MONACO, July 15, 2024 (GLOBE NEWSWIRE) -- Scorpio Tankers Inc. (NYSE:STNG) ("Scorpio Tankers," or the "Company") announced that it recently repurchased 756,312 of its common shares in the open market at an average price of $78.07 per share under the 2023 Securities Repurchase Program. Since June 1, 2024, the Company has repurchased an aggregate of 1,397,966 of its common shares in the open market at an average price of $78.16 per share. There is $140.7 million available under the 2023 Securities Repurchase ...

MONACO, June 17, 2024 (GLOBE NEWSWIRE) -- Scorpio Tankers Inc. (NYSE:STNG) ("Scorpio Tankers," or the "Company") announced updates on its securities repurchase program and second quarter of 2024 daily TCE revenues. The Company recently repurchased 641,654 of its common shares in the open market at an average price of $78.26 per share under the 2023 Securities Repurchase Program. There is $199.8 million available under the 2023 Securities Repurchase Program as of June 14, 2024. Below is a summary of the esti ...

Securities Repurchase Program Second Quarter of 2024 Daily Time Charter Equivalent ("TCE") Revenues (1) TCE revenue, a Non-IFRS measure, is vessel revenues less voyage expenses (including bunkers and port charges). TCE revenue is included herein because it is a standard shipping industry performance measure used primarily to compare period-to-period changes in a shipping company's performance irrespective of changes in the mix of charter types (i.e., spot charters, time charters, and pool charters), and it ...

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management's examination of historical operating trends, data contained in the Company's records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are diffic ...

MONACO, June 11, 2024 (GLOBE NEWSWIRE) -- Scorpio Tankers Inc. (NYSE:STNG) ("Scorpio Tankers," or the "Company") announced today that it has entered into agreements to sell five MR product tankers (four 2012 built and one 2013 built). The 2012 built vessels (three of which are scrubber fitted), STI Garnet, STI Onyx, STI Ruby, and STI Topaz, have been contracted to be sold for $142.5 million in aggregate to three separate buyers. The 2013 built vessel, STI Beryl (which is not scrubber fitted), has been contr ...

MONACO, May 20, 2024 (GLOBE NEWSWIRE) -- Scorpio Tankers Inc. (NYSE:STNG) ("Scorpio Tankers," or the "Company") announced today that it has received approval from majority lenders under its 2023 $1.0 Billion Credit Facility to make an unscheduled repayment on the term portion of this credit facility in June 2024 of $223.6 million. This prepayment is to be applied against the eight quarterly principal installments of the term loan falling due between the third quarter of 2024 and the second quarter of 2026. ...

This repayment will not impact the availability under the revolving portion of this credit facility, which is currently $288.2 million. MONACO, May 20, 2024 (GLOBE NEWSWIRE) -- Scorpio Tankers Inc. (NYSE:STNG) ("Scorpio Tankers," or the "Company") announced today that it has received approval from majority lenders under its 2023 $1.0 Billion Credit Facility to make an unscheduled repayment on the term portion of this credit facility in June 2024 of $223.6 million. This prepayment is to be applied against th ...

