Recent Quotes View Full List My Watchlist Create Watchlist Indicators DJI Nasdaq Composite SPX Gold Crude Oil Hydroworld Market Index Markets Stocks ETFs Tools Overview News Currencies International Treasuries Tidewater Reports Results for the Three and Twelve Months Ended December 31, 2023 By: Tidewater Inc. via Business Wire February 29, 2024 at 16:13 PM EST Full-Year 2023 Highlights Revenue of $1,010.0 million, a 55.9% increase from 2022 Average day rate increased to $16,802 per day, $4,048 higher than 2022 Net income of $97.2 million, an increase of $118.9 million from 2022 Adjusted EBITDA of $386.7 million, an increase of $220.0 million from 2022 Net cash provided by operating activities of $104.7 million, an increase of $64.5 million from 2022 Free cash flow of $111.3 million, an increase of $60.8 million from 2022 Completed acquisition and financing of 37 PSVs from Solstad Offshore Fourth Quarter 2023 Highlights Revenue of $302.7 million, highest quarterly revenue in eight years Average day rate increased to $18,066 per day, $201 higher than the third quarter of 2023 Composite leading edge term contract day rate of $29,511, $902 higher than the third quarter of 2023 Net income of $37.7 million, an increase of $11.5 million from the third quarter of 2023 Adjusted EBITDA of $131.3 million, an increase of $11.6 million from the third quarter of 2023 Net cash provided by operating activities of $47.2 million, an increase of $12.3 million from the third quarter of 2023 Free cash flow of $61.0 million, an increase of $31.9 million from the third quarter of 2023 Share Repurchase Program and 2024 Guidance Completed $35.0 million of share repurchases during the fourth quarter of 2023 at an average price of $59.29 per share Board approves a new share repurchase authorization of $48.6 million, the maximum permissible amount under existing debt agreements Reiterating 2024 revenue guidance of $1.40 to $1.45 billion and 2024 gross margin guidance of 52% Tidewater Inc. (NYSE:TDW) announced today revenue for the three and twelve months ended December 31, 2023 of $302.7 million and $1,010.0 million, respectively, compared with $186.7 million and $647.7 million, respectively, for the three and twelve months ended December 31, 2022. Tidewater's net income for the three and twelve months ended December 31, 2023, was $37.7 million ($0.70 per common share) and $97.2 million ($1.84 per common share), respectively, compared with net income (losses) of $10.6 million ($0.20 per common share) and $(21.7) million ($0.49 per common share), respectively, for the three and twelve months ended December 31, 2022. Quintin Kneen, Tidewater’s President and Chief Executive Officer, commented, “The past year represented a year of significant milestones and profitable growth for Tidewater with revenue and gross profit improving each quarter throughout the year. The supply and demand dynamics positively influencing the offshore vessel industry drove strong financial and operational results, with revenue cresting the $1.0 billion mark, a significant achievement for Tidewater that was bolstered by the acquisitions done in 2022 and 2023. Day rate progression realized during the year is faster than anything we have seen in the industry. The shortage of vessels, a record-low vessel newbuilding order book and improving offshore vessel demand visibility all support improving operational performance into 2024 and beyond, as indicated by our continued confidence in our ability to grow revenue by 40% and grow gross margin by 66% in 2024. As a result of improved industry fundamentals and associated financial performance, Tidewater is once again in a position to return capital to shareholders, the initial phase of which we completed during the fourth quarter of 2023 with an initial $35.0 million of share repurchases. We are excited to continue to grow free cash flow and return capital to our shareholders as this upcycle continues to unfold. “Since 2017, we have been high-grading the fleet through the disposal of lower-specification vessels and the acquisition of higher-specification vessels. The financial impact of this strategy continues to be demonstrated by the higher revenue and gross margin outlook for our business. Fourth quarter revenue of $302.7 million is the highest quarterly revenue in over eight years and we anticipate quarterly revenue growth each quarter in 2024, outgrowing the seasonality we typically see in the first and fourth quarters of the year. Gross margin for the fourth quarter came in at 47.2%, the highest gross margin percentage in 15 years, and we anticipate gross margin for the fourth quarter of 2024 to reach 56.0%. Leading edge day rates continued their upward trend, with leading edge day rates up $902 sequentially, to $29,511. We continue to see improving demand across all regions and for a variety of end markets beyond drilling and, as such, we reiterate our full-year 2024 revenue guidance of $1.40 to $1.45 billion and gross margin guidance of 52.0%. “We generated $61.0 million of free cash flow and returned nearly 60% of this to our shareholders in the form of share repurchases during the fourth quarter. Given our free cash flow performance, business outlook and healthy balance sheet, we are pleased to announce the Board has authorized a new share repurchase program, under which we are authorized to purchase up to $48.6 million of the Company’s common stock. The new authorization represents the maximum permissible amount of share repurchases under our existing debt agreements. As we have previously communicated, we anticipate utilizing this repurchase program opportunistically, weighing the value of share repurchases against other capital allocation opportunities to optimize the use of our capital to maximize shareholder returns. “The past year was an important chapter in Tidewater’s history and was a successful year by all measures. I want to thank our dedicated team for their tremendous contributions to this achievement. We have even greater success ahead of us and I look forward to working together to achieve the goals we have set for ourselves. As always, we remain committed to providing a safe and rewarding environment for our employees as we continue to build the safest, most sustainable, most reliable, most profitable, high specification offshore energy support vessel fleet in the world.” In addition to the number of outstanding shares, as of December 31, 2023, the Company also has the following in-the-money warrants. Common shares outstanding 52,259,303 New Creditor Warrants (strike price $0.001 per common share) 81,244 GulfMark Creditor Warrants (strike price $0.01 per common share) 91,436 Total 52,431,983 Tidewater will hold a conference call to discuss results for the three and twelve months ending December 31, 2023 on March 1, 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: 6663124 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 March 1, 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 December 31, 2023 and 2022; the Consolidated Statements of Operations and Consolidated Statements of Equity for the three and twelve months ended December 31, 2023 and 2022; and the Consolidated Statements of Cash Flows for the three and twelve months ended December 31, 2023 and 2022. Extracts are drawn from the December 31, 2023 and 2022 audited annual financial statements of Tidewater Inc. All per-share amounts are stated on a diluted basis. TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In Thousands, except per share data) Three Months Ended Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Revenues: Vessel revenues $ 300,515 $ 185,106 $ 998,993 $ 641,404 Other operating revenues 2,143 1,640 10,992 6,280 Total revenues 302,658 186,746 1,009,985 647,684 Costs and expenses: Vessel operating costs 158,553 115,496 556,515 397,301 Costs of other operating revenues 1,337 694 4,342 2,130 General and administrative 24,724 28,633 95,283 101,921 Depreciation and amortization 59,167 29,881 180,331 119,160 Long-lived asset impairment and other — — — 714 Gain on asset dispositions, net (4,218 ) (1,076 ) (8,701 ) (250 ) Total costs and expenses 239,563 173,628 827,770 620,976 Operating income 63,095 13,118 182,215 26,708 Other income (expense): Foreign exchange gain (loss) 2,250 2,105 (1,370 ) (2,827 ) Equity in net earnings (losses) of unconsolidated companies 10 14 39 (221 ) Interest income and other, net 3,029 981 6,517 