Performance Shipping Inc. Secures Substantially Improved Terms and Extension of Existing Nordea Bank Facility
Performance Shipping Inc. a global shipping company specializing in the ownership of tanker vessels, announced that, through two of its wholly-owned subsidiaries, it has entered into a first supplemental agreement with Nordea Bank Abp NUF (“Nordea”), amending its existing secured loan facility dated August 4, 2023.
Pursuant to the amendment, the maturity of the facility has been extended to four years from the effective date of the supplemental agreement. In addition, the margin applicable to the facility has been reduced from 2.50% per annum to 1.60% per annum. The amendment relates solely to the terms of the existing facility and does not change the outstanding principal amount of the loan.
The facility remains secured and guaranteed by the Company.
Commenting on this agreement, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“We are pleased to further strengthen our financing profile through this favorable amendment with Nordea. The extended maturity, combined with the reduced borrowing margin, meaningfully enhances our financial flexibility while reducing our cost of capital. This transaction underscores the strength of our long-standing relationship with Nordea and its continued support and confidence in our business. With the extension of this facility’s maturity by two years, the Company now has no bank debt maturities scheduled prior to mid-2030, further reinforcing our strong balance sheet and enhancing our long-term liquidity profile.”
Performance Shipping Inc. Announces Approval of Amendments Making Its Bonds Senior Unsecured
“Performance Shipping” or the “Company”) announced that it has obtained approval to amend the terms of its 9.875% senior secured bonds (the “Bonds”), pursuant to the bond terms dated July 15, 2025, as amended (the “Bond Terms”).
The amendments to the Bond Terms will include, among other things, the release of the existing security, including the ship mortgages over the vessels P. Monterey and P. Sophia, so that the Bonds become senior unsecured obligations of the Company; the removal of the use of proceeds restrictions upon sale of a collateral vessel; and an increase of the minimum liquidity covenant from US$20.0 million to US$30.0 million. The Company agreed to pay a one-time amendment fee of 0.325% of the US$150.0 million nominal amount of the Bonds. The amendments to the Bond Terms will be documented by an amendment and restatement agreement to be entered into between the Company and the Bond Trustee.
Commenting on the amendments, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“We wish to thank our bondholders for their continued support. The approval of our bondholders will effectively change the structure of our Bonds from partly secured to unsecured. This change reflects the significant improvement in the credit quality of our Company in the 12 months since the inaugural issue of the Bonds.
“During that time, we added four vessels to our fleet with 3-to-7-year charter contracts, and sold our two oldest vessels. As a result, we increased the size of our fleet by two vessels, reduced the fleetwide average age to six years and doubled our contract backlog to almost half a billion US dollars. Through the three-year remaining term of the Bonds, the average daily charter rate required for our open uncontracted days to meet all our cash obligations ranges from zero through the end of 2027 to US$3,500 in 2028 and US$11,600 in 2029. Lastly, our robust cash balance combined with our unencumbered vessels bodes well for the refinancing of our obligations.”
Performance Shipping Inc. Reports Financial Results for the First Quarter Ended March 31, 2026
Performance Shipping Inc., a global shipping company specializing in the ownership of tanker vessels, reported net income of $10.2 million for the first quarter of 2026, compared to a net income of $29.4 million for the same period in 2025. Earnings per share, basic and diluted, for the first quarter of 2026 were $0.79 and $0.26, respectively. The net income for the first quarter of 2025 included a gain of $19.5 million resulting from the sale of the vessel P. Yanbu.
Revenue was $33.8 million ($31.8 million net of voyage expenses) for the first quarter of 2026, compared to $21.3 million ($19.2 million net of voyage expenses) for the same period in 2025. This increase was mainly attributable to the increase in ownership days following the delivery of the newbuilding vessels P. Massport, P. Tokyo and P. Marseille in July 2025, September 2025, and January 2026, respectively, and also of the secondhand Suezmax vessels P. Bel Air and P. Beverly Hills in December 2025, partly offset by the sale of the P. Yanbu in March 2025. Fleetwide, the average TCE rate for the first quarter of 2026 was $32,520, compared with an average rate of $30,843 for the same period in 2025. During the first quarter of 2026, net cash provided by operating activities was $23.0 million, compared with net cash provided by operating activities of $15.5 million for the first quarter of 2025.
