Exhibit 99.1

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following is a discussion of the financial condition and results of operations of Castor Maritime Inc. (“Castor”) for the three-month periods ended March 31, 2022, and March 31, 2023. Unless otherwise specified herein, references to the “Company”, “we”, “our” and “us” or similar terms shall include Castor and its wholly owned subsidiaries. You should read the following discussion and analysis together with the unaudited interim condensed consolidated financial statements and related notes included elsewhere in this report. Amounts relating to percentage variations in period-on-period comparisons shown in this section are derived from those unaudited interim condensed consolidated financial statements. The following discussion contains forward-looking statements that reflect our future plans, estimates, beliefs and expected performance. These forward-looking statements are dependent upon events, risks and uncertainties that may be outside our control which could cause actual events or conditions to differ materially from those currently anticipated and expressed or implied by such forward-looking statements. For a more complete discussion of these risks and uncertainties, please read the sections entitled “Cautionary Statement Regarding Forward-Looking Statements” and “Item 3. Risk Factors” in our Annual Report for the year ended December 31, 2022 (the “2022 Annual Report”), which was filed with the U.S. Securities and Exchange Commission (the “SEC”) on March 8, 2023. For additional information relating to our management’s discussion and analysis of financial conditions and results of operations, please see our 2022 Annual Report. Unless otherwise defined herein, capitalized terms and expressions used herein have the same meanings ascribed to them in the 2022 Annual Report.

Business Overview and Fleet Information

We are a growth-oriented global shipping company that was incorporated in the Republic of the Marshall Islands in September 2017 for the purpose of acquiring, owning, chartering and operating oceangoing cargo vessels. We are a provider of worldwide seaborne transportation services for dry bulk and container cargoes.

We currently operate a fleet consisting of 19 dry bulk carriers that engage in the worldwide transportation of commodities such as iron ore, coal, soybeans etc., with an aggregate cargo carrying capacity of 1.6 million dwt and an average age of 13.3 years and two containership vessels with an aggregate cargo carrying capacity of 0.1 million dwt and an average age of 17.7 years (together, our “Fleet”). The average age of our entire Fleet is 13.7 years. Our management reviews and analyzes operating results for our business over two reportable segments, (i) the Dry Bulk Segment, and (ii) the Containership Segment. On March 7, 2023, we completed the previously announced contribution of the subsidiaries constituting our Aframax/LR2 and Handysize tanker segments and Elektra Shipping Co. (the subsidiary formerly owning the M/T Wonder Arcturus, which was delivered to its new owners on July 15, 2022) to our then wholly owned subsidiary, Toro Corp. (“Toro”), in exchange for various issuances of stock by Toro and distribution of all common shares of Toro on a pro rata basis to our common shareholders (such transactions collectively, the “Spin-Off”).

Our dry bulk and containership fleets currently operate in the time charter market. Our commercial strategy primarily focuses on deploying our Fleet under a mix of period time charters and trip time charters according to our assessment of market conditions. Our aim is to periodically adjust the mix of these chartering arrangements to take advantage of the relatively stable cash flows and high utilization rates associated with period time charters or to profit from attractive spot charter rates in the trip charter market.

Until June 30, 2022, our Fleet was technically managed by Pavimar S.A. (“Pavimar”), a related party controlled by Ismini Panagiotidis, the sister of our Chairman, Chief Executive Officer, Chief Financial Officer and controlling shareholder, Mr. Petros Panagiotidis, and commercially managed by Castor Ships S.A (“Castor Ships”), a company controlled by Mr. Panagiotidis. With effect from July 1, 2022, our vessels are technically and commercially managed by Castor Ships. Castor Ships has opted, with effect from the same date, to technically co-manage our dry-bulk fleet with Pavimar, whereas the technical management of our containerships are currently subcontracted to one third-party ship management company.

The following table summarizes key information about our Fleet as of the date of this report:

Fleet vessels:

