Superior Energy Services, Inc. (the “Company”) filed its Form 10-Q
for the period ended March 31, 2024. In accordance with the
Company’s Shareholders Agreement, it will host a conference call
with shareholders on May 6, 2024.
For the first quarter of 2024, the Company
reported net income from continuing operations of $37.9 million, or
$1.88 per diluted share, with revenue of $208.6 million. This
compares to net income from continuing operations of $44.6 million
or $2.22 per diluted share, with revenue of $244.4 million, for the
fourth quarter of 2023. During the fourth quarter of 2023, the
Company utilized an indirect foreign mechanism known as a Blue Chip
Swap (“BCS”) to remit approximately $4.3 million U.S. dollars from
Argentina through the purchase and sale of BCS securities. This
transaction resulted in a net loss of $7.7 million in the fourth
quarter of 2023.
The Company’s Adjusted EBITDA (a non-GAAP
measure defined on page 4) was $68.1 million and net cash provided
by operating activities was $88.9 million for the first quarter of
2024, which helped drive Free Cash Flow (a non-GAAP measure defined
on page 4) to $68.2 million, the highest level achieved for a
fiscal quarter since the Company’s emergence from bankruptcy in
2021. This compares to Adjusted EBITDA of $85.3 million, net cash
provided from operations of $47.0 million, and Free Cash Flow of
$39.8 million for the fourth quarter of 2023. Refer to pages 8, 11
and 12 for a reconciliation of Free Cash Flow to Net Cash from
Operating Activities and a Reconciliation of Adjusted EBITDA to
GAAP results.
Brian Moore, Chief Executive Officer, commented,
“Our first quarter results came in at the low end of expectations
due in large part to the delay of key projects in our Well Services
segment, most notably in our well control and completions services
business units. Our expectation is that this activity will be
realized over the remainder of 2024. Our leadership remains
committed to creating value through free cash flow generation and
shareholder return, both of which we realized in the first quarter
with record post-emergence free cash flow for a fiscal quarter and
the completion of an approximate $250 million special dividend to
shareholders in March.”
First Quarter 2024 Geographic
Breakdown
U.S. land revenue was $46.5 million for the
first quarter of 2024, an increase of 4% compared to revenue of
$44.8 million for the fourth quarter of 2023. This increase was
driven primarily by increases in our hydraulic workover business
within our Well Services segment.
U.S. offshore revenue was $66.1 million in the
first quarter of 2024, a decrease of 31% compared to revenue of
$96.3 million in the fourth quarter of 2023. While the first
quarter of 2024 saw declines across all service lines in both our
Rental and Well Services segments, this change was primarily driven
by our Well Services segment, due to a large deepwater project in
our completion services business unit in the fourth quarter of
2023.
International revenue was $96.0 million in the
first quarter of 2024, a decrease of 7% compared to revenue of
$103.4 million in the fourth quarter of 2023, primarily due to a
decline in Latin America land activity within our Well Services
segment and premium drill pipe activity within our Rental
segment.
First Quarter 2024 Segment
Reporting
The Rentals segment revenue in the first quarter
of 2024 was $108.1 million, an 8% decrease compared to revenue of
$117.8 million in the fourth quarter of 2023. This decrease is
attributable to decreased revenue across all rental product service
lines, which include our premium drill pipe, accommodations and
bottom hole assemblies. Lower rental revenues were mainly
attributable to a decline in our U.S. offshore market operations.
Adjusted EBITDA was $63.0 million, a 10% decrease from the fourth
quarter of 2023. Adjusted EBITDA Margin (a non-GAAP measure defined
on page 4) was 58%, a 1% decrease from the fourth quarter of
2023.
The Well Services segment revenue in the first
quarter of 2024 was $100.5 million, a 21% decrease compared to
revenue of $126.6 million in the fourth quarter of 2023. This
decrease was primarily driven by declines in our completion
services business unit in the U.S. offshore market. Adjusted EBITDA
for the first quarter of 2024 was $21.5 million with an Adjusted
EBITDA Margin of 21%, as compared to Adjusted EBITDA of $31.2
million with an Adjusted EBITDA Margin of 25% in the fourth quarter
of 2023.
Liquidity
As of March 31, 2024, the Company had cash, cash
equivalents, and restricted cash of approximately $295.6 million.
