Bristow(VTOL) - 2024 Q3 - Quarterly Report

Financial Performance - For the three months ended September 30, 2024, Bristow Group reported total revenues of $XX million, with Europe contributing 51$356,426 thousand, an increase of $3,932 thousand or 1.1$365,122 thousand, up $5,373 thousand or 1.5$33,213 thousand, down $11,549 thousand or 25.8$103.6 million, or 11.1%, to $1,038.3 million in the Current Year compared to the Prior Year[92]. - Total revenues reached$1,061.9 million, reflecting a 10.7% increase from $959.5 million in the Prior Year[92]. - Operating income surged to$100.8 million, a significant increase from $41.2 million in the Prior Year[92]. - Total revenues for the nine months ended September 30, 2024, were$579.6 million, with an operating income of $47.8 million and a net income of$54.9 million[119]. - The company reported a net income of $63.1 million, a substantial increase from$1.2 million in the Prior Year[92]. Operating Expenses - Operating expenses rose to $262,692 thousand, an increase of$16,271 thousand or 6.6% compared to the preceding quarter[76]. - Operating expenses rose by $48.4 million, primarily driven by higher repairs and maintenance costs of$17.6 million and personnel costs of $13.8 million[96]. - Personnel costs increased by$13,006 thousand or 16.7% primarily due to a labor agreement finalization in the UK[83]. Cash Flow and Liquidity - Cash flows from operating activities increased by $84.8 million, totaling$126.4 million in the Current Year[102]. - As of September 30, 2024, the company had $200.3 million in unrestricted cash and$59.6 million available under its ABL Facility, totaling $259.9 million in liquidity[108]. - As of September 30, 2024, current assets were$1.89 billion, while current liabilities were $1.98 billion, indicating a potential liquidity concern[122]. Debt and Capital Commitments - As of September 30, 2024, the total principal debt balance was$629.1 million, primarily consisting of 6.875% Senior Notes due in March 2028 and other debts maturing in March 2036 and July 2031[111]. - The company had unfunded capital commitments of $289.3 million, including agreements to purchase ten AW189 helicopters and other aircraft, with deliveries scheduled between 2024 and 2028[113]. - The company entered into long-term equipment financing for an aggregate amount of up to £55 million and €100 million, with approximately £26.1 million and €46 million drawn as of September 30, 2024[109][110]. Aircraft Fleet and Operations - The fleet consisted of 213 aircraft, including 86 heavy helicopters, 68 medium helicopters, and 14 light-twin helicopters as of September 30, 2024[74]. - The average age of the helicopters in the fleet is 15 years, with the S92 having a maximum passenger capacity of 19[74]. - The company has 19 aircraft under construction, including 8 AW189 heavy helicopters and 6 AW139 medium helicopters[70]. - Bristow Group's operations are geographically diverse, serving customers in 15 countries, including Australia, Brazil, and the U.S.[68]. - The North Sea operations are subject to seasonal fluctuations, with peak activity typically from April to September[69]. - The company has options to purchase up to 10 additional AW189 helicopters and 10 additional H135 helicopters, with potential delivery dates extending to 2028[113]. Business Strategy and Market Outlook - The company anticipates continued demand for its services, particularly in the offshore energy sector, despite potential supply chain disruptions and inflation[62]. - Bristow Group is focused on diversifying its business strategy, including efforts related to government services and advanced air mobility[62]. - Future performance may be impacted by global economic conditions, including changes in oil and gas market demand and pricing[63]. - The company has a reliance on a limited number of helicopter manufacturers, which poses risks related to the availability of aircraft components[62]. Internal Controls and Compliance - The company’s disclosure controls and procedures were deemed effective as of September 30, 2024, following evaluation by the Chief Executive Officer and Chief Financial Officer[127]. - There were no material changes in internal control over financial reporting during the quarter ended September 30, 2024[128].