Revenue growth has decelerated to 9.5% as of 2026Q1, while gross margins have experienced a sharp contraction from 62.7% in 2025Q1 to 18.7% in the most recent quarter.
KNOT Offshore Partners LP (KNOP) annual income statement — 15-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 |
|---|
| Sales/Revenue | 382.14M | 364.44M | 312.63M | 290.72M | 268.58M | 281.13M | 279.22M | 282.56M | 279.46M | 219.2M | 173.67M | 155.02M | 112.84M | 73.4M | 65.65M | 43.91M |
| Revenue Growth % | 12.85% | 16.57% | 7.54% | 8.24% | -4.46% | 0.68% | -1.18% | 1.11% | 27.49% | 26.22% | 12.03% | 37.38% | 53.73% | 11.8% | 49.52% | - |
| Cost of Goods Sold | 284.35M | 253.48M | 112.12M | 209.79M | 196.26M | 171.67M | 150.75M | 149.97M | 145.49M | 118.29M | 87.13M | 76.39M | 58.2M | 38.06M | 34.18M | 29.68M |
| COGS % of Revenue | - | 69.55% | 35.86% | 72.16% | 73.07% | 61.07% | 53.99% | 53.08% | 52.06% | 53.96% | 50.17% | 49.27% | 51.58% | 51.85% | 52.06% | 67.59% |
| Gross Profit | 97.79M | 110.96M | 200.51M | 80.93M | 72.32M | 109.46M | 128.47M | 132.59M | 133.97M | 100.91M | 86.54M | 78.64M | 54.64M | 35.34M | 31.47M | 14.23M |
| Gross Margin % | 25.59% | 30.45% | 64.14% | 27.84% | 26.93% | 38.93% | 46.01% | 46.92% | 47.94% | 46.04% | 49.83% | 50.73% | 48.42% | 48.15% | 47.94% | 32.41% |
| Gross Profit Growth % | - | -44.66% | 147.77% | 11.9% | -33.93% | -14.8% | -3.1% | -1.03% | 32.76% | 16.61% | 10.05% | 43.92% | 54.59% | 12.31% | 121.14% | - |
| Operating Expenses | 8.25M | 7.4M | 127.59M | 55.79M | 6.1M | 6.46M | 5.39M | 4.86M | 5.29M | 5.55M | 4.37M | 4.29M | 4.32M | 5.36M | 1.4M | 927K |
| OpEx % of Revenue | - | 2.03% | 40.81% | 19.19% | 2.27% | 2.3% | 1.93% | 1.72% | 1.89% | 2.53% | 2.52% | 2.77% | 3.83% | 7.3% | 2.12% | 2.11% |
| Selling, General & Admin | 5.74M | 0 | 6.07M | 6.14M | 6.1M | 6.46M | 5.39M | 4.86M | 5.29M | 5.55M | 4.37M | 4.29M | 4.32M | 5.36M | 1.4M | 927K |
| SG&A % of Revenue | - | - | 1.94% | 2.11% | 2.27% | 2.3% | 1.93% | 1.72% | 1.89% | 2.53% | 2.52% | 2.77% | 3.83% | 7.3% | 2.12% | 2.11% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 1000K | 7.4M | 121.53M | 49.65M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | 89.54M | 103.57M | 72.92M | 25.14M | 66.22M | 73.57M | 123.08M | 127.73M | 128.68M | 95.36M | 82.17M | 68.13M | 50.32M | 29.98M | 26.64M | 13.3M |
| Operating Margin % | 23.43% | 28.42% | 23.32% | 8.65% | 24.66% | 26.17% | 44.08% | 45.2% | 46.05% | 43.5% | 47.31% | 43.95% | 44.59% | 40.85% | 40.57% | 30.3% |
| Operating Income Growth % | - | 42.04% | 190.08% | -62.04% | -9.99% | -40.22% | -3.64% | -0.74% | 34.95% | 16.05% | 20.6% | 35.4% | 67.81% | 12.56% | 100.21% | - |
| EBITDA | 230.54M | 223.27M | 183.77M | 135.39M | 173.64M | 173.13M | 213.13M | 218.18M | 218.04M | 167.37M | 138.4M | 115.46M | 83.12M | 52.23M | 46.3M | 30.19M |
| EBITDA Margin % | 60.33% | 61.26% | 58.78% | 46.57% | 64.65% | 61.58% | 76.33% | 77.21% | 78.02% | 76.35% | 79.69% | 74.48% | 73.66% | 71.16% | 70.52% | 68.76% |
| EBITDA Growth % | 9.71% | 21.49% | 35.74% | -22.03% | 0.29% | -18.77% | -2.32% | 0.06% | 30.28% | 20.93% | 19.87% | 38.9% | 59.13% | 12.81% | 53.36% | - |
| D&A (Non-Cash Add-back) | 141M | 119.7M | 110.85M | 110.25M | 107.42M | 99.56M | 90.05M | 90.45M | 89.36M | 72.01M | 56.23M | 47.33M | 32.8M | 22.25M | 19.66M | 16.89M |
