Q2 2026 Imperial Petroleum Inc Earnings Call

September 10, 2026

Operator: Good day and thank you for standing by. Welcome to the Imperial Petroleum second quarter 2026 financial and operating results conference call and webcast. At this time, all participants are in listen only mode. Please be advised that today's conference is being recorded. I would now like to hand the conference over to our first speaker today, Mr. Harry Vafias, CEO. Please go ahead.

Harry Vafias: Good day and thank you for standing by. Welcome to the Imperial Petroleum Q2 2026 financial and operating results conference call and webcast. At this time, all participants are in listen-only mode. Please be advised that today's conference is being recorded. I would now like to hand the conference over to our first speaker today, Mr. Harry Vafias, CEO. Please go ahead.

Speaker #1: Please be advised that this conference is being recorded. I would now like to hand the conference over to our first speaker today, Mr. Harry Vathia, CEO.

Speaker #1: Please go ahead.

Speaker #2: Good morning, everyone, and thank you all for joining us for our Q2 and six-month 2026 conference call of Imperial Petroleum. I'm Harry Vathia, the CEO of the company, and joining me on the call today is Ms. Székelári, who will be discussing our financial performance.

Harry Vafias: Good morning, everyone, and thank you all for joining us for our Q2 and 6 months 2026 conference call of Imperial Petroleum. I am Harry Vafias, the CEO of the company, and joining me on the call today is Ms. Sakellariou, who will be discussing our financial performance. Before we commence our discussion, we would like you all to read the safe harbor disclaimer on slide 2. In short, today's presentation includes forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements reflect Imperial Petroleum's current expectations and beliefs. However, they are naturally subject to risks and uncertainties, meaning our actual future results could differ materially from what we discuss today. We would also like to clarify that all monetary values referenced on the call are USD, except where explicitly noted. On slide 3, we summarize our key operational and financial highlights for Q2.

Harry Vafias: Good morning, everyone, and thank you all for joining us for our Q2 and six months 2026 conference call of Imperial Petroleum. I am Harry Vafias, the CEO of the company, and joining me on the call today is Ms. Sakellari, who will be discussing our financial performance. Before we commence our discussion, we would like you all to read the safe harbor disclaimer on slide two. In short, today's presentation includes forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements reflect Imperial Petroleum's current expectations and beliefs. However, they are naturally subject to risks and uncertainties, meaning our actual future results could differ materially from what we discuss today. We would also like to clarify that all monetary values referenced on the call are US dollars, except where explicitly noted. On slide three, we summarize our key operational and financial highlights for Q2.

Speaker #2: Before we commence our discussion, I would like you all to read the Safe Harbor Disclaimer on slide 2. In short, today's presentation includes forward-looking statements under the Private Securities Litigation Reform Act.

Speaker #2: The statements reflect Imperial Petroleum's current expectations and beliefs. However, they are naturally subject to risks and uncertainties, meaning our actual future results could differ materially from what we discussed today.

Speaker #2: We would also like to clarify that all monetary values referenced on the call are in US dollars, except where explicitly noted. On slide 3, we summarize the key operational and financial highlights for Q2.

Speaker #2: The second quarter of 2026 was yet another milestone for our company. Characterized by record financial results in terms of revenue, strategic fleet optimization, and a commitment to a commercial strategy that continues to drive company value.

Harry Vafias: The second quarter of 2026 was yet another milestone for our company, characterized by record financial results in terms of revenue, strategic fleet optimization, and a commitment to a commercial strategy that continues to drive company value. Indeed, we are extremely pleased to report an all-time high quarterly revenue of $87.1 million for Q2, representing a remarkable 41.2% sequential growth from Q1 2026 and an impressive 140% increase year over year. This revenue improvement, brought upon our vigorous fleet expansion, along with strong markets for both tankers and bulkers, fueled the second-best quarterly net income in our history of $34.8 million, up 172% compared to Q2 2025. Furthermore, our performance for the first 6 months of 2026 has been exceptional.

Speaker #2: Indeed, we are extremely pleased to report an all-time high quarterly revenue of $87.1 million for Q2, representing a remarkable 41.2% sequential growth from Q1 2026 and an impressive 140% increase year over year.

Speaker #2: This revenue improvement brought upon our vigorous fleet tankers and bulkers, fueled the second-best quarterly net income in our history, up 34.88 million compared to Q2 2025.

