Tidewater Reports Results for the Three Months Ended March 31, 2022
Average Active Fleet Increases by 6 Vessels During the Quarter and Active Utilization Remains Strong at 82.5%
Average Day Rate Increases to $10,687; Highest Since Q4 2020
Vessel Level Gross Margin Increased From 24.7% to 34.0% and Global Fleet Utilization Increased From 52.9% to 70.9% Compared to the First Quarter of 2021
Following the Acquisition of Swire Pacific Offshore, Tidewater Now Operates the Premier Global Fleet Poised to Capitalize on the Significant Increase in Demand for High Quality Offshore Vessels
HOUSTON–(BUSINESS WIRE)–Tidewater Inc. (NYSE:TDW) announced today revenue for the three months ended March 31, 2022 of $105.7 million compared with $83.5 million for the three months ended March 31, 2021. Tidewater’s net losses for the three months ended March 31, 2022, were $12.2 million ($0.29 per common share) compared with $35.3 million ($0.87 per common share) for the three months ended March 31, 2021. Included in the net losses for the three months ended March 31, 2022 were long-lived asset impairment credit, gain on bargain purchase and merger and severance expenses of $0.5 million. Excluding these items, we would have reported a net loss for the three months ended March 31, 2022 of $11.7 million ($0.28 per common share). Included in the net losses for the three months ending March 31, 2021 were severance expenses totaling $0.1 million; excluding these costs, we would have reported a net loss for the three months ending March 31, 2021 of $35.2 million ($0.86 per common share).
Quintin Kneen, Tidewater’s President and Chief Executive Officer, commented, “Tidewater is uniquely positioned to capitalize on what is looking to be a truly transformational period for vessel activity and day rate improvements over the next several quarters.
“Over the past several years we have been executing on a multi-faceted strategy to build significant and sustainable value at Tidewater. Recognizing the cyclicality of our highly fragmented, capital intensive industry, there were several priorities we focused on to prepare the company to successfully weather the lean times, while being well-positioned to capitalize on the inevitable upswings in the cycle when they occur. First and foremost, it starts with the people, and we are proud to say that we have built the strongest and most capable leadership and operational team in the industry, and that team will continue to get stronger as we move forward including as we welcome and integrate the talented team from Swire Pacific Offshore (“SPO”) into our organization. Our team’s initial focus was operational execution, including the integration of GulfMark into Tidewater, and driving efficiencies to weather the challenges the industry had experienced for many years while maximizing the operating leverage for the eventual recovery. With a strong team and efficient cost-structure and operations, we were then in a good position to address the company’s balance sheet, and we are proud that Tidewater now has the strongest, most liquid and most flexible capital structure in the industry. Finally, with all of those pieces in place, Tidewater is well-positioned to act strategically, acquire the best assets to complement our global fleet and capitalize on improving industry dynamics and drive sustainable value. The acquisition of SPO that we closed in April is transformational as Tidewater is now the undisputed industry leader at a time when the demand for high quality offshore vessels is poised to significantly exceed the available supply.
“As an illustration of our progress in operational improvements, vessel level gross margins increased from 24.7% in the first quarter of 2021 to 34.0% in the first quarter of 2022. While some of this improvement is due to COVID related costs that impacted 2021, this trend reflects an overall company-wide focus on efficient operational execution. We do expect this positive trend to continue as we realize the full potential benefits of the changes we have put in place. We have also achieved significant savings in G&A expenses as illustrated by the reduction of approximately $80.0 million in G&A since the 2018 merger. To put all of this in perspective, our overall G&A cost structure in the first quarter of 2022 for the combined Tidewater and GulfMark is approximately 30% less than the stand-alone cost structure of Tidewater alone before the merger. We are now applying these techniques and processes to the integration of our latest acquisition of SPO, and we intend to continue the intense focus on efficient operational execution going forward.
“The SPO acquisition includes 50 high quality vessels which augments our already strong position in West Africa, a region that is just beginning to recover from the pandemic and which is likely to be a substantial beneficiary of the world’s search for hydrocarbons outside of Russia. The acquisition also gives us substantial leverage to the Southeast Asia and Australian markets, as well as adding vessels to areas of increasing activity, such as the Middle East. We remain confident that our combination synergies of $45.0 million can be achieved over the next 18 months.
“The OSV industry has historically experienced demand fluctuations that correlate with offshore oil and gas activity, but are impacted by other factors that are unique to our industry, such as shipbuilding and mariner labor cycles. Since the offshore energy downturn began in 2014, there have been very few new vessels enter the market, and existing vessels have aged or been taken out of service. Many operators in the industry have struggled to survive under the burden of high debt levels, low day rates, and inefficient operations. As a result, the available supply of high quality PSVs has declined substantially over the past 8 years such that only approximately 30 remain to be reactivated worldwide.
