Borr Drilling (BORR) investor relations material

Executive summary

• Achieved strong Q3 2025 results with 23 of 24 rigs active, high operational execution, and global presence supporting a diversified portfolio.

• Secured 22 new commitments year-to-date, adding $625 million to backlog, including key contract extensions and new market entries in the Gulf of Mexico and Angola.

• Adjusted EBITDA for Q3 2025 rose 2% to $135.6 million, with a margin of 48.9%.

• Fleet coverage for 2025 reached 85% at an average day rate of $145,000; 2026 coverage stands at 62%.

• Modern jack-up demand remains resilient, with utilization near 90%–93% despite industry headwinds and volatility.

Financial highlights

• Q3 2025 revenue increased by 4% sequentially to $277.1 million, driven by higher day-rate and variable charter revenue.

• Operating income for Q3 2025 was $98 million, up 2% from the prior quarter.

• Net income for Q3 2025 was $27.8 million, down 21% sequentially due to higher financial and tax expenses.

• Free cash at quarter-end was $227.8 million, with total available liquidity of $461.8 million.

• Net cash provided by operating activities was $72.1 million; $97.2 million from financing activities, mainly from a July equity offering.

Outlook and guidance

• Full-year 2025 adjusted EBITDA expected in the range of $455 million–$470 million, reflecting impacts from contract terminations and fewer operating days in Q4.

• 2026 contract coverage stands at 62% with an average dayrate of $140,000, including priced options.

• Anticipates continued tightening in the jack-up market, supporting higher utilization and day rates.

• Constructive outlook for H2 2026 and beyond, with key markets showing improvement and incremental demand materializing.

• Expanding customer base and robust utilization expected to drive continued growth.