Paratus Energy Services (PLSV) Q1 2026 earnings summary

Executive summary

• Completed the $400 million sale of Fontis drilling operations and jack-up fleet, transforming into a pure-play PLSV operator with all vessels on long-term contracts in Brazil and simplified operations.

• Achieved strong operational performance with approximately 98% technical utilization of the PLSV fleet in Q1 2026.

• Declared a $0.22 per share dividend for Q1 2026, consistent with previous quarters.

• Post-transaction, the company is a focused PLSV holding entity with reduced risk exposure and improved financial stability.

Financial highlights

• Q1 2026 revenues were $75 million, with combined segment EBITDA of $46 million, and net income from continuing operations of $19.4 million, up from $13.3 million in Q1 2025.

• Cash balance at quarter-end ranged from $112.7 million to $141 million, with net debt reduced to $254 million pro forma for the Fontis sale.

• Free cash flow improved due to higher Seagems distributions and lower interest payments.

• Board approved a $0.22 per share dividend for Q1, maintaining stable distributions.

Outlook and guidance

• 2026 revenue guidance is $285–$300 million, with EBITDA expected at $175–$190 million and CapEx projected at $15–$25 million, reflecting higher day rates and full fleet operation under new Petrobras contracts.

• Fontis sale expected to close in H2 2026, with anticipated proceeds of $148 million in cash, $15 million deferred, and $237 million seller credit.

• Seagems JV is preparing to bid on Petrobras PLSV tender for contracts starting in 2028.