Helix Energy Solutions Group, Inc. ("Helix") (NYSE: HLX)
reported net income of $20.1 million, or $0.13 per diluted share,
for the fourth quarter 2024 compared to net income of $29.5
million, or $0.19 per diluted share, for the third quarter 2024 and
a net loss of $28.3 million, or $(0.19) per diluted share, for the
fourth quarter 2023. Net loss in the fourth quarter 2023 includes a
net pre-tax loss of approximately $37.3 million related to the
repurchase of $159.8 million principal amount of our former
Convertible Senior Notes due 2026 (“2026 Notes”). Helix reported
adjusted EBITDA1 of $71.6 million for the fourth quarter 2024
compared to $87.6 million for the third quarter 2024 and $70.6
million for the fourth quarter 2023.
For the full year 2024, Helix reported net income of $55.6
million, or $0.36 per diluted share, compared to a net loss of
$10.8 million, or $(0.07) per diluted share, for the full year
2023. Net income in 2024 included a pre-tax loss of $20.9 million
related to the retirement of the 2026 Notes, and the net loss in
2023 included pre-tax losses of $37.3 million related to the
repurchase of $159.8 million principal amount of the 2026 Notes and
$42.2 million related to the increase in the fair value of the
contingent consideration related to the Alliance acquisition.
Adjusted EBITDA for the full year 2024 was $303.1 million compared
to $273.4 million for the full year 2023. The table below
summarizes our results of operations:
Summary
of Results
($ in thousands, except per
share amounts, unaudited)
Three Months Ended Year Ended
12/31/2024 12/31/2023 9/30/2024
12/31/2024 12/31/2023 Revenues
$
355,133
$
335,157
$
342,419
$
1,358,560
$
1,289,728
Gross Profit
$
58,859
$
49,278
$
65,665
$
219,564
$
200,356
17%
15%
19%
16%
16%
Net Income (Loss)
$
20,121
$
(28,333
)
$
29,514
$
55,637
$
(10,838
)
Basic Earnings (Loss) Per Share
$
0.13
$
(0.19
)
$
0.19
$
0.37
$
(0.07
)
Diluted Earnings (Loss) Per Share
$
0.13
$
(0.19
)
$
0.19
$
0.36
$
(0.07
)
Adjusted EBITDA1
$
71,641
$
70,632
$
87,621
$
303,147
$
273,403
Cash and Cash Equivalents
$
368,030
$
332,191
$
324,120
$
368,030
$
332,191
Net Debt1
$
(52,873
)
$
29,531
$
(9,447
)
$
(52,873
)
$
29,531
Cash Flows from Operating Activities
$
77,977
$
94,737
$
55,731
$
186,028
$
152,457
Free Cash Flow1
$
65,454
$
91,878
$
52,645
$
163,188
$
133,798
1 Adjusted EBITDA, Net Debt and Free Cash
Flow are non-GAAP measures; see non-GAAP reconciliations below
Owen Kratz, President and Chief Executive Officer of Helix,
stated, “Our full-year results for 2024 reflect our third
consecutive year of revenue and EBITDA growth, with our highest
EBITDA since 2014, despite a pull-back in our Shallow Water
Abandonment segment. Our Free Cash Flow is the highest in two
decades and would have been even higher absent the $58 million
earnout payment included in our operating cash flows. Our Well
Intervention and Robotics businesses continue to generate strong
results, with high levels of utilization and improving rates. We
completed the restructuring of our balance sheet with the
retirement of our remaining convertible notes during the year, and
we ended the year in a strong financial position, with significant
cash levels and negative net debt. Based on the strength of this
market and the value we bring to our customers, we signed new
awards that provide over half of our well intervention fleet with
contracted work for multiple years as we enter 2025 with strong
contract coverage with expected significant improvements over 2024.
We continue to execute on our capital allocation framework, and
we’ve now repurchased over $40 million in our shares and expect to
increase repurchases in 2025.”
