Tidewater Reports Results for the Three and Six Months Ended June 30, 2022
08/04/2022 - 04:15 PM
Completed Acquisition of Swire Pacific Offshore
Adjusted EBITDA Increased From $8.7 million to $39.1 million Compared to the Second Quarter of 2021
Average Day Rate Increases to $12,544 ; Up 17% sequentially; Highest since Q3 2016
Vessel Level Cash Margin Increased From 27.4% to 38.2% and Global Fleet Utilization Increased From 57.0% to 75.5% Compared to the Second Quarter of 2021
Average Active Vessels Increased From 118 to 172 Compared to the Second Quarter of 2021, Inclusive of the Swire Pacific Offshore Fleet
HOUSTON --(BUSINESS WIRE)--
Tidewater Inc. (NYSE:TDW) announced today revenue for the three and six months ended June 30, 2022 of $163.4 million and $269.2 million , respectively, compared with $90.0 million and $173.5 million , respectively, for the three and six months ended June 30, 2021 . Tidewater's net losses for the three and six months ended June 30, 2022 , were $25.6 million ($0.61 per common share) and $37.7 million ($0.91 per common share), respectively, compared with $29.5 million ($0.72 per common share) and $64.8 million ($1.59 per common share), respectively, for the three and six months ended June 30, 2021 . Included in the net losses for the three and six months ended June 30, 2022 were merger and severance expenses of $7.3 and $9.6 million , respectively; and loss on warrants of $14.2 million for both periods. Included in the net losses for the six months ended June 30, 2022 were long-lived asset impairment credit and gain on bargain purchase of $1.8 million . Excluding these items, we would have reported a net loss for the three and six months ended June 30, 2022 of $4.1 million ($0.10 per common share) and $15.7 million ($0.38 per common share), respectively. Included in the net losses for the three and six months ended June 30, 2021 were severance expenses of $0.8 and $0.9 million , respectively; and a credit loss impairment credit of $1.0 million for both periods. Excluding these items, we would have reported a net loss for the three and six months ended June 30, 2021 of $29.7 million ($0.73 per common share) and $64.9 million ($1.59 per common share), respectively.
Quintin Kneen , Tidewater’s President and Chief Executive Officer, commented, “We believe the second quarter of 2022 marks the inflection point in the industry that we have long awaited and is now evident in our financial performance. Revenue, gross margin, average day rate and utilization all improved meaningfully during the second quarter as the building momentum in offshore vessel activity reached critical mass. The second quarter results reflect the impact of the Swire Pacific Offshore (SPO) acquisition, necessarily showing a large jump in revenue and vessels worked, but when viewing the quarter on relative metrics, the improvement is clear. The average day rate improved by nearly $1,900 per day sequentially, which is in excess of the improvement we would typically expect to realize over the course of an entire year in a normal market upcycle. Vessel level cash margin improved to 38% , up approximately four percentage points and continuing to meaningfully outperform the 30% target we have discussed in recent quarters. These improvements during the quarter, particularly the move in day rates, speak to continued demand growth as offshore activity continues to increase and as the vessel supply fundamentals continue to work in our favor given the shortage of available vessels on the market today. We expect activity to continue to improve throughout the remainder of 2022 with another likely step-up in 2023.
“As previously mentioned, we closed on the SPO acquisition on April 22, 2022 . Post-closing of the transaction, the legacy SPO fleet contributed approximately $43.2 million of revenue during the second quarter and generated a vessel level cash margin in line with the total fleet vessel level cash margin of 38% . The legacy SPO business incurred approximately $3.9 million of general and administrative expense during the second quarter, down meaningfully from the pre-close run rate as we achieved some early successes in reducing general and administrative expenses as we continue to target $20.0 million in annual general and administrative costs synergies. Overall, we remain confident in our ability to realize total annual cost synergies of $45.0 million , including $25.0 million in annual synergies from operating expenses.
"While there are a variety of macroeconomic factors driving recent market volatility, the current commercial environment for offshore vessel activity remains robust. Commodity prices remain at attractive levels, recent volatility notwithstanding, providing a compelling economic rationale for our customers to continue driving their spending plans and operational goals. The supply of capable and available vessels continues to tighten. As our vessels continue to roll off older contracts, we are taking advantage of the tight supply environment to drive day rates in a strong demand environment. To illustrate this point, during the second quarter, 24 of our vessels entered new contracts of various duration that will ultimately provide a nearly 50% aggregate uplift in day rate as compared to the previous aggregate contracted day rates. Commercial momentum for new contracts is broad-based, evident in all of our operating regions and in all of our vessel classes, with West Africa and our largest PSV class notable drivers of this improvement. We remain mindful of inflation pressures that inevitably impact our business in our commercial strategy and believe that the market tightness will allow for net pricing improvements well in-excess of the impact of any inflation we may incur.
“The various initiatives we have executed over the past several years have prepared us to reap the benefits of the rapidly improving market we are currently experiencing. Building a strong leadership team positioned us to weather market challenges and position the company to take advantage of improved market fundamentals. Optimizing the organizational cost structure positioned us to maximize margins. Streamlining the fleet positioned us to offer the highest quality vessels to the market that can command the best pricing. Addressing the balance sheet positioned us to operate with a high degree of financial flexibility. Acquiring SPO positioned us to transform the company into a global leader in offshore support vessels with additional exposure to the world’s highest growth markets.
“The combination of initiatives we have successfully executed, combined with the market dynamics we are currently experiencing, has set up Tidewater as one of the largest and most efficient OSV operators globally, and has the company poised to create significant value over the coming quarters and years. The combination of high operating leverage and low financial leverage positions Tidewater to generate significant cash returns from its operating activities and the option to further leverage those returns. We remain committed to pursuing executional excellence in all facets of our business. Moving forward, we expect to continue to drive utilization and day rates, execute on realizing continued efficiencies within the business, including our commitment to realizing the synergies associated with SPO, and to opportunistically pursue platform-enhancing, value accretive strategic transactions.
“This is an exciting time for the company, and we expect all of Tidewater’s stakeholders to benefit from the continued improvement in the business. I want to thank all of our employees, including our new employees from SPO, for their continued hard work to position Tidewater to capitalize on what looks to be the best market for offshore vessels in recent memory.”
In addition to the number of outstanding shares, as of June 30, 2022 , the company also has the following in-the-money warrants.
Common shares outstanding
42,029,882
New Creditor Warrants (strike price $0.00 1 per common share)
395,401
GulfMark Creditor Warrants (strike price $0.01 per common share)
309,351
SPO acquisition warrants (strike price $0.00 1 per common share)
8,100,000
Total
50,834,634
Tidewater will hold a conference call to discuss results for the three and six months ending June 30, 2022 on August 5, 2022 , at 8:00 a.m. Central Time . Investors and interested parties may listen to the earnings conference call via telephone by calling +1.888.770.7135 if calling from the U.S. or Canada (+1.929.203.0820 if calling from outside the U.S. ) and provide Access Code: 2444624 prior to the scheduled start time. A live webcast of the call will also be available in the Investor Relations section of Tidewater’s website at investor.tdw.com .
