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Transocean(RIG) - 2024 Q3 - Quarterly Results
RIGTransocean(RIG)2024-10-30 20:24

Financial Performance - Contract drilling revenues for Q3 2024 increased to 948million,up948 million, up 87 million sequentially and 235millionyear−over−year[3].−AdjustednetincomeforQ32024was235 million year-over-year[3]. - Adjusted net income for Q3 2024 was 64 million, a significant improvement from a net loss of 123millioninthepreviousquarter[2].−Thecompanyreportedanetlossattributabletocontrollinginterestof123 million in the previous quarter[2]. - The company reported a net loss attributable to controlling interest of 494 million, or 0.58perdilutedshare,forQ32024[1].−AdjustedEBITDAforQ32024was0.58 per diluted share, for Q3 2024[1]. - Adjusted EBITDA for Q3 2024 was 342 million, reflecting a 58millionincreasefromthepreviousquarter[1].−NetlossfortheninemonthsendedSeptember30,2024,was58 million increase from the previous quarter[1]. - Net loss for the nine months ended September 30, 2024, was 519 million, compared to a net loss of 850millionforthesameperiodin2023,representinga39850 million for the same period in 2023, representing a 39% improvement[29]. - The net loss for the quarter ended September 30, 2024, was (519) million, compared to a net loss of (25)millionforthesamequarterin2023,reflectingasignificantincreaseinlosses[36].−AdjustedContractDrillingRevenuesforthequarterendedSeptember30,2024,were(25) million for the same quarter in 2023, reflecting a significant increase in losses[36]. - Adjusted Contract Drilling Revenues for the quarter ended September 30, 2024, were 2,884 million, compared to 2,136millionforthesamequarterin2023,markinga352,136 million for the same quarter in 2023, marking a 35% increase[36]. Expenses and Liabilities - Operating and maintenance expenses rose to 563 million, compared to 534millioninQ22024,primarilyduetoincreasedfleetactivity[4].−Totalliabilitiesdecreasedto534 million in Q2 2024, primarily due to increased fleet activity[4]. - Total liabilities decreased to 9,282 million as of September 30, 2024, from 9,838millionasofDecember31,2023,adecreaseof5.69,838 million as of December 31, 2023, a decrease of 5.6%[26]. - The company reported capital expenditures of 225 million for the nine months ended September 30, 2024, compared to 207millionforthesameperiodin2023,reflectinga8.7207 million for the same period in 2023, reflecting a 8.7% increase[28]. - The company experienced a loss on impairment of assets totaling 772 million for the nine months ended September 30, 2024[37]. Cash Flow and Capital Expenditures - Cash provided by operating activities was 194million,anincreaseof194 million, an increase of 61 million compared to the prior quarter[8]. - Free Cash Flow for YTD 09/30/24 is 241million,withQTD09/30/24at241 million, with QTD 09/30/24 at 194 million[40]. - The company reported a Free Cash Flow of 164millionfortheperiod,withdebtrepaymentstotaling164 million for the period, with debt repayments totaling (1,717) million[40]. - Operating activities provided cash of 448millionfortheperiod,withcapitalexpendituresof448 million for the period, with capital expenditures of (717) million[40]. Tax and Effective Tax Rate - The effective tax rate decreased to 6.0% from 474.5% in the prior quarter, primarily due to rig impairments and sales[7]. - The effective tax rate for the three months ended September 30, 2024, was 6.0%, while the effective tax rate excluding discrete items was 22.5%[37]. Fleet and Backlog - The backlog as of October 2024 was approximately 9.3billion,indicatingstrongfuturedemandforthecompany′sservices[10].−Morethan979.3 billion, indicating strong future demand for the company's services[10]. - More than 97% of Transocean's active fleet is contracted for 2025, demonstrating strong customer demand for its high specification rigs[10]. - The average fleet utilization rate improved to 63.9% for the three months ended September 30, 2024, compared to 49.4% for the same period in 2023, an increase of 29%[31]. Asset Management - Total current assets decreased to 2,343 million as of September 30, 2024, from 2,126millionasofDecember31,2023,adeclineof102,126 million as of December 31, 2023, a decline of 10%[25]. - Total assets decreased to 19,510 million as of September 30, 2024, down from 20,254millionasofDecember31,2023,areductionof3.720,254 million as of December 31, 2023, a reduction of 3.7%[27]. - The total equity attributable to controlling interest decreased to 10,227 million as of September 30, 2024, from 10,415millionasofDecember31,2023,adeclineof1.810,415 million as of December 31, 2023, a decline of 1.8%[27]. Earnings Per Share - Diluted earnings per share, as reported, is (0.65) for the year-to-date as of September 30, 2024, compared to (0.03)forthepreviousquarter[35].−AdjustedDilutedLossPerShareis(0.03) for the previous quarter[35]. - Adjusted Diluted Loss Per Share is (0.96) for the year-to-date as of September 30, 2024, compared to $(0.36) for the previous quarter[35].