Tidewater Reports Results for the Three Months Ended March 31, 2023
First Quarter 2023 Highlights
- Revenue of $193.1 million; Highest quarterly revenue since fourth quarter of 2015; an 83% increase over the first quarter of 2022
- Highest quarterly global average day rate since third quarter of 2015
- Net income of $10.7 million, or $0.21 per share
- Adjusted EBITDA of $59.1 million; Highest quarterly EBITDA since third quarter of 2015
- Quarter-end net debt balance of $4.3 million
HOUSTON–(BUSINESS WIRE)–Tidewater Inc. (NYSE:TDW) announced today revenue for the three months ended March 31, 2023 of $193.1 million compared with $105.7 million for the three months ended March 31, 2022. Tidewater’s net income for the three months ended March 31, 2023, were $10.7 million ($0.21 per common share) compared with a net loss of $12.2 million ($0.29 per common share) for the three months ended March 31, 2022. Included in the net income for the three months ended March 31, 2023 were merger and severance expenses of $1.4 million. Excluding this item, we would have reported a net income for the three months ended March 31, 2023 of $12.2 million ($0.23 per common share). 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).
Quintin Kneen, Tidewater’s President and Chief Executive Officer, commented, “We are encouraged by the continued momentum we saw during the first quarter and the new cyclical revenue and global average day rate high-water marks, especially for what is anticipated to be the slowest quarter of the year due to seasonality in certain markets. Consolidated global average day rates continued the upward trend we saw throughout 2022, with the average day rate increasing nearly $1,100 per day sequentially. In addition, each individual geographic region increased its average day rate during the quarter. Also, all individual vessel classes except the 4-8k AHTS class increased in average day rate during the quarter. Seasonality did play a factor during the quarter as activity in the North Sea and the Mediterranean declined sequentially though, notably, we did see net day rate improvements in these markets during the quarter.
“The first quarter is typically the slowest calendar quarter of the year due to harsher weather conditions, calendar year budgets and the contracting habits of some of our global customers. This year we used the period to reposition vessels and to perform as many drydocks as possible so that we can maximize the utilization and profitability during the higher activity periods we typically see in the second and third quarters. Incidentally, we anticipate a stronger fourth quarter than third quarter, which is atypical, but representative of a market strengthening in excess of the typical calendar year seasonality. The repositioning in the first quarter resulted in disproportionally higher drydock cost and idle time. Drydock days were up approximately 41.0% from the fourth quarter and drydock spend was approximately $31.0 million. Our forecasted drydock spend for the year remains unchanged at $77.0 million. Similar to what we are expecting in the fourth quarter of this year, first quarter revenue actually increased over the fourth quarter, as the $1,100 increase in the global average day rate overtook the active fleet utilization decrease of 1.9 percentage points.
“During the first quarter, we announced an agreement to acquire 37 PSVs from Solstad Offshore. We are excited about the addition of this high-quality fleet of PSVs to the Tidewater fleet. We expect to close the acquisition by the end of the second quarter, and we continue to evaluate a variety of commercial banking and debt capital market financing alternatives with the objective of optimizing the cost of capital and financial flexibility.
“Turning to our regional operating results, the Americas had a strong quarter as utilization improved five percentage points and day rate expanded by over $1,500 per day. This improvement was spread across nearly all of the subregions within the Americas segment, with particular strength in the Caribbean. The Asia Pacific region also experienced a strong quarter with significant sequential day rate expansion of approximately $5,700 per day, although vessels transiting in and out of Australia and drydocks materially impacted utilization. Vessel operating margin in Asia Pacific increased by nearly 16 percentage points to just over 43.0%, driven by the day rate expansion. Utilization in West Africa declined during the quarter as a number of vessels were in-transit within the region and the aforementioned increase in drydock days, nonetheless, the average day rates in the region improved by nearly $800 per day.
“As we survey the market and evaluate the momentum that built during the quarter, particularly as we moved beyond the seasonally slow period of the quarter, we remain confident in our outlook for 2023. As such, we reiterate our 2023 annual guidance of $900 million of revenue and approximately 50.0% vessel operating margin for the legacy Tidewater business and reiterate our updated pro forma 2023 guidance of $1.03 billion of revenue and approximately 50.0% vessel operating margin which contemplates closing the Solstad PSV acquisition by the end of the second quarter of 2023.”
