UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
_________________________

FORM 6-K
_________________________

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934

Date of Report: February 22, 2024

Commission file number 1-33867
_________________________

TEEKAY TANKERS LTD.
(Exact name of Registrant as specified in its charter)
_________________________

4th Floor, Belvedere Building, 69 Pitts Bay Road, Hamilton, HM 08, Bermuda
(Address of principal executive office)
_________________________


Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F ý           Form 40-F ¨



















Item 1 — Information Contained in this Form 6-K Report

Attached as Exhibit 1 is a copy of an announcement of Teekay Tankers Ltd. dated February 22, 2024.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

TEEKAY TANKERS LTD.
Date: February 22, 2024By: /s/ Stewart Andrade
 Stewart Andrade
Chief Financial Officer
(Principal Financial and Accounting Officer)


image2.jpg
newsreleasea10.jpg




TEEKAY TANKERS LTD. REPORTS
FOURTH QUARTER AND ANNUAL 2023 RESULTS

Highlights
•Reported GAAP net income of $111.7 million, or $3.27 per share; and adjusted net income(1) of $99.5 million, or $2.91 per share, in the fourth quarter of 2023 (excluding items listed in Appendix A to this release).
•Fiscal year 2023 GAAP net income of $513.7 million, or $15.04 per share; and fiscal year 2023 adjusted net income(1) of $500.5 million, or $14.65 per share (excluding items listed in Appendix A to this release).
•Strong 2023 mid-sized tanker spot rates coupled with the Company’s high operating leverage resulted in the highest fiscal year net income in the Company’s history.
•The Company gave notice to exercise purchase options on eight vessels under sale-leaseback arrangements for a total of $137 million. After completing these repurchases in Q1-24, the Company is expected to be debt free.
•The Company sold two 2004-built Aframax vessels for $46.5 million. One vessel sale completed in December 2023 which resulted in a gain on sale of $10.4 million. The second vessel sale completed in February 2024 which is expected to result in a gain on sale of approximately $11.5 million during the first quarter of 2024.
•The Company declared a cash dividend of $0.25 per share for the quarter ended December 31, 2023.

Hamilton, Bermuda, February 22, 2024 - Teekay Tankers Ltd. (Teekay Tankers or the Company) (NYSE: TNK) today reported the Company's results for the quarter and year ended December 31, 2023:

Consolidated Financial Summary
Three Months EndedYear Ended
(in thousands of U.S. dollars, except per share data)December 31,
2023		September 30,
2023		December 31,
2022		December 31,
2023		December 31,
2022
(unaudited)(unaudited)(unaudited)(unaudited)(unaudited)
GAAP FINANCIAL COMPARISON
Total revenues313,291 285,858 367,318 1,364,452 1,063,111 
Income from operations112,913 81,575 154,275 535,910 255,949 
Net income111,694 81,366 146,427 513,671 229,086 
Earnings per share - basic3.27 2.38 4.30 15.04 6.74 
NON-GAAP FINANCIAL COMPARISON
Adjusted EBITDA (1)
127,181 106,084 180,127 623,562 348,095 
Adjusted net income (1)
99,545 76,611 147,513 500,512 217,080 
Adjusted earnings per share - basic (1)
2.91 2.24 4.33 14.65 6.39 
Net cash (debt) (2)
226,343 83,263 (345,399)226,343 (345,399)
(1)    These are non-GAAP financial measures. Please refer to "Definitions and Non-GAAP Financial Measures" and the Appendices to this release for definitions of these terms and reconciliations of these non-GAAP financial measures as used in this release to the most directly comparable financial measures under United States generally accepted accounting principles (GAAP).
(2)     Net cash (debt) is a non-GAAP financial measure and represents (a) cash and cash equivalents and restricted cash, less (b) short-term debt, current and long-term debt and current and long-term obligations related to finance leases.

1

Teekay Tankers Ltd. Investor Relations E-mail: TeekayTankers@IGBIR.com www.teekaytankers.com
4th Floor, Belvedere Building, 69 Pitts Bay Road, Hamilton, HM 08, Bermuda

image2.jpg






Fourth Quarter of 2023 Compared to Third Quarter of 2023
GAAP net income and non-GAAP adjusted net income for the fourth quarter of 2023 increased compared to the third quarter of 2023, primarily due to higher average spot tanker rates. GAAP net income in the fourth quarter of 2023 included a $10.4 million gain from the sale of one vessel, while the third quarter of 2023 included a $5.8 million reversal of income tax accruals.

