Tidewater (TDW) investor relations material

Company overview

• Operates the largest offshore support vessel (OSV) fleet globally, with 226 owned vessels and a strong presence in all major offshore regions.

• Recent acquisition of Wilson Sons Ultratug Offshore (WSUT) enhances scale, especially in Brazil, and solidifies market leadership.

• Fleet includes high-specification, hybrid, and LNG-capable vessels, with an average age of 13.7 years.

• Blue-chip customer base spans major energy companies across Americas, Europe, Middle East, West Africa, and Asia Pacific.

• Focus on high-quality, large vessels through strategic M&A, adding 105 premier vessels in the last three years.

Market overview

• Offshore activity remained resilient through 2025, with global offshore investment projected to accelerate through 2027-2028, driven by deepwater projects.

• OSV utilization rates have improved, with high demand for large, high-specification vessels.

• Day rates for PSVs and AHTSs have significantly increased, supporting improved margins.

• Global OSV fleet is aging, with about 45% of active vessels set to exceed 25 years in the next decade, leading to expected fleet contraction.

• Newbuild economics are challenging, requiring high day rates and limited by reduced shipyard capacity and tighter debt availability.

Financial performance

• Revenue projected at $1.42–$1.47 billion for 2026, with adjusted EBITDA guidance of ~$596 million and gross margin of 49–50%.

• Strong liquidity position with over $583 million and a market cap of $5.0 billion.

• Net debt/EBITDA expected at 0.9x for 2026, reflecting a robust balance sheet.

• Significant cash generation driven by day rate normalization and high utilization, with unlevered vessel-level cash flow yields rising with higher day rates.

• Recent refinancing and acquisition of WSUT improved debt maturity profile and capital structure.