DORIAN LPG LTD., 10-K filed on 6/2/2021
Annual Report
v3.21.1
Document and Entity Information - USD ($)
12 Months Ended
Mar. 31, 2021
Jun. 01, 2021
Sep. 30, 2020
Cover Abstract      
Entity Registrant Name Dorian LPG Ltd.    
Entity Central Index Key 0001596993    
Document Type 10-K    
Document Period End Date Mar. 31, 2021    
Document Annual Report true    
Document Transition Report false    
Entity File Number 001-36437    
Entity Incorporation, State or Country Code 1T    
Entity Tax Identification Number 66-0818228    
Entity Address, Address Line One 27 Signal Road    
Entity Address, City or Town Stamford    
Entity Address, State or Province CT    
Entity Address, Postal Zip Code 06902    
City Area Code 203    
Local Phone Number 674-9900    
Title of 12(b) Security Common stock, par value $0.01 per share    
Trading Symbol LPG    
Security Exchange Name NYSE    
Amendment Flag false    
Current Fiscal Year End Date --03-31    
Entity Well-known Seasoned Issuer No    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
ICFR Auditor Attestation Flag true    
Entity Filer Category Accelerated Filer    
Entity Public Float     $ 290,509,924
Entity Common Stock, Shares Outstanding   41,086,069  
Entity Small Business false    
Entity Emerging Growth Company false    
Entity Shell Company false    
Document Fiscal Year Focus 2021    
Document Fiscal Period Focus FY    
v3.21.1
Consolidated Balance Sheets - USD ($)
Mar. 31, 2021
Mar. 31, 2020
Current assets    
Cash and cash equivalents $ 79,330,007 $ 48,389,688
Restricted cash - current 5,315,951 3,370,178
Short-term investments   14,919,384
Trade receivables, net and accrued revenues 202,221 820,846
Due from related parties 56,191,375 66,847,701
Inventories 2,007,464 1,996,203
Prepaid expenses and other current assets 10,296,229 3,270,755
Total current assets 153,343,247 139,614,755
Fixed assets    
Vessels, net 1,377,028,255 1,437,658,833
Other fixed assets, net 148,836 185,613
Total fixed assets 1,377,177,091 1,437,844,446
Other non-current assets    
Deferred charges, net 10,158,202 7,336,726
Due from related parties-non-current 23,100,000 23,100,000
Restricted cash - non-current 81,241 35,629,261
Operating lease right-of-use assets 17,672,227 26,861,551
Other non-current assets 82,837 1,573,104
Total assets 1,581,614,845 1,671,959,843
Current liabilities    
Trade accounts payable 9,831,328 13,552,796
Accrued expenses 8,765,264 4,080,952
Due to related parties 117,803 436,850
Deferred income 853,983 2,068,205
Derivative instruments 1,100,529 2,605,442
Current portion of long-term operating lease liabilities 9,591,447 9,212,589
Current portion of long-term debt 51,820,283 53,056,125
Total current liabilities 82,080,637 85,012,959
Long-term liabilities    
Long-term debt-net of current portion and deferred financing fees 539,651,761 581,919,094
Long-term operating lease liabilities 8,080,995 17,651,939
Derivative instruments 3,454,862 9,152,829
Other long-term liabilities 1,521,260 1,170,824
Total long-term liabilities 552,708,878 609,894,686
Total liabilities 634,789,515 694,907,645
Commitments and contingencies
Shareholders' equity    
Preferred stock, $0.01 par value, 50,000,000 shares authorized, none issued nor outstanding
Common stock, $0.01 par value, 450,000,000 shares authorized, 51,071,409 and 59,083,290 shares issued, 41,493,275 and 50,827,952 shares outstanding (net of treasury stock), as of March 31, 2021 and March 31, 2020, respectively 510,715 590,833
Additional paid-in-capital 756,776,217 866,809,371
Treasury stock, at cost; 9,578,134 and 8,255,338 shares as of March 31, 2021 and March 31, 2020, respectively (99,862,114) (87,183,865)
Retained earnings 289,400,512 196,835,859
Total shareholders' equity 946,825,330 977,052,198
Total liabilities and shareholders' equity $ 1,581,614,845 $ 1,671,959,843
v3.21.1
Consolidated Balance Sheets (Parenthetical) - $ / shares
Mar. 31, 2021
Mar. 31, 2020
Consolidated Balance Sheets    
Preferred stock, par value (in dollars per share) $ 0.01 $ 0.01
Preferred stock, shares authorized 50,000,000 50,000,000
Preferred stock, shares issued 0 0
Preferred stock, shares outstanding 0 0
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized 450,000,000 450,000,000
Common stock, shares issued 51,071,409 59,083,290
Common stock, shares outstanding (net of treasury stock) 41,493,275 50,827,952
Treasury stock, shares at cost 9,578,134 8,255,338
v3.21.1
Consolidated Statements of Operations - USD ($)
12 Months Ended
Mar. 31, 2021
Mar. 31, 2020
Mar. 31, 2019
Revenues.      
Revenues $ 315,938,812 $ 333,429,998 $ 158,032,485
Expenses      
Voyage expenses 3,409,650 3,242,923 1,697,883
Charter hire expenses 18,135,580 9,861,898 237,525
Vessel operating expenses 78,219,869 71,478,369 66,880,568
Depreciation and amortization 68,462,476 66,262,530 65,201,151
General and administrative expenses 33,890,999 23,355,768 24,434,246
Professional and legal fees related to the BW Proposal     10,022,747
Total expenses 202,118,574 174,201,488 168,474,120
Other income-related parties 2,279,454 1,840,321 2,479,599
Operating income/(loss) 116,099,692 161,068,831 (7,962,036)
Other income/(expenses)      
Interest and finance costs (27,596,124) (36,105,541) (40,649,231)
Interest income 421,464 1,458,725 1,755,259
Unrealized gain/(loss) on derivatives 7,202,880 (18,206,769) (7,816,401)
Realized gain/(loss) on derivatives (4,568,033) 2,800,374 3,788,123
Other gain/(loss), net 1,004,774 825,638 (61,619)
Total other income/(expenses), net (23,535,039) (49,227,573) (42,983,869)
Net income/(loss) $ 92,564,653 $ 111,841,258 $ (50,945,905)
Weighted average shares outstanding Basic (in shares) 49,729,358 53,881,483 54,513,118
Weighted average shares outstanding Diluted (in shares) 49,826,798 54,115,338 54,513,118
Earnings/(loss) per common share - basic (in dollars per share) $ 1.86 $ 2.08 $ (0.93)
Earnings per common share - diluted (in dollars per share) $ 1.86 $ 2.07 $ (0.93)
Net pool revenues - related party      
Revenues.      
Revenues $ 292,679,614 $ 298,079,123 $ 120,015,771
Time charter revenues      
Revenues.      
Revenues 19,492,595 34,111,230 37,726,214
Other revenues, net      
Revenues.      
Revenues $ 3,766,603 $ 1,239,645 $ 290,500
v3.21.1
Consolidated Statements of Shareholders Equity - USD ($)
Common stock
Treasury stock
Additional paid-in capital
Retained earnings
Total
Balance at Mar. 31, 2018 $ 586,402 $ (35,223,428) $ 858,109,882 $ 135,940,506 $ 959,413,362
Balance (in shares) at Mar. 31, 2018 58,640,161        
Increase (Decrease) in Shareholders' Equity          
Net income/(loss) for the period       (50,945,905) (50,945,905)
Restricted share award issuances $ 2,424   (2,424)    
Restricted share award issuances (in shares) 242,354        
Stock-based compensation     5,476,234   5,476,234
Purchase of treasury stock   (1,261,133)     (1,261,133)
Balance at Mar. 31, 2019 $ 588,826 (36,484,561) 863,583,692 84,994,601 912,682,558
Balance (in shares) at Mar. 31, 2019 58,882,515        
Increase (Decrease) in Shareholders' Equity          
Net income/(loss) for the period       111,841,258 111,841,258
Restricted share award issuances $ 2,007   (2,007)    
Restricted share award issuances (in shares) 200,775        
Stock-based compensation     3,227,686   3,227,686
Purchase of treasury stock   (50,699,304)     (50,699,304)
Balance at Mar. 31, 2020 $ 590,833 (87,183,865) 866,809,371 196,835,859 977,052,198
Balance (in shares) at Mar. 31, 2020 59,083,290        
Increase (Decrease) in Shareholders' Equity          
Net income/(loss) for the period       92,564,653 92,564,653
Restricted share award issuances $ 3,933   (3,933)    
Restricted share award issuances (in shares) 393,265        
Stock-based compensation     3,356,199   3,356,199
Repurchase and cancellation of common stock $ (84,051)   (113,385,420)   (113,469,471)
Repurchase and cancellation of common stock (in shares) (8,405,146)        
Purchase of treasury stock   (12,678,249)     (12,678,249)
Balance at Mar. 31, 2021 $ 510,715 $ (99,862,114) $ 756,776,217 $ 289,400,512 $ 946,825,330
Balance (in shares) at Mar. 31, 2021 51,071,409        
v3.21.1
Consolidated Statements of Cash Flows - USD ($)
12 Months Ended
Mar. 31, 2021
Mar. 31, 2020
Mar. 31, 2019
Cash flows from operating activities:      
Net income/(loss) $ 92,564,653 $ 111,841,258 $ (50,945,905)
Adjustments to reconcile net income/(loss) to net cash provided by operating activities:      
Depreciation and amortization 68,462,476 66,262,530 65,201,151
Amortization of operating lease right-of-use asset 9,218,537 1,885,522  
Amortization of financing costs 4,695,360 2,893,392 3,136,051
Unrealized (gain)/loss on derivatives (7,202,880) 18,206,769 7,816,401
Stock-based compensation expense 3,356,199 3,227,686 5,476,234
Unrealized foreign currency (gain)/loss, net (210,010) 311,539 303,835
Other non-cash items, net (1,091,825) (1,200,001) (48,182)
Changes in operating assets and liabilities      
Trade receivables, net and accrued revenue 618,625 563,272 (1,047,956)
Prepaid expenses and other current assets (1,192,336) (222,510) (537,549)
Due from related parties 10,656,326 (25,692,058) (17,574,923)
Inventories (11,261) 115,434 (98,730)
Other non-current assets 1,490,267 (1,356,007) (131,457)
Operating lease liabilities-current and long-term (9,221,782) (1,888,347)  
Trade accounts payable 212,173 1,470,669 793,925
Accrued expenses and other liabilities 4,309,014 (2,078,325) (2,999,444)
Due to related parties (319,047) (52,794) 144,129
Payments for drydocking costs (5,738,793) (5,251,622) (604,147)
Net cash provided by operating activities 170,595,696 169,036,407 8,883,433
Cash flows from investing activities:      
Vessel-related capital expenditures (9,492,953) (19,883,090) (3,972,815)
Payments for short-term investments   (14,888,638)  
Purchases of investment securities (4,743,809)   (499,690)
Proceeds from sale of investment securities 275,393 1,767,906  
Proceeds from maturity of short-term investments 15,000,000    
Payments to acquire other fixed assets (17,541) (141,012) (47,799)
Net cash provided by/(used in) investing activities 1,021,090 (33,144,834) (4,520,304)
Cash flows from financing activities:      
Proceeds from long-term debt borrowings 55,378,172   65,137,500
Repayment of long-term debt borrowings (99,418,395) (63,968,414) (130,205,069)
Purchase of treasury stock (126,260,923) (50,642,795) (1,310,064)
Financing costs paid (4,183,321) (40,547) (628,144)
Net cash used in financing activities (174,484,467) (114,651,756) (67,005,777)
Effects of exchange rates on cash and cash equivalents 205,753 (323,336) (253,086)
Net increase/(decrease) in cash, cash equivalents, and restricted cash (2,661,928) 20,916,481 (62,895,734)
Cash, cash equivalents, and restricted cash at the beginning of the period 87,389,127 66,472,646 129,368,380
Cash, cash equivalents, and restricted cash at the end of the period 84,727,199 87,389,127 66,472,646
Supplemental disclosure of cash flow information      
Cash paid during the period for interest 21,787,205 32,461,153 36,906,567
Cash paid for amounts included in the measurement of operating lease liabilities 10,088,410 2,810,468  
Vessel-related capital expenditures included in liabilities 320,992 4,408,333 33,015
Financing costs included in liabilities $ 596,800 $ 595,138 $ 595,138
v3.21.1
Consolidated Statements of Cash Flows (Parenthetical) - USD ($)
Mar. 31, 2021
Mar. 31, 2020
Mar. 31, 2019
Mar. 31, 2018
Reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheets to the total amount of such items reported in the statements of cash flows:        
Cash and cash equivalents $ 79,330,007 $ 48,389,688 $ 30,838,684  
Restricted cash - current 5,315,951 3,370,178    
Restricted cash - non-current 81,241 35,629,261 35,633,962  
Cash and cash equivalents and restricted cash at end of period shown in the statement of cash flows $ 84,727,199 $ 87,389,127 $ 66,472,646 $ 129,368,380
v3.21.1
Basis of Presentation and General Information
12 Months Ended
Mar. 31, 2021
Basis of Presentation and General Information  
Basis of Presentation and General Information