Segment
Information, Operational and Financial Highlights
($ in thousands,
unaudited)
Three Months Ended Year Ended
12/31/2024 12/31/2023 9/30/2024
12/31/2024 12/31/2023 Revenues: Well
Intervention
$
226,188
$
203,866
$
174,613
$
829,862
$
707,718
Robotics
81,594
62,957
84,526
297,678
257,875
Shallow Water Abandonment
37,690
61,995
71,595
186,979
274,954
Production Facilities
18,462
19,383
20,695
88,709
87,885
Intercompany Eliminations
(8,801
)
(13,044
)
(9,010
)
(44,668
)
(38,704
)
Total
$
355,133
$
335,157
$
342,419
$
1,358,560
$
1,289,728
Income (Loss) from Operations: Well Intervention
$
29,118
$
21,041
$
16,109
$
93,205
$
32,398
Robotics
19,335
9,224
24,158
77,343
52,450
Shallow Water Abandonment
(5,422
)
12,032
8,808
(9,323
)
66,240
Production Facilities
5,498
(985
)
8,288
21,340
20,832
Change in Fair Value of Contingent Consideration
-
(10,927
)
-
-
(42,246
)
Corporate / Other / Eliminations
(17,651
)
(15,005
)
(12,723
)
(55,130
)
(66,164
)
Total
$
30,878
$
15,380
$
44,640
$
127,435
$
63,510
Fourth Quarter Results
Segment Results
Well Intervention
Well Intervention revenues increased $51.6 million, or 30%,
during the fourth quarter 2024 compared to the prior quarter
primarily due to a fewer number of transit and mobilization days
and higher day rates compared to the prior quarter. During the
fourth quarter 2024, the Q4000 incurred 58 fewer days of
mobilization and transit compared to the prior quarter, a period
during which mobilization revenues and costs were deferred and not
recognized. The Q4000 completed its mobilization for its Nigeria
campaign and commenced operations at higher rates in early October
2024, and the Q7000 generated higher rates during the fourth
quarter 2024 compared to the prior quarter prior to commencing its
transit to Brazil early November 2024. Revenues also increased
quarter over quarter due to a contract cancellation for work
scheduled in 2025 of approximately $14 million in our North Sea
operations, as well as higher rates and utilization on the Siem
Helix 1, which commenced its contract extension with Trident in
Brazil at higher rates during the fourth quarter 2024. Revenue
increases were offset in part by low seasonal utilization on our
North Sea vessels, which were nearly fully utilized during the
prior quarter, and lower utilization on the Siem Helix 2, which
commenced its vessel acceptance period at the end of December on
its new contract with Petrobras. Overall Well Intervention vessel
utilization was 79% during the fourth quarter 2024 compared to 97%
during the prior quarter. Well Intervention operating income
increased $13.0 million during the fourth quarter 2024 compared to
the prior quarter. The increase was due primarily to the contract
cancellation fee in addition to improvements in operating income on
the Q4000 and the Siem Helix 1 being mostly offset by idle
vessel-related costs in the North Sea.
Well Intervention revenues increased $22.3 million, or 11%,
during the fourth quarter 2024 compared to the fourth quarter 2023.
The increase was due to the contract cancellation fee in addition
to higher rates on the Q4000, Q7000 and Siem Helix 1, offset in
part primarily by lower revenues on the Q5000 during the fourth
quarter 2024. The Q4000 and the Q7000 generated higher rates during
the fourth quarter 2024 compared to the same quarter in 2023.
Additionally during the fourth quarter 2024, the Siem Helix 1
commenced its contract extension with Trident in Brazil at higher
rates. Fourth quarter 2024 utilization was lower on our North Sea
vessels, which were fully utilized during the fourth quarter 2023,
and with the Siem Helix 2 commencing its vessel acceptance period
at the end of December. Revenues on the Q5000 were also lower due
to the vessel working at lower legacy rates during the fourth
quarter 2024. There were a similar number of mobilization and
transit days during both the fourth quarters 2024 and 2023. Overall
Well Intervention vessel utilization decreased to 79% during the
fourth quarter 2024 compared to 95% during the fourth quarter 2023.
Well Intervention operating income increased $8.1 million during
the fourth quarter 2024 compared to the fourth quarter 2023,
primarily due to the contract cancellation fee and higher margins
on the Q7000 Australia operations, offset in part by idle vessel
costs in the North Sea and lower margins on the Q5000.
Robotics
Robotics revenues decreased $2.9 million, or 3%, during the
fourth quarter 2024 compared to the prior quarter. The decrease in
revenues was due to lower overall vessel, trenching and ROV
utilization, offset in part by an increase in integrated vessel
trenching days compared to the prior quarter. Chartered vessel
activity decreased to 508 days, or 98%, during the fourth quarter
2024 compared to 532 days, or 96%, during the prior quarter. ROV
and trencher utilization decreased to 64% during the fourth quarter
2024 compared to 77% during the prior quarter. Integrated vessel
trenching increased to 269 days during the fourth quarter 2024
compared to 249 days during the prior quarter. The i-Plough had 26
days of utilization on a third-party vessel and the IROV boulder
grab had 65 days of utilization during the fourth quarter 2024,
whereas the i-Plough and the IROV boulder grab each had 92 days of
utilization during the prior quarter. Robotics operating income
decreased $4.8 million during the fourth quarter 2024 compared to
the prior quarter primarily due to lower revenue and project
demobilization costs incurred related to two vessels during the
fourth quarter.
