Tidewater Reports Results for the Three and Six Months Ended June 30, 2024

8/6/24 4:31:00 PM ET

$TDW

Marine Transportation

Consumer Discretionary

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Second Quarter 2024 Highlights

Revenue of $339.2 million, an increase of $18.1 million, or 5.6%, from the first quarter of 2024
Average day rate increased to $21,130 per day, $1,567 higher than the first quarter of 2024
Composite leading edge term contract average day rate of $28,754
- > 900m²PSV - leading edge term contract average day rate improved 8% to $35,172
- 700 - 900m²PSV - leading edge term contract average day rate improved 9% to $28,026
- > 16K BHP AHTS - leading edge term contract average day rate improved 13% to $48,615
- 8 - 12K BHP AHTS - leading edge term contract average day rate improved 8% to $25,175
Net income of $50.4 million, an increase of $3.3 million from the first quarter of 2024
Adjusted EBITDA of $139.7 million, an increase of $0.8 million from the first quarter of 2024
Net cash provided by operating activities of $78.6 million, an increase of $23.9 million from the first quarter of 2024
Free cash flow of $87.6 million, an increase of $18.2 million from the first quarter of 2024

Share Repurchases and 2024 Guidance

Repurchased 176,555 shares from May 2, 2024 through the end of the second quarter through the repurchase of $16.9 million of shares at an average price of $95.66 per share
Board approves additional share repurchase authorization of $13.9 million, for a total current outstanding authorized capacity of $47.7 million, the maximum permissible amount under existing debt agreements
Updated 2024 revenue guidance to $1.39 to $1.41 billion and 2024 gross margin guidance of 51%

Tidewater Inc. (NYSE:TDW) announced today revenue for the three and six months ended June 30, 2024 of $339.2 million and $660.4 million, respectively, compared with $215.0 million and $408.1 million, respectively, for the three and six months ended June 30, 2023. Tidewater's net income for the three and six months ended June 30, 2024, was $50.4 million ($0.94 per common share) and $97.4 million ($1.83 per common share), respectively, compared with net income of $22.6 million ($0.43 per common share) and $33.3 million ($0.64 per common share), respectively, for the three and six months ended June 30, 2023.

Quintin Kneen, Tidewater's President and Chief Executive Officer, commented, "Second quarter revenue came in nicely above our expectations driven by continued strength in global day rates. Our consolidated global average day rate expanded materially during the quarter, with the average day rate increasing nearly $1,600 per day sequentially, the second largest sequential increase in day rate since the offshore vessel recovery began in early 2022. The improvement in day rates was broad-based with each vessel class and each segment posting day rate improvement sequentially. We saw particular strength in our large and mid-sized AHTS vessels, with significant day rate increases on both a term contract and spot basis, which is indicative of the strength of drilling activity during the seasonably favorable second quarter and of the preparation for additional drilling projects as we progress towards the end of the year.

"Chartering activity for our PSVs and AHTS vessels continued to improve, with notable term contract day rate progression in our Europe and Mediterranean and Asia Pacific segments as preparation for activity towards the end of the year and 2025 continues to firm up amid tight vessel supply. The composite leading edge term contract average day rate this quarter declined approximately 6% sequentially as we had several of our smallest vessels come off of long-term contracts early in the Middle East. We were able to immediately re-contract these vessels and the new day rates were on average 29% higher than the previous contracts, but nonetheless the low day rate nature of this market and vessel size brought down the composite quarterly average.

"Revenue in the second quarter came in at $339.2 million with a gross margin of 47.7%. On a global basis, revenue, gross margin and day rate were all up from the previous quarter; both absolute gross margin dollars and day rate marked a new record for Tidewater and we generated the highest gross margin percentage in fifteen years. Utilization declined modestly as drydock days increased sequentially due to more vessels undergoing drydocks during the quarter. We anticipate that drydock days in the third quarter should decline modestly from the second quarter and drop meaningfully in the fourth quarter as we finish off our peak drydock year in the typical five year drydock cycle.

"We generated $87.6 million of free cash flow during the second quarter, a nice increase from the first quarter and a demonstration of the free cash flow generation capability of the fleet. We were active in repurchasing shares during the second quarter and we currently retain the unused capacity under the previously announced share repurchase authorization. In addition, we are pleased to announce the Board has authorized an additional $13.9 million of share repurchase capacity, for a total outstanding share repurchase capacity of $47.7 million. The outstanding authorization represents the maximum permissible amount of share repurchases under our existing debt agreements. Since the inception of the share repurchase program in the fourth quarter of 2023, we have repurchased approximately $67.9 million of outstanding shares. We believe that the pace of our return of capital program to-date is sustainable on a long-term basis given the outlook for the business and the structural supply and demand factors supporting the offshore supply vessel industry.

"We anticipate strength in the various elements of demand for our vessels to continue to build throughout the year, though we do anticipate several drilling campaigns to begin later during the third quarter and early into the fourth quarter than originally anticipated, and in addition we expect an increase in drydock days from what was previously anticipated for the third quarter. As such, we update our full-year revenue guidance to $1.39 to $1.41 billion and gross margin guidance of 51%. We remain optimistic about the outlook for 2025, as the observable supply and demand factors driving the offshore vessel industry remain highly constructive, which should allow us to maintain the pace of day rate increases that we have achieved over the past year, combined with a substantial increase in available vessel days as the heaviest drydock schedule in 2024 rolls into the lightest drydock schedule in 2025, naturally lifting vessel utilization."

In addition to the number of outstanding shares, as of June 30, 2024, the Company also has the following in-the-money warrants.

Common shares outstanding			52,487,862
New Creditor Warrants (strike price $0.001 per common share)			76,175
GulfMark Creditor Warrants (strike price $0.01 per common share)			81,179
Total			52,645,216

Tidewater will hold a conference call to discuss results for the three months ending June 30, 2024 on August 7, 2024, at 8:00 a.m. Central Time. Investors and interested parties may listen to the earnings conference call via telephone by calling +1.800.715.9871 if calling from the U.S. or Canada (+1.647.932.3411 if calling from outside the U.S. or Canada) and provide Conference ID: 1488572 prior to the scheduled start time. A live webcast of the call will also be available in the Investor Relations section of Tidewater's website at investor.tdw.com.

A replay of the conference call will be available beginning at 11:00 a.m. Central Time on August 7, 2024. To access the replay, visit the Investor Relations section of Tidewater's website at investor.tdw.com.

About Tidewater

Tidewater owns and operates the largest fleet of offshore support vessels in the industry, with 65 years of experience supporting offshore energy exploration, production and offshore wind activities worldwide. To learn more, visit www.tdw.com.

Cautionary Statement

This news release contains "forward-looking statements" within the meaning of the U.S. federal securities laws – that is, any statements that are not historical facts. Such statements often contain words such as "expect," "believe," "think," "anticipate," "predict," "plan," "assume," "estimate," "forecast," "target," "projections," "intend," "should," "will," "shall" and other similar words. Forward-looking statements address matters that are, to varying degrees, uncertain and based on our management's current expectations and beliefs concerning future developments and their potential impact on Tidewater Inc. and its subsidiaries (the "Company").

These forward-looking statements involve risks and uncertainties that could cause actual results to differ, possibly materially, from expectations or estimates reflected in such forward-looking statements, including, among others: fluctuations in worldwide energy demand and oil and gas prices; fleet additions by competitors and industry overcapacity; limited capital resources available to replenish our asset base as needed, including through acquisitions or vessel construction, and to fund our capital expenditure needs; uncertainty of global financial market conditions and potential constraints in accessing capital or credit if and when needed with favorable terms, if at all; changes in decisions and capital spending by customers based on industry expectations for offshore exploration, field development and production; consolidation of our customer base; loss of a major customer; changing customer demands for vessel specifications, which may make some of our older vessels technologically obsolete for certain customer projects or in certain markets; rapid technological changes; delays and other problems associated with vessel maintenance; the continued availability of qualified personnel and our ability to attract and retain them; the operating risks normally incident to our lines of business, including the potential impact of liquidated counterparties; our ability to comply with covenants in our indentures and other debt instruments; acts of terrorism and piracy; the impact of regional or global public health crises or pandemics; the impact of potential information technology, cybersecurity or data security breaches; integration of acquired businesses and entry into new lines of business; disagreements with our joint venture partners; natural disasters or significant weather conditions; unsettled political conditions, war, civil unrest and governmental actions, such as expropriation or enforcement of customs or other laws that are not well developed or consistently enforced; risks associated with our international operations, including local content, local currency or similar requirements especially in higher political risk countries where we operate; interest rate and foreign currency fluctuations; labor changes proposed by international conventions; increased regulatory burdens and oversight; changes in laws governing the taxation of foreign source income; retention of skilled workers; enforcement of laws related to the environment, labor and foreign corrupt practices; increased global concern, regulation and scrutiny regarding climate change; increased stockholder activism; the potential liability for remedial actions or assessments under existing or future environmental regulations or litigation; the effects of asserted and unasserted claims and the extent of available insurance coverage; the resolution of pending legal proceedings; and other risks and uncertainties detailed in our most recent Form 10-K, Form 10-Qs and Form 8-Ks filed with or furnished to the SEC.

