International Seaways, Inc. (INSW) Q1 2026 Earnings Call Transcript

Thank you for standing by. My name is Christina, and I will be your conference operator today. At this time, I would like to welcome everyone to International Seaways, Inc., first quarter 2026 earnings conference call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, you can press star 1 again. Thank you. I would now like to turn the floor over to James Small, General Counsel. James, the floor is now yours.

James Small, General Counsel Thank you and good morning everyone. Welcome to International Seaways Earnings Call for the first quarter of 2026. Before we begin, I would like to start off by advising everyone with us today of the following. During this call and in the accompanying presentation, management may make forward-looking statements regarding the company or the industry in which it operates, which may address without limitation the following topics. Outlooks for the crude tanker and product tanker markets, changing trading patterns, forecasts of world and regional economic activity, forecasts covering the production of and demand for oil and petroleum products, • The effects of ongoing and threatened conflicts around the world, including in particular in the Middle East • The company's strategy and business prospects • Expectations around revenues and expenses, including vessel, charter hire, and GE • Estimated future bookings, TCE rates, and capital expenditures • Projected dry dock and off-hire days • New-build vessel construction • Vessel sales and purchases • Anticipated financing transactions and plans to issue dividends, economic, regulatory, and political developments in the United States and globally, the company's ability to achieve its financing and other objectives, and its consideration of strategic alternatives, and the company's relationships with its stakeholders. Forward-looking statements take into account assumptions made by management, current conditions expected in future developments, and other factors that management believes are appropriate to consider in the circumstances. Forward-looking statements are subject to risks that could cause actual results to different factors, risks, and uncertainties that could cause the company expectations include those described in our annual report on Form 10-K for 2020 and Q for the first, as well as in other filings that we have made or in the future may make with the U.S. Securities and Exchange Commission. Now let me turn the call over to Lois LeBrocki, our President and Chief Executive Officer. Lois?

Thank you very much, James. Good morning, everyone. Thank you for joining International Seaway's Earnings Call for the first quarter of 2026. On slide four of the presentation, which you can find in the Investor Relations section of our website, net income for the first quarter was a record $286 million, or $5.75 per diluted share. Excluding special items, adjusted net income for the quarter was $194 million, or $3.90 per diluted share, and adjusted EBITDA was $244 million. Today, we also announced another record with the declaration of our largest quarterly combined dividend of $4.55 per share, more than doubling last quarter's record of $2.15 per share. The declared dividend is comprised of two main elements. One, a new payout ratio of 85%, which you can expect from us going forward as a practice. Secondarily, a discretionary amount this quarter that we added due to the outstanding performance of the company and current market conditions, as you can see in the upper right section of the slide. We are very proud to have passed the milestone back in March of $1 billion return to shareholders since 2020. We are even more proud that we will reach more than 20 percent of that mark when we pay our dividend in June. It took six years to achieve the $1 billion in return and one quarter to get to $1.3 billion. We continue to believe in building on our track record of returning to shareholders as part of our consistent and balanced capital allocation strategy. On the lower left part of the page, we sold seven vessels with an average age of 17 years for $216 million as part of our ongoing fleet optimization. We have consistently demonstrated throughout our 10-year history. We actively upgrade the portfolio throughout the cycle standing still in this business is effectively moving backwards these transactions enhance our flexibility and you should expect us to continue redeploying capital in our disciplined manner including reinvestment in our fleet in line again with our balanced capital allocation strategy. Our LR1 new building continued to join our fleet with two deliveries thus far in 2026 and the remaining two coming in the third quarter. From our prior call, Anchors International continues to enhance its status as not only a leading VLCC pool but has expanded into Suezmexes. As our ships continue to integrate into the Suezmex pools, we have also gained a new pooled participants. We are quite excited about the opportunities in front of us as sole owners of Tancers International. One last comment in this section relates to our time charter coverage. We added another Suez Max onto our list for the next three years at $40,000 per day, which is great, and we like to have profitable long-term tires. We We continue to work the Time Trotter market with a keen eye towards the longer-term rate environment. This market opens and closes like any other arbitrage opportunity. We have $918 million in total liquidity, which includes almost $380 million in cash and $540 million in undrawn revolver capacity. Jeff is going to walk you through the cash close of the quarter, but our vessel sales, the market environment, and our disciplined balance sheet management over the last few years have all combined to put INSW where we are today. Turning over to slide five, we've updated our standard set of bullets on tanker demand drivers with the subtle green up arrows next to the bullet represented as good for tankers, the black dash representing a neutral impact, and a red down arrow meaning the topic is not good for tanker demand. I won't read those bullets individually, but we believe demand fundamentals are solid and continue to support a constructive outlook for seaborne transportation. The current tanker market is as volatile as it has been in some time, particularly in reaction to the conflict in the Strait of Hormone. Over the past few months, the market has been adapting to a new status quo, similar to what we saw during the Red Sea disruption and following Russia's invasion of Ukraine. This situation, however, is even more significant. As shown in the lower left chart, roughly 15 million barrels per day of crude, nearly 40% of seaborne volume transits through the straits. Some of this disruption has been offset by alternative flows, including increased Red sea exports as soy barrels move west to yenbu draws from inventories and the release of russian barrels that had accumulated on the water that said these sources have not fully replaced the volume typically moving through the strait in the near term the market is benefiting as it works to adjust to this dislocation however as the straight remains closed for an extended period it could have broader implications for global energy markets until a resolution is reached. As you can see on the lower right, Western markets' earnings strengthened meaningfully after the onset of the conflict, so much so that MRs and BLCC rates can now be shown on the same scale. Quite an exception. Looking ahead, we believe that the longer the disruption persists, the more meaningful the eventual rebalancing could be once conditions stabilize, particularly if inventories continue to draw, which could support tanker demand and earnings in the future. On the supply side, on slide 6 of the presentation, with the aging of the world fleet and the sustained strength in tanker earnings it is natural to see that the order book is creeping up in the graph on the left the order book has grown since the end of 2023 rising to about 16 percent of today's fleet the industry needs even more if you look at the chart on the right hand side that shows the ratio of removal candidates which are 18 years or older by the time the order book is fully delivered at three times the size of those vessels entering the fleet over the next few years. This continues to be the largest story for tanker shipping and is likely to look its way in the near term. These fundamentals should translate into continued upcycle over the next few years and Seaways remains well positioned to capitalize on these market conditions. we will continue to execute our balanced capital allocation approach to renew our fleet and to adapt to industry conditions with a strong balance sheet while returning to shareholders. I'm now going to turn it over to our CFO, Jeff Prebord, to provide the financial review. Jeff?

