Star Bulk Carriers reported a weaker third quarter amid softening dry bulk markets, lower charter rates and a smaller operating fleet, while continuing to reshape its fleet through vessel sales, refinancing and newbuilding acquisitions.
The company posted net income of $18.5 million for Q3 2025, down sharply from $81.3 million in the same period last year. Voyage revenues also fell to $263.9 million, versus $344.3 million a year ago, reflecting reduced TCE rates and a drop in the number of vessels on the water. Star Bulk operated an average of 141.4 vessels during the quarter, down from 155.3 in Q3 2024.
The company’s TCE rate averaged $16,634/day, compared to $18,843/day last year, highlighting a softer tonnage market. Adjusted EBITDA declined accordingly, landing at $86.8 million, versus $144.4 million in Q3 2024. Operating cash flow for the quarter was $91.8 million, also down year-over-year.
Despite the softer results, CEO Petros Pappas emphasized ongoing efforts to modernize the fleet and capitalize on long-term supply fundamentals. In October, Star Bulk agreed to acquire three 82,000-dwt Kamsarmax newbuilding resales under construction at a leading Chinese yard, with deliveries scheduled for Q3 2026. These additions support the company’s opportunistic strategy to renew its fleet and improve fuel and operational efficiency.
The company continues to divest older tonnage as well. Five vessels were delivered to new owners between Q3 and early Q4, generating roughly $25 million in proceeds. Refinancing activity also continued, including a committed term sheet with DNB for a $100 million loan facility to refinance existing debt and strengthen liquidity. Following recent transactions, Star Bulk will have 15 unencumbered vessels.
Star Bulk declared a $0.11 per-share dividend, its 19th consecutive payout, and has repurchased approximately 5 million shares year-to-date for $82.1 million.
Looking ahead, management highlighted geopolitical uncertainty—including U.S.–China port fee measures and delays in the IMO’s Net Zero framework—but maintains confidence in mid-term fundamentals. A rapidly aging global dry bulk fleet and constrained orderbook are expected to support future rates.
“With renewal needs increasing and limited fleet growth ahead, well-capitalized owners like Star Bulk are well positioned to create lasting value,” Pappas said.
Star Bulk operates one of the world’s largest dry bulk fleets, totaling 145 vessels on a fully delivered basis, spanning Newcastlemax, Capesize, Kamsarmax, Panamax, Ultramax and Supramax segments.
