DHT Holdings, Inc. Q2 FY2025 earnings call

• DHT Appaloosa entered a 7-9 year time charter with a global energy major.
• Acquired a modern secondhand vessel built in 2018, to be delivered end of Q2.
• Sold DHT Lotus and Peony for combined $103 million, with gains recorded.
• DHT Bauhinia fixed on 1-year time charter at $41,500 per day.
• Acquired minority stake in Goodwood Ship Management, making it 100% owned.
• Fleet reflagged to Marshall Islands registry.
• Refinanced DHT Jaguar with $30 million facility.
• Secured $308.4 million financing for newbuildings.
• Declared $0.24 per share dividend, 62nd consecutive quarterly cash dividend.
• Bookings for Q3 2025: 805 time charter days at $40,500/day (with profit sharing) and 1,150 spot days (73% booked at $38,500/day).
• Market commentary on factors like OPEC production, India tariffs, Brazilian supply contracts affecting tanker market.

In the second quarter of 2025, DHT Holdings achieved TCE revenues of $92.8 million and adjusted EBITDA of $69 million. Net income was $56 million, equal to $0.35 per share. After adjusting for the $17.5 million gain on sale of vessels, net profit was $38.6 million ($0.24 per share). Vessel operating expenses were $19.6 million and G&A was $4.6 million. The average TCE for spot market vessels was $48,700 per day, time charters made $42,800 per day, with a combined average of $46,300 per day. The balance sheet was robust with $299 million in total liquidity, financial leverage at 14.1%, and net debt $10 million per vessel.

• Expected 805 time charter days for Q3 at $40,500/day (with profit sharing) and 1,150 spot days (73% booked at $38,500/day).
• Spot P&L breakeven for Q3 estimated at $20,000 per day.
• Potential market turnaround with factors like OPEC production, India sourcing shifts, Brazilian supply contracts, and global economic resilience.

• Impact of world economy resilience on tanker market demand.
• Enforcement of sanctions and transshipment of sanctioned oil affecting market dynamics.
• Trade and tariff tensions potentially negatively impacting global economic resilience and tanker market performance.

Q: Frode Morkedal asked about the tariff on India and its effect on chartering activity.

A: Svein Moxnes Harfjeld said India's Russian oil imports from Russia were down 20% in July, favoring larger ships, but it's early to tell if it'll have a meaningful impact.

Q: Sherif Elmaghrabi asked about OPEC's production increase and effect on charterers.

A: Svein Moxnes Harfjeld said increased customer interest in VLCC capacity bodes well for the market.

Q: Jonathan Chappell asked about dry dock schedule.

A: Svein Moxnes Harfjeld said one ship in dry dock in second half.

Q: Omar Nokta asked about India volumes and financing of new acquisition.

A: Svein Moxnes Harfjeld said India's feedstock sourcing shifted to Middle East, and financing of new acquisition is competitive with longer tenure.

Q: Geoffrey Scott asked about dark fleet utilization and financing spreads.

A: Svein Moxnes Harfjeld said dark fleet utilization is hard to track, and financing spreads are attractive due to strong balance sheet and track record.