US Market News
2 months ago
International Seaways Reports First Quarter 2026 ResultsMay 7, 2026 6:45 AM
Business Wire International Seaways, Inc. (NYSE: INSW) (the “Company,” “Seaways,” or “INSW”), one of the largest tanker companies worldwide providing energy transportation services for crude oil and petroleum products, today reported results for the first quarter 2026. HIGHLIGHTS & RECENT DEVELOPMENTS Quarterly Results: Net income for the first quarter of 2026 was $286 million, or $5.75 per diluted share. Adjusted net income(1) for the first quarter of 2026 was $194 million, or $3.90 per diluted share. Adjusted EBITDA(1) for the first quarter or 2026 was $244 million. Returns to Shareholders: Declared the largest quarterly dividend in Company history: $4.55 per share to be paid in June 2026. Increased payout ratio to 85% of adjusted net income and included an additional discretionary component for the quarter, reflecting strong performance and market conditions. Delivered total shareholder return of over 74% year to date, including share price appreciation and the March 2026 dividend. Paid $2.15 per share in total dividends in March 2026, reaching a milestone of $1 billion returned to shareholders since 2020. Healthy Balance Sheet: Total liquidity was approximately $918 million as of March 31, 2026, including cash of $377 million and $541 million undrawn revolving credit capacity. Net loan-to-value below 7% as of March 31, 2026. Fleet Optimization Program: Sold seven vessels with an average age of 17 years for proceeds of approximately $216 million net of positioning, commissions, and fees, and recognized gains of $88 million in the first quarter. Took delivery of Seaways Bonita in the first quarter and Seaways Cristobal in April, the third and fourth of six LR1 newbuildings. The remaining two vessels are expected to deliver during the third quarter of 2026. Lois K. Zabrocky, International Seaways President and CEO commented, “We delivered an excellent first quarter, our strongest since the fourth quarter of 2022, with meaningful contributions from both our crude and product tankers. Following the highest dividend in our history last quarter, we more than doubled our dividend this quarter to $4.55 per share by increasing our payout ratio to 85% of adjusted earnings and including an additional discretionary component that reflects the strength of today’s market and the performance we’ve built over time. With a robust balance sheet, nearly $1 billion of liquidity, and a notably strong start to the second quarter, we remain well positioned to continue delivering attractive returns and creating long-term value for our shareholders.” Ms. Zabrocky continued, “Geopolitics are a constant in our business and typically create inefficiencies as markets adjust to new trading patterns. The situation in the Strait of Hormuz, however, is more significant, as the world cannot substitute more than 20 million barrels per day of oil and refined product. While excess supply on the water and available inventories have helped support the global economy in the early days of this conflict, a prolonged disruption would place considerable strain on global markets. In the near term, we remain focused on operating in a strong market environment as conditions evolve, while hoping for a resolution before any broader impact on the global economy emerges. As conditions normalize, we would still expect tanker markets to benefit from the rebalancing of trade flows and the replenishment of inventories.” Jeff Pribor, the Company’s CFO stated, “Underlying cash generation was the strongest in the Company’s history, excluding the impact of working capital movements. In addition, we generated $216 million in proceeds from vessel sales during the quarter. Together, this supported our decision to increase the minimum payout ratio to 85% and include a discretionary component in the dividend for this quarter, reinforcing our commitment to returning capital to shareholders. At the same time, we continue to maintain a strong balance sheet with low leverage and significant liquidity, positioning us to deliver attractive returns while remaining opportunistic across our capital allocation priorities.” FIRST QUARTER 2026 RESULTS Net income for the first quarter of 2026 was $286 million, or $5.75 per diluted share, compared to net income of $50 million, or $1.00 per diluted share, for the first quarter of 2025. The increase was primarily driven by higher TCE revenues(1) from spot earnings that increased an average of approximately $30,000 per day across the fleet and an increase in gains on vessel sales. Shipping revenues for the first quarter were $325 million, compared to $183 million for the first quarter of 2025. Consolidated TCE revenues(1) for the first quarter were $317 million, compared to $178 million for the first quarter of 2025. Adjusted EBITDA(1) for the first quarter was $244 million, compared to $91 million for the first quarter of 2025. Crude Tankers Shipping revenues for the Crude Tankers segment were $191 million for the first quarter of 2026, compared to $88 million for the first quarter of 2025. TCE revenues(1) were $184 million for the first quarter, compared to $85 million for the first quarter of 2025. The increase in TCE revenues(1) was driven by higher average spot earnings of over $41,000 per day and higher average time charter earnings of approximately $46,500 per day, reflecting higher profit-sharing results. Product Carriers Shipping revenues for the Product Carriers segment were $134 million for the first quarter, compared to $95 million for the first quarter of 2025. TCE revenues(1) were $133 million for the first quarter, compared to $94 million for the first quarter of 2025. The increase in the first quarter of 2026 was attributable to higher TCE revenues(1) from spot earnings of approximately $21,000 per day compared to the first quarter of 2025. RETURNING CASH TO SHAREHOLDERS In March 2026, the Company paid a combined dividend of $2.15 per share of common stock, composed of a regular quarterly dividend of $0.12 per share of common stock and a supplemental dividend of $2.03 per share. On May 6, 2026, the Company’s Board of Directors declared a combined dividend of $4.55 per share of common stock, composed of a regular quarterly dividend of $0.12 per share of common stock and a supplemental dividend of $4.43 per share of common stock. Both dividends will be paid on June 26, 2026, to shareholders with a record date at the close of business on June 12, 2026. The Company currently has $50 million authorized under its share repurchase program, which expires at the end of 2026. HEALTHY BALANCE SHEET During the first quarter of 2026, the Company drew $43 million under the Korean export agency-backed facility (the “ECA Credit Facility”) in connection with the delivery of Seaways