The preparation of the consolidated financial statements in conformity with IFRS requires management to make estimates and

assumptions that affect the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of

the consolidated financial statements, and the stated amounts of revenues and expenses during the reporting period. Actual results

Vessel operating expenses comprise all expenses relating to the operation of the vessel under time and voyage charter agreements,

including crewing, insurance, repairs and maintenance, stores, lubricants, spares and consumables and miscellaneous expenses. Vessel

operating expenses are recognized as incurred; payments in advance of services or use are recorded as prepaid expenses.

The majority of the Group’s operating expenses (such as crew costs, spares, stores, insurances, repairs, surveys,

useful life of the vessels, after considering their estimated residual value. Each vessel’s residual value is equal to the product of its

lightweight tonnage and its estimated scrap rate. The scrap rate is estimated to be approximately $400 per ton of lightweight steel. The

At the time of a vessel’s delivery from the shipyard, the estimated cost of the first special survey/drydocking is identified and

capitalized as a separate component of the vessel’s cost. This component is depreciated over the period to the next scheduled special

survey, which is generally five years. Subsequent special survey and drydocking costs are capitalized as a separate component of

vessel cost. These costs are capitalized when incurred and depreciated over the estimated period to the next scheduled special

of the time value of money and the risks specific to the vessels.

Vessels are classified as current assets in the statements of financial position when their carrying amount will be recovered

through a sale transaction rather than continuing use. A vessel is classified as held for sale when it is available for immediate sale in its

present condition and the sale is highly probable.

A highly probable sale implies that, management is committed to a plan to sell the vessel and the plan has been initiated and,

further, that the Company is actively seeking to locate a buyer. The vessel must be actively marketed for sale at a reasonable price and

the sale is expected to be completed within one year from the date of classification as held for sale.

geographical area of operations that has been disposed of or is held for sale, or is a subsidiary acquired exclusively with a view to

resale. Classification as a discontinued operation occurs upon disposal. When an operation is classified as a discontinued operation,

the comparative statements of profit or loss and other comprehensive income is presented as if the operation had been discontinued

The functional currency of the Company and its subsidiaries is the U.S. dollar because the vessels operate in international

shipping markets, which primarily transact business in U.S. dollars. Transactions denominated in foreign currencies are converted into

U.S. dollars and are recorded at the exchange rate in effect at the date of the transactions. For the purposes of presenting these

consolidated financial statements, monetary assets and liabilities denominated in foreign currencies are translated to U.S. dollars at the

rate of exchange prevailing at the consolidated statement of financial position date. Any resulting foreign exchange differences are

reflected under foreign exchange gain/(loss) in the consolidated statement of profit or loss and other comprehensive income. The

of cash and cash equivalents as defined above.

whenever an employee accepts voluntary redundancy in exchange for these benefits. The Group recognizes termination benefits when

it is demonstrably committed to either terminating the employment of current employees according to a detailed formal plan without

possibility of withdrawal or providing termination benefits as a result of an offer made to encourage voluntary redundancy. Benefits

A non-U.S. corporation such as the Company and its subsidiaries generally is subject to a 2% U.S. federal income tax (the

“freight tax”) in respect of gross shipping income earned from voyages to or from the U.S. However, a corporation that qualifies for

the benefits of Section 883 of the U.S. Internal Revenue Code (which depends, in part, on the ownership of the corporation) is exempt

from this tax. The Group intends to take the position that it qualified for the Section 883 exemption in 2025, and therefore, that the

freight tax should not be owed for such year. However, the freight tax could be owed in future years due to a change in circumstances.

All companies comprising the Group are not subject to any other tax on international shipping income since their countries of

incorporation do not impose such taxes. The Group’s vessels are subject to registration and tonnage taxes, which are included under

statements but are disclosed unless the possibility of an outflow of resources embodying economic benefits is remote. Contingent

values, as estimated by management with consideration to independent brokers’ valuations. As a result, there were no events or

ended December 31, 2025, 2024 and 2023, the Group recorded an amount of $21,874, $35,347 and $44,970, respectively as

Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities are analyzed as follows:

The Group has entered into borrowing agreements which are analyzed as follows:

*

Post the transition from LIBOR to SOFR as the base rate, these financings include an applicable Credit Adjustment Spread

(“CAS”) on top of the SOFR base rate. Relates to the applicable margin as of December 31, 2025.

