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Preliminary Q2 2025 results and quarterly cash dividend of $0.20 per share
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Hamilton, Bermuda, August 19, 2025, SFL Corporation Ltd. ("SFL" or the
"Company") today announced its preliminary financial results for the quarter
ended June 30, 2025.
Highlights
* 86(th) consecutive quarterly dividend declared, $0.20 per share
* Net income of $1.5 million, or $0.01 per share in the second quarter
* Received charter hire(1) of $194 million in the quarter, of which approx.
87% of charter hire from shipping and 13% from energy
* Adjusted EBITDA(2) of $104 million from consolidated subsidiaries, of which
$97 million from shipping and $7 million from energy. In addition, $8
million adjusted EBITDA(2) from associated vessel owning companies
* Five year time charter extension for three 9,500 teu container vessels with
Maersk adding approximately $225 million to our backlog from 2026 through
2031
* Continuous fleet renewal during the second quarter and subsequent to quarter
end with the sale and redelivery of older dry bulk and container vessels for
an aggregate amount of more than $200 million
Ole B. Hjertaker, CEO of SFL Management AS, said in a comment:
«We have taken decisive steps in recent quarters to strengthen our charter
backlog by securing agreements with strong counterparties and deploying high-
quality assets. This includes investments in cargo-handling and fuel-efficiency
upgrades across our existing fleet, while divesting of older, less efficient
vessels. As a result, our fleet's operational and fuel consumption efficiency
has improved materially, delivering benefits to both SFL and our customers.
The market for our legacy drilling rig Hercules remains challenging, with the
recent market uncertainty and oil price volatility delaying new employment
opportunities for the rig. This is impacting our near-term financial results as
we keep the rig warm stacked. We remain optimistic about finding new employment
for the rig and continue to explore strategic opportunities in parallel. At the
same time, we have also sold and redelivered several vessels recently pursuant
to pre-agreed purchase options. While this is increasing our available capital
for new investments significantly, it is also reducing the near-term cash flow
generation. The board has therefore decided to adjust the dividend to 20 cents
per share for the second quarter.
Since our inception in 2004, SFL has distributed $2.9 billion to shareholders
through 86 consecutive quarterly cash dividends. Over this period, we have
consistently demonstrated our ability to renew and diversify our portfolio of
assets and charters, supporting a sustainable, long-term capacity for
shareholder distributions.»
Quarterly Dividend
The Board of Directors has declared a quarterly cash dividend of $0.20 per
share. The dividend will be paid on or around September 29, 2025. The record
date and ex-dividend date on the New York Stock Exchange will be September
12, 2025.
The full report can be found in the link below and at the Company's website
www.sflcorp.com.
Webcast and Presentation
In connection with the earnings release, a webcast will be held today at 10:00
AM (EST) / 4:00 PM (CET)
In order to listen to the webcast and see the presentation, you may do one of
the following:
A: Join Webcast in Listen Only Mode:
Visit the Investor Relations section of the Company's website
at www.sflcorp.com and click on the link to "Webcasts", or access directly via
the webcast link below. The webcast with slideshow will be played from this
platform:
SFL Corporation Ltd. Q2 2025 Webcast
(https://nor01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fconnectstudio
-portal.world-
television.com%2Fen%2F64c901b7ac3efa325c227857&data=05%7C02%7Cespen.gjosund%40sf
lcorp.com%7C12a67ff8c5c441ce748408ddd5a72bbe%7C73cb7203e06f49e08fa31680d8406af5%
7C1%7C0%7C638901636169799452%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlY
iOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&s
data=nCd%2Fqwc1o22nRq3Jn%2B7SbTOR2JHiWNqt7CLymIPcAgc%3D&reserved=0)
(https://nor01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fconnectstudio
-portal.world-
television.com%2Fen%2F64c901b7ac3efa325c227857&data=05%7C02%7Cespen.gjosund%40sf
lcorp.com%7C12a67ff8c5c441ce748408ddd5a72bbe%7C73cb7203e06f49e08fa31680d8406af5%
7C1%7C0%7C638901636169799452%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlY
iOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&s
data=nCd%2Fqwc1o22nRq3Jn%2B7SbTOR2JHiWNqt7CLymIPcAgc%3D&reserved=0)
B: Join Conference Call to Participate in Live Q&A through Zoom:
Join through the Zoom link below to ask a question:
SFL Q2 2025 Q&A
(https://nor01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwtvglobal.zoo
m.us%2Fj%2F96696084356%3Fpwd%3D4RxJ82z3y9Dh5W9cbMBHUyPkJh0oow.1&data=05%7C02%7Ce
spen.gjosund%40sflcorp.com%7C12a67ff8c5c441ce748408ddd5a72bbe%7C73cb7203e06f49e0
8fa31680d8406af5%7C1%7C0%7C638901636169826566%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU
1hcGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%
3D%7C0%7C%7C%7C&sdata=lAqG69dB1zAnc0lMjaOaf5emibA6dUcJG%2F1om%2BlSPW0%3D&reserve
d=0)
Meeting ID: 966 9608 4356
Passcode: 103321
The presentation material used in the webcast may be downloaded at
www.sflcorp.com and replay details are also available at the Company website.
