Navigator (NVGS) investor relations material

Executive summary

• Achieved all-time records in Q2 2026 for net income ($53.0 million, $0.86/share), EBITDA ($101.6 million), adjusted EBITDA ($86.4 million), and TCE rates ($33,946/day), driven by strong demand, market disruptions, and vessel sale gains.

• Utilization exceeded 90%, with robust performance from the ethylene export terminal, record throughput of 374,278 tons, and four new offtake contracts signed.

• Strategic vessel sales, including eight Unigas Pool vessels for $183 million and Navigator Pegasus for $30.5 million, generated significant book gains and strengthened the balance sheet.

• Board increased the fixed quarterly dividend to $0.08/share for Q3 2026, maintaining a 35% capital return policy.

• Operating revenues rose 29.5% year-over-year to $167.9 million, with strong Asian demand for U.S. ethylene and LPG.

Financial highlights

• Average TCE rate reached $33,946/day, up over $4,000 sequentially and 20% year-over-year.

• EBITDA hit a record $101.6 million, with adjusted EBITDA at $86.4 million, both up sharply from prior periods.

• Net income attributable to stockholders was $53.0 million ($0.86/share), more than doubling year-over-year.

• Cash and equivalents stood at $274 million at quarter-end, rising to $362 million post-quarter with new financing.

• Net debt to last 12 months adjusted EBITDA improved to 2.2x from 2.5x sequentially.

Outlook and guidance

• Q3 2026 expected to see normalization in TCE rates and terminal volumes, consistent with seasonal patterns and tighter ethylene arbitrage, but underlying demand remains strong.

• Business expected to remain cash generative despite anticipated moderation in rates and utilization.

• U.S. propane and ethane export capacity set to expand as new facilities come online.

• All-in daily cash breakeven for 2026 estimated at $21,990 per vessel.