Capital Clean Energy Carriers Corp., an international owner of ocean-going vessels, today released its financial results for the second quarter ended June 30, 2026.
Key Highlights
Took delivery of two Liquefied Natural Gas Carriers (“LNG/Cs”) along with one Handy Liquefied CO2 Multi-Gas Carrier (“HMG/C”) and two dual-fuel Medium Gas Carriers (“MG/Cs”)
Agreed to divest a 49% stake in the LNG/C Amore Mio I, formed a joint venture company with an affiliate of the BGN Group and secured a 10-year time charter
Joint venture announced for the construction and operation of a dual-fuel Liquefied Natural Gas Bunkering Vessel (“LNGB/V”) with CMA CGM S.A. (“CMA CGM”)
Secured index-linked employment for LNG/C Alcaios I for 18 months
Declared a dividend of $0.15 per share for the second quarter of 2026
Commenced share repurchase program for up to $20.0 million
Management Commentary
Mr. Jerry Kalogiratos, Chief Executive Officer of CCEC, commented: “The volatility experienced in the second quarter of 2026 in gas shipping markets, as a result of the tension in the Middle East, allowed us to capture additional contract coverage at attractive rates for our LNG and LPG carriers, bringing the average firm contract duration for our LNG/C fleet to 6.5 years and 0.9 years for our LPG/multi gas fleet.
After taking delivery of two LNG/Cs, two HMG/Cs and two MG/Cs since the beginning of the year, our fleet in the water comprises 14 latest-generation LNG/Cs, two HMG/Cs, two MG/Cs and one legacy Neo-Panamax container vessel, with another seven LNG/Cs, two HMG/Cs, four MG/Cs and one LNGB/V on order. This makes CCEC the largest US-listed LNG shipping company with a substantial footprint in the LPG market and contracted fleet growth through 2029. We have a diversified customer base with approximately $2.9 billion in contracted revenues, which could increase to approximately $4.3 billion, if all charter options were to be exercised, providing our investors with cash flow visibility and stability.”
Fleet Update – LNG/Cs
The Company took delivery of the LNG/C Archimidis (HD Hyundai Samho Co., Ltd., 174,000 cubic meters (“CBM”)) on June 2, 2026, and the LNG/C Agamemnon (HD Hyundai Samho Co., Ltd., 174,000 CBM) on June 17, 2026. Both vessels have commenced their respective bridging time charter employment with a major energy company through June 2027. Upon completion of these charters, each vessel is expected, at the Company’s option, commence one of the two previously announced long-term charters, with firm periods of five and seven years, respectively. Both long-term charters carry an additional five-year option, exercisable at the charterer’s discretion.
The acquisition of the LNG/C Archimidis was funded through cash on hand together with a new eight-year JOLCO facility of $216.0 million. The acquisition of the LNG/C Agamemnon was funded through cash on hand together with a new senior secured bridge loan facility of $216.0 million, which was refinanced on July 16, 2026, through the drawdown of an eight-year JOLCO facility of the same amount. The LNG/C Agamemnon is the 14th latest-generation LNG/C delivered to the Company.
The LNG/C Alcaios I, which is expected to be delivered from the shipyard on July 31, 2026, has secured employment under an 18-month index-linked time charter. The LNG/C Alcaios I is expected to be financed with cash on hand together with proceeds of $170.0 million in total to be raised through the refinancing of two existing sale and leaseback facilities of Aristos I and Aristarchos, with the vessel to be added as additional security by way of mortgage. The refinanced facilities have a duration of 10 years.
Fleet Update – HMG/Cs and MG/Cs
The Company took delivery of its second HMG/C, the Amadeus (HD Hyundai Samho Co., Ltd., 22,000 CBM), on April 30, 2026, and the vessel has since commenced a voyage charter on May 21, 2026, to be followed by a 12-month time charter. The acquisition of the Amadeus was financed with cash on hand and a five-year term loan of $50.9 million. Under the terms of the loan, the Company may borrow an additional amount of up to $7.8 million, if the vessel secures employment for longer than 36 months.
On June 4, 2026, the Company took delivery of the MG/C Aristogenis (HD Hyundai Heavy Industries Co., Ltd., 45,000 CBM Dual Fuel LPG). The vessel commenced a 12-month time charter immediately upon delivery from the shipyard.