Thanks, Lois, and good morning, everyone. On slide eight, net income for the first quarter was approximately $286 million, or $5.75 cents per diluted share. Excluding special items, our net income was $194 million, or $3.90 per diluted share. On the upper right chart, adjusted EBITDA for the first quarter was $244 million. dollars. In the appendix, we provided a reconciliation from reported earnings to adjustment. While our revenue and expenses were largely within expectations, our G&A expenses were reduced by about five million dollars in the quarter due to a commercial settlement where we were reimbursed for legal expenses incurred over the last few years. The library business in the first quarter had around six million dollars in revenue and expenses. Turning to our cash bridge on slide We began the quarter with total liquidity of $724 million, composed of $160 million in cash and $557 million in undrawn revolving capacity. Following along the chart from left to right on the cash bridge, we first had $244 million in adjusted EBITDA for the first quarter, That's $14 million in debt service, another $15 million of dry dock and capital expenditures, as well as an $81 million use of working capital. We therefore achieved our definition of free cash flow of about $133 million from the first quarter. $223 million in net proceeds for the sale of seven vessels in the first quarter, of which about $6 million was paid to the pool for positioning of one. We spent $28 million in LR1 new building installments, including financing proceeds and costs, and $5 million to acquire the remaining ownership system. The remaining $106 million represents our second largest ever dividend of $2.15 per share, paid in March, and topping the $1 million milestone. In summary, the result of our activity this quarter yields a net increase in cash of $210 million, roughly in line with the proceeds from LR1. This equates to ending cash of $377 million with $541 million in un-robbed revolvers for total liquidity of about $918 million. Moving now to slide 10, we have a strong financial position detailed by the balance sheet you see on the left-hand side of the page. Liquidity is strong at $918 million. We've invested about $2 million in investments at cost on the books, which are currently valued at nearly $4 million. and with approximately 225 million in net debt combined with rising asset values our net loan to value is below seven percent at the end of the first quarter in the lower right hand table we have included a summary debt profile gross debt at the end of the first quarter was 615 million mandatory debt repayments through the end of 2026 are about 21 million our debt is almost entirely fixed our heads this contributes to our total cost of debt below six percent we continue to enhance our balance sheet to maintain the financial flexibility necessary to facilitate growth as well as returns to shareholders our nearest maturity in the portfolio isn't until the next decade we have 25 unencumbered vessels and we have ample undrawn rcf capacity we continue to explore ways to lower our break-even costs even more and share the upside with substantial returns. On the last slide that I'll cover, slide 11 reflects our forward-looking guide to set book today TCE aligned with our spot cash break-even rate. Starting with TCE fixtures for the second quarter of 2026, I'll remind you that actual TCE during our next earnings call may be different. But in the second quarter so far, we currently have a blended average spot TCE of over $100,000 per day fleet-wide on about 45% of our... On the right-hand side, our expected break-even for the next 12 months is about $14,900. So, based on our spot TC book-to-date and our spot break-even, it looks as though Seaways can continue to generate significant free cash flows during the second quarter, track record of maturity. On the bottom left-hand chart, we provide updated guidance for our expenses. institute you'll notice that we've added a few million dollars per quarter to our projected gna these increases represent the impact of consolidating tankers international into insw financials i would also like to note that we've added guidance for what we refer to as other revenues which are ti commissions that offset this increase we also included the appendix our quarterly expected on fire and capex i don't plan to read each item line by line i encourage you to use these for models. That concludes my remarks. I'd like to turn the call back to Lois for her closing comments.

