SFL Corporation Ltd. reported preliminary fourth‑quarter 2025 results that included a revenue of $176 million, a figure that surpassed analyst expectations of $167.58 million to $168.36 million. The company also announced a quarterly cash dividend of $0.20 per share, its 88th consecutive payout, with a record date of March 12 and a payment scheduled for March 30.
Revenue growth was driven by strong demand for the company’s high‑quality shipping fleet, which maintained a fleet‑utilization rate of 98.6%. The robust charter backlog, valued between $3.7 billion and $4 billion, provided additional revenue visibility and helped offset the impact of a $23 million charter settlement expense that was recorded as a non‑recurring charge.
The company posted a net loss of $0.04 per share, missing consensus estimates of $0.01 to $0.0235. The loss was largely attributable to the one‑time settlement expense; operating performance remained solid, with an EBITDA‑equivalent cash flow of $109 million for the quarter. The loss does not reflect a deterioration in core operations, which continue to generate strong cash flow and high utilization rates.
Despite the earnings miss, the company’s decision to maintain its dividend signals confidence in its underlying cash‑flow generation. Investors responded positively to the dividend sustainability and the revenue beat, which together mitigated concerns about the short‑term loss. The market reaction was driven primarily by the company’s ability to preserve shareholder returns amid a one‑time charge, rather than by the EPS miss.
Management emphasized that the company’s long‑term strategy remains focused on fleet optimization and capital efficiency. CEO Ole B. Hjertaker highlighted the company’s “maritime infrastructure” model, noting that the recent asset transactions—selling two 2015 Suezmax tankers and investing in two 2020 vessels—support a high‑quality, diversified fleet that underpins the company’s cash‑flow profile.
The earnings release underscores the company’s resilience: a revenue beat, a maintained dividend, and a strong charter backlog provide a solid foundation for future growth, even as one‑time expenses temporarily depress profitability.
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