Robotics revenues increased $18.6 million, or 30%, during the
fourth quarter 2024 compared to the fourth quarter 2023. The
increase in revenues was primarily due to higher rates on our
vessels and ROVs and higher vessel activities, offset by lower ROV
utilization during the fourth quarter 2024. Chartered vessel
activity increased to 508 days, or 98%, during the fourth quarter
2024 compared to 463 days, or 97%, during the fourth quarter 2023.
Integrated vessel trenching remained relatively flat with 269 days
during the fourth quarter 2024 compared to 271 days during the
fourth quarter 2023, and the fourth quarter 2024 included 26 days
of utilization on the i-Plough trencher on a third-party vessel and
65 days of utilization on the IROV boulder grab, whereas the
i-Plough and IROV were idle during the fourth quarter 2023. Overall
ROV and trencher utilization decreased to 64% during the fourth
quarter 2024 compared to 68% during the fourth quarter 2023.
Robotics operating income increased $10.1 million during the fourth
quarter 2024 primarily due to higher revenues compared to the
fourth quarter 2023.
Shallow Water Abandonment
Shallow Water Abandonment revenues decreased $33.9 million, or
47%, during the fourth quarter 2024 compared to the prior quarter.
The decrease in revenues was due to the seasonal decrease in vessel
and system utilization during the fourth quarter 2024. Vessel
utilization (excluding heavy lift) decreased to 65% during the
fourth quarter 2024 compared to 76% during the prior quarter. Plug
and Abandonment (“P&A”) and Coiled Tubing (“CT”) systems
activity declined to 416 days, or 17% utilization, during the
fourth quarter 2024 compared to 607 days, or 25% utilization,
during the prior quarter. The Epic Hedron heavy lift barge had 41%
utilization during the fourth quarter 2024 compared to 88% during
the prior quarter. Shallow Water Abandonment operating income
decreased $14.2 million during the fourth quarter 2024 compared to
the prior quarter primarily due to lower revenues during the fourth
quarter 2024.
Shallow Water Abandonment revenues decreased $24.3 million, or
39%, during the fourth quarter 2024 compared to the fourth quarter
2023 due to lower vessel and system utilization during the fourth
quarter 2024. Vessel utilization (excluding heavy lift) was 65%
during the fourth quarter 2024 compared to 71% during the fourth
quarter 2023. P&A and CT systems utilization declined to 416
days, or 17%, during the fourth quarter 2024 compared to 1,386 days
of utilization, or 58%, during the fourth quarter 2023. The Epic
Hedron heavy lift barge had 41% utilization during the fourth
quarter 2024 compared to 76% utilization during the fourth quarter
2023. Shallow Water Abandonment operating income decreased $17.5
million during the fourth quarter 2024 compared to the fourth
quarter 2023 primarily due to lower revenues.
Production Facilities
Production Facilities revenues decreased $2.2 million, or 11%,
during the fourth quarter 2024 compared to the prior quarter
primarily due to lower oil and gas production and prices during the
fourth quarter. Oil and gas production declined quarter over
quarter due to no production from the Thunder Hawk wells, which had
one month of production in the prior quarter before being shut in,
and an unplanned shut-in of the Droshky wells during October 2024,
which had a full quarter of production during the prior quarter.
Production Facilities operating income decreased $2.8 million
during the fourth quarter 2024 compared to the prior quarter
primarily due to lower revenues during the fourth quarter 2024.
Production Facilities revenues decreased $0.9 million, or 5%,
during the fourth quarter 2024 compared to the fourth quarter 2023
primarily due to lower oil and gas production and prices during the
fourth quarter 2024. Oil and gas production declined during the
fourth quarter 2024 due to an unplanned shut-in of the Droshky
wells during October 2024. The Thunder Hawk wells were shut-in
during both the fourth quarters 2024 and 2023. Production
Facilities operating income increased $6.5 million during the
fourth quarter 2024 compared to the fourth quarter 2023 primarily
due to the incurrence of well workover costs related to the Thunder
Hawk wells at the end of the fourth quarter 2023.
