Tidewater(US:TDW)2025-05-05 20:48Fleet and Operations - As of March 31, 2025, the company owned 214 vessels with an average age of 12.6 years[83] - The company's revenues are primarily driven by active fleet size, vessel utilization, and day rates, with operating profit largely dependent on revenue levels[86] - Vessel utilization is influenced by market conditions and drydocking requirements, with average day rates calculated based on revenue earned during the reporting period[99] - The company has experienced a sustained period of growth in offshore exploration and production over the past two years, leading to higher activity levels and day rates for vessels[94] - The company took delivery of five new crew boats in the first quarter of 2025, contributing to an increase in active utilization[103] - The company signed agreements for the construction of ten new vessels, with nine delivered by March 31, 2025, and financing agreements totaling approximately $24.9 million[135] - The company had six stacked vessels as of March 31, 2025, an increase from one stacked vessel at December 31, 2024, primarily due to idled older crew boats[128] Financial Performance - Total revenue for the three months ended March 31, 2025, was $333,444,000, a decrease of $11,641,000 or 3% compared to $345,085,000 for the previous quarter[102] - Net income attributable to Tidewater Inc. increased by $5,748,000 or 16% to $42,653,000 for the first quarter of 2025, compared to $36,905,000 in the fourth quarter of 2024[102] - Operating income decreased by $6,330,000 or 8% to $75,047,000, down from $81,377,000 in the previous quarter[102] - Average vessel day rates slightly increased by $67 to $22,303, while average total vessels increased from 216 to 217[102] - The Americas segment reported total revenue of $54,852,000, a decrease of $5,388,000 or 9% from $60,240,000 in the previous quarter[112] - The Asia Pacific segment's total revenue decreased by $2,815,000 or 6% to $48,228,000 compared to $51,043,000 in the previous quarter[115] - The Middle East segment experienced a revenue increase of $2,530,000 or 6%, reaching $43,302,000, up from $40,772,000[117] - Total revenue for the Europe/Mediterranean segment decreased by 7% to $78.2 million for the three months ended March 31, 2025, compared to $84.1 million in the previous quarter[121] - Vessel operating profit in the Europe/Mediterranean segment fell by 37% to $7.4 million, down from $11.6 million in the prior quarter[121] - In the West Africa segment, total revenue slightly decreased by 1% to $106.1 million from $107.3 million in the previous quarter[125] - Vessel operating profit in the West Africa segment decreased by 5% to $51.6 million, down from $54.2 million in the prior quarter[125] - The company generated $86.0 million in cash flow from operating activities for the three months ended March 31, 2025, compared to $54.8 million in the same period of 2024[139] - As of March 31, 2025, the company had $349.9 million in cash and cash equivalents, with $360.7 million in working capital[129] - The company repurchased 910,481 shares for approximately $39.3 million during the three months ended March 31, 2025, and an additional 1,379,723 shares for approximately $50.8 million in April 2025[137] Market Conditions and Risks - Recent geopolitical events, including OPEC+ production increases and U.S. tariffs, have introduced significant uncertainty, causing oil prices to drop to the low $60s per barrel[95] - The outlook for the offshore energy industry is influenced by worldwide demand for hydrocarbons and the willingness of energy companies to invest in offshore activities[93] - Operating costs are significantly impacted by crew costs, repair and maintenance costs, and fuel prices, which can fluctuate based on various factors[87] - The company does not generally purchase business interruption insurance, relying instead on coverage for potential liabilities stemming from third-party losses and cybersecurity breaches[89] - The primary customer in Mexico has an outstanding receivable balance of $35.1 million, with $25.5 million over 90 days past due, representing approximately 11.2% of total trade receivables[132] - The company has not experienced any material changes in market risk exposure since December 31, 2024[150] Liquidity and Financing - The company’s liquidity is primarily generated from cash flow from operations, vessel sales, and long-term debt financing[91] - Interest expense decreased due to principal payments of $12.5 million made in the first quarter of 2025, following a $14.0 million payment in the previous quarter[107] Accounting and Reporting - For detailed information on new accounting pronouncements, refer to Note (2) in the financial statements[148]