Vessel revenue

12 Months Ended

Dec. 31, 2025

Analysis of income and expense [abstract]

Vessel revenue

Vessel revenue

During the years ended December 31, 2025, 2024, and 2023, we had 19, 16 and 15 vessels that earned revenue through long-term time-charter contracts (with initial terms of one year or greater), respectively. We had one vessel that earned revenue through a bareboat charter-out agreement during the year ended December 31, 2025. The remaining vessels earned revenue from the Scorpio Pools or in the spot market. The following table sets forth our revenue, by employment type, for these periods:

	For the year ended December 31,
In thousands of U.S. dollars	2025		2024		2023
Pool revenue	$	754,266	$	1,068,427	$	1,155,244
Time charter revenue	170,237		153,881		153,260
Voyage revenue (spot market)	11,970		21,643		32,718
Bareboat charter-out revenue	1,749		—		—
	$	938,222	$	1,243,951	$	1,341,222

IFRS 16 Lease Revenue

In accordance with IFRS 16 - Leases, we are required to identify the lease and non-lease components of revenue and account for each component in accordance with the applicable accounting standard. In time charter-out or pool arrangements, we have determined that the lease component is the vessel and the non-lease component is the technical management services provided to operate the vessel. In a bareboat charter-out arrangement, the charterer is responsible for the technical management of the vessel, therefore the entire contract is accounted for as lease revenue. Each component is quantified on the basis of the relative stand-alone price of each lease component and on the aggregate stand-alone price of the non-lease components.

These components are accounted for as follows:

•All fixed lease revenue earned under time and bareboat charter-out arrangements is recognized on a straight-line basis over the term of the lease.

•Lease revenue earned under our pool arrangements is recognized as it is earned, since it is 100% variable.

•The non-lease component is accounted for as services revenue under IFRS 15. This revenue is recognized “over time” as the customer (i.e. the pool or the charterer) is simultaneously receiving and consuming the benefits of the service.

The following table summarizes the lease and non-lease components of revenue from time and bareboat charter-out and pool revenue during the years ended December 31, 2025, 2024, and 2023. These figures are not readily quantifiable as the Company's contracts (with the Scorpio pools or under time charter-out arrangements) do not separate these components. We do not view pool and time and bareboat charter-out revenue as two separate streams of revenue. Nevertheless, we have estimated these amounts by reference to (i) third party, published time charter rates for the lease component, and (ii) an approximation of the fair market value of vessel operating expenses for the non-lease component.

	For the year ended December 31,
In thousands of U.S. dollars	2025		2024		2023
Lease component of revenue from time and bareboat charter-out and pool revenue	$	603,170	$	907,497	$	999,273
Non-lease component of revenue from time and bareboat charter-out and pool revenue	323,082		314,811		309,231
	$	926,252	$	1,222,308	$	1,308,504

For lease arrangements that were accounted for under IFRS 16 – Leases, we had bareboat charter-in commitments on three vessels under fixed rate bareboat agreements and 18 vessels under variable rate bareboat agreements during the year ended December 31, 2023. These arrangements were accounted for under IFRS 16 - Leases.

Vessels recorded as Right of use assets derive income from subleases through time charter-out, voyage revenue (spot market), and pool arrangements. For the year ended December 31, 2023, sublease income of $136.6 million is included in Vessel revenue. There was no such income during the years ended December 31, 2025 and 2024 as these leases were terminated during the year ended December 31, 2023.