[Executive Summary & Dividend Declaration](index=1&type=section&id=Executive%20Summary%20%26%20Dividend%20Declaration) This section summarizes Q1 2024 financial performance, dividend declaration, and the CEO's strategic commentary on debt reduction and shareholder returns [Q1 2024 Financial Highlights](index=1&type=section&id=Q1%202024%20Financial%20Highlights) Scorpio Tankers Inc. reported strong financial results for Q1 2024, with net income increasing to $214.2 million and adjusted net income reaching $206.6 million, reflecting improved earnings per share compared to the prior year Q1 2024 Financial Highlights (Millions USD) | Metric | Q1 2024 (Millions USD) | Q1 2023 (Millions USD) | | :----------------------- | :--------------------- | :--------------------- | | Net Income | $214.2 | $193.2 | | Adjusted Net Income | $206.6 | $195.6 | | Basic EPS | $4.29 | $3.40 | | Diluted EPS | $4.11 | $3.27 | [Dividend Declaration](index=1&type=section&id=Dividend%20Declaration) The Board of Directors declared a quarterly cash dividend of $0.40 per common share, payable on June 28, 2024, to shareholders of record as of June 14, 2024 - A quarterly cash dividend of **$0.40 per common share** was declared on May 8, 2024[6](index=6&type=chunk) - The dividend payment date is June 28, 2024, for shareholders of record as of June 14, 2024[6](index=6&type=chunk) [CEO Commentary](index=1&type=section&id=CEO%20Commentary) The CEO highlighted that debt reduction and lower cash break-even rates enhance cash flow, enabling opportunistic actions to boost shareholder returns - CEO Emanuele A. Lauro emphasized that reducing debt and lowering the cash break-even rate increases cash flow, allowing the Company to act opportunistically to further increase shareholder returns[7](index=7&type=chunk) [Recent Significant Events & Operational Data](index=1&type=section&id=Recent%20Significant%20Events%20%26%20Operational%20Data) This section covers Q2 2024 TCE outlook, securities repurchase program status, debt management actions including vessel sales, diluted share count, and conference call details [Q2 2024 TCE Revenue Outlook](index=1&type=section&id=Q2%202024%20TCE%20Revenue%20Outlook) The Company provided an outlook for Q2 2024 average daily Time Charter Equivalent (TCE) revenue, showing strong expected rates for LR2 and MR vessels in the pool and spot markets Q2 2024 Average Daily Expected TCE Revenue (as of May 8, 2024) | Vessel class | Pool and Spot Market (Average Daily Expected Revenue TCE) | Time Charters Out of the Pool (Average Daily Expected Revenue TCE) | | :----------- | :------------------------------------------------------ | :------------------------------------------------------------- | | LR2 | $51,700 | $30,750 | | MR | $38,000 | $21,750 | | Handymax | $25,000 | N/A | Q1 2024 Average Daily TCE Revenue | Vessel class | Pool / Spot | Time Charters | | :----------- | :---------- | :------------ | | LR2 | $57,250 | $30,859 | | MR | $35,025 | $21,481 | | Handymax | $32,427 | N/A | [Securities Repurchase Program](index=2&type=section&id=Securities%20Repurchase%20Program) As of May 8, 2024, $250.0 million remains available under the 2023 Securities Repurchase Program, with no shares repurchased in the open market since January 1, 2024 - No shares were repurchased under the 2023 Securities Repurchase Program from January 1, 2024, through May 8, 2024[9](index=9&type=chunk) - **$250.0 million** remains available under the 2023 Securities Repurchase Program as of May 8, 2024[9](index=9&type=chunk) [Debt Management & Vessel Sales](index=2&type=section&id=Debt%20Management%20%26%20Vessel%20Sales) The Company is actively managing its debt through unscheduled repayments and vessel sales, with several MR product tankers sold or agreed for sale, contributing to deleveraging efforts - The Company is in discussions for an unscheduled repayment of up to **$223.6 million** on the term portion of its 2023 $1.0 Billion Credit Facility in June 2024[9](index=9&type=chunk) - Agreements were made to sell MR product tankers **STI Manhattan** ($40.8 million, expected Q2/Q3 2024) and **STI Le Rocher** ($36.15 million, expected May 2024)[9](index=9&type=chunk) - Completed sales include **STI Larvotto** ($36.15 million in April 2024) and **STI Tribeca** ($39.1 million in March 2024)[9](index=9&type=chunk) - From January 1, 