Fourth Quarter of 2023 Compared to Fourth Quarter of 2022
GAAP net income and non-GAAP adjusted net income for the fourth quarter of 2023 decreased compared to the same period of the prior year, primarily due to lower average spot tanker rates and a higher number of scheduled dry dockings, partially offset by lower net interest expense resulting from lower overall finance lease obligation balances and higher interest income, as well as the commencement of four charter-in contracts between the fourth quarter of 2022 and the first quarter of 2023. In addition, GAAP net income in the fourth quarter of 2023 included a $10.4 million gain from the sale of one vessel.

CEO Commentary
“Firm oil demand, increased tonne-miles due to the Russia - Ukraine War, record export volumes from the U.S. Gulf, and low fleet growth laid the foundation for a very strong tanker market throughout 2023, while seasonal factors and geopolitical tension added to rate volatility,” commented Kevin Mackay, Teekay Tankers’ President and Chief Executive Officer. “With our fleet of mid-size vessels almost exclusively trading in the spot market, Teekay Tankers achieved our best financial results in the Company’s history. By remaining disciplined and focusing our efforts on reducing debt levels and building financial strength, we have materially enhanced Teekay Tankers’ strategic optionality and ability to continue creating shareholder value moving forward."

"In the fourth quarter of 2023, export volumes from key load regions increased in order to meet refining demand, and the combination of typical winter seasonality and restrictions in both the Panama and Suez canals have kept spot charter rates elevated. We took the opportunity afforded by the strong tanker market to agree to the sale of our two oldest vessels for $46.5 million, which resulted in a combined gain on sale of approximately $21.9 million. Looking ahead, we turn our attention to unwinding our last remaining sale-leaseback arrangements, after which Teekay Tankers will be debt free."

"Our spot market exposure and fleet of mid-size tankers position Teekay Tankers to continue generating strong cash flow, particularly as tonne-mile demand growth is forecasted to outpace fleet supply growth in the coming years. We intend to maintain our discipline and long-term orientation in capital allocation, prioritizing the retention of capital for future fleet reinvestment while also continuing to return capital to shareholders."













2
image2.jpg






Summary of Recent Events
In December 2023, Teekay Tankers agreed to sell two 2004-built Aframax vessels for gross proceeds of $46.5 million. One vessel sale completed in December 2023 which resulted in a gain on sale of $10.4 million. The other vessel sale completed in February 2024 which is expected to result in a gain on sale of approximately $11.5 million during the first quarter of 2024.

In January 2024, the Company gave notice to exercise purchase options on eight vessels under sale-leaseback arrangements for a total purchase price of $137 million. The vessels are expected to be repurchased with cash balances in March 2024 and will then be unencumbered. The Company is expected to be debt free after the vessels are repurchased.

The Company's board of directors declared a fixed quarterly cash dividend in the amount of $0.25 per outstanding share of common stock for the quarter ended December 31, 2023. The dividend is payable on March 15, 2024 to all of Teekay Tankers' shareholders of record on March 4, 2024.

Tanker Market
Mid-size crude tanker spot rates increased during the fourth quarter of 2023, primarily due to an increase in crude oil exports from key load regions in both OPEC+ and non-OPEC+ countries, including record high crude oil exports from the U.S. Gulf, coupled with seasonal weather delays. Spot tanker rates have remained firm at the start of 2024 as seasonal factors continue to support rates, while instability in the Red Sea region due to attacks on merchant ships has led to an increase in tonne-mile demand as owners and charterers look to reroute vessels on longer haul voyages in order to avoid the affected region.

The outlook for the global economy is improving, with the International Monetary Fund (IMF) recently increasing its forecast for global GDP growth in 2024 from 2.9% to 3.1%, with further growth of 3.2% expected in 2025. The prospect of a hard landing for the global economy may be receding as inflation starts to fall across the globe, though downside risks remain. The outlook for global oil demand also remains positive, with the U.S. Energy Information Administration (EIA) forecasting growth of 1.4 million barrels per day (mb/d) in 2024 and a further 1.3 mb/d in 2025.

The majority of oil supply growth in 2024 is expected to come from non-OPEC+ countries in the Atlantic Basin, led by the United States, Canada, Brazil, and Guyana. Given that oil demand growth is expected to be focused on the Asia-Pacific region in 2024, there could be an increase in Atlantic-to-Pacific crude oil movements, which may be beneficial for tanker tonne-mile demand. However, supply cuts from the OPEC+ group, which were announced in November 2023, and which came into effect in January 2024, may lead to reduced export volumes, particularly from the Middle East, which could weigh on tanker demand in the near term.

