million, to $9.7 million, in the three months ended June 30, 2025 from $5.1 million in the three months ended June 30, 2024. The increase in interest expense is a result of:
$3.5 million increase in interest expense due to an increase in our average indebtedness by $264.9 million between the two periods. Average indebtedness was $776.9 million in the three months ended June 30, 2025, compared to average indebtedness of $512.0 million in the three months ended June 30, 2024. This increase was also partially offset by a decrease in our debt service cost by approximately 0.9% as a result of lower SOFR rates between the two periods;
$0.8 million increase in interest expense due to a decrease in the amount of interest expense capitalized on our vessels under construction that was $4.8 million in the three months ended June 30, 2025, when compared to capitalized interest of $5.6 million in the three months ended June 30, 2024; and
$0.3 million increase in the amortization of deferred finance costs between the two periods.
As of June 30, 2025, our outstanding debt, gross of deferred finance costs, was $770.3 million, which included $262.8 million principal amount of our Senior Notes. These balances compare to debt of $577.8 million, which included $262.8 million principal amount of our Senior Notes, gross of deferred finance costs, as of June 30, 2024. The increase in our outstanding debt is due to loans drawn down to partially finance our container vessel newbuilding deliveries.
Interest income increased by $0.8 million to $3.7 million in the three months ended June 30, 2025 compared to $2.9 million in the three months ended June 30, 2024, mainly driven by higher average cash balances between the two periods.
Gain on investmentsThe $15.0 million gain on investments in the three months ended June 30, 2025 consisted of the change in fair value of our shareholding interest in Star Bulk Carriers Corp. ("SBLK") of $14.7 million and dividend income on these shares of $0.3 million. This compares to a $5.3 million gain on investments in the three months ended June 30, 2024, representing a $2.2 million change in fair value on our Star Bulk Carriers Corp. ("SBLK") shareholding interest and dividend income on these shares of $3.1 million.
Equity loss on investmentsEquity loss on investments amounting to $0.3 million loss and $0.1 million loss in the three months June 30, 2025 and June 30, 2024, respectively, relates to our share of expenses of Carbon Termination Technologies Corporation ("CTTC"), currently engaged in the research and development of decarbonization technologies for the shipping industry.
Other finance expensesOther finance expenses increased by $0.1 million to $1.0 million in the three months ended June 30, 2025 compared to $0.9 million in the three months ended June 30, 2024.
Loss on derivativesAmortization of deferred realized losses on interest rate swaps remained stable at $0.9 million in each of the three months ended June 30, 2025 and June 30, 2024.
Other income/(expenses), netOther income/(expenses), net amounted to an expense of $1.4 million in the three months ended June 30, 2025 compared to an expense of $0.1 million in the three months ended June 30, 2024.
Adjusted EBITDAAdjusted EBITDA decreased by 0.5%, or $0.8 million, to $176.0 million in the three months ended June 30, 2025 from $176.8 million in the three months ended June 30, 2024. The decrease was attributed to (i) $14.6 million increase in total operating expenses, (ii) $0.1 million increase in net financing expenses, (iii) $2.7 million decrease in dividends received and (iv) $0.2 million increase in equity loss on investments offset by (v) $16.8 million increase in operating revenues. Adjusted EBITDA for the three months ended June 30, 2025 is adjusted for a $14.7 million change in fair value of investments and stock based compensation of $0.1 million. Tables reconciling Adjusted EBITDA to Net Income can be found at the end of this earnings release.
Adjusted EBITDA of container vessels segment increased by 0.7%, or $1.1 million, to $170.2 million in the three months ended June 30, 2025 from $169.1 million in the three months ended June 30, 2024.
Adjusted EBITDA of drybulk vessels segment increased by $1.2 million to $5.9 million in the three months ended June 30, 2025 from $4.7 million in the three months ended June 30, 2024.
Six months ended June 30, 2025 compared to the six months ended June 30, 2024
During the six months ended June 30, 2025, Danaos had an average of 73.9 container vessels and 10 drybulk vessels compared to 68.3 container vessels and 7.3 drybulk vessels during the six months ended June 30, 2024. Our container vessels utilization for the six months ended June 30, 2025 was 97.8% compared to 97.3% in the six months ended June 30, 2024. Our drybulk vessels utilization for the six months ended June 30, 2025 was 96.1% compared to 90.2% in the six months ended June 30, 2024.
Our adjusted net income amounted to $230.4 million, or $12.39 per diluted share, for the six months ended June 30, 2025 compared to $272.3 million, or $13.93 per diluted share, for the six months ended June 30, 2024. We have adjusted our net income in the six months ended June 30, 2025 for a $17.2 million change in fair value of investments and a $1.5 million of non-cash finance fees amortization.
Adjusted net income of our container vessels segment amounted to $236.5 million for the six months ended June 30, 2025 compared to $265.9 million for the six months ended June 30, 2024. We adjusted net income of container vessels segment in the six months ended June 30, 2025 for a $1.5 million of non-cash finance fees amortization.
Adjusted net income / loss of our drybulk vessels segment amounted to $6.3 million loss for the six months ended June 30, 2025 compared to $2.6 million income for the six months ended June 30, 2024.
The $41.9 million decrease in adjusted net income for the six months ended June 30, 2025 compared to the six months ended June 30, 2024 is primarily attributable to a $44.2 million increase in total operating expenses, a $9.7 million increase in net finance expenses, a $3.3 million decrease in dividends received, a $0.4 million increase in equity loss on investments, partially off-set by a $15.7 million increase in operating revenues.
Please refer to the Adjusted Net Income reconciliation tables, which appear later in this earnings release.
