Star Bulk Carriers (SBLK) Q4 2025 earnings summary

Executive summary

• Net income for Q4 2025 reached $65.2 million, with adjusted net income at $74.5 million and adjusted EBITDA at $126.4 million, reflecting strong profitability and operational strength.

• Declared a $0.37 per share dividend for Q4 2025, marking the 20th consecutive payment since 2021, and repurchased 1.2 million shares for $22.7 million in Q4, with further buybacks in Q1 2026.

• Total shareholder value creation since 2021 amounts to $3.0 billion through dividends, share buybacks, and net debt reduction.

• Operational efficiency remained high, with some of the lowest daily operating and G&A expenses among peers.

• Ongoing investments in fleet renewal, energy-saving devices, and digitalization to enhance competitiveness and ESG performance.

Financial highlights

• Adjusted net income reached $74.5 million, or $0.16 adjusted EPS, for Q4 2025, with adjusted earnings per share (diluted) at $0.65.

• Repurchased 1.2 million shares for $22.7 million in Q4; 1.9 million shares for $37.9 million year-to-date in Q1 2026; total 5.9 million shares for $98.1 million in 2025.

• Declared a $0.37 per share dividend for Q4, payable March 19, 2026.

• Ended Q4 with $502 million in cash, up from $457 million at the start of the quarter; proforma liquidity exceeds $570 million including undrawn revolvers.

• Outstanding debt stands at approximately $1 billion, with $110 million undrawn revolving capacity and 27 debt-free vessels valued at $628–$630 million.

Outlook and guidance

• Intends to distribute 100% of free cash flow, subject to a minimum cash balance per vessel and a $0.05 minimum quarterly dividend.

• New $100 million share repurchase program authorized.

• Based on current FFA curve, expects to generate $2.7–$4.7 per share of free cash flow in the next 12 months, implying up to an 18.7% cash flow yield at $20,000 daily TCE.

• Every $1,500/day increase in TCE adds $73 million EBITDA and $0.65/share in dividends.

• Fleet coverage for Q1 2026 is 84% at a TCE of $17,919/day, with diversified chartering across vessel segments.