Himalaya Shipping

Earnings Release • Aug 8, 2025

Himalaya Shipping Ltd. (HSHP) Announces its Preliminary Results for the Three and Six Months Ended June 30, 2025

Himalaya Shipping Ltd. (HSHP) Announces its Preliminary Results for the Three and Six Months Ended June 30, 2025

Hamilton, Bermuda, August 8, 2025

Himalaya Shipping Ltd. ("Himalaya," "Himalaya Shipping" or the "Company")

announces preliminary unaudited results for the three and six months ended

June 30, 2025.

Highlights for the Second Quarter of 2025

* Net income of $1.1 million and EBITDA[1] of $20.9 million for the quarter

ended June 30, 2025.

* Achieved average daily time charter equivalent ("TCE") earnings of

approximately $28,400 per day, gross[2].

* Commencement of Lars-Christian Svensen as contracted CEO and appointment of

Vidar Hasund as contracted CFO on April 1, 2025.

* In April 2025, the Board approved a grant of 200,000 share options to key

human resources.

* On June 3, 2025, the Company successfully completed the uplisting from

Euronext Expand to Euronext Oslo Børs.

* Declared cash distributions of $0.025, $0.03 and $0.05 per common share for

April, May and June 2025, respectively.

Subsequent events

* Converted the index-linked time charters for four vessels to fixed rate time

charters at an average rate of approximately US$35,300 per day, gross, from

August 1, 2025 to September 30, 2025.

* Achieved average daily TCE earnings for July 2025 of appproximately $32,700

per day, gross.

* Declared a cash distribution $0.04 per common share for July 2025.

Contracted CEO, Lars-Christian Svensen commented:

"During the second quarter of 2025, the Baltic Capesize Index (BCI) averaged

$18,681 per day, while the Himalaya fleet achieved average TCE earnings of

around $28,400 per day over the same period. This performance underscores the

strong capabilities and potential of our vessels, as well as the solid

commercial execution to date. Of our 12 vessels, 10 were active in the spot

market, earning an average premium of 42.2% over the Baltic 5TC (BCI) index

(excluding scrubber benefits).

In the second quarter of 2025, the Baltic 5TC Capesize index averaged $18,681

per day, compared to $22,665 during the same period in the previous year.

Despite a slow start to the year, particularly due to two major typhoons that

disrupted iron ore exports from Australia in February 2025, the market has

since rebounded. This recovery has been driven by a 27% year-on-year increase

in global bauxite shipments in the first half of 2025, totaling 126 million

MT, along with a 4% increase in iron ore exports from Brazil, totaling 195

million MT. Broken down by the three big commodities, we experienced a ton

mile development of 1.5% decrease in iron ore, a 14% decrease in coal, offset

by a 27% increase in bauxite. With a low order book and the emergence of more

tonne-mile intensive trades, such as the Simandou project in Guinea expected

to commence in November 2025, we anticipate a well-balanced market and a

strong foundation for a potentially prolonged upward cycle.

The market continues to face US tariffs and trade war uncertainties, however,

these have not directly impacted the Capesize and Newcastlemax segments, with

less than 2% of exports of the total large size drybulk trades affected and no

material impact on imports.

The Company has maintained its strategy of making monthly distributions to its

shareholders. Given the limited need for capital expenditures, we expect a

significant portion of free cash flow to be paid to shareholders. On August 7,

2025, we declared a cash distribution of $0.04 per share. If our positive

market outlook materializes, there may be a potential to increase

distributions."

[1] The Company uses certain financial information calculated on a basis other

than in accordance with accounting principles generally accepted in the United

States (US GAAP) including average daily TCE earnings, gross and EBITDA.

EBITDA as presented above represents our net income (loss) plus depreciation

of vessels and equipment; total financial expenses, net; and income tax

expense. Please refer to the appendix of this report for a reconciliation of

this non-GAAP financial measure to the most directly comparable financial

measure prepared in accordance with US GAAP.

[2] Average daily TCE earnings, gross, as presented above, represents time

charter revenues and voyage charter revenues adding back address commissions

and divided by fleet operational days. Please refer to the appendix of this

release for a reconciliation of this non-GAAP measure to the most directly

comparable financial measures prepared in accordance with US GAAP.

About Himalaya Shipping Ltd.

Himalaya Shipping Ltd. is an independent bulk carrier company, incorporated in

Bermuda. Himalaya Shipping has twelve vessels in operation.

August 8, 2025

The Board of Directors

Himalaya Shipping Ltd.

Hamilton, Bermuda