BW LPG Limited (BWLP)

BW LPG said on 19 October 2026 that its trading division, Product Services, made a realised trading result of US$146 million in the third quarter 1. With a positive unrealised movement of US$18 million on open contracts, the gross trading result was about US$164 million and the estimated net profit about US$118 million 1.

Chief executive Kristian Sørensen said the division delivered a strong result despite geopolitical uncertainty and volatile LPG markets, and put the year-to-date realised trading result at about US$263 million 1. The full third-quarter results of the group are scheduled for 24 November 2026 1.

The second quarter showed how much that division can swing 3. It had a realised gain of US$127 million but reported a loss after tax of US$31 million, mainly from a non-cash movement on open positions 3. Group profit attributable to shareholders was US$120 million, or US$0.79 a share, and the board declared a dividend of US$0.95 per share 3.

On 20 October 2026 its 52%-owned BW LPG India agreed to sell the 2008-built BW Loyalty, a deal the company expects to bring a gain on disposal of about US$52 million on a 100% basis 2. In September it placed US$300 million of convertible bonds due 2031, partly to fund eight new Panamax gas carriers ordered from Hyundai Heavy Industries 87.

The company said spot earnings for very large gas carriers are expected to stay highly sensitive to geopolitical developments and disruptions to global trading patterns 3.

The group traces to 1935, when Sigval Bergesen set up a tanker business in Stavanger, Norway 5. In 1978 it entered gas shipping by buying six LPG vessels 5. It grew through the 1980s into a major operator of large LPG carriers 5.

Sohmen family interests acquired a majority of Bergesen in April 2003, and in 2005 the business was rebranded BW 5. In 2013 the LPG business was reorganised to prepare for an initial public offering, and the company listed on the Oslo Stock Exchange in November 2013 5.

BW LPG bought Aurora LPG in 2016 and in 2017 set up an Indian joint venture, BW India, with each side owning 50% 5. It raised its stake to 88% in 2021, then fell to 52.4% in 2022 when an outside investor subscribed for new shares 5.

Product Services started in 2019 to sell customers LPG delivered directly, and in November 2022 the company bought the LPG trading operations of Vilma Oil for US$53 million to expand it 5. In 2020 the group retrofitted the world's first LPG-powered very large gas carrier 5.

In November 2023 it signed a joint venture with Confidence Petroleum India and committed about US$40 million to an LPG import terminal 5. It ended that investment in May 2025, citing uncertainty from global trade protectionism 5.

Its shares began trading on the New York Stock Exchange on 29 April 2024, and on 1 July 2024 the company moved from Bermuda to Singapore 5. In August 2024 it agreed to buy 12 VLGCs from Avance Gas for US$1,050 million, all delivered before the end of 2024, which raised the owned fleet by more than 40% 5.

In April 2025 trade tensions between the US and China rose sharply, and trade between the largest LPG exporter and the biggest importer nearly vanished 5. US volumes found other outlets, mainly Japan and Southeast Asia, but also India 5.

In 2025, time charter equivalent income from Shipping, which is freight revenue after voyage costs, rose 16.6% to US$709.0 million 5. Available fleet days rose 25.1%, helped by a full year of the 12 Avance Gas ships, while average spot rates fell 10.9% 5.

Product Services gross profit fell from US$144.8 million in 2024 to US$15.9 million in 2025 5. Gains on derivatives declined by US$71.6 million even as cargo delivered rose to about 5.8 million tonnes from 5.4 million 5.

Profit after tax for 2025 was US$289.7 million, down from US$394.9 million in 2024 5.

Shipping: the fleet

At the end of 2025 the group owned or operated 54 vessels, including 28 owned VLGCs, and 22 of the 54 had LPG dual-fuel engines 5. VLGC means very large gas carrier and LPG means liquefied petroleum gas 5.

In 2025, 69.3% of Shipping revenue, US$703.5 million, came from spot voyages and 30.7%, US$312.3 million, from time charters 5. Most of the fleet is marketed through a pool run by BW LPG, with Exmar and Sinogas Maritime as outside participants 5.

In the second quarter of 2026 Shipping earned US$74,000 per available day, with 53% of days on time charters at US$64,000 per day 3. Net leverage stood at 23.5% and available liquidity at US$773 million 3.