2024, to the press release date, **$277.8 million** in unscheduled debt and lease repayments were made, with an additional **$102.4 million** expected in Q2 2024[9](index=9&type=chunk) [Diluted Weighted Number of Shares](index=3&type=section&id=Diluted%20Weighted%20Number%20of%20Shares) For Q1 2024, the basic weighted average number of shares outstanding was 49.9 million, while the diluted weighted average, including potentially dilutive restricted shares, was 52.1 million Weighted Average Shares Outstanding (Q1 2024) | Metric | Shares Outstanding | | :--------------------------- | :----------------- | | Basic Weighted Average | 49,905,272 | | Diluted Weighted Average | 52,069,380 | [Conference Call Information](index=3&type=section&id=Conference%20Call%20Information) Scorpio Tankers Inc. hosted a conference call on May 9, 2024, to discuss its Q1 2024 earnings, accessible via webcast and telephonically - A conference call for Q1 2024 earnings was held on Thursday, May 9, 2024, at 9:00 AM Eastern Daylight Time[12](index=12&type=chunk) - The call was accessible via the Company's website webcast and telephonically[12](index=12&type=chunk)[13](index=13&type=chunk) [Financial Position & Debt Management](index=4&type=section&id=Financial%20Position%20%26%20Debt%20Management) This section details the Company's liquidity, unscheduled debt repayments, overall outstanding indebtedness, and estimated future principal repayment schedule [Current Liquidity](index=4&type=section&id=Current%20Liquidity) As of May 8, 2024, the Company maintained strong liquidity with $558.8 million in unrestricted cash and cash equivalents, alongside $288.2 million available under its revolving credit facility Current Liquidity (as of May 8, 2024) | Metric | Amount (Millions USD) | | :----------------------------------------- | :-------------------- | | Unrestricted Cash and Cash Equivalents | $558.8 | | Availability under 2023 $1.0 Billion Credit Facility (revolving portion) | $288.2 | [Unscheduled Debt and Lease Repayments](index=4&type=section&id=Unscheduled%20Debt%20and%20Lease%20Repayments) Scorpio Tankers has completed significant unscheduled debt and lease repayments in Q1 and Q2 2024, totaling $262.0 million and $15.8 million respectively, with an additional $102.4 million pending Unscheduled Debt and Lease Repayments | Repayment Period | Principal Balance Repaid or to be Repaid (Millions USD) | | :----------------- | :---------------------------------------------------- | | Q1 2024 (Total) | $262.0 | | Q2 2024 (Total) | $15.8 | | Pending (Total) | $102.4 | [Outstanding Indebtedness Summary](index=5&type=section&id=Outstanding%20Indebtedness%20Summary) The Company significantly reduced its gross and net debt from December 31, 2023, to May 8, 2024, reflecting successful deleveraging efforts through repayments and vessel sales Outstanding Indebtedness (Thousands of U.S. Dollars) | Metric | Dec 31, 2023 | Mar 31, 2024 | May 8, 2024 | Pro-forma May 8, 2024 | | :------------------ | :----------- | :----------- | :---------- | :-------------------- | | Gross debt outstanding | $1,618,456 | $1,401,164 | $1,369,389 | $1,267,045 | | Cash and cash equivalents | $355,551 | $369,504 | $558,834 | $456,490 | | Net debt | $1,262,905 | $1,031,660 | $810,555 | $810,555 | [Estimated Future Principal Repayments](index=6&type=section&id=Estimated%20Future%20Principal%20Repayments) The Company has scheduled future principal repayments on its outstanding indebtedness, with a total of $1,401.2 million due as of March 31, 2024, extending through 2026 and thereafter Estimated Future Principal Repayments (Millions of U.S. Dollars) | Period | Unsecured Debt | Vessel Financings - Announced Vessel Purchases and Maturities in 2024 and 2025 | Vessel Financings - Scheduled Repayments, in Addition to Maturities in 2026 and Thereafter | Total | | :------------------------ | :------------- | :--------------------------------------------------------------------------- | :----------------------------------------------------------------------------------------- | :---- | | April 1, 2024 to May 8, 2024 | $— | $15.8 | $16.0 | $31.8 | | Remaining Q2 2024 | $— | $102.3 | $41.1 | $143.4 | | Q3 2024 | $— | $— | $51.6 | $51.6 | | Q4 2024 | $— | $— | $57.1 | $57.1 | | Q1 2025 | $— | $— | $51.6 | $51.6 | | Q2 2025 | $70.6 | $— | $51.0 | $121.6 | | Q3 2025 | $— | $— | $41.0 | $41.0 | | Q4 2025 | $— | $55.4 | $37.6 | $93.0 | | 2026 and thereafter | $— | $— | $810.1 | $810.1 | | **Total** | **$70.6** | **$173.5** | **$1,157.1** | **$1,401.2** | [Operational Updates](index=6&type=section&id=Operational%20Updates) This section provides an overview of drydocking activities, including actual costs and off-hire days for Q1 2024 and estimates for future periods [Drydock Update](index=6&type=section&id=Drydock%20Update) The Company incurred $10.6 million in drydock costs and 204 off-hire days in Q1 2024, with estimated costs of $18.1 million and 207 off-hire days for Q2 2024, and further significant activity planned through 2025 Drydock Activity Summary (Millions of USD / Days) | Period | Aggregate Costs (USD) | Aggregate Off-hire Days | Number of LR2s | Number of MRs | Number of Handymax | | :---------------- | :-------------------- | :---------------------- | :------------- | :------------ | :----------------- | | Q1 2024 - actual | $10.6 | 204 | 1 | 6 | 0 | | Q2 2024 - estimated | $18.1 | 207 | 0 | 7 | 2 | | Q3 2024 - estimated | $20.9 | 320 | 4 | 8 | 4 | | Q4 2024 - estimated | $19.0 | 300 | 3 | 6 | 6 | | FY 2025 | $39.6 | 540 | 11 | 14 | 2 | [Analysis of Q1 2024 Financial Results Variances](index=7&type=section&id=Analysis%20of%20Q1%202024%20Financial%20Results%20Variances) This section examines the changes in net income, TCE revenue, operating expenses, depreciation, general and administrative expenses, and financial expenses for Q1 2024 compared to the prior year [Net Income Comparison](index=7&type=section&id=Net%20Income%20Comparison) Net income for Q1 2024 increased to $214.2 million, up from $193.2 million in Q1 2023, driven by various operational and financial factors - Net income for Q1 2024 was **$214.2 million**, an increase from **$193.2 million** in Q1 2023[22](index=22&type=chunk) [TCE Revenue Analysis](index=7&type=section&id=TCE%20Revenue%20Analysis) TCE revenue increased by $12.6 million to $389.8 million in Q1 2024, with average daily TCE revenue rising to $39,660 per vessel, primarily due to favorable supply/demand dynamics and increased ton-mile demand from Red Sea re-routings TCE Revenue (Thousands of U.S. Dollars) | Metric | Q1 2024 | Q1 2023 | | :------------ | :-------- | :-------- | | Vessel revenue | $391,336 | $384,431 | | Voyage expenses | $(1,575) | $(7,269) | | TCE revenue | $389,761 | $377,162 | - TCE revenue increased by **$12.6 million** to **$389.8 million** in Q1 2024 (YoY)[23](index=23&type=chunk) - Average daily TCE revenue increased to **$39,660 per vessel** in Q1 2024, up from **$37,500** in Q1 2023[23](index=23&type=chunk) - Favorable market conditions, including robust underlying consumption, export volumes, and expanded ton-mile demand due to Red Sea re-routings, drove record high average daily spot TCE rates for LR2 vessels[23](index=23&type=chunk) [Operating Expenses Analysis](index=7&type=section&id=Operating%20Expenses%20Analysis) Vessel operating costs increased by $4.5 million to $78.1 million in Q1 2024, mainly due to higher stores and spares expenses for LR2 and MR vessels, while voyage expenses decreased by $5.7 million due to fewer vessels operating outside Scorpio pools - Vessel operating costs increased by **$4.5 million** to **$78.1 million** in Q1 2024 (YoY), with average daily costs rising to **$7,743 per vessel**[23](index=23&type=chunk) - The increase in vessel operating costs was primarily in LR2 and MR vessel classes, driven by timing of stores and spares purchases[23](index=23&type=chunk) - Voyage expenses decreased by **$5.7 million** to **$1.6 million** in Q1 2024 (YoY) due to a reduction in vessels operating outside the Scorpio pools[23](index=23&type=chunk) [Depreciation Expense Analysis](index=8&type=section&id=Depreciation%20Expense%20Analysis) Depreciation expense for owned or sale leaseback vessels increased by $7.4 million to $47.9 million in Q1 2024, offset by a $9.5 million decrease in right-of-use asset depreciation, as 21 lease-financed vessels were purchased and reclassified in 2023 - Depreciation expense for owned or sale leaseback vessels increased by **$7.4 million** to **$47.9 million** in Q1 2024 (YoY)[24](index=24&type=chunk) - This increase was due to the exercise of purchase options on **21 lease-financed vessels** throughout 2023, reclassifying them to