Bermuda-based shipowner SFL Corporation has reported a net income of $1.5 million for the second quarter of 2025 and has declared its 86th consecutive quarterly cash dividend, adjusting it to $0.20 per share. The company’s near-term financial results were impacted by a challenging market for its legacy drilling rig and reduced cash flow from recent vessel sales.
The company received charter hire of $194 million in the quarter, with approximately 87 per cent from shipping and thirteen per cent from energy assets. The adjusted EBITDA from consolidated subsidiaries was $104 million.
Ole B. Hjertaker, CEO of SFL Management, stated that the market for the drilling rig Hercules remains challenging, with recent market uncertainty delaying new employment opportunities. He also noted that the recent sale and redelivery of several vessels, while increasing available capital for new investments, has reduced near-term cash flow generation, leading the board to adjust the dividend.
On the positive side, the company signed a five-year time charter extension with Maersk for three 9,500TEU container vessels, adding approximately $225 million to its backlog from 2026 through 2031. SFL also completed the sale and redelivery of older dry bulk and container vessels for an aggregate amount of more than $200 million.