NYSE$HLX

Helix Energy Solutions Group Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Helix reported a net loss for Q3 2021, but operating results held steady due to seasonal strength in the North Sea and renewables site clearance activity.

Helix Energy Solutions Group reported a net loss of $19.0 million, or $(0.13) per diluted share, for the third quarter 2021. The company's operating results benefitted from seasonally stronger summer activity in the North Sea and continued renewables site clearance activity. Helix reduced its debt with the repayment of its Term Loan and executed a new long-term revolving credit facility.

  • Net loss was $19.0 million, or $(0.13) per diluted share.
  • Adjusted EBITDA was $26.5 million.
  • The company reduced debt by repaying its Term Loan and securing a new revolving credit facility.
  • Helix achieved zero net debt and ended the quarter in a negative net debt position.

Headline financials

Total Revenue

$181M

Previous: $193M-6.6%
EPS (adj)

-$0.13

Previous: $0.16-181.3%
ROV and Trencher Utilization

43.0%

Previous: 37.0%+16.2%
Free Cash Flow

-$19M

Previous: $24.5M-177.7%
Net Income

-$19M

Previous: $24.5M-177.7%
Operating Income

-$10.3M

Previous: $19M-154.3%
Gross Profit

$3M

Previous: $34.6M-91.3%
Cash & Equivalents

$238M

Previous: $259M-8.4%
Total Assets

$2.35B

Previous: $2.51B-6.3%
Stock-Based Comp

$1.88M

Previous: $2.15M-12.4%

Revenue & EPS history

Helix · Revenue · Quarterly

$181M

Q3 2021-6.6%vs Q3 2020
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Helix · $192M total across 3 segments · Q3 2021

  • Well Intervention
    $131M-6.7%
  • Robotics
    $42.6M-14.4%
  • Production Facilities
    $18.6M+31.0%

Forward guidance

Helix expects to maintain minimal net financial leverage in the near term as they prepare for increasing activity offshore and anticipate seeing benefits mid-2022 and beyond as the macro environment and energy sector continue to improve and stabilize.

Tailwinds

  • Seasonally stronger summer activity in the North Sea.
  • Continued renewables site clearance activity.
  • Reduced debt with the repayment of our Term Loan.
  • Executed with our bank group a new long-term revolving credit facility that we expect will provide us working capital liquidity and manageable financial covenants.
  • Achieved zero net debt and ended the quarter in a negative net debt position.

Headwinds

  • Vessels primarily in the spot market with limited visibility.
  • The recent strengthening in oil prices is a promising sign, but its impact on our operations has lagged, particularly in the North Sea.
  • Net loss of $19.0 million.
  • Decrease in operating cash flows quarter over quarter was primarily due to increases in working capital outflows.
  • Other expense, net includes unrealized foreign currency losses related to the British pound, which weakened approximately 3% during the third quarter 2021.

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 Q3 2021

Historical avgQ3 2021

+1.9%

Avg return

Earnings day

+2.3%

Avg return

5 days after

+1.9%

Avg return

30 days after

52%

36 / 69 earnings

Positive

+25.2%

Q4 2015

Best reaction

-18.5%

Q2 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.0%+4.1%+3.8%
Q4 2025+15.1%+1.3%+11.1%
Q3 2025+4.7%+1.5%-3.0%
Q2 2025-0.3%-0.7%+8.4%
Q1 2025-0.5%-6.2%-7.1%
Q4 2024+9.6%+9.8%+8.8%
Q3 2024-4.7%-2.8%+17.0%
Q2 2024-1.4%-10.1%-13.1%
Q1 2024+1.3%+0.1%+0.4%
Q4 2023-10.3%-5.8%+6.5%
Q3 2023+0.4%-4.9%-11.6%
Q2 2023+10.2%+12.5%+10.2%
Q1 2023-5.9%-5.4%-11.0%
Q4 2022+12.1%+7.7%-2.6%
Q3 2022+9.3%+37.1%+32.7%
Q2 2022+21.8%+54.8%+67.4%
Q1 2022-11.6%-14.7%-5.6%
Q4 2021-3.7%-4.2%+16.5%
Q3 2021-3.3%-2.4%-23.1%
Q2 2021-5.9%-5.9%-14.1%
Q1 2021-6.3%-4.0%+11.2%
Q4 2020-3.8%-1.0%-0.4%
Q3 2020+1.9%-4.5%+23.7%
Q2 2020+23.7%+13.5%-8.7%
Q1 2020+8.4%+3.2%+66.5%
Q4 2019-13.5%-18.7%-74.1%
Q3 2019+11.6%+12.0%+1.1%
Q2 2019-0.9%+0.5%-18.9%
Q1 2019+2.4%-5.8%-12.9%
Q4 2018-7.2%+0.0%+8.4%
Q3 2018-3.5%-17.7%-23.9%
Q2 2018+3.2%+14.1%+5.2%
Q1 2018+8.6%+21.1%+20.2%
Q4 2017-9.5%-5.2%-12.8%
Q3 2017-8.4%-10.1%-11.7%
Q2 2017+7.0%+12.8%+7.9%
Q1 2017-14.5%-13.7%-17.8%
Q4 2016+14.7%+9.2%-4.0%
Q3 2016+4.1%+5.8%+3.7%
Q2 2016+14.3%+15.9%+23.4%
Q1 2016+17.0%
Q4 2015+25.2%
Q3 2015+23.4%
Q2 2015-18.5%
Q1 2015+3.0%
Q4 2014-12.9%
Q3 2014+9.3%
Q2 2014+8.7%
Q1 2014+2.1%
Q4 2013+2.3%
Q3 2013-2.7%
Q2 2013-0.4%
Q1 2013+1.1%
Q4 2012-6.2%
Q3 2012-8.6%
Q2 2012-6.1%
Q1 2012+6.7%
Q4 2011+3.5%
Q3 2011+7.6%
Q2 2011-5.2%
Q1 2010-1.4%
Q1 2011+0.8%
Q4 2008+8.5%
Q4 2010+8.5%
Q3 2010-3.1%
Q3 2009-3.1%
Q2 2010-0.7%
Q4 2009-0.7%
Q2 2009-0.7%

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