Tidewater(US:TDW)2025-11-10 21:43Fleet and Operations - As of September 30, 2025, the company owned 209 vessels with an average age of 13.0 years[100]. - Total vessel utilization was impacted by the presence of seven stacked vessels as of September 30, 2025, compared to one stacked vessel at December 31, 2024[117]. - The company has one of the broadest geographic operating footprints in the offshore vessel industry, allowing it to respond quickly to changing local market conditions[99]. - The company sold four older crew boats during the third quarter, contributing to improved utilization rates[121]. Financial Performance - Total revenue for the three months ended September 30, 2025, was $341,113, a slight decrease of $318 or 0% compared to $341,431 for June 30, 2025[120]. - Operating income decreased by $18,271 or 23% to $62,651 from $80,922 in the previous quarter[120]. - Net income attributable to Tidewater Inc. was a loss of $806, a decrease of $73,736 or 101% compared to a net income of $72,930 in the prior quarter[120]. - Consolidated total revenue for the nine months ended September 30, 2025, increased by 2% to $1,015,988,000 compared to $1,000,750,000 for the same period in 2024[151]. - Net income attributable to Tidewater Inc. decreased by 20% to $114,777,000 compared to $143,751,000 in the previous year[151]. Revenue by Segment - The Americas segment reported a revenue increase of $8,155 or 12% to $76,913, driven by higher active utilization and average day rates[131]. - The Asia Pacific segment's revenue rose by $8,090 or 18% to $53,786, attributed to higher average vessel day rates[137]. - The Middle East segment experienced a revenue increase of $1,820 or 5% to $42,035, with stable vessel operating costs[140]. - Total revenue for the Europe/Mediterranean segment decreased by 16% to $83,740,000 compared to $99,280,000 in the previous quarter[145]. - Total revenue for the West Africa segment decreased by 1% to $82,017,000 compared to $82,909,000 in the previous quarter[149]. Day Rates and Utilization - Average day rates for vessels are calculated by dividing the revenue earned during a reporting period by the number of days the vessel worked, reflecting demand from offshore exploration and production spending[118]. - Average vessel day rates decreased by $368 or 1.6% to $22,798, influenced by lower demand in West Africa and Europe/Mediterranean[120]. - Utilization rates improved to 75.8%, up from 74.1% in the previous quarter, reflecting increased operational efficiency[120]. - Average vessel day rates increased by 8.6% to $22,753 compared to $20,959 in the previous year[151]. Costs and Capital - Operating costs are primarily driven by crew costs, repair and maintenance costs, and fuel costs, which can fluctuate based on various factors[105]. - The company’s primary sources of capital include cash on hand, internally generated funds, vessel sales, and long-term debt financing[109]. - The company had $431.1 million in cash and cash equivalents and a borrowing capacity of $250.0 million under its Revolving Credit Facility[179]. - The company generated $114.0 million in net income and $226.1 million in cash flow from operating activities for the nine months ended September 30, 2025[182]. Investments and Financing - The company signed agreements for the construction of two ocean-going tugs and eight crew boats, with financing of approximately EUR 24.9 million ($26.7 million)[184]. - Net cash used in investing activities for the nine months ended September 30, 2025 was $7.7 million, reflecting the sale of 10 vessels[191]. - Net cash used in financing activities for the nine months ended September 30, 2025 was $132.4 million, including proceeds from long-term debt of $650.0 million[194]. - The company expects to use net proceeds from any sale of securities for general corporate purposes, including acquisitions and capital expenditures[181]. Dividends and Share Repurchase - The company has not declared any dividends for the nine months ended September 30, 2025 and 2024[187]. - The company repurchased and retired 2,290,204 shares for approximately $90.0 million during the nine months ended September 30, 2025[186]. Market Outlook and Risks - The company's revenues, net earnings, and cash flows are largely dependent on the activity level of its offshore marine vessel fleet, which is influenced by crude oil and natural gas prices[103]. - The outlook for the company is influenced by expectations for worldwide demand for hydrocarbons and the willingness of energy companies to invest in offshore operational activities[111]. - Recent geopolitical events and economic factors have introduced uncertainty, potentially delaying some drilling projects initially expected to commence in late 2025 and early 2026[113].