**

Please refer to paragraph $60.0 Million Secured Term Loan Facility for more information

Transition from LIBOR to SOFR

While the Group’s loan arrangements previously used LIBOR, including during the fiscal year ended December 31, 2023, in 2023

the Company amended those loan agreements to transition from LIBOR to SOFR. As a result, from July 1, 2023, none of the Group’s

financing arrangements currently utilizes LIBOR, and those that have a reference rate use SOFR, in line with current market practice.

$167.5 Million Sale and Leaseback Agreements — Nissos Rhenia and Nissos Despotiko

On February 10, 2018, Omega Five Marine Corp. and Omega Seven Marine Corp. entered into approximate $150.52 million sale

and leaseback agreements with Ocean Yield with respect to the vessels

Nissos Rhenia

and

Nissos Despotiko

.

The charter period for each of the

Nissos Rhenia

and

Nissos Despotiko

is 180 months from respective delivery and the charter hire

for each such ship is paid monthly, in advance, in a cash amount equal to $18,600 per day per ship for the first five years from the

delivery date and $18,350 per day per ship from year six until the end of the charter period, subsequently amended to $18,600 per day

per ship for the first two years, $25,200 per day for

Nissos Rhenia

and $23,336 for

Nissos Despotiko

for years three and four and

$17,200 per day per ship for year five until the end of the charter, plus a non-cash amount of $1,734 per day per ship (which is set off

against the $9.5 million prepaid hire that Omega Five Marine Corp. and Omega Seven Marine Corp. made for each ship, respectively).

On April 27, 2023, Omega Five Marine Corp. and Omega Seven Marine Corp. entered into an addendum to each bareboat charter to

amend the provisions of such bareboat charters in relation to the calculation of charter hire from LIBOR to Term SOFR. The charter

hire is subject to an adjustment based on Term SOFR (previously LIBOR) and a CAS of 0.26161% per annum (for three-month

periods) or 0.71513% per annum (for twelve-month periods), as applicable, relating to the transition from LIBOR. Each charter is

guaranteed by us, and Omega Five Marine Corp. and Omega Seven Marine Corp. permitted a mortgage to be filed regarding the

finance lease. Ocean Yield has registered mortgages on both vessels, with amounts not exceeding the lease outstanding amounts.

Additionally, the Company, Omega Five Marine Corp. and Omega Seven Marine Corp., as applicable, have entered into assignment

of insurances, assignment of management agreement, charter guarantee, pledge of account, pledge of shares of the bareboat charterer,

a manager’s undertaking and a time charter general assignment. Omega Five Marine Corp. and Omega Seven Marine Corp. also have

the option to repurchase each or both vessels at the end of years 7, 10, 12 and 14, in varying amounts per ship from $49.8 million to

$14.2 million. The Nissos Rhenia was delivered in May 2019 and the Nissos Despotiko was delivered in June 2019. The Company

declared the options to purchase the Nissos Rhenia on May 4, 2026 for $47.1 million and the Nissos Despotiko on June 10, 2026 for

$47.1 million.

$194.0 Million Sale and Leaseback Agreements — Nissos Kea and Nissos Nikouria

On March 21, 2022, Ark Marine S.A. and Theta Navigation Ltd entered into an approximate $145.5 million sale and leaseback

agreement with CMB Financial Leasing Co., Ltd. (“CMBFL”), with respect to the vessels

Nissos Kea

and

Nissos Nikouria

. On June

29, 2023 and on January 26, 2024, respectively, Ark Marine S.A. and Theta Navigation Ltd entered into amendment and restatement

agreements of each bareboat charter to amend certain provisions of the bareboat charters. The charter period for each of the vessels is

84 months from December 31, 2023 (with respect to

Nissos Kea

) and March 3, 2024 (with respect to

Nissos Nikouria

) and charter hire

is payable quarterly as follows: (a) from the delivery date of each vessel and up to and including December 31, 2023 (with respect to

Nissos Kea

) and March 3, 2024 (with respect to the

Nissos Nikouria

), a fixed amount equal to $909,375 plus a variable amount priced

at 260 basis points (being 2.45% as margin and 0.15% as CAS) over the applicable three-month Term SOFR, and (b) following

December 31, 2023, with respect to

Nissos Kea

, and March 3, 2024, with respect to the

Nissos Nikouria

, a fixed amount equal to

$909,375 plus a variable amount priced at 200 basis points over the applicable three-month Term SOFR. The first part of the sale and

leaseback relating to the delivery of

Nissos Kea

was drawn on March 31, 2022 and matures on the date falling 84 months from

December 31, 2023 and the second part of the sale and leaseback relating to the delivery of