Selling, General and Administrative and
Other
Selling, General and Administrative
Selling, general and administrative expenses were $27.6 million,
or 7.8% of revenue, during the fourth quarter 2024 compared to
$21.1 million, or 6.2% of revenue, during the prior quarter and
$23.0 million, or 6.9% of revenue, during the fourth quarter 2023.
The increase in expenses during the fourth quarter 2024 was
primarily due to higher compensation costs compared to the prior
quarter and prior year.
Other Income and Expenses
Other expense, net was $1.3 million during the fourth quarter
2024 compared to $0.0 million during the prior quarter and other
income, net of $7.0 million during the fourth quarter 2023. Other
expense, net in the fourth quarter 2024 primarily included foreign
currency losses related to the approximate 6% depreciation of the
British pound. Other income, net during the fourth quarter 2023
primarily includes foreign currency gains related to the
approximate 4% appreciation in the British pound, offset in part by
losses on conversions of our Nigerian naira into dollars.
Change in Fair Value of Contingent Consideration
Change in fair value of contingent consideration of $10.9
million during the fourth quarter 2023 was related to our
acquisition of Alliance and reflected an increase in the fair value
during the fourth quarter 2023 of the estimated earnout, which was
paid in April 2024.
Cash Flows
Operating cash flows were $78.0 million during the fourth
quarter 2024 compared to $55.7 million during the prior quarter and
$94.7 million during the fourth quarter 2023. Fourth quarter 2024
operating cash flows increased compared to the prior quarter
primarily due to working capital inflows during the fourth quarter
2024 compared to outflows during the prior quarter and lower
regulatory certification costs on our vessels and systems, offset
in part by lower earnings during the fourth quarter 2024. Fourth
quarter 2024 operating cash flows decreased compared to the fourth
quarter 2023 primarily due to higher regulatory certification costs
on our vessels and systems, and lower working capital inflows
during the fourth quarter 2024. Regulatory certifications for our
vessels and systems, which are included in operating cash flows,
were $6.1 million during the fourth quarter 2024 compared to $8.9
million during the prior quarter and $3.3 million during the fourth
quarter 2023.
Capital expenditures, which are included in investing cash
flows, totaled $12.5 million during the fourth quarter 2024
compared to $3.2 million during the prior quarter and $3.4 million
during the fourth quarter 2023. Free Cash Flow was $65.5 million
during the fourth quarter 2024 compared to $52.6 million during the
prior quarter and $91.9 million during the fourth quarter 2023. The
increase in Free Cash Flow in the fourth quarter 2024 compared to
the prior quarter was due primarily to higher operating cash flows,
offset in part by higher capital expenditures, during the fourth
quarter 2024. The decrease in Free Cash Flow in the fourth quarter
2024 compared to the fourth quarter 2023 was due to lower operating
cash flow and higher capital expenditures during the fourth quarter
2024. (Free Cash Flow is a non-GAAP measure. See reconciliation
below.)
Full Year Results
Segment Results
Well Intervention
Well Intervention revenues increased $122.1 million, or 17%, in
2024 compared to 2023 due primarily to overall higher rates and
utilization in 2024. U.S. Gulf Coast utilization improved in 2024
following a higher number of regulatory docking days during 2023 on
the Q4000 and Q5000 vessels. Revenues on the Q7000 also increased
during 2024 as the vessel incurred fewer transit and mobilization
days in 2024 compared to 2023, and the vessel generated higher
integrated project revenues on its Australia campaign during 2024
compared to the rates generated in New Zealand in 2023. During
transit and mobilization periods, mobilization revenues and costs
are deferred and not recognized. Revenues in Brazil improved
primarily due to the transition of the Siem Helix 1 to its improved
contracted rates with Trident during the fourth quarter 2024. North
Sea revenues increased with year-over-year improvements in rates on
both vessels and the recognition of a contract cancellation fee,
offset in part by the return to lower winter seasonal utilization
and the regulatory docking of the Well Enhancer during 2024,
whereas both vessels had high utilization in 2023. Overall Well
Intervention vessel utilization increased to 90% during 2024
compared to 88% in 2023. Well Intervention operating income
increased $60.8 million during 2024 compared 2023 primarily due to
higher revenues in 2024.