Dry Bulk Carriers ⁽¹⁾
Vessel Name	Vessel Type	DWT		Year Built		Country of Construction	Purchase Price (in million)		Delivery Date
Magic P	Panamax		76,453		2004	Japan	$	7.35	02/21/2017
Magic Sun	Panamax		75,311		2001	Korea	$	6.71	09/05/2019
Magic Moon(2)	Panamax		76,602		2005	Japan	$	10.20	10/20/2019
Magic Horizon	Panamax		76,619		2010	Japan	$	12.75	10/09/2020
Magic Nova	Panamax		78,833		2010	Japan	$	13.86	10/15/2020
Magic Orion	Capesize		180,200		2006	Japan	$	17.50	03/17/2021
Magic Venus	Kamsarmax		83,416		2010	Japan	$	15.85	03/02/2021
Magic Argo	Kamsarmax		82,338		2009	Japan	$	14.50	03/18/2021
Magic Twilight	Kamsarmax		80,283		2010	Korea	$	14.80	04/09/2021
Magic Nebula	Kamsarmax		80,281		2010	Korea	$	15.45	05/20/2021
Magic Thunder	Kamsarmax		83,375		2011	Japan	$	16.85	04/13/2021
Magic Eclipse	Panamax		74,940		2011	Japan	$	18.48	06/07/2021
Magic Starlight	Kamsarmax		81,048		2015	China	$	23.50	05/23/2021
Magic Vela	Panamax		75,003		2011	China	$	14.50	05/12/2021
Magic Perseus	Kamsarmax		82,158		2013	Japan	$	21.00	08/09/2021
Magic Pluto	Panamax		74,940		2013	Japan	$	19.06	08/06/2021
Magic Mars	Panamax		76,822		2014	Korea	$	20.40	09/20/2021
Magic Phoenix	Panamax		76,636		2008	Japan	$	18.75	10/26/2021
Magic Callisto(3)	Panamax		74,930		2012	Japan	$	23.55	01/04/2022
Containerships(4)
Ariana A	2,700 TEU capacity Containership		38,117		2005	Germany	$	25.00	11/23/22
Gabriela A	2,700 TEU capacity Containership		38,121		2005	Germany	$	25.75	11/30/22

(1)

On March 13, 2023, the Company entered into an agreement with an unaffiliated third party for the sale of the M/V Magic Rainbow for a gross sale price of $12.6 million. The vessel was delivered to its new owners on April 18, 2023. For further information, please refer to Note 7(b) to our unaudited interim condensed consolidated financial statements, included elsewhere herein.

(2)

On March 23, 2023, the Company entered into an agreement with an unaffiliated third party for the sale of the M/V Magic Moon for a gross sale price of $13.95 million. The vessel is expected to be delivered to its new owner during the third quarter of 2023. For further information, please refer to Note 7(b) to our unaudited interim condensed consolidated financial statements, included elsewhere herein.

(3)

On January 4, 2022, our wholly owned subsidiary, Mickey Shipping Co., pursuant to a purchase agreement entered into on December 17, 2021, took delivery of the M/V Magic Callisto, a Japanese-built Panamax dry bulk carrier acquired from a third-party in which a family member of Petros Panagiotidis had a minority interest. The transaction was approved by a special committee of disinterested and independent directors of the Company.

(4)

On October 26, 2022, our wholly owned subsidiaries, Tom Shipping Co. and Jerry Shipping Co., entered into two separate agreements to each acquire a 2005 German-built 2,700 TEU containership vessel each, from two separate entities beneficially owned by family members of the Company’s Chairman, Chief Executive Officer and Chief Financial Officer. The terms of these transactions were negotiated and approved by a special committee of disinterested and independent directors of the Company.

We intend to continuously explore the market in order to identify further potential acquisition targets which will help us grow our Fleet and business. Our acquisition strategy has so far focused on secondhand dry bulk vessels and, recently, containerships, though we may acquire vessels in other sizes, age and/or sectors which we believe offer attractive investment opportunities, subject to the parameters set out in certain resolutions passed by our board of directors in connection with the Spin-Off. We may also opportunistically dispose of vessels and may engage in such acquisitions and disposals at any time and from time to time.

Recent Developments

Please refer to Note 19 to our unaudited interim condensed consolidated financial statements, included elsewhere herein, for developments that took place after March 31, 2023.

Operating results

Important measures and definitions for analyzing our results of operations

Our management uses the following metrics to evaluate our operating results, including the operating results of our segments, and to allocate capital accordingly:

Total vessel revenues. Total vessel revenues are generated mainly from time charters. Vessels operating on time charters for a certain period provide more predictable cash flows over that period. Total vessel revenues are affected by the number of vessels in our Fleet, hire rates and the number of days a vessel operates which, in turn, are affected by several factors, including the amount of time that we spend positioning our vessels, the amount of time that our vessels spend in dry dock undergoing repairs, maintenance and upgrade work, the age, condition and specifications of our vessels, and levels of supply and demand in the seaborne transportation market.

For further discussion of vessel revenues, please refer to Note 14 to our unaudited interim condensed consolidated financial statements included elsewhere in this report.

