Transocean(RIG)2025-04-28 20:27Financial Performance - Contract drilling revenues for Q1 2025 were $906 million, a decrease of $46 million sequentially from Q4 2024, but an increase of $143 million year-over-year from Q1 2024[3] - Adjusted EBITDA for Q1 2025 was $244 million, down $79 million sequentially from Q4 2024, but up $45 million year-over-year from Q1 2024[1] - Net loss attributable to controlling interest was $79 million, or a loss of $0.11 per diluted share, compared to a net income of $98 million in Q1 2024[1] - Total contract drilling revenues for Q1 2025 were $906 million, a decrease of 4.8% from $952 million in Q4 2024, but an increase of 18.7% from $763 million in Q1 2024[29] - Adjusted net loss for Q1 2025 was $65 million, compared to an adjusted net income of $27 million in Q4 2024[33] - The net loss for Q1 2025 was $79 million, resulting in a loss margin of 8.7%[35] - The profit margin for Q1 2025 was (14.5)%, compared to a profit margin of 0.7% in Q4 2024[35] - Contract drilling revenues for the full year 2024 were $3,524 million, with an adjusted EBITDA of $1,148 million[35] Expenses and Costs - Operating and maintenance expenses increased to $618 million in Q1 2025 from $579 million in Q4 2024, primarily due to unfavorable legal outcomes and increased costs related to a rig in the shipyard[4] - General and administrative expenses decreased to $50 million in Q1 2025 from $56 million in Q4 2024, mainly due to reduced legal and professional fees[5] - The effective tax rate for Q1 2025 was (95.8)%, down from 89.0% in the prior quarter, primarily due to lower operating income[7] - The effective tax rate for Q1 2025 was (95.8)%, significantly impacted by discrete items[37] - Adjusted income (loss) before income taxes for Q1 2025 was $(40) million, with an income tax expense of $39 million[37] Cash Flow and Debt - Cash provided by operating activities was $26 million in Q1 2025, a decrease of $180 million compared to the prior quarter[8] - Cash flows from operating activities generated $26 million in Q1 2025, a recovery from a cash outflow of $86 million in Q1 2024[27] - Year-to-date cash provided by operating activities was $26 million, while capital expenditures totaled $60 million, resulting in a free cash flow of $(34) million[41] - Total debt repayments for Q1 2025 amounted to $210 million, contributing to a levered free cash flow of $(244) million[41] - The company repaid $210 million in outstanding debt during the quarter, improving its balance sheet[9] Assets and Liabilities - Total assets decreased to $19,019 million as of March 31, 2025, down from $19,371 million at December 31, 2024, representing a decline of 1.8%[25] - Total current liabilities slightly decreased to $1,656 million as of March 31, 2025, from $1,663 million at December 31, 2024[25] - Long-term debt decreased to $5,936 million as of March 31, 2025, down from $6,195 million at December 31, 2024, reflecting a reduction of 4.2%[25] - Unrestricted and restricted cash and cash equivalents at the end of Q1 2025 were $691 million, down from $716 million at the end of Q1 2024[27] Operational Metrics - Average daily revenue for ultra-deepwater floaters increased to $443,600 in Q1 2025, up from $428,200 in Q4 2024, reflecting a growth of 4.0%[29] - Total fleet average rig utilization was 63.4% in Q1 2025, down from 66.8% in Q4 2024, indicating a decline of 3.4 percentage points[29] - Capital expenditures for Q1 2025 were $60 million, up from $29 million in the prior quarter, related to capital upgrades for certain rigs[8] - The backlog as of April 2025 was reported at $7.9 billion[1] Impairment and Losses - The company reported a loss on impairment of assets totaling $772 million for the full year 2024[35]