Greece's Dynagas LNG Q2 revenue rises on higher charter rates - DLNG News | RalliesGreece's Dynagas LNG Q2 revenue rises on higher charter rates
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DLNG• Valuation and related reads
- The stock recently traded at 3 times the next 12-month earnings vs. a P/E of 3 three months ago
Outlook and charter coverage
- Dynagas LNG estimates contracted revenue backlog at $0.73 bln with average contract term of 4.4 yrs
- Company has contracted time charter coverage of 100% for 2026 and 2027, 65% for 2028
- Dynagas LNG says EU and UK sanctions on Russian LNG create uncertainty for future charter operations
Result drivers and key details
- HIGHER CHARTER RATES - Co said Q2 voyage revenues rose mainly due to the Clean Energy's new time charter with Rio Grande at an improved rate
- LOWER INTEREST COSTS - Net interest and finance costs fell 26.9% yr/yr due to reduced debt and lower market rates
- INCREASED OPERATING EXPENSES - Vessel operating expenses rose mainly due to higher crew and scheduled engine maintenance costs
| Metric | Beat/Miss | Actual | Consensus Estimate |
|---|
| Q2 Voyage Revenues | | $41.19 mln | |
| Q2 Adjusted Net Income | | $15.81 mln | |
| Q2 Net Income | | $15.96 mln | |
|
| Q2 Operating Income | | $19.82 mln | |
Q2 results rise on higher charter rates
- Greece LNG carrier owner's Q2 voyage revenues rose 6.7% yr/yr, net income up 16.8%
- Adjusted EBITDA for Q2 was nearly flat yr/yr as operating expenses increased
- Company notes regulatory risks from Russian sanctions may affect future vessel employment
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