The ongoing conflict in Ukraine continues to impact mid-size tanker tonne-miles, with the vast majority of Russian crude oil exports now heading long-haul to India and China, and the Company expects this situation to persist over the medium term. In addition, growing instability in the Middle East has increasingly impacted shipping markets since December 2023 in the form of attacks on merchant ships in the Red Sea. This is a dynamic situation, but for the time being we expect that many ship owners and charterers will look to avoid the region and seek alternate routes that inevitably involve longer voyages. For many vessels, this means sailing around the Cape of Good Hope, adding a significant number of voyage days and creating additional tanker tonne-mile demand. For example, a Suezmax voyage from Basra, Iraq to the Mediterranean is around 4,000 nautical miles via the Suez Canal compared to around 12,000 nautical miles via the Cape of Good Hope. While it is impossible to predict how this situation will evolve in the future, the rerouting of cargos may continue to create additional tanker demand in the near term.

Tanker fleet supply fundamentals continue to look very positive. This is especially true for 2024 with just 9 million deadweight tons (mdwt) scheduled to be delivered this year, the lowest annual total since 1997. The tanker
3
image2.jpg






orderbook as a whole remains low compared to the 20-year average at around 7% of the existing fleet size, while forward orderbook cover at global shipyards stands at 3.5 years, meaning there is little spare shipyard capacity until 2027. The combination of a low orderbook, an aging tanker fleet, and a lack of shipyard capacity until 2027 should lead to very low levels of tanker fleet growth over the next three years including virtually no fleet growth in 2024.

In summary, the Company expects that a combination of robust tanker demand growth and very positive fleet supply fundamentals will continue to lay the foundation for a strong spot tanker market over the next two to three years. Geopolitical instability in various regions of the world, and the subsequent rerouting of tankers on longer haul voyages, may add to spot tanker rate volatility.
4
image2.jpg






Operating Results
The following table highlights the operating performance of the Company’s time-charter vessels and spot vessels trading in revenue sharing arrangements (RSAs), on voyage charters and in full service lightering, in each case measured in net revenues(1) per revenue day(2), or time-charter equivalent (TCE) rates, before off-hire bunker expenses:
Three Months EndedYear Ended
December 31, 2023September 30, 2023December 31, 2022December 31, 2023December 31, 2022
Time Charter-Out Fleet
Suezmax revenue days
929213651
Suezmax TCE per revenue day$37,513$37,513$37,611$37,513$37,611
Aframax / LR2 revenue days
929292382660
Aframax / LR2 TCE per revenue day $47,288$47,288$18,000$43,123$21,070
 
Spot Fleet
Suezmax revenue days
2,1532,2512,2618,9228,888
Suezmax spot TCE per revenue day (3)
$37,041$34,954$56,008$46,485$32,257
Aframax / LR2 revenue days
2,2762,2561,9638,6807,652
Aframax / LR2 spot TCE per revenue day (4)
$44,545$36,579$52,136$49,045$32,721
 
Total Fleet
Suezmax revenue days
2,2452,3432,2629,2878,889
Suezmax TCE per revenue day $37,060$35,055$55,998$46,132$32,258
Aframax / LR2 revenue days
2,3682,3482,0559,0628,312
Aframax / LR2 TCE per revenue day $44,652$36,999$50,607$48,796$31,795

(1)    Net revenues is a non-GAAP financial measure. Please refer to "Definitions and Non-GAAP Financial Measures" for a definition of this term and Appendix C to this release for a reconciliation of this non-GAAP financial measure as used in this release to the most directly comparable financial measure under GAAP.
(2)    Revenue days are the total number of calendar days the Company's vessels were in its possession during a period, less the total number of off-hire days during the period associated with major repairs or modifications, dry dockings or special or intermediate surveys. Consequently, revenue days represent the total number of days available for the vessel to earn revenue. Idle days, which are days when the vessel is available to earn revenue but is not employed, are included in revenue days.
(3)    Includes Suezmax vessels trading in the Teekay Suezmax RSA and non-RSA voyage charters.
(4)    Includes Aframax and LR2 vessels trading in the Teekay Aframax RSA, non-RSA voyage charters and full service lightering voyages.

First Quarter of 2024 Spot Tanker Performance Update
The following table presents Teekay Tankers’ TCE rates booked to-date in the first quarter of 2024 for its spot-traded fleet only, together with the percentage of total revenue days currently fixed for the first quarter:
First Quarter 2024 To-Date Spot Tanker Rates
TCE Rates Per Day
% Fixed
Suezmax$50,10068%
Aframax / LR2 (1)
$50,90067%

(1)    Rates and percentage booked to date include Aframax RSA and non-RSA voyage charters and full service lightering for all Aframax and LR2 vessels, whether trading in the clean or dirty spot market.



