Core Insights - Value Investor's Edge (VIE) is a deep value research community focused on maritime shipping, led by J Mintzmyer, with a growing team of ten analysts and experts [2] - The team has achieved consistent outperformance since its launch in 2015, with a final shipping model average return of +54.4% in 2023, closely matching the +54.9% return in 2022, and an 8-year internal rate of return (IRR) of 43.4% [2] Membership Benefits - Membership includes exclusive research from various analysts, regularly updated portfolio models, and a first look at new investment ideas [1] - Members receive in-depth research reports, quarterly reviews of alternative income opportunities, and weekly updates on value opportunities and market analytics [1] - Full coverage of earnings seasons for focus coverage firms is provided, along with exclusive market analytics for the shipping sectors and income opportunities [1]

Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the "long context," investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Even ...

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Financial Data and Key Metrics Changes - Net income for Q3 2025 was $71 million, or $1.42 per diluted share, with adjusted net income of $57 million, or $1.15 per diluted share, and adjusted EBITDA of $108 million [5][15] - The company announced a combined dividend of $0.86 per share, marking the fifth consecutive quarter with a payout ratio of at least 75% [5][6] - Total liquidity at the end of Q3 was $985 million, with $413 million in cash and $572 million in undrawn revolver capacity [10][18] Business Line Data and Key Metrics Changes - The Lightering business generated approximately $9 million in revenue in Q3, contributing nearly $1 million in EBITDA [16] - TCE revenues from crude and products have been evenly balanced over the past year, with no fresh charters executed in Q3 [15][8] Market Data and Key Metrics Changes - Oil demand growth remains healthy at 1 million barrels per day for this year and next, with OPEC+ increasing production [11][12] - Tankers on order represent 14% of the fleet, with a significant number of removal candidates expected as the fleet ages [13][14] Company Strategy and Development Direction - The company continues to execute a balanced capital allocation strategy, focusing on fleet renewal and returning cash to shareholders [6][24] - The company aims to maintain a healthy balance sheet while adapting to industry conditions, with nearly $600 million in undrawn credit capacity [24][25] Management Comments on Operating Environment and Future Outlook - Management expressed a constructive outlook for seaborne transportation, with solid demand fundamentals supporting the tanker market [10][11] - The geopolitical intensity affecting tankers remains strong, with sanctions impacting trade routes and cargo flows [12][11] Other Important Information - The company sold five vessels in Q3 for proceeds of $67 million and plans to sell three more in Q4 for about $37 million [7][8] - The company has a strong financial position with net debt under $400 million, representing a low net loan to value of 13% [10][19] Q&A Session Summary Question: Market conditions and VLCCs - The fourth quarter has shown stronger rates, with VLCCs leading the way, benefiting midsize tankers as they return to normal trading patterns [30][31] Question: Crude and product rates - MR performance has been strong, with earnings of $29,000 per day in Q4, attributed to geopolitical factors and reduced diesel exports from Russia [32][34] Question: Crude inventory levels and offshore storage - Current oil on the water is high, but onshore inventories are not yet elevated, with a flat forward oil curve indicating limited offshore storage incentives [39] Question: S&P market and asset divestment - The company is seeing increased asset values and will continue to judiciously upgrade the fleet while divesting older vessels [40]