Speaker #2: Furthermore, our performance for the first 6 months of 2026 has been exceptional. Net income for the 6 months reached $62.8 million, which already exceeds our total net profitability for the entire 12 months of 2025, i.e., $50 million.

Harry Vafias: Net income for the six months reached USD 62.8 million, which already exceeds our total net profitability for the entire 12 months of 2025, i.e., USD 50 million. In addition, our earnings per share for the six months is solid and about a quarter of our current share price. This profitability directly enhanced our liquidity, driving cash and cash deposits up to USD 245.2 million as of 30 June. However, our current cash base has increased further and is now around USD 260 million. We strive to utilize our fleet as efficiently as possible. Operational utilization for Q2 stood at 73.5%. While lower than previous quarters, this temporary utilization decline was a strategic choice. Technical off-hire accounted for 10.7% of the total fleet calendar days as we successfully managed a concentrated schedule of six dry dockings.

Harry Vafias: Net income for the six months reached $62.8 million, which already exceeds our total net profitability for the entire 12 months of 2025, i.e., $50 million. In addition, our earnings per share for the six months is solid and about a quarter of our current share price. This profitability directly enhanced our liquidity, driving cash and cash deposits up to $245.2 million as of 30 June 2026. However, our current cash base has increased further and is now around $260 million. We strive to utilize our fleet as efficiently as possible. Operational utilization for Q2 stood at 73.5%. While lower than previous quarters, this temporary utilization decline was a strategic choice. Technical off-hire accounted for 10.7% of the total fleet calendar days as we successfully managed a concentrated schedule of six dry dockings.

Speaker #2: In addition, our earnings per share for the 6 months is solid and about a quarter of our current share price. This profitability directly enhanced our liquidity, driving cash and cash deposits up to $245.2 million as of June 30.

Speaker #2: However, our current cash base has increased further and is now around $260 million. We strive to utilize our fleet as efficiently as possible. Operational utilization for the second quarter stood at 73.5%, which is lower than previous quarters.

Speaker #2: This temporary utilization decline was a strategic choice. Technical of higher accounted for 10.7% of the total fleet calendar days, as we successfully managed a concentrated schedule of 6 dry dockings.

Speaker #2: The completion of these dry dockings now ensures our fleet operates at maximum efficiency and safety moving forward. We have another seven dry dockings to complete up until the end of the year.

Harry Vafias: The completion of these dry dockings now ensures our fleet operates at maximum efficiency and safety moving forward. We have another seven dry dockings to complete up until the end of the year. Moreover, we have been also very active on fleet management from a commercial perspective. We continued on our already announced fleet expansion. On 3 April, we took delivery of the dry bulk carrier, the Aeco Crossfire. In the beginning of August, we completed the sale of the 2007-built tanker, Suez Enchanted, for a profit in excess of USD 30 million. Not bad for a nearly 20-year-old ship. In addition, on 21 August, we took delivery of the Handysize bulker Outrider. Our fleet now counts 21 vessels, and we have four additional vessels, three Handysize bulkers and one product tanker to be delivered until the end of the year.

Speaker #2: Moreover, we have been also very active on fleet management from a commercial perspective. We continue on our already announced fleet expansion. On April 3, we took delivery of the dry bulk carrier, the ACO Crossfire, in the beginning of August.

Speaker #2: We completed the sale of the 2007-built tanker, Suez Enchanted, for a profit in excess of $30 million, not bad for a nearly 20-year-old ship.

Speaker #2: And in addition, on August 21, we took delivery of the handy-sized bulker Outrider. Our fleet now counts 21 vessels, and we have 4 additional vessels, 3 handy-sized bulkers, and 1 product tanker to be delivered until the end of the year, thus in a short period of time we'll be operating a sizable fleet of 25 vessels.

Harry Vafias: Thus, in a short period of time, we will be operating a sizable fleet of 25 vessels. On slide 4, we are providing a summary of our current fleet deployment. About 57% of our fleet is currently under time charter. As customarily, the majority of our dry bulk vessels are on short time charters. The commercial strategy we currently follow for our dry bulk vessels provides healthy cash flow while minimizing idle time and voyage costs. Rates for the dry sector have been firm throughout Q2, allowing us to enjoy solid returns from our chartering strategy. In terms of tankers, we employ five product tankers and one Suezmax tanker in the spot market, while two of our product tankers are under time charter employment ranging from short to medium-term. On slide 5, we are discussing the evolution of market rates for both tankers and dry bulk vessels.