5
image2.jpg






Teekay Tankers Fleet
The following table summarizes the Company’s fleet as of February 19, 2024:
Owned and Leased VesselsChartered-in VesselsTotal
Fixed-rate:
Suezmax Tanker(1)
—11
Total Fixed-Rate Fleet—11
Spot-rate:
Suezmax Tankers25—25
Aframax Tankers / LR2 Product Tankers(2)(3)
17724
VLCC Tanker(4)
1—1
Total Spot Fleet43750
Total Tanker Fleet43851
STS Support Vessels—22
Total Teekay Tankers Fleet431053
(1)    Includes one Suezmax tanker with a charter-in contract that is scheduled to expire in June 2027 with an option to extend for one additional year.
(2)    Excludes one Aframax / LR2 tanker which was sold and delivered to its buyer in February 2024.
(3)    Includes seven Aframax / LR2 tankers with charter-in contracts that are scheduled to expire in July 2024, August 2024, November 2024, March 2025, February 2026, and January 2030, three of which have options to extend for one additional year, and one of which has options to extend for up to three years.
(4)    The Company’s ownership interest in this vessel is 50 percent.

Liquidity Update
As at December 31, 2023, the Company had total liquidity of $687.1 million (comprised of $365.3 million in cash and cash equivalents and $321.8 million in undrawn capacity from its credit facility), compared to total liquidity of $511.5 million as at September 30, 2023. The increase of $175.6 million in liquidity compared to the prior quarter is primarily due to positive net operating cash flow, an increase in the borrowing capacity of our revolving credit facility, and net proceeds received from the sale of one Aframax / LR2 vessel, partially offset by cash dividends paid on our common shares.

Conference Call
The Company plans to host a conference call on Thursday, February 22, 2024 at 11:00 a.m. (ET) to discuss its fourth quarter and annual 2023 results. All shareholders and interested parties are invited to listen to the live conference call by choosing from the following options:
•By dialing 1(800) 239-9838 or (647) 794-4605, if outside of North America, and quoting conference ID code 2852672.
•By accessing the webcast, which will be available on Teekay Tankers’ website at www.teekay.com (the archive will remain on the website for a period of one year).
An accompanying Fourth Quarter and Annual 2023 Earnings Presentation will also be available at www.teekay.com in advance of the conference call start time.



6
image2.jpg






About Teekay Tankers
Teekay Tankers has a fleet of 42 double-hull tankers (including 25 Suezmax tankers and 17 Aframax / LR2 tankers), and also has eight time chartered-in tankers. Teekay Tankers’ vessels are typically employed through a mix of spot tanker market trading and short- or medium-term fixed-rate time charter contracts. Teekay Tankers also owns a Very Large Crude Carrier (VLCC) through a 50 percent-owned joint venture. In addition, Teekay Tankers owns a ship-to-ship transfer business that performs full service lightering and lightering support operations in the U.S. Gulf and Caribbean. Teekay Tankers was formed in December 2007 by Teekay Corporation as part of its strategy to expand its oil tanker business.

Teekay Tankers’ Class A common stock trades on the New York Stock Exchange under the symbol “TNK.”

For Investor Relations enquiries contact:
E-mail: TeekayTankers@IGBIR.com
7
image2.jpg






Definitions and Non-GAAP Financial Measures
This release includes various financial measures that are non-GAAP financial measures as defined under the rules of the Securities and Exchange Commission (SEC). These non-GAAP financial measures, which include Adjusted Net Income, Adjusted EBITDA, and Net Revenues, are intended to provide additional information and should not be considered substitutes for measures of performance prepared in accordance with GAAP. In addition, these measures do not have standardized definitions across companies, and therefore may not be comparable to similar measures presented by other companies. These non-GAAP measures are used by management, and the Company believes that these supplemental metrics assist investors and other users of its financial reports in comparing financial and operating performance of the Company across reporting periods and with other companies.
Non-GAAP Financial Measures
Adjusted net income excludes certain items of income or loss from GAAP net income that are typically excluded by securities analysts in their published estimates of the Company’s financial results. The Company believes that certain investors use this information to evaluate the Company’s financial performance, as does management. Please refer to Appendix A of this release for a reconciliation of this non-GAAP financial measure to net income, the most directly comparable GAAP measure reflected in the Company’s consolidated financial statements.
Adjusted EBITDA represents EBITDA (i.e. net income before interest, taxes, and depreciation and amortization) adjusted to exclude certain items whose timing or amount cannot be reasonably estimated in advance or that are not considered representative of core operating performance. Such adjustments include foreign exchange gains and losses, write-downs of assets, gains and losses on sale of assets, unrealized credit loss adjustments, unrealized gains and losses on derivative instruments, realized gains or losses on derivative instruments resulting from amendments or terminations of the underlying instruments, equity income or loss from unconsolidated joint ventures and any write-offs and certain other income or expenses. Adjusted EBITDA also excludes realized gains or losses on interest rate swaps (as management, in assessing the Company's performance, views these gains or losses as an element of interest expense). Adjusted EBITDA is a non-GAAP financial measure used by certain investors and management to measure the operational performance of companies. Please refer to Appendix B of this release for a reconciliation of Adjusted EBITDA to net income, the most directly comparable GAAP measure reflected in the Company’s consolidated financial statements.
Net revenues represents income from operations before vessel operating expenses, time-charter hire expenses, depreciation and amortization, general and administrative expenses, gain or loss on sale and write-down of assets, and restructuring charges. Since the amount of voyage expenses the Company incurs for a particular charter depends on the type of the charter, the Company includes these costs in net revenues to improve the comparability between periods of reported revenues that are generated by the different types of charters and contracts. The Company principally uses net revenues, a non-GAAP financial measure, because the Company believes it provides more meaningful information about the deployment of the Company's vessels and their performance than does income from operations, the most directly comparable financial measure under GAAP. Please refer to Appendix C of this release for a reconciliation of this non-GAAP financial measure to income from operations, the most directly comparable GAAP measure reflected in the Company’s consolidated financial statements.

