SAFE Bulkers has unveiled better than expected third-quarter profits as it wraps up a lengthy project to environmentally upgrade its existing fleet.

The New York-listed owner of 46 bulkers ranging from panamaxes up to capesizes has so far upgraded 24 of its existing vessels, leaving one last vessel to be upgraded in the current quarter.

The 2010-built post-panamax vessel Venus Heritage (IMO: 9468786) is expected to incur 25 days of down-time for the drydocking.

The programme includes applying low-friction paints and installation of energy saving devices, with the aim of increasing the ships’ energy efficiency and reducing emissions.

Half the fleet, including all eight capesizes, has been fitted with exhaust gas cleaning systems, or scrubbers.

The Cyprus-based owner has also introduced 11 energy-efficient newbuildings, meeting IMO GHG Phase 3 and NOx Tier III standards, since 2022.

Currently, it has another seven newbuildings on order, including two methanol dual-fuel kamsarmaxes, for delivery between 2025 and 2027.

During the third quarter, Safe Bulkers carried out dry dockings, including environmental upgrades, for three of its bulkers but revenues increased to $75.9m, a rise of 17% compared with the same period last year.

The average time charter equivalent rate for the fleet during the three-month period was $17,108 per day per vessel, up from a daily rate of $14,861 in the third quarter of 2023.

Third-quarter net income improved from $15m last year to $25.1m in the most recent quarter.

The result included nearly $7.7m from vessel sales versus $3.3m in the same quarter last year.

Adjusted for this, net profit came to $19m compared with $11.1m in the same period last year.

While the company benefited from higher charter rates in the quarter, Safe Bulkers president Loukas Barmparis warned that the charter market was “gradually softening” and the market was facing geopolitical uncertainties.

The company was “focused on capital allocation towards our newbuilds program, on improving our operational efficiency and on rewarding our shareholders”, he said.

Safe Bulkers has declared a dividend of $0.05 per share for the quarter.