Nissos Nikouria

was drawn on June 3,

2022 and matures on the date falling 84 months from March 3, 2024. According to each bareboat charter, the Company has a purchase

option that it can exercise annually as from December 31, 2024 (with respect to

Nissos Kea

) and March 3, 2025 (with respect to

Nissos Nikouria

). If the purchase option date falls after the first but prior to the seventh anniversary of December 31, 2023 (with

respect to

Nissos Kea

) and March 3, 2024 (with respect to

Nissos Nikouria

), the purchase option price for the relevant vessel is an

amount equal to the opening capital balance i.e., $72,750,000 amount drawn per vessel (75% of the purchase price) minus charter hire

paid (the “owner’s costs”), plus (a) accrued but unpaid charter hire, (b) break funding costs including any swap costs, (c) legal and

other documented costs of the owner to sell the relevant vessel, and any other additional amounts due under the sale and leaseback

documentation. If the purchase option date falls on the seventh anniversary of December 31, 2023 (with respect to

Nissos Kea

) and

March 3, 2024 (with respect to

Nissos Nikouria

), the purchase option price for the relevant vessel is an amount equal to $40,921,875

(the “amended owner’s costs”), plus (a) accrued but unpaid charter hire, (b) and other documented costs of the owner to sell the

relevant vessel, and (c) any other additional amounts due under the sale and leaseback documentation. Each charter is guaranteed by

the Company. Ark Marine S.A. and Theta Navigation Ltd, as applicable, permitted a mortgage to be filed regarding the finance lease

as well as entered into an account charge, general assignment, pledge of shares of the bareboat charterer, a builder’s warranties

assignment, and a manager’s undertaking. Ark Marine S.A. and Theta Navigation Ltd repurchased the

Nissos Kea

and

Nissos

Nikouria, respectively, in June 2025, and therefore these sale and leaseback arrangements are no longer in effect.

$73.5 Million Sale and Leaseback Agreement — Nissos Anafi

On January 29, 2024, Moonsprite Shipping Corp. entered into an approximately $73.5 million sale and leaseback agreements with

CMBFL, with respect to the vessel

Nissos Anafi

. The charter period is 84 months from the vessel’s delivery date and charter hire is

payable quarterly in a fixed amount equal to approximately $1.2 million plus a variable amount priced at 190 basis points over the

applicable three-month Term SOFR. Moonsprite Shipping Corp. has the option to repurchase the vessel, such option being exercisable

quarterly following the one-year anniversary of the vessel’s delivery. If the purchase option date falls prior to the seventh anniversary

of the date of the vessel’s delivery, the purchase option price is an amount equal to the opening capital balance (i.e. $73,450,000

(being 65% of the purchase price) minus the fixed amount of charter hire paid on the purchase date (the “owners’ costs”), plus (a)

accrued but unpaid charter hire, (b) legal and other documented costs of the owner to sell the vessel, (c) any break-funding costs, and

(d) any other additional amounts due under the sale and leaseback documentation. The charter is guaranteed by the Company, and

Moonsprite Shipping Corp. has permitted a mortgage to be filed regarding the finance lease and Moonsprite Shipping Corp. has also

entered into an account charge and the Company has pledged the shares of the bareboat charterer. Moonsprite Shipping Corp.

repurchased the

Nissos Anafi

in August 2025, and therefore this sale and leaseback arrangement is no longer in effect.

$35.1 Million Unsecured Sponsor Loan

On April 18, 2022, the Company (on behalf of two of the Company’s subsidiaries, Ark Marine S.A. and Theta Navigation Ltd),

entered into an unsecured loan facility with Okeanis Marine Holdings S.A., an entity controlled by Mr. Ioannis Alafouzos (on behalf

of its subsidiaries Felton Enterprises S.A. and Sandre Enterprises S.A.), relating to the acquisition of the vessels

Nissos Kea

and

Nissos Nikouria

. Under the agreement, the loaned amount of approximately $17.6 million for each vessel bears a fixed interest cost of

3.5% per annum and was repayable at the Company’s sole discretion without penalty, up to the maturity date of two years from the

relevant vessel’s delivery. During the years ended December 31, 2024 and December 31, 2023 respectively, the Company incurred

interest expense amounting to $413,952 and $1,198,168 in respect of loan obtained from an entity controlled by Mr. Ioannis

Alafouzos. The Company repaid this facility in March and May 2024.

