Frontline plc, Friday reported unaudited results for the three and nine months ended September 30, 2025:
Highlights
- Profit of $40.3 million, or $0.18 per share for the third quarter of 2025.
- Adjusted profit of $42.5 million, or $0.19 per share for the third quarter of 2025.
- Declared a cash dividend of $0.19 per share for the third quarter of 2025.
- Reported revenues of $432.7 million for the third quarter of 2025.
- Achieved average daily spot time charter equivalent earnings (“TCEs”)1 for VLCCs, Suezmax tankers and LR2/Aframax tankers in the third quarter of $34,300, $35,100 and $31,400 per day, respectively.
- Converted seven existing credit facilities with aggregate outstanding term loan balances of $405.5 million and undrawn revolving credit capacity of $87.8 million into revolving reducing credit facilities of up to $493.4 million in September 2025 and subsequently prepaid a total of $374.2 million in September, October and November of 2025 leading to a reduction in fleet average cash break even rates of approximately $1,300 per day for the next 12 months.
- Sold its oldest Suezmax tanker, built in 2011, for a net sales price of $36.4 million and delivered the vessel to its new owner in September 2025. After repayment of existing debt, the transaction generated net cash proceeds of approximately $23.7 million in the third quarter of 2025.
“The third quarter began in line with seasonal trends, with a typically subdued summer period. However, as the quarter progressed, freight markets strengthened – most notably for VLCCs. The U.S. moved past peak refinery runs, while India increasingly reduced its intake of Russian feedstock, opening up the ton-mile intensive arbitrage between the Americas and Asia. Global oil demand remains resilient, and the gradual reversal of OPEC+ production cuts is beginning to reflect in higher export volumes. Having navigated a modest third quarter, we are encouraged by the strong fundamentals and Frontline’s efficient, spot-focused fleet as we enter the winter market with freight rates at multi-year highs.”
Inger M. Klemp, Chief Financial Officer of Frontline Management AS, added:
“Converting term loan balances into revolving credit facilities enables us to efficiently manage our surplus cash through prepayment of debt, reduce our costs and cash breakeven rates while keeping full flexibility by preserving substantial available and undrawn revolving capacity to support potential fleet growth. We continue to focus on maintaining our competitive cost structure, breakeven levels and solid balance sheet to ensure that we are well positioned to generate significant cash flow and create value for our shareholders.”
We expect the spot TCEs for the full fourth quarter of 2025 to be lower than the spot TCEs currently contracted, due to the impact of ballast days during the fourth quarter of 2025.
Source: Frontline