Bonita. In 2025, the Company entered into the ECA Credit Facility with DNB Bank and K-Sure for up to $240 million, secured by six LR1 newbuildings. The 12-year facility combines for a 20-year amortization profile and a blended interest rate of SOFR plus 125 basis points across two tranches. Funds will be drawn under the facility in connection with the delivery of each vessel. The Company drew another $43 million in April 2026 in connection with the delivery of Seaways Cristobal. During the first quarter of 2026, the Company made $6 million in scheduled principal repayments in connection with all of its debt arrangements. FLEET OPTIMIZATION PROGRAM On January 27, 2026, the Company acquired sole ownership of Tankers International, a leading shipping pool founded in 2000, providing commercial management of modern VLCC tonnage. Tankers International has formed a new pool to expand its commercial management into the Suezmax class, which commenced operations in March. In the first quarter of 2026, the Company sold seven vessels for aggregate proceeds of approximately $216 million, net of positioning, commissions and fees. The vessels were among the oldest remaining in the fleet, consisting of five MRs with an average age of 18 years and two VLCCs with an average age of 15 years. The Company recognized gains of approximately $88 million in connection with the sale of these vessels. During 2026 to date, the Company took delivery of Seaways Bonita and Seaways Cristobal, the third and fourth of six LR1 newbuildings under construction in Korea with K Shipbuilding Co., Ltd. The remaining two vessels are expected to deliver by September 2026. The aggregate contract price for the six scrubber-fitted, dual-fuel ready LR1 vessels is approximately $359 million. As of March 31, 2026, the Company has approximately $122 million in remaining construction costs, of which approximately $116 million is expected to be drawn from the ECA Credit Facility in accordance with the delivery schedule. During the first quarter, the Company entered into an additional time charter agreement for three years on a 2012-built Suezmax with future contracted revenue of approximately $43 million. As of April 1, 2026, the Company has 14 vessels on time charter agreements with an average duration of 1.4 years and total future contracted revenues through expiry of approximately $223 million, excluding any applicable profit share. (1) This is a non-GAAP financial measure used throughout this press release; please refer to the section “Reconciliation to Non-GAAP Financial Information” for explanations of our non-GAAP financial measures and the reconciliations of reported GAAP to non-GAAP financial measures. CONFERENCE CALL The Company will host a conference call to discuss its first quarter 2026 results at 9:00 a.m. Eastern Time on Thursday, May 7, 2026. To access the call, participants should dial (800) 715-9871 for domestic callers and (646) 307-1963 for international callers and entering 1842743. Please dial in ten minutes prior to the start of the call. A live webcast of the conference call will be available from the Investor Relations section of the Company’s website at https://www.intlseas.com. An audio replay of the conference call will be available until May 14, 2026, by dialing (800) 770-2030 for domestic callers and (609) 800-9909 for international callers, and entering Access Code 1842743. ABOUT INTERNATIONAL SEAWAYS, INC. International Seaways, Inc. (NYSE: INSW) is one of the largest public tanker companies in the world, providing seaborne transportation services for crude oil and refined petroleum products. The Company owns and operates a fleet across the principal tanker asset classes, including vessels on order. The Company focuses on the safe and reliable operation of its fleet and primarily employs its vessels in commercial pools, most of which it has an ownership interest, enhancing scale and market access. The Company is headquartered in New York City, N.Y. Additional information is available at https://www.intlseas.com. Forward-Looking Statements This release contains forward-looking statements. In addition, the Company may make or approve certain statements in future filings with the U.S. Securities and Exchange Commission (the “SEC”), in press releases, or in oral or written presentations by representatives of the Company. All statements other than statements of historical facts should be considered forward-looking statements. These matters or statements may relate to plans to issue dividends, the Company’s prospects, including statements regarding vessel acquisitions, expected synergies, trends in the tanker markets, and possibilities of strategic alliances and investments. Forward-looking statements are based on the Company’s current plans, estimates and projections, and are subject to change based on a number of factors. Investors should carefully consider the risk factors outlined in more detail in the Annual Report on Form 10-K for 2025 for the Company, and in similar sections of other filings made by the Company with the SEC from time to time. The Company assumes no obligation to update or revise any forward-looking statements. Forward-looking statements and written and oral forward-looking statements attributable to the Company or its representatives after the date of this release are qualified in their entirety by the cautionary statements contained in this paragraph and in other reports previously or hereafter filed by the Company with the SEC. Category: Earnings Consolidated Statements of Operations ($ in thousands, except per share amounts) Three Months Ended March 31, 2026 2025 (Unaudited) (Unaudited) Shipping Revenues: Pool revenues $ 248,498 $ 137,596 Time and bareboat charter revenues 61,015 35,857 Voyage charter revenues 15,963 9,941 Total Shipping Revenues 325,476 183,394 Other Operating Income 1,900 - Operating Expenses: Voyage expenses 8,231 5,052 Vessel expenses 61,039 67,028 Charter hire expenses 7,696 9,145 Depreciation and amortization 40,567 39,705 General and administrative 9,311 13,217 Other operating expenses 138 95 Gain on disposal of vessels and other assets, net (88,171 ) (10,021 ) Total operating expenses 38,811 124,221 Income from vessel operations 288,565 59,173 Holding gain on previously held equity interest 3,919 - Operating income 292,484 59,173 Other income 2,618 1,844 Income before interest expense 295,102 61,017 Interest expense (8,959 ) (11,452 ) Net income $ 286,143 $ 49,565 Weighted Average Number of Common Shares Outstanding: Basic 49,460,962 49,307,449 Diluted 49,714,857 49,528,814 Per Share Amounts: Basic net income per share $ 5.78 $ 1.00 Diluted net income per share $ 5.75 $ 1.00 Consolidated Balance Sheets ($ in thousands) March 31, December 31, 2026 2025 (Unaudited) ASSETS Current Assets: Cash and cash equivalents $ 141,847 $ 116,922 