Questions may be directed to SFL Management AS:
Investor and Analyst Contact
Espen Nilsen Gjøsund, Vice President - Investor Relations: +47 47500500
André Reppen, Chief Treasurer & Senior Vice President: +47 23114055
Aksel C. Olesen, Chief Financial Officer: +47 23114036
Media Contact
Ole B. Hjertaker, Chief Executive Officer: +47 23114011
About SFL
SFL has a unique track record in the maritime industry and has paid dividends
every quarter since its initial listing on the New York Stock Exchange in 2004.
The Company's fleet of vessels is comprised of tanker vessels, bulkers,
container vessels, car carriers and offshore drilling rigs. SFL's long term
distribution capacity is supported by a portfolio of long term charters and
significant growth in the asset base over time. More information can be found on
the Company's website: www.sflcorp.com
Cautionary Statement Regarding Forward Looking Statements
This press release may contain forward looking statements. These statements are
based upon various assumptions, many of which are based, in turn, upon further
assumptions, including SFL management's examination of historical operating
trends, data contained in the Company's records and other data available from
third parties. Although SFL believes that these assumptions were reasonable when
made, because assumptions are inherently subject to significant uncertainties
and contingencies which are difficult or impossible to predict and are beyond
its control, SFL cannot give assurance that it will achieve or accomplish these
expectations, beliefs or intentions.
Important factors that, in the Company's view, could cause actual results to
differ materially from those discussed in the forward looking statements include
the strength of world economies, fluctuations in currencies and interest rates,
general market conditions in the seaborne transportation industry, which is
cyclical and volatile, including fluctuations in charter hire rates and vessel
values, changes in demand in the markets in which the Company operates,
including shifts in consumer demand from oil towards other energy sources or
changes to trade patterns for refined oil products, changes in market demand in
countries which import commodities and finished goods and changes in the amount
and location of the production of those commodities and finished goods,
technological innovation in the sectors in which we operate and quality and
efficiency requirements from customers, increased inspection procedures and more
restrictive import and export controls, changes in the Company's operating
expenses, including bunker prices, dry docking and insurance costs, performance
of the Company's charterers and other counterparties with whom the Company
deals, the impact of any restructuring of the counterparties with whom the
Company deals, and timely delivery of vessels under construction within the
contracted price, governmental laws and regulations, including environmental
regulations, that add to our costs or the costs of our customers, potential
liability from pending or future litigation, potential disruption of shipping
routes due to accidents, political instability, terrorist attacks, piracy or
international hostilities, the length and severity of the coronavirus outbreak
and governmental responses thereto and the impact on the demand for commercial
seaborne transportation and the condition of the financial markets, and other
important factors described from time to time in the reports filed by the
Company with the United States Securities and Exchange Commission. SFL disclaims
any intention or obligation to update or revise any forward looking statements,
whether as a result of new information, future events or otherwise, except as
required by law.
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(1) Charter hire represents the amounts billable in the period by the Company
and its associates for chartering out vessels and rigs. This is mainly the
contracted daily rate multiplied by the number of chargeable days plus any
additional billable income, including profit share and attributable mobilization
fees, if any. Long term charter hire relates to contracts undertaken for a
period greater than one year. Short term charter hire relates to contracts
undertaken for a period less than one year, including voyage charters.
(2) 'Adjusted EBITDA' is a non-U.S. GAAP measure. It represents cash receipts
from operating activities before net interest and capital payments.