A replay of the conference call will be available beginning at 11:00 a.m. Central Time on August 5, 2022 and will continue until 11:59 p.m. Central Time on September 10, 2022 . To access the replay, visit the Investor Relations section of Tidewater’s website at investor.tdw.com .
The conference call will contain forward-looking statements in addition to statements of historical fact. The actual achievement of any forecasted results or the unfolding of future economic or business developments in a way anticipated or projected by the company involves numerous risks and uncertainties that may cause the company’s actual performance to be materially different from that stated or implied in the forward-looking statements. Such risks and uncertainties include, among other things, risks associated with the general nature of the oilfield service industry and other factors discussed within the “Risk Factors” section of Tidewater’s most recent Forms 10-Q and 10-K.
Tidewater owns and operates the largest fleet of offshore support vessels in the industry, with 65 years of experience supporting offshore energy exploration, production and offshore wind activities worldwide. To learn more, visit www.tdw.com .
Financial information is displayed beginning on the next page.
The financial statements and supplementary information presented in this press release were not audited. This press release presents extracts from the Consolidated Balance Sheets at June 30, 2022 and December 31, 2021 ; the Consolidated Statements of Operations and Consolidated Statements of Equity for the three and six months ended June 30, 2022 and 2021; and the Consolidated Statements of Cash Flows for the six months ended June 30, 2022 and 2021. Extracts are drawn from the June 30, 2022 unaudited quarterly and year to date financial statements and the December 31, 2021 audited annual financial statements of Tidewater Inc. All per-share amounts are stated on a diluted basis.
In conjunction with the acquisition of Swire Pacific Offshore (SPO), we realigned our reportable segments to better reflect the post-acquisition operating environment. The previous Middle East /Asia Pacific segment has been split into the Middle East segment and the Asia Pacific segment. Our previous operations in Southeast Asia and Australia , along with the legacy SPO operations in the Asia Pacific region, now form the new Asia Pacific segment. Our segment disclosures reflect the current segment alignment for all periods presented.
TIDEWATER INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In Thousands, except per share data)
Three Months Ended
Six Months Ended
June 30, 2022
June 30, 2021
June 30, 2022
June 30, 2021
Revenues:
Vessel revenues
$
162,175
$
88,514
$
266,051
$
169,507
Other operating revenues
1,272
1,439
3,125
3,950
Total revenues
163,447
89,953
269,176
173,457
Costs and expenses:
Vessel operating costs
100,257
64,263
168,768
125,283
Costs of other operating revenues
483
581
844
1,648
General and administrative
27,804
16,787
46,021
32,830
Depreciation and amortization
31,766
28,549
58,423
58,276
Long-lived asset impairment credit
—
—
(500
)
—
Affiliate credit loss impairment credit
—
(1,000
)
—
(1,000
)
Loss on asset dispositions, net
1,297
932
1,090
2,880
Total costs and expenses
161,607
110,112
274,646
219,917
Operating income (loss)
1,840
(20,159
)
(5,470
)
(46,460
)
Other income (expense):
Foreign exchange gain (loss)
(1,881
)
422
(935
)
(428
)
Equity in net earnings (losses) of unconsolidated companies
(244
)
52
(244
)
(1,797
)
Interest income and other, net
349
8
3,835
31
Loss on warrants
(14,175
)
—
(14,175
)
—
Interest and other debt costs, net
(4,284
)
(3,944
)
(8,459
)
(8,485
)
Total other expense
(20,235
)
(3,462
)
(19,978
)
(10,679
)
Loss before income taxes
(18,395
)
(23,621
)
(25,448
)
(57,139
)
Income tax expense
6,619
6,026
11,837
8,035
Net loss
(25,014
)
(29,647
)
(37,285
)
(65,174
)
Less: Net income (loss) attributable to noncontrolling interests
567
(185
)
464
(397
)
Net loss attributable to Tidewater Inc.
$
(25,581
)
$
(29,462
)
$
(37,749
)
$
(64,777
)
Basic loss per common share
$
(0.61
)
$
(0.72
)
$
(0.91
)
$
(1.59
)
Diluted loss per common share
$
(0.61
)
$
(0.72
)
$
(0.91
)
$
(1.59
)
Weighted average common shares outstanding
41,814
40,899
41,614
40,808
Adjusted weighted average common shares
41,814
40,899
41,614
40,808
TIDEWATER INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In Thousands, except share and par value data)
June 30, 2022
December 31, 2021
ASSETS
Current assets:
Cash and cash equivalents
$
87,981
$
149,037
Restricted cash
1,240
1,240
Trade and other receivables, less allowance for credit losses of $2,288 and $1,948 as of June 30, 2022 and 2021, respectively
189,259
86,503
Due from affiliates, less allowance for credit losses of $12,215 and $72,456 as of June 30, 2022 and 2021, respectively
—
70,134
Marine operating supplies
21,182
12,606
Assets held for sale
6,862
14,421
Prepaid expenses and other current assets
23,259
8,731
Total current assets
329,783
342,672
Net properties and equipment
838,612
688,040
Deferred drydocking and survey costs
53,661
40,734
Indemnification assets
30,269
—
Other assets
30,410
24,334
Total assets
$
1,282,735
$
1,095,780
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable
$
30,537
$
20,788
Accrued costs and expenses
109,212
51,734
Due to affiliates
—
61,555
Other current liabilities
47,872
23,865
Total current liabilities
187,621
157,942
Long-term debt
168,279
167,885
Other liabilities and deferred credits
85,188
68,184
Commitments and contingencies
Equity:
Common stock
42
41
Additional paid-in-capital
1,554,561
1,376,494
Accumulated deficit
(715,649
)
(677,900
)
Accumulated other comprehensive loss
1,763
2,668
Total stockholders' equity
840,717
701,303
Noncontrolling interests
930
466
Total equity
841,647
701,769
Total liabilities and equity
$
1,282,735
$
1,095,780
TIDEWATER INC.
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
(In Thousands)
Three Months Ended
Six Months Ended
June 30, 2022
June 30, 2021
June 30, 2022
June 30, 2021
Net loss
$
(25,014
)
$
(29,647
)
$
(37,285
)
$
(65,174
)
Other comprehensive loss:
Unrealized loss on note receivable
(846
)
—
(846
)
—
Change in liability of pension plans
138
(207
)
(59
)
(278
)
Total comprehensive loss
$
(25,722
)
$
(29,854
)
$
(38,190
)
$
(65,452
)
TIDEWATER INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Thousands)
Six Months
Six Months
Ended
Ended
June 30, 2022
June 30, 2021
Operating activities:
Net loss
$
(37,285
)
$
(65,174
)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization
40,287
36,694
Amortization of deferred drydocking and survey costs
18,136
21,582
Amortization of debt premiums and discounts
765
1,986
Provision for deferred income taxes
145
648
Loss on asset dispositions, net
1,090
2,880
Gain on bargain purchase
(1,300
)
—
Loss on debt extinguishment
—
59
Affiliate credit loss impairment credit
—
(1,000
)
Long-lived asset impairment credit
(500
)
—
Loss on warrants
14,175
—
Stock-based compensation expense
3,421
2,676
Changes in assets and liabilities, net of effects of business acquisition:
Trade and other receivables
(35,085
)
22,394
Changes in due to/from affiliate, net
(20
)
4,693
Accounts payable
8,072
(792
)
Accrued expenses
2,354
(2,074
)
Deferred drydocking and survey costs
(31,063
)
(6,771
)
Other, net
(16,419
)
(7,234
)
Net cash provided by (used in) operating activities
(33,227
)
10,567
Cash flows from investing activities:
Proceeds from sales of assets
8,163
29,560
Acquisitions, net of cash acquired
(29,525
)
—
Additions to properties and equipment
(5,380
)
(1,861
)
Net cash provided by (used in) investing activities
(26,742
)
27,699
Cash flows from financing activities:
Principal payments on long-term debt
—
(37,901
)
Debt issuance and modification costs
(371
)
(855
)
Debt extinguishment premium
—
(59
)
Tax on share-based award
(2,176
)
(758
)
Net cash used in financing activities
(2,547
)
(39,573
)
Net change in cash, cash equivalents and restricted cash
(62,516
)
(1,307
)
Cash, cash equivalents and restricted cash at beginning of period
154,276
155,225
Cash, cash equivalents and restricted cash at end of period
$
91,760
$
153,918
Supplemental disclosure of cash flow information:
Cash paid during the year for:
Interest, net of amounts capitalized
$
7,626
$
7,028
Income taxes
$
9,330
$
6,609
Supplemental disclosure of noncash investing activities:
Acquisition of SPO
$
162,648
$
—
Supplemental disclosure of noncash financing activities:
Warrants issued for SPO acquisition
$
162,648
$
—
Note: Cash, cash equivalents and restricted cash at June 30, 2022 includes $2.5 million in long-term restricted cash, which is included in other assets in our consolidated balance sheet.
TIDEWATER INC.
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY
(In Thousands)
Three Months Ended
Accumulated
Additional
other
Non
Common
paid-in
Accumulated
comprehensive
controlling
stock
capital
(deficit)
loss
interest
Total
Balance at March 31, 2022
$
42
$
1,376,934
$
(690,068
)
$
2,471
$
363
$
689,742
Total comprehensive income (loss)
—
—
(25,581
)
(708
)
567
(25,722
)
SPO acquisition warrants
—
176,823
—
—
—
176,823
Amortization of share-based awards
—
804
—
—
—
804
Balance at June 30, 2022
$
42
$
1,554,561
$
(715,649
)
$
1,763
$
930
$
841,647
Balance at March 31, 2021
$
41
$
1,372,846
$
(584,246
)
$
(875
)
$
945
$
788,711
Total comprehensive loss
—
—
(29,462
)
(207
)
(185
)
(29,854
)
Amortization of share-based awards
—
881
—
—
—
881
Balance at June 30, 2021
$
41
$
1,373,727
$
(613,708
)
$
(1,082
)
$
760
$
759,738
Six Months Ended
Accumulated
Additional
other
Non
Common
paid-in
Accumulated
comprehensive
controlling
stock
capital
deficit
income (loss)
interest
Total
Balance at December 31, 2021
$
41
$
1,376,494
$
(677,900
)
$
2,668
$
466
$
701,769
Total comprehensive income (loss)
—
—
(37,749
)
(905
)
464
(38,190
)
Issuance of common stock
1
(1
)
—
—
—
—
SPO acquisition warrants
—
176,823
—
—
—
176,823
Amortization of share-based awards
—
1,245
—
—
—
1,245
Balance at June 30, 2022
$
42
$
1,554,561
$
(715,649
)
$
1,763
$
930
$
841,647
Balance at December 31, 2020
$
41
$
1,371,809
$
(548,931
)
$
(804
)
$
1,157
$
823,272
Total comprehensive loss
—
—
(64,777
)
(278
)
(397
)
(65,452
)
Amortization of share-based awards
—
1,918
—
—
—
1,918
Balance at June 30, 2021
$
41
$
1,373,727
$
(613,708
)
$
(1,082
)
$
760
$
759,738
The company’s vessel revenues and vessel operating costs and the related percentage of total vessel revenues, were as follows:
(In Thousands)
Three Months Ended
Six Months Ended
June 30, 2022
June 30, 2021
June 30, 2022
June 30, 2021
Vessel revenues:
Americas
$
37,520
23
%
$
23,481
27
%
$
65,964
25
%
$
49,705
29
%
Asia Pacific
16,362
10
%
4,870
6
%
21,259
8
%
8,442
5
%
Middle East
28,396
18
%
20,758
23
%
48,614
18
%
41,600
25
%
Europe /Mediterranean
32,475
20
%
22,467
25
%
56,394
21
%
37,216
22
%
West Africa
47,422
29
%
16,938
19
%
73,820
28
%
32,544
19
%
Total vessel revenues
$
162,175
100
%
$
88,514
100
%
$
266,051
100
%
$
169,507
100
%
Vessel operating costs:
Crew costs
$
60,639
37
%
$
37,685
43
%
$
101,476
38
%
$
72,847
43
%
Repair and maintenance
13,477
8
%
9,534
11
%
22,938
9
%
18,971
11
%
Insurance
1,366
1
%
(137
)
(0
)%
2,750
1
%
486
1
%
Fuel, lube and supplies
11,521
7
%
6,541
7
%
18,597
7
%
12,401
7
%
Other
13,254
8
%
10,640
12
%
23,007
9
%
20,578
12
%
Total vessel operating costs
100,257
62
%
64,263
73
%
168,768
63
%
125,283
74
%
Vessel operating margin (A)
$
61,918
38
%
$
24,251
27
%
$
97,283
37
%
$
44,224
26
%
Note (A): Vessel operating margin equals revenues less vessel operating costs and excludes general and administrative expenses and depreciation and amortization.
The company’s operating loss and other components of loss before income taxes and its related percentage of total revenues, were as follows:
(In Thousands)
Three Months Ended
Six Months Ended
June 30, 2022
June 30, 2021
June 30, 2022
June 30, 2021
Vessel operating profit (loss):
Americas
$
5,930
4
%
$
(4,940
)
(5
)%
$
5,848
2
%
$
(6,591
)
(4
)%
Asia Pacific
(899
)
(1
)%
1,722
2
%
1,274
0
%
1,667
1
%
Middle East
(307
)
(0
)%
(1,456
)
(2
)%
(2,190
)
(1
)%
(3,254
)
(2
)%
Europe /Mediterranean
4,262
3
%
(1,986
)
(2
)%
1,833
1
%
(10,007
)
(6
)%
West Africa
9,270
6
%
(5,355
)
(6
)%
12,485
5
%
(12,122
)
(7
)%
Other operating profit
790
0
%
858
1
%
2,282
1
%
2,302
1
%
19,046
12
%
(11,157
)
(12
)%
21,532
8
%
(28,005
)
(16
)%
Corporate expenses (A)
(15,909
)
(10
)%
(9,070
)
(10
)%
(26,412
)
(10
)%
(16,575
)
(10
)%
Loss on asset dispositions, net
(1,297
)
(1
)%
(932
)
(1
)%
(1,090
)
(0
)%
(2,880
)
(2
)%
Affiliate credit loss impairment credit
—
0
%
1,000
1
%
—
0
%
1,000
1
%
Long-lived asset impairments and other
—
0
%
—
0
%
500
0
%
—
0
%
Operating loss
$
1,840
1
%
$
(20,159
)
(22
)%
$
(5,470
)
(2
)%
$
(46,460
)
(27
)%
Note (A): General and administrative expenses for the three months and six months ended June 30, 2022 include stock-based compensation of $1.9 million and $3.4 million , respectively. General and administrative expenses for the three and six months ended June 30, 2021 include stock-based compensation of $1.5 million and $2.7 million , respectively. In addition, vessel operating and general and administrative costs for the three months and six months ended June 30, 2022 , include $7.3 million and $9.6 million in one-time acquisition, restructuring and integration related costs, respectively. Vessel operating and general and administrative costs for the three and six months ended June 30, 2021 , include $0.8 million and $0.9 million in one-time restructuring and integration related costs, respectively.
