Euronav Q1: Solid Earnings, Counter Seasonal Strength & More

Euronav NV EURN reported that first-quarter FY23 revenue improved by almost 200% year-over-year to $339.9 million, beating the consensus of $313.64 million. Total shipping income was $366.71 million.
EPS improved to $0.87 from a loss of $(0.21), beating the consensus of $0.72.
EBITDA was $258.23 million (+506% Y/Y), and the margin expanded to 76.1% from 37.3% in 1Q22.
Total operating expenses expanded to $164.48 million from $149.44 million a year ago.
EURN's net cash from operating activities for Q1 totaled $203.08 million, compared to cash used of $(44.21) million in 1Q22.
Hugo De Stoop, CEO of Euronav commented: "The counter seasonal strength recorded in Q1 underpins our view that strong and durable drivers are in place to continue a multi-year upcycle in large crude tanker freight markets. Our confidence is reflected in our returns to shareholders. The combination of our final 2022 dividend and the dividend related to Q1 means that USD 1.80 per share will be returned in Q2 2023."
Euronav had cash and equivalents of $209.25 million at the end of the quarter.
2Q23 to date spot rate: 62% fixed at $67 thousand per day for VLCC non-scrubber and 51% fixed at $62 thousand per day for Suezmax.
Price Action: EURN shares are trading higher by 4.45% at $16.42 on the last check Thursday.
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