DHT (NYSE:DHT) reported its strongest quarter on record in the second quarter of 2026, as elevated tanker rates and commercial performance drove net income above the company’s previous annual earnings record.
Chief Financial Officer Laila Halvorsen said the company generated $255 million of time-charter-equivalent, or TCE, revenue and $231 million in adjusted EBITDA during the quarter. Net income totaled $198.3 million, or $1.23 per share. Excluding a $1.3 million non-cash fair-value gain on interest-rate derivatives, ordinary net income was $197 million, or $1.22 per share.
Rates, costs and shareholder distribution
DHT’s spot-market vessels earned an average of $162,600 per day during the second quarter, while vessels operating under time-charter contracts earned $90,800 per day. The fleet’s combined average TCE rate was $126,700 per day.
Vessel operating expenses were $18.6 million, while general and administrative expenses totaled $5.6 million. G&A included about $700,000 in non-recurring, non-cash costs related to shares that vested in the quarter.
The board approved a second-quarter cash dividend of $1.22 per share, consistent with DHT’s policy of distributing 100% of ordinary net income through quarterly dividends. Halvorsen said the payment represents the company’s 66th consecutive quarterly cash dividend. Shares are scheduled to trade ex-dividend Aug. 17, with payment scheduled for Aug. 24 to shareholders of record as of Aug. 17.
DHT ended the quarter with $569 million of total liquidity, including $161.7 million of cash and $407.5 million available under revolving credit facilities. Financial leverage stood at 14.1% based on market values for the fleet, and net debt was $11.9 million per vessel, according to the company.
During the quarter, operations generated $231 million in EBITDA. DHT used cash for $20 million of debt repayment and cash interest, $103 million of dividends, $7.2 million of vessel investments, $1.3 million of investments in vessels under construction and $56 million of long-term debt prepayments.
Fleet contracts and expansion
President and Chief Executive Officer Svein Moxnes Harfjeld said DHT secured one-year charter contracts for the 2012-built DHT Sundarbans and 2011-built DHT Amazon at an average rate of $109,000 per day.
The company also ordered a new VLCC, the DHT Oryx, from Hanwha Ocean for delivery in August 2028. The vessel will be a sister ship to the DHT Antelope and DHT Addax, which were delivered earlier this year, and will feature a large carrying capacity and an exhaust-gas cleaning system.
DHT arranged a new $250 million reducing revolving credit facility with a seven-year tenor, a 20-year repayment profile and pricing of 135 basis points above SOFR. Harfjeld said the facility was meaningfully oversubscribed and includes an uncommitted $250 million accordion feature.
Subsequent to quarter-end, DHT fixed the 2015-built DHT Jaguar on a three-year charter at $75,000 per day with a global energy company. The vessel is expected to begin the charter in September.
The company also completed the sale of the 2007-built DHT Bauhinia in July, generating $51 million of total cash proceeds and a net capital gain of $34 million. In addition, DHT took delivery of the DHT Impala from Hyundai in July, completing its four-vessel newbuilding program for 2026.
Third-quarter bookings and dry docks
For the third quarter, DHT expects 1,020 time-charter days at an average rate of $75,900 per day. The figure includes July profit sharing and base rates for August and September on contracts with profit-sharing provisions.
The company expects 1,029 spot-market days during the quarter. Of those days, 600 days, or 58%, had been booked at an average rate of $152,700 per day. Halvorsen said the company’s spot P&L breakeven for the quarter is expected to be below zero because anticipated time-charter earnings exceed forecast costs.
DHT estimated its second-half 2026 P&L breakeven at $29,700 per day and its cash breakeven at $22,600 per day. The difference of $7,100 per day is expected to remain within the company for general corporate purposes.
Five of DHT’s seven planned dry docks for 2026 had been completed as of the call, including the DHT Lion, DHT Amazon, DHT Osprey, DHT Puma and DHT Panther. The company said the completed projects were on time and within expectations. The DHT Harrier and DHT Redwood are scheduled for dry docks and special surveys during the second half.
Market conditions and trading strategy
Harfjeld attributed strong tanker-market conditions to supply-and-demand factors, fleet consolidation and regional disruptions. He said DHT did not trade its fleet in the Persian Gulf during the period because of the company’s safety priorities, even as operators willing to enter high-risk areas received substantial risk premiums.
In response to an analyst question, Harfjeld said conditions in the Red Sea had made some trade routes more challenging. DHT had conducted several Yanbu loadings, but vessels have increasingly exited the Red Sea through the Suez Canal amid threats from the Houthis, adding transportation distance and reducing fleet efficiency.
Harfjeld said DHT intends to continue balancing spot-market exposure with selective fixed-rate charter coverage. He added that the company aims to expand over time but remains cautious about acquiring secondhand vessels at current asset values. “Patience here is key,” he said, noting that any growth must be profitable rather than driven by asset purchases alone.
About DHT (NYSE:DHT)
DHT Holdings, Inc (NYSE: DHT) is a Bermuda-based independent crude oil tanker company that provides seaborne transportation of crude oil on a worldwide basis. The company’s core business involves the ownership and operation of a modern fleet of Very Large Crude Carriers (VLCCs) and Suezmax tankers, which are chartered to oil producers, trading houses and national oil companies. Through spot charters, time-charters and tanker pooling arrangements, DHT connects crude oil exporters with refining hubs in Asia, Europe, North America and other global markets.
Founded in 2005 and listed on the New York Stock Exchange later that year, DHT has grown its presence in the maritime sector by focusing on operational efficiency and disciplined capital management.
