Tidewater Inc. Earnings Recaps
Q2 2026
Aug 5, 2026
Shares rallied 12.2% following a better-than-expected quarter driven by stronger-than-anticipated day rates and utilization, particularly in Europe and the Middle East, alongside expanded gross margins that exceeded prior guidance.
Key takeaways
- Revenue totaled $342.3 million, with gross margin just under 47%, nearly 3 percentage points above prior expectations; excluding $6.8 million of conflict-related expenses, margin would have been approximately 49%.
- Weighted average leading edge day rates rose about 7.5% sequentially, reflecting tight supply-demand dynamics.
- Utilization benefited from improved operational uptime and deferred dry docks on seven vessels, pushed from Q2 to later in the year.
- Free cash flow nearly doubled quarter-over-quarter to $64 million, supported by operational execution and dry dock timing.
- Wilsons' acquisition expected to close around September 1st, with net leverage forecasted to increase to ~0.8x by Q3-end; balance sheet and liquidity remain robust with $850 million on hand.
Q1 2026
May 6, 2026
Shares fell 6.2% as investors reacted negatively to cautious commentary on the ongoing Middle East conflict and potential margin pressure from increased costs, notably hazard pay for crews, despite solid revenue and margin performance.
Key takeaways
- Revenue reached $326.2 million, driven by higher vessel utilization and stronger day rates.
- Gross margin improved slightly to just under 49%, about 3 percentage points above internal plans.
- Increased operating costs were noted, particularly incremental hazard pay for crews, with insurance and fuel costs also rising.
- Free cash flow totaled $34 million but declined sequentially due to working capital effects and higher drydock spending.
- The company remains on track to close its $500 million acquisition of Wilson & Sons UltraTug Offshore by end of Q2, retaining a strong balance sheet and below 1x net leverage.
Q3 2025
Nov 12, 2025
Tidewater reported strong third-quarter results for 2025, with revenue of $341.1 million and gross margins surprisingly exceeding guidance, driven by higher day rates and improved fleet utilization.
Key takeaways
- Revenue increased 15% year-over-year, primarily due to elevated average day rates and enhanced fleet utilization.
- Generated $83 million in free cash flow during Q3, bringing year-to-date free cash flow to nearly $275 million.
- Retained a $500 million share repurchase authorization, indicating confidence in capital allocation flexibility while pursuing M&A opportunities.
- The company anticipates a gradual recovery in drilling activity leading to increased demand for offshore services, particularly in the EPCI and Offshore Construction segments.
- Tidewater maintains a favorable position in the offshore market, benefiting from robust production support and a growing backlog of projects.