As of March 31, 2024, our borrowing base, as defined in our credit
agreement, was approximately $120.9 million, and we had $36.7
million in letters of credit outstanding which reduced the
borrowing availability to $84.2 million. At March 31, 2024, we had
no outstanding borrowings under our credit facility.
Total cash proceeds received during the first
quarter of 2024 from the sale of non-core businesses and assets
were $2.6 million compared to total cash proceeds received during
the fourth quarter of 2023 of $6.4 million. Additionally, during
the first quarter of 2024, we paid a special cash dividend totaling
$250.4 million to our shareholders.
First quarter 2024 capital expenditures were
$20.7 million. The Company expects total capital expenditures for
2024 to be approximately $90 to $100 million. Approximately 90% of
total 2024 capital expenditures are targeted for the replacement of
existing assets. Of the total estimated 2024 capital expenditures,
approximately 65% is expected to be invested in the Rentals
segment.
2024 Guidance
We expect the second quarter of 2024 revenue to
come in at a range of $185 million to $205 million with Adjusted
EBITDA in a range of $50 million to $60 million.
In regard to full year 2024 guidance, we expect
revenue to come in at a range of $780 million to $860 million with
Adjusted EBITDA in a range of $240 million to $290 million.
We are lowering both the upper end, and lower
end of our full year guidance due to updated projections related to
our rental activity in our U.S. land market, as a result of lower
natural gas activity. We remain well positioned in this market
should activity levels improve.
Conference Call Information
The Company’s management team will host a
conference call on Monday, May 6, 2024, at 10:00 a.m. Eastern Time.
The call will be available via live webcast in the “Events” section
at ir.superiorenergy.com. To access via phone, participants can
register for the call here, where they will be provided a phone
number and access code. The call will be available for replay until
May 6, 2025 on Superior’s website at ir.superiorenergy.com. If you
are a shareholder and would like to submit a question, please email
your question beforehand to Jamie Spexarth at
ir@superiorenergy.com.
About Superior Energy
Services
Superior Energy Services serves the drilling,
completion and production-related needs of oil and gas companies
worldwide through a diversified portfolio of specialized oilfield
services and equipment that are used throughout the economic life
cycle of oil and gas wells. For more information, visit:
www.superiorenergy.com.
Non-GAAP Financial
Measures
To supplement Superior’s consolidated financial
statements, which are prepared and presented in accordance with
generally accepted accounting principles in the United States
(“GAAP”), the Company also uses Adjusted EBITDA and Adjusted EBITDA
Margin. Management uses Adjusted EBITDA and Adjusted EBITDA Margin
internally for financial and operational decision-making and as a
means to evaluate period-to-period comparisons. The Company also
believes these non-GAAP measures provide investors useful
information about operating results, enhance the overall
understanding of past financial performance and future prospects,
and allow for greater transparency with respect to key metrics used
by management in its financial and operational decision making.
Non-GAAP financial measures are not recognized measures for
financial statement presentation under U.S. GAAP and do not have
standardized meanings and may not be comparable to similar measures
presented by other public companies. Adjusted EBITDA and Adjusted
EBITDA Margin should be considered as supplements to, and not as
substitutes for, or superior to, the corresponding measures
calculated in accordance with GAAP. We define Adjusted EBITDA as
net income (loss) before net interest expense, income tax expense
(benefit) and depreciation, amortization, accretion and depletion,
adjusted for other gains and losses, which management does not
consider representative of our ongoing operations. We define
Adjusted EBITDA Margin as Adjusted EBITDA by segment as a
percentage of segment revenues. For a reconciliation of Adjusted
EBITDA to net income, the most directly comparable GAAP financial
measure, please see the tables under “―Superior Energy Services,
Inc. and Subsidiaries Reconciliation of Adjusted EBITDA” included
on pages 11 and 12 of this press release.
Free Cash Flow is defined as net cash from
operating activities less payments for capital expenditures. Free
Cash Flow is considered a non-GAAP financial measure under the
SEC’s rules. Management believes, however, that Free Cash Flow is
an important financial measure for use in evaluating the Company’s
financial performance, as it measures our ability to generate
additional cash from our business operations. Free Cash Flow should
be considered in addition to, rather than as a substitute for, net
income as a measure of our performance or net cash provided by
operating activities as a measure of our liquidity. Additionally,
our definition of Free Cash Flow is limited and does not represent
residual cash flows available for discretionary expenditures due to
the fact that the measure does not deduct the payments required for
debt service and other obligations or payments made for business
acquisitions. Therefore, we believe it is important to view Free
Cash Flow as supplemental to our entire Statement of Cash
Flows.