The terms of the time charter-out agreements in effect during the years ended December 31, 2025, 2024, and 2023 are summarized as follows:

Vessel	Vessel Class	Initial Term	Commencement Date	Initial Rate ($/Day)	Estimated End Date	Current Rate ($/Day)
STI Gratitude	LR2	Three years	May 2022	$28,000	May 2026	$31,000	(1)
STI Guard	LR2	Five years	Jul 2022	$28,000	Jul 2027	$28,000	(2)
STI Gladiator	LR2	Three years	Jul 2022	$28,000	Jul 2026	$31,000	(3)
STI Guide	LR2	Three years	Jul 2022	$28,000	Jul 2026	$31,000	(3)
STI Marshall	MR	Three years	Jul 2022	$23,000	May 2025	N/A	(4)
STI Magnetic	MR	Three years	Jul 2022	$23,000	May 2026	$27,500	(5)
STI Miracle	MR	Three years	Aug 2022	$27,500	May 2026	$27,500	(6)
STI Memphis	MR	Three years	Jun 2022	$27,500	May 2026	$27,500	(7)
STI Connaught	LR2	Three years	Aug 2022	$30,000	Oct 2025	N/A	(8)
STI Lombard	LR2	Three years	Sep 2022	$32,750	Dec 2025	N/A	(9)
STI Gauntlet	LR2	Three years	Nov 2022	$32,750	Nov 2026	$36,000	(10)
STI Duchessa	MR	Three years	Oct 2022	$25,000	Nov 2025	N/A	(11)
STI Lavender	LR2	Three years	Dec 2022	$35,000	Nov 2025	N/A	(12)
STI Grace	LR2	Three years	Dec 2022	$37,500	Dec 2026	$36,000	(13)
STI Jermyn	LR2	Three years	Apr 2023	$40,000	Apr 2026	$40,000	(14)
STI Jardins	MR	Three years	Oct 2024	$29,550	Oct 2027	$29,550
STI Battersea	Handymax	Two years	Apr 2025	$24,000	Apr 2027	$24,000
STI Orchard	LR2	Five years	Aug 2025	$28,350	Aug 2030	$28,350
STI Spiga	LR2	One year	Nov 2025	$35,000	Nov 2026	$35,000

(1)    This vessel commenced a time charter in May 2022 for three years at an average rate of $28,000 per day. The charterer exercised its option to extend the term of this agreement for an additional year at $31,000 per day commencing in May 2025. The charterer has an additional option to further extend the term of this agreement for an additional year at $33,000 per day.

(2)    This vessel commenced a time charter in July 2022 for five years at a rate of $28,000 per day.

(3)    This vessel commenced a time charter in July 2022 for three years at an average rate of $28,000 per day. The charterer exercised its option to extend the term of this agreement for an additional year at $31,000 per day commencing in July 2025. The charterers have the option to further extend the term of this agreement for an additional year at $33,000 per day.

(4)    This vessel commenced a time charter in July 2022 for three years at a rate of $23,000 per day. The vessel was redelivered to us upon the completion of the time charter in May 2025.

(5)    This vessel commenced a time charter in July 2022 for three years at an average rate of $23,000 per day. The daily rate is the average rate over the three years period, which is payable in years one, two, and three at $30,000 per day, $20,000 per day, and $19,000 per day, respectively. In July 2025, this time charter was extended for a period of 75 to 120 days at a rate of $21,500 per day commencing in August 2025. In November 2025, this time charter was extended for a period of six months at a rate of $27,500 per day.

(6)    This vessel commenced a time charter in August 2022 for three years at an average rate of $21,000 per day. The daily rate is the average rate over the three years period, which is payable during the first six months at $30,000 per day, the next six months are payable at $20,000 per day, and years two and three are payable at $19,000 per day. In July 2025, this time charter was extended for a period of 75 to 120 days at a rate of $21,500 per day commencing in August 2025. In November 2025, this time charter was extended for a period of six months at a rate of $27,500 per day.

(7)    This vessel commenced a time charter in June 2022 for three years at an average rate of $21,000 per day. The daily rate is the average rate over the three years period, which is payable during the first six months at $30,000 per day, the next six months are payable at $20,000 per day, and years two and three are payable at $19,000 per day. In July 2025, this time charter was extended for a period of 75 to 120 days at a rate of $21,500 per day commencing in August 2025. In November 2025, this time charter was extended for a period of six months at a rate of $27,500 per day.

