Helix Energy Solutions Group, Inc. ("Helix") (NYSE: HLX) reported net income of $22.7 million, or $0.15 per diluted share, for the second quarter 2026 compared to a net loss of $13.4 million, or $(0.09) per diluted share, for the first quarter 2026 and a net loss of $2.6 million, or $(0.02) per diluted share, for the second quarter 2025. Helix reported Adjusted EBITDA¹ of $69.9 million for the second quarter 2026 compared to $32.3 million for the first quarter 2026 and $42.4 million for the second quarter 2025.

For the six months ended June 30, 2026, Helix reported net income of $9.3 million, or $0.06 per diluted share, compared to net income of $0.5 million, or $0.00 per diluted share, for the six months ended June 30, 2025. Adjusted EBITDA for the six months ended June 30, 2026 was $102.1 million compared to $94.4 million for the six months ended June 30, 2025.

Included in our results are the operations and sale of Helix Alliance, which have been classified as discontinued operations in our financial statements. Net income (loss) of Helix Alliance reported in discontinued operations for the three and six-month periods ended June 30, 2026, was $7.5 million and $(0.7) million, respectively. Adjusted EBITDA from continuing operations for the three- and six-month periods ended June 30, 2026 was $74.7 million and $112.0 million, respectively.

The table below summarizes our results of operations:

Owen Kratz, President and Chief Executive Officer of Helix, stated, “Helix generated significant cash flows from operations in the second quarter and year to date. Combined with the cash from the disposition of Helix Alliance in May, we are positioned with $652 million of cash and $717 million of liquidity. Our business performance for the year is progressing as previously outlined, with positive international activity offsetting weaker domestic output. We continue to work towards consummating our merger with Hornbeck and currently expect the merger to be completed promptly following our shareholder meeting scheduled for August 31, 2026 subject to customary closing conditions. In light of the pending merger, we are withdrawing our previously issued annual guidance.”

Segment Results

Well Intervention

Well Intervention revenues decreased $1.4 million, or 1%, during the second quarter 2026 compared to the prior quarter with reduced revenues on the Q7000, Q4000 and Sea Helix 1, nearly entirely offset by higher seasonal revenues in the North Sea. The Q7000 completed its project for Shell in Brazil in April and spent the remainder of the quarter transiting and mobilizing to West Africa, during which time all revenues and mobilization costs were deferred. During the second quarter, the Q4000 incurred an annual out-of-service period and gaps in its schedule, and the Sea Helix 1 commenced its five-year docking mid-June. In addition to revenues from higher seasonal utilization in the North Sea, the Q5000 also had improved utilization during the second quarter following its planned approximate two-week maintenance period during the prior quarter. Overall Well Intervention vessel utilization increased to 91% during the second quarter 2026 compared to 82% during the prior quarter, although the second quarter included transit and mobilization during which revenues were deferred which accounted for approximately 9% of utilization. Well Intervention operating income increased $8.5 million during the second quarter 2026 compared to the prior quarter primarily due to cost deferrals on the Q7000, lower repairs and maintenance on the Q5000 and operating leverage resulting in higher incremental margins in the North Sea.

Well Intervention revenues increased $51.3 million, or 33%, during the second quarter 2026 compared to the second quarter 2025. The increase was primarily due to higher utilization on the Q5000, which underwent a 57-day planned regulatory docking during the second quarter 2025, and on the Seawell, which was idle throughout 2025. Revenues also increased on the Q4000, which spent 45 days demobilizing during the second quarter 2025 during which period no revenues were recognized. Revenue increases in 2026 were partially offset by lower revenues on the Q7000, which spent May through June transiting and mobilizing to West Africa, during which time all revenues and mobilization costs were deferred, and on the Sea Helix 1, which commenced its five-year regulatory docking mid-June. Overall Well Intervention vessel utilization increased to 91% during the second quarter 2026 compared to 72% during the second quarter 2025. Well Intervention operating income increased $35.8 million during the second quarter 2026 compared to the second quarter 2025 primarily due to higher revenues and higher incremental margins during the second quarter 2026.

Robotics

Robotics revenues increased $14.1 million, or 23%, during the second quarter 2026 compared to the prior quarter due to the expected seasonally higher activity levels with increased trenching and ROV activities. During the second quarter our overall ROV and trencher utilization increased to 67% compared to 56% during the prior quarter. Overall vessel activity decreased slightly to 374 days during the second quarter compared to 381 days during the prior quarter with a reduction in utilization on the Grand Canyon II, which transitioned to the North Sea during the quarter, offset partially by a full quarter of utilization on the MV Patriot following its commencement of operations during the prior quarter. Although overall vessel activity decreased, integrated vessel trenching increased from 122 days during the prior quarter to 171 days during the second quarter, and site clearance operations increased from 110 days during the prior quarter to 137 days during the second quarter. Third-party trenching remained flat quarter over quarter. Robotics operating income increased $6.4 million compared to the prior quarter primarily due to higher revenues.

