# 6-K exhibit

- Source: edgar · Published: 2026-03-25 · Kind: report
- Original: https://www.sec.gov/Archives/edgar/data/1564180/000110465926034126/knop-20260325xex99d1.htm

**TL;DR —** KNOT Offshore Partners LP reported a Q4 2025 net loss of $6.2 million due to a $20.3 million vessel impairment, though adjusted results show profitability and strong operational utilization, while a proposed acquisition by Knutsen NYK Offshore Tankers AS was terminated.

## Takeaways
- **Q4 2025 Net Loss Driven by Impairment:** KNOT Offshore Partners LP reported a net loss of $6.2 million for Q4 2025, primarily due to a $20.3 million non-cash impairment charge on the vessel *Bodil Knutsen*. Adjusted for this, net income would have been $14.0 million.
- **Strong Operational Performance & Liquidity:** The fleet achieved 99.5% utilization for scheduled operations (96.4% including drydockings) in Q4 2025, with $137.0 million in available liquidity ($89.0 million cash, $48.0 million undrawn RCF capacity) as of December 31, 2025.
- **KNOT Offer Terminated:** Knutsen NYK Offshore Tankers AS's non-binding proposal to acquire all publicly held common units for $10 per unit was terminated on March 19, 2026, after the Conflicts Committee and KNOT could not reach an agreement.
- **Refinancing and Charter Updates:** The Partnership refinanced a $71.1 million senior secured term loan for the *Synnøve Knutsen* and a $25 million revolving credit facility, while securing a new time charter for the *Fortaleza Knutsen* with KNOT commencing Q2 2026 and extending the *Hilda Knutsen* charter with Shell to March 2027.
- **Vessel Useful Life Change & Incident:** Effective January 1, 2026, the estimated useful life of the fleet's vessels was reduced from 23 to 20 years, increasing future depreciation; additionally, the *Tordis Knutsen* experienced a diesel generator breakdown in February 2026, leading to off-hire until May 2026, with anticipated insurance coverage for lost hire and repair costs.

*Generated 2026-11-12 via google/gemini-2.5-flash*