The Company is unable to provide a
reconciliation of the forward-looking non-GAAP financial measure,
Adjusted EBITDA, contained in this press release to its most
directly comparable GAAP financial measure, net income, as the
information necessary for a quantitative reconciliation of the
forward-looking non-GAAP financial measure to its respective most
directly comparable GAAP financial measure is not (and was not,
when prepared) available to the Company without unreasonable
efforts due to the inherent difficulty and impracticability of
predicting certain amounts required by GAAP with a reasonable
degree of accuracy. Net income includes the impact of depreciation,
income taxes and certain other items that impact comparability
between periods, which may be significant and are difficult to
project with a reasonable degree of accuracy. In addition, we
believe such reconciliation could imply a degree of precision that
might be confusing or misleading to investors. The probable
significance of providing this forward-looking non-GAAP financial
measure without the directly comparable GAAP financial measure is
that such GAAP financial measure may be materially different from
the corresponding non-GAAP financial measure.
Forward-Looking Statements
This press release contains, and future oral or
written statements or press releases by the Company and its
management may contain, certain forward-looking statements within
the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. Generally, the words “expects,” “anticipates,”
“targets,” “goals,” “projects,” “intends,” “plans,” “believes,”
“seeks”, “will” and “estimates,” variations of such words and
similar expressions identify forward-looking statements, although
not all forward-looking statements contain these identifying words.
All statements other than statements of historical fact regarding
the Company’s financial position and results, financial
performance, liquidity, strategic alternatives (including
dispositions, acquisitions, and the timing thereof), market
outlook, future capital needs, capital allocation plans, business
strategies and other plans and objectives of our management for
future operations and activities are forward-looking statements.
These statements are based on certain assumptions and analyses made
by the Company’s management in light of its experience and
prevailing circumstances on the date such statements are made. Such
forward-looking statements, and the assumptions on which they are
based, are inherently speculative and are subject to a number of
risks and uncertainties, including but not limited to conditions in
the oil and gas industry, U.S. and global market and economic
conditions generally and macroeconomic conditions worldwide,
(including inflation, interest rates, supply chain disruptions and
capital and credit markets conditions) that could cause the
Company’s actual results to differ materially from such statements.
These forward-looking statements rely on a number of assumptions
concerning future events and are subject to a number of
uncertainties and factors, many of which are outside the control of
the Company, which could cause actual results to differ materially
from such statements.
While the Company believes that the assumptions
concerning future events are reasonable, it cautions that there are
inherent difficulties in predicting certain important factors that
could impact the future performance or results of its business.
These forward-looking statements are also
affected by the risk factors, forward-looking statements and
challenges and uncertainties described in the Company’s Form 10-K
for the year ended December 31, 2023 and Form 10-Q’s for the
quarter ended March 31, 2024 and those set forth from time to time
in the Company’s other periodic filings with the Securities and
Exchange Commission, which are available at www.superiorenergy.com.
Except as required by law, the Company expressly disclaims any
intention or obligation to revise or update any forward-looking
statements whether as a result of new information, future events or
otherwise.
