Bristow Group (VTOL) Q4 2024 earnings summary

Executive summary

• Achieved record full-year 2024 revenues of $1.42 billion, up $118.1 million year-over-year, driven by new contracts and higher utilization in Offshore Energy Services and Other Services.

• Adjusted EBITDA for 2024 reached $236.8 million, exceeding revised guidance and up $66.3 million from the prior year, primarily due to OES growth.

• Net income for 2024 was $94.8 million, reversing a prior year loss, with Q4 net income at $31.8 million.

• Realigned business into three reportable segments: Offshore Energy Services, Government Services, and Other Services, enhancing transparency.

• Major government contracts (IRCG and UKSAR2G) commenced in late 2024, with transitions expected to complete by 2025 and 2026.

Financial highlights

• Q4 2024 revenue was $353.5M, down $11.6M sequentially; Adjusted EBITDA was $57.8M, down $2.3M sequentially.

• Full-year 2024 Adjusted EBITDA rose to $236.8M from $170.5M in 2023; net income improved by $101.6M to $94.8M.

• Operating cash flow increased by $145M; adjusted free cash flow was $160.9M in 2024, up from $28M in 2023.

• Year-end liquidity: $247.5M cash, $64.0M credit facility, total liquidity $311.5M.

• NAV per share as of 12/31/2024 was $57.26, with the share price at $35.47, representing a 38.1% discount to NAV.

Outlook and guidance

• 2025 revenue guidance: $1.42B–$1.62B; Adjusted EBITDA: $230M–$260M; 2026 revenue: $1.5B–$1.8B; Adjusted EBITDA: $275M–$335M.

• Offshore Energy Services expected to maintain strong performance in 2025 despite supply chain headwinds; significant contract renewals and growth anticipated in 2026.

• Government Services to focus on contract transitions in 2025, with full earnings power expected in 2026.

• Dividend payments to commence in Q1 2026 at $0.125 per share quarterly ($0.50 annualized).

• Other Services expected to maintain consistent performance, with growth in Australian charter and scheduled passenger transport.