Commenting on the results of the first quarter of 2026, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“The Company had a strong start to 2026, generating revenues of $33.8 million and net income of $10.2 million during the first quarter. Revenue increased by 59% period-over-period, driven by the expansion in the average fleet to approximately eleven high-specification tankers from seven vessels in the prior-year period, reflecting a more modern fleet profile and enhanced earnings capacity. The average daily TCE rate improved to $32,520, compared to $30,843 in the comparable prior-year period.
“Looking ahead, we expect the constructive tanker market environment, supported by elevated charter rates and ongoing trade flow inefficiencies driven by geopolitical developments, to continue underpinning earnings. With two of our vessels becoming available for employment later this year, the Company is well positioned to secure additional attractive charters under prevailing market conditions.
“As of the beginning of the 2026 second quarter, the Company had secured a revenue backlog of nearly half a billion dollars, with fixed charter coverage of approximately 90% for the remaining nine months of 2026 and 80% for full year 2027. The average remaining duration of the time charter portfolio increased to approximately three years, with long-term coverage of approximately 50% through 2030, providing strong cash flow visibility.
“By securing an average contracted time charter rate of approximately $31,700 per day, the Company has substantially covered daily cash expenses for 2026 and 2027, while maintaining a projected spot cash break-even gradually rising from zero to approximately $13,700 per day by 2030 based on management’s current estimates of future operating expenses. Even under historically weak market conditions, this level remains well-supported relative to Aframax tanker charter rate cycles over the past twenty years.
“The Company maintains a conservative balance sheet and no significant near-term debt maturities. This provides capacity to finance the newbuilding program through a balanced capital structure, including prudent secured debt financing. One LR1 newbuilding is scheduled for delivery in early 2027, followed by two Suezmax newbuildings in late 2028 and early 2029. All three vessels are employed on long-term time charter contracts commencing upon delivery, with contracted revenues covering approximately 92% of remaining construction costs.
“The Company’s liquidity position remains strong, with cash, cash equivalents and restricted cash of approximately $127 million as of quarter-end, representing a 1.6x increase compared to year-end 2025. Pro-forma for the previously announced sale of the Company’s two oldest vessels, the P. Aliki and the P. Sophia, total liquidity is expected to increase further to approximately $192 million.
“The Company remains focused on disciplined capital allocation, continued fleet renewal, and maintaining a resilient balance sheet to support the execution of its long-term growth strategy.”
Performance Shipping Inc. Announces Long-Term Time Charters for Two Suezmax Newbuilding Tankers Delivering in 2028 and 2029
Performance Shipping Inc. (NASDAQ: PSHG), (“we” or the “Company”), a global shipping company specializing in the ownership of tanker vessels, announced that it has entered into time charter agreements with Repsol Trading S.A. (“Repsol”) for its two previously announced 158,000 dwt Suezmax tanker newbuilding vessels (the “Vessels”) under construction in China, by China Shipbuilding Trading Co. Ltd. and Shanghai Waigaoqiao Shipbuilding Co. Ltd.
Under the agreements, the first vessel has been chartered for a period of seven (7) years (±30 days) at a daily hire rate of US$35,000, while the second vessel has been chartered for a period of five (5) years (±30 days) at a daily hire rate of US$36,850, payable monthly in advance. The Vessels are expected to be delivered from the shipyard to the Company in October 2028 and May 2029 and will commence their respective charters with Repsol upon their delivery.
