Helix Energy Solutions Group, Inc. · NYSE:HLX
Helix Energy Solutions — Q4 2024 Earnings Presentation
23 slides from Helix Energy Solutions's earnings presentation, Feb 25, 2025
Slide 1: Fourth Quarter 2024 Conference Call
February 25, 2025 Fourth Quarter 2024 Conference Call
Slide 2: Forward-Looking Statements
INTRODUCTION Forward-Looking Statements This presentation 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
Slide 3: Agenda
PRESENTATION OUTLINE Agenda • Executive Summary (pg. 4) • Operational Highlights (pg. 8) • Key Financial Metrics (pg. 13) • 2025 Outlook (pg. 15) • Non-GAAP Reconciliations (pg. 20) • Questions and Answers 3 3
Slide 4: Executive Summary
ww Executive Summary ENERGY SOLUTIONS
Slide 5: Summary of Results
EXECUTIVE SUMMARY Summary of Results ($ in millions, except per share amounts, unaudited) Three Months Ended Year Ended 12/31/24 12/31/23 9/30/24 12/31/24 12/31/23 Revenues $ 355 $ 335 $ 342 $ 1,359 $ 1,290 Gross profit $ 59 $ 49 $ 66 $ 220 $ 200 17% 15% 19% 16% 16% Net income (loss) $ 20 $ (28) $ 3
Slide 6: Fourth Quarter 2024 Highlights
EXECUTIVE SUMMARY Fourth Quarter 2024 Highlights Fourth Quarter 2024 Financial Results • Net income of $20 million, $0.13 per diluted share • Adjusted EBITDA1,4 of $72 million • Operating cash flows of $78 million • Free Cash Flow1 of $65 million Financial Condition at December 31, 2024 • Cash and c
Slide 7: Full Year 2024 Highlights
EXECUTIVE SUMMARY Full Year 2024 Highlights Full Year 2024 Financial Results Revenue By Market Strategy2 • Net income of $56 million, $0.36 per diluted share Year Ended December 31, 2024 • Net income includes a pretax loss of $21 million related to the retirement of our former 2026 Convertible Senio
Slide 8: Operational Highlights
Operational Highlights 8
Slide 9: Segment Results
OPERATIONAL HIGHLIGHTS Segment Results ($ in millions, unaudited) Three Months Ended Year Ended 12/31/24 12/31/23 9/30/24 12/31/24 12/31/23 Revenues Well Intervention $ 226 $ 204 $ 175 $ 830 $ 708 Robotics 82 63 85 298 258 Shallow Water Abandonment 38 62 72 187 275 Production Facilities 18 19 21 89
Slide 10: Well Intervention Utilization
OPERATIONAL HIGHLIGHTS Well Intervention Utilization • Q4000 (US Gulf Coast, West Africa) – 94% utilized in Q4; completed mobilization and transit and commenced work for customer offshore Nigeria; performed production enhancement operations on four wells; utilization includes 9 days of paid mobiliza
Slide 11: Robotics Utilization
OPERATIONAL HIGHLIGHTS Robotics Utilization • Grand Canyon II (Asia Pacific) – 96% utilized in Q4; performed oil and gas ROV support project in Malaysia • Grand Canyon III (North Sea) – 100% utilized in Q4; performed oil and gas trenching projects for one customer and renewables trenching project fo
Slide 12: Shallow Water Abandonment Utilization
OPERATIONAL HIGHLIGHTS Shallow Water Abandonment Utilization Q4 activity levels reflect the expected seasonal slowdown in utilization; overall activity levels reflective of weak 2024 U.S. Gulf Coast shelf market Offshore • Liftboats – nine liftboats with combined utilization of 58% in Q4 • OSVs – si
Slide 13: Key Financial Metrics
Key Financial Metrics 13
Slide 14: Debt Instrument Profile
KEY FINANCIAL METRICS Debt Instrument Profile Principal Payment Schedule at 12/31/24 Debt and Liquidity Profile at 12/31/24 ($ in millions) ($ in millions) $300 $500 $431 $430 $400 $250 $305 $285 $300 $368 $332 $200 $200 $256 $300 $189 $100 $53 $150 $22 $0 $100 ($100) $(30) $(75) ($200) $50 $(264) $
Slide 15: 2025 Outlook
2025 Outlook 15
Slide 16: Forecast
2025 OUTLOOK Forecast Key Financial Metrics Key Forecast Drivers ($ in millions) 2025 2024 Our 2025 outlook will be affected, among other things, by the Outlook Actual timing and extent of the winter weather seasonal impact to our utilization and the following expected key drivers: Revenues $ 1,360
Slide 17: Segments Outlook
2025 OUTLOOK Segments Outlook Well Intervention Robotics • Q5000 (U.S Gulf Coast) – contracted work into Q4 2025 with high expected • Grand Canyon II (Asia Pacific) – idle while undergoing regulatory docking utilization in 2025 expected through February; vessel subsequently expected to have strong u
Slide 18: Capital Additions, Cash Flow & Balance Sheet
2025 OUTLOOK Capital Additions, Cash Flow & Balance Sheet 2025 Capital additions are forecasted at approximately $70 – $90 million: • Approximately $45 – $55 million for regulatory recertifications of our vessels and systems, reported in operating cash flows • Approximately $25 – $35 million for cap
Slide 19: Capital Allocation
KEY FINANCIAL METRICS Capital Allocation Maintenance Return to Balance Sheet Strategic Capital Capital Shareholders • Simplified capital • Regulatory • Build cash surplus to • $200M share structure certification of deploy opportunistically repurchase plan • Maintain sufficient vessels and systems •
Slide 20: Non-GAAP Reconciliations
Non-GAAP Reconciliations 20
Slide 21: Non-GAAP Reconciliations
NON-GAAP RECONCILIATIONS Non-GAAP Reconciliations Three Months Ended Year Ended ($ in thousands, unaudited) 12/31/24 12/31/23 9/30/24 12/31/24 12/31/23 Reconciliation from Net Income (Loss) to Adjusted EBITDA: Net income income (loss) $ 20,121 $ (28,333) $ 29,514 $ 55,637 $ (10,838) Adjustments: Inc
Slide 22: Non-GAAP Definitions
NON-GAAP RECONCILIATIONS Non-GAAP Definitions Non-GAAP Financial Measures 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
Slide 23: At Helix, our purpose is to enable energy transition through
At Helix, our purpose is to enable energy transition through: Maximizing Existing Lowering Decommissioning Offshore Renewables & Reserves Costs Wind Farms Enhancing remaining production Restoring the seabed in an Transitioning our energy economy from existing oil and gas wells environmentally safe m
Helix Energy Solutions Group — Q4 2024 Earnings Presentation on 6ix