TIDEWATER INC.
CONSOLIDATED STATEMENTS OF EARNINGS (LOSS) – QUARTERLY DATA
(In Thousands, except per share data)
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
Revenues:
Vessel revenues
$
162,175
$
103,876
$
100,428
$
91,634
$
88,514
Other operating revenues
1,272
1,853
4,747
767
1,439
Total revenues
163,447
105,729
105,175
92,401
89,953
Costs and expenses:
Vessel operating costs (A)
100,257
68,511
71,187
65,344
64,263
Costs of other operating revenue
483
361
228
355
581
General and administrative (A)
27,804
18,217
17,641
18,045
16,787
Depreciation and amortization
31,766
26,657
28,288
27,980
28,549
Long-lived asset impairment (credit) and other
—
(500
)
13,476
2,167
—
Affiliate credit loss impairment expense (credit)
—
—
1,400
—
(1,000
)
(Gain) loss on asset dispositions, net
1,297
(207
)
(53
)
74
932
Total operating costs and expenses
161,607
113,039
132,167
113,965
110,112
Operating loss
1,840
(7,310
)
(26,992
)
(21,564
)
(20,159
)
Other income (expense):
Foreign exchange gain (loss)
(1,881
)
946
582
(523
)
422
Equity in net earnings (losses) of unconsolidated companies
(244
)
—
(1,625
)
100
52
Interest income and other, net
349
3,486
1,426
148
8
Loss on early extinguishment of debt
—
—
(11,100
)
—
—
Loss on warrants
(14,175
)
—
—
—
—
Interest and other debt costs, net
(4,284
)
(4,175
)
(3,417
)
(3,681
)
(3,944
)
Total other expense
(20,235
)
257
(14,134
)
(3,956
)
(3,462
)
Loss before income taxes
(18,395
)
(7,053
)
(41,126
)
(25,520
)
(23,621
)
Income tax (benefit) expense
6,619
5,218
(3,047
)
887
6,026
Net loss
(25,014
)
(12,271
)
(38,079
)
(26,407
)
(29,647
)
Net loss attributable to noncontrolling interests
567
(103
)
(145
)
(149
)
(185
)
Net loss attributable to Tidewater Inc.
$
(25,581
)
$
(12,168
)
$
(37,934
)
$
(26,258
)
$
(29,462
)
Basic loss per common share
$
(0.61
)
$
(0.29
)
$
(0.92
)
$
(0.64
)
$
(0.72
)
Diluted loss per common share
$
(0.61
)
$
(0.29
)
$
(0.92
)
$
(0.64
)
$
(0.72
)
Weighted average common shares outstanding
41,814
41,412
41,280
41,132
40,899
Adjusted weighted average common shares
41,814
41,412
41,280
41,132
40,899
Vessel operating margin
$
61,918
$
35,365
$
29,241
$
26,290
$
24,251
Note (A): One-time acquisition, restructuring and integration related costs
$
7,314
$
2,305
$
221
$
112
$
795
TIDEWATER INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In Thousands)
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
ASSETS
Current assets:
Cash and cash equivalents
$
87,981
$
136,234
$
149,037
$
127,414
$
131,157
Restricted cash
1,240
4,958
1,240
24,092
20,284
Trade and other receivables, net
189,259
112,953
86,503
86,015
90,229
Due from affiliates, less allowances
—
21,191
70,134
68,217
64,922
Marine operating supplies
21,182
13,252
12,606
13,335
15,404
Assets held for sale
6,862
8,591
14,421
17,891
17,214
Prepaid expenses and other current assets
23,259
12,012
8,731
13,129
15,953
Total current assets
329,783
309,191
342,672
350,093
355,163
Net properties and equipment
838,612
677,580
688,040
709,324
731,659
Deferred drydocking and survey costs
53,661
44,362
40,734
40,510
40,372
Indemnification assets
30,269
—
—
—
—
Other assets
30,410
22,997
24,334
23,146
24,539
Total assets
$
1,282,735
$
1,054,130
$
1,095,780
$
1,123,073
$
1,151,733
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable
$
30,537
$
23,696
$
20,788
$
18,042
$
16,189
Accrued costs and expenses
109,212
55,141
51,734
52,133
50,532
Due to affiliates
—
21,191
61,555
59,571
59,759
Current portion of long-term debt
—
—
—
140,995
7,355
Other current liabilities
47,872
25,471
23,865
29,139
28,825
Total current liabilities
187,621
125,499
157,942
299,880
162,660
Long-term debt
168,279
167,997
167,885
14,139
148,612
Other liabilities and deferred credits
85,188
70,892
68,184
74,442
80,723
Equity:
Common stock
42
42
41
41
41
Additional paid-in-capital
1,554,561
1,376,934
1,376,494
1,375,215
1,373,727
Accumulated deficit
(715,649
)
(690,068
)
(677,900
)
(639,966
)
(613,708
)
Accumulated other comprehensive income (loss)
1,763
2,471
2,668
(1,289
)
(1,082
)
Total stockholders' equity
840,717
689,379
701,303
734,001
758,978
Noncontrolling interests
930
363
466
611
760
Total equity
841,647
689,742
701,769
734,612
759,738
Total liabilities and equity
$
1,282,735
$
1,054,130
$
1,095,780
$
1,123,073
$
1,151,733
Supplemental information
Due from related parties, net of due to related parties:
Sonatide (Angola )
$
—
$
—
$
8,579
$
8,646
$
5,163
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
(In Thousands)
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
VESSEL REVENUE BY VESSEL CLASS
Americas fleet:
Deepwater
$
30,768
$
21,711
$
21,658
$
18,961
$
17,796
Towing-supply
4,864
5,596
5,062
4,440
4,535
Other
1,888
1,137
1,162
1,163
1,150
Total
37,520
28,444
27,882
24,564
23,481
Asia Pacific fleet:
Deepwater
11,769
3,923
3,951
3,899
3,897
Towing-supply
4,372
974
963
887
973
Other
221
—
—
—
—
Total
16,362
4,897
4,914
4,786
4,870
Middle East fleet:
Deepwater
19,744
12,599
13,360
13,393
13,367
Towing-supply
8,652
7,619
8,588
7,454
7,391
Total
28,396
20,218
21,948
20,847
20,758
Europe /Mediterranean fleet:
Deepwater
32,328
23,765
22,344
21,037
22,293
Towing-supply
—
—
—
—
11
Other
147
154
157
160
163
Total
32,475
23,919
22,501
21,197
22,467
West Africa fleet:
Deepwater
27,699
14,746
13,658
10,967
8,814
Towing-supply
14,464
6,597
5,807
5,474
5,564
