Revenue and margins are highly volatile, with gross margins expanding from a low of 36.3% in 2025Q3 to 57.3% in 2026Q2, directly reflecting fluctuations in spot tanker freight rates.
TORM plc (TRMD) annual income statement — 26-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 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 |
|---|
| Sales/Revenue | 1.89B | 1.39B | 1.56B | 1.52B | 1.44B | 619.53M | 747.36M | 692.61M | 635.37M | 656.99M | 680.14M | 540.4M | 624.17M | 992.34M | 1.12B | 1.32B | 859.41M | 850.3M | 1.17B | 821.67M | 604.34M | 588.8M | 473.12M | 326.08M | 275.24M | 309.01M | 269.57M |
| Revenue Growth % | 46.25% | -10.86% | 2.55% | 5.33% | 132.98% | -17.1% | 7.9% | 9.01% | -3.29% | -3.4% | 25.86% | -13.42% | -37.1% | -11.49% | -15.02% | 53.51% | 1.07% | -27.33% | 42.39% | 35.96% | 2.64% | 24.45% | 45.1% | 18.47% | -10.93% | 14.63% | - |
| Cost of Goods Sold | 1.01B | 915.66M | 610.5M | 579.6M | 598.5M | 371.79M | 349.85M | 377.86M | 400M | 382.86M | 365.57M | 249M | 351.99M | 668.34M | 1.05B | 1.24B | 679.67M | 607.79M | 632.21M | 464.05M | 332.9M | 273.85M | 210.93M | 216.88M | 117.76M | 222.23M | 0 |
| COGS % of Revenue | - | 65.88% | 39.15% | 38.12% | 41.46% | 60.01% | 46.81% | 54.56% | 62.96% | 58.27% | 53.75% | 46.08% | 56.39% | 67.35% | 93.21% | 93.86% | 79.09% | 71.48% | 54.03% | 56.48% | 55.08% | 46.51% | 44.58% | 66.51% | 42.79% | 71.92% | - |
| Gross Profit | 884.15M | 474.17M | 948.7M | 940.8M | 844.9M | 247.74M | 397.51M | 314.75M | 235.36M | 274.13M | 314.57M | 291.41M | 272.19M | 323.99M | 76.13M | 81.03M | 179.75M | 242.51M | 537.8M | 357.62M | 271.44M | 314.95M | 262.2M | 109.2M | 157.48M | 86.78M | 269.57M |
| Gross Margin % | 46.76% | 34.12% | 60.85% | 61.88% | 58.54% | 39.99% | 53.19% | 45.44% | 37.04% | 41.73% | 46.25% | 53.92% | 43.61% | 32.65% | 6.79% | 6.14% | 20.91% | 28.52% | 45.97% | 43.52% | 44.92% | 53.49% | 55.42% | 33.49% | 57.21% | 28.08% | 100% |
| Gross Profit Growth % | - | -50.02% | 0.84% | 11.35% | 241.04% | -37.68% | 26.3% | 33.73% | -14.14% | -12.85% | 7.95% | 7.06% | -15.99% | 325.57% | -6.05% | -54.92% | -25.88% | -54.91% | 50.38% | 31.75% | -13.82% | 20.12% | 140.11% | -30.66% | 81.47% | -67.81% | - |
| Operating Expenses | 108.34M | 118.6M | 289.9M | 242.2M | 243.4M | 246.35M | 258.6M | 108.86M | 230.23M | 233.8M | 236.96M | 148.65M | 291.92M | 355.37M | 373.4M | 212.88M | 214.78M | 203.64M | 201.48M | 152.64M | 83.67M | 66.5M | 171.28M | 82.04M | -77.38M | 222.89M | 201.69M |
| OpEx % of Revenue | - | 8.53% | 18.59% | 15.93% | 16.86% | 39.76% | 34.6% | 15.72% | 36.24% | 35.59% | 34.84% | 27.51% | 46.77% | 35.81% | 33.3% | 16.14% | 24.99% | 23.95% | 17.22% | 18.58% | 13.84% | 11.29% | 36.2% | 25.16% | -28.12% | 72.13% | 74.82% |
