Frontline (FRO) Q2 2024

Already morning in Oslo, so initial results are now available

  • Rev of $556M
  • Profit of $187.6M
  • Adjusted Profit of $138.2M
  • TCE avg (daily): VLCC $49.6K, Suezmax $45.6K, Aframax/LR2 $53.1K

Smallest size category having the highest avg suggests “disturbance” in the tanker market. Pattern repeats in Q3-done-to-date. But, if a tanker company is mostly spot fleet, as is FRO, then Q3 is about getting by. And the Q3 2024 rates for each category are much better than getting by. As there is additional refinancing in Q3, debt numbers will be a little fuzzy. But for me, with the younger fleet age, I would say 57%-or-less would be a good gearing. Will have to see what the current level is

More later

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