Helix Energy Solutions(HLX) - 2024 Q3 - Quarterly Results

Financial Performance - Helix reported net income of $29.5 million, or $0.19 per diluted share, for Q3 2024, a decrease from $32.3 million, or $0.21 per diluted share, in Q2 2024[2]. - Adjusted EBITDA for Q3 2024 was $87.6 million, down from $96.9 million in Q2 2024[2]. - For the nine months ended September 30, 2024, net income was $35.5 million, or $0.23 per diluted share, compared to $17.5 million, or $0.11 per diluted share, for the same period in 2023[3]. - Net revenues for the three months ended September 30, 2024, were $342,419 thousand, a decrease of 13.4% compared to $395,670 thousand for the same period in 2023[25]. - Gross profit for the three months ended September 30, 2024, was $65,665 thousand, down 18.4% from $80,545 thousand in the prior year[25]. - Net income for the three months ended September 30, 2024, was $29,514 thousand, representing an increase of 89.6% compared to $15,560 thousand for the same period in 2023[25]. - Adjusted EBITDA for the three months ended September 30, 2024, was $87,621 thousand, compared to $96,385 thousand in the same period last year, reflecting a decrease of 9.1%[27]. - Free cash flow for the three months ended September 30, 2024, was $52,645 thousand, an increase from $23,366 thousand in the prior year[27]. - The company reported a basic earnings per share of $0.19 for the three months ended September 30, 2024, compared to $0.10 for the same period in 2023, an increase of 90%[25]. Revenue Breakdown - Well Intervention revenues decreased by $42.0 million, or 19%, in Q3 2024 due to increased transit and mobilization days[6]. - Robotics revenues increased by $3.3 million, or 4%, in Q3 2024, attributed to higher vessel, trenching, and ROV activities[8]. - Shallow Water Abandonment revenues increased by $20.8 million, or 41%, in Q3 2024, driven by increased vessel and heavy lift activity[10]. - Shallow Water Abandonment revenues decreased by $15.7 million, or 18%, in Q3 2024 compared to Q3 2023, primarily due to lower vessel and system utilization[11]. - Production Facilities revenues decreased by $4.7 million, or 19%, in Q3 2024 compared to the prior quarter, attributed to lower oil and gas production and prices[12]. Cash Flow and Liquidity - Cash flows from operating activities for Q3 2024 were $55.7 million, compared to $31.6 million in Q2 2024[3]. - Free cash flow for Q3 2024 was $52.6 million, an increase from $23.4 million in Q2 2024[3]. - Operating cash flows were $55.7 million in Q3 2024, a significant increase from $(12.2) million in the prior quarter and $31.6 million in Q3 2023[18]. - Free Cash Flow was $52.6 million in Q3 2024, compared to $(16.2) million in the prior quarter and $23.4 million in Q3 2023, driven by higher operating cash flows[19]. - Cash and cash equivalents totaled $324.1 million as of September 30, 2024, with total liquidity of $398.8 million[19]. - Cash and cash equivalents as of September 30, 2024, were $324,120 thousand, a slight decrease from $332,191 thousand at the end of 2023[26]. Debt and Liabilities - Consolidated long-term debt was $314.7 million on September 30, 2024, resulting in negative Net Debt of $9.4 million[19]. - Long-term debt, including current maturities, was $314,673 thousand as of September 30, 2024, compared to $227,257 thousand in the prior year, indicating an increase of 38.5%[27]. - Current liabilities decreased to $303,219 thousand as of September 30, 2024, down from $448,618 thousand at the end of 2023, a reduction of 32.4%[26]. Operational Metrics - Overall Well Intervention vessel utilization was 97% in Q3 2024, up from 94% in Q2 2024[6]. - Vessel utilization (excluding heavy lift) was 76% in Q3 2024, down from 89% in Q3 2023, while P&A and Coiled Tubing systems utilization declined to 607 days, or 25%[11]. - The company entered into three well intervention contracts, increasing its backlog by over $800 million[4]. Expenses - Selling, general and administrative expenses were $21.1 million, or 6.2% of revenue, in Q3 2024, down from $22.3 million, or 6.1% of revenue, in the prior quarter[14]. - Regulatory certifications for vessels and systems were $8.9 million in Q3 2024, down from $10.7 million in the prior quarter and $17.9 million in Q3 2023[18]. - Other expense, net was $0.0 million in Q3 2024, compared to $0.4 million in the prior quarter, primarily due to a charge related to incentive credits[15]. Assets - Total assets as of September 30, 2024, were $2,661,149 thousand, an increase of 4.1% from $2,556,036 thousand at the end of 2023[26].