Hafnia Limited · OSL:HAFNI
Hafnia — Q1 2025 Earnings Presentation
25 slides from Hafnia's earnings presentation, May 15, 2025
Slide 1: Hafnia Limited Investor Presentation Q1 2025
Hafnia Limited Investor Presentation Q1 2025
Slide 2: Disclaimer – Safe Harbour Message
DISCLAIMER – SAFE HARBOUR MESSAGE IMPORTANT: You must read the following before continuing. The following applies to this document, the oral presentation of the information in this document by Hafnia Limited (the "Company") or any person on behalf of the Company, and any question-and-answer session
Slide 3: Agenda
Agenda Q1 2025 Overview Industry Review & Outlook Financial Summary ESG & Strategic Projects Overview
Slide 4: Q1 2025 Key Highlights
Q1 2025 KEY HIGHLIGHTS TCE Income1 USD 218.8M Q1 2024 of USD 378.8M Commercial Pool & Bunker2 USD 7.9M Q1 2024 of USD 9.8M Adjusted EBITDA1 USD 125.1M Q1 2024 of USD 287.1M Net Profit USD 63.2M (USD 0.13 per share3) Q1 2024 of USD 219.6M (USD 0.43 per share) Dividends USD 50.6M (80% of net profit) U
Slide 5: Unparalleled Investment Opportunity
UNPARALLELED INVESTMENT OPPORTUNITY Fully integrated shipping platform with 100% alignment of interests and no fee leakage # Vessels Owned1 / ACTIVE MANAGEMENT SHAREHOLDER VALUE Chartered-in Proactively assessing the market for Consistent dividend payout since IPO. Paid opportunities that create str
Slide 6: Delivering Strong Shareholder Returns
DELIVERING STRONG SHAREHOLDER RETURNS Leveraging a strategic mix of cash dividends and share buybacks to maximize shareholder returns Hafnia Dividends and Share Buybacks USDm Including Net loan-to-value (LTV)1 Payout of net profit share buybacks 400 123% Above 40 % 50 % Including 90% share buybacks
Slide 7: Agenda
Agenda Q1 2025 Overview Industry Review & Outlook Financial Summary ESG & Strategic Projects Overview
Slide 8: Product Tanker Recovery in 2025
PRODUCT TANKER RECOVERY IN 2025 CPP on Water vs Average Daily Loadings Historical Tonne-Days vs MR & LR1 Earnings m barrels m barrels/day m tonne-days USD/day 460 25 70 60,000 455 Sentiment Fundamental -4% 68 50,000 66 438 440 64 Fundamental 24 40,000 62 420 60 30,000 58 23 20,000 56 400 Sentiment 5
Slide 9: Higher Cargo Volumes but Lowered Tonne-Miles
HIGHER CARGO VOLUMES BUT LOWERED TONNE-MILES CPPs and Chemicals Dirty Petroleum Products m barrels/day b tonne-miles/day m barrels.day b tonne-miles/day 25 10.8 11 60 10.3 33.1 34 10.0 32.7 32.7 32.2 10 31.9 24 32 9.3 55 30.5 9.1 9.0 9 54.3 29.2 30 8.6 8.5 23 23.2 52.6 23.0 27.5 22.8 22.9 51.4 51.3
Slide 10: Evolving Trade Patterns Impact Voyage Lengths
EVOLVING TRADE PATTERNS IMPACT VOYAGE LENGTHS Laden & Ballast Voyage Lengths Clean and Dirty Tonnage Supply* nautical-mile nautical –mile m dwt m dwt 4,200 1,900 170 520 4,137 168 510 4,100 1,800 166 500 4,000 164 490 -10% -0.6% 1,700 162 480 3,900 160 470 3,800 - 1,600 158 460 -10% 3,700 156 450 3,
Slide 11: Impact of Sanctions on Tonne-Miles
IMPACT OF SANCTIONS ON TONNE-MILES Sanctioned Fleet vs 2025 Newbuilds Ton-Mile Depletion – Sanctioned Fleet in % World Fleet # Vessels % 160 6% 145 2025 Newbuild DWT Handy - VLCC 140 5% 4.76% +2.68% 4.16% 120 4% 100 91 84 3% 2.48% 80 75 2.15% 68 66 2% 60 54 1% 40 23 24 24 18 0% 20 Feb Jan Mar Apr Se
Slide 12: Sanctioned Fleet to Limit Overall Supply
SANCTIONED FLEET TO LIMIT OVERALL SUPPLY Handy – VLCC Dark Trade Count 2025 Sanctioned Fleet Age Profile vs 2025 Newbuilds (Russian non-OFAC listed trading) m dwt # Vessels # Age 30 200 Non-Sanctioned Dark Fleet 410 vessels 22 25 20 150 20 18 15 100 16 10 14 50 5 12 0 0 10 VLCC+ Afra/LR2 Suezmax MR
Slide 13: Scrap and Aging Support Constructive Supply Outlook
