NYSE$CVEO

Civeo Corp · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Reported financial results in line with expectations, operating safely and effectively.

Civeo reported Q2 2023 revenues of $178.8 million and net income of $4.5 million, with solid free cash flow used to repurchase shares and reduce debt. The Australian segment experienced significant year-over-year growth, driven by increased integrated services revenue and village revenue, offsetting lower Canadian lodge occupancy and mobile camp activity.

  • Reported revenues of $178.8 million, net income of $4.5 million, and operating cash flow of $19.4 million.
  • Delivered Adjusted EBITDA of $31.6 million and free cash flow of $12.9 million.
  • Recorded highest quarterly occupancy in Australian owned-villages since 2014.
  • Reduced debt and continued share repurchases.

Headline financials

Total Revenue

$179M

Previous: $185M-3.3%
EPS (adj)

$0.30

Previous: $0.54-44.4%
Net Leverage Ratio

1.2

No prior period
Adjusted EBITDA

$31.6M

Previous: $37.1M-14.8%
Capital Expenditures

-$6.95M

Previous: -$5.06M-37.4%
Free Cash Flow

-$2.48M

Previous: $4.51M-155.0%
Net Income

$4.46M

Previous: $9.57M-53.4%
Operating Income

$10.2M

Previous: $14.2M-28.6%
Gross Profit

$47.4M

Previous: $54.9M-13.6%
Cash & Equivalents

$11.4M

Previous: $4.78M+138.8%
Total Assets

$559M

Previous: $637M-12.3%

Revenue & EPS history

Civeo · Revenue · Quarterly

$179M

Q2 2023-3.3%vs Q2 2022
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Civeo · $178M total across 2 segments · Q2 2023

  • Canada
    $95.5M-12.4%
  • Australia
    $82.5M+21.6%

Forward guidance

Civeo is increasing the lower end of its previously provided revenue and Adjusted EBITDA guidance ranges for the full year 2023. The revised revenue and Adjusted EBITDA guidance ranges are $640 million to $650 million and $90 million to $95 million, respectively. The Company is decreasing full year 2023 capital expenditure guidance to a range of $35 million to $40 million.

Tailwinds

  • Revised revenue guidance range: $640 million to $650 million.
  • Revised Adjusted EBITDA guidance range: $90 million to $95 million.
  • Decreased capital expenditure guidance range: $35 million to $40 million.
  • Customer-funded infrastructure upgrades will not impact 2023 free cash flow guidance.
  • Company made progress mitigating inflationary pressures in its Western Australian integrated services business and evaluating commercial alternatives for its Canadian McClelland Lake lodge assets.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2023

Historical avgQ2 2023

+0.4%

Avg return

Earnings day

-0.9%

Avg return

5 days after

+0.0%

Avg return

30 days after

49%

26 / 53 earnings

Positive

+54.8%

Q2 2020

Best reaction

-30.4%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.2%-2.8%+5.6%
Q3 2025+1.4%-3.1%-2.1%
Q2 2025-4.4%-3.1%-2.4%
Q1 2025+0.6%+0.5%+10.6%
Q4 2024-18.4%-19.5%-15.3%
Q3 2024-6.7%-10.2%-15.0%
Q2 2024+8.1%+7.8%+11.9%
Q1 2024-10.7%-6.8%-6.4%
Q4 2023+4.2%+5.1%+19.4%
Q3 2023+3.2%+9.8%+22.3%
Q2 2023+3.9%-2.6%-1.1%
Q1 2023+4.8%+4.6%+8.1%
Q4 2022-30.4%-25.3%-34.7%
Q3 2022+4.6%+1.5%-2.3%
Q2 2022-4.3%-3.0%+3.3%
Q1 2022+11.7%+9.3%+12.2%
Q4 2021-2.9%+5.0%+9.8%
Q3 2021+2.2%+1.9%-1.0%
Q2 2021+5.3%+3.5%-0.7%
Q1 2021+1.5%-0.1%-5.7%
Q4 2020-6.6%-9.2%-15.4%
Q3 2020+16.6%+14.2%+106.7%
Q2 2020+54.8%+43.9%+57.9%
Q1 2020+12.0%+4.1%+23.8%
Q4 2019-11.4%-17.4%-69.0%
Q3 2019+14.7%+6.9%-10.7%
Q2 2019-0.6%-3.0%-16.3%
Q1 2019-6.8%-13.7%-31.5%
Q4 2018+5.5%-1.2%-17.0%
Q3 2018-6.6%-10.3%-37.6%
Q2 2018-4.3%-9.6%-5.1%
Q1 2018-13.0%-17.7%-8.1%
Q4 2017+13.7%+10.6%+21.3%
Q3 2017-13.7%-7.9%-11.5%
Q2 2017-12.3%-16.4%-17.7%
Q1 2017-7.7%-12.3%-33.6%
Q4 2016+2.8%+7.7%-17.8%
Q3 2016+7.1%+25.0%+69.6%
Q2 2016+0.7%+0.7%-4.4%
Q1 2016+11.0%
Q4 2015+7.4%
Q3 2015+16.7%
Q2 2015+15.1%
Q1 2015+22.3%
Q4 2012-22.4%
Q4 2014-14.9%
Q3 2013-5.3%
Q3 2014-5.3%
Q2 2014-4.8%
Q2 2013-2.3%
Q4 2013-3.7%
Q1 2013-3.7%
Q1 2014-5.7%

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