NYSE$VAL
Valaris Limited · Q2 2022 earnings
Q2 2022 earnings · · Investor relations
Briefing
Reported increased revenues and net income due to a contract termination fee and higher utilization and day rates.
Valaris reported a net income of $113 million, a significant increase from the previous quarter's net loss. Revenues also saw a substantial rise, driven by a contract termination fee and improved fleet utilization and day rates.
- Achieved 97% revenue efficiency in Q2 2022.
- Completed four floater reactivation projects ahead of multi-year contracts.
- Added approximately $560 million to contract backlog.
- Secured a 540-day contract for stacked drillship VALARIS DS-17 offshore Brazil.
Headline financials
Revenue & EPS history
Valaris · Revenue · Quarterly
$413M
Revenue by segment
Valaris · $413M total across 3 segments · Q2 2022
- Floaters$188M+176.2%45.5%
- Jackups$186M-1.3%45.0%
- Other$39.4M+7.4%9.5%
Forward guidance
The fundamental outlook for the industry remains constructive, with spot Brent crude prices above $100 per barrel for most of the past five months and two-year and five-year forward prices above $80 per barrel and $70 per barrel, respectively.
Tailwinds
- Increase in both contracting and tendering activity across both floater and jackup markets.
- Awarded new contracts and extensions with associated contract backlog of approximately $560 million.
- New contracts awarded at leading-edge rates for their respective markets.
- Secured contract for one of preservation stacked drillships, VALARIS DS-17.
- Expect Brazil to be a significant growth market for high-specification floaters over the next several years.
Headwinds
- COVID-19 outbreak and global pandemic may impact ability to staff rigs and rotate crews.
- Cancellation, suspension, renegotiation or termination of drilling contracts and programs.
- Potential additional asset impairments.
- Failure to satisfy debt obligations.
- Commodity price fluctuations and volatility, customer demand, new rig supply, downtime and other risks associated with offshore rig operations.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 19 quarterly earnings reports · overlaid with Q2 2022
+0.2%
Avg return
Earnings day
-3.1%
Avg return
5 days after
+0.6%
Avg return
30 days after
55%
11 / 20 earnings
Positive
+11.9%
Q1 2022
Best reaction
-9.0%
Q4 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q2 2025 | — | — | — | |
| Q1 2026 | +0.0% | -7.2% | -9.3% | |
| Q4 2025 | +3.3% | +1.8% | +0.0% | |
| Q3 2025 | +2.3% | -3.1% | -0.1% | |
| Q1 2025 | +3.5% | -24.7% | -9.4% | |
| Q4 2024 | -4.4% | -8.7% | -11.5% | |
| Q3 2024 | +4.3% | +2.5% | -4.8% | |
| Q2 2024 | -4.9% | -17.1% | -21.1% | |
| Q1 2024 | -0.0% | +8.8% | +19.0% | |
| Q4 2023 | +8.8% | +5.1% | +16.7% | |
| Q3 2023 | -5.4% | -0.8% | -6.0% | |
| Q2 2023 | -2.4% | -0.7% | -1.9% | |
| Q1 2023 | -5.2% | -4.9% | -3.8% | |
| Q4 2022 | -9.0% | -11.6% | -15.2% | |
| Q3 2022 | -3.2% | -3.7% | +1.6% | |
| Q2 2022 | +1.5% | -4.1% | +1.6% | |
| Q1 2022 | +11.9% | +12.8% | +21.8% | |
| Q4 2021 | +0.1% | -1.4% | +25.1% | |
| Q3 2021 | +1.2% | -0.9% | -13.9% | |
| Q4 2020 | -0.0% | -1.0% | +14.9% | |
| Q2 2021 | +1.1% | -4.1% | +8.5% | |
| Q1 2021 | — | — | — | |
| Q1 2020 | — | — | — | |
| Q4 2019 | — | — | — | |
| Q3 2019 | — | — | — | |
| Q2 2019 | — | — | — | |
| Q1 2019 | — | — | — | |
| Q4 2018 | — | — | — | |
| Q3 2018 | — | — | — | |
| Q2 2018 | — | — | — | |
| Q1 2018 | — | — | — | |
| Q4 2017 | — | — | — | |
| Q3 2017 | — | — | — | |
| Q2 2017 | — | — | — | |
| Q1 2017 | — | — | — | |
| Q4 2016 | — | — | — | |
| Q3 2016 | — | — | — | |
| Q2 2016 | — | — | — | |
| Q1 2016 | — | — | — | |
| Q4 2015 | — | — | — | |
| Q3 2015 | — | — | — | |
| Q2 2015 | — | — | — | |
| Q1 2015 | — | — | — | |
| Q4 2014 | — | — | — | |
| Q3 2014 | — | — | — | |
| Q2 2014 | — | — | — | |
| Q1 2014 | — | — | — | |
| Q4 2013 | — | — | — | |
| Q3 2013 | — | — | — | |
| Q2 2013 | — | — | — | |
| Q1 2013 | — | — | — | |
| Q4 2012 | — | — | — | |
| Q3 2012 | — | — | — | |
| Q2 2012 | — | — | — | |
| Q1 2012 | — | — | — | |
| Q4 2011 | — | — | — | |
| Q3 2011 | — | — | — | |
| Q4 2010 | — | — | — | |
| Q2 2011 | — | — | — | |
| Q1 2011 | — | — | — | |
| Q3 2010 | — | — | — | |
| Q2 2010 | — | — | — | |
| Q4 2007 | — | — | — | |
| Q1 2009 | — | — | — | |
| Q1 2010 | — | — | — | |
| Q4 2009 | — | — | — | |
| Q3 2008 | — | — | — | |
| Q3 2009 | — | — | — | |
| Q4 2008 | — | — | — | |
| Q2 2008 | — | — | — | |
| Q2 2009 | — | — | — |
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