Speaker #2: On slide 4, we are providing a summary of our current fleet employment. About 57% of our fleet is currently under time charter, as customarily the majority of our dry bulk vessels are on short time charters.

Speaker #2: The commercial strategy we currently follow for our dry bulk vessels provides healthy cash flow while minimizing idle time and voyage costs. Rates for the dry sector have been firm throughout the second quarter, allowing us to enjoy solid returns from our chartering strategy.

Speaker #2: In terms of tankers, we employ 5 product tankers and 1 Suezmax tanker in the spot market, while 2 of our product tankers are under time charter employment, ranging from short to medium term.

Speaker #2: On slide 5, we are discussing the evolution of market rates for both tankers and dry bulk vessels. In Q2, market rates remain firm for both tankers and bulkers.

Harry Vafias: In Q2, market rates remained firm for both tankers and bulkers. Rates for MR tankers peaked in April and eased by the end of May as the Atlantic arbitrage window narrowed. Currently, MR rates are reasonably firm, fueled also by the ongoing geopolitical tension in the Middle East. Rates for Suezmaxes remained strong throughout the quarter, both globally and in the Middle East. We did witness a retreat of rates in May due to the peace negotiation attempts following the end of the ceasefire period in July and the Houthi embargo in Saudi Arabia, which disrupted trade in the Red Sea. Suezmax rates began to climb and have been, at times, in excess of USD 200,000 a day. In Q2 2026, the rates for the dry bulk ships were higher than Q2 2025 and Q1 2026.

Speaker #2: Rates for MR tankers peaked in April and eased by the end of May, as the Atlantic arbitrage window narrowed. Currently, MR rates are reasonably firm, fueled also by the ongoing geopolitical tension in the Middle East.

Speaker #2: Rates for Suezmaxes remained strong throughout the quarter, both globally and in the Middle East. We did witness a retreat of rates in May due to the peace negotiation attempts.

Speaker #2: Following the end of the ceasefire period in July and the Houthi embargo in Saudi Arabia, which disrupted trade in the Red Sea, Suezmax rates began to climb and have been at times in excess of $200,000 a day.

Speaker #2: In Q2 2026, the rates for dry bulk ships were higher than in Q2 2025 and Q1 2026. Longer haul voyages, partially due to the Strait of Hormuz disruption, along with improvement of fundamental data from China, increased profitability of steel mills, increased bauxite exports and imports from Ghana, and a rebound of coal trade boosted both freight rates and asset values.

Harry Vafias: Longer haul voyages, partially due to the Strait of Hormuz disruption, along with the improvement of fundamental data from China, profitability increase of steel mills, increased bauxite imports from Guinea, and rebound of coal trade boosted both freight rates and asset values. On slide 6, we are reviewing the tanker market. Q2 was firm for both Suezmaxes and product tankers. Both vessel types were affected throughout the second quarter by the geopolitical tensions in the Middle East. For Suezmax tankers, the partial reopening of the Strait of Hormuz in the beginning of the quarter brought more ships to the Middle East instead of the Atlantic. Following the end of the ceasefire period in July, we did witness a significant rise in US crude exports due to the very high SPR drawdowns.

Speaker #2: On slide 6, we are reviewing the tanker market. Q2 was firm for both Suezmaxes and product tankers. Both vessel types were affected throughout the second quarter by the geopolitical tensions in the Middle East.

Speaker #2: For Suezmax tankers, a partial reopening of the strait of Hormuz in the beginning of the quarter brought more ships to the Middle East instead of the Atlantic.

Speaker #2: Following the end of the ceasefire period in July, we did witness a significant rise in U.S. crude exports due to the very high SPR drawdowns.

Speaker #2: This was translated to an increased number of Atlantic to Asia voyages, which assisted to sustained tone miles and routes. For product tankers, lost output from the Middle East increased the U.S.

Harry Vafias: This was translated to an increased number of Atlantic to Asia voyages, which assisted to sustain ton-miles and routes. For product tankers, lost output from the Middle East increased the US Gulf Far East CPP cargoes. As an effect, Atlantic rates improved. We did witness a weaker activity east of Suez, as the regional refineries were in shortage of Middle East crude, hence had less CPP to export. Long-term prospects for both Suezmax and product tankers mostly depend on the Strait of Hormuz status. Should the Strait of Hormuz remain closed for prolonged periods, the markets will be short of cargoes and rates might suffer. In addition, Houthi attacks in the Red Sea have caused further structural changes in trade patterns.