FOR FURTHER INFORMATION CONTACT:Jamie Spexarth,
Chief Financial Officer1001 Louisiana St., Suite 2900Houston, TX
77002Investor Relations, ir@superiorenergy.com, (713) 654-2200
SUPERIOR ENERGY SERVICES, INC. AND
SUBSIDIARIES |
|
CONSOLIDATED STATEMENTS OF OPERATIONS |
|
(in thousands, unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
March 31, |
|
|
December 31, |
|
|
March 31, |
|
|
|
2024 |
|
|
2023 |
|
|
2023 |
|
|
|
|
|
|
|
|
|
|
|
Rentals |
|
$ |
108,091 |
|
|
$ |
117,816 |
|
|
$ |
108,821 |
|
Well Services |
|
|
100,543 |
|
|
|
126,609 |
|
|
|
111,316 |
|
Total revenues |
|
|
208,634 |
|
|
|
244,425 |
|
|
|
220,137 |
|
|
|
|
|
|
|
|
|
|
|
Rentals |
|
|
37,766 |
|
|
|
40,577 |
|
|
|
36,468 |
|
Well Services |
|
|
68,873 |
|
|
|
85,230 |
|
|
|
81,253 |
|
Total cost of revenues |
|
|
106,639 |
|
|
|
125,807 |
|
|
|
117,721 |
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion, amortization and accretion |
|
|
20,447 |
|
|
|
19,818 |
|
|
|
20,139 |
|
General and administrative expenses |
|
|
34,975 |
|
|
|
33,403 |
|
|
|
30,990 |
|
Restructuring and transaction expenses |
|
|
- |
|
|
|
1,311 |
|
|
|
1,983 |
|
Other gains, net |
|
|
(1,082 |
) |
|
|
(1,125 |
) |
|
|
(1,398 |
) |
Income from operations |
|
|
47,655 |
|
|
|
65,211 |
|
|
|
50,702 |
|
|
|
|
|
|
|
|
|
|
|
Other income (expense): |
|
|
|
|
|
|
|
|
|
Interest income, net |
|
|
6,840 |
|
|
|
7,180 |
|
|
|
5,439 |
|
Loss on Blue Chip Swap Securities |
|
|
- |
|
|
|
(7,736 |
) |
|
|
- |
|
Other expense, net |
|
|
(1,813 |
) |
|
|
(4,883 |
) |
|
|
(2,152 |
) |
Income from continuing operations before income
taxes |
|
|
52,682 |
|
|
|
59,772 |
|
|
|
53,989 |
|
Income tax expense |
|
|
(14,787 |
) |
|
|
(15,126 |
) |
|
|
(24,065 |
) |
Net income from continuing operations |
|
|
37,895 |
|
|
|
44,646 |
|
|
|
29,924 |
|
Income from discontinued operations, net of tax |
|
|
- |
|
|
|
18 |
|
|
|
289 |
|
Net income |
|
$ |
37,895 |
|
|
$ |
44,664 |
|
|
$ |
30,213 |
|
|
|
|
|
|
|
|
|
|
|
Income per share - basic and diluted |
|
|
|
|
|
|
|
|
|
Net income from continuing operations |
|
$ |
1.88 |
|
|
$ |
2.22 |
|
|
$ |
1.49 |
|
Income from discontinued operations, net of tax |
|
|
- |
|
|
|
- |
|
|
|
0.01 |
|
Net income |
|
$ |
1.88 |
|
|
$ |
2.22 |
|
|
$ |
1.50 |
|
|
|
|
|
|
|
|
|
|
|
Weighted-average shares outstanding |
|
|
|
|
|
|
|
|
|
Basic |
|
|
20,162 |
|
|
|
20,136 |
|
|
|
20,107 |
|
Diluted |
|
|
20,180 |
|
|
|
20,177 |
|
|
|
20,131 |
|
SUPERIOR ENERGY SERVICES, INC. AND
SUBSIDIARIES |
|
CONSOLIDATED BALANCE SHEETS |
|
(in thousands, unaudited) |
|
|
|
March 31, |
|
|
December 31, |
|
|
|
2024 |
|
|
2023 |
|
ASSETS |
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
237,845 |
|
|
$ |
391,684 |
|
Accounts receivable, net |
|
|
243,416 |
|
|
|
276,868 |
|
Inventory |
|
|
69,095 |
|
|
|
74,995 |
|
Income taxes receivable |
|
|
10,424 |
|
|
|
10,542 |
|
Prepaid expenses |
|
|
20,562 |
|
|
|
18,614 |
|
Other current assets |
|
|
7,194 |
|
|
|
7,922 |
|
Total current assets |
|
|
588,536 |
|
|
|
780,625 |
|
Property, plant and equipment, net |
|
|
308,280 |
|
|
|
294,960 |
|
Notes receivable |
|
|