Thanks so much, Jeff. On slide 12, we have provided you with Seaways investment highlights and encourage you to read them in their entirety. Summarizing briefly, over the last almost 10 years, International Seaways has built a track record of returning cash to shareholders, maintaining a healthy balance sheet, and growing the company. Our total shareholder return represents over 28% compounded annual return. We continue to renew our fleet so that our average age is about 10 years old and what we see as the sweet spot for tanker investments and returns. We've invested in a range of asset classes to cast a wider net for growth opportunities and to supplement our scale in each class by operating in larger pools. We aim to keep our balance sheet fortified for any down cycle. We have nearly a billion in total liquidity to support our growth. Our net debt is under 7% of the fleet's current value, and we have about 40% of the fleet that is unencumbered. We only need our spot shift to earn less than $15,000 per day collectively to break even in 2026. At this point in the cycle, we expect to continue generating cash that we will put to work creating value for the company and for our shareholders. We thank you very much for joining us. And with that said, operator, we would like to open the lines for questions.

Thank you. At this time, I would like to remind everyone in order to ask a question, press star, then the number one on your telephone keypad. We'll pause for just a moment to compile the Q&A roster. Thank you. And your first question comes from the line of Liam Burke from B. Riley Securities. Your line is open.

Thank you. good morning lois good morning jeff good morning um lois you have some older mr's in the fleet um and there's significant demand are you seeing charters uh willing to charter the older vessels or are you looking at elevated asset values to maybe divest them well you know um i would say that we have had great success in clearing out our oldest MR. And, you know, while I was thinking about you and I was noodling out, you know, if you're able to earn the types of rates that we

are locking in, for example, in the second quarter, your free cash flow thrown off per MR in that quarter is going to be over 5 million. So we are constantly looking at high grading and we've had great success on that front and you know having available ships and uh prompt positions moving oil today is worth a lot of money fair enough and if you look at uh spot rates obviously they're they're elevated rates just a little bit mildly how much thought have you given to moving some and locking in on the time charter front you know uh i can i'll start that and i'll flip it over to So, Derek, you know, and what we're seeing is that everybody that has a time charter now is certainly eager to hold on to it. And then, you know, you can get a healthy rate for a shorter period, but as you go longer, I think the volatility starts to come in and people are a little bit anxious to fix three-year deals. What do you think, Derek?

