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SM

SEACOR Marine Holdings Inc. (SMHI)·Q2 2025 Earnings Summary

Executive Summary

  • Q2 2025 revenue was $60.8M, operating income $6.1M, and net loss $(6.7)M or $(0.26) per share; average day rate rose to $19,731 with utilization at 68% .
  • Revenue missed Wall Street consensus by ~$8.5M ($60.8M vs $69.3M*) while EPS was roughly in-line (−$0.26 vs −$0.27*); mix shift and heavy repair/drydock activity weighed on DVP margin (18.6% vs 29.1% YoY) .
  • Strategic actions: sold two PSVs and one FSV for $33.4M, realized a $19.1M gain; used ~$12.9M to repurchase ~9.1% equivalent of shares and warrants from Carlyle; remaining proceeds held as restricted cash for PSV newbuilds .
  • Management highlighted PSV strength (30.3% DVP margin) and Middle East liftboat repairs slated to complete by September 2025; U.S. liftboats improved while three FSVs will be redeployed internationally in Q3–Q4 2025 .
  • Financing context: Blue Ocean (EnTrust) completed a $391M secured debt deal with SMHI in late 2024, simplifying maturities and supporting two PSV newbuilds (deliveries planned Q4 2026 and Q1 2027) .

Note: *Values retrieved from S&P Global.

What Went Well and What Went Wrong

What Went Well

  • PSV performance: average rates and utilization improved; PSV DVP margin reached 30.3% despite two premium PSVs being out for repairs, including a hybrid power management upgrade .
  • Execution on asset rotation: sold two PSVs and one FSV for $33.4M at “compelling values,” capturing a $19.1M gain to fund buyback and PSV newbuild milestones .
  • U.S. liftboat rates/utilization improved; CEO expects redeployment of three U.S. FSVs to international markets in Q3–Q4 2025 .

What Went Wrong

  • Revenue down 13.0% YoY to $60.8M and DVP margin compressed to 18.6% due to $9.2M in drydocking/major repairs (vs $8.5M YoY; $5.2M sequential) .
  • Middle East headwind: a premium liftboat was under repair “almost the entire quarter,” driving region DVP to a $(1.3)M loss (vs $5.1M in Q1 2025 and $4.7M in Q2 2024) .
  • Revenue missed consensus by ~$8.5M* and DVP fell sequentially despite higher utilization, reflecting repair intensity and asset transitions (EPS near in-line) .

Note: *Values retrieved from S&P Global.

Financial Results

MetricQ2 2024Q1 2025Q2 2025
Revenue ($USD Millions)$69.9 $55.5 $60.8
Operating Income ($USD Millions)$(3.9) $(5.3) $6.1
Net Loss ($USD Millions)$(12.5) $(15.5) $(6.7)
Diluted EPS ($USD)$(0.45) $(0.56) $(0.26)
Direct Vessel Profit (DVP) ($USD Millions)$20.3 $13.6 $11.3
Average Day Rate ($USD)$19,141 $18,825 $19,731
Utilization (%)69% 60% 68%
DVP Margin (%)29.1% 24.5% 18.6%
Drydocking & Major Repairs ($USD Millions)$8.5 $5.2 $9.2
MetricActual Q2 2025Consensus Q2 2025Beat/Miss
Revenue ($USD)$60,810,000 $69,346,000*Miss (~$8.5M, ~12%)*
EPS ($USD)$(0.26) $(0.27)*In-line/Small Beat (+$0.01)*

Note: *Values retrieved from S&P Global.

Segment breakdown (Operating Revenues and DVP):

SegmentQ2 2024 Revenue ($M)Q1 2025 Revenue ($M)Q2 2025 Revenue ($M)Q2 2024 DVP ($M)Q1 2025 DVP ($M)Q2 2025 DVP ($M)
United States$8.18 $7.00 $13.38 $(4.59) $(3.90) $(1.82)
Africa & Europe$28.08 $21.69 $25.34 $13.93 $6.30 $9.31
Middle East & Asia$18.69 $16.00 $12.80 $4.72 $5.07 $(1.29)
Latin America$14.92 $10.81 $9.29 $6.29 $6.10 $5.11

KPIs:

KPIQ2 2024Q1 2025Q2 2025
Fleet Available Days4,994 4,583 4,310
Time Charter Revenue ($USD Millions)$65.6 $51.9 $57.7
Bareboat Charter ($USD Millions)$0.36 $0.71 $0.84
Other Marine Services ($USD Millions)$3.85 $2.86 $2.30