Other
5,259
5,055
3,718
3,799
2,560
Total
47,422
26,398
23,183
20,240
16,938
Worldwide fleet:
Deepwater
122,308
76,744
74,971
68,257
66,167
Towing-supply
32,352
20,786
20,420
18,255
18,474
Other
7,515
6,346
5,037
5,122
3,873
Total
$
162,175
$
103,876
$
100,428
$
91,634
$
88,514
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
AVERAGE NUMBER OF VESSELS:
Americas fleet:
Deepwater
25
24
25
25
27
Towing-supply
8
8
8
8
8
Other
1
2
2
3
3
Total
34
34
35
36
38
Stacked vessels
(5
)
(7
)
(9
)
(11
)
(13
)
Active vessels
29
27
26
25
25
Asia Pacific fleet:
Deepwater
10
3
3
3
3
Towing-supply
5
2
2
2
2
Other
4
—
—
—
—
Total
19
5
5
5
5
Stacked vessels
(1
)
—
—
—
—
Active vessels
18
5
5
5
5
Middle East fleet:
Deepwater
24
17
17
17
17
Towing-supply
17
16
16
16
16
Total
41
33
33
33
33
Stacked vessels
—
—
(1
)
(1
)
(1
)
Active vessels
41
33
32
32
32
Europe /Mediterranean fleet:
Deepwater
27
28
28
28
29
Total
27
28
28
28
29
Stacked vessels
(2
)
(4
)
(5
)
(7
)
(8
)
Active vessels
25
24
23
21
21
West Africa fleet:
Deepwater
25
17
18
19
20
Towing-supply
16
9
10
11
11
Other
26
26
24
25
26
Total
67
52
52
55
57
Stacked vessels
(8
)
(10
)
(13
)
(19
)
(22
)
Active vessels
59
42
39
36
35
Worldwide fleet:
Deepwater
111
89
91
92
96
Towing-supply
46
35
36
37
37
Other
31
28
26
28
29
Total
188
152
153
157
162
Stacked vessels
(16
)
(21
)
(28
)
(38
)
(44
)
Active vessels
172
131
125
119
118
Total active
172
131
125
119
118
Total stacked
16
21
28
38
44
Total joint venture
1
1
3
3
3
Total
189
153
156
160
165
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
AVAILABLE DAYS - TOTAL FLEET:
Americas fleet:
Deepwater
2,278
2,160
2,269
2,300
2,497
Towing-supply
701
720
736
736
728
Other
121
145
184
244
273
Total
3,100
3,025
3,189
3,280
3,498
Asia Pacific fleet:
Deepwater
873
270
276
276
273
Towing-supply
487
180
184
184
182
Other
392
—
—
—
—
Total
1,752
450
460
460
455
Middle East fleet:
Deepwater
2,156
1,539
1,564
1,564
1,547
Towing-supply
1,547
1,448
1,472
1,472
1,485
Total
3,703
2,987
3,036
3,036
3,032
Europe /Mediterranean fleet:
Deepwater
2,486
2,536
2,607
2,612
2,672
Total
2,486
2,536
2,607
2,612
2,672
West Africa fleet:
Deepwater
2,260
1,553
1,656
1,718
1,853
Towing-supply
1,460
815
920
1,011
1,001
Other
2,366
2,340
2,208
2,328
2,366
Total
6,086
4,708
4,784
5,057
5,220
Worldwide fleet:
Deepwater
10,053
8,058
8,372
8,470
8,842
Towing-supply
4,195
3,163
3,312
3,403
3,396
Other
2,879
2,485
2,392
2,572
2,639
Total
17,127
13,706
14,076
14,445
14,877
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
OUT-OF-SERVICE - STACKED DAYS:
Americas fleet:
Deepwater
428
450
621
814
889
Towing-supply
64
90
92
92
91
Other
—
55
92
152
182
Total
492
595
805
1,058
1,162
Asia Pacific fleet:
Deepwater
61
—
—
—
—
Total
61
—
—
—
—
Middle East fleet:
Deepwater
—
25
92
92
91
Towing-supply
—
—
—
—
29
Total
—
25
92
92
120
Europe /Mediterranean fleet:
Deepwater
150
376
474
641
766
Total
150
376
474
641
766
West Africa fleet:
Deepwater
18
203
307
537
852
Towing-supply
238
275
382
551
516
Other
496
450
506
655
637
Total
752
928
1,195
1,743
2,005
Worldwide fleet:
Deepwater
657
1,054
1,494
2,084
2,598
Towing-supply
302
365
474
643
636
Other
496
505
598
807
819
Total
1,455
1,924
2,566
3,534
4,053
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
AVAILABLE DAYS - ACTIVE FLEET:
Americas fleet:
Deepwater
1,850
1,710
1,648
1,486
1,608
Towing-supply
637
630
644
644
637
Other
121
90
92
92
91
Total
2,608
2,430
2,384
2,222
2,336
Asia Pacific fleet:
Deepwater
812
270
276
276
273
Towing-supply
487
180
184
184
182
Other
392
—
—
—
—
Total
1,691
450
460
460
455
Middle East fleet:
Deepwater
2,156
1,514
1,472
1,472
1,456
Towing-supply
1,547
1,448
1,472
1,472
1,456
Total
3,703
2,962
2,944
2,944
2,912
Europe /Mediterranean fleet:
Deepwater
2,336
2,160
2,133
1,971
1,906
Total
2,336
2,160
2,133
1,971
1,906
West Africa fleet:
Deepwater
2,242
1,350
1,349
1,181
1,001
Towing-supply
1,222
540
538
460
485
Other
1,870
1,890
1,702
1,673
1,729
Total
5,334
3,780
3,589
3,314
3,215
Worldwide fleet:
Deepwater
9,396
7,004
6,878
6,386
6,244
Towing-supply
3,893
2,798
2,838
2,760
2,760
Other
2,383
1,980
1,794
1,765
1,820
Total
15,672
11,782
11,510
10,911
10,824
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
UTILIZATION - TOTAL FLEET:
Americas fleet:
Deepwater
71.3
%
59.3
%
57.0
%
53.0
%
45.6
%
Towing-supply
74.2
64.6
71.4
64.9
76.3
Other
100.0
62.1
50.0
37.7
33.3
Total
73.0
%
60.7
%
59.9
%
54.5
%
51.0
%
Asia Pacific fleet:
Deepwater
59.0
%
100.0
%
100.0
%
100.0
%
100.0
%
Towing-supply
69.8
97.9
100.0
90.2
100.0
Other
85.5
—
—
—
—
Total
67.9
%
99.2
%
100.0
%
96.1
%
100.0
%
Middle East fleet:
Deepwater
79.2
%
81.8
%
82.8
%
83.8
%
86.2
%
Towing-supply
83.0
84.2
93.5
82.9
80.4
Total
80.8
%
82.9
%
88.0
%
83.4
%
83.4
%
Europe /Mediterranean fleet:
Deepwater
82.8
%
77.8
%
72.4
%
68.3
%
64.7
%
Total
82.8
%
77.8
%
72.4
%
68.3
%
64.7
%
West Africa fleet:
Deepwater
87.4
%
75.9
%
65.7
%
54.6
%
42.3
%
Towing-supply
78.2
65.9
50.0
40.0
38.4
Other
55.2
54.4
45.9
43.9
34.6
Total
72.7
%
63.5
%
53.5
%
46.7
%
38.1
%
Worldwide fleet:
Deepwater
78.4
%
74.0
%
69.7
%
65.2
%
59.4
%
Towing-supply
78.4
75.8
76.9
66.6
68.2
Other
61.2
54.8
46.2
43.3
34.5
Total
75.5
%
70.9
%
67.4
%
61.7
%
57.0
%
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
UTILIZATION - ACTIVE FLEET:
Americas fleet:
Deepwater
87.7
%
74.8
%
78.4
%
82.0
%
70.7
%
Towing-supply
