TORM (One-pager): 5% quarterly dividend yield but with guidance reduction as product tanker rates ease
Read the latest TORM One-pager update following the Q3 2024 results. The One-pager includes a brief description of TORM, an update to the product tanker market, latest financials, valuation perspectives relative to a peer group, and outlines several key investment risks and key investment reasons.
TORM reduced its full year 2024 guidance in connection with its Q3 2024 results, as the product tanker market softened over the summer, and the anticipated rebound has thus far not materialized as many analysts and market participants anticipated. The new guidance is for a TCE income of USD 1,110-1,160m and EBITDA of USD 810-860m (previously TCE income of USDm 1,150-1,350, and EBITDA of USDm 850-1,050).
However, with relatively transparent rates TORM demonstrated continued operating results compared to its peer group and continued returning capital to shareholders via an interim dividend of USD 1.20/share. The interim dividend yield was around 5% at the time of the report.
To learn more about TORM, its outlook for the rest of 2024, and beyond, read the full One-pager or catch up on the latest Q3 2024 earnings presentation with TORM CFO Kim Balle (in Danish).
Link: https://www.inderes.dk/videos/torm-praesentation-af-regnskabet-for-q3-2024
Disclaimer: HC Andersen Capital receives payment from TORM for a DigitalIR/corporate visibility subscription agreement. / Philip Coombes 16:08 12/11/2024, updated 09:07 14.11.2024
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Torm
TORM is a leading international owner and operator of product tankers, transporting refined oil products. TORM is listed on Nasdaq Copenhagen and on the Nasdaq US, with a wholly owned fleet of approx. 90 vessels (mostly scrubber-fitted), spanning all large product tanker vessel segments with a focus on LR2, LR1, and MR. TORM has a majority shareholder in Oaktree Capital Management (55%). TORM engages in vessel trading to ensure fleet renewal and pursue secondary market opportunities that are accretive to NAV.
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