Dorian LPG (NYSE:LPG) Releases Earnings Results, Beats Expectations By $0.40 EPS

Dorian LPG (NYSE:LPG) released its earnings results on Wednesday. The shipping company reported $2.52 earnings per share for the quarter, beating analysts’ consensus estimates of $2.12 by $0.40, Briefing.com reports. Dorian LPG had a return on equity of 25.69% and a net margin of 55.00%.The firm had revenue of $187.88 million during the quarter, compared to the consensus estimate of $160.78 million. During the same period in the prior year, the company posted $0.27 EPS. The company’s revenue was up 123.1% compared to the same quarter last year.

Here are the key takeaways from Dorian LPG’s conference call:

• Dorian reported its highest-ever TCE revenue per available day at $75,926, while adjusted EBITDA reached $165.4 million, including a $30.1 million gain on the Cobra sale.
• VLGC market conditions remained strong as Middle East disruptions redirected LPG trade toward the U.S. Gulf, which posted record exports of nearly 20.8 million tons and increased ton-mile demand. Management said rates have remained healthy despite some Panama Canal-related cost pressure.
• The company’s balance sheet has strengthened following vessel sales and debt repayments, with cash approaching $600 million, debt-to-total capitalization of 29.3%, and net debt-to-total capitalization of 9.7%. Dorian also expects lower interest and principal-amortization costs after approximately $80.6 million of debt reductions.
• Dorian declared a $1-per-share dividend, its 20th dividend payment, while emphasizing that future capital allocation will balance shareholder returns, debt reduction, and conservative fleet renewal. The company has ordered one dual-fuel 90,000-cubic-meter VLGC for mid-2029 delivery and is evaluating additional renewal opportunities without excluding measured fleet expansion.
• Management noted that the VLGC order book is increasing and expressed concern about excess newbuilding activity, which could pressure future returns. Freight markets also corrected from record highs after the June ceasefire memorandum, although management believes a lasting peace would not necessarily be negative for the sector.

Dorian LPG Stock Up 1.9%

Shares of Dorian LPG stock traded up $0.86 on Friday, reaching $45.24. The stock had a trading volume of 213,580 shares, compared to its average volume of 612,919. The company has a 50 day moving average price of $41.34 and a 200 day moving average price of $37.39. The company has a quick ratio of 2.65, a current ratio of 3.26 and a debt-to-equity ratio of 0.28. The stock has a market capitalization of $1.94 billion, a P/E ratio of 5.99 and a beta of 0.65. Dorian LPG has a 1 year low of $23.76 and a 1 year high of $48.12.

Dorian LPG Dividend Announcement

The business also recently disclosed a special dividend, which will be paid on Wednesday, August 12th. Stockholders of record on Monday, July 27th will be paid a $1.00 dividend. The ex-dividend date of this dividend is Monday, July 27th.

Analysts Set New Price Targets

LPG has been the subject of a number of recent analyst reports. Dnb Carnegie upgraded shares of Dorian LPG from a “strong sell” rating to a “hold” rating in a report on Monday, May 18th. Weiss Ratings upgraded shares of Dorian LPG from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Thursday, May 28th. Wall Street Zen raised Dorian LPG from a “buy” rating to a “strong-buy” rating in a report on Saturday, July 25th. Pareto Securities reaffirmed a “buy” rating on shares of Dorian LPG in a research note on Thursday, May 21st. Finally, Jefferies Financial Group raised their target price on shares of Dorian LPG from $42.00 to $55.00 and gave the stock a “buy” rating in a research note on Friday, May 22nd. Three equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat, Dorian LPG has a consensus rating of “Moderate Buy” and a consensus target price of $55.00.

Insider Activity at Dorian LPG

In other news, insider Tim Truels Hansen sold 20,000 shares of the business’s stock in a transaction that occurred on Tuesday, June 30th. The shares were sold at an average price of $35.38, for a total value of $707,600.00. Following the completion of the transaction, the insider owned 157,842 shares of the company’s stock, valued at $5,584,449.96. The trade was a 11.25% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Ted Kalborg sold 15,373 shares of Dorian LPG stock in a transaction on Friday, May 22nd. The shares were sold at an average price of $45.06, for a total value of $692,707.38. Following the sale, the director directly owned 66,348 shares in the company, valued at $2,989,640.88. The trade was a 18.81% decrease in their position. The disclosure for this sale is available in the SEC filing. 13.50% of the stock is owned by company insiders.

Hedge Funds Weigh In On Dorian LPG

A number of large investors have recently bought and sold shares of LPG. Mercer Global Advisors Inc. ADV bought a new stake in shares of Dorian LPG in the 3rd quarter valued at about $263,000. Amundi grew its holdings in shares of Dorian LPG by 7.6% during the 3rd quarter. Amundi now owns 8,655 shares of the shipping company’s stock valued at $245,000 after purchasing an additional 614 shares during the last quarter. SeaCrest Wealth Management LLC acquired a new position in shares of Dorian LPG in the 3rd quarter worth approximately $210,000. First Trust Advisors LP bought a new stake in Dorian LPG in the third quarter worth approximately $205,000. Finally, BNP Paribas Financial Markets raised its holdings in shares of Dorian LPG by 328.6% during the second quarter. BNP Paribas Financial Markets now owns 10,406 shares of the shipping company’s stock valued at $254,000 after purchasing an additional 7,978 shares during the period. Institutional investors and hedge funds own 62.50% of the company’s stock.

Dorian LPG Company Profile

Dorian LPG Ltd., incorporated in Bermuda and headquartered in Greenwich, Connecticut, is a leading owner and operator of modern very large gas carriers (VLGCs). The company specializes in the maritime transportation of liquefied petroleum gas (LPG), primarily propane and butane, for energy producers, commodity traders and trading houses around the world.

Dorian LPG’s fleet comprises over 30 state-of-the-art VLGCs, each designed for fuel efficiency and environmental performance. These vessels operate under medium- and long-term time charter agreements, providing predictable employment and supporting a stable charter revenue profile through contracts with major international energy companies.

The company serves global energy markets by transporting LPG cargoes along major trade routes linking production centers in the Middle East, U.S.