Short-term investments 235,000 50,000 Voyage receivables 242,467 177,887 Other receivables 25,719 13,836 Inventories 5,407 611 Prepaid expenses and other current assets 15,729 7,384 Current portion of derivative asset 317 406 Total Current Assets 666,486 367,046 Vessels and other property, less accumulated depreciation 1,987,355 2,077,986 Vessels construction in progress 64,223 57,725 Deferred drydock expenditures, net 98,043 109,257 Operating lease right-of-use assets 6,222 7,220 Pool working capital deposits 27,571 33,051 Goodwill 7,372 - Long-term derivative asset - 5 Other assets 14,071 16,352 Total Assets $ 2,871,343 $ 2,668,642 LIABILITIES AND EQUITY Current Liabilities: Accounts payable, accrued expenses and other current liabilities $ 60,388 $ 69,921 Current portion of operating lease liabilities 2,240 3,182 Current installments of long-term debt 28,161 25,788 Total Current Liabilities 90,789 98,891 Long-term operating lease liabilities 5,793 5,954 Long-term debt 573,927 541,291 Other liabilities 6,559 2,229 Total Liabilities 677,068 648,365 Equity: Total Equity 2,194,275 2,020,277 Total Liabilities and Equity $ 2,871,343 $ 2,668,642 Consolidated Statements of Cash Flows ($ in thousands) Three Months Ended March 31, 2026 2025 (Unaudited) (Unaudited) Cash Flows from Operating Activities: Net income $ 286,143 $ 49,565 Items included in net income not affecting cash flows: Depreciation and amortization 40,567 39,705 Amortization of debt discount and other deferred financing costs 1,261 983 Stock compensation 1,461 1,946 Other – net (529 ) 456 Items included in net income related to investing and financing activities: Gain on disposal of vessels and other assets, net (88,171 ) (10,021 ) Holding gain on previously held equity interest (3,919 ) — Payments for drydocking (13,850 ) (16,900 ) Insurance claims proceeds related to vessel operations 95 312 Changes in operating assets and liabilities (81,997 ) 3,901 Net cash provided by operating activities 141,061 69,947 Cash Flows from Investing Activities: Expenditures for vessels, vessel improvements, and vessels under construction (70,655 ) (82,973 ) Security deposits returned for vessel exchange transactions — 5,000 Proceeds from disposal of vessels and other property, net 222,833 115,264 Expenditures for other property (319 ) (376 ) Cash consideration paid for the purchase of equity method investment, net of cash acquired (4,493 ) — Investments in short term time deposits (225,000 ) — Proceeds from maturities of short term time deposits 40,000 — Net cash (used in)/provided by investing activities (37,634 ) 36,915 Cash Flows from Financing Activities: Borrowings on nonrevolving credit facility debt 42,604 — Borrowings on revolving credit facilities — 20,000 Repayments on revolving credit facilities — (101,600 ) Repayments of nonrevolving credit facility debt (1,019 ) — Payments on sale and leaseback financing (5,293 ) (12,242 ) Payments of deferred financing costs (1,563 ) — Cash dividends paid (106,435 ) (34,495 ) Cash paid to tax authority upon vesting or exercise of stock-based compensation (6,796 ) (3,262 ) Net cash used in financing activities (78,502 ) (131,599 ) Net increase/(decrease) in cash and cash equivalents 24,925 (24,737 ) Cash and cash equivalents at beginning of year 116,922 157,506 Cash and cash equivalents at end of period $ 141,847 $ 132,769 Spot and Fixed TCE Rates Achieved and Revenue Days The following table provides a breakdown of TCE rates achieved for spot and fixed charters and the related revenue days for the three months ended March 31, 2026 and the comparable period of 2025. Revenue days in the quarter ended March 31, 2026 totaled 5,799 compared with 6,635 in the prior year quarter. The information in these tables excludes commercial pool fees/commissions averaging approximately $1,185 and $896 per day for the three months ended March 31, 2026 and 2025, respectively. Three Months Ended March 31, 2026 Three Months Ended March 31, 2025 Spot Fixed Total Spot Fixed Total Crude Tankers VLCC Average TCE Rate $ 86,693 $ 128,264 $ 33,531 $ 37,974 Number of Revenue Days 693 265 958 657 270 927 Suezmax Average TCE Rate $ 68,027 $ 36,964 $ 30,911 $ 29,170 Number of Revenue Days 979 184 1,163 1,088 78 1,166 Aframax Average TCE Rate $ 51,379 $ 38,511 $ 25,422 $ 38,502 Number of Revenue Days 266 90 356 270 89 359 Total Crude Tankers Revenue Days 1,988 539 2,477 2,015 437 2,452 Product Carriers Aframax (LR2) Average TCE Rate $ - $ 39,509 $ - $ 39,417 Number of Revenue Days - 90 90 - 90 90 Panamax (LR1) Average TCE Rate $ 70,664 $ - $ 27,367 $ - Number of Revenue Days 507 - 507 719 - 719 MR Average TCE Rate $ 37,224 $ 22,037 $ 21,408 $ 21,782 Number of Revenue Days 2,192 533 2,725 2,664 710 3,374 Total Product Carriers Revenue Days 2,699 623 3,322 3,383 800 4,183 Total Revenue Days 4,637 1,162 5,799 5,398 1,237 6,635 Revenue days in the above table exclude days related to full service lighterings and certain of the Company’s vessels that were employed in transitional voyages. During the 2026 and 2025 periods, each of the Company’s LR1s participated in the Panamax International Pool and transported crude oil cargoes exclusively. Fleet Information As of March 31, 2026, INSW’s fleet totaled 67 vessels, of which 59 were owned and 8 were chartered in. Total at March 31, 2026 Vessel Fleet and Type Vessels Owned Vessels Chartered-in1 Total Vessels Total Dwt Operating Fleet VLCC 7 3 10 3,003,422 Suezmax 13 - 13 2,061,754 Aframax 4 - 4 452,375 Crude Tankers 24 3 27 5,517,551 LR2 1 - 1 112,691 LR1 7 1 8 594,367 MR 24 4 28 1,410,231 Product Carriers 32 5 37 2,117,289 Total Operating Fleet 56 8 64 7,634,840 Newbuild Fleet LR1 3 - 3 223,200 Total Newbuild Fleet 3 - 3 223,200 Total Operating and Newbuild Fleet 59 8 67 7,858,040 (1) Includes bareboat charters, but excludes vessels chartered in where the duration of the charter was one year or less at inception. Reconciliation to Non-GAAP Financial Information The Company believes that, in addition to conventional measures prepared in accordance with GAAP, the following non-GAAP measures may provide certain investors with additional information that will better enable them to evaluate the Company’s performance. Accordingly, these non-GAAP measures are intended to provide supplemental information, and should not be considered in isolation or as a substitute for measures of performance prepared with GAAP. Adjusted Net Income Adjusted Net Income consists of Net Income adjusted for the impact of certain items that we do not consider indicative of our ongoing operating performance. This measure does not represent or substitute net income or any other financial item that is determined in accordance with GAAP. While Adjusted Net Income is frequently used as a measure of operating results and performance, it may not be necessarily comparable with other similarly