5,397 Loss on warrants — — — (14,175 ) Interest and other debt costs, net (20,263 ) (4,339 ) (48,472 ) (17,189 ) Total other expense (14,974 ) (1,239 ) (43,286 ) (29,015 ) Income (loss) before income taxes 48,121 11,879 138,929 (2,307 ) Income tax expense 10,793 1,697 43,308 19,886 Net income (loss) 37,328 10,182 95,621 (22,193 ) Less: Net loss attributable to noncontrolling interests (336 ) (438 ) (1,564 ) (444 ) Net income (loss) attributable to Tidewater Inc. $ 37,664 $ 10,620 $ 97,185 $ (21,749 ) Basic income (loss) per common share $ 0.72 $ 0.22 $ 1.88 $ (0.49 ) Diluted income (loss) per common share $ 0.70 $ 0.20 $ 1.84 $ (0.49 ) Weighted average common shares outstanding 52,648 48,766 51,591 44,132 Dilutive effect of warrants, restricted stock units and stock options 1,351 3,069 1,346 — Adjusted weighted average common shares 53,999 51,835 52,937 44,132 TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands, except share and par value data) December 31, 2023 December 31, 2022 ASSETS Current assets: Cash and cash equivalents $ 274,437 $ 164,192 Restricted cash 1,241 1,241 Trade and other receivables, less allowance for credit losses of $15,914 and $14,060 as of December 31, 2023 and 2022, respectively 268,352 156,465 Marine operating supplies 31,933 30,830 Assets held for sale — 4,195 Prepaid expenses and other current assets 15,172 20,985 Total current assets 591,135 377,908 Net properties and equipment 1,315,122 796,655 Deferred drydocking and survey costs 106,698 61,080 Indemnification assets 17,370 28,369 Other assets 32,449 33,644 Total assets $ 2,062,774 $ 1,297,656 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 44,931 $ 38,946 Accrued expenses 125,590 105,518 Current portion of long-term debt 103,077 — Other current liabilities 55,133 50,323 Total current liabilities 328,731 194,787 Long-term debt 631,361 169,036 Other liabilities 64,985 67,843 Commitments and contingencies Equity: Common stock of $0.001 par value, 125,000,000 shares authorized. 52,259,303 and 50,554,179 shares issued and outstanding at December 31, 2023 and 2022, respectively 52 51 Additional paid-in-capital 1,671,759 1,556,990 Accumulated deficit (637,838 ) (699,649 ) Accumulated other comprehensive loss 5,266 8,576 Total stockholders' equity 1,039,239 865,968 Noncontrolling interests (1,542 ) 22 Total equity 1,037,697 865,990 Total liabilities and equity $ 2,062,774 $ 1,297,656 TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (In Thousands) Three Months Ended Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Net income (loss) $ 37,328 $ 10,182 $ 95,621 $ (22,193 ) Other comprehensive income (loss): Unrealized gain (loss) on note receivable 682 779 213 (496 ) Change in supplemental executive retirement plan pension liability (525 ) 4,561 (525 ) 4,561 Change in liability of pension plans 696 1,762 (2,998 ) 1,843 Total comprehensive income (loss) $ 38,181 $ 17,284 $ 92,311 $ (16,285 ) TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In Thousands) Twelve Months Twelve Months Ended Ended December 31, 2023 December 31, 2022 Operating activities: Net income (loss) $ 95,621 $ (22,193 ) Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation 128,777 83,522 Amortization of deferred drydocking and survey costs 51,554 35,638 Amortization of debt premiums and discounts 4,619 1,679 Amortization of below market contracts (3,800 ) — Provision for deferred income taxes 92 36 Gain on asset dispositions, net (8,701 ) (250 ) Gain on pension settlement (2,313 ) — Gain on bargain purchase — (1,300 ) Long-lived asset impairment and other — 714 Loss on warrants — 14,175 Stock-based compensation expense 10,755 7,372 Changes in assets and liabilities, net of effects of business acquisition: Trade and other receivables (109,756 ) (4,129 ) Changes in due to/from affiliate, net — (20 ) Accounts payable 5,985 16,481 Accrued expenses 20,072 (1,340 ) Deferred drydocking and survey costs (97,378 ) (56,000 ) Other, net 9,178 (34,159 ) Net cash provided by operating activities 104,705 40,226 Cash flows from investing activities: Proceeds from asset dispositions 15,506 13,568 Acquisitions, net of cash acquired (594,191 ) (20,740 ) Additions to properties and equipment (31,588 ) (16,637 ) Net cash used in investing activities (610,273 ) (23,809 ) Cash flows from financing activities: Exercise of warrants 111,483 — Proceeds from issuance of shares — 187,832 Repurchase of SPO acquisition warrants — (187,832 ) Issuance of long-term debt 575,000 — Principal payments on long-term debt (13,677 ) — Purchase of common stock (35,025 ) — Acquisition of non-controlling interest in a majority owned subsidiary (1,427 ) — Debt issuance costs (14,758 ) (393 ) Tax on share-based awards (6,040 ) (2,323 ) Net cash provided by (used in) financing activities 615,556 (2,716 ) Net change in cash, cash equivalents and restricted cash 109,988 13,701 Cash, cash equivalents and restricted cash at beginning of period 167,977 154,276 Cash, cash equivalents and restricted cash at end of period $ 277,965 $ 167,977 Supplemental disclosure of cash flow information: Cash paid during the year for: Interest, net of amounts capitalized $ 26,638 $ 15,554 Income taxes $ 43,880 $ 22,275 Supplemental disclosure of noncash investing activities: Acquisition of SPO $ — $ 162,648 Purchase of three vessels $ 14,265 $ — Supplemental disclosure of noncash financing activities: Warrants issued for SPO acquisition $ — $ 162,648 Repurchase of SPO acquisition warrants $ — $ 1,365 Debt incurred for the purchase of three vessels $ 15,235 $ — Note: Cash, cash equivalents and restricted cash at December 31, 2023 includes $2.3 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 September 30, 2023 $ 53 $ 1,668,392 $ (640,128 ) $ 4,413 $ (1,206 ) $ 1,031,524 Total comprehensive income (loss) — — 37,664 853 (336 ) 38,181 Exercise of warrants into common stock — — — — — — Repurchase and retirement of common stock (1 ) — (35,374 ) — — (35,375 ) Amortization of share-based awards — 3,367 — — — 3,367 Balance at December 31, 2023 $ 52 $ 1,671,759 $ (637,838 ) $ 5,266 $ (1,542 ) $ 1,037,697 Balance at September 30, 2022 $ 46 $ 1,555,388 $ (710,269 ) $ 1,474 $ 460 $ 847,099 Total comprehensive income (loss) — — 10,620 7,102 (438 ) 17,284 Issuance of common stock 5 120,629 — — — 120,634 Repurchase of SPO acquisition warrants — (121,007 ) — — — (121,007 ) Amortization of share-based awards — 1,980 — — — 1,980 Balance at December 31, 2022 $ 51 $ 1,556,990 $ (699,649 ) $ 8,576 $ 22 $ 865,990 Twelve Months Ended Accumulated Additional other Non Common paid-in Accumulated comprehensive controlling stock capital deficit income (loss) interest Total Balance at December 31, 2022 $ 51 $ 1,556,990 $ (699,649 ) $ 8,576 $ 22 $ 865,990 Total comprehensive income (loss) — — 97,185 (3,310 ) (1,564 ) 92,311 Exercise of warrants into common stock 2 111,481 — — — 111,483 Repurchase and retirement of common stock (1 ) — (35,374 ) — — (35,375 ) Acquisition of non-controlling interest in a majority owned subsidiary — (1,427 ) — — — (1,427 ) Amortization of share-based awards — 4,715 — — — 4,715 Balance at December 31, 2023 $ 52 $ 1,671,759 $ (637,838 ) $ 5,266 $ (1,542 ) $ 1,037,697 Balance at December 31, 2021 $ 41 $ 1,376,494 $ (677,900 ) $ 2,668 $ 466 $ 701,769 Total comprehensive income (loss) — — (21,749 ) 5,908 (444 ) (16,285 ) Issuance of common stock 10 192,881 — — — 192,891 SPO acquisition warrants — 176,823 — — — 176,823 Repurchase of SPO acquisition warrants — (194,256 ) — — — (194,256 ) Amortization of share-based awards — 5,048 — — — 5,048 Balance at December 31, 2022 $ 51 $ 1,556,990 $ (699,649 ) $ 8,576 $ 22 $ 865,990 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 Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Vessel revenues: Americas $ 68,425 23 % $ 41,785 23 % $ 237,205 24 % $ 146,871 23 % Asia Pacific 38,632 13 % 19,070 10 % 122,235 12 % 64,231 10 % Middle East 38,072 12 % 30,575 16 % 135,375 14 % 110,375 17 % Europe/Mediterranean 80,743 27 % 33,482 18 % 230,217 23 % 129,578 20 % West Africa 74,643 25 % 60,194 33 % 273,961 27 % 190,349 30 % Total vessel revenues $ 300,515 100 % $ 185,106 100 % $ 998,993 100 % $ 641,404 100 % Vessel operating costs: Crew costs $ 97,537 33 % $ 69,699 37 % $ 329,473 33 % $ 242,364 38 % Repair and maintenance 21,635 7 % 14,774 8 % 78,716 8 % 51,256 8 % Insurance 2,765 1 % 2,027 1 % 9,297 1 % 6,765 1 % Fuel, lube and supplies 15,265 5 % 12,841 7 % 60,548 6 % 43,729 7 % Other 