Performance Shipping Inc. (NASDAQ: PSHG) completed the delivery of its second 2019‑built Suezmax tanker, the M/T P. Beverly Hills, on December 22, 2025. The 157,286‑dwt vessel was immediately placed under a three‑year time‑charter with Repsol Trading S.A. at a fixed daily rate of $36,500, providing the company with a predictable revenue stream of roughly $78 million over the minimum firm period.
The new tanker brings PSHG’s fleet to twelve vessels, including two newbuilds under construction and ten operating tankers. The addition reduces the average age of the fleet and introduces an eco‑efficient design that meets Tier III NOx standards, aligning with the company’s commitment to lower emissions and operating costs. By expanding its modern, low‑age fleet, PSHG positions itself to capture higher charter rates in a market where newer vessels command premium pricing.
The charter rate of $36,500 per day translates into a gross revenue of about $78 million for the three‑year term, a significant contribution to the company’s operating income. The firm’s operating margin has been expanding, driven in part by the higher‑margin revenue from newer vessels and disciplined cost management. The secured charter also reduces revenue volatility, allowing PSHG to lock in 70 % of its 2026 operating days under long‑term contracts, a key element of its growth strategy.
Management highlighted that the delivery and charter reinforce PSHG’s focus on fleet renewal and market positioning. CEO Andreas Michalopoulos noted that “the M/T P. Beverly Hills strengthens our fleet’s modernity and enhances our ability to secure high‑quality, long‑term contracts in a tightening market.” The company’s strategy to acquire newer, eco‑efficient tankers is expected to lower fuel consumption and maintenance costs, improving profitability over the charter period.
The move also reflects broader industry trends toward environmental compliance and operational efficiency. With tightening regulations and increasing demand for low‑emission vessels, PSHG’s investment in Tier III‑compliant tankers positions it favorably against competitors that still operate older, higher‑emission fleets. The secured charter with Repsol provides a stable cash‑flow foundation that supports the company’s ongoing capital allocation and debt‑management plans.
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