Oceaneering Q3 2022 Earnings Report
Key Takeaways
Oceaneering reported net income of $18.3 million, or $0.18 per share, on revenue of $560 million for the three months ended September 30, 2022. Adjusted consolidated EBITDA was $77.6 million, exceeding guidance and consensus estimates. The company anticipates increased activity and improved operating performance across each of its operating segments in 2023.
Consolidated Adjusted EBITDA was $77.6 million.
Consolidated Operating Income was $46.9 million.
Cash flow provided by operating activities was $85.9 million and free cash flow was $66.6 million, with an ending cash position of $428 million.
Consolidated order intake was $700 million.
Oceaneering
Oceaneering
Oceaneering Revenue by Segment
Forward Guidance
Oceaneering anticipates increased activity and improved operating performance across each of its operating segments in 2023, with EBITDA expected in the range of $260 million to $310 million and free cash flow generation expected to exceed $100 million.
Positive Outlook
- Increased activity and improved operating performance across each operating segments.
- Gains from SSR and OPG.
- EBITDA in the range of $260 million to $310 million in 2023.
- Healthy levels of cash flow from operations.
- Positive free cash flow in excess of $100 million.
Challenges Ahead
- Fourth quarter 2022 EBITDA will decline on relatively flat revenue as compared to third quarter results.
- Significantly lower revenue and operating profitability in OPG segment due to lower seasonal activity.
- Slightly lower revenue and operating results in IMDS segment.
- Modestly higher revenue and lower operating results in ADTech segment.
- Capital expenditures to be higher than in 2022 as we continue to focus on growth.
Revenue & Expenses
Visualization of income flow from segment revenue to net income