8
image2.jpg






Teekay Tankers Ltd.
Summary Consolidated Statements of Income
(in thousands of U.S. dollars, except share and per share data)
Three Months EndedYear Ended
December 31,September 30,December 31,December 31,December 31,
20232023202220232022
(unaudited)(unaudited)(unaudited)(unaudited)(unaudited)
Voyage charter revenues (1)
302,003 274,774 363,350 1,321,487 1,039,262 
Time-charter revenues 8,025 8,119 1,705 31,149 14,738 
Other revenues (2)
3,263 2,965 2,263 11,816 9,111 
Total revenues 313,291 285,858 367,318 1,364,452 1,063,111 
     
Voyage expenses (1)
(118,828)(113,274)(131,989)(474,371)(495,604)
Vessel operating expenses (36,612)(36,366)(36,209)(148,960)(150,448)
Time-charter hire expenses(19,822)(19,378)(8,035)(70,836)(27,374)
Depreciation and amortization (24,627)(24,565)(24,459)(97,551)(99,033)
General and administrative expenses (10,849)(10,700)(10,942)(45,936)(41,769)
Gain on sale and (write-down)
   of assets (3)
10,360 — — 10,360 8,888 
Restructuring charges— — (1,409)(1,248)(1,822)
Income from operations 112,913 81,575 154,275 535,910 255,949 
    
Interest expense (4,141)(6,440)(9,666)(27,706)(35,740)
Interest income 3,058 3,119 920 10,178 1,338 
Realized and unrealized gain
   on derivative instruments		— — 581 449 5,179 
Equity income (4)
516 666 1,708 3,432 244 
Other income (expense)965 (82)(490)900 2,645 
Net income before income tax113,311 78,838 147,328 523,163 229,615 
Income tax (expense) recovery(1,617)2,528 (901)(9,492)(529)
Net income111,694 81,366 146,427 513,671 229,086 
 
Earnings per share attributable
 to shareholders of Teekay Tankers
  - Basic3.27 2.38 4.30 15.04 6.74 
  - Diluted3.23 2.35 4.25 14.86 6.68 
 - Cash dividends declared0.25 0.25 — 1.75 — 
  
Weighted-average number of total common
 shares outstanding
 
 - Basic (5)
34,203,138 34,201,415 34,081,220 34,159,818 33,997,579 
  - Diluted34,613,345 34,571,439 34,491,486 34,568,160 34,287,075 
Number of outstanding shares of common
stock at the end of the period34,093,108 34,079,721 33,938,942 34,093,108 33,938,942 
9
image2.jpg






(1)Voyage charter revenues include revenues earned from full service lightering activities. Voyage expenses include certain costs associated with full service lightering activities, which include: short-term in-charter expenses, bunker fuel expenses and other port expenses totaling $10.3 million, $9.0 million and $21.9 million for the three months ended December 31, 2023, September 30, 2023 and December 31, 2022, respectively, and $44.6 million and $79.0 million for the years ended December 31, 2023 and December 31, 2022, respectively.

(2)Other revenues include lightering support revenue, revenue earned from the Company's responsibilities in employing the vessels subject to the RSAs, and bunker commissions earned.

(3)Gain on sale and (write-down) of assets for the three months and year ended December 31, 2023 includes a gain of $10.4 million relating to one Aframax / LR2 tanker, which was sold in December 2023. Gain on sale and (write-down) of assets for the year ended December 31, 2022 primarily includes a gain of $9.4 million relating to three Aframax / LR2 tankers, which were sold in April 2022 and September 2022.

(4)Equity income relates to the Company’s 50 percent interest in the High-Q Investments Ltd. (High-Q) joint venture, which owns one VLCC tanker.

(5)Includes common shares related to non-forfeitable stock-based compensation.

