Prosafe SE Achieves Strong Financial Performance in Q2 2025
Prosafe SE Financial Overview
(Figures in brackets refer to the corresponding period last year)
Prosafe SE recently announced its second-quarter financial results, showcasing an EBITDA of USD 3.1 million, a decline from USD 6.6 million in the same quarter last year. For the first half of 2025, EBITDA stood at USD 7.7 million, down from USD 13.8 million previously.
Operational Performance and Utilisation
The operational performance across all vessels has shown remarkable consistency.
Highlights of Operations
- Overall vessel utilization reached 66%, with four of the five vessels actively operating during the quarter.
- The vessels Safe Zephyrus, Safe Eurus, and Safe Notos enjoyed a high utilization rate of 99% while working in Brazil.
- Safe Caledonia began its operations at the Captain Field in the UK earlier this month, marking a significant milestone.
- Safe Boreas, on the other hand, arrived in Singapore recently and is anticipated to participate in a contract in Australia.
New Contracts
The Safe Notos has been awarded a four-year contract with Petrobras in Brazil, set to kick off in September 2026. This contract extension comes alongside a notable increase in day rates.
Currently, the company boasts a backlog of USD 518 million, an increase from USD 323 million, including options and Letters of Intent (LOIs).
Financial Results for Q2 and H1
Examining the second quarter, revenues totaled USD 30.9 million compared to USD 34.2 million last year. In the first half, total revenues amounted to USD 63.9 million, decreasing from USD 68.2 million year over year.
The EBITDA figures reveal a decrease: USD 3.1 million for Q2 versus USD 6.6 million previously, while H1 saw EBITDA of USD 7.7 million against USD 13.8 million last year.
Cash flow generated from operations tracked at USD 12.2 million in Q2 and USD 40.8 million in H1, highlighting substantial contract prepayments associated with the Safe Boreas and Safe Caledonia.
Investments in capital expenditure for the second quarter rose to USD 14.5 million, significantly higher than USD 4.2 million recorded last year. First-half capital expenses also increased to USD 35.7 million from USD 5.9 million, largely reflecting reactivations of the Safe Boreas and Safe Caledonia.
As for liquidity, the company holds USD 45 million, a slight drop from USD 46.8 million at the end of last year.
Recapitalisation Efforts
The significant recapitalisation process concluded on July 21, allowing the conversion of USD 193 million of debt into equity for 90% of company shares. This transaction positions the company for sustainable capital structure, ensuring sufficient liquidity to cover future capital and operational needs.
Market Perspective and Future Outlook
Looking forward, EBITDA for 2025 is projected to be between USD 35 million and USD 40 million, with estimated post-recapitalisation net debt of approximately USD 220 million.
Market Trends
The company's growth in backlog suggests rising demand, with Petrobras awards indicating stronger day rates and longer contract durations. Further opportunities are anticipated across Brazil, while campaigns in the North Sea focusing on the UK and Norway are planned for 2027 and beyond.
Improved Earnings Potential
With the current state of backlog and enhanced market conditions, Prosafe is well-positioned for improved earnings in the near future. CEO Terje Askvig expressed confidence in the company's new structure, emphasizing its potential for future success supported by a solid backlog and increasing utilization in the offshore accommodation sector.
Presentation and Future Engagement
Terje Askvig, alongside CFO Reese McNeel, will present these results today at a public gathering. The community is welcome to attend the presentation and can follow it live through web streaming options available.
Contact Information
For further inquiries, interested parties may reach out:
Terje Askvig, CEO
Phone: +47 952 03 886
Reese McNeel, CFO
Phone: +47 415 08 186
Frequently Asked Questions
What are the key financial results for Prosafe SE in Q2 2025?
Prosafe SE reported EBITDA of USD 3.1 million for Q2 2025, along with revenues of USD 30.9 million.
What is the current backlog for Prosafe SE?
The current backlog for Prosafe SE stands at USD 518 million.
What significant operational changes has Prosafe SE made recently?
Prosafe SE has recently completed a recapitalisation of USD 193 million, converting debt into equity.
What trends are affecting Prosafe SE's business outlook?
Rising demand in the offshore accommodation market is positively influencing Prosafe SE's business outlook.
Who can be contacted for more information about Prosafe SE?
Interested parties can contact Terje Askvig, CEO, or Reese McNeel, CFO for inquiries.
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