The 66.7% net income plunge and negative EPS despite a modest revenue increase points to cost inflation (stock comp doubled) and lost interest income. The $0.90 special dividend will further drain cash. Watch for whether the new credit facility signals a shift toward debt-funded operations or vessel acquisitions.
Price Chart
Executive Summary
Toro Corp. reported Q1 2026 results with a 9.1% increase in vessel revenues to $6.0M, but net income from continuing operations plunged 66.7% to $0.5M (from $1.5M) due to higher stock-based compensation and lower interest income. EPS swung to a loss of $(0.023) per basic share from +$0.019 a year ago. The company also declared a $0.90/share special dividend payable June 5, 2026, and secured a new $60M credit facility with $15M drawn.
Key Facts
- Total vessel revenues from continuing operations: $6.0M (+9.1% YoY)
- Net income from continuing operations: $0.5M (-66.7% YoY)
- EPS from continuing ops: $(0.023) basic vs $0.019 basic YoY
- EBITDA from continuing ops: $1.3M vs $1.0M YoY
- Cash position: $81.6M (down from $87.4M at Dec 31, 2025)
- Declared special dividend of $0.90/share payable June 5, 2026
- Entered into up to $60M revolving credit facility, $15M drawn on April 2, 2026
- Paid $9.3M special dividend in cash + 7,378,575 shares on Jan 16, 2026
- 44% share dilution year-over-year: 28.85M shares outstanding vs ~17.65M weighted avg basic
- General & administrative expenses rose to $2.9M from $2.4M, driven by stock-based compensation of $1.7M
Financial Impact
Net income decline of ~$1.0M (-66.7%) YoY with EPS flipping from +$0.019 to $(0.023). Revenue grew only 9.1% while operating loss improved slightly from -$1.6M to -$1.48M. Dividend income from related parties of $1.375M masked underlying operational weakness.
Risk Factors
- Continued high stock-based compensation costs weighing on earnings
- Share dilution from stock dividends reducing per-share metrics further
- Declining cash position ($81.6M) after special dividends and credit facility draw
- Reliance on related-party dividend income ($1.375M) for profitability
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 5 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 6-K Filing (Primary) | 0001140361-26-023065 |
| Document: ef20074923_6k.htm | 0001140361-26-023065 |
| Document: 0001140361-26-023065-index-headers.html | 0001140361-26-023065 |
| Document: 0001140361-26-023065-index.html | 0001140361-26-023065 |
| Document: 0001140361-26-023065.txt | 0001140361-26-023065 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 9, 2026 18d ago | 6-K | $4.41 | awaiting T+20 | — | $4.30 (−2.49%) |
Oct 9, 2026 18d ago | 6-K | $4.41 | awaiting T+20 | — | $4.30 (−2.49%) |
Oct 9, 2026 18d ago | 6-K | $4.41 | awaiting T+20 | — | $4.30 (−2.49%) |
Sep 22, 2026 5w ago | 6-K | $5.74 $3.93 | ▼ −31.53% | ▼ −30.97% | $4.30 (−25.09%) |
Sep 18, 2026 5w ago | 6-K | $5.98 $4.14 | ▼ −30.77% | ▼ −30.97% | $4.30 (−28.09%) |
Sep 18, 2026 5w ago | Press Release | $5.98 $4.14 | ▼ −30.77% | ▼ −30.97% | $4.30 (−28.09%) |
Jul 20, 2026 14w ago | 6-K | $4.91 $5.62 | ▲ +14.46% | ▲ +10.34% | $4.30 (−12.42%) |
Jun 5, 2026 20w ago | 6-K | $5.02 $4.98 | ▲ +0.80% | ▲ +2.66% | $4.30 (+14.34%) |
May 28, 2026 21w ago | 6-K | $5.08 $4.84 | ▲ +4.72% | ▲ +1.58% | $4.30 (+15.35%) |
May 28, 2026 21w ago | Press Release | $5.08 $4.84 | ▲ +4.72% | ▲ +1.58% | $4.30 (+15.35%) |
US Market Status
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