Tidewater Inc. Q2 2026 Earnings Recap

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.