In addition to the number of outstanding shares, as of March 31, 2023, the company also has the following in-the-money warrants.
|
Common shares outstanding |
|
|
50,780,847 |
|
|
New Creditor Warrants (strike price $0.001 per common share) |
|
|
81,244 |
|
|
GulfMark Creditor Warrants (strike price $0.01 per common share) |
|
|
107,877 |
|
|
Total |
|
|
50,969,968 |
|
Tidewater will hold a conference call to discuss results for the three months ending March 31, 2023 on May 9, 2023, 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 Conference ID: 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 9, 2023 and will continue until 11:59 p.m. Central Time on June 9, 2023. To access the replay, visit the Investor Relations section of Tidewater’s website at investor.tdw.com.
About Tidewater
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.
Cautionary Statement
This news release contains “forward-looking statements” within the meaning of the U.S. federal securities laws – that is, any statements that are not historical facts. Such statements often contain words such as “expect,” “believe,” “think,” “anticipate,” “predict,” “plan,” “assume,” “estimate,” “forecast,” “target,” “projections,” “intend,” “should,” “will,” “shall” and other similar words. Forward-looking statements address matters that are, to varying degrees, uncertain and based on our management’s current expectations and beliefs concerning future developments and their potential impact on Tidewater Inc. and its subsidiaries (the “Company”).
These forward-looking statements involve risks and uncertainties that could cause actual results to differ, possibly materially, from expectations or estimates reflected in such forward-looking statements, including, among others: fluctuations in worldwide energy demand and oil and gas prices; fleet additions by competitors and industry overcapacity; limited capital resources available to replenish our asset base as needed, including through acquisitions or vessel construction, and to fund our capital expenditure needs; uncertainty of global financial market conditions and potential constraints in accessing capital or credit if and when needed with favorable terms, if at all; changes in decisions and capital spending by customers based on industry expectations for offshore exploration, field development and production; consolidation of our customer base; loss of a major customer; changing customer demands for vessel specifications, which may make some of our older vessels technologically obsolete for certain customer projects or in certain markets; rapid technological changes; delays and other problems associated with vessel maintenance; the continued availability of qualified personnel and our ability to attract and retain them; the operating risks normally incident to our lines of business, including the potential impact of liquidated counterparties; our ability to comply with covenants in our indentures and other debt instruments; acts of terrorism and piracy; the impact of regional or global public health crises or pandemics; the impact of potential information technology, cybersecurity or data security breaches; integration of acquired businesses and entry into new lines of business; disagreements with our joint venture partners; natural disasters or significant weather conditions; unsettled political conditions, war, civil unrest and governmental actions, such as expropriation or enforcement of customs or other laws that are not well developed or consistently enforced; risks associated with our international operations, including local content, local currency or similar requirements especially in higher political risk countries where we operate; interest rate and foreign currency fluctuations; labor changes proposed by international conventions; increased regulatory burdens and oversight; changes in laws governing the taxation of foreign source income; retention of skilled workers; enforcement of laws related to the environment, labor and foreign corrupt practices; increased global concern, regulation and scrutiny regarding climate change; increased stockholder activism; the potential liability for remedial actions or assessments under existing or future environmental regulations or litigation; the effects of asserted and unasserted claims and the extent of available insurance coverage; the resolution of pending legal proceedings; and other risks and uncertainties detailed in our most recent Forms 10-K, Form 10-Qs and Form 8-Ks filed with or furnished to the SEC.
If one or more of these or other risks or uncertainties materialize (or the consequences of any such development changes), or should our underlying assumptions prove incorrect, actual results or outcomes may vary materially from those reflected in our forward-looking statements. Forward-looking and other statements in this presentation regarding our environmental, social and other sustainability plans, goals or activities are not an indication that these statements are necessarily material to investors or required to be disclosed in our filings with the SEC. In addition, historical, current, and forward-looking environmental, social and sustainability-related statements may be based on standards still developing, internal controls and processes that we continue to evolve, and assumptions subject to change in the future. Statements in this release are made as of the date hereof, and the Company disclaims any intention or obligation to update publicly or revise such statements, whether as a result of new information, future events or otherwise.
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, 2023 and December 31, 2022; the Consolidated Statements of Operations and Consolidated Statements of Equity for the three months ended March 31, 2023 and 2022; and the Consolidated Statements of Cash Flows for the three months ended March 31, 2023 and 2022. Extracts are drawn from the March 31, 2023 unaudited quarterly and year to date financial statements and the December 31, 2022 audited annual financial statements of Tidewater Inc. All per-share amounts are stated on a diluted basis.
