Company: TEN-PE
Filing Date: 2025-09-30
Form Type: 6-K
Source: 0001193125-25-225057
Chunk: 10

Company: TSAKOS ENERGY NAVIGATION LTD
Filing Date: 2025-09-30
Form: 6-K
Chunk 10
---
. During the second quarter of 2024, the Company sold four vessels. There were no vessel sales during the second quarter of 2025.

Impairment

The Company reviews and tests all vessels and vessels under construction for impairment at each quarter-end and when indications exist. As of June 30, 2025, vessel values had slightly decreased compared to the respective period during the prior year. As of June 30, 2025, seven of our vessels had carrying value in excess of market value. Our fleet is for the most part young, with an average age of 10.2 years as of June 30, 2025, and every vessel in the fleet is expected to generate considerably more cash during their remaining expected lives than their carrying values. The Company’s cash flow tests per vessel for assessing whether an impairment charge was required did not indicate that such an impairment charge was required for any vessel of the fleet intended to be held and used at June 30, 2025 and 2024. In addition, the Company reviews and tests its right-of-use assets for impairment at each reporting date. The review of the carrying amounts in connection with the estimated recoverable amount for the Company’s right-of-use assets as of June 30, 2025, and June 30, 2024, indicated no impairment charge.

General and administrative expenses

General and administrative expenses include management fees, administrative expenses, management incentive awards and stock compensation expense.

General and administrative expenses (G&A expenses) increased to $13.2 million in the second quarter of 2025 compared to $7.9 million in the second quarter of 2024, an increase of $5.3 million which is attributed to the management incentive award for the amount of $3.0 million and the stock-based compensation expense of the restricted share awards for the amount of $2.3 million. For the first six months of 2025 general and administrative expenses increased by $7.9 million, compared to the equivalent period of 2024.

The Company pays Tsakos Energy Management fixed fees per vessel under a management agreement. The fee includes compensation for services that cover both the management of the individual vessels, as described below, and of the enterprise as a whole. Management fees, including those paid to third-party ship management companies, totaled $5.8 million during the quarters ended June 30, 2025 and 2024. For the six months ended June 30, 2025, management fees slightly increased by