Tidewater (TDW) Q2 2025 Earnings Call Transcript
- Author's Perspective: The opinions shared in the article are solely those of the author and do not represent Nasdaq, Inc.
- Data Limitations: The information is based on data available up to October 2023.
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Sagil Capital Fully Exits Tidewater Position, Selling 201,763 Shares
- Complete Exit: Sagil Capital fully exited its Tidewater position by selling 201,763 shares in Q4 for an estimated $10.76 million, reflecting both share price changes and a decline in position value, indicating a cautious outlook on the company's future performance.
- Stable Quarterly Performance: Tidewater reported revenue of $341.1 million in the latest quarter, essentially flat year-over-year, with adjusted EBITDA at $137.9 million; despite stable performance, Sagil's exit may suggest concerns about future growth potential.
- Strong Market Performance: As of February 11, Tidewater's stock price stood at $71.16, up 29.6% year-over-year, significantly outperforming the S&P 500's approximately 14% gain, indicating market recognition of its business, but also potentially prompting profit-taking by investors.
- Cautious Future Outlook: Although Tidewater's vessel utilization is near 76% with average day rates at $22,798, in capital-intensive industries, timing on entry and exit is crucial, and Sagil's exit may reflect a strategy to reduce risk exposure.
Tidewater sets 2026 revenue goal of $1.32B-$1.37B amid increasing capital allocation flexibility
Management Performance: Tidewater Inc. reported Q3 2025 revenue of $341.1 million, exceeding expectations, with a gross margin of 48%. The company generated strong free cash flow of $83 million, bringing the year-to-date total to nearly $275 million.
2026 Outlook: Management initiated a revenue guidance range for 2026 of $1.32 billion to $1.37 billion, with expectations of 80% utilization and a robust backlog representing 69% of the midpoint of the revenue guidance.
Financial Results: Despite a net loss of $806,000 for the quarter, the gross margin was above expectations, attributed to higher day rates and utilization. Operating costs increased due to various factors, including salaries and maintenance.
Market Sentiment: Analysts expressed a neutral to slightly positive outlook, with management maintaining a confident tone about long-term prospects while acknowledging short-term headwinds in certain regions and ongoing structural industry risks.
Tidewater Reports Loss for Third Quarter
Third-Quarter Financial Performance: Tidewater Inc. reported a third-quarter net loss of $0.8 million or $0.02 per share, a significant decline from a net income of $46.4 million or $0.87 per share in the same quarter last year.
Revenue and Gross Margin: The company's revenues for the third quarter were $341.1 million, slightly up from $340.4 million the previous year, with a gross margin of 48.0%.
CEO's Insights: CEO Quintin Kneen noted that vessel uptime exceeded expectations, although average day rates softened in certain regions, while other segments experienced meaningful increases.
Updated Revenue Guidance: Tidewater updated its 2025 revenue guidance to between $1.33 and $1.35 billion and initiated guidance for 2026 at $1.32 to $1.37 billion.
Earnings Report for November 10, 2025: After-Hours Updates on OXY, RKLB, ASTS, RGTI, SARO, WULF, BLTE, PLUG, MLYS, TDW, BBAI, JAMF
Earnings Reports Overview: Several companies, including Occidental Petroleum, Rocket Lab, and StandardAero, are set to report their earnings for the quarter ending September 30, 2025, with varying forecasts and performance expectations.
Occidental Petroleum (OXY): Expected to report earnings per share (EPS) of $0.48, a 52% decrease from last year, but has consistently beaten expectations in the past year.
Rocket Lab (RKLB) and AST SpaceMobile (ASTS): RKLB forecasts an EPS of -$0.09 (10% increase), while ASTS anticipates -$0.18 (25% increase), both showing improvements compared to the previous year.
Other Notable Companies: TeraWulf, Belite Bio, and Plug Power are also reporting, with mixed forecasts; TeraWulf expects -$0.04 (20% increase), while Belite Bio anticipates a significant decrease in EPS by 89.29%.
Tech Stocks Surge, Palantir Soars 6% as Shutdown Resolution Approaches: Market Movers for Monday
Market Recovery: Wall Street saw a rebound on Monday, with the Nasdaq 100 rising nearly 1.5% and Palantir Technologies gaining 6.2%, as investors grew optimistic about a potential end to the government shutdown following Senate progress on a reopening bill.
Commodities and Cryptocurrencies: Gold and silver prices increased due to safe-haven demand amid rising government debt, while Bitcoin edged up 0.3% to reclaim the $105,000 mark, contrasting with a 1.5% drop in Ethereum.
Major Indices Performance: The S&P 500 gained 0.8%, the Russell 2000 rose 0.7%, and the Dow Jones Industrial Average added 0.1%, reflecting a positive day for major U.S. indices.
Earnings Movers: Notable stock movements included TreeHouse Foods surging 23.3% and Organon & Co. rising 11.9%, while Centene Corporation fell 8.4%, indicating varied performance among companies reporting earnings.
Atlantic Coast Mortgage Purchases Tidewater Mortgage Services' Assets
ACM Acquires TMS: Atlantic Coast Mortgage (ACM) has acquired Tidewater Mortgage Services (TMS), enhancing ACM's client-focused lending model and expanding its reach in the Mid-Atlantic and Southeast regions.