“The prolonged under-investment in offshore hydrocarbon infrastructure began to result in increased demand for offshore oil and gas activity in the second half of 2021, and that demand has been compounded by recent geopolitical issues. The demand for offshore wind energy infrastructure continues to accelerate as well. As a result, the outlook for OSV demand to support these offshore energy activities has begun to accelerate significantly. We are already seeing this impact in the market, but the most significant improvements will materialize over the next several quarters as this demand swiftly eclipses available supply. As an example, during the first quarter of 2022, we entered into contracts of various durations for 16 vessels with charter dates beginning after the first quarter. The average day rate improvement across these vessels’ contracts compared to their previous contracts is over 20%, with our largest PSVs in this group achieving average day rate improvement of nearly 30%. We believe the improvements in day rates are a clear signal of the fundamental shift in vessel supply and demand, and that as additional tendering continues and existing contracts roll-off, upward acceleration of day rates will continue.
“Everything we have been working on these past several years has positioned us to thrive under any market condition, and now that the market is rapidly improving, we are poised to capitalize. I want to take a moment to thank our employees for driving all the change and improvements that has prepared us for this opportunity. Finally, I want to welcome our 1,300 new employees from SPO to the Tidewater family. I look forward to your contributions and welcome you to the most exciting OSV company in the world.”
In addition to the number of outstanding shares, as of March 31, 2022, the company also has the following in-the-money warrants.
| Common shares outstanding |
|
|
41,716,885 |
|
|
New Creditor Warrants (strike price $0.001 per common share) |
|
|
465,398 |
|
|
GulfMark Creditor Warrants (strike price $0.01 per common share) |
|
|
429,812 |
|
|
Total |
|
|
42,612,095 |
|
Tidewater will hold a conference call to discuss results for the three months ending March 31, 2022 on May 10, 2022, at 8:00 a.m. Central Time. Investors and interested parties may listen to the earnings conference call via telephone by calling +1.888.770.7135 if calling from the U.S. or Canada (+1.929.203.0820 if calling from outside the U.S.) and provide Access Code: 2444624 prior to the scheduled start time. A live webcast of the call will also be available in the Investor Relations section of Tidewater’s website at investor.tdw.com.
A replay of the conference call will be available beginning at 11:00 a.m. Central Time on May 10, 2022 and will continue until 11:59 p.m. Central Time on June 10, 2022. To access the replay, visit the Investor Relations section of Tidewater’s website at investor.tdw.com.
The conference call will contain forward-looking statements in addition to statements of historical fact. The actual achievement of any forecasted results or the unfolding of future economic or business developments in a way anticipated or projected by the company involves numerous risks and uncertainties that may cause the company’s actual performance to be materially different from that stated or implied in the forward-looking statements. Such risks and uncertainties include, among other things, risks associated with the general nature of the oilfield service industry and other factors discussed within the “Risk Factors” section of Tidewater’s most recent Forms 10-Q and 10-K.
Tidewater owns and operates the largest fleet of offshore support vessels in the industry, with 65 years of experience supporting offshore energy exploration, production and offshore wind activities worldwide. To learn more, visit www.tdw.com.
Financial information is displayed beginning on the next page.
The financial statements and supplementary information presented in this press release were not audited. This press release presents extracts from the Consolidated Balance Sheets at March 31, 2022 and December 31, 2021 as well as the Consolidated Statements of Operations, Consolidated Statements of Equity and Consolidated Statements of Cash Flows for the three months ended March 31, 2022 and for the twelve months ended December 31, 2021. Extracts are drawn from the March 31, 2022 unaudited quarterly financial statements and the December 31, 2021 audited annual financial statements of Tidewater, Inc. All per-share amounts are stated on a diluted basis.
