Scorpio Tankers Inc. (NYSE:STNG) Q3 2022 Earnings Conference Call November 1, 2022 8:30 AM ET

Company Participants

James Doyle - Head of Corporate Development and Investor Relations

Emanuele Lauro - Chief Executive Officer

Robert Bugbee - President

Cameron Mackey - Chief Operating Officer

Brian Lee - Chief Financial Officer

Lars Dencker Nielsen - Commercial Director

Conference Call Participants

Omar Nokta - Jefferies

Jon Chappell - Evercore ISI

Liam Burke - B. Riley

Greg Lewis - BTIG

Turner Holm - Clarkson

Operator

Hello, and welcome to the Scorpio Tankers Incorporated Third Quarter 2022 Conference Call.

I will now like to turn the conference over to Mr. James Doyle, Head of Corporate Development and IR. Please go ahead, sir.

James Doyle

Thank you for joining us today. Welcome to the Scorpio Tankers third quarter 2022 earnings conference call. On the call with me today are, Emanuele Lauro, Chief Executive Officer; Robert Bugbee, President; Cameron Mackey, Chief Operating Officer; Brian Lee, Chief Financial Officer; Lars Dencker Nielsen, Commercial Director.

Earlier today, we issued our third quarter earnings press release, which is available on our Web site, scorpiotankers.com. The information discussed on this call is based on information as of today, November 1, 2022, and may contain forward-looking statements that involve risk and uncertainty. Actual results may differ materially from those set forth in such statements. For a discussion of these risks and uncertainties, you should review the forward-looking statement disclosure in the earnings press release, as well as Scorpio Tankers SEC filings, which are available at scorpiotankers.com and sec.gov.

Call participants are advised that the audio of this conference call is being broadcasted live on the Internet and is also being recorded for playback purposes. An archive of the webcast will be made available on the Investor Relations page of our Web site for approximately 14 days. We will begin in a short presentation today. The presentation is available at scorpiotankers.com on the Investor Relations page under Reports and Presentations. The slides will also be available on the webcast. After the presentation, we will go to Q&A. For those asking questions, please limit the number of questions to two. If you have an additional question, please rejoin the queue.

Now, I'd like to introduce our Chief Executive Officer, Emanuele Lauro.

Emanuele Lauro

Thank you, James, and good morning or afternoon everyone. Thank you for taking the time to be with us today. This has been a great quarter for Scorpio Tankers. The company has generated its largest quarterly profit in the company's history. Significant cash flows from a strong rate environment are transforming the balance sheet and improving the quality of Scorpio Tankers as an investment. Our capital allocation prioritizes the balance sheet. As we've said before, year-to-date, we have repaid over $720 million in debt. Since June, we have given notice to exercise the purchase options on 22 leased vessels. We will reduce our debt by almost $1 billion this year, and in addition we have returned capital to shareholders primarily through our buyback program.