NYSE$OII

Oceaneering International · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Oceaneering's Q1 2023 results exceeded expectations, driven by revenue increases in Manufactured Products and IMDS segments, offsetting a seasonal decline in OPG. The company maintains its full-year adjusted EBITDA guidance.

Oceaneering reported net income of $4.1 million, or $0.04 per share, on revenue of $537 million for Q1 2023. The results came in higher than guided, on better-than-expected revenue. The company is maintaining its original adjusted EBITDA guidance range for the year.

  • Net income was $4.1 million and consolidated adjusted EBITDA was $55 million.
  • Consolidated operating income was $27 million.
  • Cash position decreased by $64 million, from $569 million to $505 million.
  • First quarter 2023 revenue was up more than 20% as compared to first quarter 2022.

Headline financials

Total Revenue

$537M

Previous: $446M+20.4%
EPS (adj)

$0.05

Previous: -$0.06+183.3%
Adjusted EBITDA

$55M

Previous: $31.5M+74.7%
Capital Expenditures

-$18.3M

Previous: -$19.3M+5.2%
Free Cash Flow

-$14.2M

Previous: -$38.5M+63.0%
Net Income

$4.06M

Previous: -$19.2M+121.1%
Operating Income

$26.8M

Previous: -$1.04M+2674.6%
Gross Profit

$77.6M

Previous: $45.5M+70.5%
Cash & Equivalents

$505M

Previous: $438M+15.3%
Total Assets

$2.04B

Previous: $1.9B+7.4%
Stock-Based Comp

$3.33M

Previous: $2.57M+29.3%

Revenue & EPS history

Oceaneering · Revenue · Quarterly

$537M

Q1 2023+20.4%vs Q1 2022
Beat estimate in 6 of 14 quarters(43%)
ActualEstimate

Revenue by segment

Oceaneering · $537M total across 5 segments · Q1 2023

  • Subsea Robotics
    $169M+32.2%
  • Manufactured Products
    $113M+36.6%
  • Offshore Projects Group
    $104M+7.1%
  • Aerospace and Defense Technologies
    $90.5M+11.0%
  • Integrity Management & Digital Solutions
    $60.1M+6.2%

Forward guidance

Oceaneering anticipates significantly higher activity levels and operating profitability improvement in its OPG, SSR, and ADTech segments for the second quarter of 2023. Unallocated Expenses are forecast to be in the mid- to high-$30 million range. The company affirms its forecast for full-year 2023 adjusted EBITDA in the range of $260 million to $310 million and free cash flow in the range of $75 million to $125 million.

Tailwinds

  • Significantly higher activity levels and operating profitability improvement in OPG segment.
  • Higher activity levels and significant operating profitability improvement in SSR segment.
  • Higher activity levels and significant operating profitability improvement in ADTech segment.
  • Higher activity levels and lower operating profitability in Manufactured Products segment.
  • Relatively flat activity levels and operating profitability in IMDS business.

Headwinds

  • Cash tax payments are expected to be in the range of $60 million to $65 million.
  • Organic capital expenditures to total between $90 million and $110 million.
  • Unallocated Expenses are expected to average in the mid- to high-$30 million range per quarter for the remainder of 2023.
  • Manufactured Products segment is expected to have lower operating profitability.
  • IMDS business is expected to have relatively flat activity levels and operating profitability.

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 Q1 2023

Historical avgQ1 2023

-0.4%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+0.3%

Avg return

30 days after

49%

34 / 69 earnings

Positive

+22.5%

Q3 2022

Best reaction

-20.6%

Q3 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.3%-2.4%+0.7%
Q4 2025+9.2%+17.3%+5.7%
Q3 2025-3.6%-6.1%-2.2%
Q2 2025+0.2%+0.9%+8.6%
Q1 2025+3.8%+7.1%+10.0%
Q4 2024-4.1%-11.8%-14.6%
Q3 2024+3.2%+4.3%+25.8%
Q2 2024+10.5%+10.9%+2.4%
Q1 2024+5.8%+5.0%+0.2%
Q4 2023+0.2%-2.5%+3.3%
Q3 2023-10.9%-9.1%-15.7%
Q2 2023-10.9%-5.1%-9.3%
Q1 2023+0.9%+0.8%-4.4%
Q4 2022+6.9%+12.9%-12.5%
Q3 2022+22.5%+31.0%+39.0%
Q2 2022-4.3%-2.2%-11.1%
Q1 2022-8.2%-11.3%-0.3%
Q4 2021-3.3%-4.1%+10.9%
Q3 2021-9.6%-11.1%-28.9%
Q2 2021+6.5%-0.2%-2.1%
Q1 2021+5.4%+6.1%+35.0%
Q4 2020+13.7%+26.3%+15.5%
Q3 2020-0.3%+9.6%+74.1%
Q2 2020-1.0%-4.0%-5.2%
Q1 2020-2.3%+18.0%+43.2%
Q4 2019-14.3%-18.7%-69.9%
Q3 2019+1.2%+6.4%-4.1%
Q2 2019-17.1%-20.6%-33.5%
Q1 2019+11.4%+11.1%-1.9%
Q4 2018+5.6%+9.1%+3.6%
Q3 2018-14.1%-20.9%-25.8%
Q2 2018-2.0%+2.6%+3.7%
Q1 2018+1.9%+3.1%+11.2%
Q4 2017+6.5%+0.0%+3.3%
Q3 2017-20.6%-19.1%-22.0%
Q2 2017+0.9%+4.1%-9.6%
Q1 2017+0.2%-1.4%-6.1%
Q4 2016-0.3%+1.8%-3.2%
Q3 2016-6.0%-5.3%+1.1%
Q2 2016-4.6%-8.6%-2.1%
Q1 2016-7.5%
Q4 2015-6.3%
Q3 2015-3.5%
Q2 2015-2.7%
Q1 2015+0.8%
Q4 2014-8.9%
Q3 2014+2.7%
Q2 2014-3.7%
Q1 2014+3.4%
Q4 2013+0.6%
Q3 2013+3.3%
Q2 2013+3.0%
Q1 2013+9.8%
Q4 2012+2.9%
Q3 2012-0.2%
Q2 2012+1.7%
Q1 2012-0.5%
Q4 2010-2.7%
Q4 2011-2.7%
Q3 2011+7.5%
Q2 2011-8.9%
Q1 2010-2.1%
Q1 2011+2.7%
Q4 2008+7.4%
Q3 2009+1.3%
Q3 2010+1.3%
Q4 2009-1.4%
Q2 2009-1.4%
Q2 2010-1.4%

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