titled captions of other companies due to differences in methods of calculation. The following table reconciles net income, as reflected in the consolidated statement of operations, to Adjusted Net Income: Three Months Ended March 31, ($ in thousands) 2026 2025 Net income $ 286,143 $ 49,565 Gain on disposal of vessels and other assets, net (88,171 ) (10,021 ) Gain on equity method investment (3,919 ) - Adjusted Net Income $ 194,053 $ 39,544 Weighted average shares outstanding (diluted) 49,714,857 49,528,814 Adjusted Net Income per diluted share $ 3.90 $ 0.80 EBITDA and Adjusted EBITDA EBITDA represents net income before interest expense, income taxes, and depreciation and amortization expense. Adjusted EBITDA consists of EBITDA adjusted for the impact of certain items that we do not consider indicative of our ongoing operating performance. EBITDA and Adjusted EBITDA do not represent, and should not be a substitute for, net income or cash flows from operations as determined in accordance with GAAP. Some of the limitations are: (i) EBITDA and Adjusted EBITDA do not reflect our cash expenditures, or future requirements for capital expenditures or contractual commitments; (ii) EBITDA and Adjusted EBITDA do not reflect changes in, or cash requirements for, our working capital needs; and (iii) EBITDA and Adjusted EBITDA do not reflect the significant interest expense, or the cash requirements necessary to service interest or principal payments, on our debt. While EBITDA and Adjusted EBITDA are frequently used as a measure of operating results and performance, neither of them is necessarily comparable to other similarly titled captions of other companies due to differences in methods of calculation. The following table reconciles net income/(loss) as reflected in the condensed consolidated statements of operations, to EBITDA and Adjusted EBITDA: Three Months Ended March 31, ($ in thousands) 2026 2025 Net income $ 286,143 $ 49,565 Interest expense 8,959 11,452 Depreciation and amortization 40,567 39,705 EBITDA 335,669 100,722 Gain on disposal of vessels and other assets, net (88,171 ) (10,021 ) Holding gain on previously held equity interest (3,919 ) - Adjusted EBITDA $ 243,579 $ 90,701 Time Charter Equivalent (TCE) Revenues Consistent with general practice in the shipping industry, the Company uses TCE revenues, which represents shipping revenues less voyage expenses, as a measure to compare revenue generated from a voyage charter to revenue generated from a time charter. Time charter equivalent revenues, a non-GAAP measure, provides additional meaningful information in conjunction with shipping revenues, the most directly comparable GAAP measure, because it assists Company management in making decisions regarding the deployment and use of its vessels and in evaluating their financial performance. Reconciliation of TCE revenues of the segments to shipping revenues as reported in the consolidated statements of operations follow: Three Months Ended March 31, ($ in thousands) 2026 2025 Time charter equivalent revenues $ 317,245 $ 178,342 Add: Voyage expenses 8,231 5,052 Shipping Revenues $ 325,476 $ 183,394 View source version on businesswire.com: https://www.businesswire.com/news/home/20260506460660/en/ Investor Relations & Media Contact:
Tom Trovato, International Seaways, Inc.
(212) 578-1602
ttrovato@intlseas.com Original: International Seaways Reports First Quarter 2026 Results
US Market News
4 months ago
International Seaways Reports Fourth Quarter and Full Year 2025 ResultsFebruary 26, 2026 6:45 AM
Business Wire
Cumulative Shareholder Returns to Exceed $1 Billion Since 2020
International Seaways, Inc. (NYSE: INSW) (the “Company,” “Seaways,” or “INSW”), one of the largest tanker companies worldwide providing energy transportation services for crude oil and petroleum products, today reported results for the fourth quarter and full year 2025.
HIGHLIGHTS & RECENT DEVELOPMENTS
Annual and Quarterly Results:
Net income for the fourth quarter of 2025 was $128 million, or $2.56 per diluted share. Net income for the full year was $309 million, or $6.23 per diluted share.
Adjusted net income(1), defined as net income excluding special items, for the fourth quarter of 2025 was $122 million, or $2.45 per diluted share. Special items include gains on vessel sales and costs in connection with extinguishment of debt.
Adjusted EBITDA(1) for the fourth quarter for 2025 was $175 million and for the full year was $475 million.
Fleet Optimization Program:
Consolidated ownership of Tankers International, a leading VLCC pool, through the acquisition of the remaining 50% interest, as the platform expands into a new Suezmax pool.
Took delivery of Seaways Gibbs Hill, a 2020-built, scrubber-fitted VLCC, in the fourth quarter for an aggregate price of $119 million.
Sold 10 vessels during 2025 with an average age of 18 years for net proceeds of approximately $131 million. In 2026 to date, the Company has sold or agreed to sell seven vessels with an average age of 17 years for proceeds of approximately $216 million.
Four of the six LR1 newbuildings are on track to deliver in 2026. Two vessels delivered in 2025: Seaways Alacran in the third quarter and Seaways Balboa in the fourth quarter.
Healthy Balance Sheet:
Total liquidity was $724 million as of December 31, 2025, including total cash(1) of $167 million and $557 million undrawn revolving credit capacity.
Net loan-to-value remained low at approximately 13% as of December 31, 2025.
Unencumbered six VLCCs following the fourth quarter repayment of sale leaseback arrangements using proceeds from the September Norwegian bond issuance. As a result, the Company had 31 unencumbered vessels in the fleet as of December 31, 2025.
Returns to Shareholders:
Declared a combined dividend of $2.15 per share to be paid in March 2026, representing 87% adjusted net income(1).
Largest quarterly dividend declared in Company history.
Over $1 billion in returns to shareholders since 2020, including share repurchases and the March dividend payment.
Paid a combined $0.86 per share in dividends in December 2025.
Lois K. Zabrocky, International Seaways President and CEO commented, “We concluded 2025 with our strongest quarter since the first quarter of 2024, with solid contributions from both the crude and product segments and a return of VLCCs as leaders in tanker earnings. Our fleet renewal activity in 2025 reflects the disciplined approach we strive to take across the cycles: monetizing older assets at attractive values while securing modern tonnage that positions the fleet for long-term trading opportunities. We remained active through the fourth quarter and into the start of the year highlighted by the sales of older vessels, the strategic consolidation of Tankers International, and substantial returns to shareholders amid the strength of the tanker markets.”