Dorian LPG Ltd.

Notes to Consolidated Financial Statements

(Expressed in United States Dollars)

1.Basis of Presentation and General Information

Dorian LPG Ltd. (“Dorian”) was incorporated on July 1, 2013 under the laws of the Republic of the Marshall Islands, is headquartered in the United States and is engaged in the transportation of liquefied petroleum gas (“LPG”) worldwide through the ownership and operation of LPG tankers. Dorian LPG Ltd. and its subsidiaries (together “we,” “us,” “our,” or the “Company”) are focused on owning and operating very large gas carriers (“VLGCs”), each with a cargo carrying capacity of greater than 80,000 cbm. As of March 31, 2021, our fleet consists of twenty-four VLGCs, including nineteen fuel-efficient 84,000 cbm ECO-design VLGCs (“ECO VLGCs”), three 82,000 cbm VLGCs, and two time chartered-in VLGCs. Ten of our technically-managed ECO VLGCs are fitted with exhaust gas cleaning systems (commonly referred to as “scrubbers”) to reduce sulfur emissions. The installation of scrubbers on an additional two of our technically-managed VLGCs was planned to be completed during the second calendar quarter of 2021. As of March 31, 2021, contractual commitments related to scrubbers totaled $1.5 million. On March 31, 2021, we entered into a bareboat agreement to charter-in a newbuilding dual-fuel VLGC that is expected to be delivered in March 2023 (see Note 18 for further details).

The financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and include the accounts of Dorian LPG Ltd. and its subsidiaries.

On April 1, 2015, Dorian and Phoenix Tankers Pte. Ltd. (“Phoenix”) began operations of Helios LPG Pool LLC (the “Helios Pool”), which entered into pool participation agreements for the purpose of establishing and operating, as charterer, under variable rate time charters to be entered into with owners or disponent owners of VLGCs, a commercial pool of VLGCs whereby revenues and expenses are shared. See Note 3 below for further description of the Helios Pool relationship.  

Our subsidiaries, which are all wholly-owned and all are incorporated in Republic of the Marshall Islands (unless otherwise indicated below), as of March 31, 2021 are listed below.

Vessel Owning Subsidiaries

    

Type of

    

    

    

 

Subsidiary

vessel

Vessel’s name

Built

CBM(1)

 

CMNL LPG Transport LLC

 

VLGC

 

Captain Markos NL

 

2006

 

82,000

CJNP LPG Transport LLC

 

VLGC

 

Captain John NP(2)

 

2007

 

82,000

CNML LPG Transport LLC

 

VLGC

 

Captain Nicholas ML(2)

 

2008

 

82,000

Comet LPG Transport LLC

VLGC

Comet

2014

84,000

Corsair LPG Transport LLC

VLGC

Corsair(2)

2014

84,000

Corvette LPG Transport LLC

 

VLGC

 

Corvette(2)

 

2015

 

84,000

Dorian Shanghai LPG Transport LLC

VLGC

Cougar

2015

84,000

Concorde LPG Transport LLC

VLGC

Concorde(2)

2015

84,000

Dorian Houston LPG Transport LLC

VLGC

Cobra

2015

84,000

Dorian Sao Paulo LPG Transport LLC

VLGC

Continental

2015

84,000

Dorian Ulsan LPG Transport LLC

VLGC

Constitution

2015

84,000

Dorian Amsterdam LPG Transport LLC

VLGC

Commodore

2015

84,000

Dorian Dubai LPG Transport LLC

VLGC

Cresques(2)

2015

84,000

Constellation LPG Transport LLC

VLGC

Constellation

2015

84,000

Dorian Monaco LPG Transport LLC

VLGC

Cheyenne

2015

84,000

Dorian Barcelona LPG Transport LLC

VLGC

Clermont

2015

84,000

Dorian Geneva LPG Transport LLC

VLGC

Cratis

2015

84,000

Dorian Cape Town LPG Transport LLC

VLGC

Chaparral

2015

84,000

Dorian Tokyo LPG Transport LLC

VLGC

Copernicus

2015

84,000

Commander LPG Transport LLC

VLGC

Commander

2015

84,000

Dorian Explorer LPG Transport LLC

VLGC

Challenger

2015

84,000

 

Dorian Exporter LPG Transport LLC

VLGC

Caravelle

2016

84,000

Dorian Sakura LPG Transport LLC(3)

VLGC

Hull No. 1755

2023(4)

84,000

Management Subsidiaries

 

Subsidiary

 

Dorian LPG Management Corp.

Dorian LPG (USA) LLC (incorporated in USA)

Dorian LPG (UK) Ltd. (incorporated in UK)

Dorian LPG Finance LLC

Occident River Trading Limited (incorporated in UK)

Dorian LPG (DK) ApS (incorporated in Denmark)

Dorian LPG Chartering LLC

Dorian LPG FFAS LLC

(1)CBM: Cubic meters, a standard measure for LPG tanker capacity
(2)Operated pursuant to a bareboat charter agreement. Refer to Notes 9 below for further information
(3)Upon delivery, will be operated pursuant to a bareboat charter agreement. Refer to Notes 18 below for further information
(4)Expected to be delivered in 2023

Customers

For the years ended March 31, 2021 and 2020, the Helios Pool accounted for 93% and 89% of our total revenues, respectively. No other individual charterer accounted for more than 10%. For the year ended March 31, 2019, the Helios Pool and one other individual charterer represented 76% and 14% of our total revenues, respectively.

COVID-19

The outbreak of COVID-19 resulted in the implementation of numerous actions taken by governments and governmental agencies in an attempt to mitigate the spread of the virus. These measures resulted in a significant reduction in global economic activity and extreme volatility in the global financial markets. The reduction of economic activity significantly reduced the global demand for oil, refined petroleum products (most notably aviation fuel) and LPG. We expect that the impact of the COVID-19 virus and the uncertainty in the supply and demand for fossil fuels, including LPG, will continue to cause volatility in the commodity markets. We experienced and may continue to experience additional costs to effect crew changes. Although to date there has not been any significant effect on our operating activities due to COVID-19, other than an approximately 60-day delay associated with the drydocking of one of our vessels in China

that left drydock in April 2020, the extent to which COVID-19 will impact our results of operation and financial condition will depend on future developments, which are highly uncertain and cannot be predicted, including among others, new information which may emerge concerning the severity of the virus and the actions to contain or treat its impact or any resurgence or mutation of the virus, the availability of vaccines and their global deployment, the development of effective treatments, the imposition of effective public safety and other protective measures and the public’s response to such measures. There continues to be a high level of uncertainty relating to how the pandemic will evolve, how governments and consumers will react and progress on the approval and distribution of vaccines. An estimate of the impact cannot therefore be made at this time.

v3.21.1
Significant Accounting Policies
12 Months Ended
Mar. 31, 2021
Significant Accounting Policies  
Significant Accounting Policies

2. Significant Accounting Policies

(a)   Principles of consolidation:  The consolidated financial statements incorporate the financial statements of the Company and its wholly-owned subsidiaries. Income and expenses of subsidiaries acquired or disposed of during the period are included in the consolidated statements of operations from the effective date of acquisition and up to the effective date of disposal, as appropriate. All intercompany balances and transactions have been eliminated.

