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Transocean(RIG) - 2025 Q1 - Quarterly Results
RIGTransocean(RIG)2025-04-28 20:27

Financial Performance - Contract drilling revenues for Q1 2025 were 906million,adecreaseof906 million, a decrease of 46 million sequentially from Q4 2024, but an increase of 143millionyear−over−yearfromQ12024[3]−AdjustedEBITDAforQ12025was143 million year-over-year from Q1 2024[3] - Adjusted EBITDA for Q1 2025 was 244 million, down 79millionsequentiallyfromQ42024,butup79 million sequentially from Q4 2024, but up 45 million year-over-year from Q1 2024[1] - Net loss attributable to controlling interest was 79million,oralossof79 million, or a loss of 0.11 per diluted share, compared to a net income of 98millioninQ12024[1]−TotalcontractdrillingrevenuesforQ12025were98 million in Q1 2024[1] - Total contract drilling revenues for Q1 2025 were 906 million, a decrease of 4.8% from 952millioninQ42024,butanincreaseof18.7952 million in Q4 2024, but an increase of 18.7% from 763 million in Q1 2024[29] - Adjusted net loss for Q1 2025 was 65million,comparedtoanadjustednetincomeof65 million, compared to an adjusted net income of 27 million in Q4 2024[33] - The net loss for Q1 2025 was 79million,resultinginalossmarginof8.779 million, resulting in a loss margin of 8.7%[35] - The profit margin for Q1 2025 was (14.5)%, compared to a profit margin of 0.7% in Q4 2024[35] - Contract drilling revenues for the full year 2024 were 3,524 million, with an adjusted EBITDA of 1,148million[35]ExpensesandCosts−Operatingandmaintenanceexpensesincreasedto1,148 million[35] Expenses and Costs - Operating and maintenance expenses increased to 618 million in Q1 2025 from 579millioninQ42024,primarilyduetounfavorablelegaloutcomesandincreasedcostsrelatedtoarigintheshipyard[4]−Generalandadministrativeexpensesdecreasedto579 million in Q4 2024, primarily due to unfavorable legal outcomes and increased costs related to a rig in the shipyard[4] - General and administrative expenses decreased to 50 million in Q1 2025 from 56millioninQ42024,mainlyduetoreducedlegalandprofessionalfees[5]−TheeffectivetaxrateforQ12025was(95.8)56 million in Q4 2024, mainly due to reduced legal and professional fees[5] - The effective tax rate for Q1 2025 was (95.8)%, down from 89.0% in the prior quarter, primarily due to lower operating income[7] - The effective tax rate for Q1 2025 was (95.8)%, significantly impacted by discrete items[37] - Adjusted income (loss) before income taxes for Q1 2025 was (40) million, with an income tax expense of 39million[37]CashFlowandDebt−Cashprovidedbyoperatingactivitieswas39 million[37] Cash Flow and Debt - Cash provided by operating activities was 26 million in Q1 2025, a decrease of 180millioncomparedtothepriorquarter[8]−Cashflowsfromoperatingactivitiesgenerated180 million compared to the prior quarter[8] - Cash flows from operating activities generated 26 million in Q1 2025, a recovery from a cash outflow of 86millioninQ12024[27]−Year−to−datecashprovidedbyoperatingactivitieswas86 million in Q1 2024[27] - Year-to-date cash provided by operating activities was 26 million, while capital expenditures totaled 60million,resultinginafreecashflowof60 million, resulting in a free cash flow of (34) million[41] - Total debt repayments for Q1 2025 amounted to 210million,contributingtoaleveredfreecashflowof210 million, contributing to a levered free cash flow of (244) million[41] - The company repaid 210millioninoutstandingdebtduringthequarter,improvingitsbalancesheet[9]AssetsandLiabilities−Totalassetsdecreasedto210 million in outstanding debt during the quarter, improving its balance sheet[9] Assets and Liabilities - Total assets decreased to 19,019 million as of March 31, 2025, down from 19,371millionatDecember31,2024,representingadeclineof1.819,371 million at December 31, 2024, representing a decline of 1.8%[25] - Total current liabilities slightly decreased to 1,656 million as of March 31, 2025, from 1,663millionatDecember31,2024[25]−Long−termdebtdecreasedto1,663 million at December 31, 2024[25] - Long-term debt decreased to 5,936 million as of March 31, 2025, down from 6,195millionatDecember31,2024,reflectingareductionof4.26,195 million at December 31, 2024, reflecting a reduction of 4.2%[25] - Unrestricted and restricted cash and cash equivalents at the end of Q1 2025 were 691 million, down from 716millionattheendofQ12024[27]OperationalMetrics−Averagedailyrevenueforultra−deepwaterfloatersincreasedto716 million at the end of Q1 2024[27] Operational Metrics - Average daily revenue for ultra-deepwater floaters increased to 443,600 in Q1 2025, up from 428,200inQ42024,reflectingagrowthof4.0428,200 in Q4 2024, reflecting a growth of 4.0%[29] - Total fleet average rig utilization was 63.4% in Q1 2025, down from 66.8% in Q4 2024, indicating a decline of 3.4 percentage points[29] - Capital expenditures for Q1 2025 were 60 million, up from 29millioninthepriorquarter,relatedtocapitalupgradesforcertainrigs[8]−ThebacklogasofApril2025wasreportedat29 million in the prior quarter, related to capital upgrades for certain rigs[8] - The backlog as of April 2025 was reported at 7.9 billion[1] Impairment and Losses - The company reported a loss on impairment of assets totaling $772 million for the full year 2024[35]