04/03/2025 - Helix Energy Solutions Group Inc.: Helix Company Update March 2025

[X]

Helix Company Update

March 2025

ABOUT HELIX

Helix - An Energy Transition

Maximizing Existing

Decommissioning

Offshore Renewables

Reserves

Cable Trenching and Burial

Cement Remediation

Reservoir Management

UXO Survey & Clearance

Pipeline Abandonment

Boulder Removal

Production Enhancement

Reclamation & Remediation

Mattress Installation & Removal

Tree Change Out

Wellhead Removal

Cable Repair

Wireline, Slickline & Coiled Tubing

Seabed Infrastructure Removal

Air Diving

Scale Squeeze & Stimulation

Through Tubing Abandonment & Removal

Route Preparation

DHSV Lockout

Upper Plug & Abandonment

Inspection, Repair, Maintenance

44%1

44%1

11%1

  • Percentage of 2024 Revenue

3

3

ABOUT US

Company Snapshot

NYSE: HLX

Revenue by Market4

Corporate Headquarters in Houston, Texas

($53M)

$1.4B

$430M

Net Debt1

Backlog

Liquidity2

December 31, 2024

December 31, 2024

December 31, 2024

2,313

38

Global Employees

Nationalities Represented

December 31, 2024

December 31, 2024

Forecast

$1.36B - $1.50B $320M - $380M

2025 Revenue3

2025 EBITDA1,3

$175M - $225M

2025 Free Cash Flow1,3

Other

Renewables 1%

11%

Production

Maximization

44%

Decommissioning -

Deep Water

31%

Decommissioning -

Shallow Water

13%

  • EBITDA, Net Debt and Free Cash Flow are non-GAAP financial measures; see non-GAAP reconciliations below
  • Liquidity is calculated as the sum of cash and cash equivalents plus available capacity under the Company's ABL facility and excludes restricted cash, if any
    3 Revenue, EBITDA and Free Cash Flow based on current guidance
    4 Revenue percentages based on 2024 Revenues and net of intercompany eliminations

4

ABOUT US

Business Segment Overview

Key Services and

Major Customers

Revenue and Gross Profit

Assets

Tailwinds

Margin% by Segment ($MM) 1

Production enhancement

Purpose-built vessels with

2020

2021

2022

2023

Well

Decommissioning

higher efficiency and

$823

Intervention

Seven purpose-built Well

lower operating costs vs.

$524

$495

$508

$704

Intervention vessels and 12 Subsea

rigs; long-term contracts

13%

Intervention Systems

for four of seven vessels

Subsea trenching

Increasing global marine

• Offshore construction and inspection,

construction and

Robotics

repair and maintenance (IRM)

$260

renewables deployment

$223

• Six trenchers, two boulder grabs, 39

$151

$158

Greater complexity and

$110

work-class ROVs and chartered

30%

water depths

vessel fleet

Well P&A

Shallow Water

Structure decommissioning and

$275

platform removals

Increased regulatory

$187

Abandonment2

Fleet of 20 vessels (OSVs, lift boats,

requirements

$125

dive vessels, heavy lift barge) and 26

n/m

systems (P&A and coiled tubing)

N/A

N/A

Production

Floating production unit

$69

$82

$88

$89

$58

Offshore production

2025 contract renewals

27%

Facilities

Emergency well control deployment

Helix differentiates itself through a pure-play offshore business model anchored by

seven world-class built-for-purpose well intervention vessels

  • Revenue by segment net of intercompany eliminations

2

Shallow Water Abandonment includes the results of Helix Alliance acquired July 1, 2022

5

OPERATIONS

Well Intervention

  • A global leader in rig-less intervention; lower costs, higher efficiency, and reduced carbon footprint compared to rigs
  • Vessels and systems perform both decommissioning and production maximization operations

• Fleet of seven purpose-built well intervention vessels and 12 • well intervention systems operating globally

Geographically diverse scope of operations and concentration of blue-chip customers

Q4000 (US Gulf Coast / West Africa)

Q7000 (West Africa / Asia Pacific / Brazil)

Seawell (North Sea)

Well Enhancer (North Sea)

Dynamically positioned class 3 ("DP3") purpose-

DP3 purpose-built semisubmersible well

Dynamically positioned class 2 ("DP2") light

DP3 custom designed well intervention and

built semisubmersible well intervention vessel

intervention vessel

well intervention and saturation diving vessel

saturation diving vessel

Q5000 (US Gulf Coast)

Siem Helix 1 & Siem Helix 2 (Brazil)

Intervention Riser Systems

Subsea Intervention Lubricators

DP3 purpose-built semisubmersible

DP3 well intervention vessels contracted

Utilized for wireline intervention, production

Enable efficient and cost-effective riserless

well intervention vessel

through at least 2027 (SH2) and 2028 (SH1)

logging, coiled-tubing operations, well

intervention and abandonment solutions for

stimulation and full P&A operations

subsea wells up to 1,500m water depth

6

OPERATIONS

Robotics

  • We serve both the Renewable Energy and Oil and Gas markets
  • Global leader in trenching windfarm subsea cables
  • A fleet of advanced subsea trenchers, work-class ROVs and chartered support vessels
  • Globally diversified operations and broad customer base