Product Services: LPG trading

Product Services buys LPG and delivers it to customers, mostly from North America to Asia, and uses derivatives to hedge and to earn margins between physical and freight indexes 5. Roughly 90% of traded volume comes from North America 5.

Its revenue in 2025 was US$2,566.4 million, and its five largest customers, Unipec Singapore, SK Gas International, Shandong Port Group, Itochu and Eneos Globe, made up 47.5% of it 5. Rivals named by the company include Vitol, Trafigura, Mercuria, Gunvor, Glencore, Petredec and Bayegan 5.

BW LPG India

BW India, the Indian joint venture, had eight LPG vessels at the end of 2025 and carried about 19% of VLGC-borne LPG imports into India in 2025, according to Vortexa data quoted by the company 5. In the second quarter of 2026 it added US$68.4 million of time charter equivalent income 3.

The market it works in

The company says the first half of 2026 was one of the most volatile periods on record for the VLGC market after war in the Middle East and the closure of the Strait of Hormuz 3. US LPG exports on VLGCs rose 16% in the half, while Middle East exports fell 46% 3.

The company puts the VLGC orderbook at 155 ships, equal to 35% of the existing fleet 3. Lower water in Lake Gatun has restricted Panama Canal transits and sent more ships round the Cape of Good Hope 3.

People

Kristian Sørensen, 49, is chief executive and Samantha Xu, 45, chief financial officer 5. Sørensen joined as deputy chief executive in September 2022 after running Avance Gas and the broker Fearnleys 5.

At the annual meeting on 28 May 2026 shareholders re-appointed Andreas Sohmen-Pao as chairman, appointed Kevin Mackay as a director and re-appointed KPMG LLP as auditor 13.

Current pressures

The company flags that US and Chinese port service fees on ships, suspended until November 2026, could hurt the business if reimposed 5. Its Product Services trading result also moves with open positions, as the second quarter showed 3.

The umbrella, in words

BW Group Limited is the largest shareholder and owns 31.89% of outstanding shares, according to the 20-F as of 19 March 2026 5. BW Group is owned by a company controlled by interests associated with the Sohmen family, and chair Andreas Sohmen-Pao is a member of that family 5.

Other holders of 5% or more are Hemen Holding Limited with 7.66% and Folketrygdfondet with 5.40% of outstanding shares 5. The company also holds 7,467,396 treasury shares 5.

All holders carry the same votes, except on a resolution to remove the reference to BW from the company name, where BW Group's shares would carry ten times the votes represented 5.

Exhibit 8.1 of the 20-F lists the significant subsidiaries 5. BW LPG India is 52%-owned, per the company's own sale announcements 9. On 3 June 2026 the company completed the sale of its 8.50% equity stake in Confidence Petroleum India 12.

Other than its vessels, the group owns no material property 5.

The company expects to publish its third-quarter results on 24 November 2026 1. For the third quarter it said it had fixed 92% of available fleet days at an average of about US$88,000 per day, including 41% on time charters at US$44,300 per day 3.

The company also said that 584 drydock days are expected in the third quarter 4.

On 30 May 2026 the company signed a contract for eight 90’cbm Panamax VLGCs from Hyundai Heavy Industries for about US$940 million, subject to final technical specifications 6. It expects delivery sequentially from the start of 2029 until the second quarter of 2030 6.

The September convertible bonds pay a fixed coupon of 2.25% and fall due on 9 September 2031 unless converted or redeemed earlier 8. Holders may require early redemption on the third anniversary or on a change of control 8.

Ship sales are due to complete: the company expects to deliver BW Birch by mid-November, BW Levant by mid-November and BW Loyalty by December 2026 at the latest 9102.

A 2016-built dual-fuel retrofit vessel was fixed on a five-year time charter at the mid-high US$40,000s per day, with delivery at the end of 2026 3.

On payouts, the board generally aims for an annual dividend of 50% of Shipping net profit after tax, which may rise to 75% when net leverage is below 30% and 100% when below 20% 5. The second-quarter dividend was set at 100% 3.

The company counts 27 VLGCs delivered in 2026 so far, with a further 13 expected by year-end, and orderbook deliveries running through the fourth quarter of 2030 3. It says nine more propane dehydrogenation plants in China are scheduled to start up in 2027 3.

The company expects North American LPG exports to grow 18% in 2026 and Middle East exports to recover gradually, taking 12 to 36 months, if the conflict is resolved 4.