Speaker #2: Gulf Faris CPP cargos. As an effect, Atlantic rates improved. We did witness a weaker activity east of Suez as the region refineries were in shortage of Middle East crude, hence had less CPP to export.

Speaker #2: Long-term prospects for both Suezmax and product tankers mostly depend on the strait of Hormuz status. Should the strait of Hormuz remain closed for prolonged periods, the markets will be short of cargos, and rates might suffer.

Speaker #2: In addition, very recent Houthi attacks in the Red Sea have caused further structural changes in trade patterns. A potential reopening of the strait of Hormuz will affect restocking volumes, which is anticipated to sustain a strong tanker market for a period in excess of 12 months.

Harry Vafias: A potential reopening of the Strait of Hormuz will affect restocking volumes, which is anticipated to sustain a strong tanker market for a period in excess of 12 months. In terms of tanker market fundamentals, total order book for Suezmax vessels stands at 30.8%, with 31% of the fleet above 20 years of age. For the MR tankers, total order book stands at 16%, while 26% of the fleet is above 20 years of age. As evident, we do have an aging fleet for both Suezmaxes and product tankers, but rate hikes in recent years have facilitated the operation of older tonnage instead of recycling. In addition, new orders for all sizes of tankers are being placed every single week. On slide 7, we are discussing the dry bulk market. Q2 was a strong quarter for the dry bulk sector.

Speaker #2: In terms of tanker market fundamentals, the total order book for Suezmax vessels stands at 30.8%, with 31.0% of the fleet above 20 years of age.

Speaker #2: For the MR tankers, the total orderbook stands at 16.0%, while 26.0% of the fleet is above 20 years of age. As evident, we do have an aging fleet for both Suezmaxes and product tankers, but rate hikes in recent years have facilitated the operation of older tonnage instead of recycling.

Speaker #2: In addition, new orders for all sizes of tankers are being placed every single week. On slide 7, we are discussing the dry bulk market.

Speaker #2: Q2 was a strong quarter for the dry bulk sector. Indeed, the BDI average for Q2 was close to 2,750, which is the best quarter since the fourth quarter of 2021.

Harry Vafias: Indeed, the BDI average for Q2 was close to 2,750, which is the best quarter since the fourth quarter of 2021. Overall, the dry bulk sector, unlike the tanker market, has remained rather insulated from the Middle East conflict but has greatly benefited from longer routings. At this point, we need to mention that Imperial Petroleum has one dry bulk vessel stranded in the Strait of Hormuz since the end of May 2026. Commodity fundamentals, although mixed, also support longer routes. Iron ore departures to China increased in Q2 by 3% year on year, driven mostly by a rise in portside inventories and weak domestic mining output. Guinean bauxite exports to China rose 12% year on year as the government imposed an export cap, which is close to 150 million tons.

Speaker #2: Overall, the dry bulk sector, unlike the tanker market, has remained rather insulated from the Middle East conflict, but has greatly benefited from longer routings.

Speaker #2: At this point, we need to mention that Imperial Petroleum has owned dry bulk vessels stranded in the Strait of Hormuz since the end of May 2026.

Speaker #2: Commodity fundamentals, although mixed, also support longer routes. Iron ore departures to China increased in Q2 by 3% year on year, driven mostly by rising port-side inventories and weak domestic mining output.

Speaker #2: Guinea and Bauxite exports to China rose 12% year on year, as the government imposed an export cap, which is close to $150 million tons.

Speaker #2: This will mostly affect long-term trade for Capesize vessels, and any replacement volume required will now be imported from shorter routes, which is a benefit for smaller dry bulk ships.

Harry Vafias: This will mostly affect long-term trade for Capesize vessels. Any replacement volume required were now imported from shorter routes, which is a benefit for smaller, dry bulk ships. Coal trade, especially thermal coal, marked a strong rebound in Q2. Thermal coal demand increased so as to compensate for the lost Middle East LNG supplies and was sustained against firmer demand stemming from India. Since April, Chinese coal demand rebounded ahead of the summer as news around El Niño added pressure on power demand. Smaller and mid-sized bulkers were supported by grains and minor bulk demand as Brazilian soybean exports were up 10% compared to 2025. Looking ahead, the Middle East conflict assists dry bulk vessels on longer-haul voyages and increased thermal coal trading. However, high oil prices and freights add pressure on commodity traders, thus creating trade risks.