Subsea Trenchers (6 units)

ROV Fleet (39 units)

IROV Boulder Grabs

ROV Support Vessels (Global)

Highly maneuverable underwater robots

Remotely operated robotic grabs specially

Chartered fleet of DP2 and DP3 subsea

Four jet trenchers, one cutting trencher and one

capable of performing subsea construction

developed to relocate seabed boulders to prepare

support vessels

plough trencher that provide subsea power

and well intervention tasks

an offshore wind farm site for construction

cable, umbilical, pipeline and flowline trenching

up to 3,000m water depth

7

7

OPERATIONS

Shallow Water Abandonment

  • Leading provider of decommissioning services in the US Gulf Coast Shelf
  • P&A and Coiled Tubing systems, Heavy Lift Barge and fleet of liftboats, OSVs and Diving Vessels
  • Only company capable of providing all facets of decommissioning services in the U.S. Gulf Coast shelf
    • Well P&A
    • Sub-seaarchitecture removal
    • Facility decommissioning and structure removal

Commercial Diving: Three dive support vessels

Marine Services: Six OSVs ranging from 150' to 170' and one crewboat

Marine Services: Nine liftboats ranging in size up to 265'

Well Services:

20 P&A spreads, six coiled tubing units and one snubbing unit

Heavy Lift: Epic Hedron 1,763-tonderrick barge

8

8

OPERATIONS

Helix Production Facilities

  • Helix Producer I floating production unit (FPU)
  • Helix Fast Response System (HFRS); one of only two providers in the US Gulf Coast
  • Our ownership of the Droshky and Thunder Hawk wells and related infrastructure in the US Gulf Coast

9

2025 OUTLOOK

Forecast

Key Financial Metrics

($ in millions)

2025

2024

Outlook

Actual

Revenues

$

1,360 - 1,500

$

1,359

Adjusted EBITDA1

320

- 380

303

Free Cash Flow1,2

175

- 225

163

Capital Additions3

70 - 90

59

Revenue Split:

Well Intervention

$

850 - 890

$

830

Robotics

290

- 340

298

Shallow Water Abandonment

190

- 230

187

Production Facilities

70 - 80

89

Eliminations

(40)

(45)

Total Revenue

$

1,360 - 1,500

$

1,359

  • Adjusted EBITDA and Free Cash Flow are non-GAAP financial measures; see non-GAAP reconciliations below
  • Free Cash Flow in 2024 included $58 million related to the Alliance acquisition earn out
  • Capital Additions include regulatory certification costs for our vessels and systems as well as other capital expenditures

Key Forecast Drivers

Our 2025 outlook will be affected, among other things, by the timing and extent of the winter weather seasonal impact to our utilization and the following expected key drivers:

Well Intervention

  • Q4000 - length of Nigeria campaign and utilization on return to the U.S. Gulf Coast
  • Q5000 - operating efficiency North Sea; seasonal utilization on Well Enhancer and Seawell
  • Brazil - Siem Helix 1 transition from Trident to new Petrobras contract; Siem Helix 2 operating efficiency
  • Q7000 - transition to Brazil Shell contract and operating efficiency

Robotics

  • Seasonal utilization in the North Sea and Asia Pacific on chartered vessels

Shallow Water Abandonment

  • Strength of contracting for oil and gas properties in bankruptcies reverting to former owners; seasonal utilization of shallow water operations on the U.S. Gulf Coast shelf

Production Facilities

  • Thunder Hawk duration of well shut-ins; timing of remediation efforts

10

10

KEY FINANCIAL METRICS

Debt Instrument Profile

Principal Payment Schedule at 12/31/24

Debt and Liquidity Profile at 12/31/24

($ in millions)

($ in millions)

$300 $250

$200

$300

$150 $100

$50

$9

$10

$5

$0

2025

2026

2027

2028

2029

MARAD

2029 Senior Notes

$500

$431

$430

$400

$305

$285

$300

$368

$335

$200

$256

$187

$100

$53

$22

$0

($100)

$(75)

$(30)

($200)

$(264)

$(305)

$(315)

($300)

$(362)

($400)

12/31/21

12/31/22

12/31/23

12/31/24

Cash

1

Long-term debt

2

Liquidity

3

Net Debt 4

Total funded debt of $324 million at 12/31/24

    • $300 million Senior Notes due 2029 - 9.75%
    • $24 million MARAD Debt - 4.93%
      • Semi-annualamortization payments through maturity in Q1 2027
  • Excludes $9 million of remaining unamortized debt discount and issuance costs
  • Cash includes cash and cash equivalents but excludes restricted cash of $71 million, at December 31, 2021
  • Long-termdebt net of debt issuance costs
  • Liquidity is calculated as the sum of cash and cash equivalents and available capacity under Helix's ABL facility but excludes cash pledged to the ABL facility
  • Net Debt is a non-GAAP financial measure; see non-GAAP reconciliations below

Amounts may not add due to rounding

11

11

Disclaimer

Helix Energy Solutions Group Inc. published this content on March 04, 2025, and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on March 04, 2025 at 04:00:28.672.

MoneyController also suggests