81.7
73.8
81.5
74.1
87.2
Other
100.0
100.0
100.0
100.0
100.0
Total
86.8
%
75.5
%
80.1
%
80.4
%
76.4
%
Asia Pacific fleet:
Deepwater
63.4
%
100.0
%
100.0
%
100.0
%
100.0
%
Towing-supply
69.8
97.9
100.0
90.2
100.0
Other
85.5
—
—
—
—
Total
70.4
%
99.2
%
100.0
%
96.1
%
100.0
%
Middle East fleet:
Deepwater
79.2
%
83.1
%
88.0
%
89.0
%
91.6
%
Towing-supply
83.0
84.2
93.5
82.9
82.0
Total
80.8
%
83.6
%
90.7
%
86.0
%
86.8
%
Europe /Mediterranean fleet:
Deepwater
88.1
%
91.3
%
88.5
%
90.5
%
90.6
%
Total
88.1
%
91.3
%
88.5
%
90.5
%
90.6
%
West Africa fleet:
Deepwater
88.1
%
87.3
%
80.7
%
79.4
%
78.3
%
Towing-supply
93.5
99.5
85.5
87.9
79.2
Other
69.8
67.3
59.5
61.1
47.4
Total
82.9
%
79.1
%
71.4
%
71.3
%
61.8
%
Worldwide fleet:
Deepwater
83.9
%
85.1
%
84.9
%
86.5
%
84.2
%
Towing-supply
84.4
85.7
89.7
82.2
83.9
Other
73.9
68.8
61.6
63.1
50.0
Total
82.5
%
82.5
%
82.4
%
81.6
%
78.4
%
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
AVERAGE VESSEL DAY RATES : (A)
Americas fleet:
Deepwater
$
18,955
$
16,964
$
16,760
$
15,568
$
15,646
Towing-supply
9,350
12,030
9,638
9,298
8,162
Other
15,601
12,633
12,644
12,640
12,634
Total
16,569
15,501
14,603
13,742
13,162
Asia Pacific fleet:
Deepwater
22,844
14,529
14,315
14,126
14,275
Towing-supply
12,862
5,528
5,236
5,346
5,346
Total
13,748
10,975
10,683
10,830
10,704
Middle East fleet:
Deepwater
11,561
10,011
10,319
10,219
10,020
Towing-supply
6,736
6,249
6,240
6,110
6,192
Total
9,490
8,160
8,217
8,238
8,213
Europe /Mediterranean fleet:
Deepwater
15,705
12,046
11,834
11,800
12,905
Total
15,776
12,124
11,917
11,890
13,005
West Africa fleet:
Deepwater
14,026
12,516
12,553
11,700
11,242
Towing-supply
12,661
12,275
12,624
13,536
14,480
Other
4,026
3,972
3,669
3,717
3,124
Total
10,721
8,834
9,052
8,562
8,521
Worldwide fleet:
Deepwater
15,522
12,878
12,840
12,355
12,589
Towing-supply
9,843
8,668
8,022
8,049
7,978
Other
4,264
4,657
4,558
4,598
4,253
Total
$
12,544
$
10,687
$
10,583
$
10,288
$
10,435
Note (A): Average Vessel Day Rates equals Vessel Revenue / Days Worked.
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
(In Thousands)
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
Americas
Vessel revenues
$
37,520
$
28,444
$
27,882
$
24,564
$
23,481
Vessel operating costs:
Crew costs
12,949
11,252
11,080
8,535
11,132
Repair and maintenance
2,866
2,627
2,487
2,951
2,192
Insurance
248
367
161
219
(30
)
Fuel, lube and supplies
2,326
2,385
2,019
2,028
1,952
Other
3,054
2,196
4,347
3,008
2,972
Total vessel operating costs
21,443
18,827
20,094
16,741
18,218
Vessel operating margin ($)
16,077
9,617
7,788
7,823
5,263
Vessel operating margin (%)
42.8
%
33.8
%
27.9
%
31.8
%
22.4
%
Americas - Select operating statistics
Average vessels - Total fleet
34
34
35
36
38
Utilization - Total fleet
73.0
%
60.7
%
59.9
%
54.5
%
51.0
%
Average vessels - Active fleet
29
27
26
25
25
Utilization - Active fleet
86.8
%
75.5
%
80.1
%
80.4
%
76.4
%
Average day rates
$
16,569
$
15,501
$
14,603
$
13,742
$
13,162
Vessels commencing drydocks
3
5
5
4
3
Deferred drydocking and survey costs - beginning balance
$
18,422
$
16,270
$
13,124
$
12,919
$
11,813
Cash paid for deferred drydocking and survey costs
3,857
5,060
6,470
4,906
2,157
Amortization of deferred drydocking and survey costs
(3,071
)
(2,908
)
(2,909
)
(2,936
)
(2,753
)
Disposals, intersegment transfers and other
—
—
(415
)
(1,765
)
1,702
Deferred drydocking and survey costs - ending balance
$
19,208
$
18,422
$
16,270
$
13,124
$
12,919
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
(In Thousands)
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
Asia Pacific
Vessel revenues
$
16,362
$
4,897
$
4,914
$
4,786
$
4,870
Vessel operating costs:
Crew costs
8,138
788
883
875
801
Repair and maintenance
945
284
342
552
268
Insurance
90
54
24
51
(10
)
Fuel, lube and supplies
1,590
105
166
211
205
Other
1,176
422
459
500
459
Total vessel operating costs
11,939
1,653
1,874
2,189
1,723
Vessel operating margin ($)
4,423
3,244
3,040
2,597
3,147
Vessel operating margin (%)
27.0
%
66.2
%
61.9
%
54.3
%
64.6
%
Asia Pacific - Select operating statistics
Average vessels - Total fleet
19
5
5
5
5
Utilization - Total fleet
67.9
%
99.2
%
100.0
%
96.1
%
100.0
%
Average vessels - Active fleet
18
5
5
5
5
Utilization - Active fleet
70.4
%
99.2
%
100.0
%
96.1
%
100.0
%
Average day rates
$
13,748
$
10,975
$
10,683
$
10,830
$
10,704
Vessels commencing drydocks
2
—
—
—
—
Deferred drydocking and survey costs - beginning balance
$
542
$
710
$
1,019
$
1,352
$
1,848
Cash paid for deferred drydocking and survey costs
1,262
—
—
—
23
Amortization of deferred drydocking and survey costs
(163
)
(168
)
(309
)
(379
)
(519
)
Disposals, intersegment transfers and other
(789
)
—
—
46
—
Deferred drydocking and survey costs - ending balance
$
852
$
542
$
710
$
1,019
$
1,352
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
(In Thousands)
Three Months Ended
June 30 ,
March 31 ,
December 31 ,
September 30 ,
June 30 ,
2022
2022
2021
2021
2021
Middle East
Vessel revenues
$
28,396
$
20,218
$
21,948
$
20,847
$
20,758
Vessel operating costs:
Crew costs
11,193
8,465
8,827
9,075
9,109
Repair and maintenance
3,429
2,124
2,804
2,392
2,364
Insurance
325
297
179
9
47
Fuel, lube and supplies
2,700
1,559
1,148
1,536
1,289
Other
2,249
2,457
2,708
2,834
2,233
Total vessel operating costs
19,896
14,902
15,666
15,846
15,042
Vessel operating margin ($)
