Tufton Assets (SHIP) H2 2025 earnings summary

Executive summary

• Portfolio consisted of 20 vessels at year-end, with two divestments completed at a premium to NAV and a further vessel sold post-year-end at a premium to NAV.

• NAV at 30 June 2025 was $352.0m ($1.32/share), down from $451.1m ($1.55/share) in 2024.

• Reported a loss of $36.1m for the year (2024: profit of $76.1m), with NAV total return per share at -9.1% (2024: 20.6%).

• Capital returned to shareholders totaled $31.5m via compulsory redemption, with $4.0m spent on share buybacks.

• Dividend of $0.10/share maintained, with $27.4m paid in dividends (2024: $26.1m).

Financial highlights

• Portfolio operating profit was $41.2m, down from $52.0m YoY, mainly due to lower fixed rate charters and weaker bulker market.

• Unrealised capital value loss of $77.4m, driven by a $127.7m fall in charter-free values, partially offset by a $50.3m gain in charter value.

• NAV total return per share since inception reached 110% (2024: 131%).

• Gross operating profit for the year was $50.0m (2024: $62.7m).

• Net assets per share at year-end were 131.64 cents (2024: 154.96 cents).

Outlook and guidance

• Dividend cover forecast at 1.4x through end of 2026.

• Portfolio de-risked by switching chemical tankers to high-yield, fixed-rate charters and extending MR Product Tanker charters.

• Management remains cautiously optimistic, expecting medium-term upside in both product tanker and bulker segments.

• Geopolitical uncertainty and new US port taxes on Chinese-built vessels are not expected to impact the current fleet.