Commenting on the agreements, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“Following the entry into our Suezmax tanker newbuilding contracts in early March, we are pleased to announce that we have now secured long-term employment for both vessels well in advance of their delivery. These agreements mark a further expansion of our relationship with Repsol Trading S.A., a major global energy company. The modern, fuel-efficient, and environmentally friendly specifications of these scrubber-fitted vessels contributed to securing long-term employment on attractive terms, reflecting both the positive fundamentals of the Suezmax market and confidence in our operational capabilities.
“Revenues secured from these charters will cover the majority of the vessels’ acquisition cost and add significant earnings visibility, increasing the Company’s total fleetwide contracted revenue to approximately US$471 million from US$317 million, based on the minimum duration of each charter and as of the beginning of April 2026. Our average contract duration is now 2.8 years and our contracted days are 89.5%, 76.9%, 68.6%, 56.4% and 46.8% for 2026, 2027, 2028, 2029 and 2030, respectively, thereby reducing the charter rate required to breakeven on our open days. Effectively all our modern vessels are now operating under long-term fixed charter rate contracts. This is coupled with our remaining vessels operating under shorter-term charters, two of which are scheduled for renewal this year in an extremely tight market for prompt tanker vessel capacity.”
Performance Shipping Inc. Reports Financial Results for the Fourth Quarter and Year Ended December 31, 2025
Performance Shipping Inc. (NASDAQ: PSHG) (“we” or the “Company”), a global shipping company specializing in the ownership of tanker vessels, reported net income of $7.6 million for the fourth quarter of 2025, compared to a net income of $9.7 million for the same period in 2024. Earnings per share, basic and diluted, for the fourth quarter of 2025 were $0.57 and $0.19, respectively.
Revenue was $26.2 million ($24.6 million net of voyage expenses) for the fourth quarter of 2025, compared to $21.7 million ($19.8 million net of voyage expenses) for the same period in 2024. This increase was mainly attributable to the increase in ownership days following the delivery of the newbuilding vessels P. Massport and P. Tokyo in July and September 2025, respectively. Fleetwide, the average TCE rate for the fourth quarter of 2025 was $32,221, compared with an average rate of $32,652 for the same period in 2024. During the fourth quarter of 2025, net cash provided by operating activities was $9.7 million, compared with net cash provided by operating activities of $12.1 million for the fourth quarter of 2024.
Net income for the year ended December 31, 2025, amounted to $50.0 million, compared to a net income of $43.7 million for the year ended December 31, 2024. Earnings per share, basic and diluted, for the year ended December 31, 2025, were $3.87 and $1.28, respectively, while earnings per common share, basic and diluted, for the year ended December 31, 2024 were $3.39 and $1.11, respectively.
Commenting on the results of the fourth quarter of 2025, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“Fiscal year 2025 represented another solid year for our Company. We generated revenues of $84.2 million, with a daily time charter equivalent (TCE) rate of $31,246, modestly below the strong results of 2024, when revenues reached $87.4 million and the TCE rate was $32,954. We nevertheless continued to deliver robust profitability, with net income rising to $50.0 million, supported in part by a gain from a vessel sale. These results demonstrate the strength of our operations and our ability to pursue opportunities in a profitable tanker market.
“Looking ahead, we believe 2026 is expected to be another firm year for the tanker market, supported by solid growth in seaborne trade of oil and refined petroleum products, increased exports from the Middle East and Latin America, firm Chinese demand, and continued trade sanctions. These market dynamics are expected to be sufficiently strong to absorb moderate fleet growth. As of the beginning of the year, we had a robust revenue backlog of approximately $350 million, with fixed charter coverage of approximately 88% for 2026 and 72% for 2027, providing significant cash flow visibility. Given the favorable charter rate environment, we are confident that the three vessels becoming available for employment later this year will secure attractive charter arrangements.