owned vessels[24](index=24&type=chunk) - Depreciation expense for right-of-use assets decreased by **$9.5 million** in Q1 2024, reflecting the reclassification of these vessels[24](index=24&type=chunk) [General and Administrative Expenses Analysis](index=8&type=section&id=General%20and%20Administrative%20Expenses%20Analysis) General and administrative expenses rose by $7.8 million to $30.1 million in Q1 2024, primarily driven by increased non-cash restricted stock amortization from grants made in Q2 2023 - General and administrative expenses increased by **$7.8 million** to **$30.1 million** in Q1 2024 (YoY)[24](index=24&type=chunk) - The increase was mainly due to higher non-cash restricted stock amortization from grants in Q2 2023, with an expected **$8.0 million to $9.0 million** quarterly increase in upcoming quarters[24](index=24&type=chunk) [Financial Expenses Analysis](index=8&type=section&id=Financial%20Expenses%20Analysis) Financial expenses decreased by $6.5 million to $37.0 million in Q1 2024, primarily due to a reduction in interest expense from the Company's deleveraging efforts, despite increases in debt extinguishment costs and amortization of deferred financing fees - Financial expenses decreased by **$6.5 million** to **$37.0 million** in Q1 2024 (YoY)[24](index=24&type=chunk) - This decrease was mainly attributable to the overall reduction in interest expense on debt and sale leaseback arrangements due to deleveraging, with average indebtedness decreasing from **$2.0 billion to $1.5 billion**[24](index=24&type=chunk) - Debt extinguishment related costs increased to **$3.7 million** in Q1 2024 from **$2.3 million** in Q1 2023, and amortization of deferred financing fees increased to **$3.0 million** from **$1.2 million**[24](index=24&type=chunk) [Condensed Consolidated Financial Statements](index=9&type=section&id=Condensed%20Consolidated%20Financial%20Statements) This section presents the Company's Q1 2024 condensed consolidated statements of income, balance sheets, and cash flows, highlighting key financial movements [Condensed Consolidated Statements of Income](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) The condensed consolidated statements of income show a net income of $214.2 million for Q1 2024, an increase from $193.2 million in Q1 2023, driven by higher vessel revenue and a gain on vessel sales, partially offset by increased operating and administrative expenses Condensed Consolidated Statements of Income (Thousands of U.S. Dollars) | Metric | Q1 2024 | Q1 2023 | | :-------------------------------------- | :-------- | :-------- | | Vessel revenue | $391,336 | $384,431 | | Total operating expenses | $(146,369) | $(153,195) | | Operating income | $244,967 | $231,236 | | Total other expense, net | $(30,776) | $(37,999) | | Net income | $214,191 | $193,237 | | Basic Earnings per share | $4.29 | $3.40 | | Diluted Earnings per share | $4.11 | $3.27 | [Condensed Consolidated Balance Sheets](index=10&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of March 31, 2024, total assets were $4.21 billion, slightly down from $4.23 billion at December 31, 2023. Total liabilities decreased significantly from $1.67 billion to $1.45 billion, primarily due to reductions in current and non-current lease liabilities and current portion of long-term debt, leading to an increase in total shareholders' equity Condensed Consolidated Balance Sheets (Thousands of U.S. Dollars) | Metric | Mar 31, 2024 | Dec 31, 2023 | | :------------------------------ | :----------- | :----------- | | Total current assets | $653,359 | $577,080 | | Total non-current assets | $3,555,979 | $3,651,572 | | **Total assets** | **$4,209,338** | **$4,228,652** | | Total current liabilities | $408,472 | $510,404 | | Total non-current liabilities | $1,044,602 | $1,164,542 | | **Total liabilities** | **$1,453,074** | **$1,674,946** | | Total shareholders' equity | $2,756,264 | $2,553,706 | [Condensed Consolidated Statements of Cash Flows](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash inflow from operating activities was $222.1 million in Q1 2024, a decrease from $276.5 million in Q1 2023. Investing activities generated a net cash inflow of $28.1 million, a significant improvement from an outflow in the prior year, primarily due to net proceeds from vessel sales. Financing activities resulted