Ms. Zabrocky continued, “Strong market fundamentals remain the underlying driver of tanker earnings, while today’s geopolitical environment has served as a powerful catalyst. Beneath the geopolitical headlines, we continue to see healthy oil demand growth of more than one million barrels per day, alongside supply growth from the Americas and OPEC+. On the supply side, while the orderbook stands at more than 15% of the existing fleet, nearly half of the fleet is expected to reach 20 years of age by the time those vessels deliver. At the same time, we are seeing increased enforcement actions targeting sanctioned tonnage, which now exceeds the size of the orderbook, and we expect this to constrain effective fleet growth in compliant trades. Against this backdrop, Seaways remains well positioned with our significant operating leverage to convert positive market dynamics into strong cash flow generation, supporting the continued execution of our disciplined capital allocation strategy.”
Jeff Pribor, the Company’s CFO stated, “Following the placement of $250 million in senior unsecured bonds, we repaid higher-cost debt and unencumbered six additional vessels. Over the course of the year, we took advantage of our financial strength and flexibility to renew the fleet without stretching the balance sheet, funding investments through sales of older vessels and attractively priced financing, while reducing our net loan-to-value ratio to 13% and returning nearly $150 million to shareholders. With continued strength in tanker markets into 2026, we remain focused on deploying cash flow toward fleet renewal and shareholder returns.”
FOURTH QUARTER 2025 RESULTS
Net income for the fourth quarter of 2025 was $128 million, or $2.56 per diluted share, compared to net income of $36 million, or $0.72 per diluted share, for the fourth quarter of 2024. The increase in results was primarily driven by higher TCE revenues(1) from spot earnings across the fleet, with weighted average spot rates increasing by approximately $15,400 per day, and the impact of fleet optimization, reflected in lower vessel expenses and gains on vessel sales compared with a non-cash impairment charge in the fourth quarter of 2024.
Shipping revenues for the fourth quarter were $268 million, compared to $195 million for the fourth quarter of 2024. Consolidated TCE revenues(1) for the fourth quarter were $260 million, compared to $191 million for the fourth quarter of 2024.
Adjusted EBITDA(1) for the fourth quarter was $175 million, compared to $95 million for the fourth quarter of 2024.
Crude Tankers
Shipping revenues for the Crude Tankers segment were $151 million for the fourth quarter of 2025, compared to $96 million for the fourth quarter of 2024. TCE revenues(1) were $147 million for the fourth quarter, compared to $93 million for the fourth quarter of 2024. This increase was attributable to higher spot earnings across the segment, with weighted average spot rates increasing by over $26,000 per day and higher time charter revenues, reflecting incremental profit sharing of approximately $36,900 per day on our dual-fuel VLCCs.
Product Carriers
Shipping revenues for the Product Carriers segment were $117 million for the fourth quarter of 2025, compared to $99 million for the fourth quarter of 2024. TCE revenues(1) were $113 million for the fourth quarter of 2025, compared to $97 million for the fourth quarter of 2024. The increase was driven by higher spot earnings across the product segment, with weighted average spot rates increasing by over $8,000 per day.
FLEET OPTIMIZATION PROGRAM
On January 27, 2026, the Company acquired sole ownership of Tankers International, a leading shipping pool founded in 2000, providing commercial management of modern, independent VLCC tonnage. Tankers International has formed a new pool to expand its commercial management into the Suezmax class, to which the Company expects to contribute its Suezmax vessels trading in the spot market.
During the fourth quarter of 2025, the Company took delivery of Seaways Gibbs Hill, a 2020-built, scrubber-fitted VLCC. In August 2025, the Company agreed to purchase the vessel for $119 million, of which $12 million was paid during the third quarter in connection with the agreement.
In the fourth quarter, the Company sold three MR vessels with an average age of 18.5 years for net proceeds of $36 million. During the year ended December 31, 2025, the Company sold ten vessels, eight MRs and two LR1s, with an average age of 18.0 years for proceeds of approximately $131 million, excluding two vessels that were swapped in early 2025. The vessel swap exchanged two older VLCCs and $3 million in cash for three younger MRs through a series of vessel sales and purchase agreements spanning over the fourth quarter of 2024 and the first quarter of 2025.
Between December 2025 and February 2026, the Company sold or entered into agreements to sell seven vessels for aggregate proceeds of approximately $216 million, net of commissions and fees. The vessels are among the oldest remaining in the fleet, consisting of five MRs with an average age of 18 years and two VLCCs with an average age of 15 years. The Company expects to close these transactions during the first quarter of 2026 and recognize gains from the vessel sales of approximately $80 million.
During the fourth quarter of 2025, the Company took delivery of the Seaways Balboa, the second of six LR1 newbuildings under construction in Korea with K Shipbuilding Co., Ltd. The aggregate contract price for the six scrubber-fitted, dual-fuel ready LR1 vessels is approximately $359 million. As of December 31, 2025, the Company has approximately $188 million in remaining construction costs, of which approximately $158 million is expected to be drawn from the ECA Credit Facility (as defined below) in accordance with the delivery schedule. In the first quarter of 2026, the Company paid approximately $30 million in installment payments related to the construction of these vessels.
In the fourth quarter, the Company entered into a time charter agreement for one year on a 2012-built Suezmax that commenced in November 2025. As of January 1, 2026, the Company has 13 vessels on time charter agreements with an average duration of 1.4 years and total future contracted revenues through expiry of approximately $210 million, excluding any applicable profit share.
BALANCE SHEET ENHANCEMENTS
In September 2025, the Company successfully issued $250 million of senior unsecured bonds maturing in 2030 in the Norwegian bond market at a coupon rate of 7.125%. Proceeds from the bonds were used in the exercise of declared purchase options on existing sale leaseback arrangements bearing interest at SOFR plus 405 basis points with an 18-year amortization profile. The purchase options were paid in November 2025 for $258 million, which unencumbered six VLCCs, reduced interest expense and eliminated approximately $22 million in annual mandatory principal payments.
In August 2025, the Company entered into a Korean export agency-backed financing with DNB Bank and K-Sure for up to $240 million, secured by six LR1 newbuildings delivering between the third quarter of 2025 and the third quarter of 2026 (the “ECA Credit Facility”). The 12-year facility combines for a 20-year amortization profile and a blended interest rate of SOFR plus 125 basis points across two tranches. Funds will be drawn under the facility in connection with the delivery of each vessel. During 2025, the Company drew $82 million in connection with the delivery of two vessels.
In the year ended December 30, 2025, the Company repaid $145 million on its revolving credit facilities, composed of $69 million, primarily borrowed for timing differences in connection with the vessel swap and $76 million to offset capacity reductions in our revolving credit facilities.