In conjunction with the acquisition of Swire Pacific Offshore (SPO), we realigned our reportable segments to better reflect the post-acquisition operating environment. The previous Middle East/Asia Pacific segment has been split into the Middle East segment and the Asia Pacific segment. Our previous operations in Southeast Asia and Australia, along with the legacy SPO operations in the Asia Pacific region, now form the new Asia Pacific segment. Our segment disclosures reflect the current segment alignment for all periods presented.
|
TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In Thousands, except per share data) |
||||||||
|
|
|
Three Months Ended |
|
|||||
|
|
|
March 31, 2023 |
|
|
March 31, 2022 |
|
||
|
Revenues: |
|
|
|
|
|
|
|
|
|
Vessel revenues |
|
$ |
191,180 |
|
|
$ |
103,876 |
|
|
Other operating revenues |
|
|
1,924 |
|
|
|
1,853 |
|
|
Total revenues |
|
|
193,104 |
|
|
|
105,729 |
|
|
Costs and expenses: |
|
|
|
|
|
|
|
|
|
Vessel operating costs |
|
|
115,459 |
|
|
|
68,511 |
|
|
Costs of other operating revenues |
|
|
1,151 |
|
|
|
361 |
|
|
General and administrative |
|
|
23,545 |
|
|
|
18,217 |
|
|
Depreciation and amortization |
|
|
30,666 |
|
|
|
26,657 |
|
|
Long-lived asset impairment and other |
|
|
— |
|
|
|
(500 |
) |
|
Gain on asset dispositions, net |
|
|
(2,216 |
) |
|
|
(207 |
) |
|
Total costs and expenses |
|
|
168,605 |
|
|
|
113,039 |
|
|
Operating income (loss) |
|
|
24,499 |
|
|
|
(7,310 |
) |
|
Other income (expense): |
|
|
|
|
|
|
|
|
|
Foreign exchange loss |
|
|
2,348 |
|
|
|
946 |
|
|
Interest income and other, net |
|
|
130 |
|
|
|
3,486 |
|
|
Interest and other debt costs, net |
|
|
(4,190 |
) |
|
|
(4,175 |
) |
|
Total other expense |
|
|
(1,712 |
) |
|
|
257 |
|
|
Income (loss) before income taxes |
|
|
22,787 |
|
|
|
(7,053 |
) |
|
Income tax expense |
|
|
11,971 |
|
|
|
5,218 |
|
|
Net income (loss) |
|
|
10,816 |
|
|
|
(12,271 |
) |
|
Less: Net income (loss) attributable to noncontrolling interests |
|
|
78 |
|
|
|
(103 |
) |
|
Net income (loss) attributable to Tidewater Inc. |
|
$ |
10,738 |
|
|
$ |
(12,168 |
) |
|
Basic income (loss) per common share |
|
$ |
0.21 |
|
|
$ |
(0.29 |
) |
|
Diluted income (loss) per common share |
|
$ |
0.21 |
|
|
$ |
(0.29 |
) |
|
Weighted average common shares outstanding |
|
|
50,604 |
|
|
|
41,412 |
|
|
Dilutive effect of warrants, restricted stock units and stock options |
|
|
1,368 |
|
|
|
— |
|
|
Adjusted weighted average common shares |
|
|
51,972 |
|
|
|
41,412 |
|
|
TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands, except share and par value data) |
||||||||
|
|
|
March 31, 2023 |
|
|
December 31, 2022 |
|
||
|
ASSETS |
|
|
|
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
165,145 |
|
|
$ |
164,192 |
|
|
Restricted cash |
|
|
4,972 |
|
|
|
1,241 |
|
|
Trade and other receivables, less allowance for credit losses of $12,640 and $14,060 at March 31, 2023 and December 31, 2022, respectively |
|
|
182,198 |
|
|
|
156,465 |
|
|
Marine operating supplies |
|
|
24,448 |
|
|
|
30,830 |
|
|
Assets held for sale |
|
|
695 |