Robotics
Robotics revenues increased $39.8 million, or 15%, in 2024
compared to 2023. The increase was due to higher vessel, trenching
and ROV utilization and higher rates in 2024. Chartered vessel days
increased to 1,901 days, which included 371 spot vessel days, in
2024 compared to 1,699 days, which included 310 spot vessel days,
in 2023. Vessel trenching days increased to 835 days in 2024
compared to 807 days in 2023. Overall ROV and trencher utilization
increased to 69% in 2024 compared to 62% in 2023. Robotics
operating income increased $24.9 million in 2024 compared to 2023.
The increase in operating income was primarily due to higher
revenues during 2023.
Shallow Water Abandonment
Shallow Water Abandonment revenues decreased $88.0 million, or
32%, in 2024 compared to 2023. The decrease in revenues was due
primarily to lower utilization on our systems and vessels in 2024
compared to 2023. P&A and CT systems achieved 2,281 days of
utilization, or 24%, during 2024 compared to 5,748 days, or 70%,
during 2023. Vessel utilization (excluding heavy lift) declined to
61% in 2024 compared to 75% during 2023. Utilization on the Epic
Hedron heavy lift barge was 44% in 2024 compared to 68% during
2023. Shallow Water Abandonment generated an operating loss of $9.3
million during 2024 compared to operating income of $66.2 million
in 2023, primarily due to lower revenue in 2024.
Production Facilities
Production Facilities revenues increased $0.8 million, or 1%,
during 2024 compared to 2023. The increase was primarily due to
higher oil and gas production volumes in 2024, offset in part by
lower rates on the Helix Fast Response System, which were reduced
with the Q4000 project in Nigeria during the second half 2024.
Production Facilities operating income increased $0.5 million
during 2024 primarily due to higher revenues compared to 2023.
Selling, General and Administrative and
Other
Selling, General and Administrative
Selling, general and administrative expenses were $91.7 million,
or 6.7% of revenue, in 2024 compared to $94.4 million, or 7.3% of
revenue, in 2023. The decrease in expense was primarily due to a
net decrease in compensation related costs offset partially by an
increase in other facilities and professional fees in 2024.
Net Interest Expense
Net interest expense increased to $22.6 million in 2024 compared
to $17.3 million in 2023. The increase was due to a full year of
interest on our $300 million Senior Notes due 2029 issued during
the fourth quarter 2023, offset in part by higher interest income
on our invested cash during 2024.
Change in Fair Value of Contingent Consideration
Change in fair value of contingent consideration related to our
acquisition of Alliance was $42.2 million during 2023 and reflects
an increase in the fair value of the earnout that was based on
Alliance earnings through 2023, which was paid in cash in April
2024.
Losses Related to Convertible Senior Notes
Losses related to convertible senior notes was $20.9 million in
2024 and $37.3 million in 2023 and are related to the redemption of
the remaining $40.2 million principal amount of the 2026 Notes in
2024 and the repurchase of $159.8 million principal amount of the
2026 Notes during 2023.
Other Income and Expenses
Other expense, net was $3.9 million in 2024 compared to $3.6
million in 2023. Other expense, net in 2024 was primarily due to a
charge of $2.4 million related to an increase in the value of
incentive credits issued to the seller of P&A equipment
acquired in 2023 and foreign currency losses due to the weakening
of the British pound and Brazilian real in 2024, whereas other
expense, net in 2023 primarily included foreign currency gains due
to the strengthening in the British pound, offset in part by losses
associated with the devaluation of our Nigerian naira holdings
during 2023.
Cash Flows
Helix generated operating cash flows of $186.0 million in 2024
compared to $152.5 million in 2023. Operating cash flows in 2024
included $58.3 million cash paid for the earnout related to the
Alliance acquisition. Absent this payment, operating cash flows
would have increased $91.9 million compared to 2023 primarily due
to higher earnings, improved working capital inflows, and lower
regulatory certification costs on our vessels and systems in 2024.
Regulatory certification costs, which are considered part of
Helix’s capital spending program but are classified in operating
cash flows, were $35.4 million in 2024 compared to $62.5 million in
2023.
Capital expenditures increased to $23.3 million in 2024 compared
to $19.6 million in 2023.
Free Cash Flow increased to $163.2 million in 2024 compared to
$133.8 million in 2023. The increase was due to higher operating
cash flows, offset in part by higher capital expenditures in 2024
compared to 2023. (Free Cash Flow is a non-GAAP measure. See
reconciliation below.)