Shared Vision and Values: The acquisition aligns with both companies' long-term goals, emphasizing a commitment to exceptional customer service, community engagement, and a strong workplace culture.
Sagil Capital Fully Exits Tidewater Position, Selling 201,763 Shares
- Complete Exit: Sagil Capital fully exited its Tidewater position by selling 201,763 shares in Q4 for an estimated $10.76 million, reflecting both share price changes and a decline in position value, indicating a cautious outlook on the company's future performance.
- Stable Quarterly Performance: Tidewater reported revenue of $341.1 million in the latest quarter, essentially flat year-over-year, with adjusted EBITDA at $137.9 million; despite stable performance, Sagil's exit may suggest concerns about future growth potential.
- Strong Market Performance: As of February 11, Tidewater's stock price stood at $71.16, up 29.6% year-over-year, significantly outperforming the S&P 500's approximately 14% gain, indicating market recognition of its business, but also potentially prompting profit-taking by investors.
- Cautious Future Outlook: Although Tidewater's vessel utilization is near 76% with average day rates at $22,798, in capital-intensive industries, timing on entry and exit is crucial, and Sagil's exit may reflect a strategy to reduce risk exposure.
Tidewater sets 2026 revenue goal of $1.32B-$1.37B amid increasing capital allocation flexibility
Management Performance: Tidewater Inc. reported Q3 2025 revenue of $341.1 million, exceeding expectations, with a gross margin of 48%. The company generated strong free cash flow of $83 million, bringing the year-to-date total to nearly $275 million.
2026 Outlook: Management initiated a revenue guidance range for 2026 of $1.32 billion to $1.37 billion, with expectations of 80% utilization and a robust backlog representing 69% of the midpoint of the revenue guidance.
Financial Results: Despite a net loss of $806,000 for the quarter, the gross margin was above expectations, attributed to higher day rates and utilization. Operating costs increased due to various factors, including salaries and maintenance.
Market Sentiment: Analysts expressed a neutral to slightly positive outlook, with management maintaining a confident tone about long-term prospects while acknowledging short-term headwinds in certain regions and ongoing structural industry risks.
Tidewater Reports Loss for Third Quarter
Third-Quarter Financial Performance: Tidewater Inc. reported a third-quarter net loss of $0.8 million or $0.02 per share, a significant decline from a net income of $46.4 million or $0.87 per share in the same quarter last year.
Revenue and Gross Margin: The company's revenues for the third quarter were $341.1 million, slightly up from $340.4 million the previous year, with a gross margin of 48.0%.
CEO's Insights: CEO Quintin Kneen noted that vessel uptime exceeded expectations, although average day rates softened in certain regions, while other segments experienced meaningful increases.
Updated Revenue Guidance: Tidewater updated its 2025 revenue guidance to between $1.33 and $1.35 billion and initiated guidance for 2026 at $1.32 to $1.37 billion.
Earnings Report for November 10, 2025: After-Hours Updates on OXY, RKLB, ASTS, RGTI, SARO, WULF, BLTE, PLUG, MLYS, TDW, BBAI, JAMF
Earnings Reports Overview: Several companies, including Occidental Petroleum, Rocket Lab, and StandardAero, are set to report their earnings for the quarter ending September 30, 2025, with varying forecasts and performance expectations.
Occidental Petroleum (OXY): Expected to report earnings per share (EPS) of $0.48, a 52% decrease from last year, but has consistently beaten expectations in the past year.
Rocket Lab (RKLB) and AST SpaceMobile (ASTS): RKLB forecasts an EPS of -$0.09 (10% increase), while ASTS anticipates -$0.18 (25% increase), both showing improvements compared to the previous year.
Other Notable Companies: TeraWulf, Belite Bio, and Plug Power are also reporting, with mixed forecasts; TeraWulf expects -$0.04 (20% increase), while Belite Bio anticipates a significant decrease in EPS by 89.29%.
Tech Stocks Surge, Palantir Soars 6% as Shutdown Resolution Approaches: Market Movers for Monday
Market Recovery: Wall Street saw a rebound on Monday, with the Nasdaq 100 rising nearly 1.5% and Palantir Technologies gaining 6.2%, as investors grew optimistic about a potential end to the government shutdown following Senate progress on a reopening bill.
Commodities and Cryptocurrencies: Gold and silver prices increased due to safe-haven demand amid rising government debt, while Bitcoin edged up 0.3% to reclaim the $105,000 mark, contrasting with a 1.5% drop in Ethereum.
Major Indices Performance: The S&P 500 gained 0.8%, the Russell 2000 rose 0.7%, and the Dow Jones Industrial Average added 0.1%, reflecting a positive day for major U.S. indices.
Earnings Movers: Notable stock movements included TreeHouse Foods surging 23.3% and Organon & Co. rising 11.9%, while Centene Corporation fell 8.4%, indicating varied performance among companies reporting earnings.
Atlantic Coast Mortgage Purchases Tidewater Mortgage Services' Assets
ACM Acquires TMS: Atlantic Coast Mortgage (ACM) has acquired Tidewater Mortgage Services (TMS), enhancing ACM's client-focused lending model and expanding its reach in the Mid-Atlantic and Southeast regions.
Shared Vision and Values: The acquisition aligns with both companies' long-term goals, emphasizing a commitment to exceptional customer service, community engagement, and a strong workplace culture.