RETURNING CASH TO SHAREHOLDERS
In December 2025, the Company paid a combined dividend of $0.86 per share of common stock, composed of a regular quarterly dividend of $0.12 per share of common stock and a supplemental dividend of $0.74 per share.
On February 25, 2026, the Company’s Board of Directors declared a combined dividend of $2.15 per share of common stock, composed of a regular quarterly dividend of $0.12 per share of common stock and a supplemental dividend of $2.03 per share of common stock. Both dividends will be paid on March 30, 2026, to shareholders with a record date at the close of business on March 20, 2026.
In October 2025, the Company’s Board of Directors extended the expiry of the $50 million share repurchase program to the end of 2026.
(1) This is a non-GAAP financial measure used throughout this press release; please refer to the section “Reconciliation to Non-GAAP Financial Information” for explanations of our non-GAAP financial measures and the reconciliations of reported GAAP to non-GAAP financial measures.
CONFERENCE CALL
The Company will host a conference call to discuss its fourth quarter 2025 results at 9:00 a.m. Eastern Time on Thursday, February 26, 2026. To access the call, participants should dial (833) 470-1428 for domestic callers and (929) 526-1599 for international callers and entering 699376. Please dial in ten minutes prior to the start of the call. A live webcast of the conference call will be available from the Investor Relations section of the Company’s website at https://www.intlseas.com.
An audio replay of the conference call will be available until March 13, 2026, by dialing (866) 813-9403 for domestic callers and +44 204 525 0658 for international callers, and entering Access Code 421241.
ABOUT INTERNATIONAL SEAWAYS, INC.
International Seaways, Inc. (NYSE: INSW) is one of the largest tanker companies worldwide providing energy transportation services for crude oil and petroleum products in International Flag markets. International Seaways owns and operates a fleet of approximately 70 vessels across the principal tanker asset classes including four vessels on order. International Seaways has an experienced team committed to the very best operating practices and the highest levels of customer service and operational efficiency. International Seaways is headquartered in New York City, NY. Additional information is available at https://www.intlseas.com.
Forward-Looking Statements
This release contains forward-looking statements. In addition, the Company may make or approve certain statements in future filings with the U.S. Securities and Exchange Commission (the “SEC”), in press releases, or in oral or written presentations by representatives of the Company. All statements other than statements of historical facts should be considered forward-looking statements. These matters or statements may relate to plans to issue dividends, the Company’s prospects, including statements regarding vessel acquisitions, expected synergies, trends in the tanker markets, and possibilities of strategic alliances and investments. Forward-looking statements are based on the Company’s current plans, estimates and projections, and are subject to change based on a number of factors. Investors should carefully consider the risk factors outlined in more detail in the Annual Report on Form 10-K for 2025 for the Company, and in similar sections of other filings made by the Company with the SEC from time to time. The Company assumes no obligation to update or revise any forward-looking statements. Forward-looking statements and written and oral forward-looking statements attributable to the Company or its representatives after the date of this release are qualified in their entirety by the cautionary statements contained in this paragraph and in other reports previously or hereafter filed by the Company with the SEC.
Category: Earnings
Consolidated Statements of Operations
($ in thousands, except per share amounts)
Three Months Ended
Fiscal Year Ended
December 31,
December 31,
2025
2024
2025
2024
(Unaudited)
(Unaudited)
Shipping Revenues:
Pool revenues
$
209,394
$
145,194
$
641,785
$
749,164
Time and bareboat charter revenues
45,954
38,089
157,580
137,119
Voyage charter revenues
12,531
11,330
43,937
65,330
Total Shipping Revenues
267,879
194,613
843,302
951,613
Operating Expenses:
Voyage expenses
7,897
3,973
23,688
18,510
Vessel expenses
65,879
73,171
266,143
275,661
Charter hire expenses
7,355
8,998
33,261
29,839
Depreciation and amortization
41,362
39,466
163,586
149,440
General and administrative
13,022
15,113
50,235
52,607
Other operating expenses
1,831
105
3,541
2,820
Third-party debt modification fees
-
-
-
168
(Gain)/Loss on disposal of vessels and other assets, net
(7,629
)
8,745
(42,537
)
(32,657
)
Total operating expenses
129,717
149,571
497,917
496,388
Income from vessel operations
138,162
45,042
345,385
455,225
Other income
799
1,593
6,169
10,118
Income before interest expense and income taxes
138,961
46,635
351,554
465,343
Interest expense
(11,868
)
(11,895
)
(42,704
)
(49,703
)
Income before income taxes
127,093
34,740
308,850
415,640
Income tax benefit
411
1,083
411
1,084
Net income
$
127,504
$
35,823
$
309,261
$
416,724
Weighted Average Number of Common Shares Outstanding:
Basic
49,368,928
49,175,563
49,335,230
49,270,496
Diluted
49,682,572
49,546,868
49,595,945
49,680,127
Per Share Amounts:
Basic net income per share
$
2.58
$
0.73
$
6.27
$
8.45
Diluted net income per share
$
2.56
$
0.72
$
6.23
$
8.38
Consolidated Balance Sheets
($ in thousands)
December 31,
December 31,
2025
2024
ASSETS
Current Assets:
Cash and cash equivalents
$
116,922
$
157,506
Short-term investments
50,000
-
Voyage receivables
177,887
185,521
Other receivables
13,836
13,771
Inventories
611
1,875
Prepaid expenses and other current assets
7,384
15,570
Current portion of derivative asset
406
2,080
Total Current Assets
367,046
376,323
Vessels and other property, less accumulated depreciation
2,077,986
2,050,211
Vessels construction in progress
57,725
37,020
Deferred drydock expenditures, net
109,257
90,209
Operating lease right-of-use assets