Share Repurchases
Share repurchases in 2024 totaled 2.9 million shares for
approximately $29.6 million compared to share repurchases in 2023
of 1.6 million shares for approximately $12.0 million.
Financial Condition and Liquidity
Cash and cash equivalents were $368.0 million on December 31,
2024. Available capacity under our ABL facility on December 31,
2024 was $66.6 million, and total liquidity was $429.6 million, and
excludes cash pledged toward our ABL facility. Consolidated
long-term debt was $315.2 million on December 31, 2024, resulting
in negative Net Debt of $52.9 million. (Net Debt is a non-GAAP
measure. See reconciliation below.)
* * * * *
Conference Call Information
Further details are provided in the presentation for Helix’s
quarterly teleconference to review its fourth quarter and full year
2024 results (see the Investor Relations page of Helix's website,
www.helixesg.com). The teleconference is scheduled for Tuesday,
February 25, 2025, at 9:00 a.m. Central Time. Investors and other
interested parties wishing to participate in the teleconference
should dial 1-800-715-9871 within the United States and
1-646-307-1963 outside the United States. The passcode is
"Staffeldt." A live webcast of the teleconference will be available
in a listen-only mode on the Investor Relations section of Helix’s
website. A replay of the webcast will be available on Helix's
website beginning approximately three hours after the completion of
the event.
About Helix
Helix Energy Solutions Group, Inc., headquartered in Houston,
Texas, is an international offshore energy services company that
provides specialty services to the offshore energy industry, with a
focus on well intervention, robotics and decommissioning
operations. Our services are key in supporting a global energy
transition by maximizing production of existing oil and gas
reserves, decommissioning end-of-life oil and gas fields and
supporting renewable energy developments. For more information
about Helix, please visit our website at www.helixesg.com.
Non-GAAP Financial Measures
Management evaluates operating performance and financial
condition using certain non-GAAP measures, primarily EBITDA,
Adjusted EBITDA, Free Cash Flow and Net Debt. We define EBITDA as
earnings before income taxes, net interest expense, net other
income or expense, and depreciation and amortization expense.
Non-cash impairment losses on goodwill and other long-lived assets
are also added back if applicable. To arrive at our measure of
Adjusted EBITDA, we exclude gains or losses on disposition of
assets, acquisition and integration costs, gains or losses related
to convertible senior notes, the change in fair value of contingent
consideration, and the general provision (release) for current
expected credit losses, if any. We define Free Cash Flow as cash
flows from operating activities less capital expenditures, net of
proceeds from asset sales and insurance recoveries (related to
property and equipment), if any. Net Debt is calculated as
long-term debt including current maturities of long-term debt less
cash and cash equivalents and restricted cash.
We use EBITDA, Adjusted EBITDA, Free Cash Flow and Net Debt to
monitor and facilitate internal evaluation of the performance of
our business operations, to facilitate external comparison of our
business results to those of others in our industry, to analyze and
evaluate financial and strategic planning decisions regarding
future investments and acquisitions, to plan and evaluate operating
budgets, and in certain cases, to report our results to the holders
of our debt as required by our debt covenants. We believe that our
measures of EBITDA, Adjusted EBITDA, Free Cash Flow and Net Debt
provide useful information to the public regarding our operating
performance and ability to service debt and fund capital
expenditures and may help our investors understand and compare our
results to other companies that have different financing, capital
and tax structures. Other companies may calculate their measures of
EBITDA, Adjusted EBITDA, Free Cash Flow and Net Debt differently
from the way we do, which may limit their usefulness as comparative
measures. EBITDA, Adjusted EBITDA, Free Cash Flow and Net Debt
should not be considered in isolation or as a substitute for, but
instead are supplemental to, income from operations, net income,
cash flows from operating activities, or other income or cash flow
data prepared in accordance with GAAP. Users of this financial
information should consider the types of events and transactions
that are excluded from these measures. See reconciliation of the
non-GAAP financial information presented in this press release to
the most directly comparable financial information presented in
accordance with GAAP. We have not provided reconciliations of
forward-looking non-GAAP financial measures to comparable GAAP
measures due to the challenges and impracticability with estimating
some of the items without unreasonable effort, which amounts could
be significant.
