Borr Drilling Earnings Call Transcripts
Fiscal Year 2025
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Q4 2025 saw strong operational performance and safety achievements, with revenues of $259.4M and full-year Adjusted EBITDA of $470.1M. Fleet expansion and robust contracting boosted 2026 coverage, while market fundamentals and liquidity position support optimism for improved rates and earnings into 2027.
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Q3 saw strong revenue and EBITDA growth, high fleet utilization, and expanded contracts in Mexico, the U.S. Gulf, and Angola. Improved payment terms and reduced Pemex exposure strengthen liquidity, while 2025 EBITDA guidance is $450–$470 million.
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Q2 delivered strong revenue, EBITDA, and net income growth, supported by high rig utilization and new contracts. Liquidity was significantly enhanced through equity and credit facility actions, while 2025 guidance remains robust. CEO succession and board changes position the company for continued growth.
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Q1 2025 saw lower revenues and EBITDA due to rig suspensions, but operational performance and liquidity improved as activity ramped up in Q2. The company is targeting 80%-85% fleet coverage for 2025, has suspended its dividend, and remains focused on building backlog and maintaining financial flexibility.
Fiscal Year 2024
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Q4 2024 saw higher revenue and EBITDA, with strong utilization and contract coverage despite market headwinds. Liquidity remains solid, CapEx is set to decline, and backlog is robust, though near-term uncertainty persists in Mexico and Saudi Arabia.
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Q3 2024 saw strong operational performance but lower revenues and net income due to the absence of prior quarter one-offs. Guidance for 2024 Adjusted EBITDA was revised to the lower end of the range, with robust contract coverage and liquidity supporting a positive outlook for 2025.
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Q2 2024 delivered strong revenue and EBITDA growth, with all rigs contracted and high utilization rates. Backlog and day rates increased, supporting robust 2025 cash flow and shareholder returns, while market conditions remain favorable for premium assets.