8,500
5,316
6,282
5,001
5,716
Vessel operating margin (%)
29.9
%
26.3
%
28.6
%
24.0
%
27.5
%
Middle East - Select operating statistics
Average vessels - Total fleet
41
33
33
33
33
Utilization - Total fleet
80.8
%
82.9
%
88.0
%
83.4
%
83.4
%
Average vessels - Active fleet
41
33
32
32
32
Utilization - Active fleet
80.8
%
83.6
%
90.7
%
86.0
%
86.8
%
Average day rates
$
9,490
$
8,160
$
8,217
$
8,238
$
8,213
Vessels commencing drydocks
7
2
2
1
4
Deferred drydocking and survey costs - beginning balance
$
10,665
$
8,994
$
10,809
$
10,772
$
12,141
Cash paid for deferred drydocking and survey costs
6,362
3,855
327
2,441
1,331
Amortization of deferred drydocking and survey costs
(2,308
)
(2,184
)
(2,142
)
(2,290
)
(2,301
)
Disposals, intersegment transfers and other
261
—
—
(114
)
(399
)
Deferred drydocking and survey costs - ending balance
$
14,980
$
10,665
$
8,994
$
10,809
$
10,772
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
(In Thousands)
Three Months Ended
June 30,
March 31,
December 31,
September 30,
June 30,
2022
2022
2021
2021
2021
Europe /Mediterranean
Vessel revenues
$
32,475
$
23,919
$
22,501
$
21,197
$
22,467
Vessel operating costs:
Crew costs
12,349
12,003
11,235
10,541
10,519
Repair and maintenance
2,414
2,106
3,562
1,754
2,244
Insurance
307
309
38
208
(131
)
Fuel, lube and supplies
1,740
1,077
936
846
864
Other
2,468
2,026
1,919
1,926
1,803
Total vessel operating costs
19,278
17,521
17,690
15,275
15,299
Vessel operating margin ($)
13,197
6,398
4,811
5,922
7,168
Vessel operating margin (%)
40.6
%
26.7
%
21.4
%
27.9
%
31.9
%
Europe /Mediterranean - Select operating statistics
Average vessels - Total fleet
27
28
28
28
29
Utilization - Total fleet
82.8
%
77.8
%
72.4
%
68.3
%
64.7
%
Average vessels - Active fleet
25
24
23
21
21
Utilization - Active fleet
88.1
%
91.3
%
88.5
%
90.5
%
90.6
%
Average day rates
$
15,776
$
12,124
$
11,917
$
11,890
$
13,005
Vessels commencing drydocks
3
1
1
1
2
Deferred drydocking and survey costs - beginning balance
$
6,425
$
4,983
$
5,571
$
6,340
$
7,731
Cash paid for deferred drydocking and survey costs
4,206
2,575
93
892
162
Amortization of deferred drydocking and survey costs
(1,400
)
(1,133
)
(1,096
)
(1,316
)
(1,553
)
Disposals, intersegment transfers and other
—
—
415
(345
)
—
Deferred drydocking and survey costs - ending balance
$
9,231
$
6,425
$
4,983
$
5,571
$
6,340
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
(In Thousands)
Three Months Ended
June 30,
March 31,
December 31,
September 30,
June 30,
2022
2022
2021
2021
2021
West Africa
Vessel revenues
$
47,422
$
26,398
$
23,183
$
20,240
$
16,938
Vessel operating costs:
Crew costs
16,010
8,329
7,690
6,583
6,124
Repair and maintenance
3,823
2,320
2,307
2,848
2,466
Insurance
396
357
115
325
(13
)
Fuel, lube and supplies
3,165
1,950
2,136
2,130
2,231
Other
4,307
2,652
3,615
3,407
3,173
Total vessel operating costs
27,701
15,608
15,863
15,293
13,981
Vessel operating margin ($)
19,721
10,790
7,320
4,947
2,957
Vessel operating margin (%)
41.6
%
40.9
%
31.6
%
24.4
%
17.5
%
West Africa - Select operating statistics
Average vessels - Total fleet
67
52
52
55
57
Utilization - Total fleet
72.7
%
63.5
%
53.5
%
46.7
%
38.1
%
Average vessels - Active fleet
59
42
39
36
35
Utilization - Active fleet
82.9
%
79.1
%
71.4
%
71.3
%
61.8
%
Average day rates
$
10,721
$
8,834
$
9,052
$
8,562
$
8,521
Vessels commencing drydocks
5
3
3
3
2
Deferred drydocking and survey costs - beginning balance
$
8,308
$
9,777
$
9,987
$
8,989
$
13,115
Cash paid for deferred drydocking and survey costs
2,764
1,122
3,004
2,378
376
Amortization of deferred drydocking and survey costs
(2,210
)
(2,591
)
(3,214
)
(3,148
)
(3,199
)
Disposals, intersegment transfers and other
528
—
—
1,768
(1,303
)
Deferred drydocking and survey costs - ending balance
$
9,390
$
8,308
$
9,777
$
9,987
$
8,989
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
(In Thousands)
Three Months Ended
June 30,
March 31,
December 31,
September 30,
June 30,
2022
2022
2021
2021
2021
Worldwide
Vessel revenues
$
162,175
$
103,876
$
100,428
$
91,634
$
88,514
Vessel operating costs:
Crew costs
60,639
40,837
39,715
35,609
37,685
Repair and maintenance
13,477
9,461
11,502
10,497
9,534
Insurance
1,366
1,384
517
812
(137
)
Fuel, lube and supplies
11,521
7,076
6,405
6,751
6,541
Other
13,254
9,753
13,048
11,675
10,640
Total vessel operating costs
100,257
68,511
71,187
65,344
64,263
Vessel operating margin ($)
61,918
35,365
29,241
26,290
24,251
Vessel operating margin (%)
38.2
%
34.0
%
29.1
%
28.7
%
27.4
%
Worldwide - Select operating statistics
Average vessels - Total fleet
188
152
153
157
162
Utilization - Total fleet
75.5
%
70.9
%
67.4
%
61.7
%
57.0
%
Average vessels - Active fleet
172
131
125
119
118
Utilization - Active fleet
82.5
%
82.5
%
82.4
%
81.6
%
78.4
%
Average day rates
$
12,544
$
10,687
$
10,583
$
10,288
$
10,435
Vessels commencing drydocks
20
11
11
9
11
Deferred drydocking and survey costs - beginning balance
$
44,362
$
40,734
$
40,510
$
40,372
$
46,648
Cash paid for deferred drydocking and survey costs
18,451
12,612
9,894
10,617
4,049
Amortization of deferred drydocking and survey costs
(9,152
)
(8,984
)
(9,670
)
(10,069
)
(10,325
)
Disposals, intersegment transfers and other
—
—
—
(410
)
—
Deferred drydocking and survey costs - ending balance
$
53,661
$
44,362
$
40,734
$
40,510
$
40,372
TIDEWATER INC.
