BW LPG (BWLPG) Investor presentation summary

Company overview

• Leading owner and operator in the LPG shipping market with 48 VLGCs and 6 time-chartered vessels, plus a 52% stake in BW LPG India.

• Market capitalization of ~$3.2bn as of June 2026, with an average annual return of ~27% since IPO in 2013.

• Member of BW Group, which operates 441 vessels and has a market value of $11.3bn in public investments.

• Focus on profitability, robust balance sheet, and disciplined capital allocation, including share buybacks and strategic investments.

• Largest owner of dual-fuel and scrubber-fitted VLGCs, positioning for premium earnings and cost savings.

Market and operational highlights

• Asia is the key destination for LPG, with ~70% of US and ~40% of Middle East LPG exports shipped to Asia on VLGCs.

• 2026 saw increased inefficiencies and higher freight rates due to Middle East conflict, Panama Canal congestion, and shifting trade flows.

• US LPG exports surged to replace lost Middle East volumes, with India and Southeast Asia increasing imports while China reduced imports.

• North American export capacity is forecast to grow, with new terminal projects supporting further LPG export growth.

• VLGC fleet delivery pace is set to decelerate from 2027, with a significant orderbook and ongoing fleet renewal.

Financial performance and strategy

• Q1 2026 net profit after tax was $187M, with TCE income of $55,500 per available day and 92% fleet utilization.

• Declared Q1 2026 dividend of $0.67 per share, representing 120% payout ratio of Shipping NPAT.

• Annualized ROE reached 38% and net leverage ratio improved to 26.3%.

• Maintains ample liquidity of $618M and a long-dated repayment profile, supporting growth and fleet renewal.

• Dividend policy targets quarterly payouts, with 76% of earnings paid as dividends since IPO and 85% over the last five years.