On a non-adjusted basis, our net income amounted to $246.1 million, or $13.24 earnings per diluted share, for the six months ended June 30, 2025 compared to net income of $291.7 million, or $14.92 earnings per diluted share, for the six months ended June 30, 2024. Our net income for the six months ended June 30, 2025 includes $17.2 million gain on marketable securities compared to $13.2 million gain on marketable securities in the six months ended June 30, 2024. On a non-adjusted basis, the net income of our container vessels segment amounted to $234.9 million for the six months ended June 30, 2025 compared to $272.0 million for the six months ended June 30, 2024. On a non-adjusted basis, the net income / loss of our drybulk vessels segment amounted to $6.3 million loss for the six months ended June 30, 2025 compared to $2.6 million income for the six months ended June 30, 2024.
Operating RevenuesOperating revenues increased by $15.7 million, to $515.5 million in the six months ended June 30, 2025 from $499.8 million in the six months ended June 30, 2024.
Operating revenues of our container vessels segment increased by 2.5%, or $11.7 million, to $475.7 million in the six months ended June 30, 2025, compared to $464.0 million in the six months ended June 30, 2024, analyzed as follows:
$43.6 million increase in revenues as a result of newbuilding containership vessel additions;
$17.5 million decrease in revenues as a result of lower charter rates between the two periods;
$10.7 million decrease in revenues due to lower non-cash revenue recognition in accordance with US GAAP;
$3.5 million decrease in revenues as a result of lower fleet utilization between the two periods; and
$0.2 million decrease in revenues due to the disposal of one containership vessel.
Operating revenues of our drybulk vessels segment increased by 11.2%, or $4.0 million, to $39.8 million in the six months ended June 30, 2025, compared to $35.8 million of revenues in the six months ended June 30, 2024, analyzed as follows:
$13.0 million increase in revenues as a result of dry bulk vessel acquisitions; and
$9.0 million net decrease in revenues as a result of lower charter rates partially offset by higher fleet utilization between the two periods.
Vessel Operating ExpensesVessel operating expenses increased by $17.9 million to $108.1 million in the six months ended June 30, 2025 from $90.2 million in the six months ended June 30, 2024, primarily as a result of the increase in the average number of vessels in our fleet due to container vessel newbuilding deliveries and dry bulk vessels acquisitions, combined with an increase in the average daily operating cost of our vessels to $7,294 per vessel per day for the six months ended June 30, 2025 compared to $6,729 per vessel per day for the six months ended June 30, 2024, mainly due to increased total repairs & maintenance expenses between the two periods. Management believes that our daily operating costs remain among the most competitive in the industry.
Depreciation & AmortizationDepreciation & Amortization includes Depreciation and Amortization of Deferred Dry-docking and Special Survey Costs.
DepreciationDepreciation expense increased by $11.5 million, to $80.7 million in the six months ended June 30, 2025 from $69.2 million in the six months ended June 30, 2024, due to the increase in the average number of vessels in our fleet.
Amortization of Deferred Dry-docking and Special Survey CostsAmortization of deferred dry-docking and special survey costs increased by $10.1 million to $22.5 million in the six months ended June 30, 2025, from $12.4 million in the six months ended June 30, 2024, reflecting a larger number of vessels drydocked for which vessels drydocking amortization costs were recognized during the six months ended June 30, 2025 compared to the six months ended June 30, 2024.
General and Administrative ExpensesGeneral and administrative expenses increased by $1.9 million, to $23.4 million in the six months ended June 30, 2025 from $21.5 million in the six months ended June 30, 2024. The increase was mainly attributable to $1.6 million higher management fees due to the increase in the average number of vessels in our fleet and a $0.3 million increase in corporate general and administrative expenses.
Other Operating ExpensesOther Operating Expenses include Voyage Expenses.
Voyage ExpensesVoyage expenses increased by $1.9 million to $34.9 million in the six months ended June 30, 2025 from $33.0 million in the six months ended June 30, 2024, mainly driven by a $1.4 million increase in commissions.
Voyage expenses of our container vessels segment increased by $1.0 million to $17.7 million in the six months ended June 30, 2025, from $16.7 million in the six months ended June 30, 2024, mainly due to increased commissions. For the six months ended June 30, 2025, total voyage expenses of our container vessels comprised of $17.0 million in commissions and $0.7 million in other voyage expenses compared to $15.8 million in commissions and $0.9 million in other voyage expenses for the six months ended June 30, 2024.
Voyage expenses of our drybulk vessels segment increased by $0.9 million to $17.2 million in the six months ended June 30, 2025 compared to $16.3 million voyage expenses in the six months ended June 30, 2024. For the six months ended June 30, 2025, voyage expenses of our drybulk vessels comprised of $2.4 million in commissions and $14.8 million in other voyage expenses, mainly comprised of bunkers cost and port expenses, compared to $2.2 million in commissions and $14.1 million in other voyage expenses for the six months ended June 30, 2024.
Interest Expense and Interest IncomeInterest expense increased by $11.5 million, to $19.7 million, in the six months ended June 30, 2025 from $8.2 million in the six months ended June 30, 2024. The increase in interest expense is a result of:
$8.7 million increase in interest expense due to an increase in our average indebtedness by $314.4 million between the two periods. Average indebtedness was $777.2 million in the six months ended June 30, 2025, compared to average indebtedness of $462.8 million in the six months ended June 30, 2024. This increase was also partially offset by a decrease in our debt service cost by approximately 1% as a result of lower SOFR rates between the two periods;
$2.2 million increase in interest expense due to a decrease in the amount of interest expense capitalized on our vessels under construction that was $9.3 million in the six months ended June 30, 2025, when compared to capitalized interest of $11.5 million in the six months ended June 30, 2024; and
$0.6 million increase in the amortization of deferred finance costs between ...