Speaker #2: Coal trade, especially thermal coal, marked a strong rebound in Q2. Thermal coal demand increased so as to compensate for the lost Middle East LNG supplies and was sustained against firmer demand stemming from India.

Speaker #2: Since April, Chinese coal demand rebounded ahead of the summer, as news around El Niño added pressure on power demand. Smaller and mid-sized bulkers were supported by grains and minor bulk demand, as Brazilia soya bean exports were up 10% compared to 2025.

Speaker #2: Looking ahead, the Middle East conflict assists dry bulk vessels on longer-haul voyages and increased thermal coal trading; however, high oil prices and freights add pressure on commodity traders, thus creating trade risks.

Speaker #2: The current order book for the handy-sized dry bulk vessels is low, around $6.5%, with a 10% of the fleet above 20 years of age.

Harry Vafias: The current order book for the Handysize dry bulk vessels is low, around 6.5%, with 18% of the fleet above 20 years of age. Relatively low, at 12.8%, is also the order book for Panamax/Handysize vessels, with 20.5% of the fleet being above 20 years of age. I now pass the floor to Ms. Sakellariou to summarize our financial performance.

Speaker #2: A relatively low at $12.8% is also the order book for Panamax-Camsonmax vessels, with 20.5% of the fleet being above 20 years of age. I now pass the floor to Ms. Sakellari to summarize our financial performance.

Speaker #1: Thank you, Harriet. Good morning to all. In Q2 2026, Imperial Petroleum marked a record performance in terms of quarterly revenues and the second-best performance of all time in terms of profitability.

Ifigeneia Sakellariou: Thank you, Harry, and good morning to all. In Q2 2026, Imperial Petroleum marked a record performance in terms of quarterly revenues and the second-best performance of all times in terms of profitability. Geopolitical tensions around the globe persist, thus creating volatility in the shipping markets, affecting trading routes and freight rates. In Q2 2026, rates for both tankers and dry bulk carriers were strong, leading to a spike in our revenues. Looking at our income statement for Q2 2026 on slide eight, revenues came in at $87.1 million in Q2 2026, marking 140% increase compared to revenues generated in the same period of 2025. Indeed, our daily fleet revenue in Q2 2026 was in excess of $50,000 compared to $29,000 daily revenue in Q2 2025.

Ifigeneia Sakellari: Thank you, Harry, and good morning to all. In Q2 2026, Imperial Petroleum marked a record performance in terms of quarterly revenues and the second-best performance of all times in terms of profitability. Geopolitical tensions around the globe persist, thus creating volatility in the shipping markets, affecting trading routes and freight rates. In Q2 2026, rates for both tankers and dry bulk carriers were strong, leading to a spike in our revenues. Looking at our income statement for Q2 2026 on slide eight, revenues came in at $87.1 million in Q2 2026, marking 140% increase compared to revenues generated in the same period of 2025. Indeed, our daily fleet revenue in Q2 2026 was in excess of $50,000 compared to $29,000 daily revenue in Q2 2025.

Speaker #1: Geopolitical tensions around the globe persist, thus creating volatility in the shipping markets, affecting trading routes and freight rates. In Q2 2026, rates for both tankers and dry bulk carriers were strong, leading to a spike in our revenues.

Speaker #1: Looking at our income statement for Q2 2026 on slide 8, revenues came in at $87.1 million in Q2 2026, marking $140% increase compared to revenues generated in the same period of 2025.

Speaker #1: Indeed, our daily fleet revenue in Q2 2026 was in excess of $50,000, compared to $29,000 daily revenue in Q2 2025. This increase is mainly due to a noticeable increase in market rates for both products and Suezmax tankers, along with the increase of our fleet by an average of $6.9 vessels.