| TIDEWATER INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In Thousands, except per share data) |
|||||||
|
|
Three Months Ended |
||||||
|
|
March 31, 2022 |
|
March 31, 2021 |
||||
|
Revenues: |
|
|
|
|
|
|
|
|
Vessel revenues |
$ |
103,876 |
|
|
$ |
80,993 |
|
|
Other operating revenues |
|
1,853 |
|
|
|
2,511 |
|
|
Total revenues |
|
105,729 |
|
|
|
83,504 |
|
|
Costs and expenses: |
|
|
|
|
|
|
|
|
Vessel operating costs |
|
68,511 |
|
|
|
61,020 |
|
|
Costs of other operating revenues |
|
361 |
|
|
|
1,067 |
|
|
General and administrative |
|
18,217 |
|
|
|
16,043 |
|
|
Depreciation and amortization |
|
26,657 |
|
|
|
29,727 |
|
|
Long-lived asset impairment credit |
|
(500 |
) |
|
|
— |
|
|
(Gain) loss on asset dispositions, net |
|
(207 |
) |
|
|
1,948 |
|
|
Total costs and expenses |
|
113,039 |
|
|
|
109,805 |
|
|
Operating loss |
|
(7,310 |
) |
|
|
(26,301 |
) |
|
Other income (expense): |
|
|
|
|
|
|
|
|
Foreign exchange gain (loss) |
|
946 |
|
|
|
(850 |
) |
|
Equity in net losses of unconsolidated companies |
|
— |
|
|
|
(1,849 |
) |
|
Interest income and other, net |
|
3,486 |
|
|
|
23 |
|
|
Interest and other debt costs, net |
|
(4,175 |
) |
|
|
(4,541 |
) |
|
Total other income (expense) |
|
257 |
|
|
|
(7,217 |
) |
|
Loss before income taxes |
|
(7,053 |
) |
|
|
(33,518 |
) |
|
Income tax expense |
|
5,218 |
|
|
|
2,009 |
|
|
Net loss |
|
(12,271 |
) |
|
|
(35,527 |
) |
|
Less: Net loss attributable to noncontrolling interests |
|
(103 |
) |
|
|
(212 |
) |
|
Net loss attributable to Tidewater Inc. |
$ |
(12,168 |
) |
|
$ |
(35,315 |
) |
|
Basic loss per common share |
$ |
(0.29 |
) |
|
$ |
(0.87 |
) |
|
Diluted loss per common share |
$ |
(0.29 |
) |
|
$ |
(0.87 |
) |
|
Weighted average common shares outstanding |
|
41,412 |
|
|
|
40,716 |
|
|
Dilutive effect of stock options and restricted stock |
|
— |
|
|
|
— |
|
|
Adjusted weighted average common shares |
|
41,412 |
|
|
|
40,716 |
|
|
TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands, except share and par value data) |
|||||||
|
|
March 31, 2022 |
|
December 31, 2021 |
||||
|
ASSETS |
|
|
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
$ |
136,234 |
|
|
$ |
149,037 |
|
|
Restricted cash |
|
4,958 |
|
|
|
1,240 |
|
|
Trade and other receivables, less allowance for credit losses of $1,987 and $1,948 as of March 31, 2022 and 2021, respectively |
|
112,953 |
|
|
|
86,503 |
|
|
Due from affiliates, less allowance for credit losses of $12,812 and $72,456 as of March 31, 2022 and 2021, respectively |
|
21,191 |
|
|
|
70,134 |
|
|
Marine operating supplies |
|
13,252 |
|
|
|
12,606 |
|
|
Assets held for sale |
|
8,591 |
|
|
|
14,421 |
|
|
Prepaid expenses and other current assets |
|
12,012 |
|
|
|
8,731 |
|
|
Total current assets |
|
309,191 |
|
|
|
342,672 |
|
|
Net properties and equipment |
|
677,580 |
|
|
|
688,040 |
|
|
Deferred drydocking and survey costs |
|
44,362 |
|
|
|
40,734 |
|
|
Other assets |
|
22,997 |
|
|
|
24,334 |
|
|
Total assets |
$ |
1,054,130 |
|
|
$ |
1,095,780 |
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
|
Accounts payable |
$ |
23,696 |
|
|
$ |
20,788 |
|
|
Accrued costs and expenses |
|
55,141 |
|
|
|
51,734 |
|
|
Due to affiliates |
|
21,191 |
|
|
|
61,555 |
|
|
Other current liabilities |
|
25,471 |
|
|
|
23,865 |
|
|
Total current liabilities |
