NYSE$SDRL

Seadrill Ltd · Q4 2025 earnings

Q4 2025 earnings · · After market close

Briefing

Seadrill Ltd Q4 2025 Earnings Report

Seadrill reported a net loss of $10 million for the fourth quarter of 2025, with total operating revenues of $362 million. Despite the net loss, the company achieved an Adjusted EBITDA of $88 million and significantly strengthened its contract backlog to $2.5 billion through several new awards and extensions in key deepwater markets.

  • Secured $0.5 billion in new contract awards during the quarter, bringing total backlog to $2.5 billion.
  • Reported Adjusted EBITDA of $88 million with an improved margin of 25.4% excluding reimbursables.
  • Maintained a strong liquidity position with $365 million in cash and cash equivalents at year-end.
  • Announced positive 2026 guidance with expected total operating revenues between $1.40 billion and $1.45 billion.

Headline financials

Total Revenue

$362M

No prior period
EPS (adj)

-$0.16

No prior period
Adjusted EBITDA

$88M

No prior period
Contract Backlog

$2.5B

No prior period
Economic Utilization

91.0%

No prior period
Avg Contractual Dayrate

$319K

No prior period
Net Income

-$10M

No prior period
Operating Income

-$3M

No prior period

Revenue & EPS history

Seadrill Ltd · Revenue · Quarterly

$362M

Q4 2025
Beat estimate in 2 of 2 quarters(100%)
ActualEstimate

Forward guidance

Seadrill provided full year 2026 guidance reflecting a position of strength and increasing multi-year visibility.

Tailwinds

  • Total operating revenues expected between $1.40 billion and $1.45 billion.
  • Adjusted EBITDA projected between $350 million and $400 million.
  • Tightening supply in deepwater rig markets supporting higher dayrates.
  • Repricing of legacy contracts expected to drive growth.
  • Strong foundation laid for an even more robust 2027.

Headwinds

  • Capital expenditure and maintenance spend expected to be $200 million to $240 million.
  • Exclusion of $50 million in reimbursable revenues from top-line guidance.
  • Potential for continued net losses as seen in the 2025 fiscal year.
  • Ongoing impact of depreciation and amortization on GAAP profitability.
  • Exposure to international financial market conditions and inflation.

Historical earnings impact

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

Avg. return before/after earnings

Based on 4 quarterly earnings reports · overlaid with Q4 2025

Historical avgQ4 2025

-1.9%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+8.0%

Avg return

30 days after

40%

2 / 5 earnings

Positive

+3.3%

Q1 2026

Best reaction

-6.1%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.3%+8.9%
Q4 2025-4.3%-5.1%+0.4%
Q3 2025-6.1%+0.3%+3.6%
Q2 2025-5.0%-2.7%+10.5%
Q1 2025+2.5%+1.2%+17.3%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro