Subsea 7 S.A. (SUBCY) Q2 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Welcome everyone and thank you for joining us. With me on the call today are Stuart Fitzgerald, our CEO, and Mark Foley, our CFO. The results press release is available to download on our website, along with the slides that we'll be using during today's call. Please note that some of the information discussed on the call today will include forward-looking statements that reflect our current views. These statements involve risks and uncertainties that may cause actual results or trends to differ materially from our forecast. For more information please refer to the risk factors discussed in SOTC 7's annual report or in today's quarterly press release. I'll now turn the call over to Stuart. Thank you and good afternoon everyone. First I will talk to the highlights for the second quarter of 2026. This will be followed by a more detailed review of our financial performance by Mark. I will then return to talk about our operations in Norway and our tender pipeline before we open for Q&A. Turning to slide 3. In the second quarter, the group delivered adjusted EBITDA of $471 million, representing over 30% growth year-on-year and a margin of 24%. This was underpinned by strong project execution in both business units. We continue to see good order intake with a $2.1 billion backlog booked in the quarter, giving us a robust backlog of $13.6 billion and high visibility for the second half of 2026 and 2027. With seven months of the year under our belt, and a strong operational and financial performance to date, we have raised our guidance for full year EBITDA margin. Slide 4 shows details of our backlog, which continues to increase in quality in terms of both margins and terms and conditions. After strong order intake in the quarter, the backlog for subsea and conventional has r...