Danaos (DAC) Q4 2025 earnings summary

Executive summary

• Strong operational performance with high fleet utilization (up to 99.3% in Q4 2025) and a diverse, expanding fleet, including new dry bulk and LNG sector investments.

• Record container volumes and robust demand for midsize vessels, with strategic expansion into the energy sector via a $50 million investment in the Alaska LNG project.

• Pioneering digitalization and ESG, meeting IMO 2030 carbon intensity targets 11 years early and achieving a 51.4% CO2 reduction per ton mile in 2024.

Financial highlights

• FY 2025 operating revenues reached $1.04 billion, with Q4 2025 revenues of $266.3 million; adjusted EBITDA for 2025 was $719.4 million.

• Adjusted net income for FY 2025 was $485.7 million, with Q4 2025 adjusted net income of $131.2 million and adjusted EPS of $26.28 for the year.

• Cash and cash equivalents at year-end were $1.04 billion, with total liquidity of $1.4 billion.

• Net debt at year-end was $140.5 million, with a net debt to Adjusted EBITDA ratio of 0.20x.

• Dividend of $0.90 per share declared for Q4 2025.

Outlook and guidance

• Contracted revenue backlog stands at $4.3 billion, with 100% charter coverage for 2026, 87% for 2027, and 64% for 2028.

• Fleet expansion to 102 containerships and 13 dry bulk vessels expected upon delivery of all vessels under construction.

• New vessel orders for delivery in 2028 and 2029, with 10-year charters secured for four vessels.

• Continued focus on long-term charters, eco-efficient newbuildings, and selective investments in the energy sector, including LNG.