| EBIT | 92.65M | 103.57M | 79.83M | 33.74M | 102.77M | 83.44M | 97.58M | 110.55M | 133.38M | 100.17M | 83.27M | 56.69M | 42.68M | 28.66M | 15.48M | -7.93M |
| Net Interest Income | -56.51M | -59.21M | -64.07M | -69.19M | -42.41M | -29.07M | -32.23M | -50.72M | -50.48M | -31.87M | -22.15M | -17.95M | -16.53M | -10.74M | -13.45M | -12.36M |
| Interest Income | 3.66M | 3.57M | 1.06M | 3.47M | 822K | 2K | 125K | 865K | 739K | 248K | 24K | 8K | 13K | 30K | 19K | 34K |
| Interest Expense | 60.17M | 62.78M | 65.13M | 72.66M | 43.23M | 29.08M | 32.35M | 51.58M | 51.22M | 32.12M | 22.18M | 17.95M | 16.54M | 10.77M | 13.47M | 9.65M |
| Other Income/Expense | -73.74M | -79.14M | -58.22M | -64.06M | -6.68M | -19.21M | -57.85M | -68.76M | -46.52M | -27.31M | -21.08M | -27.75M | -22.91M | -12.09M | -24.63M | -30.88M |
| Pretax Income | 15.8M | 24.42M | 14.7M | -38.92M | 59.54M | 54.36M | 65.23M | 58.97M | 82.16M | 68.05M | 61.09M | 40.38M | 27.41M | 17.89M | 2.01M | -17.58M |
| Pretax Margin % | 4.13% | 6.7% | 4.7% | -13.39% | 22.17% | 19.34% | 23.36% | 20.87% | 29.4% | 31.04% | 35.17% | 26.05% | 24.29% | 24.37% | 3.06% | -40.03% |
| Income Tax | 894K | 1.16M | 631K | -4.59M | 875K | 488K | 10K | 9K | -2K | -16K | -15K | -59K | 15K | 2.83M | 1.26M | -1.24M |
| Effective Tax Rate % | 5.66% | 4.76% | 4.29% | 11.81% | 1.47% | 0.9% | 0.02% | 0.02% | -0% | -0.02% | -0.02% | -0.15% | 0.05% | 15.8% | 62.86% | 7.05% |
| Net Income | 14.91M | 23.26M | 14.06M | -34.33M | 58.67M | 53.88M | 65.22M | 58.96M | 82.17M | 68.06M | 61.1M | 40.44M | 27.39M | 15.06M | 745K | -16.34M |
| Net Margin % | 3.9% | 6.38% | 4.5% | -11.81% | 21.84% | 19.16% | 23.36% | 20.87% | 29.4% | 31.05% | 35.18% | 26.09% | 24.27% | 20.52% | 1.13% | -37.21% |
| Net Income Growth % | -55.99% | 65.37% | 140.97% | -158.51% | 8.89% | -17.4% | 10.63% | -28.25% | 20.72% | 11.4% | 51.09% | 47.64% | 81.84% | 1922.01% | 104.56% | - |
| Net Income (Continuing) | 14.91M | 23.26M | 14.06M | -34.33M | 58.67M | 53.88M | 65.22M | 58.96M | 82.17M | 68.06M | 61.1M | 40.44M | 27.39M | 15.06M | 745K | -16.34M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 9.59M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.44 | 0.69 | 0.21 | -1.03 | 1.33 | 1.24 | 1.74 | 1.55 | 2.51 | 2.26 | 2.25 | 1.60 | 1.39 | 0.88 | 0.04 | -0.95 |
| EPS Growth % | -56.82% | 228.57% | 120.39% | -177.44% | 7.26% | -28.74% | 12.26% | -38.25% | 11.06% | 0.44% | 40.63% | 15.11% | 57.95% | 1922.99% | 104.58% | - |
| EPS (Basic) | - | 0.69 | 0.21 | -1.18 | 1.48 | 1.39 | 1.74 | 1.55 | 2.51 | 2.26 | 2.25 | 1.60 | 1.39 | 0.88 | 0.04 | -0.95 |
| Diluted Shares Outstanding | 33.91M | 33.92M | 34.3M | 39.32M | 38.34M | 37.26M | 32.69M | 32.69M | 32.69M | 30.07M | 27.19M | 25.27M | 19.78M | 17.14M | 17.14M | 17.14M |
| Basic Shares Outstanding | 33.91M | 33.92M | 34.05M | 34.3M | 34.3M | 33.24M | 32.69M | 32.69M | 32.69M | 30.07M | 27.19M | 25.27M | 19.78M | 17.14M | 17.14M | 17.14M |
| Dividend Payout Ratio | - | 44.72% | 73.99% | - | 135.46% | 147.35% | 121.63% | 134.57% | 96.56% | 101.33% | 98.46% | 131.97% | 133.75% | 233.12% | - | - |
Quick answers to the most common questions about buying KNOP stock.
For fiscal year 2025, KNOT Offshore Partners LP (KNOP) reported total revenue of $364.4M. This represents a 730.0% increase compared to $43.9M in 2011.