“At the same time, we continue to execute our fleet renewal and expansion strategy, enhancing both the commercial competitiveness and operational efficiency of our fleet. The delivery of our two 2019-built Suezmax tankers in December 2025, both operating under three-year charters at $36,500 per day, along with the delivery of our third LR2 Aframax newbuilding in January 2026 currently operating under a five-year charter at $31,000 per day, represent significant milestones for our strategy. Pro forma these additions and the opportunistic sale of our oldest vessel, M/T P. Sophia in mid-2026, our average fleet age will decline to nine years. The construction of our first LR1, expected to be delivered in early 2027, will further enhance our fleet quality. In addition, our recently signed shipbuilding contracts with China Shipbuilding Trading Co. Ltd. and Shanghai Waigaoqiao Shipbuilding Co. Ltd. for two 158,000 DWT Suezmax tankers will expand our presence in the Suezmax segment which we believe benefits from constructive medium and long-term market fundamentals, further supporting our long-term growth.
“Our balance sheet remains strong, supported by $49.3 million in cash, cash equivalents, and restricted cash as of year-end 2025. Following the successful completion of our bond tap issue in January 2026 and pro forma the expected gross proceeds from the M/T P. Sophia sale, our cash position is projected to increase to approximately $135 million. We remain committed to executing our fleet expansion strategy, while continuing to maintain prudent capital allocation and disciplined leverage management.”
Performance Shipping Inc. Announces Sale of 2009-Built Aframax Vessel M/T P. Sophia for US$35.65 Million
Performance Shipping Inc. (NASDAQ: PSHG), (“we” or the “Company”), a global shipping company specializing in the ownership of tanker vessels, announced that, through a separate wholly-owned subsidiary, it has signed a Memorandum of Agreement to sell its oldest vessel, the 2009-built, 105,071 dwt Aframax tanker vessel, M/T P. Sophia, to an unaffiliated third party for a gross sale price of US$35.65 million. The vessel is expected to be delivered to her new owners in mid-2026, subject to customary closing conditions.
The M/T P. Sophia currently serves as part of the collateral for the Company’s outstanding Nordic bond. The net proceeds from the sale will be applied in accordance with the terms of the bond agreement.
The Company acquired the M/T P. Sophia in the third quarter of 2022 for a gross purchase price of US$27,577,320.
Commenting on this sale, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“We are pleased to announce that we have capitalized on the continued strength in Aframax tanker values through the sale of the M/T P. Sophia for a gross price of US$35.65 million. While the outlook for the Aframax sector remains solid, we believe this transaction represents a timely and compelling opportunity for our Company, reflecting our disciplined and opportunistic approach in accordance with our fleet renewal strategy.
“As the oldest vessel currently in our fleet, the divestment of the M/T P. Sophia enhances our fleet profile by reducing the fleetwide average age, and further improving operational efficiency and commercial competitiveness. In addition, the Company will continue to operate the vessel through the expiration of the current US$43,000 per day charter, expected to conclude in or around late May 2026.
“This sale is expected to generate an approximate gain of US$8 million compared to the acquisition price paid three years ago and meaningfully strengthen our liquidity position.”
Performance Shipping Inc. Secures Three-Year Time Charter Contract for M/T P. Monterey at USD31,000 per day
Performance Shipping Inc. (NASDAQ: PSHG) (“we” or the “Company”), a global shipping company specializing in the ownership of tanker vessels, announced that, through a separate wholly-owned subsidiary, it has entered into a time charter contract with PBF Holding Company LLC, a subsidiary of PBF Energy Inc. (NYSE: PBF) (“PBF” or the “Charterer”) for its M/T P. Monterey (the “vessel”), a 105,525 dwt Aframax tanker built in 2011.
The gross charter rate will be US$31,000 per day for a period of three years +/- 30 days at the option of the Charterer. This charter is expected to commence in mid-February and will generate approximately US$33 million of gross revenue for the minimum duration of the charter.
