Constellation Oil Services (COSH) Investor presentation summary

Strategic positioning and market leadership

• Holds a 23% market share in Brazil, the world's largest ultra-deepwater (UDW) market, with a robust operational footprint and a modern fleet on long-term contracts at attractive dayrates.

• Operates ~800 offshore wells and has drilled over 2 million meters for major clients, including Petrobras, IOCs, and independents over 46 years.

• Maintains high fleet utilization, driving predictable cash flows and maximizing long-term value.

• Strong contracted backlog of $2.8bn provides revenue visibility and long-term cash flow predictability.

• Strategic recapitalization and contract repricing have unlocked strong cash flow generation and support meaningful shareholder distributions.

Financial performance and capital allocation

• Achieved significant growth in average dayrates and adjusted EBITDA, with 2026 guidance of $350–385m in adjusted EBITDA and $740–775m in revenue.

• Backlog increased to $2.8bn, supported by major contract extensions and new awards, ensuring high contract coverage through 2028.

• Dividend strategy announced, targeting a $100m base for 2026, with a structured capital allocation framework supporting sustainable and scalable dividends.

• Rapid deleveraging underway, with net leverage targeted below 1.0x by 2027 and annual debt amortization of $75m.

• Limited capex requirements and disciplined cost control support strong cash generation and shareholder returns.

Operational excellence and client satisfaction

• Ranked first in client efficiency, safety, and quality among 10 companies operating 31 rigs in Brazil.

• High operational uptime (94–97%) and fast contract transitions contribute to increased returns and client satisfaction.

• Real-time monitoring, automation, and tailored project solutions enhance safety and drilling performance.

• Great Place to Work certified, with strong employee retention and a culture focused on safety and collaboration.

• Fleet integration and local services drive cost synergies and high EBITDA margins.