Financial Data and Key Metrics Changes - Net income for Q3 2025 was $71 million, or $1.42 per diluted share, with adjusted net income of $57 million, or $1.15 per diluted share, excluding gains on vessel sales [5][17] - Adjusted EBITDA for the third quarter was $108 million [5][17] - The company ended Q3 with total liquidity of $985 million, including $413 million in cash and $572 million in undrawn revolver capacity [11][20] Business Line Data and Key Metrics Changes - The lightering business generated approximately $9 million in revenue in Q3, contributing nearly $1 million in EBITDA after expenses [18] - TCE revenues from crude and products have been evenly balanced over the past year [17] Market Data and Key Metrics Changes - Oil demand growth remains healthy at 1 million barrels per day for this year and next [12] - Tankers on order represent 14% of the fleet that will deliver over the next four to five years, with a significant number of removal candidates expected as the fleet ages [14][15] Company Strategy and Development Direction - The company continues to execute a balanced capital allocation strategy, focusing on fleet renewal and returning cash to shareholders [5][16] - The company has extended its $50 million share repurchase program to the end of 2026 [5] - The company aims to maintain a healthy balance sheet while capitalizing on favorable market conditions [16][25] Management Comments on Operating Environment and Future Outlook - Management believes demand fundamentals are solid, supporting a constructive outlook for seaborne transportation [11] - The geopolitical intensity affecting tankers remains strong, with sanctions impacting trade routes and cargo flows [13] - The company expects to continue generating significant free cash flows and returning cash to shareholders [23][25] Other Important Information - The company sold five vessels in Q3 for proceeds of $67 million and plans to sell three additional older vessels in Q4 for about $37 million [7][9] - The company has nearly $600 million in undrawn credit capacity to support growth [25] Q&A Session Summary Question: Market conditions and tanker rates - The fourth quarter has shown stronger rates across all segments, with VLCCs leading the way, benefiting midsize tankers as well [31][32] Question: Crude inventory levels and offshore storage - There is currently a lot of oil on the water, but heightened inventories onshore have not yet been observed, and the forward oil curve is flat [40] Question: Opportunities in the S&P market - The company is seeing increased opportunities to divest older assets as asset values pick up, while continuing to upgrade the fleet [41]

Core Viewpoint - International Seaways reported quarterly earnings of $1.15 per share, exceeding the Zacks Consensus Estimate of $0.91 per share, but down from $1.57 per share a year ago, indicating a +26.37% earnings surprise [1][2] Financial Performance - The company achieved revenues of $196.39 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 3.41%, but down from $225.19 million year-over-year [2] - Over the last four quarters, International Seaways has consistently surpassed consensus EPS and revenue estimates [2] Stock Performance - International Seaways shares have increased approximately 39.5% year-to-date, significantly outperforming the S&P 500's gain of 15.6% [3] Future Outlook - The company's earnings outlook will be crucial for future stock performance, with current consensus EPS estimates at $1.14 for the upcoming quarter and $4.08 for the current fiscal year [7] - The Zacks Rank for International Seaways is currently 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Transportation - Shipping industry, to which International Seaways belongs, is currently ranked in the top 32% of over 250 Zacks industries, suggesting a favorable environment for stock performance [8]

International Seaways Inc. Third Quarter 2025 Earnings Presentation November 6, 2025 Disclaimer Forward-Looking Statements During the course of this presentation, the Company (International Seaways, Inc. (INSW)) may make forward-looking statements or provide forward-looking information. All statements other than statements of historical facts should be considered forward-looking statements. Some of these statements include words such as ''outlook,'' ''believe,'' ''expect,'' ''potential,'' ''continue,'' "gui ...