Ifigeneia Sakellariou: This increase is mainly due to a noticeable increase in market rates for both products and Suezmax tankers, along with an increase of our fleet by an average of 6.9 vessels. As at the end of Q2 2025, rates for product tankers were close to $29,000 per day, while daily rates for Suezmax tankers were close to $38,000. As at the end of Q2 2026, with ongoing geopolitical tensions in the Middle East and the Red Sea, daily rates for product tanker climbed to about $31,000, while daily rates for Suezmax tankers surged in excess of $145,000. Voyage costs amounted to $22.1 million, $14.4 million higher than in Q2 2025. This increase is attributed to higher number of spot days by about 58%, in conjunction with increased bunker prices.

Ifigeneia Sakellari: This increase is mainly due to a noticeable increase in market rates for both products and Suezmax tankers, along with an increase of our fleet by an average of 6.9 vessels. As at the end of Q2 2025, rates for product tankers were close to $29,000 per day, while daily rates for Suezmax tankers were close to $38,000. As at the end of Q2 2026, with ongoing geopolitical tensions in the Middle East and the Red Sea, daily rates for product tanker climbed to about $31,000, while daily rates for Suezmax tankers surged in excess of $145,000. Voyage costs amounted to $22.1 million, $14.4 million higher than in Q2 2025. This increase is attributed to higher number of spot days by about 58%, in conjunction with increased bunker prices.

Speaker #1: As at the end of Q2 2025, rates for product tankers were close to $29,000 per day, while daily rates for Suezmax tankers were close to $38,000.

Speaker #1: As at the end of Q2 2026, with ongoing geopolitical tensions in the Middle East and the Red Sea, daily rates for product tanker climbed to about $31,000, while daily rates for Suezmax tankers surged in excess of $145,000.

Speaker #1: Voyage costs amounted to $22.1 million, $14.4 million higher than in Q2 2025. This increase is attributed to higher number of spot days by about 58% in conjunction with increased banker prices.

Speaker #1: Indeed, the average Brent crude oil price per barrel for Q2 2026 was about $97, while for Q2 2025 the average Brent crude oil price per barrel was about $67.

Ifigeneia Sakellariou: Indeed, the average Brent crude oil price per barrel for Q2 2026 was about $97, while for Q2 2025, the average Brent crude oil price per barrel was about $67. In addition to this, in Q2 2026, we had somewhat increased ballasting activity, particularly for the vessels that underwent within the quarter the scheduled dry docking. Our net revenues for the quarter came in at about $65 million, marking 154% increase between the two periods. Running costs amounted to $14.4 million, increased by $6 million due to the increase of our fleet by an average of 6.9 vessels between the two periods. Dry docking costs were quite high in the order of $7.5 million. As in Q2 2026, we underwent six dry dockings. As we have already mentioned, we have another seven dry dockings to complete up until the end of 2026.

Ifigeneia Sakellari: Indeed, the average Brent crude oil price per barrel for Q2 2026 was about $97, while for Q2 2025, the average Brent crude oil price per barrel was about $67. In addition to this, in Q2 2026, we had somewhat increased ballasting activity, particularly for the vessels that underwent within the quarter the scheduled dry docking. Our net revenues for the quarter came in at about $65 million, marking 154% increase between the two periods. Running costs amounted to $14.4 million, increased by $6 million due to the increase of our fleet by an average of 6.9 vessels between the two periods. Dry docking costs were quite high in the order of $7.5 million. As in Q2 2026, we underwent six dry dockings. As we have already mentioned, we have another seven dry dockings to complete up until the end of 2026.

Speaker #1: In addition to this, in Q2 2026, we had somewhat increased ballasting activity, particularly for the vessels that underwent within the quarter the scheduled dry docking.

Speaker #1: Our net revenues for the quarter came in at about $65 million, marking $154% increase between the two periods. Running costs amounted to $14.4 million, increased by fleet by an average of $6.9 vessels between the two periods.

Speaker #1: Dry docking costs were quite high in the order of $7.5 million, as in Q2 2026 we underwent six dry dockings, as we have already mentioned, we have another seven dry dockings to complete up to the end of 2026.

Speaker #1: EBITDA for the second quarter of 2026 came in at $41.2 million, while net income at $34.8 million corresponding to a base in earnings per share of $0.75, versus $12.8 million corresponding to an EPS of $36 in Q2 2025.