SCRAP AND AGING SUPPORT CONSTRUCTIVE SUPPLY OUTLOOK Handy - VLCC # Mio DWT 100 167m DWT 90 89 80 70 60 97m DWT 50 87m DWT 40 34 35 30 34 29 27 20 16 26 26 24 11 10 0 2025 2026 2027 2028 2025 2026 2027 2028 2029 2030 2031 Orderbook Scrap & Ageing HDY MR LR1/PMAX LR2/Afra Suezmax VLCC • Known newbuild
Slide 14: Global Chinese Built Vessels
GLOBAL CHINESE BUILT VESSELS % of Existing Fleet Built in China Newbuild DWT Built in China % # DWT 40% 100.0 100% 37% 90.0 90% 35% 80.0 80% 72% 30% 28% 26% 26% 70.0 70% 25% 60.0 60% 22% 21% 20% 50.0 50% 40.0 40% 15% 65.1 28% 30.0 30% 10% 20.0 20% 5% 25.6 10.0 10% 0% 0.0 0% Panamax/LR1 Aframax/LR2 H
Slide 15: Agenda
Agenda Q1 2025 Overview Industry Review & Outlook Financial Summary ESG & Strategic Projects Overview
Slide 16: Q1 2025 Financial Summary
Q1 2025 FINANCIAL SUMMARY Income Statement Total Liquidity & Hedge Ratio Q1 2024 Q1 2025 USDm USDm Weighted average TCE income1 378.8 218.8 600 80% 311 ~499 hedged rate of 1.83% 500 Other operating income2 9.8 9.0 56.1% 60% 400 Vessel operating & technical management expenses (75.3) (73.3) 300 40% C
Slide 17: Robust Financial Strength and Cost Levels
ROBUST FINANCIAL STRENGTH AND COST LEVELS Strong balance sheet maintained despite market adjustment Deleveraging Journey Q1 2025 Peers1 Comparison USDm USDm USD/day Q1 2025 OPEX & G&A2 2,000 5,000 15,000 4,500 12,000 11,113 9,563 9,000 4,000 1,500 3,556 6,000 3,500 1,273 3,000 3,000 0 Hafnia Peers'
Slide 18: Operating Summary
OPERATING SUMMARY Q1 2025 saw average TCE of USD 22,992 per day; with average OPEX of USD 7,987 per day Q1 2025 Vessel Segment Breakdown Completed and Estimated Drydock Schedule5 16 Operating Spot TCE2 TCE2 Calendar days OPEX days1 (USD/day) (USD/day) (excl TC-in) (USD/day) 14 LR2 540 33,911 33,911
Slide 19: Earnings Scenarios and Fleet Coverage
EARNINGS SCENARIOS AND FLEET COVERAGE Product tanker fundamentals support positive 2025 earnings outlook Earnings Scenarios for Full Year 2025 USDm 750 ~560 500 Coverage1 as of May 1, 2025 Analysts’ ~320 Consensus3 250 Q2 2025 Q2 to Q4 2025 0 6 Covered Covered rates Covered Covered rates FY 2025 Adj
Slide 20: Agenda
Agenda Q1 2025 Overview Industry Review & Outlook Financial Summary ESG & Strategic Projects Overview
Slide 21: ESG Commitments and Targets
ESG COMMITMENTS AND TARGETS Environmental Social Governance 40% reduction Zero harm across our operations Zero compliance in our fleet’s carbon intensity by 2028 (compared to 2008 ✓ Lost Time Incident Frequency < 0.4 observation ✓ Total Recordable Case Frequency < 1.0 observation breaches levels) ✓
Slide 22: Hafnia Strategic Project Highlights
HAFNIA STRATEGIC PROJECT HIGHLIGHTS STRATEGIC PARTNERSHIPS DRIVING SUSTAINABLE GROWTH Seascale Energy Complexio ▪ Joint venture with Cargill to create a stronger bunker ▪ Co-founder of Complexio, a foundational AI, to advance data procurement entity, Seascale Energy. automation. ▪ Aims to deliver co
Slide 23: Market Leader with Unparalleled Scale
MARKET LEADER WITH UNPARALLELED SCALE MARKET LEADER OF PRODUCT AND CHEMICAL TANKERS SOLID FINANCIAL STRENGTH ▪ Industry-leading fleet of 116 owned ▪ Consistently high payout: Above 80% payout vessels ratio from dividends and share buybacks in 2024 ▪ Commercially managing a fleet of ~200 vessels acro
Slide 24: Experienced Management Team
EXPERIENCED MANAGEMENT TEAM Leveraging decades of maritime expertise to drive sustainable growth and enhance shareholder value Mikael Skov Perry Van Echtelt Søren Skibdal Winther Thomas Andersen CEO CFO VP, Commercial EVP, IR, Research & Performance Management ms@hafnia.com pve@hafnia.com ssw@hafnia
Slide 25: Thank you
Thank you www.hafnia.com