Subsea 7 S.A. Announces First Quarter 2025 Results

Core Viewpoint - Subsea 7 reported strong financial performance in Q1 2025, with significant revenue growth and improved margins, indicating a positive outlook for the year ahead [3][4]. Financial Performance - Revenue for Q1 2025 was $1.529 billion, a 10% increase from $1.395 billion in Q1 2024 [2][9]. - Adjusted EBITDA reached $236 million, up 46% year-on-year, with an EBITDA margin of 15%, compared to 12% in the previous year [2][4]. - Net operating income was $77 million, significantly higher than $20 million in Q1 2024 [10]. - Net income for the quarter was $17 million, down from $29 million in the prior year [10]. Backlog and Order Intake - The backlog at the end of March 2025 was $10.819 billion, with $4.8 billion expected to be executed in 2025 [2][12]. - The book-to-bill ratio was 0.6x, with order intake of $0.9 billion, comprising new awards of $0.4 billion and escalations of $0.5 billion [12]. Operational Highlights - Strong operational performance was noted in both Subsea and Conventional segments, with Adjusted EBITDA margins of 18% and 10% respectively [4]. - Significant planned vessel maintenance was undertaken to optimize operations ahead of a busy year, while progress was made on various projects across regions [7][8]. Strategic Outlook - The company maintains a positive outlook for long-term energy demand growth, focusing on cost-advantaged sectors and strategic gas developments [5][6]. - Guidance for full year 2025 remains unchanged, with expected revenue between $6.8 billion and $7.2 billion and Adjusted EBITDA margin projected between 18% and 20% [13].