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KNOT Offshore Partners (KNOP) investor relations material

KNOT Offshore Partners Q2 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 2025 earnings summary26 Sep, 2025

Executive summary

  • Q2 2025 revenues reached $87.1 million, with operating income of $22.2 million and net income of $6.8 million.

  • Adjusted EBITDA was $51.6 million, and available liquidity increased to $104.8 million by quarter end.

  • Fleet utilization was 96.8% overall and 100% for scheduled operations, reflecting strong performance despite dry dockings.

  • A cash distribution of $0.026 per common unit was declared and paid in August 2025.

  • Fleet expanded to 19 vessels, with average age reduced to 9.7 years.

Financial highlights

  • Revenues of $87.1 million, operating income of $22.2 million, and net income of $6.8 million for Q2 2025.

  • Adjusted EBITDA reached $51.6 million.

  • Available liquidity at quarter end was $104.8 million, up $4 million from Q1.

  • Debt paydown continued at a rate of over $90 million per year.

  • Average margin on debt was 2.23%.

Outlook and guidance

  • 89% of vessel time in 2026 is covered by fixed contracts, with strong likelihood of charterers exercising options.

  • Contractual backlog as of June 30, 2025, was $895 million, averaging 2.6 years firm duration.

  • Shuttle tanker market tightening in Brazil and the North Sea, driven by FPSO startups and ramp-ups.

  • Medium-term shortage of shuttle tankers expected as new FPSO units come online.

  • Focus remains on safe operations, high utilization, and opportunistic capital deployment.

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Frequently asked questions

KNOT Offshore Partners LP specializes in owning, acquiring, and operating shuttle tankers under long-term charters. These vessels are used primarily in the North Sea and Brazil, where they perform critical roles in the loading, transportation, discharge, and storage of crude oil. The company operates a modern fleet equipped with dynamic positioning (DP2) capabilities, catering to the specialized needs of offshore oil production regions. The company is headquartered in Aberdeen, United Kingdom, and its shares are listed on the New York Stock Exchange.

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