70,214 |
|
|
|
69,005 |
|
Restricted cash |
|
|
57,711 |
|
|
|
85,444 |
|
Deferred tax assets |
|
|
61,130 |
|
|
|
67,241 |
|
Other assets, net |
|
|
42,304 |
|
|
|
43,718 |
|
Total assets |
|
$ |
1,128,175 |
|
|
$ |
1,340,993 |
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY
(DEFICIT) |
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
Accounts payable |
|
$ |
42,949 |
|
|
$ |
38,214 |
|
Accrued expenses |
|
|
95,431 |
|
|
|
103,782 |
|
Income taxes payable |
|
|
24,596 |
|
|
|
20,220 |
|
Decommissioning liability |
|
|
21,631 |
|
|
|
21,631 |
|
Total current liabilities |
|
|
184,607 |
|
|
|
183,847 |
|
Decommissioning liability |
|
|
150,733 |
|
|
|
148,652 |
|
Other liabilities |
|
|
45,308 |
|
|
|
47,583 |
|
Total liabilities |
|
|
380,648 |
|
|
|
380,082 |
|
|
|
|
|
|
|
|
Total equity |
|
|
747,527 |
|
|
|
960,911 |
|
Total liabilities and equity |
|
$ |
1,128,175 |
|
|
$ |
1,340,993 |
|
SUPERIOR ENERGY SERVICES, INC. AND
SUBSIDIARIES |
|
CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS |
|
(in thousands, unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
March 31, |
|
|
- |
|
December 31, |
|
|
- |
|
March 31, |
|
|
|
2024 |
|
|
- |
|
2023 |
|
|
- |
|
2023 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from operating activities |
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
37,895 |
|
|
|
$ |
44,664 |
|
|
|
$ |
30,213 |
|
Adjustments to reconcile net loss to net cash from operating
activities: |
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion, amortization and accretion |
|
|
20,447 |
|
|
|
|
19,818 |
|
|
|
|
20,139 |
|
Other noncash items |
|
|
3,235 |
|
|
|
|
517 |
|
|
|
|
14,399 |
|
Loss on Blue Chip Swap Securities |
|
|
- |
|
|
|
|
7,736 |
|
|
|
|
- |
|
Decommissioning cost payments |
|
|
(430 |
) |
|
|
|
(4,497 |
) |
|
|
|
- |
|
Changes in operating assets and liabilities: |
|
|
27,747 |
|
|
|
|
(21,194 |
) |
|
|
|
8,502 |
|
Net cash from operating activities |
|
|
88,894 |
|
|
|
|
47,044 |
|
|
|
|
73,253 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from investing activities |
|
|
|
|
|
|
|
|
|
|
|
Payments for capital expenditures |
|
|
(20,698 |
) |
|
|
|
(7,278 |
) |
|
|
|
(18,086 |
) |
Proceeds from sales of assets |
|
|
2,616 |
|
|
|
|
6,389 |
|
|
|
|
11,569 |
|
Purchases of Blue Chip Swap Securities, net |
|
|
- |
|
|
|
|
(7,736 |
) |
|
|
|
- |
|
Net cash from investing activities |
|
|
(18,082 |
) |
|
|
|
(8,625 |
) |
|
|
|
(6,517 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing activities |
|
|
|
|
|
|
|
|
|
|
|
Distributions to shareholders |
|
|
(250,417 |
) |
|
|
|
- |
|
|
|
|
- |
|
Repurchase of shares |
|
|
(962 |
) |
|
|
|
- |
|
|
|
|
- |
|
Other |
|
|
(1,005 |
) |
|
|
|
- |
|
|
|
|
(1,116 |
) |
Net cash from financing activities |
|
|
(252,384 |
) |
|
|
|
- |
|
|
|
|
(1,116 |
) |
Net change in cash, cash equivalents, and restricted cash |
|
|
(181,572 |
) |
|
|
|
38,419 |
|
|
|
|
65,620 |
|
Cash, cash equivalents and restricted cash at beginning of
period |
|
|
477,128 |
|
|
|
|
438,709 |
|
|
|
|
339,107 |
|
Cash, cash equivalents, and restricted cash at end of period |
|
$ |