Voyage expenses. Our voyage expenses primarily consist of brokerage commissions paid in connection with the chartering of our vessels. Under a time charter, the charterer pays substantially all the vessel voyage related expenses. However, we may incur voyage related expenses when positioning or repositioning vessels before or after the period of a time charter, during periods of commercial waiting time or while off-hire during dry docking or due to other unforeseen circumstances. and occasionally of bunker expenses. Gain/loss on bunkers may also arise where the cost of the bunker fuel sold to the new charterer is greater or less than the cost of the bunker fuel acquired.

Operating expenses. We are responsible for vessel operating costs, which include crewing, expenses for repairs and maintenance, the cost of insurance, tonnage taxes, the cost of spares and consumable stores, lubricating oils costs, communication expenses, and other expenses, including ship management fees. Expenses for repairs and maintenance tend to fluctuate from period to period because most repairs and maintenance typically occur during periodic drydocking. Our ability to control our vessels’ operating expenses also affects our financial results. Daily vessel operating expenses are calculated by dividing Fleet operating expenses by the Ownership Days for the relevant period.

Off-hire. The period a vessel in our Fleet is unable to perform the services for which it is required under a charter for reasons such as scheduled repairs, vessel upgrades, dry- dockings or special or intermediate surveys or other unforeseen events.

Dry-docking/Special Surveys. We periodically dry-dock and/or perform special surveys on vessels in our Fleet for inspection, repairs and maintenance and any modifications to comply with industry certification or governmental requirements. Our ability to control our dry-docking and special survey expenses and our ability to complete our scheduled dry- dockings and/or special surveys on time also affects our financial results. Dry-docking and special survey costs are accounted 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.

Ownership Days. Ownership Days are the total number of calendar days in a period during which we owned a vessel. Ownership Days are an indicator of the size of our Fleet over a period and determine both the level of revenues and expenses recorded during that specific period.

Available Days. Available Days are the Ownership Days in a period less the aggregate number of days our vessels are off-hire due to scheduled repairs, dry-dockings or special or intermediate surveys. The shipping industry uses Available Days to measure the aggregate number of days in a period during which vessels are available to generate revenues. Our calculation of Available Days may not be comparable to that reported by other companies.

Operating Days. Operating Days are the Available Days in a period after subtracting unscheduled off-hire days and idle days.

Fleet Utilization. Fleet Utilization is calculated by dividing the Operating Days during a period by the number of Available Days during that period. Fleet Utilization is used to measure a company’s ability to efficiently find suitable employment for its vessels.

Principal factors impacting our business, results of operations and financial condition

Our results of operations are affected by numerous factors. The principal factors that have impacted the business during the fiscal periods presented in the following discussion and analysis and that are likely to continue to impact our business are the following:

-	The levels of demand and supply of seaborne cargoes and vessel tonnage in the shipping industries in which we operate;

-	The cyclical nature of the shipping industry in general and its impact on charter rates and vessel values;

-	The successful implementation of the Company’s growth business strategy, including our ability to obtain equity and debt financing at acceptable and attractive terms to fund future capital expenditures and/or to implement our business strategy;

-	The global economic growth outlook and trends;

-	Economic, regulatory, political and governmental conditions that affect shipping and the dry bulk and container industries, including international conflict or war (or threatened war), such as between Russia and Ukraine;

-	The employment and operation of our Fleet including the utilization rates of our vessels;

-	Our ability to successfully employ our vessels at economically attractive rates and our strategic decisions regarding the employment mix of our Fleet as our charters expire or are otherwise terminated;

-	Management of the financial, general and administrative elements involved in the conduct of our business and ownership of our Fleet, including the effective and efficient technical management of our Fleet by our head and sub-managers, and their suppliers;

-	The number of customers who use our services and the performance of their obligations under their agreements, including their ability to make timely payments to us;

-	Our ability to maintain solid working relationships with our existing customers and our ability to increase the number of our charterers through the development of new working relationships;

-	The reputation and safety record of our manager and/or sub-managers for the management of our vessels;

-	Dry-docking and special survey costs and duration, both expected and unexpected;

-	The level of any distribution on all classes of our shares;

-	Our borrowing levels and the finance costs related to our outstanding debt as well as our compliance with our debt covenants;

-	Management of our financial resources, including banking relationships and of the relationships with our various stakeholders;

-	Major outbreaks of diseases (such as COVID-19) and governmental responses thereto.

