Flex LNG - First Quarter 2026 Earnings Release
Rhea-AI Summary
Flex LNG (FLNG) reported first quarter 2026 vessel operating revenues of $80.5 million, net income of $19.5 million and basic EPS of $0.36. Average TCE was $65,729 per day and adjusted EBITDA reached $53.2 million.
The company raised full-year 2026 guidance, now expecting revenues excluding EUAs of $345–370 million, fleet-wide TCE of $73,000–78,000 per day and adjusted EBITDA of $255–280 million. A quarterly dividend of $0.75 per share was declared, with about $41 million to be distributed, marking the 19th consecutive ordinary $0.75 dividend. Flex LNG highlighted new time-charter coverage through 2032 on two vessels, short-term fixtures on others, 91% of 2026 vessel days secured, and a second consecutive year with zero LTIF in its 2025 ESG report.
AI-generated analysis. Not financial advice.
Positive
- FY2026 revenue guidance ex EUAs raised to $345–370 million
- FY2026 adjusted EBITDA guidance increased to $255–280 million
- FY2026 fleet TCE guidance lifted to $73,000–78,000 per day
- 91% of remaining 2026 vessel days covered
- Two vessels extended on firm charters until 2032, options to 2039
- Declared $0.75 quarterly dividend, about $41 million distribution
- Approximately $810 million returned to shareholders since 2021
- Reported zero LTIF for the second consecutive year
Negative
- Quarterly vessel operating revenues fell to $80.5m from $87.5m
- Net income declined to $19.5m from $21.6m sequentially
- Average TCE decreased to $65,729 per day from $70,119
- Adjusted EBITDA dropped to $53.2m from $61.8m quarter-on-quarter
- Adjusted net income fell to $16.9m from $23.3m
- Earnings affected by soft spot market and higher voyage expenses
Highlights:
- Vessel operating revenues of
$80.5 million $87.5 million - Net income of
$19.5 million $0.36 $21.6 million $0.40 - Average Time Charter Equivalent ("TCE") rate of
$65,729 $70,119 - Adjusted EBITDA of
$53.2 million $61.8 million - Adjusted net income of
$16.9 million $23.3 million - Adjusted basic earnings per share of
$0.31 $0.43 - In May 2026, the Company published its ESG report for 2025, its eighth comprehensive and stand-alone sustainability report, which provides an opportunity to reflect on the Company's ESG journey so far.
- The Company declared a dividend for the first quarter 2026 of
$0.75
Marius Foss, CEO of Flex LNG Management AS, commented:
"Results for the first quarter of 2026 reflect the seasonal low period in the LNG shipping market, which bottomed out in mid-Q1, in line with historical patterns. We achieved a fleet-wide TCE rate of around
However, the LNG shipping market reset dramatically following the outbreak of the war in
With two vessels exposed to the spot market and Flex Aurora redelivered in March, we capitalized on tighter markets, securing a two-year contract for Flex Aurora and fixing Flex Volunteer and Flex Artemis on short term contracts until the third quarter. In March, we were pleased to announce that the charterer of Flex Resolute and Flex Courageous exercised the extension options for the period 2027 to 2029, meaning that the ships are now on firm contracts until 2032, with the charterer's option to extend to 2039.
Reflecting the stronger market environment and having covered
Importantly, none of our vessels operated inside the Strait of Hormuz during the conflict period, and all our seafarers remain safe. In periods of heightened geopolitical uncertainty, safeguarding our crew remains paramount. This commitment is also reflected in our 2025 ESG Report, released today. For the second consecutive year, we report a Lost Time Injury Frequency (LTIF) of zero, underscoring our continued focus on health and safety.
The Board is pleased to declare another quarterly dividend of
First Quarter 2026 Results Presentation
In connection with the earnings release, a video webcast will be held today at 15:00 CEST (09:00 a.m. EST).
In order to watch the webcast, use the following link:
Link to register and watch webcast
A Q&A session will be held after the webcast. Information on how to submit questions will be given at the beginning of the session.
The presentation material which will be used in the live video webcast can be downloaded on www.flexlng.com and replay details will also be available at this website.
For further information, please contact:
Mr. Knut Traaholt, Chief Financial Officer of Flex LNG Management AS
Telephone: +47 23 11 40 00
Email: ir@flexlng.com
Forward-Looking Statements
Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, that are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. Words such as "believe," "expect," "forecast," "anticipate," "aim," "commit," "estimate," "intend," "plan," "possible," "potential," "pending," "target," "project," "likely," "may," "will," "would," "should," "could" and similar expressions are intended to identify forward-looking statements.
The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, on further assumptions, including without limitation, management's examination of historical operating trends, data contained in the Company's records and other data available from third parties. Although management believes that these assumptions were reasonable when made, they are inherently subject to significant uncertainties and contingencies that are difficult or impossible to predict and are beyond the Company's control, and accordingly there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. As such, these forward-looking statements are not guarantees of the Company's future performance, and actual results and future developments may differ materially from those projected in the forward-looking statements. The Company undertakes no obligation, and specifically disclaims any obligation, except as required by applicable law or regulation, to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for the Company to predict all of these factors or to assess the impact of each such factor, or combination of factors, on its business or results of operations. Further, the Company cannot assess the effect of each such factor on its business or the extent to which any factor, or combination of factors, may cause actual results to be materially different from those contained in any forward-looking statement.
In addition to these important factors, other important factors that, in the Company's view, could cause actual results to differ materially from those discussed in the forward-looking statements include: unforeseen liabilities, future capital expenditures, the strength of world economies and currencies, inflationary pressures and central bank policies intended to combat overall inflation and rising interest rates and foreign exchange rates, general market conditions, including fluctuations in charter rates and vessel values, changes in demand in the LNG tanker market, the Company's business strategy and expected and unexpected capital spending and operating expenses, including drydocking, surveys, repairs, upgrades, insurance costs and bunker costs, the fuel efficiency of the Company's vessels, the market for the Company's vessels, availability of financing and refinancing, ability to comply with covenants in such financing arrangements, failure of counterparties to fully perform their contracts with the Company, changes in governmental rules and regulations or actions taken by regulatory authorities, including those that may limit the commercial useful lives of LNG tankers, customers' increasing emphasis on environmental and safety concerns, potential liability from pending or future litigation, global and regional economic and political conditions and developments, armed conflicts, including the war between
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The following files are available for download:
Flex LNG - Earnings Release Q1 2026 | |
https://mb.cision.com/Public/22886/4348134/9892842fee871813.pdf | Flex LNG ESG Report 2025 |
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SOURCE Flex LNG