Well, I agree with you. i think um you know liam like lois said in her remarks we're eager to look for longer term charters you know longer than a year certainly uh in this kind of spot environment and so you know the the two or three year numbers are considerably lower than what we're seeing uh for the one year number and in the spot market so our preference you know until we see stronger rates in the longer run would be to stay where we are in the spot but when we do see you know outside the MRS when we do see rates that we like for longer term like Lois mentioned in her remarks but as soon as backs away for three years at a pretty healthy number thank you thank you Liam and your next

question comes from the line of Greg Lewis from BTIG your line is open yes hi good morning and thanks for taking my my questions and hey great great quarter um you know I did want to talk a little bit about the dividend I mean that that was eye-popping you know Lois and Jeff over the last couple years you've done a good job of you know the balance sheet looks great you know we've sold some older vessels we've kind of positioned the company very well I'm realizing that we're definitely going to keep part of the special dividend as part of the return the cash the shareholders are we looking or have we thought about maybe potentially increasing the, you know, the kind of the small, I don't know, I guess we refer to it as the permanent dividend. Has there been thoughts with the board about potentially raising that up, just given the fact that we've kind of put the fleet on a much, I don't know, firmer or better footing?

Yeah. Hey, Greg. This is Jeff. We were just reflecting the other day as we got ready for this release and call that that dividend started at $0.06 a quarter, and then we raised it to $0.12. You know, and that was in an era where there wasn't much debt income, but we said, let's put out an amount that is, as you say, permanent, that we're confident through the cycle. And then we've had a fortunate circumstance of being in the market that's allowed us to pay, you know, a lot more than that. and what we really focused on is variable component where we wanted to be consistent but consistently raising it and what you saw this time is a message that uh we are at 85 percent income you know on a 25-year basis anecdotally that's probably close to 100 on a 20-year depreciation basis but we're at 85 on a 25-year basis and you should expect that now i think you raise a good point uh that 12 cents no one's really thinking about it right now when you have such a high amount of income that 85 is way more than that right i mean obviously right 455 right now but but over time i think that's something we'll look at as the company gets bigger and we feel that the what we can afford permanently you know because there will eventually be a down cycle right so yeah you know i think i think you got you raised a good point it is something we think about. But this quarter, we didn't want to confuse the message. You know, we wanted to stay on message 85% as an expectation. But because of market conditions and because of our strong balance, you thank you for mentioning it, and then liquidity that we have, we had the ability to pay some more. So we thought, you know, this is a market where you should share with your owners. So we didn't want to go away from the 85%. We wanted to be consistent there. Our expectation is clear, but because we're in good market conditions and excellent quality, we add on a discretionary. So, but your point's valid, all stuff we think about.

Okay, great. And then, Lois, maybe on the market, I mean, clearly the market's good or great. I was kind of curious, though, around kind of maybe what you're hearing or seeing regarding the dark fleet, right? You know, I know that the U.S. removed or temporarily lifted a ban on some sanctions of like vessels that I guess were previously in the dark fleet. Is there any way to kind of kind of track or think about those vessels in terms of, I guess, a couple of things? One is, you know, as the Iran war has happened and maybe some of these vessels sanctions have a lifting, have those vessels – have we – I mean, had there been maybe better utilization or efficiency of those vessels? And then they – and maybe it's still too early to be talking about this, but in a – you know, eventually this war will be resolved. And when this war is resolved, you know, just given the fact that the wave sanctions, has there been any thoughts around what happens to those vessels that have been, you know, consistently in the dark fleet?

So, I'm going to start that reply and then I'll have Derek jump in. So, for sure, we put a lot of thought into the dark fleet and getting them to go away, right, from the markets entirely. You know, you're certainly seeing heightened interest from our administration on the dark And I think this temporary relief to deliver cargoes to reduce the impacts of the Hormuz closure is very temporary. We still think there's a very high inefficiency rate on the dark fleet. and in correct me if i'm wrong but most of the vlccs which there's more than 150 um now that are sanctioned uh which are are largely uh due to the iranian situation are over 20 years a good portion of them lois are over 20 years so uh to your question on are we seeing increased utilization of the of the dark fleet that answer is still no one like lois just said they're a lot older so their utilization rate is quite low and two now there's increased pressure from

the u.s administration on these ships so they're not getting a lot even before the uh even before the iran war so we haven't seen them they're active but they're not running at the utilization that say tankers international is right and then what happens to them long term it's an easy way to say you know they'll all quickly find their way to be recycled that will probably take some time but they'll run out of work right if um if the sanctions bite harder the u.s administration pays more attention to them on the vlccs or if the eu pays more attention to sanction ships in some of the smaller smaller segments they'll run out of work to do you know from a comp where they enter us on a competitive basis, we'll have less impact on our market.

Super helpful. Thank you very much.

Thank you.