|
125,499 |
|
|
|
157,942 |
|
|
Long-term debt |
|
167,997 |
|
|
|
167,885 |
|
|
Other liabilities and deferred credits |
|
70,892 |
|
|
|
68,184 |
|
|
|
|
|
|
|
|
|
|
|
Commitments and contingencies |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity: |
|
|
|
|
|
|
|
|
Common stock |
|
42 |
|
|
|
41 |
|
|
Additional paid-in-capital |
|
1,376,934 |
|
|
|
1,376,494 |
|
|
Accumulated deficit |
|
(690,068 |
) |
|
|
(677,900 |
) |
|
Accumulated other comprehensive loss |
|
2,471 |
|
|
|
2,668 |
|
|
Total stockholders’ equity |
|
689,379 |
|
|
|
701,303 |
|
|
Noncontrolling interests |
|
363 |
|
|
|
466 |
|
|
Total equity |
|
689,742 |
|
|
|
701,769 |
|
|
Total liabilities and equity |
$ |
1,054,130 |
|
|
$ |
1,095,780 |
|
|
TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (In Thousands) |
|||||||
|
|
Three Months Ended |
||||||
|
|
March 31, 2022 |
|
March 31, 2021 |
||||
|
Net loss |
$ |
(12,271 |
) |
|
$ |
(35,527 |
) |
|
Other comprehensive loss: |
|
|
|
|
|
|
|
|
Change in liability of pension plans |
|
(197 |
) |
|
|
(71 |
) |
|
Total comprehensive loss |
$ |
(12,468 |
) |
|
$ |
(35,598 |
) |
|
TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In Thousands) |
|||||||
|
|
Three Months |
|
Three Months |
||||
|
|
Ended |
|
Ended |
||||
|
|
March 31, 2022 |
|
March 31, 2021 |
||||
|
Operating activities: |
|
|
|
||||
|
Net loss |
$ |
(12,271 |
) |
|
$ |
(35,527 |
) |
|
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
|
|
|
||||
|
Depreciation and amortization |
|
17,673 |
|
|
|
18,470 |
|
|
Amortization of deferred drydocking and survey costs |
|
8,984 |
|
|
|
11,257 |
|
|
Amortization of debt premiums and discounts |
|
375 |
|
|
|
1,108 |
|
|
Provision for deferred income taxes |
|
177 |
|
|
|
30 |
|
|
(Gain) loss on asset dispositions, net |
|
(207 |
) |
|
|
1,948 |
|
|
Gain on bargain purchase |
|
(1,300 |
) |
|
|
— |
|
|
Loss on debt extinguishment |
|
— |
|
|
|
59 |
|
|
Long-lived asset impairment credit |
|
(500 |
) |
|
|
— |
|
|
Stock-based compensation expense |
|
1,458 |
|
|
|
1,172 |
|
|
Changes in operating assets and liabilities, net of effects of business acquisition: |
|
|
|
||||
|
Trade and other receivables |
|
(15,570 |
) |
|
|
12,758 |
|
|
Changes in due to/from affiliate, net |
|
(20 |
) |
|
|
2,738 |
|
|
Accounts payable |
|
2,825 |
|
|
|
(2,359 |
) |
|
Accrued expenses |
|
3,207 |
|
|
|
(4,270 |
) |
|
Deferred drydocking and survey costs |
|
(12,612 |
) |
|
|
(2,722 |
) |
|
Other, net |
|
(3,843 |
) |
|
|
1,054 |
|
|
Net cash provided by (used in) operating activities |
|
(11,624 |
) |
|
|
5,716 |
|
|
Cash flows from investing activities: |
|
|
|
||||
|
Proceeds from sales of assets |
|
4,628 |
|
|
|
10,983 |
|
|
Acquisition of joint venture, net of cash acquired |
|
(1,039 |
) |
|
|
— |
|
|
Additions to properties and equipment |
|
(1,229 |
) |
|
|
(1,196 |
) |
|
Net cash provided by investing activities |
|
2,360 |
|
|
|
9,787 |
|
|
Cash flows from financing activities: |
|
|
|
||||
|
Principal payments on long-term debt |
|
— |
|
|
|
(26,414 |
) |
|
Debt issuance and modification costs |
|
(263 |
) |
|
|
(725 |
) |
|
Debt extinguishment premium |
|
— |
|
|
|
(59 |
) |
|
Tax on share-based award |
|
(1,017 |
) |
|
|
(135 |
) |
|
Net cash used in financing activities |
|
(1,280 |
) |
|
|
(27,333 |
) |
|