Employment and operation of our Fleet

Another factor that impacts our profitability is the employment and operation of our Fleet. The profitable employment of our Fleet is highly dependent on the levels of demand and supply in the shipping industries in which we operate, our commercial strategy including the decisions regarding the employment mix of our Fleet, as well as our managers’ ability to leverage our relationships with existing or potential customers. The effective operation of our Fleet mainly requires regular maintenance and repair, effective crew selection and training, ongoing supply of our Fleet with the spares and the stores that it requires, contingency response planning, auditing of our vessels’ onboard safety procedures, arrangements for our vessels’ insurance, chartering of the vessels, training of onboard and on shore personnel with respect to the vessels’ security and security response plans (ISPS), obtaining of ISM certifications, compliance with environmental regulations and standards, and performing the necessary audit for the vessels within the six months of taking over a vessel and the ongoing performance monitoring of the vessels.

Financial, general and administrative management

The management of financial, general and administrative elements involved in the conduct of our business and ownership of our vessels requires us to manage our financial resources, which includes managing banking relationships, administrating our bank accounts, managing our accounting system, records and financial reporting, monitoring and ensuring compliance with the legal and regulatory requirements affecting our business and assets and managing our relationships with our service providers and customers.

See also “Item 3. Key Information—D. Risk Factors” in our 2022 Annual Report. Because many of these factors are beyond our control and certain of these factors have historically been volatile, past performance is not necessarily indicative of future performance and it is difficult to predict future performance with any degree of certainty.

Results of Operations

Following the completion of the Spin-Off, the historical results of operations and the financial position of Toro Corp. and Aframax/LR2 and Handysize segments for periods prior to the Spin-Off are presented as discontinued operations. For information on our discontinued operations, see Note 3 in the unaudited interim condensed consolidated financial statements.

Consolidated Results of Operations Three months ended March 31, 2023, as compared to the three months ended March 31, 2022
(In U.S. Dollars, except for number of share data)	Three Months Ended March 31, 2022			Three Months Ended March 31, 2023			Change- amount
Total vessel revenues	$	37,810,865		$	24,468,970		$	13,341,895
Expenses:
Voyage expenses (including commissions to related party)		(989,454	)		(1,277,085	)		287,631
Vessel operating expenses		(10,127,405	)		(11,267,683	)		1,140,278
Management fees to related parties		(1,530,000	)		(1,831,500	)		301,500
Depreciation and amortization		(4,272,809	)		(5,812,463	)		1,539,654
General and administrative expenses (including costs from related party)		(921,707	)		(1,134,664	)		212,957

Operating income	$	19,969,490		$	3,145,575		$	16,823,915
Interest and finance costs, net (including interest costs from related party)		(1,424,409	)		(2,289,115	)		864,706
Other expenses(1)		(1,288	)		(7,343,592	)		7,342,304
Income taxes		(87,081	)		(22,906	)		64,175
Net income/(loss) and comprehensive income/(loss) from continuing operations, net of taxes	$	18,456,712		$	(6,510,038	)	$	24,966,750
Net income and comprehensive income from discontinued operations, net of taxes	$	1,519,576		$	17,339,332		$	15,819,756
Net income and comprehensive income	$	19,976,288		$	10,829,294		$	9,146,994

Earnings/(Loss) per common share, basic and diluted, continuing operations	$	0.20		$	(0.07	)
Earnings per common share, basic and diluted, discontinued operations	$	0.02		$	0.18
Earnings per common share, basic and diluted, total	$	0.21		$	0.11
Weighted average number of common shares, basic and diluted		94,610,088			94,610,088

(1)	Includes aggregated amounts for foreign exchange losses, unrealized losses from equity securities and other income, as applicable in each period.

Total vessel revenues – Total vessel revenues decreased to $24.5 million in the three months ended March 31, 2023, from $37.8 million in the same period of 2022. This decrease was largely driven by the decrease in prevailing charter rates of our dry bulk vessels. The decrease has been partly offset by the increase in our Available Days (defined below) from 1,796 days in the three months ended March 31, 2022, to 1,980 days in the three months ended March 31, 2023, following the acquisition of the two containerships that were delivered to the Company in November 2022.

Voyage expenses – Voyage expenses increased by $0.3 million, to $1.3 million in the three months ended March 31, 2023, from $1.0 million in the corresponding period of 2022. This increase in voyage expenses is mainly associated with the decrease of gain on bunkers partly offset by: (i) decreased bunkers consumption and (ii) decreased brokerage commission expenses, corresponding to the decrease in vessel revenues discussed above.

Vessel operating expenses – The increase in operating expenses by $1.2 million, to $11.3 million in the three months ended March 31, 2023, from $10.1 million in the same period of 2022 mainly reflects the increase in the Ownership Days of our Fleet Days to 1,980 days in the three-months ended March 31, 2023, from 1,796 days in the same period in 2022. This variation is primarily attributable to the acquisition of the two containerships.