On July 23, 2026, the Company also took delivery of the MG/C Aridaios (HD Hyundai Heavy Industries Co., Ltd., 45,000 CBM Dual Fuel LPG), which is currently expected to trade in the spot market.
The acquisitions of the MG/Cs Aristogenis and Aridaios were financed through cash on hand and seven-year sale and leaseback facilities of $54.7 million for each vessel. Under the facilities, the Company may borrow an additional amount of up to $11.7 million for each vessel if the vessel secures employment for longer than 36 months.
Under-Construction Fleet Update
The Company’s under-construction fleet includes seven latest-generation LNG/Cs (referred to below as the “Newbuild LNG/Cs”), four MG/Cs and two HMG/Cs (referred to below as the “Gas Fleet”) and one LNGB/V (50% ownership through joint venture).
On June 12, 2026, the Company announced the formation of a 50/50 joint venture with CMA CGM (the “Bunkering Joint Venture”) to construct, charter, and operate one 20,000 CBM LNGB/V. The Bunkering Joint Venture marks CCEC’s entry into the LNG bunkering segment and represents the Company’s first vessel dedicated to marine fuel supply. In connection with the transaction, the Bunkering Joint Venture has entered into a shipbuilding contract with Nantong CIMC Sinopacific Offshore & Engineering Co., Ltd. (“CIMC SOE”) for construction of the vessel at a price of $82.8 million, with delivery expected in the third quarter of 2028.
On April 15, 2026, the Company announced that it has agreed to sell in the first quarter of 2027 the LNG/C Amore Mio I (2023-built, 174,000 CBM) to a subsidiary of a joint venture company (the “LNG/C Joint Venture”) owned 51% by CCEC and 49% by a company affiliated with global energy trader BGN. The LNG/C Joint Venture has secured a 10-year time charter (with two three-year extension options) of the vessel to BGN INT DMCC, commencing simultaneously with the acquisition of the vessel. The LNG/C Joint Venture will be effected through BM Capital HoldCo LLC, a newly formed Marshall Islands limited liability company, in which CCEC holds a 51% interest and an affiliated company of BGN holds the remaining 49%. BM Capital LLC, a wholly owned subsidiary of BM Capital HoldCo LLC, will acquire the vessel for $230.0 million.
The existing financing on the vessel is expected to be refinanced upon acquisition of the vessel in the first quarter of 2027.
Net income for the quarter ended June 30, 2026, was $29.0 million, compared to net income of $29.7 million for the second quarter of 2025.
Total revenues for the quarter ended June 30, 2026, were $104.9 million, compared to $96.7 million during the second quarter of 2025. The increase in revenue was mainly attributed to the increase in the average number of vessels in our fleet following the deliveries of the Active and Amadeus, our two HMG/Cs, on January 5 and April 30, 2026, respectively, the delivery of our first dual-fuel MG/C Aristogenis on June 4, 2026, and the deliveries of the LNG/Cs Archimidis and Agamemnon on June 2 and June 17, 2026, respectively.
Total expenses for the quarter ended June 30, 2026, were $51.8 million, compared to $43.3 million in the second quarter of 2025. Voyage expenses during the second quarter of 2026 amounted to $2.2 million, compared to $1.9 million during the second quarter of 2025. The increase was mainly attributable to bunker expenses incurred by certain of our vessels during the period from their delivery from the yard until commencing their employment.
Vessel operating expenses during the second quarter of 2026 amounted to $20.8 million, compared to $15.7 million during the second quarter of 2025. The increase in vessel operating expenses was mainly attributed to costs incurred by certain of our vessels passing their special survey this year and the increase in the average number of vessels in our fleet.
Total expenses for the second quarter of 2026 also include vessel depreciation and amortization of $24.5 million, compared to $21.8 million in the second quarter of 2025. The increase in depreciation and amortization during the second quarter of 2026 was mainly attributed to the increase in the average number of vessels in our fleet. General and administrative expenses for the second quarter of 2026 increased to $4.2 million, compared to $3.9 million in the second quarter of 2025.
Total other expenses, net for the quarter ended June 30, 2026, were $24.1 million compared to $23.7 million in the second quarter of 2025. Total other expenses, net include interest expense and finance cost of $25.3 million for the second quarter of 2026, compared to $26.0 million for the second quarter of 2025. The decrease in interest expense and finance cost mainly reflects the decrease in the weighted average interest rate charged on our debt compared to the second quarter of last year, partly offset by the increase in our average indebtedness.
