Scorpio Tankers (STNG) Q4 2025 earnings summary

Executive summary

• Reported Q4 2025 adjusted EBITDA of $151.6 million and net income of $128.1 million, with full-year net income of $344.3 million and adjusted EBITDA of $567.9 million.

• Increased quarterly dividend by 12.5% to $0.45 per share, reflecting strong cash generation and payable in March 2026.

• Achieved a net cash position of $308.9 million as of February 2026, reducing net debt from $3.1 billion since 2021.

• Sold ten older vessels and invested in ten newbuilds, including MR, LR2, and VLCC classes, modernizing the fleet.

• Fully exited DHT Holdings investment, generating a 24% return.

Financial highlights

• Q4 2025 vessel revenue was $252.7 million, with TCE revenue of $241.4 million and adjusted EBITDA of $151.6 million.

• Net cash position of $308.9 million as of February 2026, with $937 million in cash and $767 million undrawn revolver capacity.

• $154.6 million prepaid in Q4 2025, covering all scheduled principal amortization through 2027.

• Net debt reduced to $517 million as of February 10, 2026, down from $901 million at the end of 2024.

• Operating cash flow before working capital changes was strong, supporting dividends and share repurchases.

Outlook and guidance

• Product tanker rates remain elevated, with robust demand, low inventories, and record seaborne exports.

• As of early Q1 2026, 70% of LR2 and 63% of MR revenue days were fixed at average TCEs of $46,000 and $27,500, respectively.

• Fleet growth expected to average roughly 3% over the next three years, potentially lower.

• Dividend policy aims for sustainable growth through the cycle, with regular reviews.

• Strategy focuses on maintaining a high-quality, modern fleet and returning capital to shareholders.