OTHER FLEET AND FINANCIAL DATA
(In Thousands)
Three Months Ended
June 30,
March 31,
December 31,
September 30,
June 30,
2022
2022
2021
2021
2021
Net loss
$
(25,014
)
$
(12,271
)
$
(38,079
)
$
(26,407
)
$
(29,647
)
Interest and other debt costs
4,284
4,175
3,417
3,681
3,944
Income tax (benefit) expense
6,619
5,218
(3,047
)
887
6,026
Depreciation
22,614
17,673
18,618
17,911
18,224
Amortization of deferred drydock and survey costs
9,152
8,984
9,670
10,069
10,325
EBITDA (A), (B), (C)
17,655
23,779
(9,421
)
6,141
8,872
Long-lived asset impairment (credit) and other
—
(500
)
13,476
2,167
—
Affiliate credit loss impairment expense (credit)
—
—
1,400
—
(1,000
)
Loss on early extinguishment of debt
—
—
11,100
—
—
Loss on warrants
14,175
—
—
—
—
Gain on bargain purchase
—
(1,300
)
—
—
—
One-time integration related costs
7,314
2,305
221
112
795
Adjusted EBITDA (A), (B), (C)
$
39,144
$
24,284
$
16,776
$
8,420
$
8,667
Note (A): EBITDA excludes interest and other debt costs, income tax expense, depreciation and amortization. Additionally, Adjusted EBITDA excludes impairment charges, loss on early extinguishment of debt, loss on warrants, gain on bargain purchase and merger and integration related costs.
Note (B): EBITDA and Adjusted EBITDA for the three months ended June 30, 2022, and for each of the prior four quarters includes non-cash, stock-based compensation expense of $1,963 , $1,458 , $1,439 , $1,523 , and $1,504 , respectively.
Note (C): EBITDA and Adjusted EBITDA for the three months ended June 30, 2022, and for each of the prior four quarters includes foreign exchange gain (losses) of $(1,881) , $946 , $582 , $(523) , and $422 , respectively.
Non-GAAP Financial Measures
We disclose and discuss EBITDA and Adjusted EBITDA as non-GAAP financial measures in our public releases, including quarterly earnings releases, investor conference calls and other filings with the Securities and Exchange Commission. We define EBITDA as earnings (net income or loss) before interest and other debt costs, income tax expense, depreciation and amortization. Additionally, Adjusted EBITDA excludes impairment charges and merger and integration related costs. Our measures of EBITDA and Adjusted EBITDA may not be comparable to similarly titled measures presented by other companies. Other companies may calculate EBITDA and Adjusted EBITDA differently than we do, which may limit its usefulness as a comparative measure.
Because EBITDA and Adjusted EBITDA are not measures of financial performance calculated in accordance with GAAP, they should not be considered in isolation or as a substitute for operating income, net income or loss, cash provided (used) in operating activities, investing and financing activities, or other income or cash flow statement data prepared in accordance with GAAP.
EBITDA and Adjusted EBITDA are widely used by investors and other users of our financial statements as a supplemental financial measure that, when viewed with our GAAP results and the accompanying reconciliations, we believe provide additional information that is useful to gain an understanding of the factors and trends affecting our ability to service debt, pay taxes and fund drydocking and survey costs and capital expenditures. We also believe the disclosure of EBITDA and Adjusted EBITDA helps investors meaningfully evaluate and compare our cash flow generating capacity from quarter-to-quarter and year-to-year.
EBITDA and Adjusted EBITDA are also financial metrics used by management (i) as a supplemental internal measure for planning and forecasting overall expectations and for evaluating actual results against such expectations; (ii) to compare to the EBITDA and Adjusted EBITDA of other companies when evaluating potential acquisitions; and (iii) to assess our ability to service existing fixed charges and incur additional indebtedness.
TIDEWATER INC.
UNAUDITED OTHER FLEET AND FINANCIAL DATA
(In Thousands)
Three Months Ended
June 30,
March 31,
December 31,
September 30,
June 30,
2022
2022
2021
2021
2021
Net cash provided by (used in) operating activities (A)
$
(21,603
)
$
(11,624
)
$
6,938
$
(2,499
)
$
4,851
Cash interest expense
7,626
—
3,664
3,055
3,282
Interest income and other
(349
)
(2,186
)
(1,426
)
(148
)
(8
)
Additions to property and equipment
(4,151
)
(1,229
)
(6,368
)
(722
)
(665
)
Acquisitions
(28,486
)
(1,039
)
—
—
—
Expansion capital
28,486
1,039
—
—
—
Free cash flow before proceeds from asset sales
(18,477
)
(15,039
)
2,808
(314
)
7,460
Proceeds from asset sales
3,535
4,628
54
4,396
18,577
Free cash flow
$
(14,942
)
$
(10,411
)
$
2,862
$
4,082
$
26,037
Free cash flow is a non-GAAP investment performance indicator which we believe provides useful information regarding the net cash generated by the Company before any payments to capital providers. Free cash flow is determined from net cash provided by (used in) operating activities adjusted for capital expenditures, excluding expansion capital, proceeds from asset sales, cash interest expense and interest income. Free cash flow is not defined by U.S. GAAP and is not a substitute for net cash provided by operating activities.
Note (A): Net cash provided by (used in) operating activities is affected by changes in our assets and liabilities and the amounts we pay in cash for our drydocks and vessel surveys as illustrated in the following table:
Three Months Ended
June 30,
March 31,
December 31,
September 30,
June 30,
2022
2022
2021
2021
2021
Cash provided by (used in) changes in assets and liabilities, excluding drydock payments
$
(27,697
)
$
(13,401
)
$
265
$
2,586
$
7,066
Cash paid for deferred drydock and survey costs
(18,451
)
(12,612
)
(9,894
)
(10,617
)
(4,049
)
Total sources (uses) of cash for changes in assets and liabilities
$
(46,148
)
$
(26,013
)
$
(9,629
)
$
(8,031
)
$
3,017
View source version on businesswire.com: https://www.businesswire.com/news/home/20220729005448/en/
Tidewater Inc.
West Gotcher
Vice President,
Finance and Investor Relations
+1.713.470.5285
Source: Tidewater Inc.