If one or more of these or other risks or uncertainties materialize (or the consequences of any such development changes), or should our underlying assumptions prove incorrect, actual results or outcomes may vary materially from those reflected in our forward-looking statements. Forward-looking and other statements in this presentation regarding our environmental, social and other sustainability plans, goals or activities are not an indication that these statements are necessarily material to investors or required to be disclosed in our filings with the SEC. In addition, historical, current, and forward-looking environmental, social and sustainability-related statements may be based on standards still developing, internal controls and processes that we continue to evolve, and assumptions subject to change in the future. Statements in this release are made as of the date hereof, and the Company disclaims any intention or obligation to update publicly or revise such statements, whether as a result of new information, future events or otherwise.

Financial information is displayed beginning on the next page.

The financial statements and supplementary information presented in this press release were not audited. This press release presents extracts from the Consolidated Balance Sheets at June 30, 2024 and December 31, 2023; the Consolidated Statements of Operations and Consolidated Statements of Equity for the three and six months ended June 30, 2024 and 2023; and the Consolidated Statements of Cash Flows for the six months ended June 30, 2024 and 2023. Extracts are drawn from the June 30, 2024 unaudited quarterly and year to date financial statements and the December 31, 2023 audited annual financial statements of Tidewater Inc. All per-share amounts are stated on a diluted basis.


TIDEWATER INC. CONDENSED CONSOLIDATED INCOME STATEMENTS (In Thousands, except per share data)

	Three Months Ended						Six Months Ended
	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Revenues:
Vessel revenues	$	337,003		$	210,323		$	655,689		$	401,503
Other operating revenues		2,227			4,638			4,705			6,562
Total revenues		339,230			214,961			660,394			408,065
Costs and expenses:
Vessel operating costs		176,513			118,264			344,069			233,723
Costs of other operating revenues		816			373			1,966			1,524
General and administrative		26,329			26,013			51,658			49,558
Depreciation and amortization		59,445			32,768			115,715			63,434
Gain on asset dispositions, net		(2,000	)		(1,404	)		(13,039	)		(3,620	)
Total costs and expenses		261,103			176,014			500,369			344,619
Operating income		78,127			38,947			160,025			63,446
Other income (expense):
Foreign exchange loss		(2,376	)		(3,819	)		(6,461	)		(1,471	)
Equity in net earnings of unconsolidated companies		5			25			—			25
Interest income and other, net		1,175			2,790			2,658			2,920
Interest and other debt costs, net		(19,127	)		(4,731	)		(38,603	)		(8,921	)
Total other expense		(20,323	)		(5,735	)		(42,406	)		(7,447	)
Income before income taxes		57,804			33,212			117,619			55,999
Income tax expense		7,887			11,284			20,957			23,255
Net income		49,917			21,928			96,662			32,744
Less: Net loss attributable to noncontrolling interests		(437	)		(656	)		(718	)		(578	)
Net income attributable to Tidewater Inc.	$	50,354		$	22,584		$	97,380		$	33,322
Basic income per common share	$	0.96		$	0.44		$	1.85		$	0.66
Diluted income per common share	$	0.94		$	0.43		$	1.83		$	0.64
Weighted average common shares outstanding		52,684			50,857			52,502			50,731
Dilutive effect of warrants, restricted stock units and stock options		663			1,148			640			1,260
Adjusted weighted average common shares		53,347			52,005			53,142			51,991


TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands, except share and par value data)

	June 30, 2024			December 31, 2023
ASSETS
Current assets:
Cash and cash equivalents	$	315,897		$	274,437
Restricted cash		3,527			1,241
Trade and other receivables, net of allowance for credit losses of $3,350 and $15,914 at June 30, 2024 and December 31, 2023, respectively		280,498			268,352
Marine operating supplies		26,908			31,933
Prepaid expenses and other current assets		20,115			15,172
Total current assets		646,945			591,135
Net properties and equipment		1,253,583			1,315,122
Deferred drydocking and survey costs		148,657			106,698
Indemnification assets		10,920			17,370
Other assets		29,643			32,449
Total assets	$	2,089,748		$	2,062,774

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	60,740		$	44,931
Accrued expenses		133,149			125,590
Current portion of long-term debt		102,993			103,077
Other current liabilities		43,342			55,133
Total current liabilities		340,224			328,731
Long-term debt		607,998			631,361
Other liabilities		62,539			64,985

Commitments and contingencies

Equity:
Common stock of $0.001 par value, 125,000,000 shares authorized, 52,487,862 and 52,259,303 shares issued and outstanding at June 30, 2024 and December 31, 2023, respectively		52			52
Additional paid-in-capital		1,649,523			1,671,759
Accumulated deficit		(573,390	)		(637,838	)
Accumulated other comprehensive loss		5,062			5,266
Total stockholders' equity		1,081,247			1,039,239
Noncontrolling interests		(2,260	)		(1,542	)
Total equity		1,078,987			1,037,697
Total liabilities and equity	$	2,089,748		$	2,062,774


TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (In Thousands)

	Three Months Ended						Six Months Ended
	June 30, 2024			June 30, 2023			June 30, 2024			June 30, 2023
Net income	$	49,917		$	21,928		$	96,662		$	32,744
Other comprehensive income (loss):
Unrealized gain (loss) on note receivable		73			(184	)		153			(316	)
Change in liability of pension plans		(220	)		(3,504	)		(357	)		(3,694	)
Total comprehensive income	$	49,770		$	18,240		$	96,458		$	28,734


TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In Thousands)

	Six Months			Six Months
	Ended			Ended
	June 30, 2024			June 30, 2023
Operating activities:
Net income	$	96,662		$	32,744
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation		78,191			42,144
Amortization of deferred drydocking and survey costs		37,524			21,290
Amortization of debt premiums and discounts		3,593			842
Amortization of below market contracts		(2,856	)		—
Provision for deferred income taxes		32			34
Gain on asset dispositions, net		(13,039	)		(3,620	)
Gain on pension settlement		—			(1,807	)
Stock-based compensation expense		6,226			4,751
Changes in assets and liabilities, net of effects of business acquisition:
Trade and other receivables		(12,146	)		(37,919	)
Accounts payable		15,809			30,876
Accrued expenses		10,648			(13,544	)
Deferred drydocking and survey costs		(80,101	)		(52,691	)
Other, net		(7,133	)		(565	)
Net cash provided by operating activities		133,410			22,535
Cash flows from investing activities:
Proceeds from asset dispositions		14,817			8,659
Proceeds from sale of notes		702			—
Additions to properties and equipment		(17,334	)		(17,500	)
Net cash used in investing activities		(1,815	)		(8,841	)
Cash flows from financing activities:
Proceeds from issuance of shares		2			—
Principal payments on long-term debt		(26,507	)		—
Purchase of common stock		(32,898	)		—
Acquisition of non-controlling interest in a majority owned subsidiary		—			(1,427	)
Debt issuance costs		(193	)		—
Share based awards reacquired to pay taxes		(28,463	)		(5,521	)
Net cash used in financing activities		(88,059	)		(6,948	)
Net change in cash, cash equivalents and restricted cash		43,536			6,746
Cash, cash equivalents and restricted cash at beginning of period		277,965			167,977
Cash, cash equivalents and restricted cash at end of period	$	321,501		$	174,723


Supplemental disclosure of cash flow information:
Cash paid during the year for:
Interest, net of amounts capitalized	$	30,546	$	7,846
Income taxes	$	33,084	$	27,201
Supplemental disclosure of noncash investing activities:
Purchase of vessels	$	—	$	12,171
Supplemental disclosure of noncash financing activities:
Debt incurred for the purchase of vessels	$	—	$	12,171

Note: Cash, cash equivalents and restricted cash at June 30, 2024 includes $2.1 million in long-term restricted cash, which is included in other assets in our consolidated balance sheet.


TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (In Thousands)

	Three Months Ended
									Accumulated
				Additional					other			Non
	Common			paid-in		Accumulated			comprehensive			controlling
	stock			capital		deficit			income			interest			Total
Balance at March 31, 2024	$	53		$	1,646,061	$	(594,347	)	$	5,209		$	(1,823	)	$	1,055,153
Total comprehensive income (loss)		—			—		50,354			(147	)		(437	)		49,770
Issuance of common stock		—			2		—			—			—			2
Repurchase and retirement of common stock		(1	)		—		(29,397	)		—			—			(29,398	)
Amortization of share-based awards		—			3,460		—			—			—			3,460
Balance at June 30, 2024	$	52		$	1,649,523	$	(573,390	)	$	5,062		$	(2,260	)	$	1,078,987

Balance at March 31, 2023	$	51		$	1,553,919	$	(688,911	)	$	8,254		$	100		$	873,413
Total comprehensive income (loss)		—			—		22,584			(3,688	)		(656	)		18,240
Amortization of share-based awards		—			874		—			—			—			874
Balance at June 30, 2023	$	51		$	1,554,793	$	(666,327	)	$	4,566		$	(556	)	$	892,527

	Six Months Ended
										Accumulated
				Additional						other			Non
	Common			paid-in			Accumulated			comprehensive			controlling
	stock			capital			deficit			income (loss)			interest			Total
Balance at December 31, 2023	$	52		$	1,671,759		$	(637,838	)	$	5,266		$	(1,542	)	$	1,037,697
Total comprehensive income (loss)		—			—			97,380			(204	)		(718	)		96,458
Issuance of common stock		1			1			—			—			—			2
Repurchase and retirement of common stock		(1	)		—			(32,932	)		—			—			(32,933	)
Amortization of share-based awards		—			(22,237	)		—			—			—			(22,237	)
Balance at June 30, 2024	$	52		$	1,649,523		$	(573,390	)	$	5,062		$	(2,260	)	$	1,078,987


Balance at December 31, 2022	$	51		$	1,556,990		$	(699,649	)	$	8,576		$	22		$	865,990
Total comprehensive income (loss)		—			—			33,322			(4,010	)		(578	)		28,734
Acquisition of non-controlling interest in a majority owned subsidiary		—			(1,427	)		—			—			—			(1,427	)
Amortization of share-based awards		—			(770	)		—			—			—			(770	)
Balance at June 30, 2023	$	51		$	1,554,793		$	(666,327	)	$	4,566		$	(556	)	$	892,527

The company's vessel revenues and vessel operating costs and the related percentage of total vessel revenues, were as follows:


(In Thousands)	Three Months Ended								Six Months Ended
	June 30, 2024				June 30, 2023				June 30, 2024				June 30, 2023
Vessel revenues:
Americas	$	73,142	22	%	$	50,376	24	%	$	137,083	21	%	$	98,063	24	%
Asia Pacific		55,221	16	%		22,585	11	%		103,002	16	%		44,609	11	%
Middle East		36,536	11	%		31,856	15	%		74,468	11	%		62,618	16	%
Europe/Mediterranean		83,266	25	%		39,295	19	%		163,647	25	%		70,545	18	%
West Africa		88,838	26	%		66,211	31	%		177,489	27	%		125,668	31	%
Total vessel revenues	$	337,003	100	%	$	210,323	100	%	$	655,689	100	%	$	401,503	100	%
Vessel operating costs:
Crew costs	$	106,231	31	%	$	68,007	32	%	$	208,583	32	%	$	134,650	34	%
Repair and maintenance		24,743	7	%		16,834	8	%		46,091	7	%		33,486	8	%
Insurance		2,625	1	%		2,168	1	%		5,205	1	%		4,173	1	%
Fuel, lube and supplies		15,562	5	%		13,958	7	%		32,880	5	%		27,513	7	%
Other		27,352	8	%		17,297	8	%		51,310	7	%		33,901	8	%
Total vessel operating costs		176,513	52	%		118,264	56	%		344,069	52	%		233,723	58	%
Vessel operating margin (A)	$	160,490	48	%	$	92,059	44	%	$	311,620	48	%	$	167,780	42	%

Note (A): Vessel operating margin equals vessel revenues less vessel operating costs.

The company's operating income (loss) and other components of income (loss) before income taxes and its related percentage of total revenues, were as follows:


(In Thousands)	Three Months Ended										Six Months Ended
	June 30, 2024					June 30, 2023					June 30, 2024					June 30, 2023
Vessel operating profit:
Americas	$	20,148		6	%	$	6,245		3	%	$	30,274		5	%	$	14,207		3	%
Asia Pacific		16,931		5	%		7,026		3	%		31,778		5	%		12,594		3	%
Middle East		(1,842	)	(1	)%		(1,657	)	(1	)%		(313	)	(0	)%		(2,001	)	(0	)%
Europe/Mediterranean		15,129		4	%		8,307		4	%		29,886		4	%		10,343		3	%
West Africa		37,739		11	%		25,474		12	%		78,749		12	%		42,695		10	%
Other operating profit		1,411		1	%		4,265		2	%		2,739		0	%		5,038		1	%
		89,516		26	%		49,660		23	%		173,113		26	%		82,876		20	%

Corporate expenses (A)		(13,389	)	(4	)%		(12,117	)	(6	)%		(26,127	)	(4	)%		(23,050	)	(5	)%
Gain on asset dispositions, net		2,000		1	%		1,404		1	%		13,039		2	%		3,620		1	%
Operating income	$	78,127		23	%	$	38,947		18	%	$	160,025		24	%	$	63,446		16	%

Note (A): General and administrative expenses for the three and six months ended June 30, 2024 include stock-based compensation of $3.4 million and $6.2 million, respectively. General and administrative expenses for the three months and six months ended June 30, 2023 include stock-based compensation of $2.7 million and $4.8 million, respectively. In addition, vessel operating and general and administrative costs for the three and six months ended June 30, 2024, include nil and $0.7 million in acquisition, restructuring and integration related costs, respectively. Vessel operating and general and administrative costs for the three months and six months ended June 30, 2023, include $1.3 million and $2.7 million in one-time acquisition, restructuring and integration related costs, respectively.


TIDEWATER INC. CONSOLIDATED STATEMENTS OF EARNINGS – QUARTERLY DATA (In Thousands, except per share data)

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023
Revenues:
Vessel revenues	$	337,003		$	318,686		$	300,515		$	296,975		$	210,323
Other operating revenues		2,227			2,478			2,143			2,287			4,638
Total revenues		339,230			321,164			302,658			299,262			214,961
Costs and expenses:
Vessel operating costs (A)		176,513			167,556			158,553			164,239			118,264
Costs of other operating revenue		816			1,150			1,337			1,481			373
General and administrative (A)		26,329			25,329			24,724			21,001			26,013
Depreciation and amortization		59,445			56,270			59,167			57,730			32,768
Gain on asset dispositions, net		(2,000	)		(11,039	)		(4,218	)		(863	)		(1,404	)
Total operating costs and expenses		261,103			239,266			239,563			243,588			176,014
Operating income		78,127			81,898			63,095			55,674			38,947
Other income (expense):
Foreign exchange gain (loss)		(2,376	)		(4,085	)		2,250			(2,149	)		(3,819	)
Equity in net earnings (losses) of unconsolidated companies		5			(5	)		10			4			25
Interest income and other, net		1,175			1,483			3,029			568			2,790
Interest and other debt costs, net		(19,127	)		(19,476	)		(20,263	)		(19,288	)		(4,731	)
Total other expense		(20,323	)		(22,083	)		(14,974	)		(20,865	)		(5,735	)
Income before income taxes		57,804			59,815			48,121			34,809			33,212
Income tax expense		7,887			13,070			10,793			9,260			11,284
Net income		49,917			46,745			37,328			25,549			21,928
Net loss attributable to noncontrolling interests		(437	)		(281	)		(336	)		(650	)		(656	)
Net income attributable to Tidewater Inc.	$	50,354		$	47,026		$	37,664		$	26,199		$	22,584
Basic income per common share	$	0.96		$	0.90		$	0.72		$	0.50		$	0.44
Diluted income per common share	$	0.94		$	0.89		$	0.70		$	0.49		$	0.43
Weighted average common shares outstanding		52,684			52,320			52,648			52,230			50,857
Dilutive effect of warrants, restricted stock units and stock options		663			580			1,351			1,380			1,148
Adjusted weighted average common shares		53,347			52,900			53,999			53,610			52,005

Vessel operating margin	$	160,490		$	151,130		$	141,962		$	132,736		$	92,059

Note (A): Acquisition, restructuring and integration related costs	$	—		$	709		$	2,177		$	6,079		$	1,242


TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands)

