SBM Offshore (SBMO) Q3 2025 TU earnings summary

Executive summary

• Directional revenue for Q3 2025 reached $3.6 billion, a 26% increase year-over-year, driven by strong project execution and Turnkey segment growth.

• EBITDA guidance for 2025 was raised to around $1.65 billion, reflecting robust operational performance and project ramp-ups.

• Three major FPSOs—Almirante Tamandaré, Alexandre de Gusmão, and One Guyana—achieved first oil in 2025, expanding the fleet to 17 FPSOs with a total production capacity of 2.7 million barrels per day.

• Strategic collaborations with Cognite and SLB aim to enhance digital asset management and operational efficiency.

• Fleet uptime remained high at 99.4%, underscoring operational efficiency.

Financial highlights

• Directional turnkey revenue nearly doubled to $2 billion, up 90% year-over-year, mainly from progress on GranMorgu and Jaguar FPSOs.

• Lease and Operate revenue was $1.6 billion, down 11% year-over-year due to asset sales, partially offset by new FPSOs joining the fleet.

• Net debt stood at $5.8 billion as of September 30, 2025, a 2% increase year-over-year, reflecting high activity and temporary financing needs.

• Directional revenue for the first nine months of 2025 was $3,571 million, a 26% increase compared to the same period in 2024.

• Hedge ratio of floating-rate debt remains above 90%.

Outlook and guidance

• Full-year 2025 Directional revenue guidance maintained at above $5.0 billion.

• 2025 Directional EBITDA guidance raised to around $1.65 billion from above $1.6 billion.

• Lease and Operate segment expected to contribute around $2.3 billion, Turnkey segment around $2.8 billion.

• Minimum $1.7 billion cash return to shareholders targeted for 2025–2030, with potential upside from backlog and new projects.

• Anticipated $1.7 billion debt reduction in 2026 if ExxonMobil exercises the purchase option for FPSO One Guyana.