FLEX LNG Ltd. Q2 FY2025 earnings call

• The Balance Sheet Optimization Program 3.0 is progressing as planned, with refinancing of Flex Courageous completed and that of Flex Constellation and Flex Resolute's documentation signed.
• A $15 million share buyback program was announced, independent of third - quarter dividend considerations.
• Flex LNG is delisting from Oslo Stock Exchange with the last day of listing on 15th September; shareholders are reminded to transfer shares if needed.
• 2 of 4 drydockings were completed in 2025, with 2 more scheduled in 2025, and drydocking costs average around $5.7 million per vessel.
• Strong contract backlog with 56 years of minimum backlog and potential to grow to 85 years if charterers exercise options; 2 vessels are in the spot market.
• Committed to a shareholder - friendly dividend policy guided by earning visibility, contract backlog, balance sheet strength, and debt maturity profile; declared an ordinary quarterly dividend of $0.75 per share, payable on 5th September with different payment dates for different stock exchanges.

In the first quarter, revenues were $86 million or $84 million excluding EUAs. The TCE during the quarter ended up at $72,000 per day. Net income for the quarter came in at $17.7 million, implying an EPS of $0.33 per share. Adjusting for the unrealized losses on the derivatives and exit costs for Courageous refinancing, the adjusted net income was $24.8 million or adjusted earnings per share at $0.46. The Balance Sheet Optimization Program 3.0 is progressing as planned. In May, the $175 million refinancing of Flex Courageous was completed with net proceeds of approximately $43 million. The refinancing of Flex Constellation and Flex Resolute's documentation was signed, targeting closing in the third quarter. A $15 million share buyback program was announced. Flex LNG is delisting from Oslo Stock Exchange with the last day of listing on 15th September. Full year 2025 guidance includes revenues of $350 million to $370 million, TCE per day around $72,000 to $77,000, and adjusted EBITDA of approximately $250 million to $270 million. The Board declared a 75% share dividend with a last 12 months dividend of $3 per share. 2 of 4 drydockings were completed in 2025, with 2 more scheduled. Contract backlog is strong with 56 years of minimum backlog and potential to grow to 85 years if charterers exercise options.

• Reaffirmed full year 2025 guidance of revenues of $350 million to $370 million and TCE per day around $72,000 to $77,000 per day.
• Reaffirmed guidance for expected adjusted EBITDA of approximately $250 million to $270 million for the full year.
• With the closing of the financings announced, an additional $90 million will be added to the cash balance in the third quarter, concluding the Balance Sheet Optimization Program 3.0 and freeing up $132 million in liquidity.

• Cautious short - term outlook on the LNG market.
• A significant number of vessels, as many as 64 ships or 9% of the active fleet, are idling.
• Newbuilding prices for modern LNG carriers built in South Korea have stabilized, and steam vessels face competition.
• European LNG imports and storage levels pose risks, with Europe remaining exposed to a cold winter.

Q: Regarding the upcoming options for the Flex Aurora and Flex Volunteer, both in terms of likelihood of being declared and timing of these options?

A: The first option is due in Q4 2025 and the other is in Q1 '26. We shall revert once we can say more about that.

Q: How do you look at reinvestments in newbuildings today?

A: Would love to add on new buildings to the Flex LNG fleets. Right now, exploring with new and existing partners if somebody would like to join us to order with a contract attached. Ordering a new building on speculative prices is difficult as long as the term market does not justify a new building investment today.

Q: What are you doing with all the cash that we have on our balance sheet?

A: Have $413 million of RCF capacity not utilized in between quarters as effective cash management. There is a share buyback program announced, made independent of dividend considerations.

Q: Questions regarding the delisting?

A: Remind shareholders on Oslo Stock Exchange to contact their broker investment adviser to transfer the Oslo listed shares to the New York listed share before 15th September; there is a dedicated page on the website for delisting details.