Oceaneering International(OII)2022-04-30 19:58Financial Data and Key Metrics Changes - For Q1 2022, the company reported a net loss of $19.2 million or $0.19 per share on revenue of $446 million, with an adjusted net loss of $6.4 million or $0.06 per share [8][9] - Consolidated adjusted EBITDA for Q1 2022 was $31.5 million, a significant decrease from the prior quarter [10] - The company maintained its original EBITDA guidance of $225 million to $275 million for the full year of 2022 [6][31] Business Segment Data and Key Metrics Changes - Subsea Robotics (SSR) operating income was significantly lower with a modest decrease in revenue, resulting in an EBITDA margin of 24% for Q1 2022 [11] - Manufactured Products segment saw a 20% decrease in revenue, with operating income margin declining to 3% from 9% in the previous quarter [14] - Offshore Projects Group (OPG) operating income margin declined to 1% in Q1 2022 from 8% in the previous quarter due to cost overruns [15] - Aerospace and Defense Technologies (AdTech) operating income margin improved to 15% from 13% in the previous quarter despite slightly lower revenue [16] Market Data and Key Metrics Changes - ROV days on hire were 11,842 in Q1 2022, down from 12,747 in Q4 2021, with fleet utilization at 53%, slightly down from 55% [12][13] - The book-to-bill ratio was 1.2 for the trailing 12 months, compared to 1.1 for the year ended December 31, 2021 [15] Company Strategy and Development Direction - The company is focused on increasing activity levels and pricing improvements, with expectations for a robust ramp-up in activity throughout 2022 [6][31] - There is a continued emphasis on expanding into new geographies and adding new customers, particularly in the IMBS segment [26] - The company is pursuing opportunities in energy transition and non-energy markets to support sustainable growth [31][32] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the macro drivers supporting increased activity and pricing improvements, with expectations for significant improvement in Q2 2022 [6][18] - The company anticipates higher revenue and operating results across various segments, particularly in SSR and OPG, due to seasonal activity increases [20][21] - Management acknowledged challenges such as inflation, hiring, and supply chain issues but emphasized effective management of these challenges [32] Other Important Information - The company reported a cash reduction of $100 million in Q1 2022, ending the quarter with $438 million in cash and cash equivalents [17][29] - The company replaced its credit facility with a new $215 million senior secured revolving credit facility, enhancing financial flexibility [29] Q&A Session Summary - No questions were raised during the Q&A session, and the call concluded without further inquiries [34][35]