Management fees – On July 28, 2022, we entered into an amended and restated master management agreement with Castor Ships, with effect from July 1, 2022, (the “Amended and Restated Master Management Agreement”), which, among other things, increased management fees payable to Castor Ships. Our vessel owning subsidiaries each also entered into new ship management agreements with Castor Ships. See Note 4(a) to our unaudited interim condensed consolidated financial statements included elsewhere herein for further details on such amended agreements. Management fees in the three months ended March 31, 2023, amounted to $1.8 million, whereas, in the same period of 2022, management fees totaled $1.5 million. This increase in management fees is due to the acquisition of two containerships, resulting in an increase in the total number of Ownership Days for which our managers charged us a daily management fee as well as the increased management fees under the Amended and Restated Master Management Agreement.

Depreciation and amortization – Depreciation and amortization expenses are comprised of vessels’ depreciation and the amortization of vessels’ capitalized dry-dock costs. Depreciation expenses increased to $5.2 million in the three months ended March 31, 2023, from $3.9 million in the same period of 2022 as a result of the increase in the Ownership Days of our Fleet following the acquisition of the two containerships. Dry-dock and special survey amortization charges amounted to $0.6 million for the three months ended March 31, 2023, compared to a charge of $0.3 million in the respective period of 2022. This variation in dry-dock amortization charges primarily resulted from the increase in the number of dry docks that our dry bulk fleet underwent throughout the year ended December 31, 2022, which resulted in an increase in aggregate amortization days to 612 days in the three months ended March 31, 2023 from 450 days in the three months ended March 31, 2022.

General and administrative expenses – General and administrative expenses in the three months ended March 31, 2023, amounted to $1.1 million, whereas, in the same period of 2022, general and administrative expenses totaled $0.9 million, with the variation resulting mainly from the increase in our administrative fees under the Amended and Restated Master Management Agreement.

Interest and finance costs, net – The increase by $0.9 million to $2.3 million in net interest and finance costs in the three months ended March 31, 2023, as compared with $1.4 million in the same period of 2022, is mainly due to the increase of the weighted average interest rate on our debt from 3.6% in the three months ended March 31, 2022, to 8.1% in the three months ended March 31, 2023, further affecting our interest and finance costs, partly offset by an increase in interest we earned from time deposits due to increased interest rates. Our weighted average indebtedness increased from $133.2 million in the three months ended March 31, 2022, to $134.8 million in the three months ended March 31, 2023.

Other expenses – Other expenses in the three months ended March 31, 2023 amounted to $7.3 million, and mainly includes unrealized loss of $7.7 million from revaluing our investments in listed equity securities at period end market rates. We did not hold any investment in equity securities during the three months period ended March 31, 2022.

Net income from discontinued operations – Net income from discontinued operations increased by $15.8 million to $17.4 million in the period from January 1 through March 7, 2023, as compared to $1.5 million in the three months ended March 31, 2022.

Discontinued Operations

An analysis of the amounts recorded in respect of discontinued operations in the period from January 1 through March 7, 2023 and in the three months ended March 31, 2022, respectively are presented as follows:

	Three Months Ended March 31,			January 1 through March 7,
	2022			2023
REVENUES:
Time charter revenues		2,986,345			914,000
Voyage charter revenues		10,734,868			7,930
Pool revenues		3,109,235			22,447,344
Total vessel revenues		16,830,448			23,369,274

EXPENSES:
Voyage expenses (including commissions to related party)		(7,241,316	)		(374,396	)
Vessel operating expenses		(5,236,713	)		(3,769,132	)
Management fees to related parties		(688,500	)		(507,000	)
Depreciation and amortization		(1,808,997	)		(1,493,759	)
Recovery of provision for doubtful accounts		—			266,732
Total expenses		(14,975,526	)		(5,877,555	)

Operating income		1,854,922			17,491,719

OTHER INCOME/ (EXPENSES):
Interest and finance costs		(184,222	)		(220,061	)
Interest income		615			253,165
Foreign exchange gains/(losses)		22			(11,554	)
Total other (expenses)/income, net		(183,585	)		21,550

Net income and comprehensive income from discontinued operations, before taxes	$	$ 1,671,337		$	17,513,269
Income taxes		(151,761	)		(173,937	)
Net income and comprehensive income from discontinued operations, net of taxes	$	$ 1,519,576		$	17,339,332

Segment Results of Operations

Three months ended March 31, 2023, as compared to the three months ended March 31, 2022 —Dry Bulk Segment

