SBM Offshore (SBMO) Q2 2026 earnings summary

Executive summary

• Delivered strong first-half 2026 performance with Directional revenue up 112% to $4.9 billion and EBITDA up 92% to $1.3 billion, driven by disciplined execution, robust Turnkey activity, and major project milestones.

• Increased 2026 revenue guidance to $7.6 billion and EBITDA guidance to $1.9 billion, reflecting new FPSO SEAP I & II and Longtail FEED contract awards and portfolio expansion.

• Record pro-forma Directional backlog of $35.6 billion, providing strong visibility on future cash flows and supporting enhanced shareholder returns.

• Maintained high operational uptime (98.9%) and efficiency, with production records in Guyana and Brazil.

• Fast4WardⓇ program and standardized execution enhance competitiveness and de-risk project delivery.

Financial highlights

• Directional revenue reached $4,904m (1H 2025: $2,311m, +112%); Directional EBITDA was $1,310m (1H 2025: $682m, +92%).

• Net profit attributable to shareholders rose to $826m (1H 2025: $274m, +201%); EPS up 212% to $4.90.

• Record backlog of $35.6bn, with net debt reduced to $3.7bn and net leverage at 1.6x EBITDA.

• Interim cash dividend of $100 million declared for September 2026; $270 million share repurchase program 44% complete as of August 2026.

• Robust balance sheet with $1,026m in cash and all financial covenants satisfied.

Outlook and guidance

• 2026 revenue guidance raised to $7.6 billion and EBITDA to $1.9 billion, with Lease & Operate at $2.4 billion and Turnkey at $5.2 billion.

• Minimum $2.1 billion cash return to shareholders targeted for 2026-2031, with a 7.2% shareholder cash yield in FY26.

• Over 40 potential FPSO awards globally in the next three years, with 16 aligned to core expertise.

• Continued focus on disciplined growth, operational excellence, and capturing future opportunities.

• Guidance reflects recent contract wins and portfolio progress; excludes potential future FPSO awards.