7,220
21,229
Pool working capital deposits
33,051
35,372
Long-term derivative asset
5
801
Other assets
16,352
25,232
Total Assets
$
2,668,642
$
2,636,397
LIABILITIES AND EQUITY
Current Liabilities:
Accounts payable, accrued expenses and other current liabilities
$
69,921
$
66,264
Current portion of operating lease liabilities
3,182
14,617
Current installments of long-term debt
25,788
50,054
Total Current Liabilities
98,891
130,935
Long-term operating lease liabilities
5,954
8,715
Long-term debt
541,291
638,353
Other liabilities
2,229
2,346
Total Liabilities
648,365
780,349
Equity:
Total Equity
2,020,277
1,856,048
Total Liabilities and Equity
$
2,668,642
$
2,636,397
Consolidated Statements of Cash Flows
($ in thousands)
Fiscal Year Ended December 31,
2025
2024
Cash Flows from Operating Activities:
Net income
$
309,261
$
416,724
Items included in net income not affecting cash flows:
Depreciation and amortization
163,586
149,440
Loss on write-down of vessels and other assets
—
8,700
Amortization of debt discount and other deferred financing costs
4,262
4,110
Deferred financing costs write-off
1,761
—
Stock compensation
8,699
9,000
Other – net
(189
)
(553
)
Items included in net income related to investing and financing activities:
Gain on disposal of vessels and other assets, net
(42,537
)
(41,357
)
Loss on extinguishment of debt
315
—
Payments for drydocking
(84,211
)
(58,642
)
Insurance claims proceeds related to vessel operations
2,840
1,073
Changes in operating assets and liabilities
16,265
58,643
Net cash provided by operating activities
380,052
547,138
Cash Flows from Investing Activities:
Expenditures for vessels, vessel improvements, and vessels under construction
(340,480
)
(278,794
)
Security deposits for vessel exchange transactions
5,000
(5,000
)
Proceeds from disposal of vessels and other property, net
246,259
71,895
Expenditures for other property
(1,441
)
(1,386
)
Pool working capital deposits
(650
)
(1,732
)
Investments in short term time deposits
(50,000
)
(125,000
)
Proceeds from maturities of short term time deposits
—
185,000
Net cash used in investing activities
(141,312
)
(155,017
)
Cash Flows from Financing Activities:
Borrowings on nonrevolving credit facility debt
331,494
—
Borrowings on revolving credit facilities
80,000
120,000
Repayments on revolving credit facilities
(224,581
)
(70,000
)
Repayments of debt
—
(39,851
)
Premium and fees on extinguishment of debt
(315
)
—
Payments on sale and leaseback financing
(303,504
)
(49,294
)
Payments of deferred financing costs
(11,666
)
(5,759
)
Cash dividends paid
(144,611
)
(284,416
)
Repurchase of common stock
—
(25,000
)
Cash paid to tax authority upon vesting or exercise of stock-based compensation
(6,141
)
(7,055
)
Net cash used in financing activities
(279,324
)
(361,375
)
Net (decrease)/increase in cash, cash equivalents and restricted cash
(40,584
)
30,746
Cash and cash equivalents at beginning of year
157,506
126,760
Cash and cash equivalents at end of year
$
116,922
$
157,506
Spot and Fixed TCE Rates Achieved and Revenue Days
The following tables provides a breakdown of TCE rates achieved for spot and fixed charters and the related revenue days for the three months and fiscal year ended December 31, 2025 and the comparable periods of 2024. Revenue days in the quarter ended December 31, 2025 totaled 5,945 compared with 6,697 in the prior year quarter. Revenue days in the year ended December 31, 2025 totaled 25,393 compared with 25,904 in the prior year. The information in these tables excludes commercial pool fees/commissions averaging approximately $942 and $764 per day for the three months ended December 31, 2025 and 2024, respectively, and approximately $924 and $902 per day for the years ended December 31, 2025 and 2024, respectively.
Three Months Ended December 31, 2025
Three Months Ended December 31, 2024
Spot
Fixed
Total
Spot
Fixed
Total
Crude Tankers
VLCC
Average TCE Rate
$
75,566
$
69,847
$
35,572
$
32,947
Number of Revenue Days
527
276
803
823
276
1,099
Suezmax
Average TCE Rate
$
52,802
$
35,940
$
29,700
$
30,855
Number of Revenue Days
1,052
134
1,186
1,023
154
1,177
Aframax
Average TCE Rate
$
42,201
$
38,326
$
31,212
$
38,500
Number of Revenue Days
292
92
384
276
92
368
Total Crude Tankers Revenue Days
1,871
502
2,373
2,122
522
2,644
Product Carriers
Aframax (LR2)
Average TCE Rate
$
-
$
39,522
$
-
$
39,501
Number of Revenue Days
-
91
91
-
92
92
Panamax (LR1)
Average TCE Rate
$
62,904
$
-
$
37,103
$
-
Number of Revenue Days
381
-
381
715
-
715
MR
Average TCE Rate
$
28,523
$
21,935
$
21,488
$
21,954
Number of Revenue Days
2,528
572
3,100
2,520
726
3,246
Total Product Carriers Revenue Days
2,909
663
3,572
3,235
818
4,053
Total Revenue Days
4,780
1,165
5,945
5,357
1,340
6,697
Fiscal Year Ended December 31, 2025
Fiscal Year Ended December 31, 2024
Spot
Fixed
Total
Spot
Fixed
Total
Crude Tankers
VLCC
Average TCE Rate
$
44,397
$
47,121
$
39,011
$
35,758
Number of Revenue Days
2,455
1,095
3,550
3,395
1,098
4,493
Suezmax
Average TCE Rate
$
38,329
$
33,726
$
39,303
$
30,971
Number of Revenue Days
4,342
355
4,697
4,036
702
4,738
Aframax
Average TCE Rate
$
31,941
$
38,496
$
32,433
$
38,518
Number of Revenue Days
1,096
353
1,449
873
365
1,238
Total Crude Tankers Revenue Days
7,893
1,803
9,696
8,304
2,165
10,469
Product Carriers
LR2
Average TCE Rate
$
-
$
39,485
$
53,159
$
39,500
Number of Revenue Days
-
364
364
149
161
310
LR1
Average TCE Rate
$
36,516
$
-
$
49,915
$
-
Number of Revenue Days
2,251
-
2,251
2,386
-
2,386
MR
Average TCE Rate
$
23,535
$
21,638
$
30,887
$
21,809
Number of Revenue Days
10,345
2,737
13,082
10,348
2,391
12,739
Total Product Carriers Revenue Days
12,596
3,101
15,697
12,883
2,552
15,435
Total Revenue Days
20,489
4,904
25,393
21,187
4,717
25,904
(a) In May 2025, the 2010-built Seaways Raffles delivered into the Tankers International 15-plus pool, which is excluded from the average spot TCE rate presented in the tables above. If the 15-plus pool was included, the average VLCC TCE spot rate would be $75,428 per day on 618 revenue days for the fourth quarter of 2025, and $44,817 per day on 2,697 revenue days for the full year 2025.