(In U.S. Dollars)	Three months ended March 31, 2022			Three months ended March 31, 2023			Change- amount
(In U.S. Dollars)	Three months ended March 31, 2022			Three months ended March 31, 2023			Change- amount
Total vessel revenues	$	37,810,865		$	21,031,930		$	16,778,935
Expenses:
Voyage expenses (including commissions to related party)		(989,454	)		(1,109,565	)		120,111
Vessel operating expenses		(10,127,405	)		(9,708,905	)		418,500
Management fees to related parties		(1,530,000	)		(1,665,000	)		135,000
Depreciation and amortization		(4,272,809	)		(4,553,307	)		280,498
Operating income (1)	$	20,891,197		$	3,995,153		$	16,896,044

(1)	Does not include corporate general and administrative expenses. See the discussion under “Consolidated Results of Operations” above.

Total vessel revenues

Total vessel revenues for our dry bulk fleet, decreased to $21.0 million in the three months ended March 31, 2023, from $37.8 million in the same period of 2022. This decrease was largely driven by the weaker charter hire rates that our dry bulk fleet earned in the three months ended March 31, 2023 as compared with those earned during the same period of 2022 as, during the three-months ended March 31, 2023, our dry bulk fleet earned on average a Daily TCE Rate of $11,068, compared to an average Daily TCE Rate of $20,502 earned during the same period in 2022. Daily TCE Rate is not a recognized measure under U.S. GAAP. Please refer to Appendix A for the definition and reconciliation of this measure to Total vessel revenues, the most directly comparable financial measure calculated and presented in accordance with U.S. GAAP.

Voyage expenses

Voyage expenses increased to $1.1 million in the three months ended March 31, 2023, from $1.0 million in the corresponding period of 2022. This increase in voyage expenses is mainly associated with the decrease of gain on bunkers counterbalanced by the (i) decreased bunkers consumption and (ii) decreased brokerage commission expenses, corresponding to the decrease in vessel revenues discussed above.

Vessel operating expenses

The decrease in operating expenses for our dry bulk fleet by $0.4 million, to $9.7 million in the three months ended March 31, 2023, from $10.1 million in the same period of 2022, mainly reflects the decrease in repairs, spares and maintenance costs for certain of our dry bulk vessels.

Management fees

Management fees for our dry bulk fleet in the three months ended March 31, 2023 amounted to $1.7 million, whereas in the same period of 2022 management fees totaled $1.5 million. This increase in management fees is due to the increased management fees following our entry into the Amended and Restated Master Management Agreement.

Depreciation and amortization

Depreciation expenses for our dry bulk fleet in the three months ended March 31, 2023 and 2022, amounted to $3.9 million. Dry-dock and special survey amortization charges increased to $0.7 million in the three months ended March 31, 2023, from $0.4 million in the same period of 2022. The $0.2 million increase in Dry-dock and special survey amortization charges in the periods discussed is due to the increase in the number of dry docks that our dry bulk fleet underwent, which resulted in an increase in aggregate amortization days from 450 in the three months ended March 31, 2022 to 612 in the same period of 2023.

Three months ended March 31, 2023 — Containership Segment

We entered the containership business in the fourth quarter of 2022 and, accordingly, no comparative financial information exists for the three months ended March 31, 2022.

(In U.S. Dollars)	Three months ended March 31, 2023
Total vessel revenues		3,437,040
Expenses:
Voyage expenses (including commissions to related party)		(167,520	)
Vessel operating expenses		(1,558,778	)
Management fees to related parties		(166,500	)
Depreciation and amortization		(1,259,156	)
Operating income (1)	$	285,086

(1)	Does not include corporate general and administrative expenses. See the discussion under “Consolidated Results of Operations” above.

Total vessel revenues

Total vessel revenues for our containership segment amounted to $3.4 million in the three months ended March 31, 2023. During the three months ended March 31, 2023, we owned on average two containerships over the calendar period that earned a Daily TCE Rate of $18,164. During the period in which we owned them, both our containerships were engaged in period time charters. Daily TCE Rate is not a recognized measure under U.S. GAAP. Please refer to Appendix A for the definition and reconciliation of this measure to Total vessel revenues, the most directly comparable financial measure calculated and presented in accordance with U.S. GAAP.

Voyage expenses

Voyage expenses for our containership segment amounted to $0.2 million in the three months ended March 31, 2023, mainly comprising of brokerage commissions.

Vessel operating expenses

Operating expenses for our containership segment amounted to $1.6 million in the three months ended March 31, 2023, and mainly comprised of fees paid to third party managers to cover operating expenditures such as crew wages costs, spares, repairs and maintenance costs and lubricants’ consumption costs.