Revenue and Market Performance - For the three and nine months ended September 30, 2025, the Company derived 52% and 51% of its TCE revenues from the Product Carriers segment, compared to 55% and 54% for the same periods in 2024[121]. - Approximately 81% of total TCE revenues for the three and nine months ended September 30, 2025, were derived from the spot market, down from 84% and 87% for the same periods in 2024[126]. - TCE revenues decreased by $27.2 million, or 12%, to $192.5 million in Q3 2025 from $219.7 million in Q3 2024, primarily due to lower average daily rates and vessel sales[140]. - For the first nine months of 2025, TCE revenues for crude tankers decreased by $67.1 million, or 20%, to $276.5 million from $343.6 million in the same period of 2024[157]. - TCE revenues for the Product Carriers segment decreased by $21.4 million, or 18%, to $99.5 million in Q3 2025 from $120.9 million in Q3 2024[165]. - For the first nine months of 2025, TCE revenues for the Product Carriers segment decreased by $115.7 million, or 29%, to $283.1 million from $398.8 million in the same period of 2024[168]. Fleet and Operational Metrics - As of September 30, 2025, the Company's operating fleet consisted of 71 vessels, totaling 8.2 million deadweight tons, with five newbuilds scheduled for delivery, increasing the fleet to 76 vessels[122]. - In Q3 2025, the tanker fleet increased by 5.1 million dwt, with the crude fleet growing by 3.2 million dwt, including increases of 0.6 million dwt in VLCCs, 1.4 million dwt in Suezmaxes, and 1.2 million dwt in Aframaxes[134]. - The average number of owned vessels decreased from 21.0 in 2024 to 19.0 in Q3 2025[145]. - The average number of owned vessels decreased to 40.2 in Q3 2025 from 41.2 in Q3 2024[160]. - The crude tanker orderbook decreased by 1.2 million dwt in Q3 2025, while the total tanker orderbook increased by 10.2 million dwt year-over-year[135]. Financial Performance - Income from vessel operations fell by $22.3 million to $78.7 million in Q3 2025, down from $101.0 million in Q3 2024, mainly due to lower TCE revenues[138]. - The company declared total dividends of $34.5 million, $29.6 million, and $38.0 million for the first three quarters of 2025, with a regular quarterly dividend of $0.12 per share and a supplemental dividend of $0.74 per share declared on November 5, 2025[195]. - For the three months ended September 30, 2025, net income was $70.5 million, a decrease of 23% compared to $91.7 million in the same period of 2024[184]. - Adjusted EBITDA for the nine months ended September 30, 2025, was $299.9 million, down 38.6% from $488.5 million in the same period of 2024[184]. Expenses and Liabilities - Vessel expenses decreased by $4.4 million to $29.8 million in Q3 2025, attributed to the sale of two VLCCs[153]. - Vessel expenses increased by $4.1 million to $112.0 million in the first nine months of 2025 compared to $107.9 million in the same period of 2024[169]. - General and administrative expenses decreased by $1.6 million to $11.8 million in Q3 2025 from $13.4 million in Q3 2024[170]. - Interest expense decreased to $9.6 million in Q3 2025 from $12.5 million in Q3 2024, reflecting a reduction in the average outstanding principal balance[176]. - Total debt outstanding as of September 30, 2025, was $792.0 million, with a net debt to capital ratio of 16.4%, down from 22.2% at December 31, 2024[192]. Future Outlook and Commitments - Future minimum revenues expected from non-cancelable time charters as of September 30, 2025, total $229.2 million, with $31.9 million in 2025 and $82.8 million in 2026[126]. - The company has contractual commitments for the construction of five dual-fuel ready LR1s and various performance efficiency devices, with total long-term contractual obligations amounting to $1.2 billion as of September 30, 2025[203]. - The company executed a credit agreement for a 12-year term loan facility of up to $239.7 million to finance the acquisition of six LR1 newbuildings[200]. - The company plans to use net proceeds from the $250 million 2030 Bonds to retire higher-cost debt and for general corporate purposes[200]. - The company aims to pursue a disciplined capital allocation strategy focusing on fleet renewal, incremental debt reduction, and returns to shareholders[202]. Market Conditions - Global oil consumption for Q3 2025 is estimated at 104.8 million barrels per day, a 0.7% increase from Q3 2024, with 2025's total expected to be 103.8 million b/d[128]. - OPEC crude oil production averaged 27.9 million b/d in Q3 2025, an increase of 1.4 million b/d from Q3 2024[129]. - U.S. crude oil production reached 13.6 million b/d in Q3 2025, reflecting a 3.3% increase from Q3 2024[131]. - OECD commercial crude inventories decreased by 1.0%, or 13 million barrels, in Q3 2025 compared to Q2 2025[133]. Legal and Administrative Matters - The company expects to incur one-time legal and administrative expenses of between $3 million and $5 million in 2025 related to the redomiciliation process[179]. - The company commenced the process of changing the domicile of its vessel-owning subsidiaries from the Marshall Islands and Liberia to Bermuda, expected to be completed by the end of Q4 2025[178]. Risk Management - The Company operates in a highly cyclical industry, with revenues sensitive to supply and demand patterns for its vessels[123]. - The Company emphasizes a vessel employment strategy that balances spot and long-term charters to optimize economic performance[123]. - The Company manages market risk from interest rate changes through derivative financial instruments, including interest rate swaps and caps[206].

