Hornbeck Offshore Services, Inc.: Q2 FY2026 earnings call

What management said about Q2 FY2026, from the documents filed with the SEC on 6 August 2026: press release. Guidance figures: 1 new. The quarter’s numbers.

Read the filing

Key takeaways

• Net income turned to profit: Net income was $22.7 million, or $0.15 per diluted share, against a net loss of $13.4 million in the first quarter. Adjusted EBITDA was $69.9 million, against $32.3 million. Source
• Annual guidance withdrawn: Annual guidance was withdrawn in light of the pending merger with Hornbeck, and the release gives no replacement annual figures. Source
• Q7000 revenue deferred in transit: The Q7000 finished its Shell project in Brazil in April and moved to West Africa. Revenues and mobilization costs were deferred during transit, about 9% of utilization. Source
• Robotics revenue down year on year: Revenue was $76.4 million, up 23% from the first quarter and down 11% from $85.6 million a year earlier. Management attributed the year-on-year fall to fewer vessel days. Source
• Thunder Hawk restart lifted revenue: Revenue was $29.7 million, up 59% sequentially and 74% year on year, after the Thunder Hawk field resumed production in early April following a workover. The field had been shut in since 2024. Source
• Operating and free cash flow: Operating cash flows were $53.9 million, against $61.8 million in the first quarter and $(17.1) million a year earlier. Free cash flow was $46.7 million, against $59.0 million in the first quarter. Source
• Form S-4 declared effective: Helix filed its Form S-4 on June 4, 2026. The SEC declared it effective on July 31, 2026. Source

“Helix generated significant cash flows from operations in the second quarter and year to date.”

Owen Kratz, President and Chief Executive Officer of Helix

Guidance

What changed from last quarter

• Guidance withdrawn: Annual guidance was withdrawn because of the pending merger with Hornbeck. Source
• Ended: Helix Alliance was sold on May 1, 2026. It constituted the Shallow Water Abandonment segment and is reported as discontinued operations. Source
• New: A merger with Hornbeck is pending. The prior-quarter release did not mention it. Source

Results and profit drivers

• Net income turned to profit: Net income was $22.7 million, or $0.15 per diluted share, against a net loss of $13.4 million in the first quarter. Adjusted EBITDA was $69.9 million, against $32.3 million. Source
• Six-month results and cash flow: Six-month net income was $9.3 million, or $0.06 per diluted share, against $0.5 million a year earlier. Six-month Adjusted EBITDA was $102.1 million and free cash flow was $105.7 million. Source
• Annual guidance withdrawn: Annual guidance was withdrawn in light of the pending merger with Hornbeck, and the release gives no replacement annual figures. Source
• Well Intervention drove revenue growth: Total revenues were $304.0 million, against $266.7 million in the first quarter and $251.7 million a year earlier. Well Intervention accounted for most of the year-on-year increase. Source

Well Intervention segment

• Utilization rose to 91%: Vessel utilization was 91%, against 82% in the first quarter and 72% a year earlier. Revenue was $208.1 million, down 1% sequentially, as Q7000, Q4000 and Sea Helix 1 revenue fell. Source
• Q7000 revenue deferred in transit: The Q7000 finished its Shell project in Brazil in April and moved to West Africa. Revenues and mobilization costs were deferred during transit, about 9% of utilization. Source
• Operating income up on cost deferrals: Operating income was $19.3 million, against $10.9 million in the first quarter and a $16.4 million loss a year earlier. The sequential rise reflects Q7000 cost deferrals, lower Q5000 repairs and North Sea leverage. Source
• Q4000 and Sea Helix 1 out of service: The Q4000 had its annual out-of-service period and gaps in its schedule. The Sea Helix 1 began its five-year docking in mid-June. Source

“Our business performance for the year is progressing as previously outlined, with positive international activity offsetting weaker domestic output.”