Net change in cash, cash equivalents and restricted cash |
|
(10,544 |
) |
|
|
(11,830 |
) |
|
Cash, cash equivalents and restricted cash at beginning of period |
|
154,276 |
|
|
|
155,225 |
|
|
Cash, cash equivalents and restricted cash at end of period |
$ |
143,732 |
|
|
$ |
143,395 |
|
|
|
|
|
|||||
|
Supplemental disclosure of cash flow information: |
|
|
|
||||
|
Cash paid during the year for: |
|
|
|
||||
|
Interest, net of amounts capitalized |
$ |
— |
|
|
$ |
3,746 |
|
|
Income taxes |
|
3,200 |
|
|
|
2,535 |
|
|
Note: Cash, cash equivalents and restricted cash at March 31, 2022 includes $2.5 million in long-term restricted cash, which is included in other assets in our consolidated balance sheet. |
|||||||
|
TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (In Thousands) |
||||||||||||||||||||||||
|
|
|
Three Months Ended |
|
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additional |
|
|
|
|
|
|
other |
|
|
Non |
|
|
|
|
|
|||
|
|
|
Common |
|
|
paid-in |
|
|
Accumulated |
|
|
comprehensive |
|
|
controlling |
|
|
|
|
|
|||||
|
|
|
stock |
|
|
capital |
|
|
(deficit) |
|
|
loss |
|
|
interest |
|
|
Total |
|
||||||
|
Balance at December 31, 2021 |
|
$ |
41 |
|
|
$ |
1,376,494 |
|
|
$ |
(677,900 |
) |
|
$ |
2,668 |
|
|
$ |
466 |
|
|
$ |
701,769 |
|
|
Total comprehensive income (loss) |
|
|
— |
|
|
|
— |
|
|
|
(12,168 |
) |
|
|
(197 |
) |
|
|
(103 |
) |
|
|
(12,468 |
) |
|
Issuance of common stock |
|
|
1 |
|
|
|
(1 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Amortization of share-based awards |
|
|
— |
|
|
|
441 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
441 |
|
|
Balance at March 31, 2022 |
|
$ |
42 |
|
|
$ |
1,376,934 |
|
|
$ |
(690,068 |
) |
|
$ |
2,471 |
|
|
$ |
363 |
|
|
$ |
689,742 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at December 31, 2020 |
|
$ |
41 |
|
|
$ |
1,371,809 |
|
|
$ |
(548,931 |
) |
|
$ |
(804 |
) |
|
$ |
1,157 |
|
|
$ |
823,272 |
|
|
Total comprehensive income (loss) |
|
|
— |
|
|
|
— |
|
|
|
(35,315 |
) |
|
|
(71 |
) |
|
|
(212 |
) |
|
|
(35,598 |
) |
|
Amortization of share-based awards |
|
|
— |
|
|
|
1,037 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,037 |
|
|
Balance at March 31, 2021 |
|
$ |
41 |
|
|
$ |
1,372,846 |
|
|
$ |
(584,246 |
) |
|
$ |
(875 |
) |
|
$ |
945 |
|
|
$ |
788,711 |
|
|
The company’s vessel revenues and vessel operating costs and the related percentage of total vessel revenues, were as follows: |
||||||||||||||||
|
(In Thousands) |
|
Three Months Ended |
|
|||||||||||||
|
|
|
March 31, 2022 |
|
|
March 31, 2021 |
|
||||||||||
|
Vessel revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Americas |
|
$ |
28,444 |
|
|
|
27 |
% |
|
$ |
26,224 |
|
|
|
32 |
% |
|
Middle East/Asia Pacific |
|
|
25,115 |
|
|
|
24 |
% |
|
|
24,414 |
|
|
|
30 |
% |
|
Europe/Mediterranean |
|
|
23,919 |
|
|
|
23 |
% |
|
|
14,749 |
|
|
|
18 |
% |
|
West Africa |
|
|
26,398 |
|
|
|
26 |
% |
|
|
15,606 |
|
|
|
19 |
% |
|
Total vessel revenues |
|
$ |
103,876 |
|
|
|
100 |
% |
|
$ |
80,993 |
|
|
|
100 |
% |
|
Vessel operating costs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crew costs |
|
$ |
40,837 |
|
|
|
39 |
% |
|
$ |
35,162 |
|
|
|
43 |
% |
|
Repair and maintenance |
|
|
9,461 |
|
|
|
9 |
% |
|
|
9,437 |
|
|
|
12 |
% |
|
Insurance |
|
|
1,384 |
|
|
|
1 |
% |
|
|
623 |
|
|
|
1 |