10
image2.jpg






Teekay Tankers Ltd.
Summary Consolidated Balance Sheets
(in thousands of U.S. dollars)
As atAs atAs at
December 31,September 30,December 31,
202320232022
(unaudited)(unaudited)(unaudited)
ASSETS
Cash and cash equivalents 365,251227,292180,512
Restricted cash 6916913,714
Accounts receivable 99,940116,434116,707
Bunker and lube oil inventory53,21951,67860,832
Prepaid expenses12,33210,34110,248
Accrued revenue and other current assets70,15658,47287,496
Assets held for sale (1)
11,910——
Total current assets613,499464,908459,509
Restricted cash – long-term——3,135
Vessels and equipment – net 929,237964,046429,987
Vessels related to finance leases – net228,973230,568823,381
Operating lease right-of-use assets76,31486,62442,894
Investment in and advances to equity-accounted joint venture15,73115,21516,198
Other non-current assets6,6566,0965,073
Intangible assets – net 6587521,051
Goodwill2,4262,4262,426
Total assets 1,873,4941,770,6351,783,654
LIABILITIES AND EQUITY
Accounts payable and accrued liabilities 73,58762,92889,819
Current obligations related to finance leases20,51720,50460,161
Current portion of operating lease liabilities35,88239,38416,585
Due to affiliates 5,0134,2571,141
Other current liabilities4,2892,8902,468
Total current liabilities139,288129,963170,174
Long-term obligations related to finance leases119,082124,216472,599
Long-term operating lease liabilities40,43247,24026,858
Other long-term liabilities 48,90747,50144,017
Equity 1,525,7851,421,7151,070,006
Total liabilities and equity 1,873,4941,770,6351,783,654
Net cash (debt) (2)
226,34383,263(345,399)
(1)Assets held for sale at December 31, 2023 includes one Aframax / LR2 tanker, which was sold in February 2024 for a proceed of $23.5 million.
(2)Net cash (debt) is a non-GAAP financial measure and represents (a) cash and cash equivalents and restricted cash, less (b) short-term debt, current and long-term debt and current and long-term obligations related to finance leases.

11
image2.jpg






Teekay Tankers Ltd.
Summary Consolidated Statements of Cash Flows
(in thousands of U.S. dollars)
Year Ended
December 31,December 31,
20232022
(unaudited)(unaudited)
Cash, cash equivalents and restricted cash provided by (used for)
OPERATING ACTIVITIES   
Net income513,671 229,086 
Non-cash items:
Depreciation and amortization97,551 99,033 
(Gain) on sale and write-down of assets(10,360)(8,888)
Unrealized loss (gain) on derivative instruments3,709 (3,163)
Equity income(3,432)(244)
Income tax expense (recovery)7,814 (129)
Other6,128 4,217 
Change in operating assets and liabilities27,221 (112,224)
Expenditures for dry docking(16,230)(14,423)
Net operating cash flow 626,072 193,265 
FINANCING ACTIVITIES   
Proceeds from short-term debt50,000 134,000 
Prepayments of short-term debt(50,000)(159,000)
Proceeds from long-term debt1,000 — 
Issuance costs related to long-term debt(4,536)— 
Scheduled repayments of long-term debt — (56,914)
Prepayments of long-term debt (1,000)(267,592)
Proceeds from financing related to sale and leaseback of vessels, net of issuance costs— 288,108 
Scheduled repayments of obligations related to finance leases(34,113)(50,636)
Prepayment of obligations related to finance leases(364,201)— 
Cash dividends paid (59,518)— 
Other(2,386)(1,014)
Net financing cash flow (464,754)(113,048)
INVESTING ACTIVITIES   
Proceeds from sale of assets23,561 69,646 
Expenditures for vessels and equipment (10,198)(15,430)
Advances to equity-accounted joint venture— (3,000)
Loan repayments from equity-accounted joint venture3,900 — 
Net investing cash flow 17,263 51,216 
Increase in cash, cash equivalents and restricted cash178,581 131,433 
Cash, cash equivalents and restricted cash, beginning of the year187,361 55,928 
Cash, cash equivalents and restricted cash, end of the year365,942 187,361 

12
image2.jpg






Teekay Tankers Ltd.
Appendix A - Reconciliation of Non-GAAP Financial Measures
Adjusted Net Income
(in thousands of U.S. dollars, except per share amounts)
Three Months Ended
December 31,
2023		September 30,
2023		December 31,
2022
(unaudited)(unaudited)(unaudited)
$
$ Per Share(1)
$
$ Per Share(1)
$
$ Per Share(1)
Net income - GAAP basis 111,694 $3.27 81,366 $2.38 146,427 $4.30 
   