21,351 7 % 16,155 9 % 78,481 8 % 53,187 8 % Total vessel operating costs 158,553 53 % 115,496 62 % 556,515 56 % 397,301 62 % Vessel operating margin (A) $ 141,962 47 % $ 69,610 38 % $ 442,478 44 % $ 244,103 38 % Note (A): Vessel operating margin equals vessel revenues less vessel operating costs. The company’s operating loss and other components of loss before income taxes and its related percentage of total revenues, were as follows: (In Thousands) Three Months Ended Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Vessel operating profit (loss): Americas $ 16,171 5 % $ 3,216 2 % $ 42,964 4 % $ 12,016 2 % Asia Pacific 11,322 4 % (808 ) (0 )% 38,471 4 % 3,726 0 % Middle East 2,093 1 % 492 0 % (1,051 ) (0 )% (1,093 ) (0 )% Europe/Mediterranean 13,768 5 % 3,874 2 % 33,687 3 % 18,844 3 % West Africa 27,360 9 % 18,305 10 % 98,447 10 % 43,112 7 % Other operating profit 806 0 % 946 0 % 6,650 1 % 4,150 1 % 71,520 24 % 26,025 14 % 219,168 22 % 80,755 13 % — Corporate expenses (A) (12,643 ) (4 )% (13,983 ) (7 )% (45,654 ) (5 )% (53,583 ) (9 )% Gain on asset dispositions, net 4,218 1 % 1,076 1 % 8,701 1 % 250 0 % Long-lived asset impairment and other — 0 % — 0 % — 0 % (714 ) (0 )% Operating income $ 63,095 21 % $ 13,118 7 % $ 182,215 18 % $ 26,708 4 % Note (A): General and administrative expenses for the three months and twelve months ended December 31, 2023 include stock-based compensation of $3.5 million and $10.8 million, respectively. General and administrative expenses for the three and twelve months ended December 31, 2022 include stock-based compensation of $2.1 million and $7.4 million, respectively. In addition, vessel operating and general and administrative costs for the three months and twelve months ended December 31, 2023, include $2.2 million and $10.9 million in acquisition, restructuring and integration related costs, respectively. Vessel operating and general and administrative costs for the three and twelve months ended December 31, 2022, include $5.1 million and $19.1 million in acquisition, restructuring and integration related costs, respectively. TIDEWATER INC. CONSOLIDATED STATEMENTS OF EARNINGS (LOSS) – QUARTERLY DATA (In Thousands, except per share data) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Revenues: Vessel revenues $ 300,515 $ 296,975 $ 210,323 $ 191,180 $ 185,106 Other operating revenues 2,143 2,287 4,638 1,924 1,640 Total revenues 302,658 299,262 214,961 193,104 186,746 Costs and expenses: Vessel operating costs (A) 158,553 164,239 118,264 115,459 115,496 Costs of other operating revenue 1,337 1,481 373 1,151 694 General and administrative (A) 24,724 21,001 26,013 23,545 28,633 Depreciation and amortization 59,167 57,730 32,768 30,666 29,881 Gain on asset dispositions, net (4,218 ) (863 ) (1,404 ) (2,216 ) (1,076 ) Total operating costs and expenses 239,563 243,588 176,014 168,605 173,628 Operating income 63,095 55,674 38,947 24,499 13,118 Other income (expense): Foreign exchange gain (loss) 2,250 (2,149 ) (3,819 ) 2,348 2,105 Equity in net earnings of unconsolidated companies 10 4 25 — 14 Interest income and other, net 3,029 568 2,790 130 981 Interest and other debt costs, net (20,263 ) (19,288 ) (4,731 ) (4,190 ) (4,339 ) Total other expense (14,974 ) (20,865 ) (5,735 ) (1,712 ) (1,239 ) Income before income taxes 48,121 34,809 33,212 22,787 11,879 Income tax expense 10,793 9,260 11,284 11,971 1,697 Net income 37,328 25,549 21,928 10,816 10,182 Net income (loss) attributable to noncontrolling interests (336 ) (650 ) (656 ) 78 (438 ) Net income attributable to Tidewater Inc. $ 37,664 $ 26,199 $ 22,584 $ 10,738 $ 10,620 Basic income per common share $ 0.72 $ 0.50 $ 0.44 $ 0.21 $ 0.22 Diluted income per common share $ 0.70 $ 0.49 $ 0.43 $ 0.21 $ 0.20 Weighted average common shares outstanding 52,648 52,230 50,857 50,604 48,766 Dilutive effect of warrants, restricted stock units and stock options 1,351 1,380 1,148 1,368 3,069 Adjusted weighted average common shares 53,999 53,610 52,005 51,972 51,835 Vessel operating margin $ 141,962 $ 132,736 $ 92,059 $ 75,721 $ 69,610 Note (A): Acquisition, restructuring and integration related costs $ 2,177 $ 6,079 $ 1,242 $ 1,426 $ 5,150 TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands) December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 ASSETS Current assets: Cash and cash equivalents $ 274,437 $ 275,070 $ 171,261 $ 165,145 $ 164,192 Restricted cash 1,241 4,973 1,242 4,972 1,241 Trade and other receivables, net 268,352 250,671 195,906 182,198 156,465 Marine operating supplies 31,933 27,489 22,495 24,448 30,830 Assets held for sale — 565 630 695 4,195 Prepaid expenses and other current assets 15,172 16,598 18,958 18,978 20,985 Total current assets 591,135 575,366 410,492 396,436 377,908 Net properties and equipment 1,315,122 1,348,001 784,873 786,168 796,655 Deferred drydocking and survey costs 106,698 99,215 92,481 82,787 61,080 Indemnification assets 17,370 18,648 22,678 27,698 28,369 Other assets 32,449 30,325 33,640 34,058 33,644 Total assets $ 2,062,774 $ 2,071,555 $ 1,344,164 $ 1,327,147 $ 1,297,656 LIABILITIES AND EQUITY Current liabilities: Accounts payable $ 44,931 $ 57,183 $ 69,822 $ 64,775 $ 38,946 Accrued expenses 125,590 119,631 91,875 107,348 105,518 Current portion of long-term debt 103,077 102,369 2,441 — — Other current liabilities 55,133 53,301 42,305 43,220 50,323 Total current liabilities 328,731 332,484 206,443 215,343 194,787 Long-term debt 631,361 641,301 179,573 169,423 169,036 Other liabilities 64,985 66,246 65,621 68,968 67,843 Equity: Common stock 52 53 51 51 51 Additional paid-in-capital 1,671,759 1,668,392 1,554,793 1,553,919 1,556,990 Accumulated deficit (637,838 ) (640,128 ) (666,327 ) (688,911 ) (699,649 ) Accumulated other comprehensive income 5,266 4,413 4,566 8,254 8,576 Total stockholders' equity 1,039,239 1,032,730 893,083 873,313 865,968 Noncontrolling interests (1,542 ) (1,206 ) (556 ) 100 22 Total equity 1,037,697 1,031,524 892,527 873,413 865,990 Total liabilities and equity $ 2,062,774 $ 2,071,555 $ 1,344,164 $ 1,327,147 $ 1,297,656 TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS – QUARTERLY DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Operating activities: Net income $ 37,328 $ 25,549 $ 21,928 $ 10,816 $ 10,182 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 42,788 43,845 21,096 21,048 20,983 Amortization of deferred drydocking and survey costs 16,379 13,885 11,672 9,618 8,898 Amortization of debt premiums and discounts 1,975 1,802 422 420 522 Amortization of below market contracts (1,894 ) (1,906 ) — — — (Provision) benefit for deferred income taxes 23 35 (1 ) 35 (98 ) Gain on asset dispositions, net (4,218 ) (863 ) (1,404 ) (2,216 ) (1,076 ) Gain on pension settlement (506 ) — (1,807 ) — — Stock-based compensation expense 3,508 2,496 2,648 2,103 2,028 Changes in assets and liabilities, net of effects of business acquisition: Trade and other receivables (17,072 ) (54,765 ) (12,186 ) (25,733 ) 26,172 Accounts payable (12,252 ) (12,639 ) 5,047 25,829 7,117 Accrued expenses 5,841 27,775 (15,374 ) 1,830 (427 ) Deferred drydocking and survey costs (24,069 ) (20,618 ) (21,366 ) (31,325 ) (12,117 ) Other, net (600 ) 10,343 (934 ) 369 (16,844 ) Net cash provided by operating activities 47,231 34,939 9,741 12,794 45,340 Cash flows from investing activities: Proceeds from asset dispositions 5,902 945 2,943 5,716 5,093 Acquisitions, net of cash acquired — (594,191 ) — — — Additions to properties and equipment (8,386 ) (5,702 ) (8,849 ) (8,651 ) (4,929 ) Net cash provided by (used in) investing activities (2,484 ) (598,948 ) (5,906 ) (2,935 ) 164 Cash flows from financing activities: Exercise of warrants — 111,483 — — — Proceeds from issuance of shares — — — — 117,202 Repurchase of SPO acquisition warrants — — — — (117,202 ) Issuance of long-term debt — 575,000 — — — Principal payments on long-term debt (13,677 ) — — — — Purchase of common stock (35,025 ) — — — — Acquisition of non-controlling interest in a majority owned subsidiary — — — (1,427 ) — Debt issuance costs — (14,758 ) — — — Tax on share-based awards (141 ) (378 ) (1,774 ) (3,747 ) (47 ) Net cash provided by (used in) financing activities (48,843 ) 671,347 (1,774 ) (5,174 ) (47 ) Net change in cash, cash equivalents and restricted cash (4,096 ) 107,338 2,061 4,685 45,457 Cash, cash equivalents and restricted cash at beginning of period 282,061 174,723 172,662 167,977 122,520 Cash, cash equivalents and restricted