Hafnia (HAFNI) Investor Presentation summary

Investment highlights and strategy

• Operates a fully integrated shipping platform with around 200 vessels, covering all product and chemical segments.

• Maintains a consistent dividend payout, recently updating policy to allow up to 90% payout ratio.

• Focuses on ESG initiatives, modern fleet, and diversified revenue streams.

• Engages in active management, seeking opportunities to enhance shareholder value.

• Strategic acquisitions and joint ventures have expanded fleet and market presence.

Financial performance Q2 & 1H 2024

• Q2 2024 TCE income reached USD 417.4M, with adjusted EBITDA at USD 317.1M and net profit of USD 259.2M.

• Year-to-date (1H 2024) TCE income was USD 796.2M, adjusted EBITDA USD 604.1M, and net profit USD 478.8M.

• Dividend for Q2 2024 was USD 0.4049 per share, totaling USD 207.4M and representing an 80% payout ratio.

• Net loan-to-value ratio decreased to 21.3% at end of Q2 2024, reflecting higher vessel valuations and strong cash generation.

• Commercially managed pool and bunker procurement business generated USD 10.7M in Q2 2024.

Market and industry outlook

• Product tanker market fundamentals remain strong, with higher ton-miles and increased inefficiencies due to geopolitical unrest.

• New refinery exports in Africa and Asia are expected to add 0.7–1.0 million barrels per day to global exports.

• Crude tanker cannibalization has increased competition in the LR2 segment, but a seasonal uptick in crude demand is expected.

• The global product tanker fleet is aging, with vessels over 20 years making up a larger share, but utilization rates are rising.

• Orderbook-to-fleet ratio is about 20% through 2028, with LR2s accounting for over half of new deliveries.