Dorian LPG Ltd. – Financial Results – Third Quarter Fiscal Year 2022

Dorian LPG Ltd. Announces Third Quarter Fiscal Year 2022 Financial Results And $100 Million Stock Repurchase Authority.

STAMFORD, CT (STL.News) Dorian LPG Ltd. (NYSE: LPG) (the “Company,” “Dorian LPG,” “we,” “us,” and “our”), a leading owner and operator of modern, very large gas carriers (“VLGCs”), today reported its financial results for the three months ended December 31, 2021.

Highlights for the Third Quarter Fiscal Year 2022 – Dorian LPG Ltd.

  • Completed the refinancing of Constellation and Commander, resulting in $34.9 million of net cash proceeds.
  • Competed the repurchase of Captain John NP by repaying the outstanding debt of $15.8 million, leaving the vessel debt-free.
  • Revenues of $68.6 million and Time Charter Equivalent (“TCE”)(1) rate for our fleet of $33,508 for the three months ended December 31, 2021, compared to revenues of $88.5 million and TCE rate for our fleet of $42,298 for the three months ended December 31, 2020.
  • Net income of $16.6 million, or $0.41 earnings per diluted share (“EPS”), and adjusted net income(1) of $13.5 million, or $0.34 adjusted earnings per diluted share (“adjusted EPS”),(1) for the three months ended December 31, 2021.
  • Adjusted EBITDA(1) of $39.4 million for the three months ended December 31, 2021.

Key Recent Developments

  • During January 2022, declared and paid a cash dividend of $1.00 per share of our common stock to all shareholders of record as of the close of business on January 14, 2022.
  • Competed the repurchase of Captain Nicholas ML by repaying the outstanding debt of $17.8 million, leaving the vessel debt-free.
  • On February 2, 2022, our Board of Directors authorized the repurchase of up to $100.0 million of our common shares.

John C. Hadjipateras, Chairman, President, and Chief Executive Officer of the Company, commented, “Our solid results in the quarter have allowed us to return capital to shareholders with the payment of a dividend in January, and we have approved a new authority to repurchase our shares.   Our liquidity continues to be strong, and our view of the market for 2022 is sanguine.”

Third Quarter Fiscal Year 2022 Results Summary

Net income amounted to $16.6 million, or $0.41 per diluted share, for the three months ended December 31, 2021, compared to $35.8 million, or $0.71 per diluted share, for the three months ended December 31, 2020.

Adjusted net income amounted to $13.5 million, or $0.34 per diluted share, for the three months ended December 31, 2021, compared to adjusted net income of $35.3 million, or $0.70 per diluted share, for the three months ended December 31, 2020, Net income for the three months ended December 31, 2021, is adjusted to exclude an unrealized gain on derivative instruments of $3.1 million   Please refer to the reconciliation of net income to adjusted net income, which appears later in this press release.

The $21.8 million decrease in adjusted net income for the three months ended December 31, 2021, compared to the three months ended December 31, 2020, is primarily attributable to a decrease of $19.9 million in revenues; increases of $1.3 million in interest and finance costs, $0.5 million in charter hire expenses, $0.4 million in general and administrative costs, a $1.1 million unfavorable change in other gains/(loss), and a $0.1 million unfavorable change in realized loss on derivatives; partially offset by decreases of $1.0 million in vessel operating expenses and $0.4 million in depreciation and amortization.

The TCE rate for our fleet was $33,508 for the three months ended December 31, 2021, a 20.8% decrease from a TCE rate of $42,298 for the same period in the prior year, which was primarily due to higher bunker prices along with reduced spot rates   Total fleet utilization (including the utilization of our vessels deployed in the Helios Pool) increased from 96.2% during the three months ended December 31, 2020, to 98.5% during the three months ended December 31, 2021.

Vessel operating expenses per day decreased to $9,423 for the three months ended December 31, 2021, compared to $9,487 in the same period in the prior year.

NOTE: This is NOT the complete release, but a summary.  Visit Dorian LPG Ltd.’s website for full details.

SOURCE: Dorian LPG Ltd. via PRNewswire