295,556 |
|
|
|
$ |
477,128 |
|
|
|
$ |
404,727 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Free Cash Flow |
|
|
|
|
|
|
|
|
|
|
|
Net cash from operating activities |
|
$ |
88,894 |
|
|
|
$ |
47,044 |
|
|
|
$ |
73,253 |
|
Payments for capital expenditures |
|
|
(20,698 |
) |
|
|
|
(7,278 |
) |
|
|
|
(18,086 |
) |
Free Cash Flow |
|
$ |
68,196 |
|
|
|
$ |
39,766 |
|
|
|
$ |
55,167 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Free Cash Flow is a Non-GAAP measure. See Non-GAAP Measures for our
definition of Free Cash Flow. |
|
SUPERIOR ENERGY SERVICES, INC. AND
SUBSIDIARIES |
REVENUE BY GEOGRAPHIC REGION BY SEGMENT |
(in thousands, unaudited) |
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
March 31, |
|
December 31, |
|
March 31, |
|
|
2024 |
|
2023 |
|
2023 |
U.S. land |
|
|
|
|
|
|
Rentals |
|
$ |
39,006 |
|
$ |
39,597 |
|
$ |
45,133 |
Well Services |
|
|
7,466 |
|
|
5,188 |
|
|
6,355 |
Total U.S. land |
|
|
46,472 |
|
|
44,785 |
|
|
51,488 |
|
|
|
|
|
|
|
U.S. offshore |
|
|
|
|
|
|
Rentals |
|
|
37,251 |
|
|
43,904 |
|
|
35,670 |
Well Services |
|
|
28,872 |
|
|
52,380 |
|
|
16,321 |
Total U.S. offshore |
|
|
66,123 |
|
|
96,284 |
|
|
51,991 |
|
|
|
|
|
|
|
International |
|
|
|
|
|
|
Rentals |
|
|
31,834 |
|
|
34,315 |
|
|
28,018 |
Well Services |
|
|
64,205 |
|
|
69,041 |
|
|
88,640 |
Total International |
|
|
96,039 |
|
|
103,356 |
|
|
116,658 |
Total Revenues |
|
$ |
208,634 |
|
$ |
244,425 |
|
$ |
220,137 |
SUPERIOR ENERGY SERVICES, INC. AND
SUBSIDIARIES |
|
SEGMENT HIGHLIGHTS |
|
(in thousands, unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
March 31, |
|
|
- |
|
December 31, |
|
|
- |
|
March 31, |
|
|
|
2024 |
|
|
- |
|
2023 |
|
|
- |
|
2023 |
|
Revenues |
|
|
|
|
|
|
|
|
|
|
|
Rentals |
|
$ |
108,091 |
|
|
|
$ |
117,816 |
|
|
|
$ |
108,821 |
|
Well Services |
|
|
100,543 |
|
|
|
|
126,609 |
|
|
|
|
111,316 |
|
Total Revenues |
|
$ |
208,634 |
|
|
|
$ |
244,425 |
|
|
|
$ |
220,137 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from Operations |
|
|
|
|
|
|
|
|
|
|
|
Rentals |
|
$ |
51,211 |
|
|
|
$ |
57,647 |
|
|
|
$ |
53,014 |
|
Well Services |
|
|
13,392 |
|
|
|
|
23,956 |
|
|
|
|
12,854 |
|
Corporate and other |
|
|
(16,948 |
) |
|
|
|
(16,392 |
) |
|
|
|
(15,166 |
) |
Total loss from Operations |
|
$ |
47,655 |
|
|
|
$ |
65,211 |
|
|
|
$ |
50,702 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA |
|
|
|
|
|
|
|
|
|
|
|
Rentals |
|
$ |
63,021 |
|
|
|
$ |
69,802 |
|
|
|
$ |
65,182 |
|
Well Services |
|
|
21,523 |
|
|
|
|
31,194 |
|
|
|
|
19,931 |
|
Corporate and other |
|
|
(16,442 |
) |
|
|
|
(15,712 |
) |
|
|
|
(12,289 |
) |
Total Adjusted EBITDA |
|
$ |
68,102 |
|
|
|
$ |
85,284 |
|
|
|
$ |
72,824 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA Margin |
|
|
|
|
|
|
|
|
|
|
|
Rentals |
|
|
58 |
% |
|
|
|
59 |
% |
|
|
|
60 |
% |
Well Services |
|
|
21 |
% |
|
|
|
25 |
% |
|
|
|
18 |
% |
Corporate and other |
|
n/a |
|
|
|
n/a |
|
|
|
n/a |
|
Total Adjusted EBITDA Margin |
|
|
33 |
% |
|
|
|
35 |
% |
|
|
|
33 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA is a Non-GAAP measure. See Non-GAAP Measures for