Thanks, Greg. And your next question comes from the line of Chris Robertson from Deutsche Bank. Your line is open.

Thank you, Operator. Good morning, Lois and Jeff. Thank you for taking my questions.

Thank you. Good morning.

Just have a question around as ships reposition and ballast from the Mideast over to the U.S. gulf to load some cargoes here especially the the larger ships the vlccs and such what's your view around your own lightering business and activity uh prospects there but just general thoughts about lightering operations um that could be impacted here as a lot of ships come over this way and what types of inefficiencies could be brought into the system because of that because you know um i'll flip to derek on that you know i would say um q1 was you know somewhat negatively impacted by the incredible volatility and changing in the scramble or what what kind of

where's the crude going to go what shift is it going to go on and we're seeing that change into q2 yeah well that's right so chris um at the start of the the kickoff of the uh iran war in march um there was this scramble for barrels right to replace everything that was coming out of foremost so sts activity in the gulf actually suffered a little bit because you wanted to the charters wanted to get oil as fast as they could onto any hull that they could so this concept of trying to line up several after matches in a bltc for lightering for instance there was no time for that in the immediate aftermath of the war but just like you said as things hard to say they've calm down right but as we're starting to get a new sense of normal in this war in this current war now you're starting to see the lightering line up you know in q2 it's early may we already have more jobs booked for q2 than we had for q1 right and we still have more than more than half a quarter to go so exactly to your point we're seeing a lot a lot more lightering inquiry and a lot more work for our lightering LLC subsidiaries.

Got it. That's helpful. And then do you have any thoughts just around, you know, we're always talking about barrel substitution, obviously, as a starting point, but there's also congestion that happens in the system and ton mile impacts, all these types of things. So on this front, as there's more lightering business and as these larger ships get lined up and there has to be this process, what does that do in terms of removing some effective capacity from the larger system?

That's a great question. Thank you. So, you know, when we start to line things up in terms of logistics and STS, you don't want it to become too efficient or that whole process, it doesn't make sense, right? We're seeing delays in other ways, though, not necessarily just through STS, not through STS right now, but just, as you said, general port congestion. And we're seeing that now but when we're in terms of loading ports when we're really going to see it in terms of congestion and tougher utilization is when Hormuz opens and a lot of those ships that are laden with oil make their way to Asia that will be ultimately a good thing for the economy and for the world but it's going to take a long time for all those ships to discharge so that that inefficiency that you're speaking about, I think we'll see actually a lot more post-board than we're seeing today. That's helpful.

Thank you. I'll turn it over.

And your next question comes from the line of Omar Nocta from Clarkson Securities. Your line is open.

Thank you. Hi, Lois and Jeff, and Derek. Maybe just, or perhaps maybe to you, Derek, on this, because you brought up that point about a reopening scenario. I did want to ask maybe just on that. How do you think in a potential reopening, and I guess it's probably not so simple to assume we'll go back to how things were, at least not initially, but as we kind of think about a reopening scenario for Hormuz and your fleet makeup, how do you see the segments kind of getting affected? Is there a clear winner in terms of vessel class? And then how do you prepare for that?

Oh, that's a great question. So if I were to start, Omar, you know, I'd say the start this war has impacted every vessel class separately, right? It started on the VLCCs running up massively as soon as Hormuz closed, as anybody in the Atlantic was getting, or anybody outside of the AG was getting any barrel that they could. Then the scramble went down to the smaller crude segments where you saw the APRs and the Suez really start to run because nobody wanted to wait for a two million barrel stem. And then it really hit the MRs really, really well, and you see the kind of numbers that that the MR market and that international seaways is putting up as Hormuz starts to open um you know I think we'll see I think we'll see uh a little bit of a saddle right so right now we're in the high part of it um and then if you know as Hormuz stays closed and we start to see pure Atlantic basin barrels you know that could start to trend down but when it opens back up Omar I think that's going to be really good for us you've got more ships able to call AG. You've got a lot more barrels flowing out of there. That's a good thing. You've got this sort of inefficiency when all the ships start to get to Asia like that we just talked about on the previous question. And prior to the war, the kind of thing hanging over the tanker market was heavy stocks. We've eaten into that stock, into those stock levels now because of the the Hormuz closure. And, you know, given this push for supply chain resiliency, I think we'll start to see people build up stocks quickly. So I think that'll benefit the crude market most in the beginning once Hormuz opened.