	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023
ASSETS
Current assets:
Cash and cash equivalents	$	315,897		$	280,853		$	274,437		$	275,070		$	171,261
Restricted cash		3,527			6,474			1,241			4,973			1,242
Trade and other receivables, net		280,498			285,968			268,352			250,671			195,906
Marine operating supplies		26,908			24,767			31,933			27,489			22,495
Assets held for sale		—			—			—			565			630
Prepaid expenses and other current assets		20,115			17,447			15,172			16,598			18,958
Total current assets		646,945			615,509			591,135			575,366			410,492
Net properties and equipment		1,253,583			1,286,618			1,315,122			1,348,001			784,873
Deferred drydocking and survey costs		148,657			128,639			106,698			99,215			92,481
Indemnification assets		10,920			16,642			17,370			18,648			22,678
Other assets		29,643			30,408			32,449			30,325			33,640
Total assets	$	2,089,748		$	2,077,816		$	2,062,774		$	2,071,555		$	1,344,164

LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	60,740		$	51,774		$	44,931		$	57,183		$	69,822
Accrued expenses		133,149			132,190			125,590			119,631			91,875
Current portion of long-term debt		102,993			103,009			103,077			102,369			2,441
Other current liabilities		43,342			52,164			55,133			53,301			42,305
Total current liabilities		340,224			339,137			328,731			332,484			206,443
Long-term debt		607,998			620,329			631,361			641,301			179,573
Other liabilities		62,539			63,197			64,985			66,246			65,621


Equity:
Common stock		52			53			52			53			51
Additional paid-in-capital		1,649,523			1,646,061			1,671,759			1,668,392			1,554,793
Accumulated deficit		(573,390	)		(594,347	)		(637,838	)		(640,128	)		(666,327	)
Accumulated other comprehensive income		5,062			5,209			5,266			4,413			4,566
Total stockholders' equity		1,081,247			1,056,976			1,039,239			1,032,730			893,083
Noncontrolling interests		(2,260	)		(1,823	)		(1,542	)		(1,206	)		(556	)
Total equity		1,078,987			1,055,153			1,037,697			1,031,524			892,527
Total liabilities and equity	$	2,089,748		$	2,077,816		$	2,062,774		$	2,071,555		$	1,344,164


TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS – QUARTERLY DATA (In Thousands)

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023
Operating activities:
Net income	$	49,917		$	46,745		$	37,328		$	25,549		$	21,928
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation		39,380			38,811			42,788			43,845			21,096
Amortization of deferred drydocking and survey costs		20,065			17,459			16,379			13,885			11,672
Amortization of debt premiums and discounts		1,779			1,814			1,975			1,802			422
Amortization of below market contracts		(1,650	)		(1,206	)		(1,894	)		(1,906	)		—
Provision (benefit) for deferred income taxes		(41	)		73			23			35			(1	)
Gain on asset dispositions, net		(2,000	)		(11,039	)		(4,218	)		(863	)		(1,404	)
Gain on pension settlement		—			—			(506	)		—			(1,807	)
Stock-based compensation expense		3,460			2,766			3,508			2,496			2,648
Changes in assets and liabilities, net of effects of business acquisition:
Trade and other receivables		5,470			(17,616	)		(17,072	)		(54,765	)		(12,186	)
Accounts payable		8,966			6,843			(12,252	)		(12,639	)		5,047
Accrued expenses		4,048			6,600			5,841			27,775			(15,374	)
Deferred drydocking and survey costs		(40,083	)		(40,018	)		(24,069	)		(20,618	)		(21,366	)
Other, net		(10,666	)		3,533			(600	)		10,343			(934	)
Net cash provided by operating activities		78,645			54,765			47,231			34,939			9,741
Cash flows from investing activities:
Proceeds from asset dispositions		2,354			12,463			5,902			945			2,943
Proceeds from sale of notes		702			—			—			—			—
Acquisitions, net of cash acquired		—			—			—			(594,191	)		—
Additions to properties and equipment		(6,392	)		(10,942	)		(8,386	)		(5,702	)		(8,849	)
Net cash provided by (used in) investing activities		(3,336	)		1,521			(2,484	)		(598,948	)		(5,906	)
Cash flows from financing activities:
Exercise of warrants		—			—			—			111,483			—
Proceeds from issuance of shares		2			—			—			—			—
Issuance of long-term debt		—			—			—			575,000			—
Principal payments on long-term debt		(14,007	)		(12,500	)		(13,677	)		—			—
Purchase of common stock		(29,397	)		(3,501	)		(35,025	)		—			—
Debt issuance costs		(58	)		(135	)		—			(14,758	)		—
Share based awards reacquired to pay taxes		(1	)		(28,462	)		(141	)		(378	)		(1,774	)
Net cash provided by (used in) financing activities		(43,461	)		(44,598	)		(48,843	)		671,347			(1,774	)
Net change in cash, cash equivalents and restricted cash		31,848			11,688			(4,096	)		107,338			2,061
Cash, cash equivalents and restricted cash at beginning of period		289,653			277,965			282,061			174,723			172,662
Cash, cash equivalents and restricted cash at end of period	$	321,501		$	289,653		$	277,965		$	282,061		$	174,723

Supplemental disclosure of cash flow information:
Cash paid during the year for:
Interest, net of amounts capitalized	$	14,925		$	15,621		$	18,186		$	606		$	7,748
Income taxes	$	17,481		$	15,603		$	7,295		$	9,384		$	10,144
Supplemental disclosure of noncash investing activities:
Purchase of vessels	$	—		$	—		$	2,067		$	27		$	12,171
Supplemental disclosure of noncash financing activities:
Debt incurred for purchase of vessels	$	—		$	—		$	3,037		$	27		$	12,171


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands)

	Three Months Ended
	June 30,			March 31,		December 31,		September 30,		June 30,
	2024			2024		2023		2023		2023
VESSEL REVENUE BY VESSEL CLASS

Americas fleet:
PSV > 900	$	31,400		$	29,924	$	28,714	$	29,270	$	20,316
PSV < 900		28,010			24,531		28,143		28,886		19,134
AHTS > 16K		7,228			2,036		4,034		3,584		3,425
AHTS 8 - 16K		2,002			2,476		2,316		2,064		2,807
AHTS 4 - 8K		219			945		1,428		1,570		1,480
Other		4,283			4,029		3,790		5,343		3,214
Total		73,142			63,941		68,425		70,717		50,376
Asia Pacific fleet:
PSV > 900		21,578			23,210		19,485		20,159		9,648
PSV < 900		14,402			11,830		8,679		8,292		5,811
AHTS > 16K		7,815			4,555		3,759		3,271		2,065
AHTS 8 - 16K		7,874			4,507		4,706		5,287		5,001
AHTS 4 - 8K		1,269			1,576		1,601		1,582		8
Other		2,283			2,103		402		403		52
Total		55,221			47,781		38,632		38,994		22,585
Middle East fleet:
PSV > 900		1,359			1,365		1,378		1,088		1,211
PSV < 900		19,963			21,017		19,215		17,790		16,812
AHTS > 16K		(3	)		287		1,178		1,196		1,217
AHTS 8 - 16K		3,163			2,397		3,094		3,420		4,276
AHTS 4 - 8K		12,054			12,866		13,207		11,191		8,340
Total		36,536			37,932		38,072		34,685		31,856
Europe/Mediterranean fleet:
PSV > 900		64,875			61,827		61,559		59,872		27,602
PSV < 900		13,290			14,126		15,356		14,039		9,195
AHTS > 16K		4,057			3,346		2,437		3,617		2,228
Other		1,044			1,082		1,391		1,401		270
Total		83,266			80,381		80,743		78,929		39,295
West Africa fleet:
PSV > 900		20,044			21,743		15,478		17,566		11,550
PSV < 900		32,601			31,812		31,893		26,396		25,419
AHTS > 16K		8,065			8,048		6,994		7,138		9,129
AHTS 8 - 16K		18,466			16,316		11,219		11,917		9,870
AHTS 4 - 8K		2,827			2,370		2,126		2,745		3,496
Other		6,835			8,362		6,933		7,888		6,747
Total		88,838			88,651		74,643		73,650		66,211
Worldwide fleet:
PSV > 900		139,256			138,069		126,614		127,955		70,327
PSV < 900		108,266			103,316		103,286		95,403		76,371
AHTS > 16K		27,162			18,272		18,402		18,806		18,064
AHTS 8 - 16K		31,505			25,696		21,335		22,688		21,954
AHTS 4 - 8K		16,369			17,757		18,362		17,088		13,324
Other		14,445			15,576		12,516		15,035		10,283
Total	$	337,003		$	318,686	$	300,515	$	296,975	$	210,323