|
|
|
4,195 |
|
|
Prepaid expenses and other current assets |
|
|
18,978 |
|
|
|
20,985 |
|
|
Total current assets |
|
|
396,436 |
|
|
|
377,908 |
|
|
Net properties and equipment |
|
|
786,168 |
|
|
|
796,655 |
|
|
Deferred drydocking and survey costs |
|
|
82,787 |
|
|
|
61,080 |
|
|
Indemnification assets |
|
|
27,698 |
|
|
|
28,369 |
|
|
Other assets |
|
|
34,058 |
|
|
|
33,644 |
|
|
Total assets |
|
$ |
1,327,147 |
|
|
$ |
1,297,656 |
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
|
|
Accounts payable |
|
$ |
64,775 |
|
|
$ |
38,946 |
|
|
Accrued costs and expenses |
|
|
107,348 |
|
|
|
105,518 |
|
|
Other current liabilities |
|
|
43,220 |
|
|
|
50,323 |
|
|
Total current liabilities |
|
|
215,343 |
|
|
|
194,787 |
|
|
Long-term debt |
|
|
169,423 |
|
|
|
169,036 |
|
|
Other liabilities and deferred credits |
|
|
68,968 |
|
|
|
67,843 |
|
|
|
|
|
|
|
|
|
|
|
|
Commitments and contingencies |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity: |
|
|
|
|
|
|
|
|
|
Common stock |
|
|
51 |
|
|
|
51 |
|
|
Additional paid-in-capital |
|
|
1,553,919 |
|
|
|
1,556,990 |
|
|
Accumulated deficit |
|
|
(688,911 |
) |
|
|
(699,649 |
) |
|
Accumulated other comprehensive loss |
|
|
8,254 |
|
|
|
8,576 |
|
|
Total stockholders’ equity |
|
|
873,313 |
|
|
|
865,968 |
|
|
Noncontrolling interests |
|
|
100 |
|
|
|
22 |
|
|
Total equity |
|
|
873,413 |
|
|
|
865,990 |
|
|
Total liabilities and equity |
|
$ |
1,327,147 |
|
|
$ |
1,297,656 |
|
|
TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (In Thousands) |
||||||||
|
|
|
Three Months Ended |
|
|||||
|
|
|
March 31, 2023 |
|
|
March 31, 2022 |
|
||
|
Net income (loss) |
|
$ |
10,816 |
|
|
$ |
(12,271 |
) |
|
Other comprehensive income (loss): |
|
|
|
|
|
|
|
|
|
Unrealized loss on note receivable |
|
|
(132 |
) |
|
|
— |
|
|
Change in liability of pension plans |
|
|
(190 |
) |
|
|
(197 |
) |
|
Total comprehensive income (loss) |
|
$ |
10,494 |
|
|
$ |
(12,468 |
) |
|
TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In Thousands) |
||||||||
|
|
|
Three Months |
|
|
Three Months |
|
||
|
|
|
Ended |
|
|
Ended |
|
||
|
|
|
March 31, 2023 |
|
|
March 31, 2022 |
|
||
|
Operating activities: |
|
|
|
|
|
|
|
|
|
Net loss |
|
$ |
10,816 |
|
|
$ |
(12,271 |
) |
|
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
21,048 |
|
|
|
17,673 |
|
|
Amortization of deferred drydocking and survey costs |
|
|
9,618 |
|
|
|
8,984 |
|
|
Amortization of debt premiums and discounts |
|
|
420 |
|
|
|
375 |
|
|
Provision for deferred income taxes |
|
|
35 |
|
|
|
177 |
|
|
Loss on asset dispositions, net |
|
|
(2,216 |
) |
|
|
(207 |
) |
|
Gain on bargain purchase |
|
|
— |
|
|
|
(1,300 |
) |
|
Long-lived asset impairment and other |
|
|
— |
|
|
|
(500 |
) |
|
Stock-based compensation expense |
|
|
2,103 |
|
|
|
1,458 |
|
|
Changes in assets and liabilities, net of effects of business acquisition: |
|
|
|
|
|
|
|
|
|
Trade and other receivables |
|
|
(25,733 |
) |
|
|
(15,570 |
) |
|
Changes in due to/from affiliate, net |
|
|
— |
|
|
|
(20 |
) |
|
Accounts payable |
|
|
25,829 |
|
|
|
