Dorian LPG, a leading owner and operator of modern very large gas carriers, announced that its Board of Directors has declared an irregular cash dividend of $0.65 per share of the Company’s common stock, returning approximately $27.8 million of capital to shareholders and reported its financial results for the three months ended September 30, 2025. The dividend is payable on or about December 2, 2025 to all shareholders of record as of the close of business on November 17, 2025.
Key Recent Development
- Declared an irregular dividend totaling approximately $27.8 million, or $0.65 per share, to be paid on or about December 2, 2025 to shareholders of record as of November 17, 2025.
Highlights for the Second Quarter Fiscal Year 2026
- Revenues of $124.1 million.
- Time Charter Equivalent (“TCE”) (1) rate per available day for our fleet of $53,725.
- Net income of $55.4 million, or $1.30 earnings per diluted share (“EPS”), and adjusted net income (1) of $55.8 million, or $1.31 adjusted earnings per diluted share (“adjusted EPS”). (1)
- Adjusted EBITDA (1) of $85.7 million.
- Declared and paid an irregular cash dividend totaling $25.7 million in August 2025.
(1) TCE, adjusted net income, adjusted EPS and adjusted EBITDA are non-U.S. GAAP measures. Refer to the reconciliation of revenues to TCE, net income to adjusted net income, EPS to adjusted EPS and net income to adjusted EBITDA included in this press release under the heading “Financial Information.”
John C. Hadjipateras, Chairman, President and Chief Executive Officer of the Company, commented, “Our Board declared an irregular dividend of $0.65 cents per share reflecting our commitment to delivering value to shareholders, maintaining a solid balance sheet, and our confidence in the fundamentals of the LPG market. Global Seaborne LPG volumes set a record last quarter. The freight market improved supported by record exports from the U.S. and the Middle East. As always, I acknowledge the contribution of the Dorian team, 460 of whom are at sea at any given time, for their professionalism and responsiveness during another quarter featuring volatility triggered by geopolitics.”
Second Quarter Fiscal Year 2026 Results Summary
Net income amounted to $55.4 million, or $1.30 per diluted share, for the three months ended September 30, 2025, compared to $9.4 million, or $0.22 per diluted share, for the three months ended September 30, 2024.
Adjusted net income amounted to $55.8 million, or $1.31 per diluted share, for the three months ended September 30, 2025, compared to adjusted net income of $15.0 million, or $0.35 per diluted share, for the three months ended September 30, 2024. Adjusted net income for the three months ended September 30, 2025 is calculated by adjusting net income for the same period to exclude an unrealized gain on derivative instruments of $0.4 million. Please refer to the reconciliation of net income to adjusted net income, which appears later in this press release.
The $40.8 million increase in adjusted net income for the three months ended September 30, 2025, compared to the three months ended September 30, 2024, is primarily attributable to (i) an increase of $41.7 million in revenues; (ii) decreases of $4.5 million in general and administrative expenses and $1.8 million in interest and finance costs, $0.6 million of which is due to increased capitalized interest; and (iii) a favorable change of $1.3 million in other gain/(loss), net; partially offset by increases of $3.8 million in charter hire expenses, $1.2 million in vessel operating expenses, $0.5 million in depreciation and amortization expenses, $0.2 million in voyage expenses; and decreases of $1.5 million in interest income and $1.2 million in realized gain on derivatives.
The TCE rate per available day for our fleet was $53,725 for the three months ended September 30, 2025, a 45.2% increase from $37,010 for the same period in the prior year. Please see footnote 7 to the table in “Financial Information” below for information related to how we calculate TCE.
Vessel operating expenses per vessel per calendar day increased to $10,705 for the three months ended September 30, 2025 compared to $10,114 in the same period in the prior year. Please see “Vessel Operating Expenses” below for more information.