Robotics revenues decreased $9.1 million, or 11%, during the second quarter 2026 compared to the second quarter 2025. Revenue decreases were primarily due to lower vessel activities, which were impacted by the Grand Canyon II transition to the North Sea during the quarter, offset partially by increased ROV and trenching activities during the second quarter 2026. The second quarter 2026 included 374 total vessel days, or 69% utilization, compared to 537 vessel days, or 95% utilization, during the second quarter 2025. Site clearance operations decreased from 190 days during the second quarter 2025 to 137 days during the second quarter 2026, and integrated vessel trenching increased from 157 days during the second quarter 2025 to 171 days during the second quarter 2026. Overall ROV and trencher utilization increased to 67% compared to 62% during the second quarter 2025. Robotics operating income decreased $4.9 million during the second quarter 2026 primarily due lower revenues.

Production Facilities

Production Facilities revenues increased $11.0 million, or 59%, during the second quarter 2026 compared to the prior quarter primarily due to higher oil and gas production and prices from the Thunder Hawk field, which recommenced production early April 2026 following a successful workover after having been shut in since 2024. Production Facilities generated operating income of $15.8 million during the second quarter 2026 compared to an operating loss of $7.9 million during the prior quarter, primarily due to higher revenues during the second quarter 2026 and workover costs on the Thunder Hawk field during the prior quarter.

Production Facilities revenues increased $12.6 million, or 74%, during the second quarter 2026 compared to the second quarter 2025 primarily due to higher oil and gas production and prices following the recommencement of operations on the Thunder Hawk field early April 2026. Production Facilities operating income increased $11.4 million during the second quarter 2026 compared to the second quarter 2025 primarily due to higher revenues during the second quarter 2026.

Selling, General and Administrative and Other

Transaction-Related Costs

Acquisition and integration costs during the second quarter totaled $8.3 million and are related to our merger with Hornbeck and primarily include legal and professional fees.

Selling, General and Administrative

Selling, general and administrative expenses were $21.1 million, or 7.0% of revenue, during the second quarter 2026 compared to $20.4 million, or 7.7% of revenue, during the prior quarter and $16.5 million, or 6.6% of revenue, during the second quarter 2025. The increase in expenses quarter over quarter was primarily due to higher employee compensation during the second quarter 2026.

Other Income and Expense

Other expense, net was $0.2 million during the second quarter 2026 compared to other income, net of $0.3 million and $0.4 million during the prior quarter and the second quarter 2025, respectively. Other income and expense, net primarily includes net foreign currency gains and losses related to our international subsidiaries’ foreign currency positions.

Income from Discontinued Operations

Income (loss) from discontinued operations relates to Helix Alliance, which was sold on May 1, 2026 and constituted our entire Shallow Water Abandonment segment. Income from discontinued operations during the three months ended June 30, 2026, includes one month of net income for Helix Alliance as well as a gain on sale of Helix Alliance of $12.7 million, net of tax expense of $3.4 million on the gain.

Cash Flows

Operating cash flows were $53.9 million during the second quarter 2026 compared to $61.8 million during the prior quarter and $(17.1) million during the second quarter 2025. Operating cash flows decreased compared to the prior quarter primarily due lower working capital inflows offset partially by higher earnings during the second quarter 2026. Operating cash flows increased compared to the second quarter 2025 primarily due to higher earnings and working capital inflows and lower regulatory certification costs for our vessels and systems during the second quarter 2026. Regulatory certifications costs for our vessels and systems in our continuing operations, which are included in operating cash flows, were $4.6 million during the second quarter 2026 compared to $3.8 million during the prior quarter and $14.1 million during the second quarter 2025.

Capital expenditures for our continuing operations, which are included in investing cash flows, totaled $7.2 million during the second quarter 2026 compared to $2.8 million during the prior quarter and $4.3 million during the second quarter 2025. During the second quarter 2026, investing cash flows provided by discontinued operations included the proceeds from the sale of Helix Alliance of approximately $104.2 million, net of $3.3 million cash sold.

Free Cash Flow was $46.7 million during the second quarter 2026 compared to $59.0 million during the prior quarter and $(21.6) million during the second quarter 2025. (Free Cash Flow is a non-GAAP measure. See reconciliation below.)

Financial Condition and Liquidity

Cash and cash equivalents were $652.2 million at June 30, 2026. Available capacity under our ABL facility at June 30, 2026 was $66.9 million, and total liquidity was $716.5 million, excluding $2.6 million cash pledged toward our ABL facility. Consolidated long-term debt was $304.3 million at June 30, 2026, resulting in negative Net Debt of $347.9 million. (Net Debt is a non-GAAP measure. See reconciliation below.)

Transaction Update

Helix is making progress towards the consummation of its previously announced merger with Hornbeck. On June 4, 2026, Helix filed a Registration Statement on Form S-4 (the “Form S-4”) with the Securities and Exchange Commission (the “SEC”), which was declared effective July 31, 2026. The transaction has been approved by the Boards of Directors of both companies. Helix expects that the merger will be completed September 1, 2026, subject to the approval of our shareholders at the Special Meeting scheduled for August 31, 2026 and other customary closing conditions.