Commenting on this charter, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“We are pleased to announce this new time charter arrangement, which further strengthens cash flow visibility and increases the Company’s fleetwide aggregate backlog to a record level of approximately US$349 million as of January 1, 2026. Securing three-year employment at a lucrative charter rate with a solid counterparty underscores the reliability of our services and our ability to build new relationships with energy companies. Overall, we remain focused on our well-defined employment strategy, emphasizing medium and long-term time charter contracts with staggered maturities that generate steady revenues and provide renewal opportunities. We believe that this conservative and disciplined approach will continue to support our ability to pursue attractive growth opportunities going forward.”
Performance Shipping Inc. Announces Naming and Delivery of M/T P. Marseille, the Third Vessel in its Newbuilding Program
Performance Shipping Inc. (NASDAQ: PSHG) (“we” or the “Company”), a global shipping company specializing in the ownership of tanker vessels, is pleased to announce the successful naming and delivery of the M/T P. Marseille, the third vessel in its current newbuilding program, constructed at Shanghai Waigaoqiao Shipbuilding Co. Ltd. (SWS) in the People’s Republic of China. The M/T P. Marseille, previously referred to as Hull H1597, is a 114,000 DWT LNG-ready Tier III product/crude oil tanker. The naming ceremony was held at the shipyard with Ms. Aliki Paliou serving as the vessel’s godmother. Upholding maritime tradition, she blessed the vessel and wished her crew safe and successful voyages.
This delivery follows the M/T P. Massport and M/T P. Tokyo and represents another important milestone in the Company’s fleet expansion and renewal strategy. As previously announced, all three newbuilding LR2 vessels have secured five-year time charter contracts with Clearlake Shipping Pte Ltd (the “Charterer”), a subsidiary of the Gunvor Group, one of the world’s largest independent commodities trading houses. Following delivery to the Company, the M/T P. Marseille was delivered to the Charterer and has commenced operations under its five-year time charter contract, with options for a sixth and seventh year at a base rate plus profit-sharing.
One LR1 chemical/product tanker remains under construction and is scheduled for delivery in early 2027.
Commenting on the vessel’s naming and delivery, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“With the delivery of this LR2 vessel, we have now successfully completed our three-LR2-vessel newbuilding program with Shanghai Waigaoqiao Shipbuilding, further advancing our strategy to expand and renew our fleet with younger, high-specification tonnage. The addition of this modern, fuel-efficient vessel enhances our operational efficiency and improves our environmental footprint.
“The vessel’s employment under a long-term fixed charter with Clearlake Shipping Pte Ltd, a first-class counterparty, provides secured revenues from delivery and reinforces the stability and visibility of our cash flows. We would like to thank Shanghai Waigaoqiao Shipbuilding for their professionalism, high-quality workmanship, and strong cooperation throughout the construction process, and we wish the M/T P. Marseille and her crew safe voyages and favorable conditions ahead.”
Performance Shipping Inc. Reports Financial Results for the Third Quarter and Nine Months Ended September 30, 2025
Performance Shipping Inc. (NASDAQ: PSHG) (“we” or the “Company”), a global shipping company specializing in the ownership of tanker vessels, reported net income of $3.9 million for the third quarter of 2025. This result is compared to a net income of $12.4 million for the same period in 2024. Earnings per share, basic and diluted, for the third quarter of 2025 were $0.28 and $0.10, respectively.
Revenue was $18.5 million ($17.5 million net of voyage expenses) for the third quarter of 2025, compared to $22.9 million ($22.1 million net of voyage expenses) for the same period in 2024. This decrease was attributable to the decrease in time-charter equivalent rates (“TCE rates”) realized during the quarter and to the decrease in the available days following the drydock of the vessel P. Aliki in August 2025. Fleetwide, the average TCE rate for the third quarter of 2025 was $29,460, compared with an average rate of $34,307 for the same period in 2024. During the third quarter of 2025, net cash provided by operating activities was $13.5 million, compared with net cash provided by operating activities of $16.1 million for the third quarter of 2024.