Quarterly Dividend Distribution
On July 23, 2026, the Board of Directors of the Company declared a cash dividend of $0.15 per share for the second quarter of 2026 payable on August 13, 2026, to shareholders of record on August 4, 2026.
Net income for the six-month period ended June 30, 2026, was $47.3 million, compared to net income of $62.4 million for the same period in 2025.
Total revenues for the six-month period ended June 30, 2026, were $202.9 million, compared to $198.8 million during the six-month period ended June 30, 2025. The increase in revenues was mainly attributed to the increase in the average number of vessels in our fleet following the deliveries of the Active and Amadeus, our two HMG/Cs, on January 5 and April 30, 2026, respectively; the Aristogenis, our first dual-fuel MG/C, on June 4, 2026; and the LNG/Cs Archimidis and Agamemnon on June 2 and June 17, 2026, respectively. The increase in revenues was partly offset by the off-hire days incurred by the LNG/Cs Adamastos and Aristarchos, while passing their five-year special survey and the earnings achieved by one of our vessels, when it operated under a short time charter during the first quarter of 2025, compared to the same period in 2026.
Total expenses for the six-month period ended June 30, 2026, were $106.1 million, compared to $86.6 million in the same period in 2025. Voyage expenses during the six-month period ended June 30, 2026, amounted to $8.4 million, compared to $3.0 million during the same period in 2025. The increase was mainly attributable to bunker expenses incurred by certain of our vessels during the period from their delivery from the yard until commencing their employment and ballast legs associated with certain of our vessels passing their five-year special survey, as well as war risk insurance premiums paid by certain of our vessels during the period.
Vessel operating expenses during the six-month period ended June 30, 2026, amounted to $42.8 million, compared to $32.0 million during the same period in 2025. The increase in vessel operating expenses was mainly attributed to costs incurred by certain of our vessels passing their special survey this year and the increase in the average number of vessels in our fleet.
Total expenses for the six-month period ended June 30, 2026, also include vessel depreciation and amortization of $47.2 million, compared to $43.5 million during the same period in 2025. The increase in depreciation and amortization during the six-month period ended June 30, 2026, was mainly attributed to the increase in the average number of vessels in our fleet. General and administrative expenses for the six-month period ended June 30, 2026, amounted to $7.7 million, compared to $8.0 million during the same period in 2025, mainly due to higher transaction costs incurred in 2025.
Total other expenses, net for the six-month period ended June 30, 2026, were $49.5 million compared to $49.8 million during the same period in 2025. Total other expenses, net include interest expense and finance cost of $48.4 million for the six-month period ended June 30, 2026, compared to $53.7 million for the same period in 2025. The decrease in interest expense and finance cost mainly reflects the decrease in the weighted average interest rate charged on our debt compared to the first half of last year, partly offset by the increase in our average indebtedness.
Issuance of €250.0 million unsecured bonds (ATHEX: CCECB1)
On February 25, 2026, CCEC successfully completed an unsecured bond offering of €250.0 million (the “Bonds”). The Bonds were admitted to trading in the fixed income securities category of the Regulated Market of the Athens Exchange (ATHEX) on February 26, 2026.
The Bonds will mature in 2033 and have a coupon of 3.75%, payable semi-annually.
Part of the proceeds of the Bonds was used on April 22, 2026, to prepay the outstanding €150.0 million unsecured bonds issued in 2021. The remaining amount was used to finance part of CCEC’s capital expenditure and for general corporate purposes.
Company Capitalization
As of June 30, 2026, total cash amounted to $268.9 million. Total cash includes restricted cash of $16.2 million, which represents the minimum liquidity requirement under our financing arrangements.
As of June 30, 2026, the Company’s total shareholders’ equity amounted to $1,547.2 million, an increase of $47.9 million compared to $1,499.4 million as of December 31, 2025. The increase during the six-month period ended June 30, 2026, reflects net income (including net income from discontinued operations) of $50.9 million, amortization associated with the equity incentive plan of $2.9 million, $11.5 million of common shares issued under our Dividend Reinvestment Plan net of expenses and other comprehensive income of $2.7 million relating to the net effect of the financial instruments we issued to hedge against our foreign currency and interest rate risks which we designated as accounting hedges, partly offset by dividends declared during the period for a total amount of $17.9 million and $2.1 million of common shares repurchased under our share repurchase program.
