International Seaways, Inc. (NYSE:INSW) shares rose 2.26% on Monday after the tanker operator delivered second-quarter results comfortably ahead of Wall Street forecasts, supported by substantially stronger shipping rates and record profitability.
Adjusted earnings reached $5.91 per share, exceeding the analyst consensus estimate of $5.52 by $0.39.
Quarterly revenue surged to $467.29 million, well above the $401.77 million expected by analysts and 139% higher than the $195.64 million generated in the second quarter of 2025.
Higher spot rates drive record quarterly earnings
International Seaways reported net income of $295 million, equivalent to $5.91 per diluted share, representing a sharp increase from $62 million, or $1.25 per diluted share, in the comparable period last year.
The improvement was primarily driven by stronger time charter equivalent revenue, with spot earnings across the fleet increasing by an average of approximately $51,500 per day.
“We delivered the highest quarterly net income in our nearly ten-year history, complemented by a record dividend for the second consecutive quarter,” said Lois K. Zabrocky, President and CEO.
Adjusted EBITDA also reached an all-time high of $345 million, compared with $102 million during the second quarter of 2025, reflecting the significant earnings leverage provided by the stronger tanker market.
Crude and product tanker revenues surge
International Seaways recorded substantial growth across both of its principal operating segments.
The Crude Tankers division generated shipping revenue of $285 million, up sharply from $104 million in the prior-year quarter.
Meanwhile, Product Carriers contributed $182 million of revenue, almost double the $92 million reported a year earlier.
The broad-based improvement across the fleet helped International Seaways capitalise on favourable tanker market conditions and significantly expand both earnings and cash generation.
International Seaways declares record $5.05 dividend
Reflecting the strength of its second-quarter performance, the company declared its largest dividend to date.
International Seaways will distribute a quarterly dividend of $5.05 per share, with payment scheduled for September 24, 2026.
The latest payout marks the second consecutive quarter in which the company has announced a record dividend, reinforcing its strategy of returning excess cash to shareholders during periods of strong market conditions.
Fleet investment continues with four new LR1 vessels
Alongside its shareholder distributions, International Seaways is continuing to invest in expanding and modernising its fleet.
The company has contracted four additional LR1 newbuildings for a combined $244 million, with delivery of the vessels expected during 2028.
International Seaways remains well positioned to fund its investment programme, ending June with approximately $935 million of total liquidity.
That figure included $409 million in cash and short-term investments alongside $526 million of available capacity under undrawn revolving credit facilities.
The combination of an earnings beat, record profitability, strong tanker rates and the company’s largest-ever dividend supported the positive reaction in International Seaways (NYSE:INSW) shares following the second-quarter announcement.