Flex LNG Reports Strong Q2 Earnings Amid Market Challenges
Flex LNG reported strong second-quarter financial results, with $106.8 million in revenue and a net income of $44.9 million. The company's performance was driven by higher spot-market earnings and full contributions from new contracts. Average TCE (time-charter equivalent) reached $86,100 per day, marking one of the best quarterly performances since late 2021. Despite these positive results, management highlighted ongoing market risks such as softer spot rates, increased availability of modern LNG carriers, and geopolitical uncertainties like potential closure of the Strait of Hormuz through 2026. The company maintained its full-year guidance for revenue, TCE earnings, and adjusted EBITDA while declaring a $0.75 per share dividend — marking its 20th consecutive quarterly payout. Flex LNG also noted improved operating cash flow in Q2 compared to the first quarter, with strong liquidity at $397 million in cash on hand. The company continues managing interest expenses and maintaining an interest-rate hedge ratio of about 70% into next year.
Topics: contract_coverage dividend net_income revenue TCE_earnings