(b)   Use of estimates:  The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

(c)   Other comprehensive income/(loss):  We follow the accounting guidance relating to comprehensive income, which requires separate presentation of certain transactions that are recorded directly as components of shareholders’ equity. We have no other comprehensive income/(loss) items and, accordingly, comprehensive income/(loss) equals net income/(loss) for the periods presented and thus we have not presented this in the consolidated statement of operations or in a separate statement.

(d)   Foreign currency translation:  Our functional currency is the U.S. Dollar. Foreign currency transactions are measured and recorded in the functional currency using the exchange rate in effect at the date of the transaction. As of balance sheet date, monetary assets and liabilities that are denominated in a currency other than the functional currency are adjusted to reflect the exchange rate at the balance sheet date and any gains or losses are included in the statement of operations. For the periods presented, we had no foreign currency derivative instruments.

(e)   Cash and cash equivalents:  We consider highly liquid investments such as time deposits and certificates of deposit with an original maturity of three months or less to be cash equivalents.

(f)   Short-term investments:  We consider short-term, highly-liquid time deposits placed with financial institutions, which are readily convertible into known amounts of cash with original maturities of more than three months, but less than 12 months at the time of purchase to be short-term investments.

(g)   Investment securities:  All of our investment securities held are classified as available-for-sale securities and are available to be sold in the future in response to our liquidity needs and asset-liability management strategies, among other considerations. Investment securities are reported at fair value, with unrealized gains and losses reported in in other gain/(loss), net on our consolidated statements of operations.

(h)   Trade receivables, net and accrued revenues:  Trade receivables, net and accrued revenues, reflect receivables from vessel charters, net of an allowance for doubtful accounts. At each balance sheet date, all potentially uncollectible accounts are assessed individually for purposes of determining the appropriate provision for doubtful accounts. Provision for doubtful accounts for the periods presented was zero.

(i)   Due from related parties:  Due from related parties reflect receivables from the Helios Pool and other related parties. Distributions of earnings due from the Helios Pool are classified as current and working capital contributed to the Helios Pool is classified as non-current.

(j)   Inventories:  Inventories consist of bunkers on board the vessels when vessels are unemployed or are operating under voyage charters and lubricants and stores on board the vessels. Inventories are stated at the lower of cost or net realizable value. Cost is determined by the first in, first out method. Net realizable value is the estimated selling price, less reasonably predictable costs of disposal and transportation.

(k)   Vessels, net:  Vessels, net are stated at cost net of accumulated depreciation and impairment charges. The costs of the vessels acquired as part of a business acquisition are recorded at their fair value on the date of acquisition. The cost of vessels purchased consists of the contract price, less discounts, plus any direct expenses incurred upon acquisition, including improvements, commission paid, delivery expenses and other expenditures to prepare the vessel for her initial voyage. The initial purchase of LPG coolant for the refrigeration of cargo is also capitalized. Allocated interest costs incurred during construction are capitalized. Subsequent expenditures for conversions and major improvements, including scrubbers, are also capitalized when they appreciably extend the life, increase the earning capacity or improve the efficiency or safety of the vessels. Repairs and maintenance are expensed as incurred.

(l)   Impairment of vessels:  We review our vessels “held and used” for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. When the estimate of future undiscounted cash flows, excluding interest charges, expected to be generated by the use of the asset is less than its carrying amount, the asset is evaluated for an impairment loss. Measurement of the impairment loss is based on the fair value of the asset.

(m)   Vessel depreciation:  Depreciation is computed using the straight-line method over the estimated useful life of the vessels, after considering the estimated salvage value. Each vessel’s salvage value is equal to the product of its lightweight tonnage and estimated scrap rate. Management estimates the useful life of its vessels to be 25 years from the date of initial delivery from the shipyard. Secondhand vessels are depreciated from the date of their acquisition through their remaining estimated useful life.

(n)  Drydocking and special survey costs:  Drydocking and special survey costs are accounted for under the deferral method whereby the actual costs incurred are deferred and are amortized on a straight-line basis over the period through the date the next survey is scheduled to become due. The classification societies provide guidelines applicable to LPG vessels relating to extended intervals for drydocking. Generally, we are required to drydock each of our vessels under 15 years of age every five years until they reach 15 years of age unless an extension of the drydocking to seven and one-half years is requested and granted by the classification society and the vessel is not older than 20 years of age. Costs deferred are limited to actual costs incurred at the yard and parts used in the drydocking or special survey. Costs deferred include expenditures incurred relating to shipyard costs, hull preparation and painting, inspection of hull structure and mechanical components, steelworks, machinery works, and electrical works. If a survey is performed prior to the scheduled date, the remaining unamortized balances are immediately written off. Unamortized balances of vessels that are sold are written-off and included in the calculation of the resulting gain or loss in the period of the vessel’s sale. The amortization charge is presented within Depreciation and amortization in the consolidated statement of operations.

(o)   Financing costs:  Financing costs incurred for obtaining new loans and credit facilities are deferred and amortized to interest expense over the respective term of the loan or credit facility using the effective interest rate method. Any unamortized balance of costs relating to loans/credit facilities repaid or refinanced is either expensed in the period the repayment or refinancing is made, or deferred and amortized over the terms of the respective credit facility, subject to the accounting guidance regarding Debt—Modifications and Extinguishments. Any unamortized balance of costs related to credit facilities repaid is expensed in the period. Any unamortized balance of costs relating to credit facilities refinanced are deferred and amortized over the term of the respective credit facility in the period the refinancing occurs, subject to the provisions of the accounting guidance relating to Debt—Modifications and Extinguishments. The unamortized financing costs are reflected as a reduction of Long-term debt—net of current portion and deferred financing fees in the consolidated balance sheet.

(p)   Restricted cash: Restricted cash represents minimum liquidity to be maintained with certain banks under our borrowing arrangements, pledged cash deposits, and amounts held in escrow. The restricted cash is classified as non-current in the event that its obligation is not expected to be terminated within the next twelve months as they are long-term in nature.

(q)   Leases: Refer to Note 10 for a description of our operating lease expenses for the years ended March 31, 2021, 2020, and 2019 and to Note 18 for a description of commitments related to our leases as of March 31, 2021. The following is a description of our leasing arrangements.

Time charter-out contracts

Our time charter revenues are generated from our vessels being hired by a third-party charterer for a specified period in exchange for consideration, which is based on a monthly hire rate. The charterer has the full discretion over the ports subject to compliance with the applicable charter party agreement and relevant laws. In a time charter contract, we are responsible for all the costs incurred for running the vessel such as crew costs, vessel insurance, repairs and maintenance, and lubricants. The charterer bears the voyage related costs such as bunker expenses, port charges and canal tolls during the hire period. The performance obligations in a time charter contract are satisfied on a straight-line basis over the term of the contract beginning when the vessel is delivered to the charterer until it is redelivered back to us. The charterer generally pays the charter hire monthly in advance. We determined that our time charter contracts are considered operating leases and therefore fall under the scope of the guidance because (i) the vessel is an identifiable asset, (ii) we do not have substantive substitution rights, and (iii) the charterer has the right to control the use of the vessel during the term of the contract and derives the economic benefits from such use. Under the guidance, we elected the practical expedient available to lessors to not separate the lease and non-lease components included in the time charter revenue because (i) the pattern of revenue recognition for the lease and non-lease components is the same as it is earned by the passage of time and (ii) the lease component, if accounted for separately, would be classified as an operating lease.

Time charter revenues are recognized when an agreement exists, the price is fixed, service is provided and the collection of the related revenue is reasonably assured. We record time charter revenues on a straight-line basis over the term of the charter as service is provided. Time charter revenues received in advance of the provision of charter service are recorded as deferred income and recognized when the charter service is rendered. Deferred income or accrued revenue also may result from straight-line revenue recognition in respect of charter agreements that provide for varying charter rates. Deferred income and accrued revenue amounts that will be recognized within the next twelve months are presented as current, with amounts to be recognized thereafter presented as non-current. Revenues earned through the profit-sharing arrangements in the time charters represent contingent rental revenues that are recognized when earned and amounts are reasonably assured based on estimates provided by the charterer.

Net pool revenues—related party

As from April 1, 2015, we began operation of a pool. Net pool revenues—related party for each vessel in the pool is determined in accordance with the profit-sharing terms specified within the pool agreement. In particular, the pool manager calculates the net pool revenues using gross revenues less voyage expenses of all the pool vessels and less the general and administrative expenses of the pool and distributes the net pool revenues as time charter hire to participants based on:

pool points (vessel attributes such as cargo carrying capacity, fuel consumption, and speed are taken into consideration); and

number of days the vessel participated in the pool in the period.

We recognize net pool revenues—related party on a monthly basis, when the vessel has participated in the pool during the period and the amount of net pool revenues for the month can be estimated reliably. Revenue generated from the pool is accounted for as revenue from operating leases.

Time charter-in contracts

Our time charter-in contracts relate to the charter-in activity of vessels from third parties for a specified period of time in exchange for consideration, which is based on a monthly hire rate. We elected the practical expedient of the guidance that allows for contracts with an initial lease term of 12 months or less to be excluded from the operating lease right-of-use assets and lease liabilities recognized on our consolidated balance sheets.

Under the guidance, we elected the practical expedients available to lessees to not separate the lease and non-lease components included in the charter hire expense because (i) the pattern of revenue recognition for the lease and non-lease components is the same as it is earned by the passage of time and (ii) the lease component, if accounted for separately, would be classified as an operating lease. We elected not to separate the lease and non-lease components included in charter hire expense, but to recognize operating lease expense as a combined single lease component for all time charter-in contracts.

Office leases

We carried forward our historical assessments of (i) whether contracts are or contain leases, (ii) lease classifications, and (iii) initial direct costs. For leases with terms greater than 12 months, we record the related right-of-use asset and lease liability as the present value of fixed lease payments over the lease term. For leases that do not provide a readily determinable discount rate, we use our incremental borrowing rate to discount lease payments to present value.

Under the guidance, we elected the practical expedients available to lessees to not separate the lease and non-lease components included in the office lease expense because (i) the pattern of revenue recognition for the lease and non-lease components is the same as it is earned by the passage of time and (ii) the lease component, if accounted for separately, would be classified as an operating lease. We elected not to separate the lease and non-lease components included in general and administrative expenses, but to recognize operating lease expense as a combined single lease component for all office leases.

(r)

Voyage charter revenues:  In a voyage charter contract, a charterer hires a vessel to transport a specific agreed-upon cargo for a single voyage, which may contain multiple load ports and discharge ports. The consideration in such a contract is determined on the basis of a freight rate per metric ton of cargo carried or occasionally on a lump sum basis. The charter party generally has a minimum amount of cargo. The charterer is liable for any short loading of cargo or "dead" freight. The contract generally has standard payment terms of freight paid within three to five days after completion of loading. The contract generally has a "demurrage" or "despatch" clause. As per this clause, the charterer reimburses us for any potential delays exceeding the allowed laytime as per the charter party clause at the ports visited which is recorded as demurrage revenue. Conversely, the charterer is given credit if the loading/discharging activities happen within the allowed laytime, known as despatch, resulting in a reduction in revenue. The voyage contracts generally have variable consideration in the form of demurrage or despatch. Revenue from voyage charters is recognized when (i) the parties to the contract have approved the contract in the form of a written charter agreement and are committed to perform their respective obligations, (ii) we can identify each party’s rights regarding the services to be transferred, (iii) we can identify the payment terms for the services to be transferred, (iv) the charter agreement has commercial substance (that is, the risk, timing, or amount of our future cash flows is expected to change as a result of the contract) and (v) it is probable that we will collect substantially all of the consideration to which we will be entitled in exchange for the services that will be transferred to the charterer.

Voyage charter agreements do not contain a lease and are therefore considered service contracts that fall under the provisions of Accounting Standard Codification (“ASC”) 606 Revenue from Contracts with Customers. Voyage contracts are considered service contracts which fall under the provisions of ASC 606 because we retain control over the operations of the vessel, including directing the routes taken and vessel speed. Voyage contracts generally have variable consideration in the form of demurrage or despatch. We determined that a voyage charter agreement includes a single performance obligation, which is to provide the charterer with an integrated transportation service within a specified time period. In addition, we have concluded that a contract for a voyage

charter meets the criteria to recognize revenue over time because the charterer simultaneously receives and consumes the benefits of our performance as the voyage progresses and therefore revenues are recognized on a pro rata basis over the duration of the voyage determined on a load-to-discharge port basis. In the event a vessel is acquired or sold while a voyage is in progress, the revenue recognized is based on an allocation formula agreed between the buyer and the seller. Demurrage income represents payments by the charterer to the vessel owner when loading or discharging time exceeds the stipulated time in the voyage charter and is recognized when earned and collection is reasonably assured. Despatch expense represents payments by us to the charterer when loading or discharging time is less than the stipulated time in the voyage charter and is recognized as incurred. Voyage charter revenue relating to voyages in progress as of the balance sheet date are accrued and presented in Trade receivables and accrued revenue in the consolidated balance sheet.

(s)   Voyage expenses:  Voyage expenses are expensed as incurred, except for expenses during the ballast portion of the voyage (period between the contract date and the date of the vessel’s arrival to the load port). Any expenses incurred during the ballast portion of the voyage such as bunker expenses, canal tolls and port expenses are deferred and are recognized on a straight-line basis, in voyage expenses, over the voyage duration as we satisfy the performance obligations under the contract provided these costs are (1) incurred to fulfill a contract that we can specifically identify, (2) able to generate or enhance resources of the company that will be used to satisfy performance of the terms of the contract, and (3) expected to be recovered from the charterer. These costs are considered contract fulfillment costs because the costs are direct costs related to the performance of the contract and are expected to be recovered.

(t)   Commissions:  Charter hire commissions to brokers or managers, if any, are deferred and amortized over the related charter period and are included in Voyage expenses.

(u)   Charter hire expenses:  Charter hire expenses in relation to vessels that we may occasionally charter in from third parties are recorded on a straight-line basis over the term of the charter as service is provided. Charter hire expenses paid in advance of the provision of charter service are recorded as a current asset and recognized when the charter service is rendered. Deferred expenses also may result from straight-line recognition in respect of charter agreements that provide for varying charter rates. Deferred expense amounts that will be recognized within the next twelve months are presented as current, with amounts to be recognized thereafter presented as noncurrent.

(v)  Vessel operating expenses:  Vessel operating expenses are accounted for as incurred on the accrual basis. Vessel operating expenses include crew wages and related costs, the cost of insurance, expenses relating to repairs and maintenance, the cost of spares and consumable stores and other miscellaneous expenses.

(w)   Repairs and maintenance:  All repair and maintenance expenses, including underwater inspection costs are expensed in the period incurred. Such costs are included in Vessel operating expenses.

(x)   Stock-based compensation: Stock-based payments to employees and directors are determined based on their grant date fair values and are amortized against income over the vesting period. The fair value is considered to be the closing price recorded on the grant date. We account for restricted stock award forfeitures upon occurrence.

(y)   Stock repurchases:  We record the repurchase of our shares of common stock at cost based on the settlement date of the transaction. These shares are classified as treasury stock unless canceled, which is a reduction to shareholders’ equity. Treasury shares are included in authorized and issued shares, but excluded from outstanding shares.

(z)   Segment reporting:  Each of our vessels serves the same type of customer, have similar operations and maintenance requirements, operate in the same regulatory environment, and are subject to similar economic characteristics. Based on this, we have determined that our Company operates in one reportable segment, the international transportation of liquid petroleum gas with its fleet of vessels. Furthermore, when we charter a vessel to a charterer, the charterer is free to trade the vessel worldwide and, as a result, the disclosure of geographic information is impracticable.

(aa)   Derivative instruments:  All derivatives are stated at their fair value, as either a derivative asset or a liability. The fair value of the interest rate derivatives is based on a discounted cash flow analysis and their fair value changes are recognized in current period earnings. When the derivatives do qualify for hedge accounting, depending upon the nature of the hedge, changes in fair value of the derivatives are either recognized in current period earnings or in other comprehensive income/(loss) (effective portion) until the hedged item is recognized in the consolidated statements of operations. For the periods presented, no derivatives were accounted for as accounting hedges.

(ab)  Fair value of financial instruments:  In accordance with the requirements of accounting guidance relating to Fair Value Measurements, the Company classifies and discloses its assets and liabilities carried at fair value in one of the following three categories:

Level 1:

Quoted market prices in active markets for identical assets or liabilities.

Level 2:

Observable market-based inputs or unobservable inputs that are corroborated by market data.

Level 3:

Unobservable inputs that are not corroborated by market data.

(ac)  Recent accounting pronouncements:

Accounting Policies Not Yet Adopted

In March 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”).” ASU 2020-04 provides temporary optional expedients and exceptions to the guidance in U.S. GAAP on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from LIBOR and other interbank offered rates to alternative reference rates. This ASU is effective for adoption at any time between March 12, 2020 and December 31, 2022. In January 2021, FASB issued ASU 2021-01 (Topic 848), which amends and clarifies the existing accounting standard issued in March 2020 for Reference Rate Reform. Reference rates such as LIBOR, are widely used in a broad range of financial instruments and other agreements. The ASU permits entities to elect certain optional expedients and exceptions when accounting for derivative contracts and certain hedging relationships affected by changes in the interest rates used for discounting cash flows, for computing variation margin settlements, and for calculating price alignment interest in connection with reference rate reform activities under way in global financial markets (the “discounting transition”). We are currently evaluating the impact of this adoption on our consolidated financial statements and related disclosures.

v3.21.1
Transactions with Related Parties
12 Months Ended
Mar. 31, 2021
Transactions with Related Parties  
Transactions with Related Parties

3. Transactions with Related Parties

Dorian (Hellas) S.A.

Dorian (Hellas) S.A. (“DHSA”) formerly provided technical, crew, commercial management, insurance and accounting services to our vessels and had agreements to outsource certain of these services to Eagle Ocean Transport Inc. (“Eagle Ocean Transport”), which is 100% owned by Mr. John C. Hadjipateras, our Chairman, President and Chief Executive Officer.

Dorian LPG (USA) LLC and its subsidiaries entered into an agreement with DHSA, retroactive to July 2014 and superseding an agreement between Dorian LPG (UK) Ltd. and DHSA, for the provision by Dorian LPG (USA) LLC and its subsidiaries of certain chartering and marine operation services to DHSA, for which income was earned and included in “Other income-related parties” totaling $0.1 million, $0.1 million and $0.2 million for the years ended March 31, 2021, 2020 and 2019, respectively. As of March 31, 2021, $1.0 million was due from DHSA and included in “Due from related parties.” As of March 31, 2020, $1.3 million was due from DHSA and included in “Due from related parties.”

Helios LPG Pool LLC (“Helios Pool”)

On April 1, 2015, Dorian and Phoenix began operations of the Helios Pool, which entered into pool participation agreements for the purpose of establishing and operating, as charterer, under variable rate time charters to be entered into with owners or disponent owners of VLGCs, a commercial pool of VLGCs whereby revenues and expenses are shared. We hold a 50% interest in the Helios Pool as a joint venture with Phoenix and all significant rights and obligations are equally shared by both parties. All profits of the Helios Pool are distributed to the pool participants based on pool points assigned to each vessel as variable charter hire and, as a result, there are no profits available to the equity investors as a share of equity. We have determined that the Helios Pool is a variable interest entity as it does not have sufficient equity at risk. We do not consolidate the Helios Pool because we are not the primary beneficiary and do not have a controlling financial interest. In consideration of Accounting Standards Codification (“ASC”) 810-10-50-4e, the significant factors considered and judgments made in determining that the power to direct the activities of the Helios Pool that most significantly impact the entity’s economic performance are shared, in that all significant performance activities which relate to approval of pool policies and strategies related to pool customers and the marketing of the pool for the procurement of customers for the pool vessels, addition of new pool vessels and the pool cost management, require unanimous board consent from a board consisting of two members from each joint venture investor. Further, in accordance with the guidance in ASC 810-10-25-38D, the Company and Phoenix are not related parties as defined in ASC 850 nor are they de facto agents pursuant to ASC 810-10, the power over the significant activities of the Helios Pool is shared, and no party is the primary beneficiary in the Helios Pool, or has a controlling financial interest. As of March 31, 2021, the Helios Pool operated thirty VLGCs, including twenty-two vessels from our fleet (including two vessels time chartered-in from unrelated parties), four Phoenix vessels, and four from other participants.

As of March 31, 2021, we had net receivables from the Helios Pool of $78.1 million (net of an amount due to Helios Pool of $0.1 million which is reflected under “Due to related Parties”), including $24.2 million of working capital contributed for the operation of our vessels in the pool. As of March 31, 2020, we had receivables from the Helios Pool of $88.1 million (net of an amount due to Helios Pool of $0.4 million which is reflected under “Due to related Parties”), including $24.2 million of working capital contributed for the operation of our vessels in the pool. Our maximum exposure to losses from the pool as of March 31, 2021 is limited to the receivables from the pool. The Helios Pool does not have any third-party debt obligations. The Helios Pool has entered into commercial management agreements with each of Dorian LPG (UK) Ltd. and Phoenix as commercial managers and has appointed both commercial managers as the exclusive commercial managers of pool vessels. Fees for commercial management services provided by Dorian LPG (UK) Ltd. are included in “Other income-related parties” in the consolidated statement of operations and were $2.0 million, $1.6 million and $2.2 million for the years ended March 31, 2021, 2020 and 2019, respectively. Additionally, we received a fixed reimbursement of expenses such as costs for security guards and war risk insurance for vessels operating in high risk areas from the Helios Pool, for which we earned $3.5 million, $1.2 million and $0.3 million for the years ended March 31, 2021, 2020 and 2019 respectively, and are included in “Other revenues, net” in the consolidated statement of operations.

Through our vessel owning subsidiaries, we have chartered vessels to the Helios Pool during the years ended March 31, 2021, 2020 and 2019. The time charter revenue from the Helios Pool is variable depending upon the net results of the pool, operating days and pool points for each vessel. The Helios Pool enters into voyage and time charters with external parties and receives freight and related revenue and, where applicable, incurs voyage costs such as bunkers, port costs and commissions. At the end of each month, the Helios Pool calculates net pool revenues using gross revenues, less voyage expenses of all pool vessels, less fixed time charter hire for any time chartered-in vessels, less the general and administrative expenses of the pool. Net pool revenues, less any amounts required for working capital of the Helios Pool, are distributed, to the extent they have been collected from third-party customers of the Helios Pool, as variable rate time charter hire for the relevant vessel to participants based on pool points (vessel attributes such as cargo carrying capacity, fuel consumption, and speed are taken into consideration) and number of days the vessel participated in the pool in the period. We recognize net pool revenues on a monthly basis, when each relevant vessel has participated in the pool during the period and the amount of net pool revenues for the month can be estimated reliably. Revenue earned from the Helios Pool is presented in Note 13.

v3.21.1
Inventories
12 Months Ended
Mar. 31, 2021
Inventories  
Inventories

4. Inventories

Our inventories by type were as follows:

March 31, 2021

March 31, 2020

 

Lubricants

$

1,475,228

$

1,544,352

Victualing

404,419

 

328,297

Bonded stores

127,817

 

123,554

Total

$

2,007,464

$

1,996,203

v3.21.1
Vessels, Net
12 Months Ended
Mar. 31, 2021
Vessels, Net  
Vessels, Net

5. Vessels, Net

    

    

Accumulated

    

 

Cost

depreciation

Net book Value

 

Balance, April 1, 2019

 

$

1,732,993,810

 

$

(254,473,496)

 

$

1,478,520,314

Other additions

24,291,423

24,291,423

Depreciation

 

 

(65,152,904)

 

(65,152,904)

Balance, April 1, 2020

$

1,757,285,233

 

$

(319,626,400)

 

$

1,437,658,833

Other additions

5,372,597

5,372,597

Depreciation

(66,003,175)

(66,003,175)

Balance, March 31, 2021

 

$

1,762,657,830

 

$

(385,629,575)

 

$

1,377,028,255

Additions to vessels, net mainly consisted of the installment payments on the purchase of scrubbers and other capital improvements for certain of our VLGCs during the years ended March 31, 2021 and 2020. Our vessels, with a total carrying value of $1,337.4 million and $1,437.7 million as of March 31, 2021 and 2020, respectively, are first-priority mortgaged as collateral for our long-term debt (refer to Note 9 below). No impairment loss was recorded for the periods presented.

v3.21.1
Other Fixed Assets, Net
12 Months Ended
Mar. 31, 2021
Other Fixed Assets, Net  
Other Fixed Assets, Net

6. Other Fixed Assets, Net

Other fixed assets, net were $0.1 million and $0.2 million as of March 31, 2021 and March 31, 2020, respectively, and represent leasehold improvements, software and furniture and fixtures at cost. Accumulated depreciation on other fixed assets, net was $0.3 million as of both March 31, 2021 and March 31, 2020.

v3.21.1
Deferred Charges, Net
12 Months Ended
Mar. 31, 2021
Deferred Charges, Net.  
Deferred Charges, Net

7. Deferred Charges, Net

The analysis and movement of deferred charges, net is presented in the table below:

    

Drydocking

 

costs

 

Balance, April 1, 2019

 

$

2,000,794

Additions

 

6,329,877

Amortization

(993,945)

Balance, March 31, 2020

$

7,336,726

Additions

5,178,916

Amortization

(2,357,440)

Balance, March 31, 2021

 

$

10,158,202

v3.21.1
Accrued Expenses
12 Months Ended
Mar. 31, 2021
Accrued Expenses  
Accrued Expenses

8. Accrued Expenses

Accrued expenses comprised of the following:

March 31, 2021

    

March 31, 2020

 

Accrued contingent claim

$

4,000,000

$

Accrued voyage and vessel operating expenses

2,730,803

2,473,385

Accrued employee-related costs

1,301,510

949,310

Accrued professional services

523,950

266,836

Accrued loan and swap interest

204,237

284,985

Accrued board of directors' fees

88,750

Other

 

4,764

17,686

Total

$

8,765,264

$

4,080,952

v3.21.1
Long-term Debt
12 Months Ended
Mar. 31, 2021
Long-term Debt  
Long-term Debt

9. Long-Term Debt

Description of our Debt Obligations

2015 AR Facility

In March 2015, we entered into a $758 million debt financing facility with four separate tranches (collectively, with its amendments and restatement, the “2015 AR Facility”). Commercial debt financing (“Commercial Financing”) of $249 million was provided by ABN AMRO Capital USA LLC (“ABN”); ING Bank N.V., London Branch, ("ING"); DVB Bank SE ("DVB"); Citibank N.A., London Branch (“Citi”); and Commonwealth Bank of Australia, New York Branch, ("CBA") (collectively the "Commercial Lenders"), while the Export Import Bank of Korea ("KEXIM") directly provided $204 million of financing (“KEXIM Direct Financing”). The remaining $305 million of financing was provided under tranches guaranteed by KEXIM of $202 million (“KEXIM Guaranteed”) and insured by the Korea Trade Insurance Corporation ("K-sure") of $103 million (“K-sure Insured”). Financing under the KEXIM guaranteed and K-sure insured tranches are provided by certain Commercial Lenders; Deutsche Bank AG; and Santander Bank, N.A. As of March 31, 2021, the debt financing is secured by, among other things, fifteen of our ECO VLGCs. On April 29, 2020, we amended and restated the 2015 AR Facility to among other things, refinance the commercial tranche from the 2015 AR Facility (the “Original Commercial Tranche”). Pursuant to the April 2020 amendment and restatement of the 2015 AR Facility, certain new facilities (the “New Facilities”) were made available to us, including (i) a new senior secured term loan facility in an aggregate principal amount of $155.8 million, a portion of which was used to prepay in full the outstanding principal amount under the Original Commercial Tranche and the balance for general corporate purposes and (ii) a new senior secured revolving credit facility in an aggregate principal amount of up to $25.0 million, which we intend to use for general corporate purposes. On July 14, 2020 (with retroactive effect to June 30, 2020), we amended the 2015 AR Facility and received approvals from those lenders constituting the “Required Lenders” under the 2015 AR Facility, as applicable, to modify certain financial and security covenants to reflect the Company’s current financial condition.

The 2015 AR Facility contains various covenants providing for, among other things, maintenance of certain financial ratios and certain limitations on payment of dividends, investments, acquisitions and indebtedness.

The 2015 AR Facility is secured by, among other things, (i) first priority Bahamian mortgages on the vessels financed; (ii) first priority assignments of all of the financed vessels’ insurances, earnings, requisition compensation, and management agreements; (iii) first priority security interests in respect of all issued shares or limited liability company interests of the borrowers and vessel-owning guarantors; (iv) first priority charter assignments of all of the financed vessels’ long-term charters; (v) assignments of the interests of any ship manager in the insurances of the financed vessels; (vi) an assignment by the borrower of any bank, deposit or certificate of deposit opened in accordance with the facility; and (vii) a guaranty by the Company guaranteeing the obligations of the borrower and other guarantors under the facility agreement. The 2015 AR Facility further provides that the facility is to be secured by assignments of the borrower’s rights under any hedging contracts in connection with the facility, but such assignments have not been entered into at this time.

