Abstract
Torm PLC will report quarterly results on February 26, 2026 after market close; this preview synthesizes the latest company projections and recent financial performance to frame likely revenue, margin, net income, and EPS outcomes and key drivers to watch.
Market Forecast
For the current quarter, Torm PLC’s total revenue is projected at 241.30 million, with EPS of 0.91 and EBIT of 102.07 million. Based on year-over-year forecasts, revenue is expected to grow by 0.48%, EPS by 37.12%, and EBIT by 6.87%. The company’s outlook implies stable gross profitability supported by current charter rates and operating discipline; detailed gross and net margin guidance has not been provided, but prior-quarter margins set the baseline for comparison. The company’s primary business remains tankers, and the most promising contributor by revenue is its tanker operations at 311.20 million last quarter, though reported YoY growth for that segment was not disclosed.
Last Quarter Review
Torm PLC posted last quarter revenue of 342.60 million, a gross profit margin of 51.75%, GAAP net profit attributable to the parent of 77.60 million, a net profit margin of 22.65%, and adjusted EPS of 0.77; revenue declined 7.93% year over year, while adjusted EPS fell 42.96% year over year. One notable highlight was a positive sequential inflection: net profit attributable to the parent grew quarter on quarter by 3,242% from the prior quarter’s base, signaling a sharp rebound in profitability into the latest period. The company’s main business mix was led by tanker operations at 311.20 million in revenue last quarter, accompanied by a minor marine-exhaust line at 8.90 million and an intersegment offset of -4.90 million; year-over-year growth by segment was not provided.
Current Quarter Outlook
Main business trajectory
The core driver this quarter remains Torm PLC’s tanker operations, which anchor the revenue base and margin profile. With company-level projections pointing to revenue of 241.30 million and EBIT of 102.07 million, the implied operating margin is consistent with a still-constructive rate environment compared with the year-ago quarter, as suggested by the 6.87% year-over-year growth in EBIT. The anticipated 37.12% increase in EPS year over year reflects both unit economics and capital allocation effects since EPS can move more than EBIT when leverage, interest expense, or buybacks amplify earnings per share. Given last quarter’s gross margin of 51.75% and net margin of 22.65%, investors will focus on whether rate realizations and voyage costs enable a similar conversion of revenue into profit this quarter despite the lower headline revenue guide relative to the immediately preceding quarter. Voyage mix, time charter equivalent (TCE) rates, and off-hire days will be the key determinants for gross and net margin resilience.
Most promising business lever
The tanker segment continues to represent the largest revenue opportunity and the clearest lever for earnings dispersion in the current quarter. Last quarter, tanker revenue of 311.20 million dominated the mix, and the company’s guidance for a 0.48% year-over-year increase in total revenue this quarter suggests stable to slightly improved conditions versus the same quarter last year. The path to the forecasted 37.12% year-over-year EPS growth likely rests on stronger per-vessel performance, utilization, and potentially lower unit opex and G&A per revenue dollar. If realized TCEs track above internal planning, incremental revenue typically drops through at a high marginal margin due to the fixed and semi-fixed nature of certain operating costs, supporting upside to EBIT and EPS. Conversely, if rates soften or if there are unplanned operational interruptions, top-line sensitivity will flow through quickly to earnings given the operating leverage inherent in tanker fleets.
Factors likely to move the stock this quarter
Three variables are likely to have an outsized impact on share performance around the print and into the near term. The first is realized TCE and forward coverage, which will signal whether the quarter’s EPS outperformance potential is tracking with the 37.12% year-over-year forecast. The second is margin translation relative to last quarter’s 51.75% gross margin and 22.65% net margin; even small changes in voyage costs, bunker expense, and port charges can materially influence net margin at current revenue levels. The third is capital allocation—particularly dividend cadence and any updates on fleet renewal or growth capex—because free cash conversion in shipping cycles is a crucial support for equity valuation and can buffer earnings volatility. Clarity on utilization, scheduled dry dockings, and contract coverage will also shape how investors extrapolate earnings power into the next quarter.
Analyst Opinions
Within the specified window from January 1, 2026 to February 19, 2026, we did not identify substantive analyst previews or rating changes specifically discussing Torm PLC’s upcoming quarter, and thus a majority bullish-versus-bearish ratio cannot be determined from available institutional commentary. In the absence of fresh published previews, market attention is likely to coalesce around the company’s own guidance markers—revenue of 241.30 million, EBIT of 102.07 million, and EPS of 0.91—and how realized TCE rates and operating expenses track against these indications through February 26, 2026. Historically, when company guidance implies expanding EPS year over year alongside modest revenue growth, investors tend to focus on operating leverage and capital returns; confirmation of these dynamics would be viewed constructively by market participants, while weaker rate prints or cost pressures would dampen sentiment. As updated views emerge from recognized institutions following the print, the balance of opinion will likely hinge on visibility into next-quarter rate coverage and management’s commentary on fleet utilization and cost control.Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
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