Helix Energy Solutions Group, Inc. · NYSE:HLX
Helix Energy Solutions — Q1 2025 Earnings Presentation
24 slides from Helix Energy Solutions's earnings presentation, Apr 24, 2025
Slide 1: First Quarter 2025 Conference Call
April 24, 2025 First Quarter 2025 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. 7) • Key Financial Metrics (pg. 12) • 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 3/31/25 3/31/24 12/31/24 Revenues $ 278 $ 296 $ 355 Gross profit $ 28 $ 20 $ 59 10% 7% 17% Net income (loss) $ 3 $ (26) $ 20 Basic earnings (loss) per share $ 0.02 $ (0.17) $ 0.13 Diluted ear
Slide 6: First Quarter 2025 Highlights
EXECUTIVE SUMMARY First Quarter 2025 Highlights First Quarter 2025 Financial Results Revenue By Market Strategy4 • Net income of $3 million, $0.02 per diluted share Quarter Ended March 31, 2025 • Adjusted EBITDA1 of $52 million • Operating cash flows of $16 million Other • Free Cash Flow1 of $12 mil
Slide 7: Operational Highlights
Operational Highlights 7
Slide 8: Segment Results
OPERATIONAL HIGHLIGHTS Segment Results ($ in millions, unaudited) Three Months Ended 3/31/25 3/31/24 12/31/24 Revenues Well Intervention $ 198 $ 211 $ 226 Robotics 51 50 82 Shallow Water Abandonment 17 27 38 Production Facilities 20 24 18 Intercompany eliminations (8) (16) (9) Total $ 278 $ 296 $ 35
Slide 9: Well Intervention Utilization
OPERATIONAL HIGHLIGHTS Well Intervention Utilization • Q4000 (Gulf of America, West Africa) – 95% utilized in Q1; continued production enhancement and abandonment work on nine wells for customer offshore Nigeria; project completed and vessel commenced return transit to the Gulf of America mid April
Slide 10: Robotics Utilization
OPERATIONAL HIGHLIGHTS Robotics Utilization • Grand Canyon II (Asia Pacific) – 45 days (59%) utilized3 in Q1; completed deepwater salvage project offshore Japan and commenced approximate three-month oil and gas ROV support project offshore Malaysia; underwent approximate three-week regulatory drydoc
Slide 11: Shallow Water Abandonment Utilization
OPERATIONAL HIGHLIGHTS Shallow Water Abandonment Utilization Q1 activity levels reflect the expected seasonal slowdown in utilization in the Gulf of America shelf; several vessels temporarily stacked as a cost reduction measure based on current market levels Offshore • Liftboats – nine liftboats wit
Slide 12: Key Financial Metrics
Key Financial Metrics 12
Slide 13: Debt Instrument Profile
KEY FINANCIAL METRICS Debt Instrument Profile Principal Payment Schedule at 3/31/25 Debt and Liquidity Profile at 3/31/25 ($ in millions) ($ in millions) $300 $500 $431 $430 $405 $400 $250 $285 $368 $370 $300 $332 $200 $200 $300 $189 $100 $53 $59 $150 $0 $100 ($100) $(30) $(75) ($200) ($264) $50 ($3
Slide 14: Historical Quarterly Revenue, Earnings and Cash Flow
Historical Quarterly Revenue, Earnings and Cash Flow • Seasonal activities generate stronger performance during Q2 and Q3 and a decline in activity during Q1 and Q4: • Seasonal peaks generally in Q3 and troughs in Q1 • Business units most impacted by seasonality include: • Well Intervention and Robo
Slide 15: 2025 Outlook
2025 Outlook 15
Slide 16: Forecast
2025 OUTLOOK Forecast Key Financial Metrics Key Forecast Changes and Drivers ($ in millions) 2025 Change in Outlook Midpoint3 Our 2025 outlook has been reduced primarily to align with the expected decline in activity in our North Sea Well Intervention segment and our Revenues $ 1,250 - 1,410 $ (100)
Slide 17: Segments Outlook
2025 OUTLOOK Segments Outlook Well Intervention Robotics • Q5000 (Gulf of America) – contracted work into Q4 2025 with high expected • Grand Canyon II (Asia Pacific) – vessel expected to be highly utilized during utilization through 2025 2025 with contracted ROV support work in Malaysia and Thailand
Slide 18: Capital Additions, Cash Flow and Balance Sheet
2025 OUTLOOK Capital Additions, Cash Flow and Balance Sheet 2025 Capital additions1 are forecasted at approximately $65 – $75 million: • Capital Additions during Q1 included approximately $26 million for regulatory certification costs for our vessels and systems (principally on the Q7000 and Seawell
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) 3/31/25 3/31/24 12/31/24 12/31/24 Reconciliation from Net Income (Loss) to Adjusted EBITDA: Net income income (loss) $ 3,072 $ (26,287) $ 20,121 $ 55,637 Adjustments: Income tax provision (ben
Slide 22: Non-GAAP Reconciliations
NON-GAAP RECONCILIATIONS Non-GAAP Reconciliations Three Months Ended ($ in thousands, unaudited) 3/31/23 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 9/30/24 12/31/24 3/31/25 Reconciliation from Net Income (Loss) to Adjusted EBITDA: Net income income (loss) $ (5,165) $ 7,100 $ 15,560 $ (28,333) $ (26,28
Slide 23: 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 24: 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
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