Financial Data and Key Metrics Changes - Civeo reported total revenues of $170.5 million for Q3 2025, with a net loss of $0.5 million or $0.04 per share [10] - Adjusted EBITDA for the quarter was $28.8 million, reflecting a year-over-year increase primarily driven by cost-cutting measures in Canada and contributions from Australian acquisitions [10][11] - The net leverage ratio as of September 30, 2025, was 2.1 times, with total liquidity of approximately $70 million [12][20] Business Line Data and Key Metrics Changes - Australian segment revenues increased by 7% year-over-year to $124.5 million, with adjusted EBITDA growing by 19% to $26.7 million [10][11] - Canadian segment revenues decreased to $46 million from $57.7 million in Q3 2024, but adjusted EBITDA improved to $8 million from $3.4 million due to cost-reduction measures [10][11] Market Data and Key Metrics Changes - In Australia, billed rooms increased by 18% year-over-year to 763,000, while the daily room rate in U.S. dollars decreased from $79 to $77 due to a weakened Australian dollar [11] - Canadian billed rooms totaled 383,000, down from 484,000 in Q3 2024, with a stable daily room rate of $100 [11] Company Strategy and Development Direction - The company is focused on growing its integrated services business in Australia, aiming for AUD 500 million in revenue by 2027 [5][16] - In Canada, the strategy includes leveraging mobile camp assets for infrastructure projects, with a focus on cost-cutting and operational efficiency [8][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the Australian business despite expected modest occupancy softness due to seasonal factors and market conditions [5][16] - In Canada, management noted that the operating environment remains challenging but highlighted the success of cost-cutting initiatives [7][19] Other Important Information - Civeo repurchased approximately 1 million shares during the quarter, bringing the year-to-date return of capital to shareholders to $52 million [4][12] - The company plans to use no less than 100% of annual free cash flow for share repurchases and maintain a net leverage ratio in the two-times range [20] Q&A Session Summary Question: Guidance for 2026 and year-over-year expectations - Management expects 2026 to show year-over-year growth, with Australian-owned villages' occupancy remaining stable and integrated services showing top-line growth [23] Question: Opportunities for mobile camp assets - Management confirmed active bidding for mobile camp projects in both Canada and the U.S., with a focus on LNG and infrastructure-related opportunities [25] Question: Capital allocation preferences - The company is committed to completing its share repurchase authorization while remaining open to attractive acquisition opportunities [26] Question: Growth opportunities in Australia - Management remains optimistic about reaching the AUD 500 million target by 2027, emphasizing organic growth and potential acquisitions [30] Question: Staffing challenges in Australia - Staffing remains a challenge, particularly for chefs, but management is making progress in recruitment [42] Question: Future cost-cutting initiatives in Canada - Management indicated that while initial cost-cutting measures have been successful, ongoing efforts will continue to adapt to the new operating reality [46][48]