Forward-Looking Statements
This press release contains forward-looking statements that
involve risks, uncertainties and assumptions that could cause our
results to differ materially from those expressed or implied by
such forward-looking statements. All statements, other than
statements of historical fact, are "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995, including, without limitation, any statements regarding:
our plans, strategies and objectives for future operations; any
projections of financial items including projections as to guidance
and other outlook information; future operations expenditures; our
ability to enter into, renew and/or perform commercial contracts;
the spot market; our current work continuing; visibility and future
utilization; our protocols and plans; future economic or political
conditions; energy transition or energy security; our spending and
cost management efforts and our ability to manage changes; oil
price volatility and its effects and results; our ability to
identify, effect and integrate mergers, acquisitions, joint
ventures or other transactions, including the integration of the
Alliance acquisition and any subsequently identified legacy issues
with respect thereto; developments; any financing transactions or
arrangements or our ability to enter into such transactions or
arrangements; our sustainability initiatives; our share repurchase
program or execution; any statements of expectation or belief; and
any statements of assumptions underlying any of the foregoing.
Forward-looking statements are subject to a number of known and
unknown risks, uncertainties and other factors that could cause
results to differ materially from those in the forward-looking
statements, including but not limited to market conditions and the
demand for our services; volatility of oil and natural gas prices;
complexities of global political and economic developments; results
from mergers, acquisitions, joint ventures or similar transactions;
results from acquired properties; our ability to secure and realize
backlog; the performance of contracts by customers, suppliers and
other counterparties; actions by governmental and regulatory
authorities; operating hazards and delays, which include delays in
delivery, chartering or customer acceptance of assets or terms of
their acceptance; the effectiveness of our sustainability
initiatives and disclosures; human capital management issues;
geologic risks; and other risks described from time to time in our
filings with the Securities and Exchange Commission ("SEC"),
including our most recently filed Annual Report on Form 10-K, which
are available free of charge on the SEC's website at www.sec.gov.
We assume no obligation and do not intend to update these
forward-looking statements, which speak only as of their respective
dates, except as required by law.
HELIX ENERGY SOLUTIONS GROUP,
INC. Comparative Condensed
Consolidated Statements of Operations
Three Months Ended Dec. 31, Year
Ended Dec. 31, (in thousands, except per share data)
2024
2023
2024
2023
(unaudited) (unaudited)
Net revenues
$
355,133
$
335,157
$
1,358,560
$
1,289,728
Cost of sales
296,274
285,879
1,138,996
1,089,372
Gross profit
58,859
49,278
219,564
200,356
Gain (loss) on disposition of assets, net
(429
)
-
(479
)
367
Acquisition and integration costs
-
-
-
(540
)
Change in fair value of contingent consideration
-
(10,927
)
-
(42,246
)
Selling, general and administrative expenses
(27,552
)
(22,971
)
(91,650
)
(94,427
)
Income from operations
30,878
15,380
127,435
63,510
Net interest expense
(5,572
)
(4,771
)
(22,629
)
(17,338
)
Losses related to convertible senior notes
-
(37,277
)
(20,922
)
(37,277
)
Other income (expense), net
(1,275
)
6,963
(3,922
)
(3,590
)
Royalty income and other
(30
)
93
2,102
2,209
Income (loss) before income taxes
24,001
(19,612
)
82,064
7,514
Income tax provision
3,880
8,721
26,427
18,352
Net income (loss)
$
20,121
$
(28,333
)
$
55,637
$
(10,838
)
Earnings (loss) per share of common
stock: Basic
$
0.13
$
(0.19
)
$
0.37
$
(0.07
)
Diluted
$
0.13
$
(0.19
)
$
0.36
$
(0.07
)
Weighted average common shares
outstanding: Basic
151,446
150,580
151,989
150,917
Diluted
154,246
150,580
154,699
150,917
Comparative Condensed Consolidated
Balance Sheets
Dec. 31, 2024 Dec. 31, 2023 (in thousands)
(unaudited)
