Scorpio Tankers Inc. · NYSE:STNG
Scorpio Tankers — Q4 2024 Earnings Presentation
27 slides from Scorpio Tankers's earnings presentation, Feb 13, 2025
Slide 1: Fourth Quarter 2024 Earnings Presentation
Scorpio Tankers Inc. Fourth Quarter 2024 Earnings Presentation February 13, 2025
Slide 2: Disclaimer and Forward-looking Statements
Disclaimer and Forward-looking Statements This presentation includes “forward-looking statements” within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect Scorpio Tankers Inc.’s (“Scorpio’s”) curr
Slide 3: Q4 2024 Call Agenda
Q4 2024 Call Agenda 1. Q4 2024 Highlights 2. Product Tanker Market 3. Financial Highlights 4. Conclusion 5. Q&A
Slide 4: Q4 2024 Highlights
Q4 2024 Highlights 4
Slide 5: Financial Highlights
Financial Highlights Financial Results Quarterly TCE Rates (Includes Vessels on Time Charter) • Adj EBITDA of $105.1 million (1) $USD per day Q4-24 • Adj net income of $30.3 million or $0.65 basic and $0.63 diluted earnings per share (1) Significant Debt Reduction $27,006 • From Dec 31, 2023 through
Slide 6: Product Tanker Market
Product Tanker Market 6
Slide 7: Short Term Market Update
Short Term Market Update Monthly MR & LR2 Spot Rates(1) Refinery Maintenance (Capacity Offline) (2) Million barrels per day LR2 Eco Middle East to Japan Million barrels per day Asia Pacific North America Europe Latin America FSU Middle East Africa $100,000 15 11.9 12 10.9 10.7 $90,000 8.9 8.6 9 8.0
Slide 8: Refined Product Demand & Seaborne Exports Remains Strong
Refined Product Demand & Seaborne Exports Remains Strong Global Refined Product Demand (1) Seaborne Refined Product Exports (2) Million barrels per day Diesel Gasoline Jet Naphtha Fuel Oil Million barrels per day Previous 5Y Range 2025 YTD CPP Exports Previous 5Y AVG 90.0 22.0 81.4 81.4 79.6 80.0 79
Slide 9: Refinery Changes Drive Global Trade Flows & Ton Miles
Refinery Changes Drive Global Trade Flows & Ton Miles Ton Mile Demand Since 2019 (1) Announced Refinery Additions / (Closures) (2) Index = 100, Base January 2019 Million barrels per day Ton Mile Demand (Excl. Russia) Ton Mile Demand (Incl. Russia) Africa Asia Pacific Europe FSU Latin America Middle
Slide 10: Limited Change in Red Sea Flows After Ceasefire Announcement
Limited Change in Red Sea Flows After Ceasefire Announcement Product Tankers Vessels Transiting Suez Canal (1) Middle East Refinery Capacity & Trade Routes (1)(2) Million barrels per day 3.5 3.3 2.9 3.0 3.0 2.8 2.8 2.7 2.6 2.6 Suez Canal 2.5 2.5 3.7 mb/d (2024 Average) 2.5 2.3 Crude & Refined Produc
Slide 11: US Tariffs & Trade Implications
US Tariffs & Trade Implications Crude & Refined Product Trade between US, Canada and Mexico (1)(2) US Seaborne Refined Product Exports by Region (2) Thousand barrels per day Thousand barrels per day 6,000 1,000 833 5,330 800 570 571 5,000 600 4,500 260 381 375 400 500 4,000 200 109 63 3,500 450 0 Ca
Slide 12: OFAC Sanctions Could Impact Russian & Iranian Flows
OFAC Sanctions Could Impact Russian & Iranian Flows Proportion of OFAC Sanctioned Crude & Tankers (1)(2) Russian Crude Oil Exports (2) % of total fleet dwt China India % of Russian Exports to China/India (RHS) 18.0% 4.0 80% 70% 16.0% 15.6% 3.0 60% 50% 14.0% 2.0 40% 30% 1.0 20% 12.0% 11.1% 10% 10.8%
Slide 13: Russian Refined Product Exports Volumes & Fleet
Russian Refined Product Exports Volumes & Fleet Russian Refined Product Exports by Region (1) Product Tankers Loading Russian Refined Products Since 2024 (1) Million barrels per day Number of vessels Europe North America South America Middle East Africa Asia 600 2.0 489 500 36 1.8 64 400 1.6 1.6 1.6