The 2015 AR Facility also contains customary covenants that require us to maintain adequate insurance coverage, properly maintain the vessels and to obtain the lender’s prior consent before changes are made to the flag, class or

management of the vessels, or entry into a new line of business. The loan facility includes customary events of default, including those relating to a failure to pay principal or interest, breaches of covenants, representations and warranties, a cross-default to certain other debt obligations and non-compliance with security documents, and customary restrictions from paying dividends if an event of default has occurred and is continuing, or if an event of default would result therefrom.

The following financial covenants are the most restrictive from the 2015 AR Facility with which the Company is required to comply, calculated on a consolidated basis, determined and defined according to the provisions of the loan agreement and its amendments:

The ratio of current assets and long-term restricted cash divided by current liabilities, excluding current portion of long-term debt, shall always be greater than 1.00;

Maintain minimum shareholders’ equity at all times equal to the aggregate of $400 million;

The ratio of consolidated net debt to consolidated total capitalization shall not exceed 0.60 to 1.00;

Fair market value of the mortgaged ships plus any additional security over the outstanding loan balance shall be 145%.

Minimum liquidity covenant of $27.5 million; and

Minimum cash balance $1.0 million per mortgaged vessel;

The provision applicable to our minimum cash balance requirements were modified under the terms of the amendment to the 2015 AR Facility and as a result our minimum cash balance no longer meets the criteria to be recognized as restricted cash. Accordingly, and with retroactive effect to June 30, 2020, we no longer classify these amounts as restricted cash on our consolidated balance sheets. This requirement was reduced from $2.2 million per mortgaged vessel under the initial 2015 AR Facility to $1.0 million per mortgaged vessel per the July 14, 2020 amendment.

The advances in connection with New Facilities are to be repaid on the earlier of (i) the fifth (5th) anniversary of the utilization date of the new senior secured term loan facility, described above, and (ii) March 26, 2025. The New Facilities bear interest at the rate of LIBOR plus a margin of 2.50%. The margin can be decreased by 10 basis points if the Security Leverage Ratio (which is based on our security value ratio for vessels secured under the 2015 AR Facility) is less than .40 or increased by 10 basis points if it is greater than or equal to .60. Pursuant to the terms of the 2015 AR Facility, we have the potential to receive a 10 basis point increase or reduction in the margin applicable to the New Facilities for changes in our Average Efficiency Ratio (which weighs carbon emissions for a voyage against the design deadweight of a vessel and the distance traveled on such voyage). As of March 31, 2021, the set margin was 2.40%.

Certain terms of the borrowings under each tranche of the 2015 AR Facility are as follows:

Interest Rate at 

    

    

Term

Interest Rate Description(1)

March 31, 2021(2)

Tranche 1

Commercial Financing

10

years(3)

London InterBank Offered Rate (“LIBOR”) plus a margin(5)

2.60

%

Tranche 2

KEXIM Direct Financing

12

years(4)

LIBOR plus a margin of 2.45%

2.65

%

Tranche 3

KEXIM Guaranteed

12

years(4)

LIBOR plus a margin of 1.40%

1.60

%

Tranche 4

K-sure Insured

12

years(4)

LIBOR plus a margin of 1.50%

1.70

%

(1)The interest rate of the 2015 AR Facility on Tranche 1 is determined in accordance with the agreement as three- or six- month LIBOR plus the applicable margin and the interest rate on Tranches 2, 3 and 4 is determined in accordance with the agreement as three- month LIBOR plus the applicable margin for the respective tranches.

(2)The LIBOR rate in effect as of March 31, 2021 was 0.20%.

(3)The 2015 AR Facility extended the commercial tranche’s term from 7 to 10 years.

(4)The KEXIM Direct Financing, KEXIM Guaranteed, and K-Sure tranches have put options to call for the prepayment on the final payment date of the Commercial Financing tranche subject to specific notifications and commitments for refinancing/renewal of the Commercial Financing tranche.

(5)The Commercial Financing tranche margin over LIBOR is 2.50% and is reduced by 10 basis points if the Security Leverage Ratio (which is based on our security value ratio for vessels secured under the 2015 AR Facility) is less than .40 or increased by 10 basis points if it is greater than or equal to .60. We also have the potential to receive a 10 basis point increase or reduction in the margin applicable to the New Facilities for changes in our Average Efficiency Ratio (which weighs carbon emissions for a voyage against the design deadweight of a vessel and the distance traveled on such voyage). As of March 31, 2021, the set margin was 2.40%.

The 2015 AR Facility permits the lenders to accelerate the indebtedness if, without the prior written consent of the lenders, (i) one-third of our common shares are owned by any shareholder other than certain entities, directors or officers listed in the agreement; (ii) there are certain changes to our board of directors; or (iii) Mr. John C. Hadjipateras ceases to serve on our board of directors.

We were in compliance with all financial covenants as of March 31, 2021.

Corsair Japanese Financing

On November 7, 2017, we refinanced a 2014-built VLGC, the Corsair, pursuant to a memorandum of agreement and a bareboat charter agreement (“Corsair Japanese Financing”). In connection therewith, we transferred the Corsair to the buyer for $65.0 million and, as part of the agreement, Corsair LPG Transport LLC, our wholly-owned subsidiary, bareboat chartered the vessel back for a period of 12 years, with purchase options from the end of year 2 onwards through a mandatory buyout by 2029. We continue to technically manage, commercially charter, and operate the Corsair. We received $52.0 million in cash as part of the transaction with $13.0 million to be retained by the buyer as a deposit (the “Corsair Deposit”), which can be used by us towards the repurchase of the vessel either pursuant to an early buyout option or at the end of the 12-year bareboat charter term. The refinancing proceeds of $52.0 million were used to prepay $30.1 million of the then outstanding principal amount of debt related to the Corsair. The remaining proceeds were used to pay legal fees associated with this transaction and for general corporate purposes. The Corsair Japanese Financing is treated as a financing transaction and the VLGC continues to be recorded as an asset on our balance sheet. This debt financing has a fixed interest rate of 4.9%, not including financing costs of $0.1 million, monthly broker commission fees of 1.25% over the 12-year term on interest and principal payments made, broker commission fees of 1% of the purchase option price excluding the Corsair Deposit, and a monthly fixed straight-line principal obligation of approximately $0.3 million over the 12-year term with a balloon payment of $13.0 million.

Concorde Japanese Financing

On January 31, 2018, we refinanced a 2015-built VLGC, the Concorde, pursuant to a memorandum of agreement and a bareboat charter agreement. In connection therewith, we transferred the Concorde to the buyer for $70.0 million and, as part of the agreement, Concorde LPG Transport LLC, our wholly-owned subsidiary, bareboat chartered the vessel back for a period of 13 years, with purchase options from the end of year 3 onwards through a mandatory buyout by 2031. We continue to technically manage, commercially charter, and operate the Concorde. We received $56.0 million in cash as part of the transaction with $14.0 million to be retained by the buyer as a deposit (the “Concorde Deposit”), which can be used by us towards the repurchase of the vessel either pursuant to an early buyout option or at the end of the 13-year bareboat charter term. The refinancing proceeds of $56.0 million were used to prepay $35.1 million of the 2015 AR Facility’s then outstanding principal amount. Pursuant to an amendment to the 2015 AR Facility and in conjunction with this prepayment, $1.6 million of restricted cash was released under the 2015 AR Facility. The remaining proceeds were, or will be, used to pay legal fees associated with this transaction and for general corporate purposes. This transaction is treated as a financing transaction and the Concorde continues to be recorded as an asset on our balance sheet. This debt financing has a fixed interest rate of 4.9%, not including financing costs of $0.1 million, monthly broker commission fees of 1.25% over the 13-year term on interest and principal payments made, broker commission fees of 1% of an exercised purchase option excluding the Concorde Deposit, and a monthly fixed straight-line principal obligation of approximately $0.3 million over the 13-year term with a balloon payment of $14.0 million.  

Corvette Japanese Financing

On March 16, 2018, we refinanced a 2015-built VLGC, the Corvette, pursuant to a memorandum of agreement and a bareboat charter agreement. In connection therewith, we transferred the Corvette to the buyer for $70.0 million and, as part of the agreement, Corvette LPG Transport LLC, our wholly-owned subsidiary, bareboat chartered the vessel back for a period of 13 years, with purchase options from the end of year 3 onwards through a mandatory buyout by 2031. We continue to technically manage, commercially charter, and operate the Corvette. We received $56.0 million in cash as part of the transaction with $14.0 million to be retained by the buyer as a deposit (the “Corvette Deposit”), which can be used by us towards the repurchase of the vessel either pursuant to an early buyout option or at the end of the 13-year bareboat charter term. The refinancing proceeds of $56.0 million were used to prepay $33.7 million of the 2015 AR Facility’s then outstanding principal amount. Pursuant to an amendment to the 2015 AR Facility and in conjunction with this prepayment, $1.6 million of restricted cash was released under the 2015 AR Facility. The remaining proceeds were, or will be, used to pay legal fees associated with this transaction and for general corporate purposes. This transaction is treated as a financing transaction and the Corvette continues to be recorded as an asset on our balance sheet. This debt financing has a fixed interest rate of 4.9%, not including financing costs of $0.1 million, monthly broker commission fees of 1.25% over the 13-year term on interest and principal payments made, broker commission fees of 1% of an exercised purchase option excluding the Corvette Deposit, and a monthly fixed straight-line principal obligation of approximately $0.3 million over the 13-year term with a balloon payment of $14.0 million.  

