Odfjell (ODF) Q1 2025 earnings summary

Executive summary

• Achieved resilient financial results in Q1 2025 amid increased market uncertainty from new U.S. trade tariffs, with strong safety performance and no significant incidents.

• Achieved a record low carbon intensity (AER 7.0) and completed a near carbon-neutral transatlantic voyage using suction sails and biofuel.

• Contracts signed for two additional newbuildings, bringing the vessel orderbook to 20 ships, 18 on long-term charters.

Financial highlights

• Time charter earnings were USD 168 million, down from USD 183 million in Q4 2024, mainly due to lower spot rates and fewer commercial days.

• EBIT was USD 54 million, compared to USD 68 million in the previous quarter.

• Net result was USD 34 million (adjusted: USD 33 million), down from USD 53 million in Q4 2024.

• EBITDA was USD 93.1 million, down from USD 110.5 million in Q4.

• Operating cash flow was USD 60.4 million, a decrease from USD 89.5 million in Q4.

• Free cash flow for the quarter was USD 69 million.

• Cash and cash equivalents at quarter-end were USD 86 million (USD 145 million including undrawn facilities).

• Paid USD 62 million in dividends and repaid USD 100 million in bond loans during the quarter.

Outlook and guidance

• 2Q25 financial results expected to be in line with or slightly better than 1Q25, but market uncertainty remains high due to tariffs and trade negotiations.

• Moderately positive outlook supported by GDP growth forecasts and limited vessel deliveries in 2025.

• Global seaborne chemical trade projected to grow by ~2% in 2025.

• Odfjell Terminals anticipates stable underlying results in 2Q25.