| Selling, General & Admin | 108.34M | 118.6M | 95.6M | 82.9M | 55M | 51.54M | 50.77M | 47.72M | 47.83M | 45.01M | 41.41M | 19.49M | 50.97M | 56.52M | 67.22M | 71.22M | 78.16M | 78.19M | 89.91M | 68.74M | 34.59M | 31.18M | 0 | 0 | 0 | 0 | 0 |
| SG&A % of Revenue | - | 8.53% | 6.13% | 5.45% | 3.81% | 8.32% | 6.79% | 6.89% | 7.53% | 6.85% | 6.09% | 3.61% | 8.17% | 5.7% | 6% | 5.4% | 9.09% | 9.2% | 7.68% | 8.37% | 5.72% | 5.29% | - | - | - | - | - |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 0 | 194.3M | 159.3M | 188.4M | 194.81M | 207.83M | 61.13M | 182.41M | 188.79M | 195.55M | 129.17M | 240.95M | 298.85M | 306.18M | 141.66M | 136.62M | 125.44M | 111.58M | 83.89M | 49.08M | 35.32M | 171.28M | 82.04M | -77.38M | -21.82M | -25.64M |
| Operating Income | 775.8M | 355.58M | 658.8M | 698.6M | 601.5M | 1.4M | 138.91M | 205.89M | 2.82M | 39.53M | -107.21M | 142.96M | -211.03M | -90.66M | -448.5M | -388.6M | -79.62M | 49.76M | 446.25M | 204.98M | 242.13M | 303.19M | 433.47M | 191.24M | 80.09M | 60.27M | 30.66M |
| Operating Margin % | 41.03% | 25.58% | 42.25% | 45.95% | 41.67% | 0.23% | 18.59% | 29.73% | 0.44% | 6.02% | -15.76% | 26.45% | -33.81% | -9.14% | -40% | -29.45% | -9.26% | 5.85% | 38.14% | 24.95% | 40.07% | 51.49% | 91.62% | 58.65% | 29.1% | 19.5% | 11.37% |
| Operating Income Growth % | - | -46.03% | -5.7% | 16.14% | 42987.39% | -99% | -32.53% | 7195.92% | -92.86% | 136.87% | -175% | 167.74% | -132.79% | 79.79% | -15.42% | -388.07% | -260.01% | -88.85% | 117.7% | -15.34% | -20.14% | -30.06% | 126.67% | 138.77% | 32.9% | 96.56% | - |
| EBITDA | 950.23M | 578.14M | 850.8M | 847.9M | 740.5M | 132.25M | 260.83M | 316.01M | 117.3M | 153.98M | 15M | 210.28M | -114.72M | 36.25M | -310.27M | -243.77M | 61.79M | 182.53M | 572.32M | 303.66M | 301.05M | 351.08M | 471.88M | 221.15M | 100.63M | 74.28M | 52.69M |
| EBITDA Margin % | 50.26% | 41.6% | 54.57% | 55.77% | 51.3% | 21.35% | 34.9% | 45.63% | 18.46% | 23.44% | 2.21% | 38.91% | -18.38% | 3.65% | -27.67% | -18.48% | 7.19% | 21.47% | 48.92% | 36.96% | 49.81% | 59.63% | 99.74% | 67.82% | 36.56% | 24.04% | 19.55% |
| EBITDA Growth % | 71.17% | -32.05% | 0.34% | 14.5% | 459.94% | -49.3% | -17.46% | 169.4% | -23.82% | 926.33% | -92.87% | 283.3% | -416.51% | 111.68% | -27.28% | -494.51% | -66.15% | -68.11% | 88.47% | 0.87% | -14.25% | -25.6% | 113.37% | 119.77% | 35.47% | 40.98% | - |
