International Seaways (NYSE:INSW) Issues Earnings Results

Key Points

• International Seaways reported a strong quarterly beat, posting $3.90 in EPS versus $2.87 expected and revenue of $325.48 million versus $279.34 million forecast. Revenue rose 77.5% year over year, and EPS improved sharply from $0.80 a year ago.
• On the conference call, management highlighted record first-quarter results, including $286 million in GAAP net income and $194 million in adjusted net income, and declared a record combined dividend of $4.55 per share. The company also set an 85% payout ratio going forward.
• International Seaways said it has a very strong balance sheet with $918 million in liquidity and net debt of about $225 million, while also generating robust cash flow and benefiting from strong tanker market conditions. It is also selling older vessels and optimizing its fleet to support returns and future growth.

International Seaways (NYSE:INSW - Get Free Report) issued its quarterly earnings data on Thursday. The transportation company reported $3.90 EPS for the quarter, topping analysts' consensus estimates of $2.87 by $1.03, FiscalAI reports. The firm had revenue of $325.48 million for the quarter, compared to analyst estimates of $279.34 million. International Seaways had a net margin of 55.39% and a return on equity of 21.04%. The firm's revenue was up 77.5% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.80 EPS.

Here are the key takeaways from International Seaways' conference call:

• Record first-quarter results with $286 million net income (GAAP) and $194 million adjusted net income, and management declared a record combined dividend of $4.55 per share while formalizing an 85% payout ratio going forward.
• Very strong balance sheet and liquidity position with $918 million total liquidity (≈$377M cash + ≈$541M undrawn revolver), net debt of ≈$225M, net loan-to-value below 7% and cost of debt under 6%, providing flexibility for returns and reinvestment.
• Robust cash generation and forward book—adjusted EBITDA of $244 million, free cash flow of about $133 million in Q1, and a Q2 blended spot TCE booked at over $100,000/day on ~45% of expected revenue days with a fleet breakeven near $14,900/day.
• Management sees durable market tailwinds from the Strait of Hormuz disruption and an aging global fleet (orderbook ≈16% of fleet with removal candidates materially outnumbering newbuilds), and continued fleet optimization—selling seven older vessels for $216 million, taking LR1 deliveries, and consolidating ownership of Tankers International to capture pool scale.

International Seaways Stock Performance

NYSE:INSW traded up $1.29 during trading hours on Friday, reaching $91.47. 717,272 shares of the stock were exchanged, compared to its average volume of 551,740. The stock has a market capitalization of $4.53 billion, a P/E ratio of 8.33 and a beta of -0.09. The firm has a 50 day simple moving average of $74.69 and a 200-day simple moving average of $61.28. The company has a quick ratio of 3.71, a current ratio of 7.34 and a debt-to-equity ratio of 0.26. International Seaways has a 52 week low of $35.60 and a 52 week high of $92.66.

International Seaways Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, June 26th. Shareholders of record on Friday, June 12th will be issued a dividend of $0.12 per share. This represents a $0.48 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date of this dividend is Friday, June 12th. International Seaways's dividend payout ratio (DPR) is currently 7.70%.

Analysts Set New Price Targets

A number of brokerages recently commented on INSW. Benchmark reissued a "buy" rating on shares of International Seaways in a report on Thursday, February 26th. Pareto Securities raised International Seaways from a "hold" rating to a "buy" rating and set a $64.00 target price on the stock in a research report on Tuesday, January 20th. Deutsche Bank Aktiengesellschaft increased their target price on International Seaways from $63.00 to $80.00 and gave the company a "buy" rating in a research note on Monday, March 9th. Wall Street Zen raised shares of International Seaways from a "buy" rating to a "strong-buy" rating in a research report on Monday, April 13th. Finally, Jefferies Financial Group restated a "buy" rating and issued a $100.00 price target on shares of International Seaways in a research note on Friday. Five equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $83.50.

Insider Buying and Selling at International Seaways

In other International Seaways news, Treasurer Debra Grillo sold 389 shares of the business's stock in a transaction on Monday, March 9th. The shares were sold at an average price of $76.27, for a total transaction of $29,669.03. Following the completion of the sale, the treasurer owned 1,185 shares in the company, valued at $90,379.95. The trade was a 24.71% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CEO Lois K. Zabrocky sold 2,000 shares of the stock in a transaction on Wednesday, April 15th. The stock was sold at an average price of $74.57, for a total transaction of $149,140.00. Following the sale, the chief executive officer directly owned 206,745 shares in the company, valued at $15,416,974.65. This trade represents a 0.96% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 60,697 shares of company stock worth $4,517,070. 2.00% of the stock is owned by insiders.

Institutional Investors Weigh In On International Seaways

A number of institutional investors have recently modified their holdings of the business. Garton & Associates Financial Advisors LLC bought a new position in International Seaways in the fourth quarter worth about $46,000. Advisory Services Network LLC acquired a new position in International Seaways in the third quarter valued at approximately $53,000. EverSource Wealth Advisors LLC grew its holdings in shares of International Seaways by 601.4% during the second quarter. EverSource Wealth Advisors LLC now owns 1,508 shares of the transportation company's stock valued at $55,000 after purchasing an additional 1,293 shares during the last quarter. Sunbelt Securities Inc. acquired a new stake in shares of International Seaways during the 3rd quarter worth approximately $64,000. Finally, NewEdge Advisors LLC lifted its holdings in shares of International Seaways by 240.1% in the 2nd quarter. NewEdge Advisors LLC now owns 2,010 shares of the transportation company's stock worth $73,000 after purchasing an additional 1,419 shares during the last quarter. Institutional investors own 67.29% of the company's stock.

International Seaways Company Profile

International Seaways, Inc NYSE: INSW is an independent tanker company that provides seaborne transportation services to oil companies, commodity traders and national oil companies. The firm’s operations focus on the carriage of crude oil and refined petroleum products, offering both time­ charter and voyage­ charter arrangements. With a modern fleet of very large crude carriers (VLCCs), Suezmax and Aframax tankers, as well as medium range (MR) and Handy product tankers, International Seaways supports global energy supply chains across major trade routes.

Founded in 1997 as Diamond S Shipping, the company completed its initial public offering in the late 1990s and rebranded to International Seaways in September 2018.

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