Imperial Petroleum Inc. (NASDAQ: IMPP) reported all-time high quarterly revenue of $87.1 million for the second quarter of 2026, driven by elevated tanker and drybulk freight rates fueled by ongoing geopolitical tensions across key shipping lanes.
Net income reached $34.8 million — the second-best quarterly result in company history — up 171.9% from $12.8 million a year earlier. Earnings per share came in at $0.75, surpassing Wall Street’s $0.73 forecast, marking a 108% increase year-over-year. The trailing twelve-month EPS approaches $2.00.
Revenue climbed 41.2% sequentially from $61.7 million in Q1 and 139.9% year-over-year from $36.3 million in Q2 2025. Net revenues, after deducting $22.1 million in voyage costs, totaled $65.0 million, a 154% jump from the prior-year period. Operating income rose 307.3% year-over-year to $33.4 million, while EBITDA more than doubled to $41.2 million.
The results reflect sustained disruptions to global oil shipping. Suezmax tanker rates averaged $145,014 per day in Q2, exceeding $200,000 per day after a July ceasefire and Saudi Arabia embargo. MR product tanker rates averaged $30,566 per day. Imperial’s tanker fleet achieved time charter equivalent rates of roughly $71,500 per day against a cash flow breakeven of $8,500 per day.
In drybulk, the Baltic Dry Index averaged close to 2,750 during the quarter. Supramax rates reached $21,084 per day and Kamsarmax rates hit $21,200 per day. The company’s drybulk fleet posted TCE rates of approximately $15,100 per day versus a cash flow breakeven of $6,500 per day.
Imperial’s average fleet grew to 21 vessels in Q2, up from 14.1 a year prior, with plans to expand to 25 by year-end. The fleet composition includes product tankers, a Suezmax tanker, and drybulk carriers spanning Supramax, Kamsarmax, Post Panamax, and Handysize classes. Approximately 57% of the fleet operates under time charters, with the remainder in spot markets. Fleet utilization came in at 73.5%, and seven additional drydockings are planned through year-end.
New vessel deliveries included the Eco Crossfire, a 2012-built Handysize delivered April 3, and the Outrider, a 2016-built Handysize delivered August 21. On Aug. 7, the company sold the Suez Enchanted, a 2007-built Suezmax tanker, generating a net gain of approximately $32 million.
Running costs rose by $6.0 million and drydocking expenses reached $7.5 million for six maintenance projects. Net income margin held steady at roughly 40%.
Imperial ended Q2 with $245.2 million in cash and time deposits, up 37% from $179.1 million at year-end 2025, and now holds approximately $260 million. The company maintains zero debt with a liabilities-to-total-assets ratio of 9%. Total stockholders' equity rose to $586.8 million as of June 30. Six-month operating cash flow totaled approximately $78.3 million, and interest income from time deposits reached $4.0 million in the first half of 2026.
Imperial Petroleum shares closed at $5.41 on Sept. 10, up 0.93% from the previous session and within a 52-week range of $3.15 to $6.57. Shares have surged 48% year-to-date.
On the supply side, Imperial noted that the Suezmax orderbook stands at 30.8% of existing fleet capacity, with 31.8% of the current Suezmax fleet over 20 years old. The MR tanker orderbook represents 16% of existing fleet, with 26% over 20 years old. For Handysize drybulk, the orderbook is 6.5% of existing fleet, with 18% over two decades old.
