Flex LNG Ltd. reported unaudited results for the quarter ended September 30 2025, posting revenue of $85.7 million—about $2 million above the consensus estimate of roughly $83.6 million—while adjusted earnings per share fell to $0.43, a miss of $0.03 against the $0.46 consensus. The company’s time‑charter equivalent (TCE) rate was $70,900 per day, down from $72,012 per day in Q2 2025, reflecting a modest decline in freight rates for its modern LNG carriers.
Revenue beat the consensus largely because Flex LNG’s fleet continued to secure high‑rate contracts amid a rebound in U.S. LNG export volumes, which were up more than 20 % year‑to‑date. The company’s spot‑market trading of the Flex Artemis and the completion of all four planned drydockings for 2025 helped maintain a strong revenue mix, offsetting the weaker TCE rate. The higher volume of charter days and the ability to charge premium rates for its MEGI‑ and X‑DF‑engine vessels contributed to the revenue upside.
EPS missed expectations because the lower TCE rate translated into reduced revenue per day, while operating expenses rose slightly due to the cost of drydockings and maintenance of the fleet. The company’s operating margin slipped to 9.9 % from 10.2 % in the prior quarter, indicating that the decline in freight rates was not fully offset by cost controls. The adjusted EPS of $0.43, while still close to the $0.4269 forecast, fell short of the $0.46 consensus, underscoring the pressure on profitability in a soft spot market.
The balance sheet remained robust, with the Balance Sheet Optimization Program 3.0 delivering $530 million in new financing and $137 million in net proceeds. Cash reserves climbed to an all‑time high of $479 million, and debt maturities were extended to 2029, giving the company greater flexibility to invest in fleet expansion and to weather short‑term market volatility.
The board reaffirmed the ordinary dividend of $0.75 per share for the seventeenth consecutive quarter, maintaining a 12 % yield. Management emphasized that the company’s focus on cost discipline and strategic investments in high‑return vessels will support long‑term profitability, even as short‑term freight rates remain pressured.
Operational highlights included the completion of drydockings for two vessels during the quarter and the redelivery of Flex Volunteer in late December, after which the vessel will undergo a five‑year special survey before being marketed for new employment. The company also reported that 14 older steam vessels were scrapped year‑to‑date, signaling a gradual rebalancing of the global LNG shipping fleet.
Marius Foss, interim CEO, said, “Third‑quarter revenues came in at $85.7 million, with a TCE rate of about $70,900 per day. We completed all four planned drydockings for 2025 on time and within budget, and we remain confident in our long‑term contract pipeline and the resilience of our balance sheet.”
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