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023
AVERAGE NUMBER OF VESSELS:

Americas fleet:
PSV > 900		11			11			12			12			10
PSV < 900		17			18			18			18			15
AHTS > 16K		2			2			2			2			2
AHTS 8 - 16K		2			2			2			2			2
AHTS 4 - 8K		2			2			2			2			2
Other		1			1			2			2			2
Total		35			36			38			38			33
Stacked vessels		—			(1	)		(1	)		(1	)		(1	)
Active vessels		35			35			37			37			32
Asia Pacific fleet:
PSV > 900		9			8			8			8			6
PSV < 900		5			5			5			4			2
AHTS > 16K		3			3			2			2			2
AHTS 8 - 16K		3			3			3			3			3
AHTS 4 - 8K		1			1			1			1			1
Other		1			1			—			—			—
Total		22			21			19			18			14
Stacked vessels		—			—			—			—			—
Active vessels		22			21			19			18			14
Middle East fleet:
PSV > 900		1			1			1			1			1
PSV < 900		20			20			20			20			20
AHTS > 16K		—			—			1			1			1
AHTS 8 - 16K		5			5			5			5			5
AHTS 4 - 8K		17			17			18			18			17
Total		43			43			45			45			44
Stacked vessels		—			—			—			—			—
Active vessels		43			43			45			45			44
Europe/Mediterranean fleet:
PSV > 900		39			40			39			38			18
PSV < 900		9			9			10			10			7
AHTS > 16K		2			2			2			2			1
Total		50			51			51			50			26
Stacked vessels		—			—			—			—			—
Active vessels		50			51			51			50			26
West Africa fleet:
PSV > 900		9			9			9			9			7
PSV < 900		19			19			19			19			18
AHTS > 16K		4			4			4			4			5
AHTS 8 - 16K		11			11			11			11			11
AHTS 4 - 8K		4			4			4			5			6
Other		20			21			21			24			23
Total		67			68			68			72			70
Stacked vessels		(1	)		(1	)		(1	)		(3	)		(5	)
Active vessels		66			67			67			69			65
Worldwide fleet:
PSV > 900		69			69			69			68			42
PSV < 900		70			71			72			71			62
AHTS > 16K		11			11			11			11			11
AHTS 8 - 16K		21			21			21			21			21
AHTS 4 - 8K		24			24			25			26			26
Other		22			23			23			26			25
Total		217			219			221			223			187
Stacked vessels		(1	)		(2	)		(2	)		(4	)		(6	)
Active vessels		216			217			219			219			181

Total active		216			217			219			219			181
Total stacked		1			2			2			4			6
Total		217			219			221			223			187


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA

	Three Months Ended
	June 30,		March 31,		December 31,		September 30,		June 30,
	2024		2024		2023		2023		2023
AVAILABLE DAYS - TOTAL FLEET:

Americas fleet:
PSV > 900		960		1,001		1,104		1,095		910
PSV < 900		1,547		1,631		1,675		1,730		1,365
AHTS > 16K		182		182		184		184		182
AHTS 8 - 16K		182		182		184		184		182
AHTS 4 - 8K		182		182		184		184		182
Other		123		128		184		184		182
Total		3,176		3,306		3,515		3,561		3,003
Asia Pacific fleet:
PSV > 900		819		765		736		726		559
PSV < 900		455		455		454		358		182
AHTS > 16K		273		241		184		184		182
AHTS 8 - 16K		273		273		276		276		273
AHTS 4 - 8K		91		91		92		92		91
Other		59		54		—		—		—
Total		1,970		1,879		1,742		1,636		1,287
Middle East fleet:
PSV > 900		91		91		92		92		91
PSV < 900		1,820		1,820		1,840		1,840		1,820
AHTS > 16K		—		32		92		92		91
AHTS 8 - 16K		455		455		460		460		455
AHTS 4 - 8K		1,547		1,547		1,615		1,640		1,556
Total		3,913		3,945		4,099		4,124		4,013
Europe/Mediterranean fleet:
PSV > 900		3,590		3,603		3,588		3,492		1,638
PSV < 900		819		838		920		907		637
AHTS > 16K		182		182		184		184		139
Total		4,591		4,623		4,692		4,583		2,414
West Africa fleet:
PSV > 900		819		819		828		819		637
PSV < 900		1,729		1,729		1,735		1,744		1,638
AHTS > 16K		364		364		368		368		407
AHTS 8 - 16K		1,001		1,001		1,012		1,012		1,001
AHTS 4 - 8K		330		364		385		476		546
Other		1,820		1,875		1,899		2,184		2,099
Total		6,063		6,152		6,227		6,603		6,328
Worldwide fleet:
PSV > 900		6,279		6,279		6,348		6,224		3,835
PSV < 900		6,370		6,473		6,624		6,579		5,642
AHTS > 16K		1,001		1,001		1,012		1,012		1,001
AHTS 8 - 16K		1,911		1,911		1,932		1,932		1,911
AHTS 4 - 8K		2,150		2,184		2,276		2,392		2,375
Other		2,002		2,057		2,083		2,368		2,281
Total		19,713		19,905		20,275		20,507		17,045


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA

	Three Months Ended
	June 30,		March 31,		December 31,		September 30,		June 30,
	2024		2024		2023		2023		2023
OUT-OF-SERVICE - STACKED DAYS:

Americas fleet:
PSV < 900		—		84		92		92		91
Total		—		84		92		92		91
West Africa fleet:
AHTS 4 - 8K		57		91		109		184		182
Other		—		—		16		103		265
Total		57		91		125		287		447
Worldwide fleet:
PSV < 900		—		84		92		92		91
AHTS 4 - 8K		57		91		109		184		182
Other		—		—		16		103		265
Total		57		175		217		379		538


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA

	Three Months Ended
	June 30,		March 31,		December 31,		September 30,		June 30,
	2024		2024		2023		2023		2023
AVAILABLE DAYS - ACTIVE FLEET:

Americas fleet:
PSV > 900		960		1,001		1,104		1,095		910
PSV < 900		1,547		1,547		1,583		1,638		1,274
AHTS > 16K		182		182		184		184		182
AHTS 8 - 16K		182		182		184		184		182
AHTS 4 - 8K		182		182		184		184		182
Other		123		128		184		184		182
Total		3,176		3,222		3,423		3,469		2,912
Asia Pacific fleet:
PSV > 900		819		765		736		726		559
PSV < 900		455		455		454		358		182
AHTS > 16K		273		241		184		184		182
AHTS 8 - 16K		273		273		276		276		273
AHTS 4 - 8K		91		91		92		92		91
Other		59		54		—		—		—
Total		1,970		1,879		1,742		1,636		1,287
Middle East fleet:
PSV > 900		91		91		92		92		91
PSV < 900		1,820		1,820		1,840		1,840		1,820
AHTS > 16K		—		32		92		92		91
AHTS 8 - 16K		455		455		460		460		455
AHTS 4 - 8K		1,547		1,547		1,615		1,640		1,556
Total		3,913		3,945		4,099		4,124		4,013
Europe/Mediterranean fleet:
PSV > 900		3,590		3,603		3,588		3,492		1,638
PSV < 900		819		838		920		907		637
AHTS > 16K		182		182		184		184		139
Total		4,591		4,623		4,692		4,583		2,414
West Africa fleet:
PSV > 900		819		819		828		819		637
PSV < 900		1,729		1,729		1,735		1,744		1,638
AHTS > 16K		364		364		368		368		407
AHTS 8 - 16K		1,001		1,001		1,012		1,012		1,001
AHTS 4 - 8K		273		273		276		292		364
Other		1,820		1,875		1,883		2,081		1,834
Total		6,006		6,061		6,102		6,316		5,881
Worldwide fleet:
PSV > 900		6,279		6,279		6,348		6,224		3,835
PSV < 900		6,370		6,389		6,532		6,487		5,551
AHTS > 16K		1,001		1,001		1,012		1,012		1,001
AHTS 8 - 16K		1,911		1,911		1,932		1,932		1,911
AHTS 4 - 8K		2,093		2,093		2,167		2,208		2,193
Other		2,002		2,057		2,067		2,265		2,016
Total		19,656		19,730		20,058		20,128		16,507


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA

		Three Months Ended
	June 30,				March 31,			December 31,			September 30,			June 30,
		2024			2024			2023			2023			2023
UTILIZATION - TOTAL FLEET:

