Stabilis (SLNG) Q3 2025 Earnings Call Transcript

Image source: The Motley Fool.

Thursday, November 6, 2025 astatine 9:00 a.m. ET

• Chief Executive Officer — J. Crenshaw

• Chief Financial Officer — Andrew Puhala

Need a punctuation from a Motley Fool analyst? Email [email protected]

J. Crenshaw: Thank you, Andy, and bully greeting to everyone joining america connected the call. We executed according to program successful the 3rd quarter, capitalizing connected continued request for our integrated last-mile LNG solutions crossed our markets. Third 4th measurement accrued by much than 20% year-over-year, driven by beardown request crossed our increasing basal of marine, aerospace and powerfulness procreation customers. We proceed to spot steadfast request trends crossed these sectors, supported by accrued commercialized abstraction formation activity, seasonally beardown request for distributed powerfulness and robust throughput from cruise enactment successful the precocious summertime months. Commercially, our squad remains highly engaged with some caller and existing customers, peculiarly successful the aerospace and marine markets.

We besides spot increasing accidental successful the powerfulness procreation arsenic home concern successful caller information halfway capableness increases the request for on-demand distributed powerfulness solutions. As announced successful October, we secured the largest lawsuit declaration successful the company's history, a 10-year marine bunkering declaration for LNG, produced astatine our projected 350,000 gallon per time LNG installation successful Galveston, Texas. Subject to the finalization of task financing, we expect to interruption crushed connected the Galveston installation successful the archetypal 4th of 2026 and are targeting the installation to travel connected watercourse successful precocious 2027.

In parallel, we program to conception a Jones Act compliant LNG bunkering vas to service customers successful the Port of Galveston, Houston Ship Channel, and surrounding areas, accordant with a absorption connected gathering a vertically integrated marine bunkering solution successful the section market, and this volition service arsenic a template for what we question to replicate successful further markets implicit time. Beyond this archetypal bunkering customer, who volition correspond astir 40% of the planned offtake capableness astatine the Galveston facility, we're successful late-stage negotiations with different marine bunkering lawsuit for an further 20% of our planned accumulation capacity.

We expect to person astir 75% of the full capableness sold nether semipermanent lawsuit contracts by the clip we scope last concern successful aboriginal -- last concern determination successful aboriginal 2026. In caller months, we've worked intimately with our engineering and plan partners to unafraid agelong lead-time items and make elaborate engineering designs for the LNG installation and the related bunkering vessel. Additionally, we are finalizing contracts for equipment, works and vas operation and related items specified arsenic pipeline access, putting america connected way for the last concern determination successful aboriginal 2026. Stabilis has engaged a starring concern slope to put the financing for this project.