Management fees

Management fees for our containership segment amounted to $0.2 million in the three months ended March 31, 2023.

Depreciation and Amortization

Depreciation and amortization expenses amounted to $1.3 million in the three months ended March 31, 2023 and exclusively relate to vessels’ depreciation for the period during which we owned them.

Liquidity and Capital Resources

We operate in a capital-intensive industry, and we expect to finance the purchase of additional vessels and other capital expenditures through a combination of proceeds from equity offerings, borrowings in debt transactions and cash generated from operations. Our liquidity requirements relate to servicing the principal and interest on our debt, funding capital expenditures and working capital (which includes maintaining the quality of our vessels and complying with international shipping standards and environmental laws and regulations) and maintaining cash reserves for the purpose of satisfying certain minimum liquidity restrictions contained in our credit facilities. In accordance with our business strategy, other liquidity needs may relate to funding potential investments in additional vessels and maintaining cash reserves against fluctuations in operating cash flows. Our funding and treasury activities are intended to maximize investment returns while maintaining appropriate liquidity.

As of March 31, 2023, and December 31, 2022, we had cash and cash equivalents of $63.1 million and $100.6 million (which excludes $9.4 million and $9.2 million of restricted cash in each period under our debt agreements), respectively. Cash and cash equivalents are primarily held in U.S. dollars.

As of March 31, 2023, we had $132.0 million of gross indebtedness outstanding under our debt agreements, of which $34.7 million, including indebtedness outstanding as of March 31, 2023, under the loan facilities associated with two mortgaged vessels, the M/V Magic Moon and the M/V Magic Rainbow, which have been classified as held for sale, matures in the twelve-month period ending March 31, 2024. As of March 31, 2023, we were in compliance with all the financial and liquidity covenants contained in our debt agreements.

Working capital is equal to current assets minus current liabilities. As of March 31, 2023, we had a working capital surplus from continuing operations of $75.4 million as compared to a working capital surplus from continuing operations of $114.9 million as of December 31, 2022.

We believe that our current sources of funds and those that we anticipate to internally generate for a period of at least the next twelve months from the date of this report, will be sufficient to fund the operations of our Fleet, meet our working capital and capital expenditures requirements and service the principal and interest on our debt for that period.

As of March 31, 2023, we did not have any commitments for capital expenditures related to vessel acquisitions.

Our Borrowing Activities

Please refer to Note 8 to our unaudited interim condensed consolidated financial statements, included elsewhere herein, for information regarding our borrowing activities as of March 31, 2023.

Cash Flows

The following table summarizes our net cash flows provided by/(used in) operating, investing, and financing activities and our cash, cash equivalents and restricted cash for the three- month periods ended March 31, 2022, and 2023:

(in thousands of U.S. Dollars)	Three months ended March 31, 2022			Three months ended March 31, 2023
Net cash provided by/(used in) operating activities from continuing operations	$	17,098,800		$	(22,942	)
Net cash used in investing activities from continuing operations		(22,400,364	)		(31,374,129	)
Net cash provided by/(used in) financing activities from continuing operations		50,824,125			(5,899,175	)
Net cash (used in)/ provided by operating activities from discontinued operations		(4,035,029	)		20,409,041
Net cash used in investing activities from discontinued operations		(62,383	)		(153,861	)
Net cash used in financing activities from discontinued operations		(850,000	)		(62,734,774	)
Cash, cash equivalents and restricted cash at beginning of period		43,386,468			152,307,420
Cash, cash equivalents and restricted cash at end of period	$	83,961,617		$	72,531,580

Operating Activities (from continuing operations):

For the three-month period ended March 31, 2023, net cash used in operating activities amounted to $0.02 million consisting of net income after non-cash items of $7.8 million offset by an increase of $6.5 million in our working capital, which mainly derived from (i) decrease in accounts payable by $3.6 million and (ii) decrease in accrued liabilities by $1.4 million.

For the three-month period ended March 31, 2022, net cash provided by operating activities amounted to $17.1 million consisting of net income after non-cash items of $22.9 million and a working capital cash increase of $5.3 million.

Investing Activities (from continuing operations):

For the three-months ended March 31, 2023, net cash used in investing activities amounted to $31.4 million mainly reflecting the cash outflows of $31.7 million associated with the purchase of equity securities. Please also refer to Note 9 of our unaudited interim consolidated financial statements included elsewhere in this report for a more detailed discussion.

For the three-months ended March 31, 2022, net cash used in investing activities amounting to $22.4 million mainly reflects the cash outflows associated with our vessel acquisitions, as discussed in more detail in the 2022 Annual Report.

