Dolphin Drilling (DDRIL) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue reached USD 37.7 million, more than doubling from USD 16.5 million in Q3 2024, driven by higher rig activity and contract awards.

• EBITDA loss of USD 4.7 million, mainly due to PBLJ's planned survey, but improved from a USD 22.1 million loss in Q3 2024.

• Net loss narrowed to USD 18.2 million from USD 30.2 million year-over-year, reflecting improved operational performance and cost control.

• Significant contract wins increased backlog to USD 264 million, with new awards and extensions for Borgland and Blackford Dolphin.

• Cost control measures led to reductions in OPEX and G&A expenses, with main shareholder support through equity raise.

Financial highlights

• Q3 2025 total revenue: USD 37.7 million, down from USD 47.4 million in Q2 2025, with most revenue from Blackford Dolphin.

• Q3 EBITDA: loss of USD 4.7 million; Q3 net loss: USD 18.2 million or USD 0.06 per share.

• Cash and cash equivalents at quarter-end: USD 32.8 million; net debt at USD 49.3 million.

• Interest expense totaled USD 3.8 million, with an additional USD 2.2 million in refinancing costs.

• Achieved material reductions in overhead and rig operating expenses.

Outlook and guidance

• Strong contract backlog of USD 264 million firm and USD 353 million optional work, positioning for improved future revenue.

• Borgland Dolphin to be reactivated for new contract, adding a revenue stream.

• PBLJ's long-term contract and low OpEx expected to generate strong future cash flow.

• Focus remains on adding contract backlog, improving cost efficiency, and evaluating strategic initiatives.

• Rig utilization expected to improve in 2026, especially in deepwater markets, with cautious optimism for day rate increases.