Flex LNG publishes its 1Q20 financial results

Highlights:

• Revenues of US$38.2 million for 1Q20, compared to US$52.0 million for 4Q19.
• Net loss of US$14.9 million and loss per share of US$0.27 for 1Q20, compared to a net income of US$23.9 million and earnings per share of US$0.44 for 4Q19.
• Average time charter equivalent (TCE) rate of US$67 740 per day for 1Q20, compared to US$94 000 per day for 4Q19.
• Adjusted EBITDA of US$27.8 million for 1Q20, compared to US$41.6 million for 4Q19.
• Adjusted net income of US$9.3 million for 1Q20, compared to US$22.0 million for 4Q19.
• Adjusted earnings per share of US$0.17 for 1Q20, compared to US$0.41 for 4Q19.
• In January 2020, a 12-month extension option was exercised under the time-charter agreement for Flex Enterprise, giving a firm period until the end of 1Q21.
• In February 2020, the company entered into a US$629 million financing with a syndicate of banks and the Export-Import Bank of Korea (KEXIM) for five of the new-builds scheduled for delivery in 2020.
• In May 2020, the company received firm commitments from a syndicate of banks for a US$125 million financing for the new-build Flex Volunteer, scheduled for delivery in 1Q21.
• In May 2020, the company received confirmation of credit approval from an Asian based leasing house for a US$156.4 million sale and leaseback transaction for the new-build Flex Amber based on a term sheet signed in early April 2020.
• On 25 March 2020 the company paid a cash dividend of US$0.10 per share for 4Q19.

Øystein M Kalleklev, CEO of Flex LNG Management AS, comments:

“The LNG market has been very challenging this year due to another mild winter and the global COVID-19 pandemic. We have witnessed unprecedented demand destruction due to shut-downs of all major economies and more specifically shut-ins of cargoes due to historically low gas prices. These factors have adversely affected the demand for shipping and thus consequently freight rate levels. Despite this turmoil, we have been able to run our ships without any disruptions and deliver cargoes to our customers safely and on time. Our in-house technical department and crew have been hands-on to ensure that we deliver the first class service level that is expected from Flex LNG even in these very challenging times.”

Read the article online at: https://www.lngindustry.com/liquid-natural-gas/29052020/flex-lng-publishes-its-1q20-financial-results/