Financial Data and Key Metrics - Adjusted EBITDA for Q3 2024 was $291 million, up from $271 million in Q2 2024 [12] - Free cash flow for Q3 2024 was $165 million, including approximately four weeks of contribution from the Diamond acquisition [12] - Contract drilling services revenue for Q3 2024 totaled $764 million, up from $661 million in Q2 2024 [26] - Adjusted EBITDA margin for Q3 2024 was 36% [27] - Cash flow from operations was $284 million, and net capital expenditures were $119 million in Q3 2024 [27] - Total backlog as of November 5, 2024, stands at $6.2 billion, with $500 million scheduled for revenue conversion in the final eight weeks of 2024 and $2.6 billion for 2025 [28] Business Line Data and Key Metrics - The company achieved 4.8 rig years of additional backlog for four drillships working with ExxonMobil in Guyana, extending visibility through August 2028 [13] - The Ocean Endeavor booked an additional 130 days for Shell in the UK North Sea, with options extending through July 2025 [13] - The BlackRhino was awarded a six-month contract in the Gulf of Mexico at a day rate slightly below $500,000, set to commence in Q1 2025 [13] - The Faye Kozack set a new pre-salt drilling record in Brazil, and the Discoverer successfully drilled its first well for Petrobras in Colombia [14] - The Ocean GreatWhite resumed its contract with BP in the UK, expected to continue through April 2025 [15] - The BlackLion and Deliverer moved to higher day rate contracts in the mid-to-high $400,000 range during the quarter [15] Market Data and Key Metrics - Global demand for floaters remains high, with over 100 rig years of demand from tenders and pre-tenders [17] - 26 ultra-deepwater rig years were contracted in Q3 2024, a 20% increase over Q2 2024 [18] - 56% of the total marketed fleet is committed for 2025, with 59% of marketed floaters and 75% of tier-1 drillships contracted for 2025 [19] - Jack-up fleet utilization improved from 77% in Q2 to 83% in Q3 2024, with 11 of 13 rigs contracted at an average day rate of $145,000 [23] Company Strategy and Industry Competition - The acquisition of Diamond Offshore, completed on September 4, 2024, added $2 billion to backlog and created a fleet of 41 rigs, including the largest fleet of seventh-generation dual-BOP drillships [9] - The company is on track to achieve $100 million in synergies from the Diamond acquisition, with 75% expected to be captured within one year of closing [28] - The company is focused on maximizing capital returns to shareholders, with $800 million returned through dividends and buybacks since the Maersk Drilling combination in Q4 2022 [11] - The company expects a reduction in CapEx by 25%-30% in 2025, providing a free cash flow tailwind [33] Management Commentary on Operating Environment and Future Outlook - The company remains constructive on the multi-year fundamental outlook, with optimism for a demand uptick in late 2025 and early 2026 [18][36] - The company expects a flat EBITDA run rate in the first half of 2025, with a potential step-up in the second half of 2025 [31][36] - The company is actively negotiating contracts that could drive an inflection in backlog and EBITDA potential in the second half of 2025 [21][31] - The company is monitoring customer budget allocations for 2025, with early indications of higher offshore spending [36] Other Important Information - The company has elected not to stack any rigs at this time but may stack one or more sixth-generation units if demand does not materialize as expected [22] - The company is focused on maintaining a strong balance sheet and returning excess free cash flow to shareholders through dividends and share repurchases [33][48] Q&A Session Summary Question: Outlook for the first half of 2025 and potential rig stacking [38] - The company acknowledges white space in the first half of 2025 due to customer capital discipline and delayed FPSOs but remains optimistic about a rebound in rig demand by late 2025 and 2026 [39][40] - The company may stack sixth-generation rigs if demand does not materialize but does not anticipate dramatic measures for seventh-generation rigs [42] Question: Magnitude of EBITDA inflection in the second half of 2025 [45] - The company expects a significant inflection in EBITDA in the second half of 2025, with Q3 2024 combined EBITDA (including Diamond) at $350 million as a reference point [46] Question: Capital allocation and debt management [48] - The company is comfortable with its current capital structure and plans to continue returning capital to shareholders through dividends and share repurchases [48] Question: Jack-up fleet strategy and potential divestitures [49] - The company has no urgency to divest non-core jack-up rigs but will consider strategic moves if they align with shareholder interests [50] Question: Cost savings from rig stacking [51] - The company outlined a sliding scale of cost savings, with operating costs potentially reduced to $40,000-$50,000 per day before cold stacking [52] Question: Geographic opportunities and market outlook [54] - The company sees opportunities globally, with a focus on the Golden Triangle (South America, West Africa, and the Gulf of Mexico) and expects growth in regions like Suriname, Namibia, and Mozambique [55][56] Question: Synergies from the Diamond acquisition [59] - The company sees potential to exceed the $100 million synergy target from the Diamond acquisition, similar to the Maersk transaction [59] Question: Outlook for the Developer rig [63] - The Developer rig is currently idle, with operating costs around $100,000 per day, and the company is exploring opportunities for late 2025 and 2026 [64][65] Question: Demand for Globetrotter rigs [67] - The company is in active conversations for well intervention work for both Globetrotter rigs, primarily in the U.S. Gulf, but may adjust if demand shifts [68]

Mastech Digital, Inc. (NYSE:MHH) Q3 2024 Earnings Conference Call November 6, 2024 9:00 AM ET Company Participants Jenna Lacey – Manager-Legal Affairs Jack Cronin – Chief Financial Officer Vivek Gupta – Chief Executive Officer Conference Call Participants Lisa Thompson – Zacks Investment Research Marc Riddick – Sidoti Operator Greetings and welcome to the Mastech Digital Third Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session ...