(8)    In April 2023, STI Connaught replaced STI Goal on a time charter which initially commenced in August 2022 for three years at a rate of $30,000 per day. The vessel was redelivered to us upon completion of the time charter in October 2025.

(9)    This vessel commenced a time charter in September 2022 for three years at an average rate of $32,750 per day. The vessel was redelivered to us upon the completion of the time charter in December 2025.

(10)    This vessel commenced a time charter in September 2022 for three years at an average rate of $32,750 per day. In November 2025, this time charter was extended for a period of one year at a rate of $36,000 per day.

(11)    This vessel commenced a time charter in October 2022 for three years at an average rate of $25,000 per day. This vessel was redelivered to us upon the completion of the time charter in November 2025.

(12)    This vessel commenced a time charter in December 2022 for three years at an average rate of $35,000 per day. This vessel was redelivered to us upon completion of the time charter in November 2025.

(13)    This vessel commenced a time charter in December 2022 for three years at an average rate of $37,500 per day. The daily rate is the average rate over the three years period, which is payable during the first six months at $47,000 per day, the next six months are payable at $28,000 per day, and years two and three are payable at $37,500 per day. In November 2025, this time charter was extended for a period of one year at a rate of $36,000 per day commencing in December 2025.

(14)    This vessel commenced a time charter in April 2023 for three years at an average rate of $40,000 per day. The charterer has the option to extend the term of this agreement for an additional year at $42,500 per day.

Additionally, as of December 31, 2025, we had entered into time charter-out agreements on two LR2 product tankers, STI Alexis and STI Rose, each for a term of five years at a rate of $29,000 per day. The time charter-out for STI Alexis commenced in January 2026 and the time charter-out for STI Rose commenced in February 2026.

Bareboat charter-out revenue

In August 2025, we commenced a bareboat charter-out agreement on an MR product tanker, STI Bosphorus, at a bareboat rate of $13,150 per day. The vessel is chartered to a third-party joint venture which re-flagged the vessel to the United States in order for it to participate in the U.S. Government's Tanker Security Program (TSP). The contract will remain in effect until the vessel reaches 20 years of age, which will occur in 2037, subject to annual renewal with the National Defense Authorization Act ("NDAA").

IFRS 15 Revenue from Contracts with Customers

For our vessels operating in the spot market, we recognize revenue ‘over time’ as the customer (i.e. the charterer) is simultaneously receiving and consuming the benefits of the vessel. Under IFRS 15, the performance obligation has been identified as the transportation of cargo from one point to another. Therefore, in a spot market voyage under IFRS 15, revenue is recognized on a pro-rata basis commencing on the date that the cargo is loaded and concluding on the date of discharge. We also consider short-term time charters (with initial terms of less than one year) as spot market voyages. These voyages are accounted for under IFRS 16 – Leases (given the contractual nature of the agreements), but are disclosed as spot market voyages in the table above given their short-term nature, and greater exposure to spot market volatility.

The number of vessels operating in the spot market during the year ended December 31, 2024 was a result of a large volume of vessels entering scheduled drydocks, therefore operating on spot voyages to arrive at the yard for drydock. Under spot market voyage charters, we pay voyage expenses except for carbon emissions costs, which are mostly rebilled to the end customers.

Voyage expenses for the years ended December 31, 2025, 2024, and 2023 consisted of:

	For the year ended December 31,
	2025		2024		2023
Carbon emissions costs(1)	$	22,725	$	12,557	$	—
Bunker consumption	2,983		8,413		4,103
Port and agency expenses	1,858		1,912		2,027
Voyage related insurance	7		606		1,240
Other voyage related expenses	9,340		6,883		5,873
	$	36,913	$	30,371	$	13,243

(1)     Carbon emissions costs under the EU ETS regulations of $22.7 million and $12.6 million for the years ended December 31, 2025 and 2024, respectively, are mostly rebilled to the end customers.