SEACOR Marine (SMHI) Q1 2025 earnings summary

Executive summary

• Operating revenues declined 12% to $55.5M for Q1 2025, with a net loss of $15.5M ($0.56/share), improved from $23.1M loss year-over-year.

• Direct vessel profit was $13.6M, down from $14.7M year-over-year; DVP margin rose to 24.5% from 23.4% but fell sequentially.

• Completed significant asset sales, including a liftboat for $7.5M and three vessels in April for $33.2M, with gains used for share repurchase and PSV construction.

• Repurchased 9.1% of outstanding shares and all warrants from Carlyle for $12.9M in April 2025, eliminating all outstanding warrants.

• As of March 31, 2025, the fleet comprised 53 vessels (50 owned, 3 managed), with only one vessel cold-stacked.

Financial highlights

• Net loss improved to $15.5M from $23.1M year-over-year; basic and diluted EPS were $(0.56) vs. $(0.84).

• Operating loss narrowed to $5.3M from $10.6M; direct vessel profit was $13.6M, down from $14.7M.

• Cash, cash equivalents, and restricted cash totaled $45.4M at quarter-end, down from $62.2M a year ago; cash and cash equivalents were $43.0M at quarter-end, down from $59.5M at year-end 2024.

• Cash used in operations was $11.5M, investing activities $12.3M, and financing activities $6.9M for the quarter.

• Gain on asset dispositions was $5.8M, with $8.5M in proceeds from a liftboat and equipment sale.

Outlook and guidance

• Management expects improved activity in seasonally stronger quarters and healthy tendering in South America, West Africa, and the Middle East.

• Focus remains on modernizing the fleet and reducing exposure to volatile markets.

• Management expects sufficient liquidity from cash, operations, and a $25M ATM program to meet obligations and capital needs.

• Unfunded capital commitments of $72.9M remain, mainly for two new PSVs and hybrid battery systems, with $31.2M due in 2025.

• The company continues to monitor market conditions and may adjust fleet deployment and capital spending accordingly.