CJNP Japanese Financing

On June 11, 2018, we refinanced our 2007-built VLGC, the Captain John NP, pursuant to a memorandum of agreement and a bareboat charter agreement (the “CJNP Japanese Financing”). In connection therewith, we transferred the Captain John NP to the buyer for $48.3 million and, as part of the agreement, CJNP LPG Transport LLC, our wholly-owned subsidiary, bareboat chartered the vessel back for a period of 6 years, with purchase options from the end of year 2 through a mandatory buyout by 2024. We continue to technically manage, commercially charter, and operate the Captain John NP. We received $21.7 million, which increased our unrestricted cash, as part of the transaction with $26.6 million to be retained by the buyer as a deposit (the “CJNP Deposit”), which can be used by us towards the repurchase of the vessel either pursuant to an early buyout option or at the end of the 6-year bareboat charter term. This transaction is treated as a financing transaction and the Captain John NP continues to be recorded as an asset on our balance sheet. This debt financing had a fixed interest rate of 6.0%, not including financing costs of $0.1 million, monthly broker commission fees of 1.25% over the 6-year term on interest and principal payments made, broker commission fees of 0.5% paid upon the delivery of the Captain John NP to the buyer, broker commission fees of 0.5% payable on the repurchase of the Captain John NP, and a monthly fixed straight-line principal obligation of approximately $0.1 million over the 6-year term with a balloon payment of $13.0 million. On October 13, 2020, we exercised the repurchase option under the CJNP Japanese Financing and repurchased the Captain John NP for $18.3 million in cash and the application of the CJNP Deposit amount of $26.6 million, which had been retained by the buyer in connection with the CJNP Japanese Financing, towards the repurchase of the vessel.

CMNL/CJNP Japanese Financing

On June 25, 2018, we refinanced our 2006-built VLGC, the Captain Markos NL, pursuant to a memorandum of agreement and a bareboat charter agreement (the “CMNL/CJNP Japanese Financing”). In connection therewith, we transferred the Captain Markos NL to the buyer for $45.8 million and, as part of the agreement, CMNL LPG Transport LLC, our wholly-owned subsidiary, bareboat chartered the vessel back for a period of 7 years, with purchase options from the end of year 2 through a mandatory buyout by 2025. We continue to technically manage, commercially charter, and operate the Captain Markos NL. We received $20.6 million, which increased our unrestricted cash, as part of the transaction with $25.2 million to be retained by the buyer as a deposit (the “CMNL Deposit”), which can be used by us towards the repurchase of the vessel either pursuant to an early buyout option or at the end of the 7-year bareboat charter term. This transaction is treated as a financing transaction and the Captain Markos NL continues to be recorded as an asset on our balance sheet. This debt financing has a fixed interest rate of 6.0%, not including financing costs of $0.1 million, monthly broker commission fees of 1.25% over the 7-year term on interest and principal payments made, broker commission fees of 0.5% paid upon the delivery of the Captain Markos NL to the buyer, broker commission fees of 0.5%. payable on the repurchase of the Captain Markos NL, and a monthly fixed straight-line principal obligation of

approximately $0.1 million over the 7-year term with a balloon payment of $11.0 million. On March 26, 2021, we substituted the Captain Markos NL with the Captain John NP within this financing. The terms of the new bareboat charter between the buyer and CJNP LPG Transport LLC after the vessel substitution are identical.

CNML Japanese Financing

On June 26, 2018, we refinanced our 2008-built VLGC, the Captain Nicholas ML, pursuant to a memorandum of agreement and a bareboat charter agreement (the “CNML Japanese Financing”). In connection therewith, we transferred the Captain Nicholas ML to the buyer for $50.8 million and, as part of the agreement, CNML LPG Transport LLC, our wholly-owned subsidiary, bareboat chartered the vessel back for a period of 7 years, with purchase options from the end of year 2 through a mandatory buyout by 2025. We continue to technically manage, commercially charter, and operate the Captain Nicholas ML. We received $22.9 million, which increased our unrestricted cash, as part of the transaction with $27.9 million to be retained by the buyer as a deposit (the “CNML Deposit”), which can be used by us towards the repurchase of the vessel either pursuant to an early buyout option or at the end of the 7-year bareboat charter term. This transaction is treated as a financing transaction and the Captain Nicholas ML continues to be recorded as an asset on our balance sheet. This debt financing has a fixed interest rate of 6.0%, not including financing costs of $0.1 million, monthly broker commission fees of 1.25% over the 7-year term on interest and principal payments made, broker commission fees of 0.5%, paid upon the delivery of the Captain Nicholas ML to the buyer, broker commission fees of 0.5%, payable on the repurchase of the Captain Nicholas ML, and a monthly fixed straight-line principal obligation of approximately $0.1 million over the 7-year term with a balloon payment of $13.0 million.

Cresques Japanese Financing and Prepayment of the Relevant Tranches of the 2015 AR Facility

On April 21, 2020, we prepaid $28.5 million of the 2015 AR Facility’s then outstanding principal using cash on hand prior to the closing of the Cresques Japanese Financing (defined below). On April 23, 2020, we refinanced a 2015-built VLGC, the Cresques, pursuant to a memorandum of agreement and a bareboat charter agreement (“Cresques Japanese Financing”). In connection therewith, we transferred the Cresques to the buyer for $71.5 million and, as part of the agreement, Dorian Dubai LPG Transport LLC, our wholly-owned subsidiary, bareboat chartered the vessel back for a period of 12 years, with purchase options from the end of year 3 onwards through a mandatory buyout by 2032. We continue to technically manage, commercially charter, and operate the Cresques. We received $52.5 million in cash as part of the transaction with $19.0 million to be retained by the buyer as a deposit (the “Cresques Deposit”), which can be used by us towards the repurchase of the vessel either pursuant to an early buyout option or at the end of the 12-year bareboat charter term. This transaction is treated as a financing transaction and the Cresques continues to be recorded as an asset on our balance sheet. This debt financing has a floating interest rate of one-month LIBOR plus a margin of 2.5%, monthly broker commission fees of 1.25% over the 12-year term on interest and principal payments made, broker commission fees of 0.5% payable on the remaining debt outstanding at the time of the repurchase of the Cresques, and a monthly fixed straight-line principal obligation of $0.3 million over the 12-year term with a balloon payment of $11.5 million.

Debt Obligations

The table below presents our debt obligations:

    

March 31, 2021

    

March 31, 2020

 

2015 AR Facility

Commercial Financing

$

155,205,698

$

163,385,998

KEXIM Direct Financing

89,474,512

110,716,127

KEXIM Guaranteed

93,997,081

115,385,072

K-sure Insured

46,333,895

57,098,924

Total 2015 AR Facility

$

385,011,186

$

446,586,121

Japanese Financings

Corsair Japanese Financing

$

40,895,833

$

44,145,833

Concorde Japanese Financing

45,500,000

48,730,769

Corvette Japanese Financing

46,038,462

49,269,231

CJNP Japanese Financing

19,058,750

CMNL/CJNP Japanese Financing

16,706,845

18,076,488

CNML Japanese Financing

18,855,655

20,261,012

Cresques Japanese Financing

49,080,000

Total Japanese Financings

$

217,076,795

$

199,542,083

Total debt obligations

$

602,087,981

$

646,128,204

Less: deferred financing fees

10,615,937

11,152,985

Debt obligations—net of deferred financing fees

$

591,472,044

$

634,975,219

Presented as follows:

Current portion of long-term debt

 

$

51,820,283

$

53,056,125

Long-term debt—net of current portion and deferred financing fees

 

539,651,761

581,919,094

Total

 

$

591,472,044

$

634,975,219

Deferred Financing Fees

The analysis and movement of deferred financing fees is presented in the table below:

    

Financing

costs

Balance, April 1, 2019

 

$

14,005,830

Additions

 

40,547

Amortization

(2,893,392)

Balance, March 31, 2020

$

11,152,985

Additions

4,158,312

Amortization

(4,695,360)

Balance, March 31, 2021

 

$

10,615,937

Additions for the year ended March 31, 2021 and 2020 represent financing costs associated with the 2015 AR Facility, Cresques Japanese Financing, and CMNL/CJNP Japanese Financing, which have been deferred and are amortized over the life of the respective agreements and are included as part of interest and finance costs in the consolidated statements of operations.

Future Cash Payments for Debt

The minimum annual principal payments, in accordance with the loan agreements, required to be made after March 31, 2021 are as follows:

Year ending March 31:

    

    

 

2022

$

51,820,283

2023

 

51,820,283

2024

 

51,820,283

2025

 

204,625,981

2026

72,907,782

Thereafter

 

169,093,369

Total

$

602,087,981

v3.21.1
Leases
12 Months Ended
Mar. 31, 2021
Leases  
Leases

10. Leases

Time charter-in contracts

During the year ended March 31, 2021, we time chartered-in a vessel that was delivered to us in May 2020 with a duration of 12 months with no option periods and, therefore, this operating lease was excluded from operating lease right-of-use asset and lease liability recognition on our consolidated balance sheets. During the year ended March 31, 2020, we time chartered-in a VLGC for a period of greater than 12 months and the applicable right-of-use asset and lease liabilities of $27.4 million were recognized on our balance sheets as of March 31, 2020. None of the three option periods of up to an aggregate of four years were included in the recognition of the right-of-use asset for the time chartered-in VLGC as market conditions at the time of each option renewal election date for a time charter-in will be major factors in the decision of whether to exercise the option and such conditions are not known at the time of initial recognition. Our time chartered-in VLGCs were deployed in the Helios Pool and earned net pool revenues of $29.1 million, $18.3 million, and $0.1 million for the years ended March 31, 2021, 2020 and 2019, respectively.

Charter hire expenses for the VLGCs time chartered in were as follows:

Year ended

March 31, 2021

March 31, 2020

March 31, 2019

Charter hire expenses

$

18,135,580

$

9,861,898

$

237,525

Office leases

We currently have operating leases for our offices in Stamford, Connecticut, USA; London, United Kingdom; Copenhagen, Denmark; and Athens, Greece. During the year ended March 31, 2021, we did not enter into and new office leases and did not renew any office leases. During the year ended March 31, 2020, we renewed an operating lease for our London office greater than 12 months and the applicable right-of-use asset and lease liabilities of $0.2 million were recognized on our balance sheets as of March 31, 2020. At adoption of ASC 842, two option periods for our Athens office were included in the recognition of the right-of-use asset as it is probable that the renewal options of 1-year each will be exercised. We accounted for our Copenhagen office lease using the practical expedient for contracts with initial lease terms of 12 month or less as described above and, during the years ended March 31, 2021 and 2020, expensed $0.1 million related to this lease within “general and administrative expenses” on our consolidated statement of operations.