Revenue days in the above table exclude days related to full service lighterings and certain of the Company’s vessels that were employed in transitional voyages.
During the 2025 and 2024 periods, each of the Company’s LR1s participated in the Panamax International Pool and transported crude oil cargoes exclusively.
Fleet Information
As of December 31, 2025 INSW’s fleet totaled 74 vessels, of which 66 were owned and 8 were chartered in.
Total at December 31, 2025
Vessel Fleet and Type
Vessels Owned
Vessels Chartered-in1
Total Vessels
Total Dwt
Operating Fleet
VLCC
9
3
12
3,617,800
Suezmax
13
-
13
2,061,754
Aframax
4
-
4
452,375
Crude Tankers
26
3
29
6,131,929
LR2
1
-
1
112,691
LR1
6
1
7
519,941
MR
29
4
33
1,658,013
Product Carriers
36
5
41
2,290,645
Total Operating Fleet
62
8
70
8,422,574
Newbuild Fleet
LR1
4
-
4
297,600
Total Newbuild Fleet
4
-
4
297,600
Total Operating and Newbuild Fleet
66
8
74
8,720,174
(1) Includes bareboat charters, but excludes vessels chartered in where the duration of the charter was one year or less at inception.
Reconciliation to Non-GAAP Financial Information
The Company believes that, in addition to conventional measures prepared in accordance with GAAP, the following non-GAAP measures may provide certain investors with additional information that will better enable them to evaluate the Company’s performance. Accordingly, these non-GAAP measures are intended to provide supplemental information, and should not be considered in isolation or as a substitute for measures of performance prepared with GAAP.
Adjusted Net Income
Adjusted net income consists of net income adjusted for the impact of certain items that we do not consider indicative of our ongoing operating performance. This measure does not represent or substitute net income or any other financial item that is determined in accordance with GAAP. While adjusted net income is frequently used as a measure of operating results and performance, it may not be necessarily comparable with other similarly titled captions of other companies due to differences in methods of calculation. The following table reconciles net income, as reflected in the condensed consolidated statement of operations, to adjusted net income:
Three Months Ended December 31,
Fiscal Year Ended December 31,
($ in thousands)
2025
2024
2025
2024
Net income
$
127,504
$
35,823
$
309,261
$
416,724
Third-party debt modification fees
-
-
-
168
Write-off of deferred financing costs
1,761
-
1,761
-
Loss on extinguishment of debt
315
-
315
-
(Gain)/Loss on disposal of vessels and other assets, net
(7,629
)
8,745
(42,537
)
(32,657
)
Provision for settlement of multi-employer pension plan obligations
-
-
-
1,019
Adjusted Net Income
$
121,951
$
44,568
$
268,800
$
385,254
Weighted average shares outstanding (diluted)
49,682,572
49,546,868
49,595,945
49,680,127
Adjusted Net Income per diluted share
$
2.45
$
0.90
$
5.42
$
7.75
EBITDA and Adjusted EBITDA
EBITDA represents net income before interest expense, income taxes, and depreciation and amortization expense. Adjusted EBITDA consists of EBITDA adjusted for the impact of certain items that we do not consider indicative of our ongoing operating performance. EBITDA and Adjusted EBITDA do not represent, and should not be a substitute for, net income or cash flows from operations as determined in accordance with GAAP. Some of the limitations are: (i) EBITDA and Adjusted EBITDA do not reflect our cash expenditures, or future requirements for capital expenditures or contractual commitments; (ii) EBITDA and Adjusted EBITDA do not reflect changes in, or cash requirements for, our working capital needs; and (iii) EBITDA and Adjusted EBITDA do not reflect the significant interest expense, or the cash requirements necessary to service interest or principal payments, on our debt. While EBITDA and Adjusted EBITDA are frequently used as a measure of operating results and performance, neither of them is necessarily comparable to other similarly titled captions of other companies due to differences in methods of calculation. The following table reconciles net income as reflected in the condensed consolidated statements of operations, to EBITDA and Adjusted EBITDA:
Three Months Ended December 31,
Fiscal Year Ended December 31,
($ in thousands)
2025
2024
2025
2024
Net income
$
127,504
$
35,823
$
309,261
$
416,724
Income tax benefit
(411
)
(1,083
)
(411
)
(1,084
)
Interest expense
11,868
11,895
42,704
49,703
Depreciation and amortization
41,362
39,466
163,586
149,440
EBITDA
180,323
86,101
515,140
614,783
Third-party debt modification fees
-
-
-
168
Write-off of deferred financing costs
1,761
-
1,761
-
Loss on extinguishment of debt
315
-
315
-
(Gain)/Loss on disposal of vessels and other assets, net
(7,629
)
8,745
(42,537
)
(32,657
)
Provision for settlement of multi-employer pension plan obligations
-
-
-
1,019
Adjusted EBITDA
$
174,770
$
94,846
$
474,679
$
583,313
Total Cash
December 31,
December 31,
($ in thousands)
2025
2024
Cash and cash equivalents
$
116,922
$
157,506
Short-term investments
50,000
-
Total Cash
$
166,922
$
157,506
Time Charter Equivalent (TCE) Revenues
Consistent with general practice in the shipping industry, the Company uses TCE revenues, which represents shipping revenues less voyage expenses, as a measure to compare revenue generated from a voyage charter to revenue generated from a time charter. Time charter equivalent revenues, a non-GAAP measure, provides additional meaningful information in conjunction with shipping revenues, the most directly comparable GAAP measure, because it assists Company management in making decisions regarding the deployment and use of its vessels and in evaluating their financial performance. Reconciliation of TCE revenues of the segments to shipping revenues as reported in the condensed consolidated statements of operations follow:
Three Months Ended December 31,
Fiscal Year Ended December 31,
($ in thousands)
2025
2024
2025
2024
Time charter equivalent revenues
$
259,982
$
190,640
$
819,614
$
933,103
Add: Voyage expenses
7,897
3,973
23,688
18,510
Shipping revenues
$
267,879
$
194,613
$
843,302
$
951,613
View source version on businesswire.com: https://www.businesswire.com/news/home/20260226434448/en/
Investor Relations & Media Contact:
Tom Trovato, International Seaways, Inc.
(212) 578-1602
ttrovato@intlseas.com
Original: International Seaways Reports Fourth Quarter and Full Year 2025 Results
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