2,825 |
|
|
Accrued expenses |
|
|
1,830 |
|
|
|
3,207 |
|
|
Deferred drydocking and survey costs |
|
|
(31,325 |
) |
|
|
(12,612 |
) |
|
Other, net |
|
|
369 |
|
|
|
(3,843 |
) |
|
Net cash provided by (used in) operating activities |
|
|
12,794 |
|
|
|
(11,624 |
) |
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
|
|
Proceeds from sales of assets |
|
|
5,716 |
|
|
|
4,628 |
|
|
Acquisitions, net of cash acquired |
|
|
— |
|
|
|
(1,039 |
) |
|
Additions to properties and equipment |
|
|
(8,651 |
) |
|
|
(1,229 |
) |
|
Net cash provided by (used in) investing activities |
|
|
(2,935 |
) |
|
|
2,360 |
|
|
Cash flows from financing activities: |
|
|
|
|
|
|
|
|
|
Acquisition of non-controlling interest in a majority owned subsidiary |
|
|
(1,427 |
) |
|
|
— |
|
|
Debt issuance and modification costs |
|
|
— |
|
|
|
(263 |
) |
|
Tax on share-based awards |
|
|
(3,747 |
) |
|
|
(1,017 |
) |
|
Net cash used in financing activities |
|
|
(5,174 |
) |
|
|
(1,280 |
) |
|
Net change in cash, cash equivalents and restricted cash |
|
|
4,685 |
|
|
|
(10,544 |
) |
|
Cash, cash equivalents and restricted cash at beginning of period |
|
|
167,977 |
|
|
|
154,276 |
|
|
Cash, cash equivalents and restricted cash at end of period |
|
$ |
172,662 |
|
|
$ |
143,732 |
|
|
|
|
|
|
|
|
|
||
|
Supplemental disclosure of cash flow information: |
|
|
|
|
|
|
|
|
|
Cash paid during the year for: |
|
|
|
|
|
|
|
|
|
Interest, net of amounts capitalized |
|
$ |
98 |
|
|
$ |
— |
|
|
Income taxes |
|
$ |
17,057 |
|
|
$ |
3,200 |
|
|
Note: Cash, cash equivalents and restricted cash at March 31, 2023 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 |
|
|
income (loss) |
|
|
interest |
|
|
Total |
|
||||||
|
Balance at December 31, 2022 |
|
$ |
51 |
|
|
$ |
1,556,990 |
|
|
$ |
(699,649 |
) |
|
$ |
8,576 |
|
|
$ |
22 |
|
|
$ |
865,990 |
|
|
Total comprehensive income (loss) |
|
|
— |
|
|
|
— |
|
|
|
10,738 |
|
|
|
(322 |
) |
|
|
78 |
|
|
|
10,494 |
|
|
Acquisition of non-controlling interest in a majority owned subsidiary |
|
|
— |
|
|
|
(1,427 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(1,427 |
) |
|
Amortization of share-based awards |
|
|
— |
|
|
|
(1,644 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(1,644 |
) |
|
Balance at March 31, 2023 |
|
$ |
51 |
|
|
$ |
1,553,919 |
|
|
$ |
(688,911 |
) |
|
$ |
8,254 |
|
|
$ |
100 |
|
|
$ |
873,413 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at December 31, 2021 |
|
$ |
41 |
|
|
$ |
1,376,494 |
|
|
$ |
(677,900 |
) |
|
$ |
2,668 |
|
|
$ |
466 |
|
|
$ |
701,769 |
|
|
Total comprehensive 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 |
|
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, 2023 |
|
|
March 31, 2022 |
|
||||||||||
|
Vessel revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Americas |
|
$ |
47,687 |
|
|
|
25 |
% |
|
$ |
28,444 |
|
|
|
27 |
% |
|
Asia Pacific |
|
|
22,024 |
|
|
|
12 |
% |
|
|
4,897 |
|
|
|
5 |
% |
|
Middle East |
|
|
30,762 |
|
|
|
16 |
% |
|
|
20,218 |
|
|
|
19 |
% |
|
Europe/Mediterranean |
|
|
31,250 |
|
|
|
16 |
% |
|
|
23,919 |
|
|
|
