Nordic American Tankers Ltd: A Commitment to Growth and Safety
Dear Shareholders and Investors,
At Nordic American Tankers Ltd (NYSE: NAT), we are pleased to report a promising trajectory for our company. The safety of our crew and vessels, along with maintaining and increasing dividends, remains our top priority. Recent market changes in the shipping industry have resulted in a notable reduction in the availability of the grey and black fleets, positioning NAT advantageously.
Our commitment to ethical practices is unwavering; we have not transported Russian oil for over four years. This decision underscores our dedication to maintaining a responsible business model while catering to major oil companies who remain our primary customers.
While we analyze our quarterly performance, we believe that understanding our long-term strategy offers a more insightful perspective on our growth.
Important Highlights from Recent Reports
Here are key highlights from our recent activities that reflect our operational success:
- The dividend for the third quarter stands at 13 cents ($0.13) per share, marking our 113th consecutive quarterly cash dividend. Shareholders can expect payment on December 22, with a record date of December 8.
- Despite challenges in the third quarter, we experienced strong demand for oil, with daily rates remaining stable compared to the previous quarter. As we enter the fourth quarter, we anticipate favorable conditions to bolster our cash reserves.
- We are excited to announce a preliminary agreement with a South Korean shipyard for two new Suezmax tankers, scheduled for delivery in the second half of 2028. We aim to finalize a firm contract early in the coming year, further expanding our fleet of 20 well-maintained vessels.
- The average time charter equivalent (TCE) achieved by our fleet for the third quarter was $27,490 per ship per day, while operating costs were reported at $9,000 per day. Our adjusted EBITDA for this quarter reached $21.4 million, although we did see a net book loss of $2.8 million. Presently, our cash position remains strong, exceeding $70 million.
- The exceptional quality of our vessels is highlighted through the vetting scores given by leading oil companies, which emphasizes our commitment to high standards.
- By optimizing our voyage planning and adjusting ship speeds, we are actively working on reducing emissions, demonstrating our commitment to environmental stewardship.
Sincerely,
Herbjorn Hansson
Founder, Chairman & CEO
Nordic American Tankers Ltd
Frequently Asked Questions
What is the current dividend for Nordic American Tankers?
The current dividend for the third quarter is 13 cents ($0.13) per share.
How is Nordic American Tankers managing its operations amidst market fluctuations?
NAT remains resilient by focusing on safety, maintaining high-quality vessels, and entering strategic agreements to enhance their fleet.
What future plans does Nordic American Tankers have for fleet expansion?
The company has entered a preliminary agreement to construct two new Suezmax tankers, with an expected delivery in late 2028.
What are the financial highlights from the recent quarter?
The average TCE for the fleet was $27,490 per ship per day, with an adjusted EBITDA of $21.4 million, indicating strong operational performance despite a net book loss.
Who can I contact for more information about Nordic American Tankers?
For inquiries, please reach out to Bjørn Giæver, CFO, at +1 888 755 8391, or Alexander Kihle, Finance Manager, at +47 91 724 171.