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Premium liftboat repair completion (Middle East)Q3 2025Not specifiedExpected return to service in September 2025 New timeline provided
Redeployment of three U.S. FSVsQ3–Q4 2025FSVs laid up in U.S.Anticipate redeployment to international markets in Q3–Q4 2025 Action planned
PSV newbuild deliveriesQ4 2026; Q1 2027Orders announced Q4 2024Deliveries scheduled Q4 2026 and Q1 2027 (unchanged) Maintained
Financial guidance (revenue/margins)N/ANone providedNone providedN/A

Earnings Call Themes & Trends

TopicPrevious Mentions (Q4 2024)Previous Mentions (Q1 2025)Current Period (Q2 2025)Trend
Asset rotation/repositioningExited AHTS; ordered modern PSVs; refinancing to simplify capital structure Seasonally low quarter used for maintenance and repositioning; modern fleet focus Continued rotation; sold PSVs/FSV at compelling values; targeting lower-volatility assets Ongoing execution
Regional demandSoftness in North Sea; delays in Mexico/U.S.; healthy inquiries elsewhere Healthy tendering in South America, West Africa, Middle East; reduced North Sea exposure Middle East activity healthy; added FSV; liftboat repairs impacted quarter Mixed: improving ex-North Sea/Mexico
U.S. market (wind/decommissioning)Near-term offshore wind challenges; decommissioning backlog supportive Monitoring U.S. decommissioning; seasonality to help U.S. liftboats improved; FSV redeployment planned Gradual improvement
Operational repairs/drydockingFewer out-of-service days drove Q4 improvement $5.2M drydock/repairs; seasonally concentrated $9.2M repairs; Middle East liftboat down; PSV hybrid upgrade Elevated in Q2, easing post-repair
Capital structure/buybacks$391M refinancing; addressed 2026 maturities and dilution overhang Announced $12.9M buyback of shares/warrants from Carlyle Buyback funded with asset sales; restricted cash for PSV milestones Balance sheet positioning

Management Commentary

  • “Our PSV fleet saw substantial improvement on average rates and utilization, achieving a 30.3% DVP margin… PSVs contributed greatly to our results in Latin America and West Africa, as well as in the Middle East…” .
  • “In the Middle East, the results were largely affected by repairs to one of our premium liftboats… with the liftboat expected to return to service in September 2025.” .
  • “In the U.S., we saw a noticeable improvement driven mostly by higher day rates and utilization for our liftboats… We anticipate redeploying these FSVs to international markets during the third and fourth quarter of 2025.” .
  • “We repurchased shares and warrants representing 9.1%… from Carlyle… to simplify our capital structure by eliminating all outstanding warrants.” .
  • “We will continue to adapt and reposition SEACOR Marine into markets and assets with lower volatility and better returns… ahead of our new PSV deliveries in 2026 and 2027.” .

Q&A Highlights

  • A public Q2 2025 earnings call transcript was not available in our document catalog; therefore, Q&A specifics and any live guidance clarifications are unavailable [ListDocuments returned none].
  • Commentary herein is based on the Q2 press release and associated 8-K, plus prior quarter disclosures .

Estimates Context

  • Q2 2025 results vs consensus: Revenue $60.8M vs $69.3M* (Miss ~12%), EPS −$0.26 vs −$0.27* (In-line/Small Beat). One estimate was recorded for both metrics for the quarter*.
MetricActual Q2 2025Consensus Q2 2025# of Estimates
Revenue ($USD)$60,810,000 $69,346,000*1*
Primary EPS ($USD)$(0.26) $(0.27)*1*

Note: *Values retrieved from S&P Global.

Key Takeaways for Investors

  • Mix and maintenance matter: Elevated repairs/drydocking ($9.2M) and a down Middle East liftboat compressed DVP margin to 18.6%; normalization as assets return should support margins .
  • PSV strength is the anchor: Rates/utilization improved and PSV DVP margin hit 30.3%, underpinning Latin America/West Africa/Middle East results; newbuilds in 2026–2027 enhance high-spec exposure .
  • Strategic capital allocation: Asset sales realized gains and funded a meaningful buyback, simplifying capital structure; restricted cash earmarked for PSV milestones .
  • Regional rotation: U.S. liftboats showed improvement; planned FSV redeployment to higher-demand international markets should lift utilization in H2 2025 .
  • Near-term setup: Expect operational recovery as Middle East liftboat returns in September; watch repair cadence and Middle East deployment to gauge DVP rebound .
  • Estimate dynamics: Revenue miss vs consensus suggests sell-side may reassess near-term utilization/repair impact, while EPS was close to in-line* .
  • Medium-term thesis: Fleet modernization and lower-volatility market focus, backed by refinancing, could improve earnings quality through the cycle .

Note: *Values retrieved from S&P Global.