SFL (SFL) Q2 2026 earnings summary

Executive summary

• Achieved 90th consecutive quarterly dividend of $0.22 per share, with a cumulative payout surpassing $3 billion and a yield of approximately 7%.

• Reported Q2 2026 operating revenues of $201 million and adjusted EBITDA of $130 million, including $8 million from associates.

• Net income for Q2 2026 was $34 million ($0.25 per share); charter backlog reached $3.8 billion, with about two-thirds from investment-grade counterparties.

• Raised $100 million in equity via ATM and DRIP programs, issuing 8.8 million shares at a premium to VWAP.

• Strong spot market performance from Suezmax tankers and new long-term charters for PCTC vessels.

Financial highlights

• Operating revenues for Q2 2026 were $201 million, up from $174.5 million in Q1; gross charter hire was $199 million.

• Adjusted EBITDA reached $130 million, including $8 million from associates.

• Net income was $34 million ($0.25 per share), up from $26 million ($0.20 per share) in Q1.

• Cash and equivalents at quarter end were $113 million, with total liquidity of $273 million including $160 million undrawn credit lines.

• Positive mark-to-market effects from swaps of $3 million, partially offset by negative $1 million from equity investments.

Outlook and guidance

• Contracted fixed rate charter backlog of $3.8 billion with a weighted average remaining term of 6.2 years; 65-69% with investment grade customers.

• Four new LNG dual-fuel PCTC newbuilds ordered, with two fixed on five-year charters, adding at least $150 million in firm backlog.

• Weighted average car carrier charter duration is 5.9 years, with $578 million in car carrier charter backlog.

• Expect to secure charters for two open car carrier newbuilds, citing strong market dynamics and shipyard capacity constraints.

• No immediate plans for further share issuance.