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Hamilton, Bermuda - January 17, 2024
DHT Holdings, Inc. (NYSE:DHT) ("DHT" or the "Company") today provides the following business update:
The Company estimates its P&L break-even level for the fleet on average for 2024 to be $27,500 per day, the threshold for net income, and for when dividends are paid.
The Company has improved its estimated cash break-even levels for the fleet for 2024 to $18,600 per day for the fleet as a whole, and to $13,800 per day for the fleet trading in the spot market. This improvement has been achieved by utilizing the liquidity from our lowest cost debt in the ING revolving credit facility to pre-pay the scheduled installments for 2024 under the Nordea credit facility. Our cash break-even levels include all true cash costs: ordinary debt repayment, cash interest, operating expenses, general & administrative expenses, and maintenance capital expenditure.
The Company is committed to paying 100% of ordinary net income in quarterly cash dividends to shareholders. It estimates discretionary cash flow after dividends to be about $76 million for 2024, cash flow that can be applied to investments in the fleet, or to general corporate purposes.
President & CEO, Svein Moxnes Harfjeld stated: "We have a constructive view of the market supported by growth in oil demand, expansion of transportation distances and very limited supply of new ships into a rapidly aging global fleet. We always seek to reward our shareholders, operate with high governance standards, and execute what we believe to be an appropriate strategy tailored to our market. The whole DHT team is focused on premium revenue generation, maintaining a competitive cost structure, a solid balance sheet and a clear capital allocation policy."
About DHT Holdings, Inc.
DHT is an independent crude oil tanker company. Our fleet trades internationally and consists of crude oil tankers in the VLCC segment. We operate through our integrated management companies in Monaco, Norway, Singapore, and India. You may recognize us by our renowned business approach as an experienced organization with focus on first rate operations and customer service; our quality ships; our prudent capital structure that promotes staying power through the business cycles; our combination of market exposure and fixed income contracts for our fleet; our counter cyclical philosophy with respect to investments, employment of our fleet, and capital allocation; and our transparent corporate structure maintaining a high level of integrity and good governance. For further information please visit www.dhtankers.com.
DHT Holdings, Inc. press release
