May 7th, 2026

The call highlights solid balance sheet improvements (cash up significantly, successful bond issuance), meaningful backlog expansion and a value‑creating JV that provides long‑term revenue visibility, along with continued shareholder returns (dividend and buyback). These positives are tempered by a notable quarter‑over‑year earnings decline driven by maintenance/off‑hire costs and heightened geopolitical uncertainty that increases near‑term volatility. On balance, the strategic and financial actions taken (liquidity, backlog growth, monetization, capital returns) outweigh the operational headwinds disclosed.

Company Guidance

The company reiterated clear near‑term financial and operational guidance: a $0.15 per share cash dividend payable May 20 (record May 11), marking the 76th consecutive quarter of payouts; Q1 net income from continuing operations was $18.3M (versus $32.7M year‑ago) and quarter‑end cash was $546M (up from $296M) with an average financial leverage ratio of 45.6%. Management noted liquidity actions including a EUR 250M bond at a 3.75% coupon (and prior ~€240M issuance in February), plus Board approval of a 20 million‑share buyback program over two years. Commercially, LNG contracted backlog stands at roughly $2.9B (97 years at an average PCA of ~$86,400/day), rising to ~$4.3B (136 years) if all options are exercised; the 49% sale of Yamora Mia‑1 for $230M and its 10‑year charter could generate up to $485.6M through 2043. Dry‑dock guidance remains ~20–25 off‑hire days at roughly $5.0M cost per drydock, four vessels hit five‑year special surveys in 2026 (none expected until 2028 thereafter), oil‑related expenses were $6.2M in Q1 (vs $1.1M prior) and war‑risk premiums of $2.7M were fully reimbursed by charterers. Finally, CapEx is expected to be weighted to LNG in 2026–27 and, assuming ~70% debt financing for unfunded vessels, management believes the company is fully funded for remaining newbuild CapEx with significant cash expected to be released back to the business.