Bain Capital Specialty Finance, Inc. (NYSE:BCSF) Q3 2024 Earnings Conference Call November 6, 2024 9:30 AM ET Company Participants Katherine Schneider - Director, Investor Relations Michael Ewald - Chief Executive Officer Mike Boyle - President Amit Joshi - Chief Financial Officer Conference Call Participants Paul Johnson - KBW Derek Hewett - Bank of America Operator Good day, everyone, and welcome to today's Bain Capital Specialty Finance Third Quarter Ended September 30, 2024 Earnings Conference Call. At ...

Cencora, Inc. (NYSE:COR) Q4 2024 Earnings Call Transcript November 6, 2024 8:30 AM ET Company Participants Bennett Murphy - SVP, Head of IR Bob Mauch - President and CEO Laz Krikorian - SVP and CAO Conference Call Participants Lisa Gill - JPMorgan Michael Cherny - Leerink Partners Elizabeth Anderson - Evercore ISI George Hill - Deutsche Bank Eric Percher - Nephron Research Stephanie Davis - Barclays Kevin Caliendo - UBS Eric Coldwell - Baird Erin Wright - Morgan Stanley Allen Lutz - Bank of America Charles ...

Iron Mountain Incorporated (NYSE:IRM) Q3 2024 Earnings Conference Call November 6, 2024 8:30 AM ET Company Participants Gillian Tiltman - SVP & Head, IR William Meaney - President & CEO Barry Hytinen - EVP & CFO Conference Call Participants George Tong - Goldman Sachs Jonathan Atkin - RBC Shlomo Rosenbaum - Stifel Nathan Crossett - BNP Kevin McVeigh - UBS Andrew Steinerman - JPMorgan Eric Luebchow - Wells Fargo Brendan Lynch - Barclays Operator Good morning, and welcome to the Iron Mountain Third Quarter 20 ...

Gulfport Energy Corporation (NYSE:GPOR) Q3 2024 Earnings Conference Call November 6, 2024 9:00 AM ET Company Participants Jessica Antle - Vice President, Investor Relations John Reinhart - President & Chief Executive Officer Michael Hodges - Executive Vice President & Chief Financial Officer Conference Call Participants Bert Donnes - Truist Securities Doug Leggate - Wolfe Research Zach Parham - JPMorgan Tim Rezvan - KeyBanc Capital Markets Inc. Noah Hungness - Bank of America Jacob Roberts - TPH Operator Gr ...

Vertex, Inc. (NASDAQ:VERX) Q3 2024 Earnings Conference Call November 6, 2024 8:30 AM ET Company Participants Joe Crivelli - Vice President, Investor Relations David DeStefano - President & Chief Executive Officer John Schwab - Chief Financial Officer Conference Call Participants Joshua Reilly - Needham Steve Enders - Citi Chris Quintero - Morgan Stanley Alex Sklar - Raymond James Daniel Jester - BMO Capital Markets Samad Samana - Jefferies Jake Roberge - William Blair Rob Oliver - Baird Adam Hotchkiss - Gol ...

Genie Energy Ltd. (NYSE:GNE) Q3 2024 Earnings Conference Call November 6, 2024 8:30 AM ET Company Participants Michael Stein – Chief Executive Officer Avi Goldin – Chief Financial Officer Conference Call Participants Operator Good morning, and welcome to the Genie Energy Limited Third Quarter 2024 Earnings Call. In today's presentation Genie Energy management will discuss Genie's financial and operational results for the three month period ended September 30, 2024. During prepared remarks by Genie Energy's ...

Itaú Unibanco Holding S.A. (NYSE:ITUB) Q3 2024 Earnings Conference Call November 5, 2024 8:00 AM ET Company Participants Renato Lulia - Group Head of Corporate Strategy, IR and Corporate Development Milton Maluhy - CEO Conference Call Participants Daniel Vaz - Safra Bank Renato Meloni - Autonomous Yuri Fernandes - JPMorgan Thiago Batista - UBS Tito Labarta - Goldman Sachs Brian Flores - Citibank Mario Pierry - Bank of America Bernardo Guttmann - XP Carlos Gomez - HSBC Natalia Corfield - JPMorgan Nicolas Riv ...

Par Pacific Holdings, Inc. (NYSE:PARR) Q3 2024 Earnings Conference Call November 5, 2024 10:00 AM ET Company Participants Ashimi Patel - Vice President, Investor Relations Will Monteleone - President & Chief Executive Officer Richard Creamer - Executive Vice President, Refining & Logistics Shawn Flores - Senior Vice President & Chief Financial Officer Conference Call Participants Alejandra Magana - JPMorgan Matthew Blair - Tudor, Pickering, and Holt Ryan Todd - Piper Sandler Neil Mehta - Goldman Sachs Jason ...