OET Chartering Inc. leases office space in Piraeus from SINGLE MEMBER ANONYMOS TECHNIKI ETAIRIA ERGON, an

entity owned by Themistoklis Alafouzos. On August 1, 2018, OET Chartering Inc. entered into a lease agreement for 165.28 square

meters of office space for the Company’s operations with SINGLE MEMBER ANONYMOS TECHNIKI ETAIRIA ERGON at a

monthly rate of Euro 890. The lease initially was to expire on July 31, 2024 and on July 1, 2024 OET Chartering Inc. entered into an

amendment to such lease to extend the term until July 31, 2028. The total expense recognized in the consolidated statements of profit

or loss and other comprehensive income for the years ended December 31, 2025, 2024 and 2023 amounted to $28,908, $23,151 and

$22,040, respectively.

The Group has recognized the following lease liabilities with respect to the Right-of-Use assets:

The maturities of lease liabilities are the following:

The borrowings are repayable as follows:

Cash flow reconciliation of liabilities arising from financing activities

A reconciliation of the Group’s financing activities for the years ended December 31, 2025, 2024 and 2023 are presented in the

tables below:

The borrowing agreements include several covenants, including restrictions as to changes in management and ownership of the

vessels, payment of dividends in the event of default, further incurring indebtedness, mortgaging of vessels without the bank’s prior

consent and several financial covenants including:

•

minimum corporate liquidity, being the higher of $10,000,000 and $750,000 per vessel, in the form of free and

unencumbered cash and cash equivalents;

•

a consolidated net worth of more than $100,000,000;

•

a leverage ratio of total liabilities to the carrying value of total assets (adjusted for the vessel’s fair market value) of no more

than 75%;and

•

the listed status of the Company’s common shares on an exchange operated by the Oslo Børs, the NYSE or on such other

acceptable stock exchange.

security to eliminate the shortfall.

A number of the financing agreements limit the Company’s ability to declare, make or pay any dividends or other distributions

(whether in cash or in kind) or repay or distribute any dividend or share premium reserve following the occurrence of an event of

default under the relevant financing agreement or if such action would result in the occurrence of an event of default under the

relevant financing agreement.

All of the Group’s facility agreements require that the Alafouzos family maintain a minimum 35% ownership interest in the

Group’s, except for one instance whereby the change in the Group’s ultimate beneficial ownership (i.e., a private individual acquires

legal or beneficial ownership of 35% or more of the Group’s share capital or power to cast or control 35% or more of the Group’s

voting power or gains effective control over us) is a prepayment event. Some of the Group’s facility agreements provide that a breach

of the agreement will occur if Mr. Ioannis Alafouzos and Mr. Themistoklis Alafouzos cease to control the Group (with control being

defined as holding at least 35% of the Group’s voting power or the power to appoint or remove a majority of the Group’s directors or

officers or the power to give directions regarding the Group’s financial policies or holding at least 35% of our issued share capital),

in

two instances if Mr. Ioannis Alafouzos, solely or together with any members of the Alafouzos family, ceases to be our major

shareholder or ceases to control us (with control being defined as holding at least 35% of the Group’s voting power or the power to

appoint or remove a majority of the Group’s directors or officers), and in four instances, if Mr. Ioannis Alafouzos (or a member of the

Alafouzos family in three of the four instances) ceases to be the Group’s chairman. Two of the Group’s facility agreements provide

that the acquisition by a person or group of persons acting in concert (directly or indirectly) of more than 34.9% of the ultimate legal

or beneficial ownership is an event of default under such facility agreements. Finally, the Group’s bareboat charters and the guarantees

on the Group’s bareboat charters provide that we may not permit a new party or parties acting in concert to become owners of, or

control, more than 50% of our shares and/or voting rights.

IFRS 16 requires the identification of lease and non-lease components of revenue and account for each component in accordance

with the applicable accounting standard. Regarding time charter arrangements, the Company has concluded that the direct lease

component concerns the vessel and indirectly, the non-lease component comprises vessel operating services provided in connection

with the operation of the vessel.

As the contracts do not separately specify the consideration for the lease and non-lease components, the consideration is allocated

based on the relative stand-alone price of each component. The stand-alone price of the non-lease component is estimated using a

cost-plus margin approach, based on the vessel operating expenses incurred during the period.

The below table analyses revenue generated under time charter arrangements: