BW Offshore: First quarter results 2025

Core Insights - BW Offshore is progressing well with the Barossa project, with the FPSO BW Opal on track for first gas production in Q3 2025 [2][4] - The company declared a quarterly cash dividend of USD 0.063 per share, with ex-dividend trading starting on June 4, 2025 [3] - BW Offshore's financial performance shows significant growth, with Q1 2025 EBITDA at USD 91.3 million, up from USD 71.9 million in Q4 2024 [6][9] Financial Performance - Q1 2025 EBITDA was USD 91.3 million, reflecting strong operational performance and arbitration settlement with PRIO [6][9] - Net profit for Q1 2025 increased to USD 62.2 million, compared to USD 40.8 million in the previous quarter [8] - The company reported a net cash positive position of USD 184.3 million as of March 31, 2025, up from USD 74.4 million at the end of 2024 [10] Operational Highlights - The FPSO fleet achieved a weighted average uptime of 100.0% in Q1 2025, indicating stable operations [11] - BW Offshore completed the sale of FPSO BW Pioneer for USD 125 million, with an initial payment of USD 100 million received [4][9] - The company is actively pursuing new FPSO projects, including the Bay du Nord FPSO project for Equinor and the FEED for Repsol's Block 29 development in Mexico [13][14] Strategic Initiatives - BW Offshore is committed to energy transition solutions, focusing on low-emission oil and gas, CO2 transport, and floating ammonia [15] - The company has acquired the FPSO Nganhurra to enhance its project response capabilities in a supply-constrained market [14] - BW Offshore maintains a disciplined capital allocation strategy to create shareholder value while exploring new project opportunities [15][20] Market Outlook - The demand for FPSO projects is expected to grow, driven by increasing energy needs and a focus on lower emissions [18][19] - BW Offshore anticipates that several FPSO projects will reach final investment decisions within the next 36 months, reflecting pent-up demand [19][21] - The company has a firm contract backlog of USD 5.4 billion as of March 31, 2025, supporting future cash flow generation [21]