Danaos Corporation reported unaudited results for the fourth quarter and year ended December 31, 2025, highlighting new financing transactions, fleet expansion, and a strengthened contracted revenue backlog.
Financing developments included the placement of a $500 million senior unsecured bond on October 16, 2025, with a seven-year tenor and a coupon of 6.875%. On December 1, 2025, the company used $111.4 million from the proceeds to repay two secured credit facilities early.
It has also issued a redemption notice to fully repay its 8.5% senior notes due 2028, with an outstanding principal of $262.8 million, on March 2, 2026. As of year-end, Danaos owned 85 vessels, of which 77 were debt free, including 61 unencumbered vessels.
The company added four 5,300 TEU containerships to its orderbook, scheduled for delivery in 2028 and 2029. Its total containership orderbook now stands at 27 vessels with an aggregate capacity of 174,550 TEU, with deliveries expected across 2026 through 2029.
In dry bulk, Danaos ordered two Newcastlemax vessels of approximately 211,000 DWT each for delivery in 2028 and expects to take delivery of a secondhand Capesize vessel in the first quarter of 2026.
On a fully delivered basis, the fleet would total 102 containerships with approximately 652,041 TEU capacity, and 13 dry bulk vessels with about 2.37 million DWT capacity.
Since the previous earnings release, Danaos added approximately $428 million to its contracted revenue backlog through charter extensions and new charters. Total contracted operating revenues now stand at $4.3 billion, with average remaining charter duration of 4.3 years. Charter coverage is 100% for 2026, 87% for 2027, and 64% for 2028, including scheduled newbuild deliveries.
In January 2026, Danaos announced a strategic partnership with Glenfarne Group involving a $50 million equity investment related to the Alaska LNG project. The company will also act as preferred tonnage provider for at least six LNG carriers under the development.
Under its share repurchase program, Danaos has bought back 3,247,444 shares for $235.1 million out of a total $300 million authorization. The company declared a dividend of $0.90 per share for the fourth quarter of 2025, payable on March 4, 2026.
For the fourth quarter, operating revenues increased 3.1% to $266.3 million, compared with $258.2 million in the same period of 2024. Container vessel segment revenues rose 1.3% to $240.7 million from $237.5 million year on year.
CEO Dr. John Coustas said container volumes reached record highs amid continued geopolitical disruptions and ongoing rerouting around the Suez Canal, with strong demand particularly for midsize vessels.