% |
|
Fuel, lube and supplies |
|
|
7,076 |
|
|
|
7 |
% |
|
|
5,860 |
|
|
|
7 |
% |
|
Other |
|
|
9,753 |
|
|
|
9 |
% |
|
|
9,938 |
|
|
|
12 |
% |
|
Total vessel operating costs |
|
|
68,511 |
|
|
|
66 |
% |
|
|
61,020 |
|
|
|
75 |
% |
|
Vessel operating margin (A) |
|
$ |
35,365 |
|
|
|
34 |
% |
|
$ |
19,973 |
|
|
|
25 |
% |
|
Note (A): Vessel operating margin equals revenues less vessel operating costs and excludes general and administrative expenses and depreciation and amortization. |
||||||||||||||||
|
The company’s operating loss and other components of loss before income taxes and its related percentage of total revenues, were as follows: |
||||||||||||||||
|
(In Thousands) |
|
Three Months Ended |
|
|||||||||||||
|
|
|
March 31, 2022 |
|
|
March 31, 2021 |
|
||||||||||
|
Vessel operating profit (loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Americas |
|
$ |
(82 |
) |
|
|
(0 |
)% |
|
$ |
(1,651 |
) |
|
|
(2 |
)% |
|
Middle East/Asia Pacific |
|
|
290 |
|
|
|
0 |
% |
|
|
(1,853 |
) |
|
|
(2 |
)% |
|
Europe/Mediterranean |
|
|
(2,429 |
) |
|
|
(2 |
)% |
|
|
(8,021 |
) |
|
|
(10 |
)% |
|
West Africa |
|
|
3,215 |
|
|
|
3 |
% |
|
|
(6,767 |
) |
|
|
(8 |
)% |
|
Other operating profit |
|
|
1,492 |
|
|
|
1 |
% |
|
|
1,444 |
|
|
|
2 |
% |
|
|
|
|
2,486 |
|
|
|
2 |
% |
|
|
(16,848 |
) |
|
|
(20 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate expenses (A) |
|
|
(10,503 |
) |
|
|
(10 |
)% |
|
|
(7,505 |
) |
|
|
(9 |
)% |
|
Gain (loss) on asset dispositions, net |
|
|
207 |
|
|
|
0 |
% |
|
|
(1,948 |
) |
|
|
(2 |
)% |
|
Long-lived asset impairments and other |
|
|
500 |
|
|
|
1 |
% |
|
|
— |
|
|
|
0 |
% |
|
Operating loss |
|
$ |
(7,310 |
) |
|
|
(7 |
)% |
|
$ |
(26,301 |
) |
|
|
(31 |
)% |
|
Note (A): General and administrative expenses for the three months ended March 31, 2022 and 2021 include stock-based compensation of $1.5 million and $1.2 million, respectively. In addition, vessel operating and general and administrative costs for the three months ended March 31, 2022 and 2021, include $0.1 million and $0.1 million in one-time restructuring and integration related costs, respectively. |
||||||||||||||||
|
TIDEWATER INC. CONSOLIDATED STATEMENTS OF EARNINGS (LOSS) – QUARTERLY DATA (In Thousands, except per share data) |
||||||||||||||||||||
|
|
|
Three Months Ended |
|
|||||||||||||||||
|
|
|
March 31, |
|
|
December 31, |
|
|
September 30, |
|
|
June 30, |
|
|
March 31, |
|
|||||
|
|
|
2022 |
|
|
2021 |
|
|
2021 |
|
|
2021 |
|
|
2021 |
|
|||||
|
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vessel revenues |
|
$ |
103,876 |
|
|
$ |
100,428 |
|
|
$ |
91,634 |
|
|
$ |
88,514 |
|
|
$ |
80,993 |
|
|
Other operating revenues |
|
|
1,853 |
|
|
|
4,747 |
|
|
|
767 |
|
|
|
1,439 |
|
|
|
2,511 |
|
|
Total revenues |
|
|
105,729 |
|
|
|
105,175 |
|
|
|
92,401 |
|
|
|
89,953 |
|
|
|
83,504 |
|
|
Costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vessel operating costs (A) |
|
|
68,511 |
|
|
|
71,187 |
|
|
|
65,344 |
|
|
|
64,263 |
|
|
|
61,020 |
|
|
Costs of other operating revenue |
|
|
361 |
|
|
|
228 |
|
|
|
355 |
|
|
|
581 |
|
|
|
1,067 |
|
|
General and administrative (A) |
|
|
18,217 |
|
|
|
17,641 |
|
|
|
18,045 |
|
|
|
16,787 |
|
|
|
16,043 |
|
|
Depreciation and amortization |
|
|
26,657 |
|
|
|
28,288 |
|
|
|
27,980 |
|
|
|
28,549 |