Revenues
Revenues, which represent net pool revenues—related party, time charter revenues, and other revenues, net, were $124.1 million for the three months ended September 30, 2025, an increase of $41.7 million, or 50.5%, from $82.4 million for the three months ended September 30, 2024 primarily due to higher average TCE rates, which rose by $16,715 per available day from $37,010 for the three months ended September 30, 2024 to $53,725 for the three months ended September 30, 2025. The increase in TCE rates was primarily due to higher spot rates and lower bunker prices. The Baltic Exchange Liquid Petroleum Gas Index, an index published daily by the Baltic Exchange for the spot market rate for the benchmark Ras Tanura-Chiba route (expressed as U.S. dollars per metric ton), averaged $81.320 during the three months ended September 30, 2025 compared to an average of $52.049 during the three months ended September 30, 2024. The average price of very low sulfur fuel oil (expressed as U.S. dollars per metric ton) from Singapore and Fujairah decreased from $610 during the three months ended September 30, 2024, to $505 during the three months ended September 30, 2025. Additionally, available days for our fleet increased from 2,207 for the three months ended September 30, 2024 to 2,290 for the three months ended September 30, 2025, mainly driven by an increase in the number of vessels in our fleet, partially offset by a modest increase in off-hire days due to drydocking.
Vessel Operating Expenses
Vessel operating expenses were $20.7 million during the three months ended September 30, 2025, or $10,705 per vessel per calendar day, which is calculated by dividing vessel operating expenses by calendar days for the relevant time-period for the technically-managed vessels that were in our fleet and increased by $1.2 million, or 5.8% from $19.5 million for the three months ended September 30, 2024. The increase of $591 per vessel per calendar day, from $10,114 for the three months ended September 30, 2024 to $10,705 per vessel per calendar day for the three months ended September 30, 2025 was primarily the result of an increase per vessel per calendar day of non-capitalizable drydock-related operating expenses of $885. Excluding non-capitalizable drydock-related operating expenses, daily operating expenses decreased by $293, or 3.0%, from $9,767 for the three months ended September 30, 2024 to $9,474 for the three months ended September 30, 2025, mainly as a result of decreases in (i) spares and stores and (ii) repairs and maintenance costs.
General and Administrative Expenses
General and administrative expenses were $12.0 million for the three months ended September 30, 2025, a decrease of $4.5 million, or 27.0%, from $16.5 million for the three months ended September 30, 2024, driven by a decrease of $3.6 million in cash bonuses resulting from differences in the timing of the approvals of cash bonuses to certain employees, including the named executive officers, in the period ended September 30, 2024 when compared to the period ended September 30, 2025. Additionally, stock-based compensation fell by $1.1 million, partially offset by an increase of $0.2 million in other general and administrative expenses.
Interest and Finance Costs
Interest and finance costs amounted to $7.6 million for the three months ended September 30, 2025, a decrease of $1.8 million, or 19.5%, from $9.4 million for the three months ended September 30, 2024. The decrease of $1.8 million during this period was mainly due to (i) a reduction of $1.2 million in interest on our long-term debt and (ii) an increase of $0.6 million in capitalized interest. The decrease of $1.2 million in loan interest on our long-term debt was driven by a reduction of average indebtedness, excluding deferred financing fees, from $593.3 million for the three months ended September 30, 2024, to $539.9 million for the three months ended September 30, 2025, as well as a lower SOFR rate on the 2023 A&R Debt Facility during the three months ended September 30, 2025 when compared to the three months ended September 30, 2024.
Interest Income
Interest income amounted to $3.0 million for the three months ended September 30, 2025, compared to $4.5 million for the three months ended September 30, 2024. The decrease of $1.5 million is mainly attributable to (i) reduced interest rates over the periods presented, and (ii) moderately lower average cash balances for the three months ended September 30, 2025 when compared to the three months ended September 30, 2024.
Unrealized Loss on Derivatives
Unrealized loss on derivatives amounted to $0.4 million for the three months ended September 30, 2025, compared to a loss of $5.6 million for the three months ended September 30, 2024. The $5.2 million difference is primarily attributable to changes in forward SOFR yield curves and changes in notional amounts.
Realized Gain on Derivatives
Realized gain on derivatives amounted to $0.5 million for the three months ended September 30, 2025, compared to $1.7 million for the three months ended September 30, 2024. The unfavorable $1.2 million difference is primarily due to (i) the expiration of three interest rate swaps with a lower fixed rate than the interest rate swap that was in effect for the three months ended September 30, 2025 and (ii) changes in forward SOFR yield curves and notional amounts.