| D&A (Non-Cash Add-back) | 174.43M | 222.56M | 192M | 149.3M | 139M | 130.85M | 121.92M | 110.12M | 114.48M | 114.45M | 122.22M | 67.33M | 96.31M | 126.9M | 138.23M | 144.83M | 141.41M | 132.78M | 126.07M | 98.68M | 58.91M | 47.89M | 38.4M | 29.91M | 20.54M | 14.02M | 22.03M |
| EBIT | 786.85M | 382.97M | 679.8M | 708.1M | 605.4M | 1.64M | 136.63M | 206.11M | 2.48M | 48.59M | -112.13M | 143.95M | 16.13M | -91.36M | -504.38M | -392.69M | -85.64M | 33.75M | 439.77M | 872.51M | 282.39M | 325.47M | 443.05M | 191.35M | 29.2M | 79.56M | 67.88M |
| Net Interest Income | -62.39M | -62.88M | -46.19M | -41.9M | -44.76M | -42.14M | -77.26M | -50.39M | -38.08M | -35.8M | -33.03M | -15.93M | -3.5M | 0 | -141.8M | -67.4M | -56.22M | -52.11M | -79.08M | -47.78M | -10.05M | -9.82M | 218.44M | 111.19M | -12.93M | -9.17M | 0 |
| Interest Income | 6.35M | 13.8M | 23.67M | 14.2M | 4M | 200K | 576.16K | 2.5M | 2.62M | 4.25M | 190.95K | 300K | 100K | 0 | 500K | 1.3M | 500K | 1.3M | 7.3M | 17.7M | 4.1M | 3.3M | 236.22M | 124.66M | 0 | 6.09M | 0 |
| Interest Expense | 68.74M | 76.68M | 69.86M | 56.1M | 48.7M | 42.4M | 77.84M | 52.89M | 40.69M | 40.6M | 33.22M | 15M | 57.4M | 0 | 74.7M | 58.7M | 50.6M | 52.8M | 79.7M | 73.6M | 41.3M | 26.1M | 17.79M | 13.48M | 12.93M | 15.26M | 0 |
| Other Income/Expense | -37.16M | -49.29M | -49.3M | -46.6M | -44.8M | -42.14M | -49.38M | -39.09M | -36.04M | -36.34M | -34.52M | -15.93M | -3.55M | -75.5M | -130.58M | -62.79M | -56.62M | -68.81M | -86.18M | 605.23M | -1.05M | -3.82M | 425.26M | 177.87M | 16.27M | -21.82M | -25.64M |
| Pretax Income | 738.64M | 306.29M | 609.5M | 652M | 556.7M | -40.74M | 89.53M | 166.81M | -33.22M | 3.18M | -141.73M | 127.02M | -283.41M | -166.16M | -579.09M | -451.38M | -136.24M | -19.05M | 360.07M | 804.22M | 241.09M | 299.37M | 425.26M | 177.87M | 16.27M | 64.3M | 42.24M |
| Pretax Margin % | 39.07% | 22.04% | 39.09% | 42.88% | 38.57% | -6.58% | 11.98% | 24.08% | -5.23% | 0.48% | -20.84% | 23.51% | -45.41% | -16.74% | -51.65% | -34.21% | -15.85% | -2.24% | 30.78% | 97.88% | 39.89% | 50.84% | 89.88% | 54.55% | 5.91% | 20.81% | 15.67% |
| Income Tax | 3.75M | 9.55M | -2M | 4M | -5.9M | 1.34M | 1.42M | 784K | 1.56M | 777K | 760K | 1.04M | 769K | -3.93M | 1.56M | 1.62M | -982K | -1.69M | -1.28M | 12.54M | 6.57M | 4K | 17.79M | 13.48M | 12.93M | 15.26M | 48.8M |
| Effective Tax Rate % | 0.51% | 3.12% | -0.33% | 0.61% | -1.06% | -3.3% | 1.58% | 0.47% | -4.69% | 24.4% | -0.54% | 0.82% | -0.27% | 2.36% | -0.27% | -0.36% | 0.72% | 8.85% | -0.36% | 1.56% | 2.73% | 0% | 4.18% | 7.58% | 79.51% | 23.73% | 115.53% |
| Net Income | 734.89M | 296.02M | 612.5M | 648.3M | 562.8M | -42.09M | 88.11M | 166.02M | -34.78M | 2.41M | -142.49M | 125.98M | -284.18M | -162.23M | -580.64M | -453.01M | -135.26M | -17.36M | 361.35M | 791.68M | 234.51M | 299.36M | 415.69M | 177.76M | 67.16M | 45.01M | 30.66M |