Net income for the nine months ended September 30, 2025, amounted to $42.4 million, compared to a net income of $34.0 million for the nine months ended September 30, 2024. Earnings per share, basic and diluted, for the nine months ended September 30, 2025, amounted to $3.30 and $1.09, respectively.
Commenting on the results of the third quarter of 2025, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“During the third quarter of 2025, tanker market conditions remained firm, supported by increased tonne-mile demand stemming from high global demand and ongoing geopolitical disruptions. Aframax spot rates averaged approximately $37,500 per day during the period, resulting in a favorable charter rate environment for our fleet. Our balanced fleet deployment strategy—combining spot exposure through one Aframax tanker operating under a pool arrangement and stable cash flows from our time-chartered vessels—generated a fleetwide average time-charter equivalent rate of $29,460 per day and total revenue of $18.5 million.
“Net income attributable to common stockholders was $3.5 million, compared with $12.0 million in the same period of 2024. The softer year-over-year performance primarily reflects higher financing and administrative expenses associated with our Nordic bond issuance and sale and lease-back transactions, as well as increased operating costs and reduced available revenue days resulting from the scheduled drydock of our Aframax tanker, M/T P. Aliki.
“In line with our fleet renewal and expansion strategy, we recently agreed to acquire two 2019-built, eco-design Suezmax tankers, scheduled for delivery in early 2026. Employment for these vessels has been secured under three-year time charters at US$36,500 per day, while our Aframax tanker, M/T P. Long Beach, was recently employed under a two-year time-charter at US$30,500 per day. These arrangements have strengthened our cashflow visibility, increasing our secured revenue backlog to US$330 million and raising our fixed charter coverage to 70% for 2026 and 57% for 2027. With an additional vessel becoming available for employment this quarter, we expect to secure attractive terms given the constructive market fundamentals and the strong seasonal winter period for Aframax tankers.
“The acquisition of the two Suezmax tankers marks a key milestone in our ongoing fleet growth and renewal strategy, by combining newbuilds and selective second-hand vessel purchases. This position captures future market opportunities through the operation of a younger, more competitive, and environmentally efficient fleet. In fact, since the end of last year, our operating fleet capacity in deadweight terms has increased by 75% when including the three vessels scheduled for delivery in January, and at the same time our fleet average age has declined from 13.6 to 9.2 years.
“Supported by the US$100 million Nordic bond issuance, our quarter-end cash position of US$212 million underscores our strong liquidity and conservative capital structure, providing significant flexibility to fund our ongoing expansion initiatives.”
Νέα χρονοναύλωση για την Performance Shipping
Η Performance Shipping Inc., συμφερόντων Αλίκης Παληού, ανακοίνωσε την υπογραφή διετούς χρονοναύλωσης με τη SeaRiver Maritime, θυγατρική της ExxonMobil Corporation, για το δεξαμενόπλοιο M/T P. Long Beach, χωρητικότητας 105.408 DWT (LR2 Aframax), ναυπηγημένο το 2013.
Το πλοίο θα ναυλωθεί για 24 μήνες, με ημερήσιο μικτό ναύλο 30.500 δολαρίων, ενώ η παράδοσή του στον ναυλωτή αναμένεται περί τα μέσα Δεκεμβρίου 2025. Η συμφωνία αυξάνει το βεβαιωμένο ανεκτέλεστο υπόλοιπο εσόδων της εταιρείας κατά 21,35 εκατ. δολάρια, ανεβάζοντάς το συνολικά σε περίπου 257 εκατ. δολάρια.
Ο CEO της εισηγμένης, Ανδρέας Μιχαλόπουλος, δήλωσε ότι η νέα ναύλωση «αντανακλά την ισχυρή συνεργασία με την ExxonMobil και την εμπιστοσύνη στην αξιοπιστία του στόλου μας», προσθέτοντας πως ενισχύει τη στρατηγική απασχόλησης και βελτιστοποιεί τις ταμειακές ροές της εταιρείας.