08/14
SFL reported their Q2 2024 results, including
- Revenue of $199M
- Net income of $21M
- Div for Q2 of 27c/sh
- Subsequent to the quarter end, SFL had a follow-on offering to raise additional capital. The $100M expected from the offering maps to about 10% for the 5 Container vessels with dual fuel capabilities.
- SFL explains the rev dip as being caused by the energy/drilling assets. While the statement is accurate, the company faces a similar challenge when the Hercules contract runs out during the latter half of 2024. Linux will be working its LT contract. However, the contract does not generate the same type of rev as Hercules.
- As noted elsewhere, SFL has an on-going issue with its current ratio. Fiscally disciplined companies usually tackle the issue within a qtr or two. With SFL, it has been occurring for at least 5 qtrs.