Golden Ocean Group (GOGL) Q1 2025 earnings summary

Executive summary

• Adjusted EBITDA for Q1 2025 was $12.7 million, down from $69.9 million in Q4 2024, with a net loss of $44.1 million and a loss per share of $0.22, compared to net income of $39 million and EPS of $0.20 in Q4.

• Operating revenues dropped to $141.9 million from $211.0 million in Q4 2024, with average TCE rate for the fleet at $14,409 per day, down from $20,809.

• Announced a $0.05 per share dividend for Q1 2025.

• Entered into a term sheet for a contemplated share-for-share merger with CMB.TECH NV after CMB.TECH acquired a significant stake.

• Agreements to sell two Kamsarmax vessels for $15.8 million and $16.8 million, with gains to be recognized upon delivery.

Financial highlights

• Net revenues were $114.7 million, down from $174.9 million in Q4; operating revenues for Q1 2025 were $141.9 million, down from $211.0 million in Q4 2024.

• Operating expenses were $95.3 million, with running expenses at $53.8 million, and drydocking costs increased to $38.4 million for 380 days.

• Cash flow from operations was negative $3.3 million, compared to $71.7 million in Q4.

• Cash and cash equivalents at quarter-end were $112.6 million, with $100 million undrawn credit lines.

• Debt and finance lease liabilities totaled $1.44 billion, with book value of long-term debt at $1,324.3 million as of March 31, 2025.

Outlook and guidance

• Q2 TCE fixed at $19,000/day for 69% of Capesize days and $11,100/day for 81% of Panamax days.

• Q3 TCE fixed at $20,900/day for 12% of Capesize days and $12,900/day for 38% of Panamax days.

• Medium-term outlook remains constructive, especially for Capesize, supported by limited fleet growth and infrastructure-led demand.

• Company expects spot TCE rates for Q2 and Q3 2025 to be lower than currently contracted rates due to ballast days.

• Global tonne-mile demand forecast to rise 1.2% in 2025, accelerating to 4.2% in 2026 and 2027.