Add (subtract) specific items affecting net income:  
 Gain on sale of assets(10,360)($0.31)— — — — 
Unrealized loss on derivative instruments (2)
— — — — 621 $0.02 
 
Other (3)
(1,789)($0.05)(4,755)($0.14)465 $0.01 
Total adjustments (12,149)($0.36)(4,755)($0.14)1,086 $0.03 
Adjusted net income attributable to  
 shareholders of Teekay Tankers99,545 $2.91 76,611 $2.24 147,513 $4.33 

Year Ended
December 31,
2023		December 31,
2022
(unaudited)(unaudited)
$
$ Per Share(1)
$
$ Per Share(1)
Net income - GAAP basis 513,671 $15.04 229,086 $6.74 
  
Add (subtract) specific items affecting net income: 
 (Gain) on sale and write-down of assets(10,360)($0.30)(8,888)($0.26)
Realized gain from early termination of interest rate swap(3,215)($0.10)— — 
Unrealized loss (gain) on derivative instruments (2)
3,709 $0.11 (3,163)($0.09)
 
Other (3)
(3,293)($0.10)45 — 
Total adjustments (13,159)($0.39)(12,006)($0.35)
Adjusted net income attributable to 
 shareholders of Teekay Tankers500,512 $14.65 217,080 $6.39 

(1)Basic per share amounts.
(2)Reflects unrealized gains or losses due to the changes in the mark-to-market value of derivative instruments that are not designated as hedges for accounting purposes, including unrealized gains or losses on interest rate swaps and forward freight agreements.
(3)The amount recorded for the three months ended December 31, 2023 primarily relates to the settlement of a legal claim. The amount recorded for the three months ended September 30, 2023 primarily relates to adjustments to income tax accruals of prior years. In addition to these amounts, the amount recorded for the year ended December 31, 2023 primarily relates to the premium paid as part of the exercise of early purchase options and capitalized financing costs which were written off in relation to the repurchase of certain sale-leaseback vessels, restructuring charges, and foreign exchange gains. The amount recorded for the three months ended December 31, 2022 primarily relates to adjustments to income tax accruals of prior years, restructuring charges, and foreign exchange losses. In addition to these amounts, the amount recorded for the year ended December 31, 2022 primarily relates to foreign exchange gains, debt issuance costs which were written off in connection with the refinancing of certain vessels under their respective new sale-leaseback arrangements in the first half of 2022, an expense related to the settlement of a legal claim, and the accelerated vesting and expensing of certain equity compensation grants due to organizational changes.

13
image2.jpg






Teekay Tankers Ltd.
Appendix B - Reconciliation of Non-GAAP Financial Measures
Total Adjusted EBITDA
(in thousands of U.S. dollars)
Three Months Ended
December 31,
2023		September 30,
2023		December 31,
2022
(unaudited)(unaudited)(unaudited)
Net income - GAAP basis111,694 81,366 146,427 
Depreciation and amortization24,627 24,565 24,459 
Interest expense, net of interest income1,083 3,321 8,746 
Income tax expense (recovery)1,617 (2,528)901 
EBITDA139,021 106,724 180,533 
Add (subtract) specific items affecting EBITDA:
Gain on sale of assets(10,360)— — 
Realized gain on interest rate swap— — (375)
Unrealized loss on derivative instruments— — 621 
Equity income(516)(666)(1,708)
Other (1)
(964)26 1,056 
Adjusted EBITDA127,181 106,084 180,127 
Year Ended
December 31,
2023		December 31,
2022
(unaudited)(unaudited)
Net income - GAAP basis513,671 229,086 
Depreciation and amortization97,551 99,033 
Interest expense, net of interest income17,528 34,402 
Income tax expense9,492 529 
EBITDA638,242 363,050 
Add (subtract) specific items affecting EBITDA:
(Gain) on sale and write-down of assets(10,360)(8,888)
Realized gain on interest rate swap(953)(532)
Realized gain from early termination of interest rate swap(3,215)— 
Unrealized loss (gain) on derivative instruments3,709 (3,163)
Equity income(3,432)(244)
Other (1)
(429)(2,128)
Adjusted EBITDA623,562 348,095 
(1)    The amount recorded for the three months ended December 31, 2023 primarily relates to the settlement of a legal claim and foreign exchange losses. The amount recorded for the three months ended September 30, 2023 primarily relates to the premium paid as part of the exercise of early purchase options in relation to the repurchase of certain sale-leaseback vessels and foreign exchange gains. The amount recorded for the year ended December 31, 2023 primarily relates to the settlement of a legal claim, foreign exchange gains, and the premium paid as part of the exercise of early purchase options in relation to the repurchase of certain sale-leaseback vessels. The amount recorded for the three months ended December 31, 2022 primarily relates to foreign exchange losses. The amount recorded for the year ended December 31, 2022 primarily relates to foreign exchange gains and an expense related to the settlement of a legal claim.

