Financial Data and Key Metrics Changes - Revenues for Q1 2025 were $278 million, with a gross profit of $28 million and a net income of $3 million. Adjusted EBITDA was $52 million, and free cash flow was $12 million [6][8][18] - The company reported strong cash and liquidity with cash and cash equivalents of $370 million and total liquidity of $405 million [6][18] Business Line Data and Key Metrics Changes - The Well Intervention segment saw strong utilization in West Africa, the Gulf of America, and Brazil, while North Sea vessels experienced lower utilization due to seasonal factors [11][12] - Robotics had a strong quarter with high operational standards, working on trenching, ROV support, and site survey projects globally [15][16] - The shallow water abandonment business is expected to improve in Q2 and Q3 as seasonal activity levels increase [17] Market Data and Key Metrics Changes - The company faced challenges due to geopolitical factors, including tariff hikes and OPEC production increases, leading to oil prices dropping to the low $60s [7][20] - The UK North Sea market is experiencing a downturn due to regulatory issues, low oil prices, and M&A activity, impacting the company's outlook [20][36] Company Strategy and Development Direction - The company is focusing on cost reduction measures, including stacking several vessels and adjusting capital spending in response to market conditions [8][30] - Long-term demand for services remains strong, with multi-year contracts in place providing resilience against near-term volatility [35][39] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the current dynamic and uncertain market environment but expressed confidence in the company's ability to navigate these challenges [7][9] - The outlook for 2025 has been adjusted, with expected revenues of approximately $1.3 billion, reflecting a decrease due to the stacking of the Seawell and overall negative market conditions [21][37] Other Important Information - The company has a backlog of approximately $1.4 billion and a strong balance sheet with negative net debt [8][18] - The capital expenditure forecast for 2025 is between $65 million and $75 million, primarily for regulatory maintenance and fleet renewal [22][31] Q&A Session Summary Question: Confirmation on revenue change in Well Intervention - The revenue change in Well Intervention is primarily attributed to the North Sea market [42][43] Question: Long-term view on North Sea market - There are large P&A project tenders expected to start in 2026, with ongoing engineering and tendering processes [43] Question: Free cash flow options - The priority is on share repurchase due to market uncertainty, with M&A opportunities being more challenging to close [45] Question: Breakdown of lowered EBITDA guidance - The primary driver for the guidance reduction is the North Sea market, particularly the stacking of the Seawell [50][52] Question: Outlook for North Sea operations - The work has been paused rather than lost, with significant tenders expected in the future [59] Question: Opportunities for North Sea vessels in other regions - Redeployment of vessels like the Seawell would require capital upgrades due to depth limitations [72] Question: Pricing pressure in the US Gulf market - Currently, there is no significant pricing pressure in the US Gulf market, with stable pricing observed [75][76] Question: Impact of UK market on robotics and shallow water abandonment - The negative macro backdrop has slightly impacted robotics and shallow water abandonment, but the North Sea remains the primary concern [81][82]