23 |
% |
|
West Africa |
|
|
59,457 |
|
|
|
31 |
% |
|
|
26,398 |
|
|
|
26 |
% |
|
Total vessel revenues |
|
$ |
191,180 |
|
|
|
100 |
% |
|
$ |
103,876 |
|
|
|
100 |
% |
|
Vessel operating costs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crew costs |
|
$ |
66,643 |
|
|
|
35 |
% |
|
$ |
40,837 |
|
|
|
39 |
% |
|
Repair and maintenance |
|
|
16,652 |
|
|
|
9 |
% |
|
|
9,461 |
|
|
|
9 |
% |
|
Insurance |
|
|
2,005 |
|
|
|
1 |
% |
|
|
1,384 |
|
|
|
1 |
% |
|
Fuel, lube and supplies |
|
|
13,555 |
|
|
|
7 |
% |
|
|
7,076 |
|
|
|
7 |
% |
|
Other |
|
|
16,604 |
|
|
|
8 |
% |
|
|
9,753 |
|
|
|
9 |
% |
|
Total vessel operating costs |
|
|
115,459 |
|
|
|
60 |
% |
|
|
68,511 |
|
|
|
66 |
% |
|
Vessel operating margin (A) |
|
$ |
75,721 |
|
|
|
40 |
% |
|
$ |
35,365 |
|
|
|
34 |
% |
|
Note (A): Vessel operating margin equals vessel revenues less vessel operating costs. |
||||||||||||||||
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, 2023 |
|
|
March 31, 2022 |
|
||||||||||
|
Vessel operating profit (loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Americas |
|
$ |
7,962 |
|
|
|
4 |
% |
|
$ |
(82 |
) |
|
|
(0 |
)% |
|
Asia Pacific |
|
|
5,568 |
|
|
|
3 |
% |
|
|
2,173 |
|
|
|
2 |
% |
|
Middle East |
|
|
(344 |
) |
|
|
(0 |
)% |
|
|
(1,883 |
) |
|
|
(2 |
)% |
|
Europe/Mediterranean |
|
|
2,036 |
|
|
|
1 |
% |
|
|
(2,429 |
) |
|
|
(2 |
)% |
|
West Africa |
|
|
17,221 |
|
|
|
9 |
% |
|
|
3,215 |
|
|
|
3 |
% |
|
Other operating profit |
|
|
773 |
|
|
|
0 |
% |
|
|
1,492 |
|
|
|
1 |
% |
|
|
|
33,216 |
|
|
|
17 |
% |
|
2,486 |
|
|
|
2 |
% |
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate expenses (A) |
|
|
(10,933 |
) |
|
|
(5 |
)% |
|
|
(10,503 |
) |
|
|
(10 |
)% |
|
Gain on asset dispositions, net |
|
|
2,216 |
|
|
|
1 |
% |
|
|
207 |
|
|
|
0 |
% |
|
Long-lived asset impairments and other |
|
|
— |
|
|
|
0 |
% |
|
|
500 |
|
|
|
1 |
% |
|
Operating income (loss) |
|
$ |
24,499 |
|
|
|
13 |
% |
|
$ |
(7,310 |
) |
|
|
(7 |
)% |
|
Note (A): General and administrative expenses for the three months ended March 31, 2023 and 2022, include stock-based compensation of $2.1 million and $1.5 million, respectively. In addition, vessel operating and general and administrative costs for the three months ended March 31, 2023 and 2022, include $1.4 million and $2.3 million in one-time acquisition, 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, |
|
|||||
|
|
|
2023 |
|
|
2022 |
|
|
2022 |
|
|
2022 |
|
|
2022 |
|
|||||
|
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vessel revenues |
|
$ |
191,180 |
|
|
$ |
185,106 |
|
|
$ |
190,247 |
|
|
$ |
162,175 |
|
|
$ |
103,876 |
|
|
Other operating revenues |
|
|
1,924 |
|
|
|
1,640 |
|
|
|
1,515 |
|
|
|
1,272 |
|
|
|
1,853 |
|
|
Total revenues |
|
|
193,104 |
|
|
|
186,746 |
|
|
|
191,762 |
|
|
|
163,447 |
|
|
|
105,729 |
|
|
Costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vessel operating costs (A) |
|
|
115,459 |
|
|
|
115,496 |
|
|
|
113,037 |
|
|
|
100,257 |
|
|
|
68,511 |
|
|
Costs of other operating revenue |
|
|
1,151 |
|
|
|
694 |
|
|
|
592 |
|
|
|
483 |
|
