Core Viewpoint - Performance Shipping Inc. reported a decline in net income for Q3 2025 compared to the same period in 2024, primarily due to decreased time-charter equivalent rates and reduced available days from vessel drydockings. However, the company remains optimistic about future market conditions supported by strong global demand and strategic fleet management. Financial Performance - The net income for Q3 2025 was $3.9 million, down from $12.4 million in Q3 2024, with earnings per share of $0.28 (basic) and $0.10 (diluted) [1][4] - Revenue for Q3 2025 was $18.5 million, a decrease from $22.9 million in Q3 2024, attributed to lower TCE rates and fewer available days due to drydock [2][3] - For the nine months ended September 30, 2025, net income increased to $42.4 million from $34.0 million in the same period of 2024, with earnings per share of $3.30 (basic) and $1.09 (diluted) [3][4] Operational Highlights - The average TCE rate for Q3 2025 was $29,460, down from $34,307 in Q3 2024, reflecting market conditions [2][13] - The fleet's average age decreased from 13.6 years to 9.2 years, and operating fleet capacity increased by 75% since the end of the previous year [6][11] - The company secured time-charter agreements for new vessels at competitive rates, enhancing cash flow visibility and increasing secured revenue backlog to $330 million [5][11] Market Conditions - Tanker market conditions remained firm in Q3 2025, with Aframax spot rates averaging approximately $37,500 per day, benefiting from increased tonne-mile demand due to geopolitical disruptions [3][9] - Global oil consumption rose to 105.0 million bpd, up 0.7% from the previous quarter, while production increased to 107.6 million bpd, up 2.3% [14] - The tanker fleet supply is projected to grow by 2.3% in 2025 and 4.2% in 2026, with tanker demand expected to remain strong due to seasonal factors and shifting trade flows [11][14] Corporate Developments - The company completed a $100 million Nordic bond issuance, enhancing liquidity with a quarter-end cash position of $212 million [7][11] - Recent acquisitions include two eco-design Suezmax tankers, scheduled for delivery in early 2026, which are expected to strengthen the fleet's competitive position [5][6] - As of November 24, 2025, the company had 12,432,158 common shares outstanding, along with various warrants and preferred stock [8][10]