Tidewater Inc ( (TDW) ) has released its Q1 earnings. Here is a breakdown of the information Tidewater Inc presented to its investors.
Tidewater Inc. is a leading provider of offshore support vessels, primarily serving the energy sector with a global fleet that supports offshore exploration, production, and wind activities. The company, headquartered in Houston, Texas, has over 65 years of experience in the industry.
In its latest earnings report for the first quarter of 2025, Tidewater Inc. reported a revenue of $333.4 million, marking a 3.8% increase from the same period in the previous year. The company also achieved a net income of $42.7 million and an adjusted EBITDA of $154.2 million, bolstered by a favorable foreign exchange gain due to the weakening U.S. dollar.
Key financial highlights include a record average day rate of $22,303, a 14% increase from the previous year, and a gross margin of 50.1%. The company generated a free cash flow of $94.7 million, despite the first quarter being the largest quarterly drydock spend of the year. Tidewater also reduced its share count by approximately 2.5 million shares through repurchases, fully utilizing its share repurchase capacity under existing debt agreements.
Looking ahead, Tidewater’s management remains optimistic about the company’s performance in 2025, reiterating revenue guidance between $1.32 billion and $1.38 billion and a gross margin guidance of 48% to 50%. Despite macroeconomic uncertainties, the company is well-positioned to capitalize on the growing demand for offshore energy solutions, with a significant portion of its revenue guidance already contracted for the year.