|
|
|
29,727 |
|
|
Long-lived asset impairment (credit) and other |
|
|
(500 |
) |
|
|
13,476 |
|
|
|
2,167 |
|
|
|
— |
|
|
|
— |
|
|
Affiliate credit loss impairment expense (credit) |
|
|
— |
|
|
|
1,400 |
|
|
|
— |
|
|
|
(1,000 |
) |
|
|
— |
|
|
(Gain) loss on asset dispositions, net |
|
|
(207 |
) |
|
|
(53 |
) |
|
|
74 |
|
|
|
932 |
|
|
|
1,948 |
|
|
Total operating costs and expenses |
|
|
113,039 |
|
|
|
132,167 |
|
|
|
113,965 |
|
|
|
110,112 |
|
|
|
109,805 |
|
|
Operating loss |
|
|
(7,310 |
) |
|
|
(26,992 |
) |
|
|
(21,564 |
) |
|
|
(20,159 |
) |
|
|
(26,301 |
) |
|
Other income (expense): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign exchange gain (loss) |
|
|
946 |
|
|
|
582 |
|
|
|
(523 |
) |
|
|
422 |
|
|
|
(850 |
) |
|
Equity in net earnings (losses) of unconsolidated companies |
|
|
— |
|
|
|
(1,625 |
) |
|
|
100 |
|
|
|
52 |
|
|
|
(1,849 |
) |
|
Interest income and other, net |
|
|
3,486 |
|
|
|
1,426 |
|
|
|
148 |
|
|
|
8 |
|
|
|
23 |
|
|
Loss on early extinguishment of debt |
|
|
— |
|
|
|
(11,100 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Interest and other debt costs, net |
|
|
(4,175 |
) |
|
|
(3,417 |
) |
|
|
(3,681 |
) |
|
|
(3,944 |
) |
|
|
(4,541 |
) |
|
Total other expense |
|
|
257 |
|
|
|
(14,134 |
) |
|
|
(3,956 |
) |
|
|
(3,462 |
) |
|
|
(7,217 |
) |
|
Loss before income taxes |
|
|
(7,053 |
) |
|
|
(41,126 |
) |
|
|
(25,520 |
) |
|
|
(23,621 |
) |
|
|
(33,518 |
) |
|
Income tax (benefit) expense |
|
|
5,218 |
|
|
|
(3,047 |
) |
|
|
887 |
|
|
|
6,026 |
|
|
|
2,009 |
|
|
Net loss |
|
|
(12,271 |
) |
|
|
(38,079 |
) |
|
|
(26,407 |
) |
|
|
(29,647 |
) |
|
|
(35,527 |
) |
|
Net loss attributable to noncontrolling interests |
|
|
(103 |
) |
|
|
(145 |
) |
|
|
(149 |
) |
|
|
(185 |
) |
|
|
(212 |
) |
|
Net loss attributable to Tidewater Inc. |
|
$ |
(12,168 |
) |
|
$ |
(37,934 |
) |
|
$ |
(26,258 |
) |
|
$ |
(29,462 |
) |
|
$ |
(35,315 |
) |
|
Basic loss per common share |
|
$ |
(0.29 |
) |
|
$ |
(0.92 |
) |
|
$ |
(0.64 |
) |
|
$ |
(0.72 |
) |
|
$ |
(0.87 |
) |
|
Diluted loss per common share |
|
$ |
(0.29 |
) |
|
$ |
(0.92 |
) |
|
$ |
(0.64 |
) |
|
$ |
(0.72 |
) |
|
$ |
(0.87 |
) |
|
Weighted average common shares outstanding |
|
|
41,412 |
|
|
|
41,280 |
|
|
|
41,132 |
|
|
|
40,899 |
|
|
|
40,716 |
|
|
Dilutive effect of stock options and restricted stock |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Adjusted weighted average common shares |
|
|
41,412 |
|
|
|
41,280 |
|
|
|
41,132 |
|
|
|
40,899 |
|
|
|
40,716 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vessel operating margin |
|
$ |
35,365 |
|
|
$ |
29,241 |
|
|
$ |
26,290 |
|
|
$ |
24,251 |
|
|
$ |
19,973 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note (A) One-time restructuring and integration related costs |
|
$ |
2,305 |
|
|
$ |
221 |
|
|
$ |
112 |
|
|
$ |
795 |
|
|
$ |
103 |
|
|
TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands) |
||||||||||||||||||||
|
|
|
March 31, |
|
|
December 31, |
|
|
September 30, |
|
|
June 30, |
|
|
March 31, |
|
|||||
|
|
|
2022 |
|
|
2021 |
|
|
2021 |
|
|
2021 |
|
|
2021 |
|
|||||
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
136,234 |
|
|
$ |
149,037 |
|
|
$ |
127,414 |
|
|
$ |
131,157 |
|
|
$ |
131,858 |
|
|
Restricted cash |
|
|
4,958 |
|
|
|
1,240 |
|
|
|
24,092 |
|
|
|
20,284 |