| Net Margin % | 38.87% | 21.3% | 39.28% | 42.64% | 38.99% | -6.79% | 11.79% | 23.97% | -5.47% | 0.37% | -20.95% | 23.31% | -45.53% | -16.35% | -51.79% | -34.34% | -15.74% | -2.04% | 30.88% | 96.35% | 38.8% | 50.84% | 87.86% | 54.51% | 24.4% | 14.57% | 11.37% |
| Net Income Growth % | 165.38% | -51.67% | -5.52% | 15.19% | 1437.17% | -147.77% | -46.93% | 577.36% | -1544.91% | 101.69% | -213.1% | 144.33% | -75.17% | 72.06% | -28.18% | -234.92% | -679.05% | -104.8% | -54.36% | 237.58% | -21.66% | -27.98% | 133.85% | 164.68% | 49.21% | 46.8% | - |
| Net Income (Continuing) | 734.89M | 296.75M | 611.5M | 648M | 562.6M | -42.09M | 88.11M | 166.02M | -34.78M | 2.41M | -142.49M | 125.98M | 12.63M | -162.23M | -580.64M | -453.01M | -135.26M | -17.36M | 361.35M | 791.68M | 234.51M | 299.36M | 415.69M | 177.76M | 67.16M | 45.01M | 30.66M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 800K | 1.9M | 2.3M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 7.04 | 2.96 | 6.36 | 7.48 | 6.90 | -0.54 | 1.27 | 2.25 | -0.48 | 0.04 | -2.27 | 2.40 | -5.15 | -3.37 | -9.84 | -9.77 | -2.93 | -0.38 | 7796.10 | 17091.00 | 5097.45 | 6446.78 | 8560.82 | 3660.80 | 1379.96 | 926.93 | 631.43 |
| EPS Growth % | 156.32% | -53.46% | -14.97% | 8.41% | 1377.78% | -142.52% | -43.56% | 568.75% | -1300% | 101.76% | -194.58% | 146.6% | -52.82% | 65.75% | -0.72% | -233.45% | -671.05% | -100% | -54.38% | 235.29% | -20.93% | -24.69% | 133.85% | 165.28% | 48.87% | 46.8% | - |
| EPS (Basic) | - | 3.01 | 6.54 | 7.75 | 7.03 | -0.54 | 1.27 | 2.25 | -0.48 | 0.04 | -2.27 | 2.40 | -5.15 | -3.37 | -9.84 | -9.77 | -2.93 | -0.38 | 7796.10 | 17091.00 | 5097.45 | 6446.78 | 8560.82 | 3660.80 | 1379.96 | 926.93 | 631.43 |
| Diluted Shares Outstanding | 104.4M | 100.1M | 96.3M | 86.7M | 82.8M | 78.1M | 74.3M | 74M | 73.1M | 62M | 62.9M | 51.7M | 55.21M | 48.11M | 59M | 46.36M | 46.22M | 46.16M | 46.36M | 46.29M | 46.29M | 46.56M | 48.56M | 48.56M | 48.56M | 48.56M | 48.56M |
| Basic Shares Outstanding | 102.4M | 98.2M | 93.6M | 83.6M | 81.3M | 78.1M | 74.3M | 74M | 72.46M | 62M | 62.77M | 51.7M | 55.21M | 48.11M | 59M | 46.36M | 46.22M | 46.16M | 46.16M | 46.16M | 46.29M | 46.42M | 48.56M | 48.56M | 48.56M | 48.56M | 48.56M |
| Dividend Payout Ratio | - | 70% | 86.21% | 92.27% | 29.62% | - | 80.14% | - | - | 51.52% | - | - | - | - | - | - | - | - | 34.26% | 53.55% | 57.2% | 30.2% | 9.16% | 3.3% | 14.58% | 9.68% | - |
Quick answers to the most common questions about buying TRMD stock.
