DHT (DHT) Q4 2023 earnings summary

Executive summary

• FY2023 net income was $161.4M, the second-best year in the history of the business, as higher tanker rates drove improvement over 2022.

• Q4 net income was $35.3M, or $0.22/share, down from $61.8M and $0.38/share in Q4 2022.

Financial highlights

• Q4 TCE revenue was $94.521M; vessel operating expenses were $18.718M and G&A was $3.993M.

• Q4 EBITDA was $72.894M, interest expense $9.194M, net income $35.308M and EPS $0.22.

• FY shipping revenue was $556.1M vs. $450.4M in 2022; adjusted net revenue was $390.4M vs. $264.9M.

• FY EBITDA was $302.0M vs. $177.9M; net income was $161.4M vs. $62.0M, and EPS was $0.99 vs. $0.37.

• Q4 operating cash flow was $42.3M vs. $90.3M; FY operating cash flow rose to $251.4M from $127.9M.

Outlook and guidance

• Q1 estimates: 455 term charter days at $36,600/day and 1,630 spot days, with 1,270 days booked at $55,900/day; 78% of available spot days were booked.

• Q1 P&L break-even for spot ships is $25,900/day; 2024 estimated P&L break-even is $27,400/day overall and $24,800/day for spot ships.

• 2024 estimated cash break-even rates are $18,500/day overall and $13,700/day for spot ships.

• 2024 estimated EPS scenarios: $0.76 at a $41,400/day average spot VLCC rate, $1.04 at $50,000/day, $1.85 at $75,000/day and $2.65 at $100,000/day.