Tidewater (TDW) Q3 2026 earnings summary

Executive summary

• Q3 revenue was $360.4m, up 5.3% QoQ and from $341.1m YoY; net income attributable to common shareholders was $17.5m, and Adjusted EBITDA was $140.1m.

• Leading Edge term-contract day rates rose 12.5% QoQ for a third consecutive quarter; free cash flow reached $90.9m.

• Wilson Sons Ultratug Offshore (WSUT) added 22 Brazil platform supply vessels; integration is targeted to be substantially complete by early 2027.

• 2027 guidance points to higher revenue and gross margin, supported by contract repricing and offshore activity.

Financial highlights

• Q3 operating income was $50.3m vs. $62.7m YoY; gross margin was $168.8m, or 46.8%, vs. $162.4m, or 48.0%.

• Q3 Adjusted EBITDA was $140.1m vs. $135.5m in Q2; free cash flow was $90.9m vs. $64.4m in Q2.

• Q3 G&A was $43.8m, including $10.2m of acquisition-related costs; operating costs were $191.6m, including $7.8m from Wilson Sons.

• 9M revenue was $1,028.9m vs. $1,016.0m; net income attributable to common shareholders was $45.3m vs. $114.8m.

Outlook and guidance

• FY2026 revenue guidance is $1.43b–$1.44b and gross margin 47.5%–48.5%; Q4 revenue is expected to rise ~11% sequentially, with gross margin ~48%.

• FY2027 revenue guidance is $1.70b–$1.75b and gross margin 51%–53%; revenue is expected roughly flat in Q1, then to rise through the year.

• 2027 guidance assumes ~82% active utilization and a ~$2,700/day YoY day-rate increase as contracts reset over six quarters.

• Backlog and options total $1.42b, covering ~99% of the midpoint of 2026 revenue guidance, and $1.1b, or ~64% of the midpoint of 2027 guidance.

• 2026 conflict-related costs are estimated at $19.8m, including $8.7m contractually billable to customers; elevated costs are expected to affect Q4.