BW LPG falls as dividend, Q1 outlook disappoints

BW LPG

29/02/2024 10:06

** Shares in BW LPG  BWLPG.OL  fall as much as 9% after the
Oslo-listed liquefied petroleum gas shipper's dividend and
outlook disappointed 
    ** Its dividend of 90 cents per share (run-rate dividend
yield of close to 28%) came in far below consensus expectations
of $1.20
    ** "Following the changes in dividend policy from Q3, the
dividend payout ratio ended at a disappointing 76% of our
adjusted EPS," DNB Markets says
    ** BWLPG's Q4 adjusted EBITDA of $232.6 million was below
DNB estimate of $235.9 million, and its adjusted net profit of
$154.2 million was also 11% less than DNB estimate of $172.9
million
    ** Outlook for Q1 also came short of consensus and SEB's
estimates, given extreme volatility in spot freight rates
    ** BW LPG has booked 82% of Q1 days at $55,000/d
    ** Using current rates and adjusting for positive IFRS
impact, SEB thinks Q1 EBITDA will be in the $140-$150 million
range, which compares with consensus at $211 million
    ** BW LPG shares down 19.70% year-to-date


 (Reporting by Elviira Luoma)
 ((elviira.luoma@thomsonreuters.com))