Financing Activities (from continuing operations):

For the three months ended March 31, 2023, net cash used in financing activities amounted to $5.9 million, mainly relating to $8.4 million of period scheduled principal repayments under our existing secured credit facilities, offset by $2.6 million cash reimbursement from Toro relating to the Spin-Off expenses incurred by us on Toro’s behalf during 2022 and up to the completion of the Spin-Off.

For the three months ended March 31, 2022, net cash provided by financing activities amounted to $50.8 million, relates to the $54.3 million net proceeds from the $55.0 million secured term loan facility that we entered into in January 2022 (as discussed in more detail in the 2022 Annual Report), as offset by (i) $3.4 million of period scheduled principal repayments under our existing secured credit facilities and (ii) $0.1 million of expenses paid in connection with our at-the-market common stock offering program, as amended on March 31, 2022.

Critical Accounting Estimates

We prepare our financial statements in accordance with accounting principles generally accepted in the United States, or U.S. GAAP. On a regular basis, management reviews the accounting policies, assumptions, estimates and judgments to ensure that our consolidated financial statements are presented fairly and in accordance with U.S. GAAP. However, because future events and their effects cannot be determined with certainty, actual results could differ from our assumptions and estimates, and such differences could be material. For more details on our Critical Accounting Estimates, please read “Item 5.E. Critical Accounting Estimates” in our 2022 Annual Report. For a description of our significant accounting policies, please read Note 2 to our unaudited interim condensed consolidated financial statements, included elsewhere in this report, “Item 18. Financial Statements” in our 2022 Annual Report and more precisely “Note 2. Summary of Significant Accounting Policies” of our consolidated financial statements included elsewhere in our 2022 Annual Report.

APPENDIX A

Non-GAAP Financial Information

Daily TCE Rate. The Daily Time Charter Equivalent Rate (“Daily TCE Rate”) is a measure of the average daily revenue performance of a vessel. The Daily TCE Rate is not a measure of financial performance under U.S. GAAP (i.e., it is a non-GAAP measure) and should not be considered as an alternative to any measure of financial performance presented in accordance with U.S. GAAP. We calculate Daily TCE Rate by dividing total revenues (time charter and/or voyage charter revenues, and/or pool revenues, net of charterers’ commissions), less voyage expenses, by the number of Available Days during that period. Under a time charter, the charterer pays substantially all the vessel voyage related expenses. However, we may incur voyage related expenses when positioning or repositioning vessels before or after the period of a time or other charter, during periods of commercial waiting time or while off-hire during dry docking or due to other unforeseen circumstances. Under voyage charters, the majority of voyage expenses are generally borne by us whereas for vessels in a pool, such expenses are borne by the pool operator. The Daily TCE Rate is a standard shipping industry performance measure used primarily to compare period-to-period changes in a company’s performance and, management believes that the Daily TCE Rate provides meaningful information to our investors since it compares daily net earnings generated by our vessels irrespective of the mix of charter types (i.e., time charter, voyage charter or other) under which our vessels are employed between the periods while it further assists our management in making decisions regarding the deployment and use of our vessels and in evaluating our financial performance. Our calculation of the Daily TCE Rates may not be comparable to that reported by other companies. The following table reconciles the calculation of the Daily TCE Rate for our fleet to Total vessel revenues for the periods presented (amounts in U.S. dollars, except for Available Days):

Reconciliation of Daily TCE Rate to Total vessel revenues — Continuing operations

	Three-Months ended March 31,			Three-Months ended March 31,
	Three-Months ended March 31,			Three-Months ended March 31,
	2022			2023
Total vessel revenues	$	37,810,865		$	24,468,970
Voyage expenses -including commissions from related party		(989,454	)		(1,277,085	)
TCE revenues	$	36,821,411		$	23,191,885
Available Days		1,796			1,980
Daily TCE Rate	$	20,502		$	11,713

	Three-Months ended March 31,			Three-Months ended March 31,
Reconciliation of Daily TCE Rate to Total vessel revenues — Dry Bulk Segment	2022			2023
Total vessel revenues	$	37,810,865		$	21,031,930
Voyage expenses -including commissions from related party		(989,454	)		(1,109,565	)
TCE revenues	$	36,821,411		$	19,922,365
Available Days		1,796			1,800
Daily TCE Rate	$	20,502		$	11,068

Reconciliation of Daily TCE Rate to Total vessel revenues — Containership Segment
				Three-Months ended March 31,
				2023
Total vessel revenues				$	3,437,040
Voyage expenses -including commissions from related party					(167,520	)
TCE revenues				$	3,269,520
Available Days					180
Daily TCE Rate				$	18,164