For fiscal year 2025, TORM plc (TRMD) reported total revenue of $1.39B. This represents a 415.6% increase compared to $269.6M in 2000.
TORM plc (TRMD) is profitable, generating $296.0M in net income for the fiscal year ending 2025 with a net profit margin of 21.3%.
TORM plc (TRMD) reported an operating income of $355.6M, resulting in an operating profit margin of 25.6%. This margin reflects the operational efficiency of the business before interest and taxes.
TORM plc (TRMD) generated $474.2M in gross profit for the year, representing a gross profit margin of 34.1%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Cyclical Rate Normalization
Volatile Growth Driven by Spot Rates
TORM's revenue trajectory is highly volatile, swinging from -28.0% growth in 2025Q2 to +106.0% in 2026Q2, reflecting its direct exposure to fluctuating product tanker spot freight rates.
The extreme quarter-over-quarter swings in revenue growth, such as the deceleration from 20.3% in 2026Q1 to 106.0% in 2026Q2, underscore the company's lack of earnings visibility and dependence on the volatile Time Charter Equivalent (TCE) market. This pattern suggests that recent growth is not driven by durable, organic expansion but by favorable market conditions, making the sustainability of the current trajectory highly uncertain.
Margin Expansion Tied to Rate Environment
Gross margins have expanded significantly from a low of 36.3% in 2025Q3 to 57.3% in 2026Q2, indicating strong pricing power in a favorable freight market.
The dramatic improvement in gross margin, which reached 57.3% in the latest quarter, appears to be a direct result of higher TCE rates rather than structural cost advantages. This level of profitability is cyclical and may not be sustainable if market rates normalize, as evidenced by the margin compression seen in the 2025Q3-2025Q4 period.
High Operating Leverage Amplifies Results
Operating income scaled from $74.6M in 2025Q2 to $348.2M in 2026Q2, demonstrating significant operating leverage as revenue increased.
The company's fixed-cost structure, primarily vessel depreciation and crew costs, means that incremental revenue flows through to operating income at a high rate. This leverage is a double-edged sword; while it magnifies profits in upcycles, it also exposes the company to severe downside risk if freight rates decline, as seen in the 2025Q2 operating margin of 23.7%.
High-Quality, Cash-Based Earnings
Net income of $331.4M in 2026Q2 represents a 51.0% net margin, with no stock-based compensation expense, suggesting high-quality, cash-based earnings.
The absence of stock-based compensation and the tight correlation between operating income and net income indicate that TORM's earnings are of high quality and not inflated by non-cash items. However, the quality is tied to the cyclical market; the underlying earnings power is entirely dependent on the sustainability of current freight rates.
Disciplined SG&A Amid Volatile COGS
SG&A expenses have remained relatively stable between $22.6M and $36.6M per quarter, demonstrating management's cost discipline despite significant revenue volatility.
The stability of SG&A suggests effective overhead management, which is critical for a company with such volatile top-line performance. The primary cost driver remains COGS, which fluctuates with voyage activity and fuel costs, but the controlled SG&A base helps preserve operating margins during periods of lower revenue.
Cyclical Peak and Margin Compression Risk
The -10.86% YoY revenue growth flagged in recent context, combined with the extreme margin expansion, suggests the company may be at a cyclical peak vulnerable to normalization.
A short-seller would focus on the unsustainable nature of the current 57.3% gross margin, which is significantly above the 10-quarter average and peer levels. The recent negative revenue growth, despite strong absolute numbers, could be an early indicator of a market turn, and any decline in TCE rates would rapidly compress margins and earnings given the high operating leverage.