Dolphin Drilling (DDRIL) Q2 2026 earnings summary

Executive summary

• Signed multi-year contracts for all three rigs, extending contracted earnings visibility into 2030 and 2031, and marking a shift to long-term revenue streams.

• Completed an equity raise and refinancing in May, significantly strengthening the balance sheet and liquidity for future growth.

• Achieved over 1,000 days lost time injury-free for Blackford Dolphin, with safety and operational uptime above 98% for key rigs.

• Operational performance remained robust, with Paul B. Loyd Jr. delivering 99.8% uptime and Blackford Dolphin just over 90%.

• Q2 2026 marked a significant repositioning, with improved earnings visibility and liquidity.

Financial highlights

• Q2 2026 revenue was $44.9 million, stable sequentially but down from $47.4 million year-over-year; 1H 2026 revenue reached $89.6 million.

• EBITDA for Q2 2026 was $7.0 million, up from $5.5 million last year; 1H 2026 EBITDA reached $15.3 million.

• Net loss narrowed to $2.3 million in Q2 2026 from $26.2 million in Q2 last year; 1H 2026 net loss was $8.6 million.

• Cash position at quarter-end was $55.1 million, up from $30.5 million at year-end and $21.8 million a year earlier.

• Operating expenses for Q2 2026 were $32.7 million, down 9% year-over-year.

Outlook and guidance

• Revenue and EBITDA backlog now stable through 2027–2029, with firm revenue of $100–$120 million and EBITDA around $50 million annually.

• Backlog at quarter-end was $557 million firm plus $446 million in options, supporting long-term visibility and stable cash flows for the next five years.

• All three rigs are contracted, with options extending potential revenue into 2036.

• Market outlook remains positive, supported by energy security, regulatory-driven P&A demand in the U.K., and a global shortage of moored semi-submersibles.

• Actively evaluating organic growth and potential business combinations.