cash at end of period $ 277,965 $ 282,061 $ 174,723 $ 172,662 $ 167,977 Supplemental disclosure of cash flow information: Cash paid during the year for: Interest, net of amounts capitalized $ 18,186 $ 606 $ 7,748 $ 98 $ 7,575 Income taxes $ 7,295 $ 9,384 $ 10,144 $ 17,057 $ 6,132 Supplemental disclosure of noncash investing activities: Purchase of three vessels $ 2,067 $ 27 $ 12,171 $ — $ — Supplemental disclosure of noncash financing activities: Repurchase of SPO acquisition warrants $ — $ — $ — $ — $ 373 Debt incurred for purchase of three vessels $ 3,037 $ 27 $ 12,171 $ — $ — TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 VESSEL REVENUE BY VESSEL CLASS Americas fleet: PSV > 900 $ 28,714 $ 29,270 $ 20,316 $ 20,556 $ 17,814 PSV < 900 28,143 28,886 19,134 17,390 16,486 AHTS > 16K 4,034 3,584 3,425 3,395 2,873 AHTS 8 - 16K 2,316 2,064 2,807 2,807 1,899 AHTS 4 - 8K 1,428 1,570 1,480 1,521 1,553 Other 3,790 5,343 3,214 2,018 1,160 Total 68,425 70,717 50,376 47,687 41,785 Asia Pacific fleet: PSV > 900 19,485 20,159 9,648 9,101 6,692 PSV < 900 8,679 8,292 5,811 5,133 3,120 AHTS > 16K 3,759 3,271 2,065 1,342 3,260 AHTS 8 - 16K 4,706 5,287 5,001 5,397 4,364 AHTS 4 - 8K 1,601 1,582 8 998 1,584 Other 402 403 52 53 50 Total 38,632 38,994 22,585 22,024 19,070 Middle East fleet: PSV > 900 1,378 1,088 1,211 1,192 1,218 PSV < 900 19,215 17,790 16,812 14,965 15,517 AHTS > 16K 1,178 1,196 1,217 2,316 2,351 AHTS 8 - 16K 3,094 3,420 4,276 4,593 4,146 AHTS 4 - 8K 13,207 11,191 8,340 7,696 7,343 Total 38,072 34,685 31,856 30,762 30,575 Europe/Mediterranean fleet: PSV > 900 61,559 59,872 27,602 21,858 23,640 PSV < 900 15,356 14,039 9,195 6,663 9,017 AHTS > 16K 2,437 3,617 2,228 2,511 643 Other 1,391 1,401 270 218 182 Total 80,743 78,929 39,295 31,250 33,482 West Africa fleet: PSV > 900 15,478 17,566 11,550 9,900 10,534 PSV < 900 31,893 26,396 25,419 24,835 20,494 AHTS > 16K 6,994 7,138 9,129 6,237 5,385 AHTS 8 - 16K 11,219 11,917 9,870 9,827 11,810 AHTS 4 - 8K 2,126 2,745 3,496 2,360 5,780 Other 6,933 7,888 6,747 6,298 6,191 Total 74,643 73,650 66,211 59,457 60,194 Worldwide fleet: PSV > 900 126,614 127,955 70,327 62,607 59,898 PSV < 900 103,286 95,403 76,371 68,986 64,634 AHTS > 16K 18,402 18,806 18,064 15,801 14,512 AHTS 8 - 16K 21,335 22,688 21,954 22,624 22,219 AHTS 4 - 8K 18,362 17,088 13,324 12,575 16,260 Other 12,516 15,035 10,283 8,587 7,583 Total $ 300,515 $ 296,975 $ 210,323 $ 191,180 $ 185,106 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVERAGE NUMBER OF VESSELS: Americas fleet: PSV > 900 12 12 10 10 10 PSV < 900 18 18 15 15 16 AHTS > 16K 2 2 2 2 2 AHTS 8 - 16K 2 2 2 2 2 AHTS 4 - 8K 2 2 2 2 2 Other 2 2 2 1 1 Total 38 38 33 32 33 Stacked vessels (1 ) (1 ) (1 ) (1 ) (2 ) Active vessels 37 37 32 31 31 Asia Pacific fleet: PSV > 900 8 8 6 5 5 PSV < 900 5 4 2 2 2 AHTS > 16K 2 2 2 1 2 AHTS 8 - 16K 3 3 3 3 3 AHTS 4 - 8K 1 1 1 2 3 Other — — — 1 1 Total 19 18 14 14 16 Stacked vessels — — — (1 ) (2 ) Active vessels 19 18 14 13 14 Middle East fleet: PSV > 900 1 1 1 1 2 PSV < 900 20 20 20 21 20 AHTS > 16K 1 1 1 2 2 AHTS 8 - 16K 5 5 5 5 5 AHTS 4 - 8K 18 18 17 14 14 Total 45 45 44 43 43 Stacked vessels — — — — — Active vessels 45 45 44 43 43 Europe/Mediterranean fleet: PSV > 900 39 38 18 19 19 PSV < 900 10 10 7 7 7 AHTS > 16K 2 2 1 1 1 Total 51 50 26 27 27 Stacked vessels — — — — — Active vessels 51 50 26 27 27 West Africa fleet: PSV > 900 9 9 7 7 6 PSV < 900 19 19 18 18 18 AHTS > 16K 4 4 5 5 4 AHTS 8 - 16K 11 11 11 11 11 AHTS 4 - 8K 4 5 6 8 8 Other 21 24 23 25 28 Total 68 72 70 74 75 Stacked vessels (1 ) (3 ) (5 ) (8 ) (10 ) Active vessels 67 69 65 66 65 Worldwide fleet: PSV > 900 69 68 42 42 42 PSV < 900 72 71 62 63 63 AHTS > 16K 11 11 11 11 11 AHTS 8 - 16K 21 21 21 21 21 AHTS 4 - 8K 25 26 26 26 27 Other 23 26 25 27 30 Total 221 223 187 190 194 Stacked vessels (2 ) (4 ) (6 ) (10 ) (14 ) Active vessels 219 219 181 180 180 Total active 219 219 181 180 180 Total stacked 2 4 6 10 14 Total joint venture — — — — 1 Total 221 223 187 190 195 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVAILABLE DAYS - TOTAL FLEET: Americas fleet: PSV > 900 1,104 1,095 910 907 922 PSV < 900 1,675 1,730 1,365 1,359 1,499 AHTS > 16K 184 184 182 180 184 AHTS 8 - 16K 184 184 182 180 184 AHTS 4 - 8K 184 184 182 180 184 Other 184 184 182 121 92 Total 3,515 3,561 3,003 2,927 3,065 Asia Pacific fleet: PSV > 900 736 726 559 481 460 PSV < 900 454 358 182 180 184 AHTS > 16K 184 184 182 90 184 AHTS 8 - 16K 276 276 273 270 276 AHTS 4 - 8K 92 92 91 180 292 Other — — — 48 92 Total 1,742 1,636 1,287 1,249 1,488 Middle East fleet: PSV > 900 92 92 91 90 92 PSV < 900 1,840 1,840 1,820 1,842 1,840 AHTS > 16K 92 92 91 180 184 AHTS 8 - 16K 460 460 455 450 460 AHTS 4 - 8K 1,615 1,640 1,556 1,291 1,288 Total 4,099 4,124 4,013 3,853 3,864 Europe/Mediterranean fleet: PSV > 900 3,588 3,492 1,638 1,672 1,746 PSV < 900 920 907 637 630 644 AHTS > 16K 184 184 139 90 92 Total 4,692 4,583 2,414 2,392 2,482 West Africa fleet: PSV > 900 828 819 637 630 644 PSV < 900 1,735 1,744 1,638 1,620 1,656 AHTS > 16K 368 368 407 450 368 AHTS 8 - 16K 1,012 1,012 1,001 990 1,012 AHTS 4 - 8K 385 476 546 720 736 Other 1,899 2,184 2,099 2,256 2,545 Total 6,227 6,603 6,328 6,666 6,961 Worldwide fleet: PSV > 900 6,348 6,224 3,835 3,780 3,864 PSV < 900 6,624 6,579 5,642 5,631 5,823 AHTS > 16K 1,012 1,012 1,001 990 1,012 AHTS 8 - 16K 1,932 1,932 1,911 1,890 1,932 AHTS 4 - 8K 2,276 2,392 2,375 2,371 2,500 Other 2,083 2,368 2,281 2,425 2,729 Total 20,275 20,507 17,045 17,087 17,860 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 OUT-OF-SERVICE - STACKED DAYS: Americas fleet: PSV < 900 92 92 91 99 211 Total 92 92 91 99 211 Asia Pacific fleet: AHTS 4 - 8K — — — — 54 Other — — — 48 92 Total — — — 48 146 West Africa fleet: AHTS 4 - 8K 109 184 182 180 158 Other 16 103 265 540 797 Total 125 287 447 720 955 Worldwide fleet: PSV < 900 92 92 91 99 211 AHTS 4 - 8K 109 184 182 180 212 Other 16 103 265 588 889 Total 217 379 538 867 1,312 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVAILABLE DAYS - ACTIVE FLEET: Americas fleet: PSV > 900 1,104 1,095 910 907 922 PSV < 900 1,583 1,638 1,274 1,260 1,288 AHTS > 16K 184 184 182 180 184 AHTS 8 - 16K 184 184 182 180 184 AHTS 4 - 8K 184 184 182 180 184 Other 184 184 182 121 92 Total 3,423 3,469 2,912 2,828 2,854 Asia Pacific fleet: PSV > 900 736 726 559 481 460 PSV < 900 454 358 182 180 184 AHTS > 16K 184 184 182 90 184 AHTS 8 - 16K 276 276 273 270 276 AHTS 4 - 8K 92 92 91 180 238 Total 1,742 1,636 1,287 1,201 1,342 Middle East fleet: PSV > 900 92 92 91 90 92 PSV < 900 1,840 1,840 1,820 1,842 1,840 AHTS > 16K 92 92 91 180 184 AHTS 8 - 16K 460 460 455 450 460 AHTS 4 - 8K 1,615 1,640 1,556 1,291 1,288 Total 4,099 4,124 4,013 3,853 3,864 Europe/Mediterranean fleet: PSV > 900 3,588 3,492 1,638 1,672 1,746 PSV < 900 920 907 637 630 644 AHTS > 16K 184 184 139 90 92 Total 4,692 4,583 2,414 2,392 2,482 West Africa fleet: PSV > 900 828 819 637 630 644 PSV < 900 1,735 1,744 1,638 1,620 1,656 AHTS > 16K 368 368 407 450 368 AHTS 8 - 16K 1,012 1,012 1,001 990 1,012 AHTS 4 - 8K 276 292 364 540 578 Other 1,883 2,081 1,834 1,716 1,748 Total 6,102 6,316 5,881 5,946 6,006 Worldwide fleet: PSV > 900 6,348 6,224 3,835 3,780 3,864 PSV < 900 6,532 6,487 5,551 5,532 5,612 AHTS > 16K 1,012 1,012 1,001 990 1,012 AHTS 8 - 16K 1,932 1,932 1,911 1,890 1,932 AHTS 4 - 8K 2,167 2,208 2,193 2,191 2,288 Other 2,067 2,265 2,016 1,837 1,840 Total 20,058 20,128 16,507 16,220 16,548 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 UTILIZATION - TOTAL FLEET: Americas fleet: PSV > 900 77.2 % 84.5 % 78.5 % 84.2 % 82.6 % PSV < 900 78.9 85.7 83.9 79.8 68.1 AHTS > 16K 59.0 54.7 50.0 50.0 48.2 AHTS 8 - 16K 74.0 65.4 100.0 100.0 76.8 AHTS 4 - 8K 93.7 97.8 93.7 96.4 99.2 Other 100.0 100.0 100.0 97.5 100.0 Total 78.9 % 84.1 % 82.8 % 82.3 % 74.6 % Asia Pacific fleet: PSV > 900 93.4 % 97.3 % 71.1 % 70.8 % 62.6 % PSV < 900 92.3 99.0 100.0 90.6 78.4 AHTS > 16K 72.7 66.7 60.7 78.1 90.8 AHTS 8 - 16K 63.9 78.9 85.0 79.8 85.4 AHTS 4 - 8K 100.0 100.0 10.4 80.3 79.5 Total 86.6 % 91.3 % 72.4 % 74.8 % 71.7 % Middle East fleet: PSV > 900 100.0 % 90.2 % 100.0 % 100.0 % 100.0 % PSV < 900 88.6 82.8 81.6 74.4 78.3 AHTS > 16K 100.0 100.0 100.0 100.0 100.0 AHTS 8 - 16K 60.4 69.0 87.0 96.0 84.8 AHTS 4 - 8K 87.6 77.7 63.4 85.7 86.3 Total 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Europe/Mediterranean fleet: PSV > 900 91.4 % 90.8 % 91.0 % 82.7 % 88.5 % PSV < 900 86.8 86.4 81.3 85.0 89.2 AHTS > 16K 53.2 63.3 