Americas fleet:
PSV > 900			92.2	%		87.9	%		77.2	%		84.5	%		78.5	%
PSV < 900			80.3			70.0			78.9			85.7			83.9
AHTS > 16K			99.1			33.4			59.0			54.7			50.0
AHTS 8 - 16K			58.6			80.2			74.0			65.4			100.0
AHTS 4 - 8K			14.2			59.7			93.7			97.8			93.7
Other			99.4			100.0			100.0			100.0			100.0
Total			80.7	%		74.5	%		78.9	%		84.1	%		82.8	%
Asia Pacific fleet:
PSV > 900			87.6	%		93.7	%		93.4	%		97.3	%		71.1	%
PSV < 900			96.3			86.3			92.3			99.0			100.0
AHTS > 16K			65.3			53.4			72.7			66.7			60.7
AHTS 8 - 16K			80.8			75.9			63.9			78.9			85.0
AHTS 4 - 8K			78.5			100.0			100.0			100.0			10.4
Other			77.9			76.8			—			—			—
Total			84.9	%		84.0	%		86.6	%		91.3	%		72.4	%
Middle East fleet:
PSV > 900			100.0	%		100.0	%		100.0	%		90.2	%		100.0	%
PSV < 900			88.0			95.3			88.6			82.8			81.6
AHTS > 16K			—			69.3			100.0			100.0			100.0
AHTS 8 - 16K			66.6			50.1			60.4			69.0			87.0
AHTS 4 - 8K			82.9			86.5			87.6			77.7			63.4
Total			83.8	%		86.6	%		85.6	%		79.8	%		76.0	%
Europe/Mediterranean fleet:
PSV > 900			87.4	%		88.9	%		91.4	%		90.8	%		91.0	%
PSV < 900			87.5			90.9			86.8			86.4			81.3
AHTS > 16K			46.4			34.1			53.2			63.3			43.4
Total			85.8	%		87.1	%		89.0	%		88.8	%		85.7	%
West Africa fleet:
PSV > 900			78.4	%		86.9	%		64.9	%		88.5	%		83.1	%
PSV < 900			79.2			82.6			95.4			85.1			91.1
AHTS > 16K			79.5			89.8			91.1			77.0			92.9
AHTS 8 - 16K			98.2			98.6			72.4			79.5			79.6
AHTS 4 - 8K			71.9			66.7			57.6			58.5			62.9
Other			49.5			55.9			56.9			50.0			49.4
Total			72.9	%		77.1	%		73.3	%		70.7	%		72.3	%
Worldwide fleet:
PSV > 900			87.1	%		89.2	%		85.8	%		90.1	%		84.0	%
PSV < 900			84.3			84.3			87.9			85.6			85.5
AHTS > 16K			73.2			60.0			75.8			70.7			73.0
AHTS 8 - 16K			84.4			82.0			68.5			75.6			84.1
AHTS 4 - 8K			75.2			81.6			83.5			76.3			63.5
Other			53.4			59.2			60.7			53.9			53.4
Total			80.5	%		81.5	%		81.5	%		80.5	%		76.9	%


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA

		Three Months Ended
	June 30,				March 31,			December 31,			September 30,			June 30,
		2024			2024			2023			2023			2023
UTILIZATION - ACTIVE FLEET:

Americas fleet:
PSV > 900			92.2	%		87.9	%		77.2	%		84.5	%		78.5	%
PSV < 900			80.3			73.8			83.4			90.5			89.9
AHTS > 16K			99.1			33.4			59.0			54.7			50.0
AHTS 8 - 16K			58.6			80.2			74.0			65.4			100.0
AHTS 4 - 8K			14.2			59.7			93.7			97.8			93.7
Other			99.4			100.0			100.0			100.0			100.0
Total			80.7	%		76.5	%		81.0	%		86.3	%		85.4	%
Asia Pacific fleet:
PSV > 900			87.6	%		93.7	%		93.4	%		97.3	%		71.1	%
PSV < 900			96.3			86.3			92.3			99.0			100.0
AHTS > 16K			65.3			53.4			72.7			66.7			60.7
AHTS 8 - 16K			80.8			75.9			63.9			78.9			85.0
AHTS 4 - 8K			78.5			100.0			100.0			100.0			10.4
Other			77.9			76.8			—			—			—
Total			84.9	%		84.0	%		86.6	%		91.3	%		72.4	%
Middle East fleet:
PSV > 900			100.0	%		100.0	%		100.0	%		90.2	%		100.0	%
PSV < 900			88.0			95.3			88.6			82.8			81.6
AHTS > 16K			—			69.3			100.0			100.0			100.0
AHTS 8 - 16K			66.6			50.1			60.4			69.0			87.0
AHTS 4 - 8K			82.9			86.5			87.6			77.7			63.4
Total			83.8	%		86.6	%		85.6	%		79.8	%		76.0	%
Europe/Mediterranean fleet:
PSV > 900			87.4	%		88.9	%		91.4	%		90.8	%		91.0	%
PSV < 900			87.5			90.9			86.8			86.4			81.3
AHTS > 16K			46.4			34.1			53.2			63.3			43.4
Total			85.8	%		87.1	%		89.0	%		88.8	%		85.7	%
West Africa fleet:
PSV > 900			78.4	%		86.9	%		64.9	%		88.5	%		83.1	%
PSV < 900			79.2			82.6			95.4			85.1			91.1
AHTS > 16K			79.5			89.8			91.1			77.0			92.9
AHTS 8 - 16K			98.2			98.6			72.4			79.5			79.6
AHTS 4 - 8K			86.9			88.9			80.4			95.4			94.3
Other			49.5			55.9			57.4			52.5			56.5
Total			73.6	%		78.3	%		74.8	%		73.9	%		77.8	%
Worldwide fleet:
PSV > 900			87.1	%		89.2	%		85.8	%		90.1	%		84.0	%
PSV < 900			84.3			85.4			89.2			86.8			86.9
AHTS > 16K			73.2			60.0			75.8			70.7			73.0
AHTS 8 - 16K			84.4			82.0			68.5			75.6			84.1
AHTS 4 - 8K			77.2			85.1			87.7			82.6			68.8
Other			53.4			59.2			61.2			56.4			60.4
Total			80.7	%		82.3	%		82.4	%		82.1	%		79.4	%


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA

	Three Months Ended
	June 30,		March 31,		December 31,		September 30,		June 30,
	2024		2024		2023		2023		2023
AVERAGE VESSEL DAY RATES: (A)

Americas fleet:
PSV > 900	$	35,490	$	34,015	$	33,707	$	31,648	$	28,446
PSV < 900		22,542		21,499		21,306		19,479		16,702
AHTS > 16K		40,088		33,490		37,174		35,598		37,640
AHTS 8 - 16K		18,771		16,964		16,997		17,157		15,421
AHTS 4 - 8K		8,453		8,703		8,285		8,717		8,678
Other		30,266		30,423		18,427		26,857		17,658
Total		28,317		25,894		24,524		23,495		20,269
Asia Pacific fleet:
PSV > 900		30,070		32,387		28,351		28,525		24,276
PSV < 900		32,875		30,122		20,703		23,380		31,927
AHTS > 16K		43,808		35,411		28,120		26,649		18,690
AHTS 8 - 16K		35,678		21,757		26,680		24,275		21,561
AHTS 4 - 8K		17,758		17,315		17,404		17,197		946
Other		43,350		43,703		—		—		—
Total		32,848		30,101		25,378		25,867		24,250
Middle East fleet:
PSV > 900		14,936		14,996		14,972		13,112		13,304
PSV < 900		12,466		12,115		11,785		11,677		11,320
AHTS > 16K		—		12,968		12,801		13,004		13,378
AHTS 8 - 16K		10,440		10,515		11,140		10,771		10,804
AHTS 4 - 8K		9,404		9,609		9,334		8,787		8,460
Total		11,148		11,108		10,855		10,544		10,449
Europe/Mediterranean fleet:
PSV > 900		20,686		19,294		18,771		18,879		18,512
PSV < 900		18,543		18,557		19,227		17,926		17,756
AHTS > 16K		47,999		53,966		24,899		31,048		36,913
Total		20,950		19,763		19,061		19,105		18,990
West Africa fleet:
PSV > 900		31,231		30,557		28,797		24,220		21,815
PSV < 900		23,818		22,287		19,271		17,781		17,040
AHTS > 16K		27,861		24,611		20,869		25,192		24,154
AHTS 8 - 16K		18,784		16,536		15,302		14,804		12,382
AHTS 4 - 8K		11,915		9,766		9,583		9,858		10,178
Other		7,587		7,975		6,415		7,217		6,511
Total		20,093		18,687		16,356		15,772		14,469
Worldwide fleet:
PSV > 900		25,452		24,640		23,240		22,804		21,820
PSV < 900		20,170		18,932		17,734		16,949		15,837
AHTS > 16K		37,073		30,423		23,985		26,293		24,719
AHTS 8 - 16K		19,527		16,390		16,120		15,533		13,662
AHTS 4 - 8K		10,127		9,969		9,658		9,368		8,828
Other		11,968		11,797		8,397		10,281		8,441
Total	$	21,130	$	19,563	$	18,066	$	17,865	$	16,042

Note (A): Average Vessel Day Rates equals Vessel Revenue / Days Worked.