Ifigeneia Sakellariou: EBITDA for the second quarter of 2026 came in at $41.2 million, while net income at $34.8 million, corresponding to a basic earnings per share of $0.75 versus $12.8 million corresponding to an EPS of $0.36 in Q2 2025. For six months 2026, net income came in at $62.8 million, corresponding to an EPS of $1.34 with EPS for the last 12 months being close to $2, which is an outstanding yield, especially when compared to our share price levels. Moving on to slide nine, let us take a look at our balance sheet for six months 2026. As of 30 June 2026, our free cash, including time deposits, was $245 million. Our cash to date is in the region of $260 million.

Ifigeneia Sakellari: EBITDA for the second quarter of 2026 came in at $41.2 million, while net income at $34.8 million, corresponding to a basic earnings per share of $0.75 versus $12.8 million corresponding to an EPS of $0.36 in Q2 2025. For six months 2026, net income came in at $62.8 million, corresponding to an EPS of $1.34 with EPS for the last 12 months being close to $2, which is an outstanding yield, especially when compared to our share price levels. Moving on to slide nine, let us take a look at our balance sheet for six months 2026. As of 30 June 2026, our free cash, including time deposits, was $245 million. Our cash to date is in the region of $260 million.

Speaker #1: For six months 2026, net income came in at $62.8 million, corresponding to an EPS of $1.34, with EPS for the last 12 months being close to $2, which is an outstanding yield, especially when compared to our share price levels.

Speaker #1: Moving on to slide 9, let us take a look at our balance sheet for six months 2026. As of June 30, 2026, our free cars, including type deposits, was $245 million.

Speaker #1: Our cash to date is in the region of $260 million. As mentioned, our existing liquidity was important; cash flow generation remains robust, as in the six months of 2026 we generated an operating cash flow of $78 million.

Ifigeneia Sakellariou: As mentioned, our existing liquidity must support our cash flow generation remains robust, as in six months 2026, we generated an operating cash flow of $78 million. Our recent and upcoming vessel deliveries continue to enhance our fleet book value. We maintain a flexible capital structure as we are debt-free, thus face zero interest rate and finance pressures and highly liquid places us in an advantageous position against our peers, particularly in the event of softer market conditions. Proceeding to slide 10, we provide a summary of our liquidity, profitability, and market considerations going forward. As mentioned, we are highly liquid, maintain a solid balance sheet, and continue to translate our strategic fleet expansion to profitability and growth. Yet we still remain undervalued when looking at our share price levels.

Ifigeneia Sakellari: As mentioned, our existing liquidity must support our cash flow generation remains robust, as in six months 2026, we generated an operating cash flow of $78 million. Our recent and upcoming vessel deliveries continue to enhance our fleet book value. We maintain a flexible capital structure as we are debt-free, thus face zero interest rate and finance pressures and highly liquid places us in an advantageous position against our peers, particularly in the event of softer market conditions. Proceeding to slide 10, we provide a summary of our liquidity, profitability, and market considerations going forward. As mentioned, we are highly liquid, maintain a solid balance sheet, and continue to translate our strategic fleet expansion to profitability and growth. Yet we still remain undervalued when looking at our share price levels.

Speaker #1: Our recent and upcoming vessel deliveries continue to enhance our fleet book value. We maintain a flexible capital structure, as we are debt-free, thus face zero interest rate and finance pressures, and highly liquid placements and advantageous position against our peers, particularly in the event of softer market conditions.

Speaker #1: Proceeding to Slide 10, we provide a summary of our liquidity, profitability, and market considerations going forward. As mentioned, we are highly liquid, maintain a solid balance sheet, and continue to translate our strategic fleet expansion into profitability and growth.

Speaker #1: Yet, we still remain undervalued when looking at our share price levels. In Q2 2026, our average time charter equivalent per fleet voyage day was close to $71,500 for our tankers, and about $15,100 for our dry bulk fleet.

Ifigeneia Sakellariou: In Q2 2026, our average Time Charter Equivalent per fleet voyage day was close to $71,500 for our tankers and about $15,100 for our dry bulk fleet. This compares favorably to our cash flow break-even levels, estimated at $8,500 per day for tankers and $6,500 per day for dry bulk vessels. In terms of market considerations, the focal point is the US-Iran-Israel conflict, which appears to follow an unstable course and seems that will have a longer than expected duration. Recent Houthi attacks in the Red Sea add on to the geopolitical uncertainty that distorts the market. In this environment, it is not yet visible how tanker and dry bulk market will be affected in the medium term. In any event, Imperial Petroleum is shielded from all angles to navigate any market condition that may arise.