KNOT Offshore Partners LP (KNOP) is profitable, generating $23.3M in net income for the fiscal year ending 2025 with a net profit margin of 6.4%.
KNOT Offshore Partners LP (KNOP) reported an operating income of $103.6M, resulting in an operating profit margin of 28.4%. This margin reflects the operational efficiency of the business before interest and taxes.
KNOT Offshore Partners LP (KNOP) generated $111.0M in gross profit for the year, representing a gross profit margin of 30.4%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
High debt service burden
Revenue Growth Amidst Contract Volatility
According to the provided quarterly income statements, KNOP's revenue growth has exhibited significant volatility, peaking at 27.0% in 2025Q3 before decelerating to 9.5% in 2026Q1, suggesting that the company's reliance on specific offshore project timelines creates an inconsistent top-line trajectory for investors to monitor.
The revenue fluctuations appear tied to the timing of vessel off-hire periods and contract renewals rather than organic fleet expansion. This inconsistency suggests that the company's revenue base lacks the stability typically expected from long-term charter models, potentially indicating underlying operational challenges in maintaining consistent fleet utilization.
Structural Margin Compression and Instability
As reported in financial statements, KNOP's gross margin experienced a sharp contraction from 62.7% in 2025Q1 to 18.7% by 2026Q1, highlighting a concerning inability to maintain pricing power or cost efficiency in the face of rising operational expenses and maintenance requirements.
The dramatic margin erosion suggests that the company is struggling to pass through inflationary cost pressures to its charterers. Investors should interpret this trend as a sign of weakening competitive positioning, as the high fixed-cost nature of shuttle tankers leaves little room for error when utilization rates dip.
Earnings Quality Obscured by Volatility
Based on the income statement data, KNOP's net income has swung violently between a $23.3M profit in 2024Q4 and a $12.9M loss in 2024Q2, indicating that reported earnings are highly sensitive to non-operating items and accounting adjustments rather than core operational performance.
The frequent shifts between profitability and net losses suggest that the company's bottom line is unreliable for valuation purposes. This volatility warrants further investigation into the impact of interest rate hedging and non-cash charges, which appear to mask the true cash-generating capacity of the fleet.
Sustainability of Current Operating Model
Analysis of the income statement suggests that KNOP's recent performance, characterized by a 2026Q1 net margin of only 2.9%, may be unsustainable, as the company faces a potential liquidity squeeze if it cannot stabilize its cost structure and improve its debt-servicing capacity.
Short-sellers would likely focus on the persistent inability to generate consistent net income, which threatens the company's long-term viability. The combination of declining margins and erratic earnings suggests that the current business model may be failing to cover its capital costs, necessitating a fundamental strategic pivot.