Dorian LPG announces Q2 2023 FY financial results
Dorian LPG Ltd. (the "Company," "Dorian LPG"), a leading owner and operator of modern very large gas carriers ("VLGCs"), today reported its financial results for the three months ended September 30, 2022.
Key recent developments
Declared an irregular cash dividend totaling $40.4 million to all shareholders of record as of November 7, 2022.
Exercised a two-year option during October 2022 on the time charter-in of Future Diamond through the first calendar quarter of 2025.
Extended the existing time charter on Corsair in October 2022 for a period of two years through the fourth calendar quarter of 2024.
Highlights for the Second Quarter Fiscal Year 2023
Revenues of $76.0 million.
Time Charter Equivalent ("TCE")(1) rate per operating day for our fleet of $40,632.
Net income of $20.3 million, or $0.51 earnings per diluted share ("EPS"), and adjusted net income(1) of $17.2 million, or $0.43 adjusted earnings per diluted share ("adjusted EPS").(1)
Adjusted EBITDA(1) of $46.2 million.
Paid cash dividend of $1.00 per share of our common stock to all shareholders of record as of the close of business on August 15, 2022.
Entered into a $240.0 million debt financing facility (the "2022 Debt Facility") to refinance indebtedness under the 2015 AR Facility, Concorde Japanese Financing, and Corvette Japanese Financing.
TCE, adjusted net income, adjusted EPS and adjusted EBITDA are non-U.S. GAAP measures. Refer to the reconciliation of revenues to TCE, net income to adjusted net income, EPS to adjusted EPS and net income to adjusted EBITDA included in this press release under the heading "Financial Information."
John C. Hadjipateras, Chairman, President and Chief Executive Officer of the Company, commented, "The second quarter's results were supported by a strong freight market and resulted in good cash generation. The most recent $1.00 dividend, declared on October 27, 2022, brings total cash returned to shareholders since our IPO to almost $500 million. Current geopolitical and economic uncertainty call for prudence. I believe that maintaining focus on our mission to provide safe, reliable, clean and trouble free transportation services to our clients, and on financial discipline, comprise the arsenal which enables us to retain flexibility in our commercial decisions and provide the best returns to our shareholders. As always, I acknowledge, with gratitude, the good work of Dorian's people working at sea and on shore".
Second Quarter Fiscal Year 2023 Results Summary
Net income amounted to $20.3 million, or $0.51 per diluted share, for the three months ended September 30, 2022, compared to $14.1 million, or $0.35 per diluted share, for the three months ended September 30, 2021.
Adjusted net income amounted to $17.2 million, or $0.43 per diluted share, for the three months ended September 30, 2022, compared to adjusted net income of $9.9 million, or $0.25 per diluted share, for the three months ended September 30, 2021. Adjusted net income for the three months ended September 30, 2022 is calculated by adjusting net income for the same period to exclude an unrealized gain on derivative instruments of $3.1 million. Please refer to the reconciliation of net income to adjusted net income, which appears later in this press release.
The $7.3 million increase in adjusted net income for the three months ended September 30, 2022, compared to the three months ended September 30, 2021, is primarily attributable to an increase of $12.9 million in revenues, decreases of $1.2 million in general and administrative expenses, $0.9 million in depreciation and amortization and $0.8 million in vessel operating expenses, and a $1.5 million favorable change in realized gain on derivatives, partially offset by increases of $6.4 million in interest and finance costs, $3.0 million in charter hire expenses, and a $1.0 million unfavorable change in other gain/(loss), net.