Himalaya Shipping Ltd.

Himalaya Shipping reported Q2 2026 net profit of $24.6 million, or $0.52 per share, versus $1.1 million, or $0.02 per share, in Q2 2025. Operating revenue was $53.7 million, up from $29.9 million year over year; operating profit was $36.7 million versus $13.6 million; and EBITDA was $44 million versus $20.9 million. TCE earnings averaged about $50,600 per day, compared with $28,400 per day in Q2 2025. Vessel operating expenses were $7.1 million, unchanged year over year, while interest expense was $12.4 million, down $0.4 million. Cash and cash equivalents were $34.8 million, sale-leaseback debt was about $688 million, and cash flow from operations was $34.2 million versus $8.3 million a year ago. The company declared total cash distributions of $0.59 per share for April, May and June; in subsequent events, it said July TCE was about $51,200 per day and declared a $0.22 cash distribution for July.

Lars-Christian Svensen emphasized that the company is benefiting from a strong Capesize/Newcastlemax market and from its commercial model, which keeps much of the fleet exposed to index-linked rates with conversion options. He highlighted the new premium charter deals for Mount Emai and Mount Aconcagua, plus June and August rate conversions, as evidence the company can lock in attractive rates when it sees value. His tone was constructive, saying the second half of the year “has more legs to go” and that it is too early to cover Q1 2027.

Vidar Hasund focused on the improvement in profitability and cash generation: net profit was $24.6 million, EPS was $0.52, EBITDA was $44 million, and operating cash flow was $34.2 million. He also pointed to disciplined costs, with vessel operating expenses at $7.1 million and average OpEx of $6,500 per day per vessel, while interest expense declined to $12.4 million due to lower average loan principal outstanding. He noted liquidity of $34.8 million versus a $12.3 million minimum cash requirement and said the sale-leaseback balance fell to about $688 million from about $694 million.

Analysts focused on how management is thinking about Q1 2027 coverage versus the stronger second half of 2026, especially with Simandou ramping up, coal trade recovering, and potential support from Brazil-related flows. Svensen said the market is now more balanced across quarters than in the past, but with the 2027 curve around $29,500 and Q1 at $25,500, he thinks it is too early to lock in Q1 and prefers to “ride it a little bit longer.” Another question addressed why secondhand asset prices have been flat despite a strong spot market; management said prices are flat at a high level, do not appear likely to fall soon, and could move higher if the second half performs as expected.