Oceaneering beats Q2 revenue estimates on Offshore Projects strength, raises FY adj EBITDA guidance

Overview

• Offshore robotics and services firm's Q2 revenue rose 10%, beating analyst expectations

• Q2 adjusted EBITDA rose 11% and beat analyst expectations

• Company says Offshore Projects Group drove results; IMDS segment impacted by Middle East conflict

Outlook

• Oceaneering raises full-year 2026 adj EBITDA guidance to $400 mln-$440 mln

• Company sees Q3 2026 EBITDA between $115 mln and $125 mln

• IMDS operating income margin expected in low-single-digit percentage for full-year 2026

Result Drivers

• OFFSHORE PROJECTS GROUP - OPG segment outperformed, with favorable project mix and operational execution driving higher revenue and profitability

• SUBSEA ROBOTICS - Higher ROV revenue per day and increased survey activity contributed to SSR revenue growth, despite slightly lower fleet utilization

• MANUFACTURED PRODUCTS - Improved profitability in umbilicals business and mobility solutions drove higher operating income and margin expansion

Company press release: ID:nBw4WcDmka

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the oil related services and equipment peer group is "buy."

• Wall Street's median 12-month price target for Oceaneering International Inc is $37.50, about 16% below its July 21 closing price of $44.65

• The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 19 three months ago

Reuters Recommended Reads

• July 22 - Saipem, Subsea 7 deal may lead to price hikes, EU antitrust regulators warn

• July 21 - Halliburton tumbles on tepid revenue forecast, Middle East recovery warning

• July 22 - Teledyne lifts annual profit forecast, tops quarterly results estimates

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)