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands)

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023

Americas
Vessel revenues	$	73,142		$	63,941		$	68,425		$	70,717		$	50,376

Vessel operating costs:
Crew costs		23,318			24,062			24,045			26,848			18,033
Repair and maintenance		5,645			4,534			3,846			5,588			3,973
Insurance		463			494			526			476			479
Fuel, lube and supplies		2,994			4,522			3,241			4,386			2,549
Other		5,747			5,928			5,172			5,924			4,564
Total vessel operating costs		38,167			39,540			36,830			43,222			29,598

Vessel operating margin ($)		34,975			24,401			31,595			27,495			20,778
Vessel operating margin (%)		47.8	%		38.2	%		46.2	%		38.9	%		41.2	%

Americas - Select operating statistics
Average vessels - Total fleet		35			36			38			38			33
Utilization - Total fleet		80.7	%		74.5	%		78.9	%		84.1	%		82.8	%

Average vessels - Active fleet		35			35			37			37			32
Utilization - Active fleet		80.7	%		76.5	%		81.0	%		86.3	%		85.4	%

Average day rates	$	28,317		$	25,894		$	24,524		$	23,495		$	20,269

Vessels commencing drydocks		3			7			3			3			4


Deferred drydocking and survey costs - beginning balance	$	31,698		$	28,688		$	29,684		$	29,769		$	27,832
Cash paid for deferred drydocking and survey costs		9,190			8,014			5,025			4,658			5,867
Amortization of deferred drydocking and survey costs		(5,704	)		(5,004	)		(5,353	)		(3,727	)		(2,626	)
Disposals, intersegment transfers and other		1,919			—			(668	)		(1,016	)		(1,304	)
Deferred drydocking and survey costs - ending balance	$	37,103		$	31,698		$	28,688		$	29,684		$	29,769


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands)

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023

Asia Pacific
Vessel revenues	$	55,221		$	47,781		$	38,632		$	38,994		$	22,585

Vessel operating costs:
Crew costs		23,023			19,306			15,177			12,390			7,062
Repair and maintenance		3,092			2,769			2,977			2,969			1,517
Insurance		278			273			269			183			219
Fuel, lube and supplies		2,335			1,937			1,191			909			1,521
Other		2,968			2,491			2,045			2,380			1,648
Total vessel operating costs		31,696			26,776			21,659			18,831			11,967

Vessel operating margin ($)		23,525			21,005			16,973			20,163			10,618
Vessel operating margin (%)		42.6	%		44.0	%		43.9	%		51.7	%		47.0	%

Asia Pacific - Select operating statistics
Average vessels - Total fleet		22			21			19			18			14
Utilization - Total fleet		84.9	%		84.0	%		86.6	%		91.3	%		72.4	%

Average vessels - Active fleet		22			21			19			18			14
Utilization - Active fleet		84.9	%		84.0	%		86.6	%		91.3	%		72.4	%

Average day rates	$	32,848		$	30,101		$	25,378		$	25,867		$	24,250

Vessels commencing drydocks		2			3			—			—			—


Deferred drydocking and survey costs - beginning balance	$	8,376		$	3,769		$	3,595		$	2,128		$	2,525
Cash paid for deferred drydocking and survey costs		1,602			4,734			(18	)		84			(4	)
Amortization of deferred drydocking and survey costs		(1,234	)		(844	)		(720	)		(637	)		(393	)
Disposals, intersegment transfers and other		—			717			912			2,020			—
Deferred drydocking and survey costs - ending balance	$	8,744		$	8,376		$	3,769		$	3,595		$	2,128


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands)

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023

Middle East
Vessel revenues	$	36,536		$	37,932		$	38,072		$	34,685		$	31,856

Vessel operating costs:
Crew costs		13,540			13,270			13,716			13,914			13,170
Repair and maintenance		4,300			4,508			4,105			4,828			3,779
Insurance		464			420			501			385			465
Fuel, lube and supplies		2,274			2,304			2,610			3,142			3,470
Other		7,138			6,006			4,906			4,796			3,756
Total vessel operating costs		27,716			26,508			25,838			27,065			24,640

Vessel operating margin ($)		8,820			11,424			12,234			7,620			7,216
Vessel operating margin (%)		24.1	%		30.1	%		32.1	%		22.0	%		22.7	%

Middle East - Select operating statistics
Average vessels - Total fleet		43			43			45			45			44
Utilization - Total fleet		83.8	%		86.6	%		85.6	%		79.8	%		76.0	%

Average vessels - Active fleet		43			43			45			45			44
Utilization - Active fleet		83.8	%		86.6	%		85.6	%		79.8	%		76.0	%

Average day rates	$	11,148		$	11,108		$	10,855		$	10,544		$	10,449

Vessels commencing drydocks		3			11			3			4			7


Deferred drydocking and survey costs - beginning balance	$	23,690		$	19,331		$	21,153		$	22,717		$	20,677
Cash paid for deferred drydocking and survey costs		2,737			7,520			1,360			3,234			4,262
Amortization of deferred drydocking and survey costs		(3,338	)		(3,161	)		(3,182	)		(2,776	)		(3,778	)
Disposals, intersegment transfers and other		—			—			—			(2,022	)		1,556
Deferred drydocking and survey costs - ending balance	$	23,089		$	23,690		$	19,331		$	21,153		$	22,717


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands)

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023

Europe/Mediterranean
Vessel revenues	$	83,266		$	80,381		$	80,743		$	78,929		$	39,295

Vessel operating costs:
Crew costs		27,085			26,282			25,848			26,632			13,406
Repair and maintenance		7,058			5,493			6,081			5,342			2,900
Insurance		761			756			791			689			354
Fuel, lube and supplies		3,461			4,094			3,717			4,033			2,363
Other		4,351			4,359			3,719			5,376			2,292
Total vessel operating costs		42,716			40,984			40,156			42,072			21,315

Vessel operating margin ($)		40,550			39,397			40,587			36,857			17,980
Vessel operating margin (%)		48.7	%		49.0	%		50.3	%		46.7	%		45.8	%

Europe/Mediterranean - Select operating statistics
Average vessels - Total fleet		50			51			51			50			26
Utilization - Total fleet		85.8	%		87.1	%		89.0	%		88.8	%		85.7	%

Average vessels - Active fleet		50			51			51			50			26
Utilization - Active fleet		85.8	%		87.1	%		89.0	%		88.8	%		85.7	%

Average day rates	$	20,950		$	19,763		$	19,061		$	19,105		$	18,990

Vessels commencing drydocks		8			16			5			5			4


Deferred drydocking and survey costs - beginning balance	$	27,260		$	21,078		$	16,256		$	11,705		$	11,363
Cash paid for deferred drydocking and survey costs		11,584			10,876			7,580			6,733			2,217
Amortization of deferred drydocking and survey costs		(4,065	)		(3,359	)		(2,758	)		(3,201	)		(1,875	)
Disposals, intersegment transfers and other		—			(1,335	)		—			1,019			—
Deferred drydocking and survey costs - ending balance	$	34,779		$	27,260		$	21,078		$	16,256		$	11,705


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands)

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023

West Africa
Vessel revenues	$	88,838		$	88,651		$	74,643		$	73,650		$	66,211

Vessel operating costs:
Crew costs		19,265			19,432			18,751			17,502			16,336
Repair and maintenance		4,648			4,044			4,626			4,868			4,665
Insurance		659			637			678			626			651
Fuel, lube and supplies		4,498			4,461			4,506			5,300			4,055
Other		7,148			5,174			5,509			4,753			5,037
Total vessel operating costs		36,218			33,748			34,070			33,049			30,744

Vessel operating margin ($)		52,620			54,903			40,573			40,601			35,467
Vessel operating margin (%)		59.2	%		61.9	%		54.4	%		55.1	%		53.6	%

West Africa - Select operating statistics
Average vessels - Total fleet		67			68			68			72			70
Utilization - Total fleet		72.9	%		77.1	%		73.3	%		70.7	%		72.3	%

