Höegh Autoliners reported a 17% quarterly decline in net profit for Q2 2026, citing surging fuel costs and operational disruptions in the Middle East. The Oslo-listed car carrier operator posted net income of $86 million, down from $104 million in Q1, while revenue rose 4% to $376 million. EBITDA fell 16% to $122 million over the same period.
The company declared a $16 million dividend for Q2, equivalent to 96 NOK per share at a USD/NOK rate of 9.4016, marking the 17th consecutive quarterly payout. Total dividends distributed over the past 12 months reached $376 million, or $1.97 per share. Cash and liquidity positions declined, with the end-of-quarter cash balance dropping to $216 million from $294 million in Q1, though total liquidity remained at $413 million including an undrawn $197 million revolving credit facility.
Operational volumes increased 2.6% quarter-over-quarter to 4.0 million cubic meters, supported by steady contract coverage at 80% for 2026. Gross rates improved 2% to $94.1 per CBM, while net rates held at $79.0 per CBM. High & Heavy/Breakbulk cargo accounted for approximately 74% of total volume, with new contracts signed in Q2 totaling $631 million.
Fuel costs weighed on profitability, with a net negative impact of $22 million in Q2 driven by a 41% quarterly surge in bunker prices to 775 USD/mt. Bunker Adjustment Factor (BAF) revenues offset only $1 million of the increase, reflecting a typical 5–6 month lag in recovery. The company noted that historically, about 95% of fuel costs are recouped over a five-year period.
Market dynamics remained favorable for vessel demand, with Chinese vehicle exports surging 68% year-over-year in H1 2026 to exceed 5 million units. Full-year 2026 exports are projected to surpass 10 million units, a 50% increase, with NEVs accounting for nearly half of shipments. Time charter rates for 6,500 CEU panamax vessels climbed 60% quarter-over-quarter to $80,000 per day, well above the 2010–2020 average of $19,400 per day.
Höegh Autoliners also highlighted progress in fleet refinancing, securing $640 million in eight-year facilities extending to 2034 and extending a $200 million revolving credit line to 2030. The company’s carbon intensity metric reached a record low of 4.25 in Q2, down 6% quarter-over-quarter and 18% below the three-year prior average, with seven Aurora Class vessels certified for onshore power supply.
Shares of Höegh Autoliners fell 12.6% to $168 following the results, after an 11.7% pre-market decline from the previous close of $192.3.
