SB-PC — Safe Bulkers, Inc.

Summary of Safe Bulkers Q2 2026 Earnings Call

1. Key Financial Results and Metrics

• Adjusted EBITDA: $50.3 million, up from $25.5 million in Q2 2025.
• Adjusted Earnings Per Share (EPS): $0.28, compared to $0.01 in Q2 2025.
• Average Time Charter Equivalent (TCE): $20,642 for Q2 2026, up from $14,875 in Q2 2025.
• Average Daily Vessel Operating Expenses: Decreased to $6,207 from $6,607 in Q2 2025.
• Dividend: Increased to $0.075 per share, marking the 19th consecutive quarterly dividend.
• Revenue: $169 million for the first half of 2026.

2. Strategic Updates and Business Highlights

• The company continues to focus on fleet renewal, with a total of 24 Phase 3 vessels on order, including two dual-fuel new builds scheduled for delivery in Q1 2027.
• The average fleet age is 10.3 years, which is younger than the global average of 12.5 years.
• Safe Bulkers has maintained a conservative leverage ratio of 30% and has significant liquidity of approximately $343 million.
• The company has successfully completed audits related to operational excellence and has achieved a 22% reduction in fleet carbon intensity.

3. Forward Guidance and Outlook

• The global dry bulk demand is expected to grow by about 3% in 2026, with specific commodity forecasts indicating potential growth in iron ore and grains, while coal shipments may decline.
• The company anticipates that the freight market will remain healthy, with favorable charter rates continuing into the second half of 2026.
• Safe Bulkers is positioned to capitalize on market opportunities due to its modern fleet and strategic investments.

4. Bad News, Challenges, or Points of Concern

• Increased Chinese inventories may soften import demand for iron ore in the latter half of 2026.
• Coal shipments are projected to decline, particularly thermal coal, which could impact overall dry bulk demand.
• The ongoing trade tensions between the U.S. and China pose a risk to global economic stability and could affect shipping volumes.
• The aging fleet segment (30% over 15 years old) may lead to higher maintenance costs and operational challenges.

5. Notable Q&A Insights

• There were no questions from analysts during the Q&A session, indicating either a lack of immediate concerns or potential technical issues with the call.

Overall, Safe Bulkers reported strong financial performance in Q2 2026, supported by a robust charter market and strategic fleet management. However, the company faces potential headwinds from changing demand dynamics and geopolitical uncertainties.