|
|
|
9,061 |
|
|
Trade and other receivables, net |
|
|
112,953 |
|
|
|
86,503 |
|
|
|
86,015 |
|
|
|
90,229 |
|
|
|
99,865 |
|
|
Due from affiliates, less allowances |
|
|
21,191 |
|
|
|
70,134 |
|
|
|
68,217 |
|
|
|
64,922 |
|
|
|
62,474 |
|
|
Marine operating supplies |
|
|
13,252 |
|
|
|
12,606 |
|
|
|
13,335 |
|
|
|
15,404 |
|
|
|
15,676 |
|
|
Assets held for sale |
|
|
8,591 |
|
|
|
14,421 |
|
|
|
17,891 |
|
|
|
17,214 |
|
|
|
31,214 |
|
|
Prepaid expenses and other current assets |
|
|
12,012 |
|
|
|
8,731 |
|
|
|
13,129 |
|
|
|
15,953 |
|
|
|
13,594 |
|
|
Total current assets |
|
|
309,191 |
|
|
|
342,672 |
|
|
|
350,093 |
|
|
|
355,163 |
|
|
|
363,742 |
|
|
Net properties and equipment |
|
|
677,580 |
|
|
|
688,040 |
|
|
|
709,324 |
|
|
|
731,659 |
|
|
|
754,707 |
|
|
Deferred drydocking and survey costs |
|
|
44,362 |
|
|
|
40,734 |
|
|
|
40,510 |
|
|
|
40,372 |
|
|
|
46,648 |
|
|
Other assets |
|
|
22,997 |
|
|
|
24,334 |
|
|
|
23,146 |
|
|
|
24,539 |
|
|
|
23,833 |
|
|
Total assets |
|
$ |
1,054,130 |
|
|
$ |
1,095,780 |
|
|
$ |
1,123,073 |
|
|
$ |
1,151,733 |
|
|
$ |
1,188,930 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable |
|
$ |
23,696 |
|
|
$ |
20,788 |
|
|
$ |
18,042 |
|
|
$ |
16,189 |
|
|
$ |
14,622 |
|
|
Accrued costs and expenses |
|
|
55,141 |
|
|
|
51,734 |
|
|
|
52,133 |
|
|
|
50,532 |
|
|
|
48,466 |
|
|
Due to affiliates |
|
|
21,191 |
|
|
|
61,555 |
|
|
|
59,571 |
|
|
|
59,759 |
|
|
|
56,356 |
|
|
Current portion of long-term debt |
|
|
— |
|
|
|
— |
|
|
|
140,995 |
|
|
|
7,355 |
|
|
|
18,201 |
|
|
Other current liabilities |
|
|
25,471 |
|
|
|
23,865 |
|
|
|
29,139 |
|
|
|
28,825 |
|
|
|
35,003 |
|
|
Total current liabilities |
|
|
125,499 |
|
|
|
157,942 |
|
|
|
299,880 |
|
|
|
162,660 |
|
|
|
172,648 |
|
|
Long-term debt |
|
|
167,997 |
|
|
|
167,885 |
|
|
|
14,139 |
|
|
|
148,612 |
|
|
|
148,337 |
|
|
Other liabilities and deferred credits |
|
|
70,892 |
|
|
|
68,184 |
|
|
|
74,442 |
|
|
|
80,723 |
|
|
|
79,234 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock |
|
|
42 |
|
|
|
41 |
|
|
|
41 |
|
|
|
41 |
|
|
|
41 |
|
|
Additional paid-in-capital |
|
|
1,376,934 |
|
|
|
1,376,494 |
|
|
|
1,375,215 |
|
|
|
1,373,727 |
|
|
|
1,372,846 |
|
|
Accumulated deficit |
|
|
(690,068 |
) |
|
|
(677,900 |
) |
|
|
(639,966 |
) |
|
|
(613,708 |
) |
|
|
(584,246 |
) |
|
Accumulated other comprehensive income (loss) |
|
|
2,471 |
|
|
|
2,668 |
|
|
|
(1,289 |
) |
|
|
(1,082 |
) |
|
|
(875 |
) |
|
Total stockholders’ equity |
|
|
689,379 |
|
|
|
701,303 |
|
|
|
734,001 |
|
|
|
758,978 |
|
|
|
787,766 |
|
|
Noncontrolling interests |
|
|
363 |
|
|
|
466 |
|
|
|
611 |
|
|
|
760 |
|
|
|
945 |
|
|
Total equity |
|
|
689,742 |
|
|
|
701,769 |
|
|
|
734,612 |
|
|
|
759,738 |
|
|
|
788,711 |
|
|
Total liabilities and equity |
|
$ |
1,054,130 |
|
|
$ |
1,095,780 |
|
|
$ |
1,123,073 |
|
|
$ |
1,151,733 |
|
|
$ |
1,188,930 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental information |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Due from related parties, net of due to related parties: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sonatide (Angola) |
|
$ |
— |
|
|
$ |
8,579 |
|
|
$ |
8,646 |
|
|
$ |
5,163 |
|
|
$ |
6,118 |
|
Contacts
Tidewater Inc.
West Gotcher
Vice President, Finance and Investor Relations
+1.713.470.5285
