Solstad Offshore (SOFF) Q2 2025 earnings summary

Executive summary

• Achieved 100% vessel utilization in Q2 2025, up from 97% year-over-year, with strong operational and financial performance and a solid order backlog, especially in Brazil.

• Significant order intake of USD 403–415 million, driven by new long-term contracts in Brazil, enhancing backlog and earnings visibility.

• Investments in associates and joint ventures, including Solstad Maritime, NISA, and Omega Subsea, continue to deliver value.

• Fleet of 16 vessels, with majority operating in South America; expansion of service offerings through Omega Subsea and Solstad Services.

• Secured multiple long-term contracts in Brazil, resulting in a firm order backlog of USD 770–771 million at end of 1H 2025.

Financial highlights

• Q2 2025 revenue reached USD 78 million, up from USD 58 million year-over-year; YTD/1H revenue at USD 147 million, a 14% increase.

• Adjusted EBITDA for Q2 2025 was USD 32 million, up 28% year-over-year; YTD/1H adjusted EBITDA at USD 62 million.

• Net result for Q2 2025 was USD 39 million, up from USD 4 million year-over-year; 1H net result reached USD 62 million.

• Cash and cash equivalents at USD 60 million, up from USD 53 million year-over-year.

• Book equity at USD 349 million (40% equity ratio), up from USD 193 million (23%) year-over-year.

Outlook and guidance

• Market fundamentals remain positive, with strong contract coverage into 2026 and beyond, especially in Brazil.

• 2025 Adjusted EBITDA guidance maintained at USD 120–150 million, with operational Adjusted EBITDA of USD 60–70 million and share of result from associates/JVs at USD 60–80 million.

• Plans to initiate quarterly dividends starting from Q3 2025.

• Vessel demand expected to grow in Brazil, Guyana, and the North Sea; decommissioning and offshore wind add to demand.

• New vessel deliveries in 2026–2027 may require further market growth to absorb capacity.