ASSETS Current Assets:
Cash and cash equivalents
$
368,030
$
332,191
Accounts receivable, net
258,630
280,427
Other current assets
83,022
85,223
Total Current Assets
709,682
697,841
Property and equipment, net
1,437,853
1,572,849
Operating lease right-of-use assets
329,649
169,233
Deferred recertification and dry dock costs, net
71,718
71,290
Other assets, net
48,178
44,823
Total Assets
$
2,597,080
$
2,556,036
LIABILITIES AND SHAREHOLDERS'
EQUITY Current Liabilities:
Accounts payable
$
144,793
$
134,552
Accrued liabilities
90,455
203,112
Current maturities of long-term debt
9,186
48,292
Current operating lease liabilities
59,982
62,662
Total Current Liabilities
304,416
448,618
Long-term debt
305,971
313,430
Operating lease liabilities
285,984
116,185
Deferred tax liabilities
113,973
110,555
Other non-current liabilities
66,971
66,248
Shareholders' equity
1,519,765
1,501,000
Total Liabilities and Equity
$
2,597,080
$
2,556,036
HELIX ENERGY SOLUTIONS GROUP,
INC. Comparative Condensed Consolidated Statements of
Cash Flows
Year Ended (in thousands)
12/31/2024 12/31/2023
(unaudited) Cash flows
from operating activities: Net
income (loss)
$
55,637
$
(10,838
)
Adjustments to reconcile net income (loss) to net cash provided by
operating activities:
Depreciation and amortization
173,292
164,116
Deferred recertification and dry dock costs
(35,387
)
(62,522
)
Payment of earnout consideration
(58,300
)
-
Change in fair value of contingent consideration
-
42,246
Losses related to convertible senior notes
20,922
37,277
Working capital and other
29,864
(17,822
)
Net cash provided by operating activities
186,028
152,457
Cash flows from investing
activities: Capital expenditures
(23,303
)
(19,588
)
Proceeds from sale of assets
100
365
Proceeds from insurance recoveries
363
564
Net cash used in investing activities
(22,840
)
(18,659
)
Cash flows from financing
activities: Proceeds from
long-term debt
-
298,578
Repayments of long-term debt
(69,469
)
(269,480
)
Repurchases of common stock
(29,620
)
(11,988
)
Payment of earnout consideration
(26,700
)
-
Other financing activities
479
7,999
Net cash provided by (used in) financing activities
(125,310
)
25,109
Effect of exchange rate changes
on cash and cash equivalents
(2,039
)
(15,827
)
Net increase (decrease) in cash and cash equivalents
35,839
143,080
Cash and cash equivalents:
Balance, beginning of year
332,191
189,111
Balance, end of year
$
368,030
$
332,191
Reconciliation of Non-GAAP
Measures
Three Months Ended
Year Ended (in thousands, unaudited)
12/31/2024 12/31/2023 9/30/2024
12/31/2024 12/31/2023
Reconciliation from Net Income
(Loss) to Adjusted EBITDA:
Net income (loss)
$
20,121
$
(28,333
)
$
29,514
$
55,637
$
(10,838
)
Adjustments: Income tax
provision
3,880
8,721
9,520
26,427
18,352
Net interest expense
5,572
4,771
5,689
22,629
17,338
Other (income) expense, net
1,275
(6,963
)
49
3,922
3,590
Depreciation and amortization
40,564
44,103
42,904
173,292
164,116
EBITDA
71,412
22,299
87,676
281,907
192,558
Adjustments: (Gain) loss on
disposition of assets, net
429
-
(100
)
479
(367
)
Acquisition and integration costs
-
-
-
-
540
Change in fair value of contingent consideration
-
10,927
-
-
42,246
General provision (release) for current expected credit losses
(200
)
129
45
(161
)
1,149
Losses related to convertible senior notes
-
37,277
-
20,922
37,277
Adjusted EBITDA
$
71,641
$
70,632
$
87,621
$
303,147
$
273,403
Free Cash Flow:
Cash flows from operating activities
$
77,977
$
94,737
$
55,731
$
186,028
$
152,457
Less: Capital expenditures, net of proceeds from asset sales and
insurance recoveries
(12,523
)
(2,859
)
(3,086
)
(22,840
)
(18,659
)
Free Cash Flow
$
65,454
$
91,878
$
52,645
$
163,188
$
133,798
Net Debt:
Long-term debt including current maturities
$
315,157
$
361,722
$
314,673
$
315,157
$
361,722
Less: Cash and cash equivalents
(368,030
)
(332,191
)
(324,120
)
(368,030
)
(332,191
)
Net Debt
$
(52,873
)
$
29,531
$
(9,447
)
$
(52,873
)
$
29,531
View source
version on businesswire.com: https://www.businesswire.com/news/home/20250224210544/en/
Erik Staffeldt, Executive Vice President and CFO email:
estaffeldt@helixesg.com Ph: 281-618-0400
Grafico Azioni Helix Energy Solutions (NYSE:HLX)
Storico
Da Gen 2025 a Feb 2025
Grafico Azioni Helix Energy Solutions (NYSE:HLX)
Storico
Da Feb 2024 a Feb 2025