Owen Kratz, President and Chief Executive Officer of Helix

Robotics segment

• Robotics revenue down year on year: Revenue was $76.4 million, up 23% from the first quarter and down 11% from $85.6 million a year earlier. Management attributed the year-on-year fall to fewer vessel days. Source
• Vessel days and utilization lower: Vessel days were 374, or 69% utilization, against 537 days and 95% a year earlier. Overall ROV and trencher utilization was 67%, against 56% in the first quarter. Source
• Trenching days rose sequentially: Integrated vessel trenching rose to 171 days from 122. Robotics operating income was $14.2 million, against $7.8 million in the first quarter and $19.0 million a year earlier. Source

Production Facilities segment

• Thunder Hawk restart lifted revenue: Revenue was $29.7 million, up 59% sequentially and 74% year on year, after the Thunder Hawk field resumed production in early April following a workover. The field had been shut in since 2024. Source
• Operating income back in profit: Operating income was $15.8 million, against an operating loss of $7.9 million in the first quarter and income of $4.4 million a year earlier. The first-quarter loss included Thunder Hawk workover costs. Source

Costs and SG&A

• SG&A rose on compensation: SG&A was $21.1 million, or 7.0% of revenue, against $20.4 million (7.7%) in the first quarter and $16.5 million (6.6%) a year earlier. Higher employee compensation drove the rise. Source
• Merger-related costs of $8.3 million: Acquisition and integration costs of $8.3 million were recorded, mainly legal and professional fees, related to the Hornbeck merger. Source
• Interest and other items lower: Net interest expense was $4.4 million, against $6.2 million a year earlier. Other expense, net was $0.2 million, against other income of $0.3 million in the first quarter. Source

Cash flow and capital spending

• Operating and free cash flow: Operating cash flows were $53.9 million, against $61.8 million in the first quarter and $(17.1) million a year earlier. Free cash flow was $46.7 million, against $59.0 million in the first quarter. Source
• Capital spending and certification costs: Continuing capital expenditures were $7.2 million, against $2.8 million in the first quarter. Regulatory certification costs were $4.6 million, against $14.1 million a year earlier. Source

Liquidity, debt and share repurchases

• Cash rose to $652.2 million: Cash and cash equivalents were $652.2 million at June 30, 2026, against $501.3 million at March 31. Management linked the increase to the Helix Alliance disposition. Source
• Liquidity of $716.5 million: ABL facility availability was $66.9 million, giving total liquidity of $716.5 million. This excludes $2.6 million of cash pledged toward the facility. Source
• Net Debt negative at $347.9 million: Long-term debt was $304.3 million, resulting in negative Net Debt of $347.9 million, against negative Net Debt of $197.5 million at March 31. Source
• Small buybacks in six months: Six-month repurchases of common stock and related excise tax were $151 thousand, against $30.2 million a year earlier. Debt repayments were $4.8 million. Source

Helix Alliance sale and discontinued operations

• Gain on Helix Alliance sale: A gain on sale of $12.7 million was recorded, net of $3.4 million of tax expense on the gain. The gain is included in discontinued operations. Source
• Helix Alliance proceeds of $104.2 million: Investing cash flows from discontinued operations included proceeds of approximately $104.2 million, net of $3.3 million of cash sold. Source
• Discontinued operations income: Helix Alliance contributed $7.5 million of net income to discontinued operations in the second quarter, and $(0.7) million for the six months. Source

Pending merger with Hornbeck

• Form S-4 declared effective: Helix filed its Form S-4 on June 4, 2026. The SEC declared it effective on July 31, 2026. Source
• Boards of both companies approved: The directors of both companies approved the transaction. Closing remains subject to shareholder approval and customary conditions. Source
• No conference call for the quarter: Helix will not host a call or webcast on second quarter results because of the pending merger. Details are in a presentation on its investor website. Source

Coming up, as management said on 6 August 2026

• Shareholder meeting set for August 31: Management expects to complete the merger promptly after the shareholder meeting on August 31, 2026, subject to customary closing conditions. Source

Figures management reported

Risks management discussed

• External: The merger requires shareholder approval at the August 31 Special Meeting and other customary closing conditions. Source
• Demand: Management described domestic output as weaker, offset by positive international activity. Source
• Operational: Robotics revenue fell year on year as the Grand Canyon II moved to the North Sea and reduced vessel activity. Source
• Operational: Q7000 revenues and mobilization costs were deferred during its transit and mobilization to West Africa. Source
• Financial: Merger-related acquisition and integration costs of $8.3 million were recorded in the quarter, mainly legal and professional fees. Source

Earlier plans management reported on

• On track: Management said the year's business is progressing as previously outlined, with international activity offsetting domestic output. Source
• On track: Management said Helix is making progress toward the previously announced merger with Hornbeck. Source

Other quarters

• Q1 FY2026 earnings call
• Q4 FY2025 earnings call
• Q3 FY2025 results
• Q2 FY2025 results
• Q3 FY2026 earnings call

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.