43.4 84.1 65.5 Total 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % West Africa fleet: PSV > 900 64.9 % 88.5 % 83.1 % 83.0 % 85.7 % PSV < 900 95.4 85.1 91.1 95.3 89.9 AHTS > 16K 91.1 77.0 92.9 73.5 89.4 AHTS 8 - 16K 72.4 79.5 79.6 79.8 91.1 AHTS 4 - 8K 57.6 58.5 62.9 32.4 62.1 Other 56.9 50.0 49.4 50.3 45.4 Total 73.3 % 70.7 % 72.3 % 68.4 % 70.5 % Worldwide fleet: PSV > 900 85.8 % 90.1 % 84.0 % 82.0 % 83.8 % PSV < 900 87.9 85.6 85.5 83.4 80.2 AHTS > 16K 75.8 70.7 73.0 75.4 81.9 AHTS 8 - 16K 68.5 75.6 84.1 85.6 87.4 AHTS 4 - 8K 83.5 76.3 63.5 69.9 79.4 Other 60.7 53.9 53.4 51.7 45.7 Total 81.5 % 80.5 % 76.9 % 76.5 % 76.5 % TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 UTILIZATION - ACTIVE FLEET: Americas fleet: PSV > 900 77.2 % 84.5 % 78.5 % 84.2 % 82.6 % PSV < 900 83.4 90.5 89.9 86.1 79.3 AHTS > 16K 59.0 54.7 50.0 50.0 48.2 AHTS 8 - 16K 74.0 65.4 100.0 100.0 76.8 AHTS 4 - 8K 93.7 97.8 93.7 96.4 99.2 Other 100.0 100.0 100.0 97.5 100.0 Total 81.0 % 86.3 % 85.4 % 85.2 % 80.1 % Asia Pacific fleet: PSV > 900 93.4 % 97.3 % 71.1 % 70.8 % 62.6 % PSV < 900 92.3 99.0 100.0 90.6 78.4 AHTS > 16K 72.7 66.7 60.7 78.1 90.8 AHTS 8 - 16K 63.9 78.9 85.0 79.8 85.4 AHTS 4 - 8K 100.0 100.0 10.4 80.3 97.4 Total 86.6 % 91.3 % 72.4 % 77.8 % 79.5 % Middle East fleet: PSV > 900 100.0 % 90.2 % 100.0 % 100.0 % 100.0 % PSV < 900 88.6 82.8 81.6 74.4 78.3 AHTS > 16K 100.0 100.0 100.0 100.0 100.0 AHTS 8 - 16K 60.4 69.0 87.0 96.0 84.8 AHTS 4 - 8K 87.6 77.7 63.4 85.7 86.3 Total 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Europe/Mediterranean fleet: PSV > 900 91.4 % 90.8 % 91.0 % 82.7 % 88.5 % PSV < 900 86.8 86.4 81.3 85.0 89.2 AHTS > 16K 53.2 63.3 43.4 84.1 65.5 Total 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % West Africa fleet: PSV > 900 64.9 % 88.5 % 83.1 % 83.0 % 85.7 % PSV < 900 95.4 85.1 91.1 95.3 89.9 AHTS > 16K 91.1 77.0 92.9 73.5 89.4 AHTS 8 - 16K 72.4 79.5 79.6 79.8 91.1 AHTS 4 - 8K 80.4 95.4 94.3 43.2 79.1 Other 57.4 52.5 56.5 66.2 66.1 Total 74.8 % 73.9 % 77.8 % 76.6 % 81.7 % Worldwide fleet: PSV > 900 85.8 % 90.1 % 84.0 % 82.0 % 83.8 % PSV < 900 89.2 86.8 86.9 84.9 83.2 AHTS > 16K 75.8 70.7 73.0 75.4 81.9 AHTS 8 - 16K 68.5 75.6 84.1 85.6 87.4 AHTS 4 - 8K 87.7 82.6 68.8 75.7 86.7 Other 61.2 56.4 60.4 68.2 67.8 Total 82.4 % 82.1 % 79.4 % 80.6 % 82.5 % TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVERAGE VESSEL DAY RATES: (A) Americas fleet: PSV > 900 $ 33,707 $ 31,648 $ 28,446 $ 26,930 $ 23,401 PSV < 900 21,306 19,479 16,702 16,037 16,146 AHTS > 16K 37,174 35,598 37,640 37,720 32,368 AHTS 8 - 16K 16,997 17,157 15,421 15,593 13,431 AHTS 4 - 8K 8,285 8,717 8,678 8,764 8,511 Other 18,427 26,857 17,658 17,110 12,611 Total 24,524 23,495 20,269 19,794 18,271 Asia Pacific fleet: PSV > 900 28,351 28,525 24,276 26,723 23,237 PSV < 900 20,703 23,380 31,927 31,488 21,627 AHTS > 16K 28,120 26,649 18,690 19,095 19,519 AHTS 8 - 16K 26,680 24,275 21,561 25,049 18,509 AHTS 4 - 8K 17,404 17,197 946 6,903 6,822 Total 25,378 25,867 24,250 23,582 17,868 Middle East fleet: PSV > 900 14,972 13,112 13,304 13,251 13,234 PSV < 900 11,785 11,677 11,320 10,926 10,768 AHTS > 16K 12,801 13,004 13,378 12,868 12,777 AHTS 8 - 16K 11,140 10,771 10,804 10,632 10,627 AHTS 4 - 8K 9,334 8,787 8,460 6,953 6,604 Total 10,855 10,544 10,449 9,679 9,498 Europe/Mediterranean fleet: PSV > 900 18,771 18,879 18,512 15,798 15,306 PSV < 900 19,227 17,926 17,756 12,451 15,696 AHTS > 16K 24,899 31,048 36,913 33,164 10,682 Total 19,061 19,105 18,990 15,669 15,364 West Africa fleet: PSV > 900 28,797 24,220 21,815 18,931 19,096 PSV < 900 19,271 17,781 17,040 16,080 13,758 AHTS > 16K 20,869 25,192 24,154 18,863 16,367 AHTS 8 - 16K 15,302 14,804 12,382 12,433 12,809 AHTS 4 - 8K 9,583 9,858 10,178 10,113 12,637 Other 6,415 7,217 6,511 5,548 5,359 Total 16,356 15,772 14,469 13,047 12,272 Worldwide fleet: PSV > 900 23,240 22,804 21,820 20,193 18,502 PSV < 900 17,734 16,949 15,837 14,688 13,839 AHTS > 16K 23,985 26,293 24,719 21,163 17,505 AHTS 8 - 16K 16,120 15,533 13,662 13,984 13,153 AHTS 4 - 8K 9,658 9,368 8,828 7,583 8,196 Other 8,397 10,281 8,441 6,852 6,080 Total $ 18,066 $ 17,865 $ 16,042 $ 14,624 $ 13,554 Note (A): Average Vessel Day Rates equals Vessel Revenue / Days Worked. TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Americas Vessel revenues $ 68,425 $ 70,717 $ 50,376 $ 47,687 $ 41,785 Vessel operating costs: Crew costs 24,045 26,848 18,033 17,402 16,486 Repair and maintenance 3,846 5,588 3,973 3,888 3,619 Insurance 526 476 479 410 410 Fuel, lube and supplies 3,241 4,386 2,549 2,999 2,387 Other 5,172 5,924 4,564 3,572 5,102 Total vessel operating costs 36,830 43,222 29,598 28,271 28,004 Vessel operating margin ($) 31,595 27,495 20,778 19,416 13,781 Vessel operating margin (%) 46.2 % 38.9 % 41.2 % 40.7 % 33.0 % Americas - Select operating statistics Average vessels - Total fleet 38 38 33 32 33 Utilization - Total fleet 78.9 % 84.1 % 82.8 % 82.3 % 74.6 % Average vessels - Active fleet 37 37 32 31 31 Utilization - Active fleet 81.0 % 86.3 % 85.4 % 85.2 % 80.1 % Average day rates $ 24,524 $ 23,495 $ 20,269 $ 19,794 $ 18,271 Vessels commencing drydocks 3 3 4 2 2 Deferred drydocking and survey costs - beginning balance $ 29,684 $ 29,769 $ 27,832 $ 21,720 $ 21,772 Cash paid for deferred drydocking and survey costs 5,025 4,658 5,867 8,218 4,389 Amortization of deferred drydocking and survey costs (5,353 ) (3,727 ) (2,626 ) (3,417 ) (3,025 ) Disposals, intersegment transfers and other (668 ) (1,016 ) (1,304 ) 1,311 (1,416 ) Deferred drydocking and survey costs - ending balance $ 28,688 $ 29,684 $ 29,769 $ 27,832 $ 21,720 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Asia Pacific Vessel revenues $ 38,632 $ 38,994 $ 22,585 $ 22,024 $ 19,070 Vessel operating costs: Crew costs 15,177 12,390 7,062 7,311 9,876 Repair and maintenance 2,977 2,969 1,517 1,749 901 Insurance 269 183 219 123 183 Fuel, lube and supplies 1,191 909 1,521 1,630 1,299 Other 2,045 2,380 1,648 1,678 1,574 Total vessel operating costs 21,659 18,831 11,967 12,491 13,833 Vessel operating margin ($) 16,973 20,163 10,618 9,533 5,237 Vessel operating margin (%) 43.9 % 51.7 % 47.0 % 43.3 % 27.5 % Asia Pacific - Select operating statistics Average vessels - Total fleet 19 18 14 14 16 Utilization - Total fleet 86.6 % 91.3 % 72.4 % 74.8 % 71.7 % Average vessels - Active fleet 19 18 14 13 14 Utilization - Active fleet 86.6 % 91.3 % 72.4 % 77.8 % 79.5 % Average day rates $ 25,378 $ 25,867 $ 24,250 $ 23,582 $ 17,868 Vessels commencing drydocks — — — 1 2 Deferred drydocking and survey costs - beginning balance $ 3,595 $ 2,128 $ 2,525 $ 553 $ 979 Cash paid for deferred drydocking and survey costs (18 ) 84 (4 ) 2,368 156 Amortization of deferred drydocking and survey costs (720 ) (637 ) (393 ) (282 ) (117 ) Disposals, intersegment transfers and other 912 2,020 — (114 ) (465 ) Deferred drydocking and survey costs - ending balance $ 3,769 $ 3,595 $ 2,128 $ 2,525 $ 553 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Middle East Vessel revenues $ 38,072 $ 34,685 $ 31,856 $ 30,762 $ 30,575 Vessel operating costs: Crew costs 13,716 13,914 13,170 12,616 12,472 Repair and maintenance 4,105 4,828 3,779 3,475 3,216 Insurance 501 385 465 433 384 Fuel, lube and supplies 2,610 3,142 3,470 2,870 2,991 Other 4,906 4,796 3,756 3,669 2,505 Total vessel operating costs 25,838 27,065 24,640 23,063 21,568 Vessel operating margin ($) 12,234 7,620 7,216 7,699 9,007 Vessel operating margin (%) 32.1 % 22.0 % 22.7 % 25.0 % 29.5 % Middle East - Select operating statistics Average vessels - Total fleet 45 45 44 43 43 Utilization - Total fleet 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Average vessels - Active fleet 45 45 44 43 43 Utilization - Active fleet 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Average day rates $ 10,855 $ 10,544 $ 10,449 $ 9,679 $ 9,498 Vessels commencing drydocks 3 4 7 5 5 Deferred drydocking and survey costs - beginning balance $ 21,153 $ 22,717 $ 20,677 $ 15,062 $ 14,993 Cash paid for deferred drydocking and survey costs 1,360 3,234 4,262 7,787 1,930 Amortization of deferred drydocking and survey costs (3,182 ) (2,776 ) (3,778 ) (1,913 ) (2,323 ) Disposals, intersegment transfers and other — (2,022 ) 1,556 (259 ) 462 Deferred drydocking and survey costs - ending balance $ 19,331 $ 21,153 $ 22,717 $ 20,677 $ 15,062 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Europe/Mediterranean Vessel revenues $ 80,743 $ 78,929 $ 39,295 $ 31,250 $ 33,482 Vessel operating costs: Crew costs 25,848 26,632 13,406 12,727 13,010 Repair and maintenance 6,081 5,342 2,900 2,706 3,067 Insurance 791 689 354 384 386 Fuel, lube and supplies 3,717 4,033 2,363 1,584 2,051 Other 3,719 5,376 2,292 2,371 1,762 Total vessel operating costs 40,156 42,072 21,315 19,772 20,276 Vessel operating margin ($) 40,587 36,857 17,980 11,478 13,206 Vessel operating margin (%) 50.3 % 46.7 % 45.8 % 36.7 % 39.4 % Europe/Mediterranean - Select operating statistics Average vessels - Total fleet 51 50 26 27 27 Utilization - Total fleet 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % Average vessels - Active fleet 51 50 26 27 27 Utilization - Active fleet 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % Average day rates $ 19,061 $ 19,105 $ 18,990 $ 15,669 $ 15,364 Vessels commencing drydocks 5 5 4 4 3 Deferred drydocking and survey costs - beginning balance $ 16,256 $ 11,705 $ 11,363 $ 9,566 $ 8,588 Cash paid for deferred drydocking and survey costs 7,580 6,733 2,217 5,128 1,175 Amortization of deferred drydocking and survey costs (2,758 ) (3,201 ) (1,875 ) (1,739 ) (1,523 ) Disposals, intersegment transfers and other — 1,019 — (1,592 ) 1,326 Deferred drydocking and survey costs - ending balance $ 21,078 $ 16,256 $ 11,705 $ 11,363 $ 9,566 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 West Africa Vessel revenues $ 74,643 $ 73,650 $ 66,211 $ 59,457 $ 60,194 Vessel operating costs: Crew costs 18,751 17,502 16,336 16,587 17,855 Repair and maintenance 4,626 4,868 4,665 4,834 3,971 Insurance 678 626 651 655 664 Fuel, lube and supplies 4,506 5,300 4,055 4,472 4,113 Other 5,509 4,753 5,037 5,314 5,212 Total vessel operating costs 34,070 33,049 30,744 31,862 31,815 Vessel operating margin ($) 40,573 40,601 35,467 27,595 28,379 Vessel operating margin (%) 54.4 % 55.1 % 53.6 % 46.4 % 47.1 % West Africa - Select operating statistics Average vessels - Total fleet 68 72 70 74 75 Utilization - Total fleet 73.3 % 70.7 % 72.3 % 68.4 % 70.5 % Average vessels - Active fleet 67 69 65 66 65 Utilization - Active fleet 74.8 % 73.9 % 77.8 % 76.6 % 81.7 % Average day rates $ 16,356 $ 15,772 $ 14,469 $ 13,047 $ 12,272 Vessels commencing drydocks 7 7 4 6 2 Deferred drydocking and survey costs - beginning balance $ 28,527 $ 26,162 $ 20,390 $ 14,179 $ 11,545 Cash paid for deferred drydocking and survey costs 10,121 5,909 9,024 7,824 4,467 Amortization of deferred drydocking and survey costs (4,367 ) (3,544 ) (3,000 ) (2,267 ) (1,909 ) Disposals, intersegment transfers and other (449 ) — (252 ) 654 76 Deferred drydocking and survey costs - ending balance $ 33,832 $ 28,527 $ 26,162 $ 20,390 $ 14,179 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Worldwide Vessel revenues $ 300,515 $ 296,975 $ 210,323 $ 191,180 $ 185,106 Vessel operating costs: Crew costs 97,537 97,286 68,007 66,643 69,699 Repair and maintenance 21,635 23,595 16,834 16,652 14,774 Insurance 2,765 2,359 2,168 2,005 2,027 Fuel, lube and supplies 15,265 17,770 13,958 13,555 12,841 Other 21,351 23,229 17,297 16,604 16,155 Total vessel operating costs 158,553 164,239 118,264 115,459 115,496 Vessel operating margin ($) 141,962 132,736 92,059 75,721 69,610 Vessel operating margin (%) 47.2 % 44.7 % 43.8 % 39.6 % 37.6 % Worldwide - Select operating statistics Average vessels - Total fleet 221 223 187 190 194 Utilization - Total fleet 81.5 % 80.5 % 76.9 % 76.5 % 76.5 % Average vessels - Active fleet 219 219 181 180 180 Utilization - Active fleet 82.4 % 82.1 % 79.4 % 80.6 % 82.5 % Average day rates $ 18,066 $ 17,865 $ 16,042 $ 14,624 $ 13,554 Vessels commencing drydocks 18 19 19 18 14 Deferred drydocking and survey costs - beginning balance $ 99,215 $ 92,481 $ 82,787 $ 61,080 $ 57,877 Cash paid for deferred drydocking and survey costs 24,068 20,618 21,366 31,325 12,117 Amortization of deferred drydocking and survey costs (16,380 ) (13,885 ) (11,672 ) (9,618 ) (8,897 ) Disposals, intersegment transfers and other (205 ) 1 — — (17 ) Deferred drydocking and survey costs - ending balance $ 106,698 $ 99,215 $ 92,481 $ 82,787 $ 61,080 TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Net income $ 37,328 $ 25,549 $ 21,928 $ 10,816 $ 10,182 Interest and other debt costs 20,263 19,288 4,731 4,190 4,339 Income tax expense 10,793 9,260 11,284 11,971 1,697 Depreciation 42,788 43,845 21,096 21,048 20,983 Amortization of deferred drydock and survey costs 16,379 13,885 11,672 9,618 8,898 Amortization of below market contracts (1,894 ) (1,906 ) — — — EBITDA (A), (B), (C) 125,657 109,921 70,711 57,643 46,099 Non-cash indemnification assets charge (70 ) 1,184 — — — Non-cash stock compensation expense 3,508 2,496 2,648 2,103 2,028 Acquisition, restructuring and integration related costs 2,177 6,079 1,242 1,426 5,150 Adjusted EBITDA (A), (B), (C) $ 131,272 $ 119,680 $ 74,601 $ 61,172 $ 53,277 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 December 31, 2023, and for each of the prior four quarters includes non-cash stock-based compensation expense of $3,508, $2,496, $2,648, $2,103 and $2,028 respectively. Note (C): EBITDA and Adjusted EBITDA for the three months ended December 31, 2023, and for each of the prior four quarters includes foreign exchange gain (losses) of $2,250, $(2,149), $(3,819), $2,348 and $2,105 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 December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Net cash provided by operating activities (A) $ 47,231 $ 34,939 $ 9,741 $ 12,794 $ 45,340 Cash interest expense 18,186 606 7,748 98 7,575 Interest income and other (3,029 ) (568 ) (2,790 ) (130 ) (981 ) Indemnification assets charge 70 (1,184 ) — — — Additions to property and equipment (8,386 ) (5,702 ) (8,849 ) (8,651 ) (4,929 ) Acquisitions — (594,191 ) — — — Expansion capital 1,034 594,252 2,493 109 1,240 55,106 28,152 8,343 4,220 48,245 Proceeds from asset sales 5,902 945 2,943 5,716 5,093 Free cash flow $ 61,008 $ 29,097 $ 11,286 $ 9,936 $ 53,338 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 (used in) 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 (used in) 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 December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Cash provided by (used in) changes in assets and liabilities, excluding drydock payments $ (24,083 ) $ (29,286 ) $ (23,447 ) $ 2,295 $ 16,018 Cash paid for deferred drydock and survey costs (24,069 ) (20,618 ) (21,366 ) (31,325 ) (12,117 ) Total sources (uses) of cash for changes in assets and liabilities $ (48,152 ) $ (49,904 ) $ (44,813 ) $ (29,030 ) $ 3,901 View source version on businesswire.com: https://www.businesswire.com/news/home/20240226697169/en/Contacts Tidewater Inc. West Gotcher Vice President, Finance and Investor Relations +1.713.470.5285 Data & News supplied by www.cloudquote.io Stock quotes supplied by Barchart Quotes delayed at least 20 minutes. 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Tidewater Reports Results for the Three and Twelve Months Ended December 31, 2023 By: Tidewater Inc. via Business Wire February 29, 2024 at 16:13 PM EST Full-Year 2023 Highlights Revenue of $1,010.0 million, a 55.9% increase from 2022 Average day rate increased to $16,802 per day, $4,048 higher than 2022 Net income of $97.2 million, an increase of $118.9 million from 2022 Adjusted EBITDA of $386.7 million, an increase of $220.0 million from 2022 Net cash provided by operating activities of $104.7 million, an increase of $64.5 million from 2022 Free cash flow of $111.3 million, an increase of $60.8 million from 2022 Completed acquisition and financing of 37 PSVs from Solstad Offshore Fourth Quarter 2023 Highlights Revenue of $302.7 million, highest quarterly revenue in eight years Average day rate increased to $18,066 per day, $201 higher than the third quarter of 2023 Composite leading edge term contract day rate of $29,511, $902 higher than the third quarter of 2023 Net income of $37.7 million, an increase of $11.5 million from the third quarter of 2023 Adjusted EBITDA of $131.3 million, an increase of $11.6 million from the third quarter of 2023 Net cash provided by operating activities of $47.2 million, an increase of $12.3 million from the third quarter of 2023 Free cash flow of $61.0 million, an increase of $31.9 million from the third quarter of 2023 Share Repurchase Program and 2024 Guidance Completed $35.0 million of share repurchases during the fourth quarter of 2023 at an average price of $59.29 per share Board approves a new share repurchase authorization of $48.6 million, the maximum permissible amount under existing debt agreements Reiterating 2024 revenue guidance of $1.40 to $1.45 billion and 2024 gross margin guidance of 52% Tidewater Inc. (NYSE:TDW) announced today revenue for the three and twelve months ended December 31, 2023 of $302.7 million and $1,010.0 million, respectively, compared with $186.7 million and $647.7 million, respectively, for the three and twelve months ended December 31, 2022. Tidewater's net income for the three and twelve months ended December 31, 2023, was $37.7 million ($0.70 per common share) and $97.2 million ($1.84 per common share), respectively, compared with net income (losses) of $10.6 million ($0.20 per common share) and $(21.7) million ($0.49 per common share), respectively, for the three and twelve months ended December 31, 2022. Quintin Kneen, Tidewater’s President and Chief Executive Officer, commented, “The past year represented a year of significant milestones and profitable growth for Tidewater with revenue and gross profit improving each quarter throughout the year. The supply and demand dynamics positively influencing the offshore vessel industry drove strong financial and operational results, with revenue cresting the $1.0 billion mark, a significant achievement for Tidewater that was bolstered by the acquisitions done in 2022 and 2023. Day rate progression realized during the year is faster than anything we have seen in the industry. The shortage of vessels, a record-low vessel newbuilding order book and improving offshore vessel demand visibility all support improving operational performance into 2024 and beyond, as indicated by our continued confidence in our ability to grow revenue by 40% and grow gross margin by 66% in 2024. As a result of improved industry fundamentals and associated financial performance, Tidewater is once again in a position to return capital to shareholders, the initial phase of which we completed during the fourth quarter of 2023 with an initial $35.0 million of share repurchases. We are excited to continue to grow free cash flow and return capital to our shareholders as this upcycle continues to unfold. “Since 2017, we have been high-grading the fleet through the disposal of lower-specification vessels and the acquisition of higher-specification vessels. The financial impact of this strategy continues to be demonstrated by the higher revenue and gross margin outlook for our business. Fourth quarter revenue of $302.7 million is the highest quarterly revenue in over eight years and we anticipate quarterly revenue growth each quarter in 2024, outgrowing the seasonality we typically see in the first and fourth quarters of the year. Gross margin for the fourth quarter came in at 47.2%, the highest gross margin percentage in 15 years, and we anticipate gross margin for the fourth quarter of 2024 to reach 56.0%. Leading edge day rates continued their upward trend, with leading edge day rates up $902 sequentially, to $29,511. We continue to see improving demand across all regions and for a variety of end markets beyond drilling and, as such, we reiterate our full-year 2024 revenue guidance of $1.40 to $1.45 billion and gross margin guidance of 52.0%. “We generated $61.0 million of free cash flow and returned nearly 60% of this to our shareholders in the form of share repurchases during the fourth quarter. Given our free cash flow performance, business outlook and healthy balance sheet, we are pleased to announce the Board has authorized a new share repurchase program, under which we are authorized to purchase up to $48.6 million of the Company’s common stock. The new authorization represents the maximum permissible amount of share repurchases under our existing debt agreements. As we have previously communicated, we anticipate utilizing this repurchase program opportunistically, weighing the value of share repurchases against other capital allocation opportunities to optimize the use of our capital to maximize shareholder returns. “The past year was an important chapter in Tidewater’s history and was a successful year by all measures. I want to thank our dedicated team for their tremendous contributions to this achievement. We have even greater success ahead of us and I look forward to working together to achieve the goals we have set for ourselves. As always, we remain committed to providing a safe and rewarding environment for our employees as we continue to build the safest, most sustainable, most reliable, most profitable, high specification offshore energy support vessel fleet in the world.” In addition to the number of outstanding shares, as of December 31, 2023, the Company also has the following in-the-money warrants. Common shares outstanding 52,259,303 New Creditor Warrants (strike price $0.001 per common share) 81,244 GulfMark Creditor Warrants (strike price $0.01 per common share) 91,436 Total 52,431,983 Tidewater will hold a conference call to discuss results for the three and twelve months ending December 31, 2023 on March 1, 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: 6663124 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 March 1, 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 December 31, 2023 and 2022; the Consolidated Statements of Operations and Consolidated Statements of Equity for the three and twelve months ended December 31, 2023 and 2022; and the Consolidated Statements of Cash Flows for the three and twelve months ended December 31, 2023 and 2022. Extracts are drawn from the December 31, 2023 and 2022 audited annual financial statements of Tidewater Inc. All per-share amounts are stated on a diluted basis. TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In Thousands, except per share data) Three Months Ended Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Revenues: Vessel revenues $ 300,515 $ 185,106 $ 998,993 $ 641,404 Other operating revenues 2,143 1,640 10,992 6,280 Total revenues 302,658 186,746 1,009,985 647,684 Costs and expenses: Vessel operating costs 158,553 115,496 556,515 397,301 Costs of other operating revenues 1,337 694 4,342 2,130 General and administrative 24,724 28,633 95,283 101,921 Depreciation and amortization 59,167 29,881 180,331 119,160 Long-lived asset impairment and other — — — 714 Gain on asset dispositions, net (4,218 ) (1,076 ) (8,701 ) (250 ) Total costs and expenses 239,563 173,628 827,770 620,976 Operating income 63,095 13,118 182,215 26,708 Other income (expense): Foreign exchange gain (loss) 2,250 2,105 (1,370 ) (2,827 ) Equity in net earnings (losses) of unconsolidated companies 10 14 39 (221 ) Interest income and other, net 3,029 981 6,517 5,397 Loss on warrants — — — (14,175 ) Interest and other debt costs, net (20,263 ) (4,339 ) (48,472 ) (17,189 ) Total other expense (14,974 ) (1,239 ) (43,286 ) (29,015 ) Income (loss) before income taxes 48,121 11,879 138,929 (2,307 ) Income tax expense 10,793 1,697 43,308 19,886 Net income (loss) 37,328 10,182 95,621 (22,193 ) Less: Net loss attributable to noncontrolling interests (336 ) (438 ) (1,564 ) (444 ) Net income (loss) attributable to Tidewater Inc. $ 37,664 $ 10,620 $ 97,185 $ (21,749 ) Basic income (loss) per common share $ 0.72 $ 0.22 $ 1.88 $ (0.49 ) Diluted income (loss) per common share $ 0.70 $ 0.20 $ 1.84 $ (0.49 ) Weighted average common shares outstanding 52,648 48,766 51,591 44,132 Dilutive effect of warrants, restricted stock units and stock options 1,351 3,069 1,346 — Adjusted weighted average common shares 53,999 51,835 52,937 44,132 TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands, except share and par value data) December 31, 2023 December 31, 2022 ASSETS Current assets: Cash and cash equivalents $ 274,437 $ 164,192 Restricted cash 1,241 1,241 Trade and other receivables, less allowance for credit losses of $15,914 and $14,060 as of December 31, 2023 and 2022, respectively 268,352 156,465 Marine operating supplies 31,933 30,830 Assets held for sale — 4,195 Prepaid expenses and other current assets 15,172 20,985 Total current assets 591,135 377,908 Net properties and equipment 1,315,122 796,655 Deferred drydocking and survey costs 106,698 61,080 Indemnification assets 17,370 28,369 Other assets 32,449 33,644 Total assets $ 2,062,774 $ 1,297,656 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 44,931 $ 38,946 Accrued expenses 125,590 105,518 Current portion of long-term debt 103,077 — Other current liabilities 55,133 50,323 Total current liabilities 328,731 194,787 Long-term debt 631,361 169,036 Other liabilities 64,985 67,843 Commitments and contingencies Equity: Common stock of $0.001 par value, 125,000,000 shares authorized. 