in a net cash outflow of $236.3 million, largely due to substantial debt repayments Condensed Consolidated Statements of Cash Flows (Thousands of U.S. Dollars) | Metric | Q1 2024 | Q1 2023 | | :-------------------------------------- | :-------- | :-------- | | Net cash inflow from operating activities | $222,130 | $276,477 | | Net cash inflow / (outflow) from investing activities | $28,135 | $(7,638) | | Net cash outflow from financing activities | $(236,312) | $(33,054) | | Increase in cash and cash equivalents | $13,953 | $235,785 | | Cash and cash equivalents at March 31, | $369,504 | $612,655 | - Net proceeds from sales of vessels contributed **$38.6 million** to investing activities in Q1 2024[30](index=30&type=chunk) - Debt repayments totaled **$313.9 million** in Q1 2024, significantly higher than **$138.6 million** in Q1 2023[30](index=30&type=chunk) [Other Operating Data](index=12&type=section&id=Other%20Operating%20Data) This section provides additional operational metrics including Adjusted EBITDA, average daily TCE per revenue day, and vessel operating costs per day for the fleet [Adjusted EBITDA and Average Daily Results](index=12&type=section&id=Adjusted%20EBITDA%20and%20Average%20Daily%20Results) Adjusted EBITDA increased to $292.8 million in Q1 2024. The average daily TCE per revenue day for the fleet rose to $39,660, with LR2s showing the highest increase, while vessel operating costs per day also saw a slight increase Adjusted EBITDA and Average Daily Results (Q1 2024 vs Q1 2023) | Metric | Q1 2024 | Q1 2023 | Change (YoY) | | :----------------------------------- | :-------- | :-------- | :----------- | | Adjusted EBITDA (in thousands of U.S. dollars) | $292,785 | $286,386 | +$6,399 | | Fleet TCE per revenue day | $39,660 | $37,500 | +$2,160 | | Fleet Vessel operating costs per day | $7,743 | $7,244 | +$499 | | LR2 TCE per revenue day | $50,663 | $43,292 | +$7,371 | | MR TCE per revenue day | $33,934 | $33,517 | +$417 | | Handymax TCE per revenue day | $32,427 | $38,349 | -$5,922 | - Average number of vessels decreased from **113.0** in Q1 2023 to **110.9** in Q1 2024[31](index=31&type=chunk) [Fleet Information](index=13&type=section&id=Fleet%20Information) This section details the Company's current fleet composition, including vessel types, average age, and employment status, along with information on vessel sales agreements [Fleet List as of May 8, 2024](index=13&type=section&id=Fleet%20List%20as%20of%20May%208%2C%202024) As of May 8, 2024, Scorpio Tankers Inc. owns or lease finances 109 product tankers, comprising 39 LR2, 56 MR, and 14 Handymax vessels, with an average age of 8.2 years. The fleet list details each vessel's year built, DWT, ice class, employment status (pool or time charter), vessel type, and scrubber installation - The Company's fleet consists of **109 product tankers**: **39 LR2**, **56 MR**, and **14 Handymax** vessels, with an average age of **8.2 years**[41](index=41&type=chunk) - Two MR tankers (**STI Le Rocher** and **STI Manhattan**) are under agreement for sale, expected to close in Q2 or Q3 2024[33](index=33&type=chunk)[34](index=34&type=chunk)[41](index=41&type=chunk) - Most vessels operate within Scorpio pools (SHTP, SMRP, SLR2P, MPL), while some MR and LR2 vessels are on time charters with varying rates and extension options[33](index=33&type=chunk)[34](index=34&type=chunk)[37](index=37&type=chunk) [Corporate Information & Disclosures](index=16&type=section&id=Corporate%20Information%20%26%20Disclosures) This section outlines the Company's dividend policy, the impact of geopolitical conflicts, a brief company overview, reconciliation of non-IFRS measures, forward-looking statements, and contact information [Dividend Policy](index=16&type=section&id=Dividend%20Policy) The declaration and payment of dividends are at the discretion of the Board of Directors, influenced by earnings, financial condition, cash requirements, and other factors. The Company has consistently increased its quarterly dividend per common share from $0.20 in March 2023 to $0.40 in March 2024 - Dividend declaration and payment are subject to the Board of Directors' discretion, considering earnings, financial condition, cash availability, and loan agreement restrictions[37](index=37&type=chunk) Historical Dividends Paid | Date paid | Dividend per common share | | :----------- | :------------------------ | | March 2023 | $0.20 | | June 2023 | $0.25 | | September 2023 | $0.25 | | December 2023 | $0.35 | | March 2024 | $0.40 | [Conflict in Ukraine and Middle East Impact](index=17&type=section&id=Conflict%20in%20Ukraine%20and%20Middle%20East%20Impact) Geopolitical conflicts in Ukraine and the Middle East have significantly impacted refined petroleum product trade, leading to sanctions, disrupted supply, and increased ton-mile demand due to re-routing, which has thus far favorably affected the Company's vessel demand, though future adverse impacts remain possible - The Ukraine conflict has led to sanctions on Russian oil, disrupting supply and causing price volatility, which has favorably impacted the Company's operations so far[39](index=39&type=chunk) - Attacks on commercial vessels in the southern Red Sea have forced re-routing, expanding ton-mile demand and favorably impacting vessel demand, but future adverse impacts are possible[40](index=40&type=chunk) [About Scorpio Tankers Inc.](index=17&type=section&id=About%20Scorpio%20Tankers%20Inc.) Scorpio Tankers Inc. is a global provider of marine transportation for petroleum products, owning or lease financing 109 product tankers with an average age of 8.2 years, and has agreements to sell two MR tankers - Scorpio Tankers Inc. provides marine transportation of petroleum products worldwide[41](index=41&type=chunk) - The Company owns or lease finances **109 product tankers** (**39 LR2**, **56 MR**, **14 Handymax**) with an average age of **8.2 years**[41](index=41&type=chunk) - Agreements are in place to sell **two MR tankers**, expected to close in Q2 or Q3 2024[41](index=41&type=chunk) [Non-IFRS Measures Reconciliation](index=17&type=section&id=Non-IFRS%20Measures%20Reconciliation) The Company provides Non-IFRS measures such as TCE revenue, adjusted net income, and adjusted EBITDA to offer investors and management a clearer view of operating performance and industry comparability, with detailed reconciliations provided for historical periods - Non-IFRS measures (TCE revenue, adjusted net income/loss, adjusted EBITDA) are used to evaluate operating performance and facilitate industry comparability[42](index=42&type=chunk)[43](index=43&type=chunk) Reconciliation of Net Income to Adjusted Net Income (Thousands of U.S. Dollars) | Metric | Q1 2024 Amount | Q1 2024 Basic EPS | Q1 2024 Diluted EPS | Q1 2023 Amount | Q1 2023 Basic EPS | Q1 2023 Diluted EPS | | :-------------------------------------- | :------------- | :---------------- | :------------------ | :------------- | :---------------- | :------------------ | | Net income | $214,191 | $4.29 | $4.11 | $193,237 | $3.40 | $3.27 | | Adjustments: | | | | | | | | Write-offs of deferred financing fees and debt extinguishment costs | $3,692 | $0.07 | $0.07 | $2,315 | $0.04 | $0.04 | | Gain on sales of vessels | $(11,330) | $(0.23) | $(0.22) | $— | $— | $— | | **Adjusted net income** | **$206,553** | **$4.14** | **$3.97** | **$195,552** | **$3.44** | **$3.31** | Reconciliation of Net Income to Adjusted EBITDA (Thousands of U.S. Dollars) | Metric | Q1 2024 | Q1 2023 | | :-------------------------------------- | :-------- | :-------- | | Net Income | $214,191 | $193,237 | | Financial expenses | $36,994 | $43,532 | | Financial income | $(4,590) | $(4,185) | | Depreciation - owned or lease financed vessels | $47,910 | $40,491 | | Depreciation - right of use assets | $— | $9,490 | | Equity settled share based compensation expense | $9,610 | $3,821 | | Gain on sales of vessels | $(11,330) | $— | | **Adjusted EBITDA** | **$292,785** | **$286,386** | [Forward-Looking Statements](index=19&type=section&id=Forward-Looking%20Statements) The report includes forward-looking statements, which are subject to significant uncertainties and contingencies beyond the Company's control, and actual results may differ materially due to various factors including economic conditions, market fluctuations, and geopolitical events - Forward-looking statements are based on assumptions that are inherently subject to significant uncertainties and contingencies, and there is no assurance that expectations will be achieved[47](index=47&type=chunk)[48](index=48&type=chunk) - Factors that could cause actual results to differ include unforeseen liabilities, future capital expenditures, economic