International Seaways Reports First Quarter 2026 Results
International Seaways, Inc., one of the largest tanker companies worldwide providing energy transportation services for crude oil and petroleum products, today reported results for the first quarter 2026.
HIGHLIGHTS & RECENT DEVELOPMENTS
Quarterly Results:
- Net income for the first quarter of 2026 was $286 million, or $5.75 per diluted share.
- Adjusted net income (1) for the first quarter of 2026 was $194 million, or $3.90 per diluted share.
- Adjusted EBITDA (1) for the first quarter or 2026 was $244 million.
Returns to Shareholders:
- Declared the largest quarterly dividend in Company history: $4.55 per share to be paid in June 2026.
- Increased payout ratio to 85% of adjusted net income and included an additional discretionary component for the quarter, reflecting strong performance and market conditions.
- Delivered total shareholder return of over 74% year to date, including share price appreciation and the March 2026 dividend.
- Paid $2.15 per share in total dividends in March 2026, reaching a milestone of $1 billion returned to shareholders since 2020.
Healthy Balance Sheet:
- Total liquidity was approximately $918 million as of March 31, 2026, including cash of $377 million and $541 million undrawn revolving credit capacity.
- Net loan-to-value below 7% as of March 31, 2026.
Fleet Optimization Program:
- Sold seven vessels with an average age of 17 years for proceeds of approximately $216 million net of positioning, commissions, and fees, and recognized gains of $88 million in the first quarter.
- Took delivery of Seaways Bonita in the first quarter and Seaways Cristobal in April, the third and fourth of six LR1 newbuildings. The remaining two vessels are expected to deliver during the third quarter of 2026.
Lois K. Zabrocky, International Seaways President and CEO commented, “We delivered an excellent first quarter, our strongest since the fourth quarter of 2022, with meaningful contributions from both our crude and product tankers. Following the highest dividend in our history last quarter, we more than doubled our dividend this quarter to $4.55 per share by increasing our payout ratio to 85% of adjusted earnings and including an additional discretionary component that reflects the strength of today’s market and the performance we’ve built over time. With a robust balance sheet, nearly $1 billion of liquidity, and a notably strong start to the second quarter, we remain well positioned to continue delivering attractive returns and creating long-term value for our shareholders.”
Ms. Zabrocky continued, “Geopolitics are a constant in our business and typically create inefficiencies as markets adjust to new trading patterns. The situation in the Strait of Hormuz, however, is more significant, as the world cannot substitute more than 20 million barrels per day of oil and refined product. While excess supply on the water and available inventories have helped support the global economy in the early days of this conflict, a prolonged disruption would place considerable strain on global markets. In the near term, we remain focused on operating in a strong market environment as conditions evolve, while hoping for a resolution before any broader impact on the global economy emerges. As conditions normalize, we would still expect tanker markets to benefit from the rebalancing of trade flows and the replenishment of inventories.”
Jeff Pribor, the Company’s CFO stated, “Underlying cash generation was the strongest in the Company’s history, excluding the impact of working capital movements. In addition, we generated $216 million in proceeds from vessel sales during the quarter. Together, this supported our decision to increase the minimum payout ratio to 85% and include a discretionary component in the dividend for this quarter, reinforcing our commitment to returning capital to shareholders. At the same time, we continue to maintain a strong balance sheet with low leverage and significant liquidity, positioning us to deliver attractive returns while remaining opportunistic across our capital allocation priorities.”