Financial Performance - Net income for Q3 2025 was $71 million, or $1.42 per diluted share, down from $92 million, or $1.84 per diluted share in Q3 2024[6][9] - Adjusted net income for Q3 2025 was $56,888,000, down from $78,233,000 in Q3 2024, representing a decrease of 27.4%[41] - Net income for the nine months ended September 30, 2025, was $181,757,000, down from $380,901,000 in the same period of 2024, representing a decline of 52.3%[31] - The company reported a net income of $70,546,000 for Q3 2025, compared to $91,688,000 in Q3 2024, a decrease of 23.1%[41] Revenue and Earnings - Shipping revenues for Q3 2025 were $196 million, compared to $225 million in Q3 2024, while TCE revenues decreased to $192 million from $220 million[10] - Total Shipping Revenues for Q3 2025 were $196,388,000, a decrease of 12.8% from $225,190,000 in Q3 2024[31] - Time Charter Equivalent (TCE) revenues for Q3 2025 were $192,468,000, compared to $219,687,000 in Q3 2024, a decline of 12.4%[44] - Adjusted EBITDA for Q3 2025 was $108 million, down from $130 million in Q3 2024[11] - EBITDA for Q3 2025 was $121,339,000, compared to $143,487,000 in Q3 2024, reflecting a decline of 15.4%[42] - Adjusted EBITDA for the nine months ended September 30, 2025, was $299,909,000, down from $488,467,000 in the same period of 2024, a decrease of 38.7%[42] Liquidity and Financial Flexibility - Total liquidity as of September 30, 2025, was $985 million, including cash of $413 million and $572 million undrawn revolving credit capacity[6] - The company successfully placed $250 million of senior unsecured bonds at a coupon rate of 7.125% to enhance financial flexibility[20] - Cash and cash equivalents increased to $412,569,000 as of September 30, 2025, compared to $157,506,000 at the end of 2024, marking a significant increase of 162.5%[32] Fleet and Operations - The fleet totaled 76 vessels as of September 30, 2025, with 62 owned and 14 chartered in[38] - The company sold five vessels with an average age of 17.7 years for proceeds of approximately $67 million during Q3 2025[15] - The company took delivery of the Seaways Alacran, the first of six LR1 newbuildings, with a total contract price of approximately $359 million[14] - The newbuild fleet includes 5 LR1 vessels with a total Dwt of 368,000, bringing the total fleet to 76 vessels[39] - The total operating fleet consists of 71 vessels with a total deadweight tonnage (Dwt) of 8,191,815[39] Market Conditions - Market conditions strengthened late in Q3 2025, with tanker demand supported by oil demand growth of about 1%[7] - The average TCE rate for VLCC in Q3 2025 was $34,809, an increase from $29,711 in Q3 2024, reflecting a growth of 17.5%[35] Expenses and Debt - Operating expenses for the nine months ended September 30, 2025, totaled $368,200,000, an increase from $346,817,000 in the same period of 2024, representing a rise of 6.4%[31] - Interest expense for the nine months ended September 30, 2025, was $30,836,000, compared to $37,808,000 in the same period of 2024, a decrease of 18.4%[31] - The company incurred third-party debt modification fees of $0 in Q3 2025, compared to $168,000 in the nine months ended September 30, 2024[42] Revenue Days - The company reported a total of 6,245 revenue days in Q3 2025, down from 6,671 revenue days in Q3 2024, a decrease of 6.4%[35] - The weighted average shares outstanding (diluted) for Q3 2025 were 49,606,210, slightly down from 49,881,317 in Q3 2024[41]

Core Viewpoint - The increase in global oil supply and sanctions have led to a surge in demand for "unaffected" tankers, resulting in the highest tanker earnings since the peak of the COVID-19 pandemic [1] Group 1: Oil Tanker Earnings - The daily rental rate for tankers transporting 2 million barrels of crude oil from the Middle East to China has risen by 40% to $125,000, marking the highest level since April 2020 [1] - The Baltic Exchange reports that this increase is driven by the need for alternative sources due to recent U.S. sanctions on two major Russian oil companies [1] Group 2: Market Dynamics - Lars Barstad, CEO of Frontline, noted that sanctioned crude oil transportation is hindered, leading to longer waiting times for vessels [1] - There has been an increase in shipping volume from the Atlantic Basin to Asia, contributing to a rise in ton-miles [1] - More OPEC crude oil is entering the market, further influencing tanker demand [1] Group 3: Related Stocks - Relevant stocks in the tanker industry include Frontline, Teekay, Teekay Tankers, CMB.Tech, Scorpio Tankers, DHT Holdings, Tsakos Energy Navigation, Navios Maritime Holdings, International Seaways, Nordic American Tankers, and SFL Corp [1]