performance, indebtedness, market conditions (charter rates, vessel values), changes in demand, operating expenses, financing availability, regulatory changes, litigation, and geopolitical conditions (Ukraine conflict, Middle East developments)[49](index=49&type=chunk) [Contact Information](index=19&type=section&id=Contact%20Information) Investor relations inquiries for Scorpio Tankers Inc. can be directed to James Doyle, Head of Corporate Development & Investor Relations - Contact for investor relations: James Doyle, Head of Corporate Development & Investor Relations, at **+1 646-432-1678** or **investor.relations@scorpiotankers.com**[50](index=50&type=chunk)

Financial Data and Key Metrics Changes - In Q1 2024, the company generated $293 million in adjusted EBITDA and $207 million in adjusted net income, indicating strong financial performance [30] - The daily fleet operating breakeven is projected to decrease to $12,500 per day, which is among the lowest in the industry [31][60] - The company has reduced its net debt to $811 million, achieving its net debt target [36][131] Business Line Data and Key Metrics Changes - Spot rates for MRs are currently around $40,000 per day, while LR2s are at approximately $50,000 per day, reflecting a robust demand for refined products [32] - The average age of the product tanker fleet is now 13 years, with 50% expected to be older than 15 years by 2026, indicating potential scrapping candidates [34] Market Data and Key Metrics Changes - Global demand for refined products is expected to increase by 1.5 million barrels per day through year-end, driven by diesel, gasoline, jet fuel, and naphtha [56] - Seaborne exports reached 21.1 million barrels a day in March, up 1.1 million compared to 2019 levels, highlighting a significant increase in export activity [56] Company Strategy and Development Direction - The company is focused on deleveraging and has successfully simplified its balance sheet through refinancing, which has led to lower financing costs [36] - The management remains optimistic about the market dynamics, citing low global inventories and robust demand as supportive factors for continued strength in product tanker rates [31][32] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the market, noting that the company is well-positioned to capitalize on opportunities due to its modern fleet and low breakeven costs [31][64] - The company anticipates a significant reduction in cash breakeven starting in Q3 2024, which will enhance its ability to return capital to shareholders [131] Other Important Information - The company is in discussions with lenders regarding a $1 billion credit facility to prepay up to $223 million, which would further reduce its debt burden [11] - The company has generated $1.3 billion in adjusted EBITDA over the past five quarters, allowing for substantial debt repayment and stock buybacks [59] Q&A Session Summary Question: Does reaching the debt target change the company's view on business? - Management indicated that reaching the debt target allows for a renewed focus on share buybacks and strategic opportunities [43] Question: What is the outlook for the LR2 and MR markets? - Management noted that while LR2s have been volatile, MRs have shown consistent performance, and both segments are expected to benefit from strong demand [49][56] Question: Is there a seasonal pullback expected in the second quarter? - Management does not anticipate a seasonal pullback, instead expecting a ramp-up in demand due to refinery outputs and increased exports from China [82] Question: What is the company's vision for fleet renewal? - Management stated that they view the company as an ongoing entity and do not plan to run down the fleet but will remain opportunistic regarding fleet renewal [111][113]

20.0 20.5 20.0 19.1 20.6 21.1 17.0 18.0 19.0 20.0 21.0 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 Seaborne Diesel Exports 9.0 9.5 10.0 10.5 11.0 11.5 12.0 12.5 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2019-23 Range 2019-23 Avg YTD (mb/d) Seaborne Gasoline Exports (mb/d) 5.5 6.0 6.5 7.0 7.5 8.0 8.5 9.0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2019-23 Range 2019-23 Avg YTD Vortexa, May 2024 9 Refining Capacity Changes Drive Ton Mile Demand | --- | --- | --- | --- | --- | --- | --- | --- | --- | - ...