Overview

* Knot Offshore ( KNOP ) Q2 revenue of $87.1 mln beats analyst expectations, per LSEG data

* Net income for Q2 at $6.8 mln, surpassing analyst estimates, per LSEG data

* Operating income of $22.2 mln missed analyst expectations, per LSEG data

Outlook

* Company expects shuttle tanker demand to outpace supply growth

* KNOT Offshore ( KNOP ) sees tightening shuttle tanker market in Brazil

* Company anticipates favorable long-term shuttle tanker market conditions

* KNOT Offshore ( KNOP ) plans to secure long-term charters for stable cashflows

Result Drivers

* FLEET UTILIZATION - Achieved 100% utilization for scheduled operations in Q2 2025, with 96.8% utilization including drydockings

* CHARTER EXTENSIONS - Secured 100% charter coverage for H2 2025 and approximately 89% for 2026, aided by new contracts with Equinor and Repsol Sinopec

* BRAZILIAN MARKET GROWTH - New production start-ups in Brazil's pre-salt fields outpaced Petrobras's schedule, contributing to a tightening shuttle tanker market

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $87.10 $81.10

Revenue mln mln (3

Analysts

)

Q2 Net Beat $6.80 $6.14

Income mln mln (3

Analysts

)

Q2 Miss $22.20 $30.80

Operatin mln mln (3

g Income Analysts

)

Q2 $33 mln

Vessel

Operatin

g

Expenses

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the oil & gas transportation services peer group is "buy"

* Wall Street's median 12-month price target for Knot Offshore Partners LP ( KNOP ) is $12.00, about 22.3% above its September 24 closing price of $9.33

* The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)