Ifigeneia Sakellari: In Q2 2026, our average Time Charter Equivalent per fleet voyage day was close to $71,500 for our tankers and about $15,100 for our dry bulk fleet. This compares favorably to our cash flow break-even levels, estimated at $8,500 per day for tankers and $6,500 per day for dry bulk vessels. In terms of market considerations, the focal point is the US-Iran-Israel conflict, which appears to follow an unstable course and seems that will have a longer than expected duration. Recent Houthi attacks in the Red Sea add on to the geopolitical uncertainty that distorts the market. In this environment, it is not yet visible how tanker and dry bulk market will be affected in the medium term. In any event, Imperial Petroleum is shielded from all angles to navigate any market condition that may arise.

Speaker #1: This is favorable to our cash flow break-even levels, estimated at $8,500 per day for tankers and $6,500 per day for dry bulk vessels. In terms of market considerations, the focal point is the US-Iran-Israel conflict, which appears to fall within our stable course, and it seems that we'll have a longer-than-expected duration.

Speaker #1: Recent Houthi attacks in the Red Sea add on to the geopolitical uncertainty that distorts the market. In this environment, it's not yet visible how tanker and dry bulk market will be affected in the medium term.

Speaker #1: In any event, Imperial Petroleum is shielded from all angles to navigate any market conditions that may arise. At this stage, our CEO, Mr. Harriet Vafias, will summarize our concluding remarks for the period examined.

Harry Vafias: At this stage, our CEO, Mr. Harry Vafias, will summarize our concluding remarks for the period examined. Our exceptional Q2 and H1 2026 demonstrate the power of our commercial strategy and disciplined execution. By securing record revenues of $87.1 million for Q2, expanding our fleet toward a 25 vessel target while remaining debt-free, we have driven net income for the first six months to a remarkable $62.8 million, already surpassing our total profitability for the entirety of 2025. Backed by solid balance sheet with cash to date in the order of approximately $260 million and a fleet value anticipated to increase with our upcoming vessel additions.

Ifigeneia Sakellari: At this stage, our CEO, Mr. Harry Vafias, will summarize our concluding remarks for the period examined.

Harry Vafias: Our exceptional Q2 and H1 2026 demonstrate the power of our commercial strategy and disciplined execution. By securing record revenues of $87.1 million for Q2, expanding our fleet toward a 25 vessel target while remaining debt-free, we have driven net income for the first six months to a remarkable $62.8 million, already surpassing our total profitability for the entirety of 2025. Backed by solid balance sheet with cash to date in the order of approximately $260 million and a fleet value anticipated to increase with our upcoming vessel additions.

Speaker #2: Our exceptional second quarter and first half of 2026 demonstrate the power of our commercial strategy and disciplined execution. By securing record revenues of $87.1 million for Q2, expanding our fleet toward a $25 vessel target, while remaining debt-free, we have driven net income for the first six months to a remarkable $62.8 million, already surpassing our total profitability for the entirety of 2025.

Speaker #2: Backed by solid balance sheet with cash to date in the order of approximately $260 million, and a fleet value anticipated to increase with our upcoming vessel additions.

Speaker #2: We are well equipped to navigate shifting geopolitical landscapes, and Imperial Petroleum is in a prime position to produce strong results while holding a flawless balance sheet and a track record of creating value through the company's growth and strategic asset management.

Ifigeneia Sakellariou: We are well equipped to navigate shifting geopolitical landscapes, and Imperial Petroleum is in a prime position to produce strong results while holding a flawless balance sheet and a track record of creating value through the company's growth and strategic asset management. We would like to thank you all for joining us at our call today and for your interest and trust in our company, and we look forward to having you again with us at our next call for our Q3 2026 results. Thank you.

Harry Vafias: We are well equipped to navigate shifting geopolitical landscapes, and Imperial Petroleum is in a prime position to produce strong results while holding a flawless balance sheet and a track record of creating value through the company's growth and strategic asset management. We would like to thank you all for joining us at our call today and for your interest and trust in our company, and we look forward to having you again with us at our next call for our Q3 2026 results. Thank you.

Speaker #2: We would like to thank you all for joining us on our call today and for your interest and trust in our company. We look forward to having you with us again on our next call for our Q3 2026 results.

Speaker #2: Thank you.

Operator: This concludes today's conference call. Thank you for participating. You may now all disconnect. Have a nice day.