SEACOR Marine(SMHI) - 2025 Q2 - Quarterly Results

Financial Highlights and CEO Commentary Q2 2025 Overall Performance SEACOR Marine reported improved Q2 2025 operating income and narrowed net loss, significantly aided by asset sales gains Q2 2025 Key Financial Metrics Comparison | Metric | Q2 2025 ($) | Q2 2024 ($) | Q1 2025 ($) | | :--- | :--- | :--- | :--- | | Operating Revenues | $60.8M | $69.9M | $55.5M | | Operating Income (Loss) | $6.1M | $(3.9)M | $(5.3)M | | Direct Vessel Profit (DVP) | $11.3M | $20.3M | $13.6M | | Net Loss | $(6.7)M | $(12.5)M | $(15.5)M | | Loss Per Share | $(0.26) | $(0.45) | $(0.56) | Q2 2025 Key Operational Metrics | Metric | Q2 2025 | YoY Change | QoQ Change | | :--- | :--- | :--- | :--- | | Average Day Rates ($) | $19,731 | +3.1% | +4.8% | | Fleet Utilization | 68% | -1 ppt | +8 ppts | | DVP Margin | 18.6% | -10.5 ppts | -5.9 ppts | - During Q2 2025, the company sold two Platform Supply Vessels (PSVs) and one Fast Supply Vessel (FSV) for total proceeds of $33.4 million, realizing a gain of $19.1 million[7] CEO Commentary and Strategy CEO commentary highlights asset rotation, fleet repositioning, and capital structure simplification, with a focus on future market adaptation - The company is actively implementing an asset rotation and repositioning strategy to optimize its fleet[4] - The PSV fleet showed strong improvement in average rates and utilization, with significant contributions from Latin America and West Africa[5] - Middle East results were negatively impacted by ongoing repairs to a premium liftboat, which is expected back in service in September 2025[6] - On April 4, 2025, the company repurchased shares and warrants from Carlyle for approximately $12.9 million, simplifying the capital structure[9] - The company plans to redeploy three laid-up FSVs from the U.S. to international markets in Q3 and Q4 2025[8] Consolidated Financial Statements Statements of Income (Loss) Q2 2025 saw a reversal to operating income and a narrowed net loss, primarily driven by a significant gain on asset dispositions Condensed Income Statement (Q2 2025 vs. Q2 2024, in thousands) | Account | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Operating Revenues | $60,810 | $69,867 | | Total Costs and Expenses | $73,906 | $73,834 | | Gains on Asset Dispositions | $19,163 | $37 | | Operating Income (Loss) | $6,067 | $(3,930) | | Interest Expense | $(8,844) | $(10,190) | | Net Loss | $(6,727) | $(12,483) | Quarterly Time Charter Statistics | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Average Rates Per Day ($) | $19,731 | $18,825 | $19,141 | | Fleet Utilization | 68% | 60% | 69% | Balance Sheets As of June 30, 2025, total assets decreased to $680.0 million, with total equity declining to $267.8 million due to accumulated deficit Condensed Balance Sheet (in thousands) | Account | Jun. 30, 2025 | Jun. 30, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $34,381 | $40,605 | | Net property and equipment | $541,915 | $583,162 | | Total Assets | $680,030 | $721,566 | | Total current liabilities | $81,473 | $71,077 | | Long-term debt | $310,980 | $277,740 | | Total Liabilities | $412,234 | $383,628 | | Total Equity | $267,796 | $337,938 | Statements of Cash Flows Q2 2025 cash flows showed an operating outflow, significant investing inflow from asset sales, and financing outflow for share repurchases Condensed Statement of Cash Flows (Q2 2025, in thousands) | Cash Flow Category | Amount | | :--- | :--- | | Net cash used in operating activities | $(2,077) | | Net cash provided by investing activities | $21,379 | | Net cash used in financing activities | $(13,175) | | Net Change in Cash | $6,127 | - Cash from investing activities was primarily driven by $31.6 million in proceeds from the disposition of property and equipment[36] - Cash used in financing activities included payments of $7.1 million for stock repurchase and $6.7 million for warrant repurchase[36] Segment and Vessel Performance Performance by Geographic Segment Africa & Europe and Latin America segments drove Q2 2025 DVP, while U.S. and Middle East & Asia segments incurred losses due to high costs Direct Vessel Profit (DVP) by Segment - Q2 2025 (in thousands) | Segment | Operating Revenues | Direct Vessel Profit (Loss) | | :--- | :--- | :--- | | United States | $13,380 | $(1,816) | | Africa and Europe | $25,341 | $9,309 | | Middle East and Asia | $12,797 | $(1,290) | | Latin America | $9,292 | $5,114 | - The U.S. segment's loss was driven by high operating costs, including $3.7 million in drydocking expenses[20] - The Middle East & Asia segment's loss was primarily due to a surge in repairs and maintenance costs to $6.3 million, up from $3.4 million in Q2 2024[23] Performance by Vessel Class PSVs and FSVs were key revenue contributors in Q2 2025, while Liftboats incurred an operating loss due to high repair costs PSV Performance - Q2 2025 | Metric | Value | | :--- | :--- | | Average Rates Per Day ($) | $22,231 | | Fleet Utilization | 68% | | Operating Revenues ($M) | $27.7M | | Direct Operating Costs ($M) | $19.3M | FSV Performance - Q2 2025 | Metric | Value | | :--- | :--- | | Average Rates Per Day ($) | $13,468 | | Fleet Utilization | 67% | | Operating Revenues ($M) | $18.1M | | Direct Operating Costs ($M) | $12.3M | Liftboat Performance - Q2 2025 | Metric | Value | | :--- | :--- | | Average Rates Per Day ($) | $31,904 | | Fleet Utilization | 67% | | Operating Revenues ($M) | $14.9M | | Direct Operating Costs ($M) | $17.5M | Fleet Information Fleet Count The total fleet decreased to 49 vessels by June 30, 2025, reflecting strategic asset sales during the first half of the year Fleet Count Comparison | Vessel Type | June 30, 2025 | Dec. 31, 2024 | | :--- | :--- | :--- | | AHTS | 1 | 2 | | FSV | 22 | 23 | | PSV | 19 | 21 | | Liftboats | 7 | 8 | | Total | 49 | 54 |