|
|
361 |
|
|
General and administrative (A) |
|
|
23,545 |
|
|
|
28,633 |
|
|
|
27,267 |
|
|
|
27,804 |
|
|
|
18,217 |
|
|
Depreciation and amortization |
|
|
30,666 |
|
|
|
29,881 |
|
|
|
30,856 |
|
|
|
31,766 |
|
|
|
26,657 |
|
|
Long-lived asset impairment (credit) |
|
|
— |
|
|
|
— |
|
|
|
1,214 |
|
|
|
— |
|
|
|
(500 |
) |
|
(Gain) loss on asset dispositions, net |
|
|
(2,216 |
) |
|
|
(1,076 |
) |
|
|
(264 |
) |
|
|
1,297 |
|
|
|
(207 |
) |
|
Total operating costs and expenses |
|
|
168,605 |
|
|
|
173,628 |
|
|
|
172,702 |
|
|
|
161,607 |
|
|
|
113,039 |
|
|
Operating income (loss) |
|
|
24,499 |
|
|
|
13,118 |
|
|
|
19,060 |
|
|
|
1,840 |
|
|
|
(7,310 |
) |
|
Other income (expense): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign exchange gain (loss) |
|
|
2,348 |
|
|
|
2,105 |
|
|
|
(3,997 |
) |
|
|
(1,881 |
) |
|
|
946 |
|
|
Equity in net earnings (losses) of unconsolidated companies |
|
|
— |
|
|
|
14 |
|
|
|
9 |
|
|
|
(244 |
) |
|
|
— |
|
|
Interest income and other, net |
|
|
130 |
|
|
|
981 |
|
|
|
581 |
|
|
|
349 |
|
|
|
3,486 |
|
|
Loss on warrants |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(14,175 |
) |
|
|
— |
|
|
Interest and other debt costs, net |
|
|
(4,190 |
) |
|
|
(4,339 |
) |
|
|
(4,391 |
) |
|
|
(4,284 |
) |
|
|
(4,175 |
) |
|
Total other income (expense) |
|
|
(1,712 |
) |
|
|
(1,239 |
) |
|
|
(7,798 |
) |
|
|
(20,235 |
) |
|
|
257 |
|
|
Income (loss) before income taxes |
|
|
22,787 |
|
|
|
11,879 |
|
|
|
11,262 |
|
|
|
(18,395 |
) |
|
|
(7,053 |
) |
|
Income tax expense |
|
|
11,971 |
|
|
|
1,697 |
|
|
|
6,352 |
|
|
|
6,619 |
|
|
|
5,218 |
|
|
Net income (loss) |
|
|
10,816 |
|
|
|
10,182 |
|
|
|
4,910 |
|
|
|
(25,014 |
) |
|
|
(12,271 |
) |
|
Net income (loss) attributable to noncontrolling interests |
|
|
78 |
|
|
|
(438 |
) |
|
|
(470 |
) |
|
|
567 |
|
|
|
(103 |
) |
|
Net income (loss) attributable to Tidewater Inc. |
|
$ |
10,738 |
|
|
$ |
10,620 |
|
|
$ |
5,380 |
|
|
$ |
(25,581 |
) |
|
$ |
(12,168 |
) |
|
Basic income (loss) per common share |
|
$ |
0.21 |
|
|
$ |
0.22 |
|
|
$ |
0.12 |
|
|
$ |
(0.61 |
) |
|
$ |
(0.29 |
) |
|
Diluted income (loss) per common share |
|
$ |
0.21 |
|
|
$ |
0.20 |
|
|
$ |
0.10 |
|
|
$ |
(0.61 |
) |
|
$ |
(0.29 |
) |
|
Weighted average common shares outstanding |
|
|
50,604 |
|
|
|
48,766 |
|
|
|
44,451 |
|
|
|
41,814 |
|
|
|
41,412 |
|
|
Dilutive effect of warrants, restricted stock units and stock options |
|
|
1,368 |
|
|
|
3,069 |
|
|
|
7,069 |
|
|
|
— |
|
|
|
— |
|
|
Adjusted weighted average common shares |
|
|
51,972 |
|
|
|
51,835 |
|
|
|
51,520 |
|
|
|
41,814 |
|
|
|
41,412 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vessel operating margin |
|
$ |
75,721 |
|
|
$ |
69,610 |
|
|
$ |
77,210 |
|
|
$ |
61,918 |
|
|
$ |
35,365 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note (A): One-time acquisition, restructuring and integration related costs |
|
$ |
1,426 |
|
|
$ |
5,150 |
|
|
$ |
4,332 |
|
|
$ |
7,314 |
|
|
$ |
2,305 |
|
Contacts
Tidewater Inc.
West Gotcher
Vice President,
Finance and Investor Relations
+1.713.470.5285
