Knutsen Revenue Down Quarter on Quarter

Knutsen Group has reported NOK 743 million ($80 million) in revenue for the first quarter (Q1), down from NOK 1.7 billion for the prior three-month period.

"The decrease primarily reflects the prepayment of contracts for two fully consolidated vessels in Q4, followed by their re-employment at lower rates from mid-December, in addition to an off-hire period affecting one vessel from early February through quarter-end, as well as the impact of a stronger NOK", the Haugesund, Norway-based company, which operates a fleet of LNG and other vessels, said in its quarterly report.

Freight income fell to NOK 352 million for January-March 2026 from NOK 1.5 billion for Q4 2025.

Knutsen said one of its vessels chartered to QatarEnergy, Mraikh, has been temporarily idled within the Strait of Hormuz due to the war in the Middle East. "The vessel has discharged its gas in Dubai", it said. "The vessel and crew are safe. We maintain daily communication with the Master and crew and coordinate closely with the Flag State authorities and relevant security advisors".

Net profit dropped to NOK 293 million for Q1 2026 from NOK 388 million for Q4 2025. While operating profit increased to NOK 389 million for Q1 2026 from NOK 20 million for Q4 2025, the difference was largely due to NOK 1.49 billion in depreciation and impairments booked for the last three months of 2025. Operating expenses climbed to NOK 233 million for Q1 2026 from NOK 217 million for Q4 2025.

As of the end of May 2026, Knutsen had 52 LNG vessels deployed and 12 under construction. "Three LNG carriers on 15-year contracts with Qatar have been delivered this year and three more are scheduled for delivery in 2026, followed by an additional nine vessels to be delivered in 2028 and 2029", it said.

Across its portfolio, 72 vessels were in operation at the end of last month, while 21 were under construction.

"In the shuttle tanker segment, the firm backlog is mainly secured by investment-grade counterparties, while the LNG segment is backed by 98 percent investment-grade counterparties", Knutsen said.

Chief financial officer Geir Tore Henriksen said, "The tendering market for LNG charters has been consolidating since the ordering spree in 2022/2023 but is now again gaining momentum. This is driven by continued sanctioning of additional natural gas liquefaction capacity, notably in US and Qatar, and increasing demand across Asia and Europe, in part for energy security reasons".

"Our charter portfolio is underpinned by long-term contracts with investment-graded European, Asian and American energy majors and utilities, providing strong earnings visibility and limited counterparty risk", Henriksen added.

Knutsen ended Q1 2026 with NOK 1.5 billion in current assets including NOK 718 million in cash and cash equivalents. Current liabilities totaled NOK 647 million. The equity share of total assets was 52 percent.

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