Average vessels - Active fleet		66			67			67			69			65
Utilization - Active fleet		73.6	%		78.3	%		74.8	%		73.9	%		77.8	%

Average day rates	$	20,093		$	18,687		$	16,356		$	15,772		$	14,469

Vessels commencing drydocks		4			7			7			7			4


Deferred drydocking and survey costs - beginning balance	$	37,615		$	33,832		$	28,527		$	26,162		$	20,390
Cash paid for deferred drydocking and survey costs		14,970			8,874			10,121			5,909			9,024
Amortization of deferred drydocking and survey costs		(5,724	)		(5,091	)		(4,367	)		(3,544	)		(3,000	)
Disposals, intersegment transfers and other		(1,919	)		—			(449	)		—			(252	)
Deferred drydocking and survey costs - ending balance	$	44,942		$	37,615		$	33,832		$	28,527		$	26,162


TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands)

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023

Worldwide
Vessel revenues	$	337,003		$	318,686		$	300,515		$	296,975		$	210,323

Vessel operating costs:
Crew costs		106,231			102,352			97,537			97,286			68,007
Repair and maintenance		24,743			21,348			21,635			23,595			16,834
Insurance		2,625			2,580			2,765			2,359			2,168
Fuel, lube and supplies		15,562			17,318			15,265			17,770			13,958
Other		27,352			23,958			21,351			23,229			17,297
Total vessel operating costs		176,513			167,556			158,553			164,239			118,264

Vessel operating margin ($)		160,490			151,130			141,962			132,736			92,059
Vessel operating margin (%)		47.6	%		47.4	%		47.2	%		44.7	%		43.8	%

Worldwide - Select operating statistics
Average vessels - Total fleet		217			219			221			223			187
Utilization - Total fleet		80.5	%		81.5	%		81.5	%		80.5	%		76.9	%

Average vessels - Active fleet		216			217			219			219			181
Utilization - Active fleet		80.7	%		82.3	%		82.4	%		82.1	%		79.4	%

Average day rates	$	21,130		$	19,563		$	18,066		$	17,865		$	16,042

Vessels commencing drydocks		20			44			18			19			19


Deferred drydocking and survey costs - beginning balance	$	128,639		$	106,698		$	99,215		$	92,481		$	82,787
Cash paid for deferred drydocking and survey costs		40,083			40,018			24,068			20,618			21,366
Amortization of deferred drydocking and survey costs		(20,065	)		(17,459	)		(16,380	)		(13,885	)		(11,672	)
Disposals, intersegment transfers and other		—			(618	)		(205	)		1			—
Deferred drydocking and survey costs - ending balance	$	148,657		$	128,639		$	106,698		$	99,215		$	92,481


TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In Thousands)

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023

Net income	$	49,917		$	46,745		$	37,328		$	25,549		$	21,928

Interest and other debt costs		19,127			19,476			20,263			19,288			4,731
Income tax expense		7,887			13,070			10,793			9,260			11,284
Depreciation		39,380			38,811			42,788			43,845			21,096
Amortization of deferred drydock and survey costs		20,065			17,459			16,379			13,885			11,672
Amortization of below market contracts		(1,650	)		(1,206	)		(1,894	)		(1,906	)		—
EBITDA (A), (B), (C)		134,726			134,355			125,657			109,921			70,711

Non-cash indemnification assets credit (charge)		1,556			1,122			(70	)		1,184			—
Non-cash stock compensation expense		3,460			2,766			3,508			2,496			2,648
Acquisition, restructuring and integration related costs		—			709			2,177			6,079			1,242
Adjusted EBITDA (A), (B), (C)	$	139,742		$	138,952		$	131,272		$	119,680		$	74,601

Note (A): EBITDA excludes interest and other debt costs, income tax expense, depreciation and amortization of deferred drydock and below market contracts. Additionally, Adjusted EBITDA excludes non-cash indemnification assets charge included in interest income and other; non-cash stock-based compensation expense; and acquisition, restructuring and integration related costs.

Note (B): EBITDA for the three months ended June 30, 2024, and for each of the prior four quarters includes non-cash stock-based compensation expense of $3,460, $2,766, $3,508, $2,496 and $2,648 respectively.

Note (C): EBITDA and Adjusted EBITDA for the three months ended June 30, 2024, and for each of the prior four quarters includes foreign exchange gain (losses) of $(2,376), $(4,085), $2,250, $(2,149) and $(3,819) respectively.

Non-GAAP Financial Measures

We disclose and discuss EBITDA and Adjusted EBITDA as non-GAAP financial measures in our public releases, including quarterly earnings releases, investor conference calls and other filings with the Securities and Exchange Commission. We define EBITDA as earnings (net income or loss) before interest and other debt costs, income tax expense, depreciation and amortization. Additionally, Adjusted EBITDA excludes impairment charges, non-cash indemnification asset charge, non-cash stock-based compensation expense and merger and integration related costs. Our measures of EBITDA and Adjusted EBITDA may not be comparable to similarly titled measures presented by other companies. Other companies may calculate EBITDA and Adjusted EBITDA differently than we do, which may limit its usefulness as a comparative measure.

Because EBITDA and Adjusted EBITDA are not measures of financial performance calculated in accordance with GAAP, they should not be considered in isolation or as a substitute for operating income, net income or loss, cash provided (used) in operating activities, investing and financing activities, or other income or cash flow statement data prepared in accordance with GAAP.

EBITDA and Adjusted EBITDA are widely used by investors and other users of our financial statements as a supplemental financial measure that, when viewed with our GAAP results and the accompanying reconciliations, we believe provide additional information that is useful to gain an understanding of the factors and trends affecting our ability to service debt, pay taxes and fund drydocking and survey costs and capital expenditures. We also believe the disclosure of EBITDA and Adjusted EBITDA helps investors meaningfully evaluate and compare our cash flow generating capacity from quarter-to-quarter and year-to-year.

EBITDA and Adjusted EBITDA are also financial metrics used by management (i) as a supplemental internal measure for planning and forecasting overall expectations and for evaluating actual results against such expectations; (ii) to compare to the EBITDA and Adjusted EBITDA of other companies when evaluating potential acquisitions; and (iii) to assess our ability to service existing fixed charges and incur additional indebtedness.


TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In Thousands)

	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023

Net cash provided by operating activities (A)	$	78,645		$	54,765		$	47,231		$	34,939		$	9,741

Cash interest expense		14,925			15,621			18,186			606			7,748
Interest income and other		(1,175	)		(1,483	)		(3,029	)		(568	)		(2,790	)
Indemnification assets credit (charge)		(1,556	)		(1,122	)		70			(1,184	)		—
Additions to property and equipment		(6,392	)		(10,942	)		(8,386	)		(5,702	)		(8,849	)
Acquisitions		—			—			—			(594,191	)		—
Expansion capital		66			71			1,034			594,252			2,493
	84,513			56,910			55,106			28,152			8,343

Proceeds from asset sales		3,056			12,463			5,902			945			2,943

Free cash flow	$	87,569		$	69,373		$	61,008		$	29,097		$	11,286

Free cash flow is a non-GAAP investment performance indicator which we believe provides useful information regarding the net cash generated by the Company before any payments to capital providers. Free cash flow is determined from net cash provided by operating activities adjusted for capital expenditures, excluding expansion capital, proceeds from asset sales, cash interest expense and interest income. Free cash flow excludes indemnification assets charge included in interest income and other. Free cash flow is not defined by U.S. GAAP and is not a substitute for net cash provided by operating activities.

Note (A): Net cash provided by operating activities is affected by changes in our assets and liabilities and the amounts we pay in cash for our drydocks and vessel surveys as illustrated in the following table:


	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2024			2024			2023			2023			2023
Cash provided by (used in) changes in assets and liabilities, excluding drydock payments	$	7,818		$	(640	)	$	(24,083	)	$	(29,286	)	$	(23,447	)
Cash paid for deferred drydock and survey costs		(40,083	)		(40,018	)		(24,069	)		(20,618	)		(21,366	)
Total uses of cash for changes in assets and liabilities	$	(32,265	)	$	(40,658	)	$	(48,152	)	$	(49,904	)	$	(44,813	)

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Date	Price Target	Rating	Analyst
11/11/2024	$131.00 → $102.00	Strong Buy → Outperform	Raymond James
2/9/2024	$88.00	Buy	Johnson Rice
1/30/2024		Outperform	Pickering Energy Partners
7/14/2023	$85.00	Strong Buy	Raymond James
7/7/2023	$90.00	Outperform	Evercore ISI
6/21/2023	$75.00	Buy	BTIG Research
9/6/2022	$42.00	Outperform	Evercore ISI

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