Brief: SFL Q2 Net Income USD 1.5 Million

SFL

19/08/2025 11:09

Overview

SFL Q2 net income of $1.5 mln beats analyst expectations, per LSEG data

Adjusted EBITDA of $104 mln misses analyst estimates, per LSEG data

Company says sold older vessels, increasing capital but reducing near-term cash flow

SFL lowers dividend to $0.20 per share, from $0.27 per share in Q1, reflecting cash flow changes

Outlook

Company sees market uncertainty impacting near-term results due to oil price volatility

SFL optimistic about future employment for legacy drilling rig Hercules

Company increasing capital for new investments by selling vessels

Result Drivers

FLEET RENEWAL - SFL sold and redelivered older vessels, increasing available capital but reducing near-term cash flow

CHARTER EXTENSIONS - Five-year time charter extension for three container vessels added $225 mln to backlog

DRILLING RIG CHALLENGES - Market uncertainty and oil price volatility delayed new employment opportunities for the Hercules rig

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 EPS
$0.01
Q2 Net Income
Beat
$1.50 mln
-$2.29 mln (2 Analysts)
Q2 Adjusted EBITDA
Miss
$104 mln
$110.30 mln (2 Analysts)
Q2 Dividend
$0.2


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the oil & gas transportation services peer group is "buy"

Wall Street's median 12-month price target for SFL Corporation Ltd is $11.40, about 19.9% above its August 18 closing price of $9.13

The stock recently traded at 100 times the next 12-month earnings vs. a P/E of 88 three months ago

Press Release: ID:nGNE2tc4wH

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)