Toro Corp reports 27% rise in Q2 net income despite revenue drop

LIMASSOL - Toro Corp (NASDAQ:TORO), a global energy transportation provider, reported a 27.3% increase in net income to $1.4 million for the second quarter ended June 30, 2025, despite a 24.1% decline in total vessel revenues. The company, currently valued at $55.37 million in market capitalization, maintains impressive gross profit margins of 48.47%. According to InvestingPro analysis, the stock is currently trading above its Fair Value.

The company’s revenue fell to $4.1 million from $5.4 million in the same period last year, primarily due to a reduction in available fleet days following the spin-off of its M/T Wonder Mimosa vessel on April 14 as part of the creation of Robin Energy Ltd.

Toro’s cash position strengthened significantly to $114.7 million as of June 30, 2025, compared to $37.2 million at the end of December 2024. This improvement was largely attributed to the full repayment of a $100 million senior term loan facility from Castor Maritime Inc. on May 5. The company’s strong financial health is reflected in its exceptional current ratio of 18.79, with InvestingPro data showing liquid assets significantly exceeding short-term obligations.

The company’s fleet earned an average Daily TCE Rate of $11,492 during the quarter, slightly higher than the $11,268 earned in the same period of 2024.

"In the second quarter of 2025, we delivered solid operational performance across our core operations, reflecting both disciplined execution and market resilience," said Petros Panagiotidis, Chief Executive Officer of Toro.

Following the quarter’s end, Toro has been active in fleet management, acquiring the M/T Wonder Maia, a 2014-built MR tanker, for $30.3 million in September, while selling two LPG carriers to Robin Energy for a combined $38 million.

The company also agreed to purchase 60,000 Series E Preferred Shares of Castor Maritime for $60 million on September 29, with an 8.75% distribution rate paid quarterly.

EBITDA from continuing operations increased significantly to $1.3 million from $0.2 million in the comparable period of 2024. Earnings per common share from continuing operations rose to $0.0151 from $0.0017 a year earlier.

The information in this article is based on a press release statement from Toro Corp. The company’s stock has shown strong momentum, delivering a remarkable 92.05% return over the past six months and 61.29% year-to-date. For deeper insights into Toro’s valuation metrics and 13 additional ProTips, visit InvestingPro.

In other recent news, Toro Corp. completed the sale of the LPG carrier Dream Syrax to an undisclosed buyer. This transaction was finalized with the delivery of the vessel on September 3, 2025. Additionally, Toro Corp. previously announced the sale of the same vessel to a subsidiary of Robin Energy Ltd. for $18 million. This deal involved a Nasdaq-listed entity controlled by Toro’s Chairman and CEO, and it received approval from independent board members after negotiations. In another development, Toro Corp. completed a tender offer, accepting 20,344 shares at $2.75 each, totaling approximately $55,946. The company has stated it will promptly pay for all accepted shares. Furthermore, Toro Corp. launched a tender offer to repurchase up to 4.5 million shares at the same price, utilizing its available cash and cash equivalents. This offer is set to expire on August 7, 2025, unless extended or withdrawn.

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