SED Energy Holdings (ENH) investor relations material

Executive summary

• Achieved record financial results in Q1 2026, with all rigs and vessels fully contracted and operational, driven by strong operational performance and full fleet utilization.

• Maintained a diversified, cash-generative asset portfolio and a conservative capital structure, supporting consistent shareholder returns.

• Proposed Q1 2026 shareholder distribution of USD 25 million, with full-year guidance of USD 90-110 million.

• Total distributions since inception exceed USD 107.5 million, representing over 25% of initial market capitalization.

• Solid contract coverage, limited capex, and strong leadership underpin regular and attractive distributions.

Financial highlights

• Q1 2026 revenue reached USD 69.8 million, up as much as 32% year-over-year; adjusted EBITDA was USD 39.0 million, with net profit of USD 21.8 million.

• Adjusted EBITDA margin was 56%; net profit rose 63% year-over-year.

• SG&A expenses were USD 5.2 million, up 72% year-over-year.

• Cash and cash equivalents at quarter-end were USD 45.7 million; unrestricted cash was USD 34 million.

• Revenue backlog stood at USD 393 million, providing strong earnings visibility.

Outlook and guidance

• Full-year 2026 shareholder distribution guidance is USD 90-110 million, implying a cash yield of ~15%.

• Focus on maintaining high fleet utilization and securing long-term contracts, especially in Southeast Asia.

• Market normalization in the Middle East expected to support utilization and day rates.

• Full-year CapEx guidance reiterated at USD 18 million.

• Firm revenue backlog of USD 393 million supports continued shareholder distributions.