Thanks, Derek. I appreciate that. I know it's a very complicated dynamic, but it seemingly makes, you know, that makes sense. And I guess we could think about you know could the middle east then be offering a premium right to drag those ships away from the atlantic uh i guess the other question i had is kind of on the operational or commercial performance uh the mrs especially look very strong at 76 000 here in the second quarter for the first 43 it's a bit better than what we have seen i guess in terms of say peer averages or or market indexes uh how would what would you chalk that up to is that a result of some kind of train triangulation is it actually possible to triangulate in this market is it how your fleets deployed by any kind of color you can give on on on such a strong uh result so far on

the mr i mean you know omar it's um you know were you where were you available where do you um concentrate your trading and we were advantageously positioned that's right lois i think um a lot of it in the kickoff of the war was where were you uh when it started and when did you load with our mr pools one of them is heavily focused on the america's trade and that was very beneficial post-Iran war to be in the Americas where the markets completely skyrocketed. I mean, we had pictures with demurrage at over $150,000 a day for an MR tanker. The Americas is where it started on the MR side. That brought up the European trade as well. And, you know, funny enough, And even now, Asia is starting to come up on the MR market, which we kind of thought would just be a sink of product. Now, China has approved some exports. And from an MR market standpoint, a lot of the ships left Asia to come over to the Americas. So now they're undersupplied in tonnage. So having a strong base starting in the Americas was very, very beneficial for us. I think having that diversification in our other pool will be beneficial as the months take on.

Thank you. helpful. I appreciate the color. I'll turn it back.

Thank you. And once again, if you do have a question, please press star one on your telephone keypad. Your next question comes from the line of Stephanie Moore from Jeffries. Your line is open.

Hi. Thank you for the question. I appreciate the color on the dividend and your priorities here, but maybe taking a step back and looking at general capital allocation priorities, I'd love to get your thoughts in terms of appetite for buybacks here, and then also, you know, any thoughts on M&A, you know, some movements in the space or rumored movements, so just curious, you know, general appetite as well. Thank you.

Well, first, Stephanie, we'd like both and I and the team would like to welcome you to the Research Coverage Universe for International seaway so happy to have you on board thank you unintended so capital allocation our favorite topic yeah i mean uh we have you know we we are to recap we have over the course of the this good market period delivered as much as we want to deliver you know values keep going up so even without paying down additional debt we deliver a little more now we are taking on some really high quality debt this year with with the eca financing for lr1 so we'll probably kick up a little bit but that's one of the reasons we were able to have such a high dividend the discretionary piece this this quarter was that we're delivered enough we also found ourselves with the other pillar of capital allocation is fleet renewal that the principal pillar of fleet renewal for us in 2026 is the lr1 the four lr1 of the six lr1 program delivering this year but as mentioned they're they're they're really well financed uh and so the the capital allocation within the second quarter that we need for that is only six million dollars so therefore we were able to uh think about and to announce today additional returns to shareholders on top of that consistent 85 percent that we're that we're uh telling the market to expect um and do we look at sharing purchases as well yes we have a share of purchase program uh we use it from time to time you know i would say that at the the levels of share price where we are uh nav keeps moving up but we're grateful that our share price is moving up with it and beyond perhaps beyond it so i think that uh i know that we uh when we looked at a discretionary additional return we we leaned it to more dividend rather than share purchase although the tool is always there so i think that for the foreseeable for right now uh that that's what we see is probably the consistent payout ratio and uh with additional cash it's it's optionality or a high returning uh you know if there's a a return on that cash in terms of uh whether you call it m a or or shift purchases that that beats our criteria that's an option you know or other return additional returns to shareholders now i don't know if you just want to have an m a generally You're always looking for good M&A, Stephanie.

Well, appreciate the additional color. Good to be on the call, and I'll leave it at that. Thanks, everybody.

Thank you. Thank you, and with no further questions, I'll turn the call back over to Lois Dabracki.

We want to thank everybody for joining International Seaway's call today, and I'm just going to conclude with, you know, in our 10-year history, You know, our first major focus during leaner market times was getting bigger, getting more modern. And we paid down debt along our journey in focusing on that. And all of that has brought us to today where we're declaring $4.55 per share for our shareholders. And we really appreciate everybody for sticking with us. Thank you so much.

Thank you. And this does conclude today's conference call. You may now disconnect. Have a great day.