St. Catharines, Ontario–based Algoma Central Corporation (TSX: ALC) reported a solid third quarter for 2025, marked by fleet milestones, steady revenue growth across segments, and ongoing investment in next-generation vessels.
For the quarter ended September 30, Algoma posted revenue of C$228 million, up from C$205 million a year earlier, and EBITDA of C$89.7 million, a 19% increase year-over-year. Net earnings came in at C$39.4 million or C$0.97 per share, essentially flat compared to Q3 2024.
“This quarter marked a milestone for Algoma with the delivery of the Algoma Legacy, the first of three methanol-ready self-unloading vessels and the 100th ship in our fleet,” said Gregg Ruhl, President and CEO. “With 100 vessels and ten more under construction, we’re shaping the next chapter of Algoma’s legacy.”
The Domestic Dry-Bulk segment led results with C$131 million in revenue, up 10% year-over-year, driven by stronger salt, iron ore, and agricultural volumes. Product Tankers revenue rose sharply to C$49.7 million from C$38.7 million, benefiting from a larger fleet and higher freight rates. Ocean Self-Unloaders remained steady, generating C$46.3 million, though earnings dipped due to higher maintenance activity.
Joint ventures contributed C$6.6 million in equity earnings, slightly below last year, as dry-dockings and softer markets weighed on mini-bulker and cement operations.
Following quarter-end, Algoma’s joint venture NovaAlgoma Cement Carriers (NACC) sold a controlling interest in its wholly-owned vessels to P&O Maritime Logistics, part of DP World. Proceeds will be used to reduce short-term debt, and the gain will be reflected in Q4.
Algoma also approved the construction of two new 9,500 DWT mini-bulkers for its NASC joint venture, with delivery expected in 2027.
Algoma expects strong utilization across its domestic and tanker fleets through year-end, supported by robust salt and grain volumes and steady energy transport demand. However, management cautioned that U.S. steel tariffs could curb iron ore volumes and that global tariffs could increase operating costs.
Despite headwinds, Algoma remains focused on fleet renewal and efficiency. “The Algoma Legacy exemplifies our commitment to sustainability and innovation,” Ruhl said. “We’re building for the long term.”