As of June 30, 2026, the Company’s total debt was $2,955.1 million compared to $2,454.3 million as of December 31, 2025 (including discontinued operations).
LNG Market Update
The first half of 2026 in the LNG shipping was shaped by the conflict in the Middle East, with a substantial part of global LNG volumes stranded in the Arabian Gulf. Accordingly, the market has undergone a fundamental shift so far this year which has created the most significant supply disruption the industry has experienced since the Russia–Ukraine conflict. The closure of the Strait of Hormuz removed more than seven million tonnes of supply per month from global markets, while severe damage to two Qatari liquefaction trains took an estimated 12.8 million tonnes per year of capacity offline for a period expected to last between two and five years. All expansion projects in Qatar and the UAE have been delayed by at least twelve months, deferring anticipated new supply.Spot charter rates have risen sharply from the depressed levels seen in 2025 and the start of 2026. Having averaged around $39,000 per day across 2025, two-stroke spot charter rates have recovered significantly in 2026 and averaged $90,300 per day throughout the second quarter, significantly higher than historical averages for the same period. The main driver behind this recovery has been the widening of the east-west arbitrage on the back of war-related supply disruptions and the resulting increase in tonne-mile demand on longer Atlantic-to-Pacific routes. Short-to-medium term charter rates have also risen in response to geopolitical uncertainty, with one-year term rates for modern tonnage increasing materially from the lows recorded in late 2025, at around $76,000 per day, while six-to-nine-month charters have been concluded at rates in the low-mid $90s level.
Short-term fixture activity in 2026 reached an all-time high, with spot fixtures in the January-to-May period surpassing all prior years on record, while independent owners have increased their share of this activity relative to vessels being relet into the market by charterers. Ordering activity remained high after a rush in contracting activity late in the fourth quarter of 2025 and in the first month of 2026. A total of 49 LNG carriers were ordered during the first half of the year with 23 vessels being ordered in the second quarter of 2026. This contracting rise reflects confidence within the shipping industry that the liquefaction projects scheduled to come on stream before 2030 will require increased shipping capacity. Newbuild LNG carrier pricing has increased to over $250.0 million for a base specification vessel.
As of quarter-end, 338 LNG carriers were on order, with 22 vessels delivered during the second quarter of 2026 and 42 in total for the first half of 2026. Of the total orderbook, analysts estimate that only 48 vessels (or 14.2%) remain without committed employment, six of which are controlled by the Company.
LPG Market Update
Market conditions across both the MGC and Handy segments continued to strengthen during the second quarter, building on the firm fundamentals established earlier in the year. The continued effective closure of the Strait of Hormuz severely curtailed Middle East LPG exports, lengthening trade routes and forcing buyers to source cargoes from more distant origins, including West Africa, the United States and increasingly South America. This rerouting materially increased tonne-mile demand, while fleet versatility across vessel classes allowed market players to respond to shifting cargo flows — together underpinning exceptionally high vessel utilization and some of the strongest charter rates seen in recent years.The MGC segment remained structurally tight throughout the second quarter, as the closure of the Strait of Hormuz removed a meaningful share of effective global tonnage. Traders absorbed virtually all available Atlantic Basin positions before turning their attention to newbuilding deliveries, reducing the uncommitted 2026 orderbook from 14 vessels to just six by quarter-end. Rates remained firm to rising throughout most of the quarter, with prompt tonnage and relet positions commanding significant premiums, and spot fixture earnings for the largest vessel classes reported above $60,000 per day at various points. The Handy segment again benefited from meaningful spillover demand, stepping in to cover LPG and ammonia cargoes left unserved by the shortage of MGC tonnage in the Atlantic Basin. At the same time, a widening ethane arbitrage fully employed CO2-capable vessels, further reducing the pool of ships available for conventional LPG and petrochemical trades. This dual demand drivers kept the Handy fleet operating at exceptionally high utilization, with minimal idle time and forward fixing windows extending further through the quarter. Overall sustained fleet tightness, elevated tonne-mile demand and limited prompt vessel availability underpinned a firm chartering environment throughout the quarter. Reflecting these market conditions, one-year time charter rates for standard semi-refrigerated Handy vessels were assessed at approximately $32,000 per day, while fully refrigerated conventional 40,000 CBM MGCs were assessed at approximately $36,000 per day, both representing an improvement over first-quarter levels.
Source: Capital Clean Energy Carriers Corp.
