EBITDA Guidance
Q: What drove lower EBITDA guidance this year?
A: Management explained that weather impacts, production shut-ins, and deferred mobilization costs in Q3 — combined with seasonal uncertainties in Q4 — drove the lower guidance.

Free Cash Flow
Q: What free cash flow is expected next year?
A: They anticipate a rebound to around $200 million in free cash flow, supported by disciplined CapEx of about $70–$80 million and ongoing share repurchase efforts.

Well Intervention Rates
Q: What factors boost ‘25 well intervention EBITDA?
A: New contracts, including one in Brazil with 40% higher rates and a Shell deal with 20% rate improvements, along with better mobilization timing, are key drivers.

ROV Pricing
Q: How will ROV pricing trend this year?
A: Tight market conditions are expected to raise ROV and personnel rates by at least 10%, with trenching rates increasing further as demand strengthens.

Heavy Vessel Availability
Q: How open is heavy well intervention capacity next year?
A: Nearly all heavy assets are fully contracted for 2025, leaving less than 20% available, which underscores strong demand and full bookings.

Robotics Revenue Mix
Q: What split exists between renewables and oil in Robotics?
A: Renewables account for about 50% of the Robotics segment, contributing roughly 10% to overall company revenue, reflecting a balanced focus.

Shutdown Impacts
Q: What EBITDA impact comes from asset shutdowns?
A: The Droshky shutdown lasting 5–6 weeks will have a minor effect, while Thunder Hawk’s downtime could hit EBITDA by around $2 million this quarter.

Free Cash Flow Allocation
Q: How will free cash flow be deployed?
A: The plan is to reinvest for growth, continue share repurchases, and build cash reserves while remaining nimble to market cycles.

Robotics Visibility
Q: What is the outlook for Robotics operations?
A: With 6 vessels active and strong trenching contracts extending to 2028 and 2030, the Robotics segment enjoys robust visibility.

Q4000 West Africa
Q: Will the Q4000 extend longer in West Africa?
A: Although there is notable interest in extending its run, strategic balancing with Gulf of Mexico commitments means extension decisions will be carefully evaluated.

CapEx Deviation
Q: Will CapEx deviate from current forecasts?
A: CapEx is expected to remain stable within the $70–$80 million range, barring any major new growth allocations.

Market Outlook Improvement
Q: How is well intervention expected to improve for ’25?
A: Early budgeting shows a return toward typical performance levels, signaling recovery after an anomalous period in ’24.

Option Exercise Timing
Q: When will the Q4000 options be finalized?
A: The decision is expected by Q1 of next year as further contract details and demand clarity emerge.

Mobilization Days
Q: How many vessel transit days are planned in Q4?
A: The schedule anticipates around 63 days of transit and mobilization, reflecting current operational adjustments.

M&A Speculation
Q: Any comment on current M&A rumors?
A: Management refrained from commenting on M&A rumors, emphasizing a focus on strong fundamentals and strategic growth.

Shallow Water Impact
Q: Will hurricane losses in shallow water be recouped?
A: The $10 million revenue loss from hurricanes is considered a one-off event and will not be recaptured in Q4.

Deepwater Market
Q: Are there deepwater pricing concerns impacting availability?
A: While pricing pressures exist in deepwater segments, fully contracted heavy assets mitigate immediate risks.