our definition of Adjusted EBITDA. |
|
SUPERIOR ENERGY SERVICES, INC. AND
SUBSIDIARIES |
|
RECONCILIATION OF ADJUSTED EBITDA |
|
(in thousands, unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
March 31, |
|
|
December 31, |
|
|
March 31, |
|
|
|
2024 |
|
|
2023 |
|
|
2023 |
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) from continuing operations |
|
$ |
37,895 |
|
|
$ |
44,646 |
|
|
$ |
29,924 |
|
Depreciation, depletion, amortization and accretion |
|
|
20,447 |
|
|
|
19,818 |
|
|
|
20,139 |
|
Interest income, net |
|
|
(6,840 |
) |
|
|
(7,180 |
) |
|
|
(5,439 |
) |
Income taxes |
|
|
14,787 |
|
|
|
15,126 |
|
|
|
24,065 |
|
Restructuring and transaction expenses |
|
|
- |
|
|
|
1,311 |
|
|
|
1,983 |
|
Other gains, net |
|
|
- |
|
|
|
(1,056 |
) |
|
|
- |
|
Other expense, net |
|
|
1,813 |
|
|
|
4,883 |
|
|
|
2,152 |
|
Loss on Blue Chip Swap Securities |
|
|
- |
|
|
|
7,736 |
|
|
|
- |
|
Adjusted EBITDA |
|
$ |
68,102 |
|
|
$ |
85,284 |
|
|
$ |
72,824 |
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA is a Non-GAAP measure. See Non-GAAP Measures for
our definition of Adjusted EBITDA. |
|
|
|
|
|
|
|
|
|
|
|
SUPERIOR ENERGY SERVICES, INC. AND
SUBSIDIARIES |
|
RECONCILIATION OF ADJUSTED EBITDA BY SEGMENT |
|
(in thousands, unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
March 31, |
|
|
December 31, |
|
|
March 31, |
|
|
|
2024 |
|
|
2023 |
|
|
2023 |
|
Rentals |
|
|
|
|
|
|
|
|
|
Income (loss) from operations |
|
$ |
51,211 |
|
|
$ |
57,647 |
|
|
$ |
53,014 |
|
Depreciation, depletion, amortization and accretion |
|
|
11,810 |
|
|
|
12,155 |
|
|
|
12,168 |
|
Adjusted EBITDA |
|
$ |
63,021 |
|
|
$ |
69,802 |
|
|
$ |
65,182 |
|
|
|
|
|
|
|
|
|
|
|
Well Services |
|
|
|
|
|
|
|
|
|
Income (loss) from operations |
|
$ |
13,392 |
|
|
$ |
23,956 |
|
|
$ |
12,854 |
|
Depreciation, depletion, amortization and accretion |
|
|
8,131 |
|
|
|
7,238 |
|
|
|
7,077 |
|
Adjusted EBITDA |
|
$ |
21,523 |
|
|
$ |
31,194 |
|
|
$ |
19,931 |
|
|
|
|
|
|
|
|
|
|
|
Corporate |
|
|
|
|
|
|
|
|
|
Income (loss) from operations |
|
$ |
(16,948 |
) |
|
$ |
(16,392 |
) |
|
$ |
(15,166 |
) |
Depreciation, depletion, amortization and accretion |
|
|
506 |
|
|
|
425 |
|
|
|
894 |
|
Restructuring and transaction expenses |
|
|
- |
|
|
|
1,311 |
|
|
|
1,983 |
|
Other adjustments (1) |
|
|
- |
|
|
|
(1,056 |
) |
|
|
- |
|
Adjusted EBITDA |
|
$ |
(16,442 |
) |
|
$ |
(15,712 |
) |
|
$ |
(12,289 |
) |
|
|
|
|
|
|
|
|
|
|
Total |
|
|
|
|
|
|
|
|
|
Income (loss) from operations |
|
$ |
47,655 |
|
|
$ |
65,211 |
|
|
$ |
50,702 |
|
Depreciation, depletion, amortization and accretion |
|
|
20,447 |
|
|
|
19,818 |
|
|
|
20,139 |
|
Restructuring and transaction expenses |
|
|
- |
|
|
|
1,311 |
|
|
|
1,983 |
|
Other adjustments |
|
|
- |
|
|
|
(1,056 |
) |
|
|
- |
|
Adjusted EBITDA |
|
$ |
68,102 |
|
|
$ |
85,284 |
|
|
$ |
72,824 |
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA is a Non-GAAP measure. See Non-GAAP Measures for
our definition of Adjusted EBITDA. |
|
|
|
|
|
|
|
|
|
|
(1)
Adjustments for exit and disposal activities related to non-core
businesses. |
|