Operating lease rent expense related to our office leases was as follows:

Year ended

March 31, 2021

March 31, 2020

March 31, 2019

Operating lease rent expense

$

558,400

$

541,574

$

471,425

For our office leases and time charter-in arrangement, the discount rate used ranged from 3.82% to 5.53%. The weighted average discount rate used to calculate the lease liability was 3.88%. The weighted average remaining lease term on our office leases and a time chartered-in vessel as of March 31, 2021 is 21.9 months.

Our operating lease right-of-use asset and lease liabilities as of March 31, 2021 were as follows:

Description

Location on Balance Sheet

March 31, 2021

Assets:

Non-current

Office leases

Operating lease right-of-use assets

$

628,253

Time charter-in VLGCs

Operating lease right-of-use assets

$

17,043,974

Liabilities:

Current

Office Leases

Current portion of long-term operating leases

$

440,143

Time charter-in VLGCs

Current portion of long-term operating leases

$

9,151,304

Long-term

Office Leases

Long-term operating leases

$

188,324

Time charter-in VLGCs

Long-term operating leases

$

7,892,671

Maturities of operating lease liabilities as of March 31, 2021 were as follows:

FY 2022

$

10,110,547

FY 2023

8,223,237

Total undiscounted lease payments

18,333,784

Less: imputed interest

(661,342)

Carrying value of lease liabilities

$

17,672,442

v3.21.1
Common Stock
12 Months Ended
Mar. 31, 2021
Common Stock.  
Common Stock

11. Common Stock

Under the articles of incorporation effective July 1, 2013, the Company’s authorized capital stock consists of 500,000,000 registered shares, par value $0.01 per share, of which 450,000,000 are designated as common share and 50,000,000 shares are designated as preferred shares.

Each holder of common shares is entitled to one vote on all matters submitted to a vote of shareholders. Subject to preferences that may be applicable to any outstanding shares of preferred stock, holders of common shares are entitled to share equally in any dividends, which the Company’s board of directors may declare from time to time, out of funds legally available for dividends. Upon dissolution, liquidation or winding-up, the holders of common shares will be entitled to share equally in all assets remaining after the payment of any liabilities and the liquidation preferences on any outstanding preferred stock. Holders of common shares do not have conversion, redemption or pre-emptive rights.

On February 2, 2021, we announced a tender offer to purchase up to 7,407,407, or about 14.8%, of our then outstanding common shares at a price of $13.50 per share. Based on preliminary results indicating that the tender offer was oversubscribed, we elected to increase the number of shares accepted for payment by 997,739, or slightly less than 2% of our then outstanding shares, pursuant to the terms of the tender offer . The number of shares we purchased and canceled from each tendering shareholder was prorated so our purchases in the tender offer totaled of 8,405,146 shares, or approximately 16.8% of our then outstanding common shares, for an aggregate purchase price of approximately $113.5 million.

On August 5, 2019, our Board of Directors authorized the repurchase of up to $50.0 million of our common shares through the period ended December 31, 2020 (the “Common Share Repurchase Program”). On February 3, 2020, our Board of Directors authorized an increase to our Common Share Repurchase Program to repurchase up to an additional $50.0 million of our common shares. On December 29, 2020, our Board of Directors authorized an extension of and an increase to the remaining authorization of $41.4 million under our Common Share Repurchase Program, which was set to expire on December 31, 2020. Following this Board action, we are now authorized to repurchase up to $50.0 million of our common shares from December 29, 2020 through December 31, 2021. As of March 31, 2021, our total purchases

under this authority totaled 5.5 million of our common shares for an aggregate consideration of $60.7 million. Following the increase and extension of the program, we currently have $47.9 million of available share repurchase authority remaining. Purchases may be made at our discretion in the form of open market repurchase programs, privately negotiated transactions, accelerated share repurchase programs or a combination of these methods. The actual amount and timing of share repurchases are subject to capital availability, our determination that share repurchases are in the best interest of our shareholders, and market conditions. We are not obligated to make any common share repurchases under the Common Share Repurchase Program.

Refer to Note 12 below for shares granted under the equity incentive plan during the years ended March 31, 2021, 2020, and 2019.

v3.21.1
Stock-Based Compensation Plans
12 Months Ended
Mar. 31, 2021
Stock-Based Compensation Plans  
Stock-Based Compensation Plans

12. Stock-Based Compensation Plans

In April 2014, we adopted an equity incentive plan, which we refer to as the Equity Incentive Plan, under which we expect that directors, officers, and employees (including any prospective officer or employee) of the Company and its subsidiaries and affiliates, and consultants and service providers to (including persons who are employed by or provide services to any entity that is itself a consultant or service provider to) the Company and its subsidiaries and affiliates, as well as entities wholly-owned or generally exclusively controlled by such persons, may be eligible to receive non-qualified stock options, stock appreciation rights, stock awards, restricted stock units and performance compensation awards that the plan administrator determines are consistent with the purposes of the plan and the interests of the Company. We have reserved 2,850,000 of our common shares for issuance under the Equity Incentive Plan, subject to adjustment for changes in capitalization as provided in the Equity Incentive Plan in April 2014. The plan is administered by our compensation committee.

During the year ended March 31, 2021, we granted an aggregate of 188,400 shares of restricted stock vesting in escalating installments on the grant date and on the first, second, and third anniversary of that date and 56,450 restricted stock units to certain of our officers and employees vesting in escalating installments on the first, second, and third anniversaries of the grant date. The shares of restricted stock and restricted stock units were valued at their grant date fair market value and are expensed on a straight-line basis over the respective vesting periods.

During the year ended March 31, 2021, we granted 155,654 shares of stock to our President and Chief Executive Officer, which were valued and expensed at their grant date fair market value.

During the year ended March 31, 2020 we granted an aggregate of 175,200 shares of restricted stock and 22,500 restricted stock units to certain of our officers and employees. One-fourth of the shares of restricted stock vested on the grant date and one-fourth will vest equally on the first, second and third anniversaries of the grant date. One-third of restricted stock units will vest equally on the first, second, and third anniversaries of the grant date. The shares of restricted stock and restricted stock units were valued at their grant date fair market value and are expensed on a straight-line basis over the respective vesting periods. 

During the year ended March 31, 2019, we granted 200,000 shares of restricted stock to certain of our officers and employees. One-fourth of these restricted shares vested immediately on the grant date, one-fourth vested one year after grant date, one-fourth will vest two years after grant date, and one-fourth will vest three years after grant date. The restricted shares were valued at their grant date fair market value and expensed on a straight-line basis over the vesting periods. 

During the years ended March 31, 2021, 2020, and 2019, we granted 41,711, 24,025, and 35,295 shares of stock, respectively, to our non-executive directors, which were valued and expensed at their grant date fair market value.

During the years ended March 31, 2020, and 2019, we granted 1,550, and 7,059, shares of stock, respectively, to a non-employee consultant, which were valued and expensed at their grant date fair market value. No such shares were granted during the year ended March 31, 2021.

Our stock-based compensation expense was $3.4 million, $3.2 million and $5.5 million for the years ended March 31, 2021, 2020, and 2019, respectively, and is included within general and administrative expenses in our consolidated statements of operations. Unrecognized compensation cost as of March 31, 2021 was $1.9 million and the expense will be recognized over a remaining weighted average life of 1.86 years.

A summary of the activity of our restricted shares as of March 31, 2021 and 2020 and changes during the year ended March 31, 2021 and 2020, are as follows:

    

    

Weighted-Average

 

Grant-Date

Incentive Share/Unit Awards

Number of Shares/Units

Fair Value

Unvested as of April 1, 2019

641,013

$

13.54

Granted

223,275

8.47

Vested

(547,240)

14.64

Unvested as of March 31, 2020

317,048

$

8.08

Granted

442,215

8.34

Vested

(400,942)

8.23

Forfeited

(150)

8.36

Unvested as of March 31, 2021

358,171

$

8.23

The total fair value of restricted shares that vested during the years ended March 31, 2021, 2020, and 2019 was $3.4 million, $5.2 million and $3.9 million, respectively, which is calculated as the number of shares vested during the period multiplied by the fair value on the vesting date.

v3.21.1
Revenues
12 Months Ended
Mar. 31, 2021
Revenues.  
Revenues

13. Revenues

Revenues comprise the following:

    

 

Year ended

 

March 31, 2021

March 31, 2020

March 31, 2019

Net pool revenues—related party

$

292,679,614

$

298,079,123

$

120,015,771

Time charter revenues

19,492,595

34,111,230

37,726,214

Other revenues, net

3,766,603

1,239,645

290,500

Total revenues

$

315,938,812

$

333,429,998

 

$

158,032,485

Net pool revenues—related party depend upon the net results of the Helios Pool, and the operating days and pool points for each vessel. Refer to Notes 2 and 3 above for further information.

Other revenues, net mainly represent income from charterers relating to reimbursement of voyage expenses such as costs for security guards and war risk insurance.

v3.21.1
Voyage Expenses
12 Months Ended
Mar. 31, 2021
Voyage Expenses.  
Voyage Expenses

14. Voyage Expenses

Voyage expenses comprise the following:

    

Year ended

 

March 31, 2021

March 31, 2020

March 31, 2019

Bunkers

$

1,537,007

$

1,345,360

$

756,354

War risk insurances

1,272,647

1,095,156

 

13,052

Brokers’ commissions

334,333

469,143

 

440,955

Security cost

221,882

272,985

 

277,487

Port charges and other related expenses

1,500

5,898

 

167,230

Other voyage expenses

42,281

54,381

 

42,805

Total

$

3,409,650

$

3,242,923

 

$

1,697,883

v3.21.1
Vessel Operating Expenses
12 Months Ended
Mar. 31, 2021
Vessel Operating Expenses.  
Vessel Operating Expenses

15. Vessel Operating Expenses

Vessel operating expenses comprise the following:

    

Year ended

 

March 31, 2021

March 31, 2020

March 31, 2019

Crew wages and related costs

$

44,017,660

$

42,683,848

$

41,649,202

Spares and stores

17,061,388

 

13,249,931