Hafnia report Q3 2024

Industry Discussions Shipping News
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On a shortened Thanksgiving week, busy few days for the shipping sector - GOGL, TEN, FRO & HAFN all reporting their Q3 2024 results.
Hafnia Tankers (HAFN) reported today, including

  • Rev of $361.6M
  • Net Profit of $215.6M
  • Fleet avg TCE of $33,549 daily
  • Declared div of $0.379/sh

Div payout is tied to leverage. Low leverage means HAFN pay out 90% of earnings (high level). Subsequent to qtr end, company has sold off a vessel. HAFN has also re-domiciled HQ back to Singapore. Also, company has authorized a buyback of $100M shares starting next week (Dec 2nd, 2024) thru end of Jan 2025.

Q4-to-date avg TCE is $24,000 daily - is significantly lower than Q3 2024. But this is also consistent with comments from mgmt at other tanker companies e.g. TEN, FRO

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A small catch and a better explanation for the date.
The $100M in buyback capacity comes from the same bucket as the Q4 div payout. Can already see that the TCE charter trends suggest lower earning in Q4. Let’s suppose it is $111.1M Net profit. 90% of that is $100M. How much to div vs how much to share buy-back?
As far as the Jan 27, 2025 date - THAT specific because that’s one month prior to Q4 earnings, and represents a black-out window.

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