14
image2.jpg






Teekay Tankers Ltd.
Appendix C - Reconciliation of Non-GAAP Financial Measures
Net Revenues
(in thousands of U.S. dollars)
Three Months Ended
December 31,
2023		September 30,
2023		December 31,
2022
(unaudited)(unaudited)(unaudited)
Income from operations - GAAP basis112,913 81,575 154,275 
Add (subtract) specific items affecting income from operations:
Vessel operating expenses36,612 36,366 36,209 
Time-charter hire expenses19,822 19,378 8,035 
Depreciation and amortization24,627 24,565 24,459 
General and administrative expenses10,849 10,700 10,942 
Gain on sale of assets(10,360)— — 
Restructuring charges— — 1,409 
Total adjustments81,550 91,009 81,054 
Net revenues194,463 172,584 235,329 
Year Ended
December 31,
2023		December 31,
2022
(unaudited)(unaudited)
Income from operations - GAAP basis535,910 255,949 
Add (subtract) specific items affecting income from operations:
Vessel operating expenses148,960 150,448 
Time-charter hire expenses70,836 27,374 
Depreciation and amortization97,551 99,033 
General and administrative expenses45,936 41,769 
(Gain) on sale and write-down of assets(10,360)(8,888)
Restructuring charges1,248 1,822 
Total adjustments354,171 311,558 
Net revenues890,081 567,507 


15
image2.jpg






Forward-Looking Statements
This release contains forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. All statements included in this report, other than statements of historical fact, are forward-looking statements. When used in this report, the words "expect", "believe", "anticipate", "plan", "intend", "estimate", "may", "will" or similar words are intended to identify forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements and any such forward-looking statements are qualified in their entirety by reference to the following cautionary statements. All forward-looking statements speak only as of the date hereof and are based on current expectations and involve a number of assumptions, risks and uncertainties that could cause actual results to differ materially from such forward-looking statements. Forward-looking statements contained in this release include, among others, statements regarding: the timing of payments of cash dividends; any future dividends; the funding, expected timing and financial impact of our repurchase of certain vessels following exercise of related purchase options; our expectations regarding vessel sales; management's expectations regarding the global economic outlook as well as global oil demand and supply, and the various contributing factors thereto and impact thereof; geopolitical events and the impact thereof on our industry, our business and on the tanker rate environment; management's view of the strength of the tanker market and the Company's ability to benefit from current tanker market conditions, create shareholder value and prioritize its capital allocation initiatives; crude oil and refined product tanker market fundamentals; forecasts of worldwide tanker fleet growth or contraction, vessel scrapping levels, and newbuilding tanker orders, including the factors contributing thereto and the timing thereof, and the Company’s general outlook on tanker supply and demand fundamentals; the Company's expectations regarding tanker charter-in contracts, including the timing of commencement, expiry or extensions thereof; and the Company's liquidity and market position.

The following factors are among those that could cause actual results to differ materially from the forward-looking statements, which involve risks and uncertainties, and that should be considered in evaluating any such statement: potential changes to or termination of the Company's capital allocation plan or dividend policy; the declaration by the Company's Board of Directors of any future cash dividends on the Company's common shares; the Company's available cash and the levels of its capital needs; changes in the Company's liquidity and financial leverage; changes in tanker rates, including spot tanker market rate fluctuations, and in oil prices; changes in the production of, or demand for, oil or refined products and for tankers; changes in trading patterns affecting overall vessel tonnage requirements; non-OPEC+ and OPEC+ production and supply levels; the status of Russia's invasion of Ukraine and related sanctions, import and other restrictions; the impact of geopolitical tensions and conflicts, including the Hamas-Israel war, and changes in global economic conditions; greater or less than anticipated levels of tanker newbuilding orders and deliveries and greater or less than anticipated rates of tanker scrapping; the potential for early termination of charter contracts on existing vessels in the Company's fleet; the inability of charterers to make future charter payments; delays of vessel deliveries; changes in applicable industry laws and regulations and the timing of implementation of new laws and regulations and the impact of such changes; increased costs; and other factors discussed in Teekay Tankers’ filings from time to time with the United States Securities and Exchange Commission, including its Annual Report on Form 20-F for the fiscal year ended December 31, 2022. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company’s expectations with respect thereto or any change in events, conditions or circumstances on which any such statement is based.
16
Teekay Tankers (NYSE:TNK)
Historical Stock Chart
From Mar 2024 to Apr 2024 Click Here for more Teekay Tankers Charts.
Teekay Tankers (NYSE:TNK)
Historical Stock Chart
From Apr 2023 to Apr 2024 Click Here for more Teekay Tankers Charts.