Slide 14: Significant Tanker Fleet Expected to be Phased Out Amid Mild Fleet Growth
Significant Tanker Fleet Expected to be Phased Out Amid Mild Fleet Growth 2004 Built MR Voyages by Year & Age (1) Vessels At or Above 20 Years Old (2) Million barrels per year Non-Russian Russian Number of vessels HM MR LR1 LR2 20+ % of active fleet (RHS) 4.0 1400 35.0% 3.5 3.4 30.5% 3.2 1200 30.0%
Slide 15: Product Tanker Orderbook & Fleet Average Age
Product Tanker Orderbook & Fleet Average Age Orderbook as % of Fleet vs Avg Fleet Age Global Fleet Age Breakdown by 2027 (Including Newbuildings) Orderbook as % of fleet 30.0% 70% Scrap Candidates 60% 2007 25.0% 24.2% 23.9% 2008 20.5% 50% 20.0% 17.5% 2006 40% 2009 2005 2004 15.0% 13.9% 30% 2010 10.0
Slide 16: Seaborne Exports & Ton Mile Demand
Seaborne Exports & Ton Mile Demand Product Tanker Fleet Growth (1) Seaborne Ton Mile Demand & Exports Number of vessels Scenario 1 Scenario 2 Scenario 3 YoY change Seaborne Exports Growth Ton Mile Demand Growth 10.0% 8.1% 8.1% 6.9% 5.2% 4.8% 5.2% 5.0% 3.9% 4.8% 4.6% 4.1% 1.5% 3.6% 3.2% 3.0% 0.0% 2.7
Slide 17: Financial Highlights
Financial Highlights 17
Slide 18: Financial Highlights Over Last Four Quarters
Financial Highlights Financial Highlights Over Last Four Quarters (Q1-24 through Q4-24) $USD millions $1,400.00 $1,214 $1,200.00 $1,000.00 $842 $800.00 $740 $669 $600.00 $513 $400.00 $336 $200.00 $177 $84 $0.00 TCE Revenue Adj. EBITDA Net Income Adj. Net Income Gain on Asset Sales Debt Reduction Sha
Slide 19: Fortress Balance Sheet
Fortress Balance Sheet Cash & Liquidity (1) Net Debt $USD millions Cash & Cash Equivalents as of Feb 11, 2025 $1 Billion Credit Facility – Revolver Availability $USD millions Gross Debt Outstanding Cash & Cash Equivalents Feb 2025 Revolving Credit Facility (2) $1,500 $2,933 $1,319 $1,200 $500 $500 $
Slide 20: Optimizing Balance Sheet through Lower Leverage & Cost of Debt
Optimizing Balance Sheet through Lower Leverage & Cost of Debt Outstanding Indebtedness by Type Debt Repayment from December 31, 2021, through March 31, 2025 $USD millions $USD millions Lease Financing Bank Facilities Unsecured Notes Issusance of Unsecured Senior Notes $3,500 $3,500 $3,164 $3,164 $3
Slide 21: Debt Repayment & Drydock Schedule
Debt Repayment & Drydock Schedule Debt Repayment Schedule Completed & Estimated Drydock Schedule $USD millions Number of vessels LR2 MR HM Payments made through Feburary 11, 2025 Scheduled repayments Unsecured Notes $100.0 20 $89.1 17 17 15 $70.6 $50.0 10 9 8 7 7 5 5 4 $14.6 $14.6 $14.7 $7.9 $14.6 $
Slide 22: Significant Operating Leverage & Earnings Potential
Significant Operating Leverage & Earnings Potential Company Fleet TCE Rates Potential Annual Cash Flow Generation After Debt Repayment (1) $USD per day $USD millions $45,679 $44,222 $39,660 $38,813 $1,716 $37,500 $36,006 $32,949 $32,154 $1,355 $28,313 $28,488 $34.4/Share $23,900 $21,978 $994 $27.1/S
Slide 23: Conclusion
Conclusion 23
Slide 24: Investment Highlights
Investment Highlights Company • One of the largest product tanker fleets in the world • 99 Eco (fuel-efficient) vessels on the water • Fully delivered fleet with an average age of 8.9 years New Slide • No newbuildings on order = $0 newbuild capex • Significant Operating Leverage • A $10,000/day incr
Slide 25: Time-Chartered Out Vessels
Time-Chartered Out Vessels Vessel Vessel Class Term Average Rate ($/day) Commencement Date STI Memphis MR Three Years $21,000 June-22 STI Miracle MR Three Years $21,000 August-22 STI Magnetic MR Three Years $23,000 July-22 STI Marshall MR Three Years $23,000 July-22 STI Duchessa MR Three Years $25,0
Slide 26: Q&A
Q&A 26
Slide 27: www.scorpiotankers.com
www.scorpiotankers.com