Oceaneering International Reports $35M Net Income

By Bobby Samwell • Thursday, July 25 08:19 • Permanent Link

Oceaneering International, Inc. (NYSE: OII) has released its second-quarter 2024 financial results, reporting a net income of $35.0 million, or $0.34 per share, on revenue of $668.8 million for the three months ended June 30, 2024. Adjusted net income was $28.6 million, or $0.28 per share.

Compared to the same quarter last year, Oceaneering's consolidated second-quarter operating income was 23% higher on a 12% increase in revenue, with higher revenue in all of its business segments and improved operating income in subsea robotics (SSR) and manufactured products.

The company's remotely operated vehicles (ROV) fleet count was 250, with second-quarter utilization at 70% and an average revenue per day utilized of $10,528. The manufactured products backlog was reported at $713 million as of June 30, 2024, reflecting an increase of $295 million year-over-year.

Oceaneering's president and chief executive officer, Roderick A. Larson, stated that activity levels in the energy-related businesses, particularly in SSR, exceeded expectations. The company also announced the narrowing of its consolidated adjusted EBITDA guidance range to $340 million to $370 million and expects positive free cash flow generation for 2024 in the range of $110 million to $150 million.

The press release also provided a detailed comparison of second-quarter 2024 segment results versus second-quarter 2023 segment results. SSR's operating income of $61.8 million was 46% higher than the second quarter of 2023, with an improved EBITDA margin of 34%. Manufactured products operating income improved 35% on a 12% increase in revenue, with a backlog of $713 million as of June 30, 2024.

Looking ahead, Oceaneering expects third-quarter 2024 operating results to continue to improve sequentially, with EBITDA in the range of $95 million to $105 million on a low* to mid-single digit percentage increase in revenue. The full-year 2024 consolidated adjusted EBITDA is expected to be in the range of $340 million to $370 million, with net income expected in the range of $130 million to $150 million.

Oceaneering has scheduled a conference call and webcast on Thursday, July 25, 2024, at 10:00 a.m. Central Time, to discuss its results for the second quarter of 2024, as well as more detailed guidance for the full year and third quarter of 2024.

Today the company's shares have moved -2.9% to a price of $25.45. For more information, read the company's full 8-K submission here.

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