Conference Call Information

Due to the pending merger with Hornbeck, we will not host a conference call or webcast to discuss our second quarter 2026 results. We have provided further details of our second quarter 2026 results in a presentation provided on our Investor Relations page of Helix’s website, www.helixesg.com.

About Helix

Helix Energy Solutions Group, Inc., headquartered in Houston, Texas, is an international offshore energy services company that provides specialty services to the offshore energy industry, with a focus on well intervention, robotics and decommissioning operations. Our services are key in supporting a global energy transition by maximizing production of existing oil and gas reserves, decommissioning end-of-life oil and gas fields and supporting renewable energy developments. For more information about Helix, please visit our website at www.helixesg.com.

Non-GAAP Financial Measures

Management evaluates operating performance and financial condition using certain non-GAAP measures, primarily Adjusted EBITDA, Free Cash Flow and Net Debt. We define Adjusted EBITDA as earnings before income taxes, net interest expense, depreciation and amortization expense, net other income or expense, gains or losses on disposition of assets, long-lived asset impairment losses, transaction-related costs, gains or losses related to convertible senior notes, the change in fair value of contingent consideration, and the general provision for (release of) current expected credit losses, if any. We define Free Cash Flow as cash flows from operating activities less capital expenditures, net of proceeds from asset sales and insurance recoveries (related to property and equipment), if any. Net Debt is calculated as long-term debt including current maturities of long-term debt less cash and cash equivalents and restricted cash.

We use Adjusted EBITDA, Free Cash Flow and Net Debt to monitor and facilitate internal evaluation of the performance of our business operations, to facilitate external comparison of our business results to those of others in our industry, to analyze and evaluate financial and strategic planning decisions regarding future investments and acquisitions, to plan and evaluate operating budgets, and in certain cases, to report our results to the holders of our debt as required by our debt covenants. We believe that our measures of Adjusted EBITDA, Free Cash Flow and Net Debt provide useful information to the public regarding our operating performance and ability to service debt and fund capital expenditures and may help our investors understand and compare our results to other companies that have different financing, capital and tax structures. Other companies may calculate their measures of Adjusted EBITDA, Free Cash Flow and Net Debt differently from the way we do, which may limit their usefulness as comparative measures. Adjusted EBITDA, Free Cash Flow and Net Debt should not be considered in isolation or as a substitute for, but instead are supplemental to, income from operations, net income, cash flows from operating activities, or other income or cash flow data prepared in accordance with GAAP. Users of this financial information should consider the types of events and transactions that are excluded from these measures. See reconciliation of the non-GAAP financial information presented in this press release to the most directly comparable financial information presented in accordance with GAAP. We have not provided reconciliations of forward-looking non-GAAP financial measures to comparable GAAP measures due to the challenges and impracticability with estimating some of the items without unreasonable effort, which amounts could be significant.

Forward-Looking Statements

This press release contains forward-looking statements that involve risks, uncertainties and assumptions that could cause our results to differ materially from those expressed or implied by such forward-looking statements. All statements, other than statements of historical fact, are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, any statements regarding: our plans, strategies and objectives for future operations; our proposed merger with Hornbeck; any projections of financial items including projections as to guidance and other outlook information; future operations expenditures; our ability to enter into, renew and/or perform commercial contracts; the spot market; our current work continuing; visibility and future utilization; our protocols and plans; future economic or political conditions; energy transition or energy security; our spending and cost management efforts and our ability to manage changes; oil price volatility and its effects and results; our ability to identify, effect and integrate mergers, acquisitions, joint ventures, divestitures or other transactions; developments; any financing transactions or arrangements or our ability to enter into such transactions or arrangements; our sustainability initiatives; our share repurchase program or execution; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Forward-looking statements are subject to a number of known and unknown risks, uncertainties and other factors that could cause results to differ materially from those in the forward-looking statements, including but not limited to market conditions and the demand for our services; volatility of oil and natural gas prices; complexities of global political and economic developments, including tariffs; results from mergers, acquisitions, joint ventures, divestitures or similar transactions; the ultimate timing, outcome and results of integrating our and Hornbeck’s operations, including difficulties and delays relating to such integration and/or delays in realizing anticipated synergies, cost savings and other expected benefits of the transactions, if at all; results from acquired properties; our ability to secure and realize backlog; the performance of contracts by customers, suppliers and other counterparties; actions by governmental and regulatory authorities; operating hazards and delays, which include delays in delivery, chartering or customer acceptance of assets or terms of their acceptance; the effectiveness of our sustainability initiatives and disclosures; human capital management issues; geologic risks; and other risks described from time to time in our filings with the SEC, including our most recently filed Annual Report on Form 10-K, our subsequent reports on Form 10-Q and our registration statement on Form S-4 filed in connection with the proposed Hornbeck merger, which are available free of charge on the SEC's website at www.sec.gov. We assume no obligation and do not intend to update these forward-looking statements, which speak only as of their respective dates, except as required by law.

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