Ventura Offshore (VTURA) Q1 2025 earnings summary

Executive summary

• Q1 2025 delivered net income of $22.5 million and adjusted EBITDA of $16.7 million, with a free cash position of $27.6 million and no lost time incidents despite a 61-day DS Carolina interdiction, which resumed operations in March after regulatory compliance.

• Major acquisitions included SSV Catarina and UER, expanding the owned fleet to three vessels and one managed vessel, and a 17.5% earnout mechanism was acquired and settled for SSV Catarina.

• The Atlantic Zone (Zonda) rig commenced a three-year Petrobras contract in April 2025, with positive initial feedback.

• Achieved 93.6% technical uptime and 99.9% uptime for DS Carolina during operational days in Q1.

Financial highlights

• Q1 2025 adjusted revenue was $54.1 million, with $53 million from drilling operations and $1.1 million in management fees; total revenues reached $96 million, and net income was $22.5 million.

• Adjusted EBITDA was $16.7 million; operating income was $31.3 million.

• Cash position at quarter-end was $27.6 million, with a backlog of $679 million as of March 31, 2025.

• Total OpEx for Q1 was $32.4 million, with an average OpEx of $106,000 per day for the owned fleet.

• CapEx in Q1 was $2.5 million, mainly for long lead items for Carolina's new contract.

Outlook and guidance

• Strong demand in Brazil is expected, driven by Petrobras' investment plan and projected need for 25–30 rigs by 2029, with new tenders including Buzios field issued in April 2025.

• SSV Catarina is expected to operate through 2025 and potentially into mid-2026 if ENI exercises additional options.

• Active marketing of rigs for opportunities in Southeast Asia and West Africa is ongoing.

• Additional funding may be required for capex on DS Carolina and SSV Victoria contract preparations; refinancing or loan increase is under consideration.

• The company is monitoring M&A opportunities for potential synergies and scale, though current market conditions are not especially favorable.