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Oceaneering's Q1 Earnings Surpass Estimates, Revenues Rise Y/Y
OIIOceaneering International(OII) ZACKS·2025-04-24 11:55

Core Viewpoint - Oceaneering International, Inc. (OII) reported strong financial results for the first quarter of 2025, with adjusted profit and revenue exceeding expectations, driven by robust performance in several segments, particularly Subsea Robotics and Offshore Projects Group [1][2]. Financial Performance - Adjusted profit for Q1 2025 was 43 cents per share, surpassing the Zacks Consensus Estimate of 36 cents and significantly up from 14 cents in the same quarter last year [1]. - Total revenues reached 674.5million,exceedingtheZacksConsensusEstimateof674.5 million, exceeding the Zacks Consensus Estimate of 664 million and reflecting a year-over-year increase of approximately 12.6% from 599.1million[1].SegmentPerformance−∗∗SubseaRobotics∗∗:Revenuestotaled599.1 million [1]. Segment Performance - **Subsea Robotics**: Revenues totaled 206 million, up from 186.9millionyear−over−year,butmissedtheestimateof186.9 million year-over-year, but missed the estimate of 214.2 million. Operating income was 59.6million,anincreasefrom59.6 million, an increase from 44.2 million, but also below the estimate of 64.1million[3][4].−∗∗ManufacturedProducts∗∗:Revenuesincreasedto64.1 million [3][4]. - **Manufactured Products**: Revenues increased to 135 million from 129.5millionyear−over−year,beatingtheestimateof129.5 million year-over-year, beating the estimate of 129.6 million. However, operating profit decreased to 8.7millionfrom8.7 million from 13.2 million, missing the estimate [4][5]. - Offshore Projects Group: Revenues surged by about 43.4% to 164.9millionfrom164.9 million from 115.1 million year-over-year, exceeding the estimate of 151.9million.Operatingincomeroseto151.9 million. Operating income rose to 35.7 million from 0.8 million, also beating the estimate [6]. - **Integrity Management & Digital Solutions**: Revenues increased to 71.4 million from 69.7millionyear−over−year,surpassingtheestimate.Operatingincomeslightlydecreasedto69.7 million year-over-year, surpassing the estimate. Operating income slightly decreased to 3.5 million from 3.6million,matchingtheprojection[7].−∗∗AerospaceandDefenseTechnologies∗∗:Revenuesfellto3.6 million, matching the projection [7]. - **Aerospace and Defense Technologies**: Revenues fell to 97.2 million from 98millionyear−over−year,missingtheestimate.Operatingincomedroppedto98 million year-over-year, missing the estimate. Operating income dropped to 10.7 million from 12.8million,alsobelowtheestimate[8].CapitalExpenditureandBalanceSheet−CapitalexpenditureforQ12025,includingacquisitions,totaled12.8 million, also below the estimate [8]. Capital Expenditure and Balance Sheet - Capital expenditure for Q1 2025, including acquisitions, totaled 27.8 million. As of March 31, 2025, OII had cash and cash equivalents of 382millionandlong−termdebtofapproximately382 million and long-term debt of approximately 483.3 million, resulting in a debt-to-total capital ratio of 38.3% [9]. Outlook - OII expects full-year 2025 EBITDA to be in the range of 380millionto380 million to 430 million, with consolidated revenues projected to increase in Q2 2025 compared to Q2 2024. The company anticipates improvements in operating profitability across several segments [10][11][12].