International Seaways added $231.9 million of operating income in the three months ended June 30, more than the company’s entire $195.6 million of revenue in the comparable period. The result looks less like incremental improvement than a market for tankers suddenly paying up.
Revenue reached $467.3 million, up 138.8% from a year earlier, while operating income climbed 334.4% to $301.3 million. Net income rose to $294.9 million, and the operating margin widened from 35.5% to 64.5%. Shares barely changed, up 0.8%, so the earnings jump was not a share-count trick.
The central receipt is the rate environment. International Seaways said the increase in income from vessel operations came mainly from higher average daily rates across its fleet. TCE revenue, a shipping measure of revenue earned from vessel operations, rose 130% in the three months ended June 30.
"This increase reflects (i) an aggregate $267.6 million rates-based increase resulting from higher average daily rates earned across the Company’s fleet sectors, partially offset by (ii) a $16.8 million days-based reduction in the MR sector"
(International Seaways, Form 10-Q, Aug. 10, 2026).
That is a useful distinction. The company made more money per day, but it also had fewer operating days in parts of the fleet. The MR fleet, which carries refined products, lost days after 13 vessels were sold between June 2025 and March 2026. Four dual-fuel-ready LNG newbuild LR1 vessels arrived between September 2025 and April 2026, adding capacity elsewhere.
The second receipt shows how much of the revenue increase came from the crude-tanker side. The International Crude Tankers segment generated $285.1 million, up from $103.8 million. Product Carriers revenue also rose, reaching $182.2 million from $91.8 million.
"TCE revenues in the second quarter of 2026 increased by $245.4 million, or 130%, to $434.2 million from $188.8 million in the second quarter of 2025"
(International Seaways, Form 10-Q, Aug. 10, 2026).
The balance sheet adds a less tidy question without undoing the profit surge. Accounts receivable rose 104.2% to $306.7 million, roughly in line with the scale of the revenue increase. Inventory rose from $522,000 to $24.9 million, a far faster increase than sales. International Seaways does not disclose the cause of the inventory change in the supplied filing receipts.
Cash edged up to $159.4 million from $148.8 million. That leaves the latest period showing both a large earnings conversion from higher tanker rates and more capital sitting in operating balances, especially receivables and inventory. The stock closed at $92.19 on Aug. 7, down 1.1% that day, after gaining 57.3% over six months.
The company’s annual results show why the current comparison matters: revenue fell 11.4% in 2025, and operating margin narrowed to 41.0%. The latest three-month figures therefore mark a sharp reversal in reported profitability, but the filing also ties the improvement closely to daily rates and fleet configuration rather than to a steady change in share count.
International Seaways’ next quarterly report will give the cleanest operating-balance comparison by showing whether accounts receivable has moved from the latest reported $306.7 million.
Source: International Seaways Form 10-Q filed Aug. 10, 2026, for the three months ended June 30, 2026.