Business Context and Reporting Period
Company: Safe Bulkers, Inc. (NYSE: SB)
Filing Type: Form 6-K (Press Release)
Reporting Period: Fourth Quarter and Twelve Months ended December 31, 2025
Filing Date: February 23, 2026
Business Overview: International provider of marine drybulk transportation services operating a fleet of 45 vessels (Panamax, Kamsarmax, Post-Panamax, and Capesize) transporting coal, grain, and iron ore.
Key Financial Metrics
| Metric (in millions USD) | Q4 2025 | Q4 2024 | Full Year 2025 | Full Year 2024 |
|---|---|---|---|---|
| Net Revenues | 72.6 | 71.5 | 275.7 | 307.6 |
| Net Income | 11.8 | 19.4 | 38.6 | 97.4 |
| Adjusted Net Income | 15.9 | 18.1 | 40.5 | 81.6 |
| EBITDA | 33.3 | 41.9 | 126.4 | 186.4 |
| Adjusted EBITDA | 37.4 | 40.7 | 128.4 | 170.7 |
| EPS (Basic & Diluted) | $0.10 | $0.16 | $0.30 | $0.83 |
| Adjusted EPS | $0.14 | $0.15 | $0.32 | $0.68 |
Liquidity and Debt (as of Dec 31, 2025)
- Total Cash: $162.8 million
- Undrawn Revolving Credit: $219.5 million
- Total Debt: $540.1 million (Secured: $423.4M; Unsecured: $116.7M)
- Consolidated Leverage: ~34%
- Weighted Average Interest Rate (Q4 2025): 5.42%
Operational Metrics (Q4 2025)
- Average Fleet Size: 45.00 vessels
- Time Charter Equivalent (TCE) Rate: $17,050 per day
- Daily Vessel Operating Expenses: $5,683 (excluding dry-docking: $5,057)
- Daily G&A Expenses: $1,922
Material Changes vs. Prior Period
- Revenue: Q4 2025 net revenues increased 2% to $72.6M from $71.5M in Q4 2024, driven by higher charter hires and scrubber-fitted vessel earnings. Full-year 2025 revenues declined 10% to $275.7M from $307.6M in 2024.
- Profitability: Q4 2025 Net Income decreased 39% to $11.8M from $19.4M in Q4 2024. Full-year Net Income dropped significantly to $38.6M from $97.4M in 2024, largely due to a $16.6M gain on sale of assets in 2024 which was absent in 2025.
- Expenses: Vessel operating expenses rose to $23.5M in Q4 2025 from $21.3M in Q4 2024, primarily due to increased dry-docking costs ($2.6M vs $0.9M) and repair/maintenance. Voyage expenses increased to $3.5M due to higher bunker consumption for scrubber-fitted vessels.
- Foreign Currency: Q4 2025 recorded a $0.1M foreign currency loss compared to a $5.1M gain in Q4 2024, attributed to the prior period's unrealized gain on the valuation of the €100M bond.
Guidance, Outlook, and Management Commentary
Management Commentary
Management noted increased market volatility in 2025 due to geopolitical reasons. The company maintains a balance between spot and time-charter exposure to capture opportunities while preserving cash flow visibility. The Board declared a cash dividend of $0.05 per share on common stock.
Capital Allocation and Fleet Strategy
- Share Repurchase: Authorized a program to repurchase up to 10 million shares (approx. 9.8% of outstanding). As of Feb 13, 2026, 91,443 shares were purchased and cancelled.
- Dividends: Common stock dividend of $0.05/share declared (payable March 18, 2026). Preferred dividends of $0.50/share (Series C & D) were paid in January 2026.
- Fleet Renewal: Agreed to sell the Capesize vessel Michalis H for $35.2M (Q1 2026 delivery). Orderbook includes 8 newbuilds (IMO GHG Phase 3 compliant), with 2 additional newbuilds acquired in Jan 2026 for delivery in 2028/2029.
- Environmental Upgrades: 26 vessels upgraded as of Feb 13, 2026. Expecting 65 downtime days in Q1 2026 and 136 in Q2 2026 for repairs/upgrades.
Risks and Contingencies
- Geopolitical Conflicts: War in Ukraine and Red Sea disruptions (Houthi attacks) have caused trade route diversions. The company currently avoids the Black Sea and Red Sea but monitors for normalization.
- Regulatory: Ongoing compliance with IMO GHG Phase 3 and NOx Tier III regulations driving fleet renewal and upgrade costs.
Investor Verification Checklist
- Non-GAAP Reconciliations: Verify the adjustments made to Net Income and EBITDA to reach Adjusted figures, specifically the exclusion of foreign currency gains/losses and derivative valuations.
- Dry-Docking Impact: Assess the variability of vessel operating expenses due to the timing of dry-dockings, which are expensed as incurred rather than amortized.
- Debt Maturity Profile: Review the debt repayment schedule, noting $44.8M due in 2026 and $186.7M due in 2027, against available liquidity and contracted revenue.
- Scrubber Revenue: Confirm the variable revenue component from scrubber-fitted vessels, which depends on bunker consumption and fuel price differentials.
- Orderbook Execution: Monitor the delivery schedule and financing requirements for the 8-vessel orderbook, with $110.1M payable in 2026.