52,259,303 and 50,554,179 shares issued and outstanding at December 31, 2023 and 2022, respectively 52 51 Additional paid-in-capital 1,671,759 1,556,990 Accumulated deficit (637,838 ) (699,649 ) Accumulated other comprehensive loss 5,266 8,576 Total stockholders' equity 1,039,239 865,968 Noncontrolling interests (1,542 ) 22 Total equity 1,037,697 865,990 Total liabilities and equity $ 2,062,774 $ 1,297,656 TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (In Thousands) Three Months Ended Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Net income (loss) $ 37,328 $ 10,182 $ 95,621 $ (22,193 ) Other comprehensive income (loss): Unrealized gain (loss) on note receivable 682 779 213 (496 ) Change in supplemental executive retirement plan pension liability (525 ) 4,561 (525 ) 4,561 Change in liability of pension plans 696 1,762 (2,998 ) 1,843 Total comprehensive income (loss) $ 38,181 $ 17,284 $ 92,311 $ (16,285 ) TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In Thousands) Twelve Months Twelve Months Ended Ended December 31, 2023 December 31, 2022 Operating activities: Net income (loss) $ 95,621 $ (22,193 ) Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation 128,777 83,522 Amortization of deferred drydocking and survey costs 51,554 35,638 Amortization of debt premiums and discounts 4,619 1,679 Amortization of below market contracts (3,800 ) — Provision for deferred income taxes 92 36 Gain on asset dispositions, net (8,701 ) (250 ) Gain on pension settlement (2,313 ) — Gain on bargain purchase — (1,300 ) Long-lived asset impairment and other — 714 Loss on warrants — 14,175 Stock-based compensation expense 10,755 7,372 Changes in assets and liabilities, net of effects of business acquisition: Trade and other receivables (109,756 ) (4,129 ) Changes in due to/from affiliate, net — (20 ) Accounts payable 5,985 16,481 Accrued expenses 20,072 (1,340 ) Deferred drydocking and survey costs (97,378 ) (56,000 ) Other, net 9,178 (34,159 ) Net cash provided by operating activities 104,705 40,226 Cash flows from investing activities: Proceeds from asset dispositions 15,506 13,568 Acquisitions, net of cash acquired (594,191 ) (20,740 ) Additions to properties and equipment (31,588 ) (16,637 ) Net cash used in investing activities (610,273 ) (23,809 ) Cash flows from financing activities: Exercise of warrants 111,483 — Proceeds from issuance of shares — 187,832 Repurchase of SPO acquisition warrants — (187,832 ) Issuance of long-term debt 575,000 — Principal payments on long-term debt (13,677 ) — Purchase of common stock (35,025 ) — Acquisition of non-controlling interest in a majority owned subsidiary (1,427 ) — Debt issuance costs (14,758 ) (393 ) Tax on share-based awards (6,040 ) (2,323 ) Net cash provided by (used in) financing activities 615,556 (2,716 ) Net change in cash, cash equivalents and restricted cash 109,988 13,701 Cash, cash equivalents and restricted cash at beginning of period 167,977 154,276 Cash, cash equivalents and restricted cash at end of period $ 277,965 $ 167,977 Supplemental disclosure of cash flow information: Cash paid during the year for: Interest, net of amounts capitalized $ 26,638 $ 15,554 Income taxes $ 43,880 $ 22,275 Supplemental disclosure of noncash investing activities: Acquisition of SPO $ — $ 162,648 Purchase of three vessels $ 14,265 $ — Supplemental disclosure of noncash financing activities: Warrants issued for SPO acquisition $ — $ 162,648 Repurchase of SPO acquisition warrants $ — $ 1,365 Debt incurred for the purchase of three vessels $ 15,235 $ — Note: Cash, cash equivalents and restricted cash at December 31, 2023 includes $2.3 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 September 30, 2023 $ 53 $ 1,668,392 $ (640,128 ) $ 4,413 $ (1,206 ) $ 1,031,524 Total comprehensive income (loss) — — 37,664 853 (336 ) 38,181 Exercise of warrants into common stock — — — — — — Repurchase and retirement of common stock (1 ) — (35,374 ) — — (35,375 ) Amortization of share-based awards — 3,367 — — — 3,367 Balance at December 31, 2023 $ 52 $ 1,671,759 $ (637,838 ) $ 5,266 $ (1,542 ) $ 1,037,697 Balance at September 30, 2022 $ 46 $ 1,555,388 $ (710,269 ) $ 1,474 $ 460 $ 847,099 Total comprehensive income (loss) — — 10,620 7,102 (438 ) 17,284 Issuance of common stock 5 120,629 — — — 120,634 Repurchase of SPO acquisition warrants — (121,007 ) — — — (121,007 ) Amortization of share-based awards — 1,980 — — — 1,980 Balance at December 31, 2022 $ 51 $ 1,556,990 $ (699,649 ) $ 8,576 $ 22 $ 865,990 Twelve Months Ended Accumulated Additional other Non Common paid-in Accumulated comprehensive controlling stock capital deficit income (loss) interest Total Balance at December 31, 2022 $ 51 $ 1,556,990 $ (699,649 ) $ 8,576 $ 22 $ 865,990 Total comprehensive income (loss) — — 97,185 (3,310 ) (1,564 ) 92,311 Exercise of warrants into common stock 2 111,481 — — — 111,483 Repurchase and retirement of common stock (1 ) — (35,374 ) — — (35,375 ) Acquisition of non-controlling interest in a majority owned subsidiary — (1,427 ) — — — (1,427 ) Amortization of share-based awards — 4,715 — — — 4,715 Balance at December 31, 2023 $ 52 $ 1,671,759 $ (637,838 ) $ 5,266 $ (1,542 ) $ 1,037,697 Balance at December 31, 2021 $ 41 $ 1,376,494 $ (677,900 ) $ 2,668 $ 466 $ 701,769 Total comprehensive income (loss) — — (21,749 ) 5,908 (444 ) (16,285 ) Issuance of common stock 10 192,881 — — — 192,891 SPO acquisition warrants — 176,823 — — — 176,823 Repurchase of SPO acquisition warrants — (194,256 ) — — — (194,256 ) Amortization of share-based awards — 5,048 — — — 5,048 Balance at December 31, 2022 $ 51 $ 1,556,990 $ (699,649 ) $ 8,576 $ 22 $ 865,990 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 Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Vessel revenues: Americas $ 68,425 23 % $ 41,785 23 % $ 237,205 24 % $ 146,871 23 % Asia Pacific 38,632 13 % 19,070 10 % 122,235 12 % 64,231 10 % Middle East 38,072 12 % 30,575 16 % 135,375 14 % 110,375 17 % Europe/Mediterranean 80,743 27 % 33,482 18 % 230,217 23 % 129,578 20 % West Africa 74,643 25 % 60,194 33 % 273,961 27 % 190,349 30 % Total vessel revenues $ 300,515 100 % $ 185,106 100 % $ 998,993 100 % $ 641,404 100 % Vessel operating costs: Crew costs $ 97,537 33 % $ 69,699 37 % $ 329,473 33 % $ 242,364 38 % Repair and maintenance 21,635 7 % 14,774 8 % 78,716 8 % 51,256 8 % Insurance 2,765 1 % 2,027 1 % 9,297 1 % 6,765 1 % Fuel, lube and supplies 15,265 5 % 12,841 7 % 60,548 6 % 43,729 7 % Other 21,351 7 % 16,155 9 % 78,481 8 % 53,187 8 % Total vessel operating costs 158,553 53 % 115,496 62 % 556,515 56 % 397,301 62 % Vessel operating margin (A) $ 141,962 47 % $ 69,610 38 % $ 442,478 44 % $ 244,103 38 % Note (A): Vessel operating margin equals vessel revenues less vessel operating costs. The company’s operating loss and other components of loss before income taxes and its related percentage of total revenues, were as follows: (In Thousands) Three Months Ended Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Vessel operating profit (loss): Americas $ 16,171 5 % $ 3,216 2 % $ 42,964 4 % $ 12,016 2 % Asia Pacific 11,322 4 % (808 ) (0 )% 38,471 4 % 3,726 0 % Middle East 2,093 1 % 492 0 % (1,051 ) (0 )% (1,093 ) (0 )% Europe/Mediterranean 13,768 5 % 3,874 2 % 33,687 3 % 18,844 3 % West Africa 27,360 9 % 18,305 10 % 98,447 10 % 43,112 7 % Other operating profit 806 0 % 946 0 % 6,650 1 % 4,150 1 % 71,520 24 % 26,025 14 % 219,168 22 % 80,755 13 % — Corporate expenses (A) (12,643 ) (4 )% (13,983 ) (7 )% (45,654 ) (5 )% (53,583 ) (9 )% Gain on asset dispositions, net 4,218 1 % 1,076 1 % 8,701 1 % 250 0 % Long-lived asset impairment and other — 0 % — 0 % — 0 % (714 ) (0 )% Operating income $ 63,095 21 % $ 13,118 7 % $ 182,215 18 % $ 26,708 4 % Note (A): General and administrative expenses for the three months and twelve months ended December 31, 2023 include stock-based compensation of $3.5 million and $10.8 million, respectively. General and administrative expenses for the three and twelve months ended December 31, 2022 include stock-based compensation of $2.1 million and $7.4 million, respectively. In addition, vessel operating and general and administrative costs for the three months and twelve months ended December 31, 2023, include $2.2 million and $10.9 million in acquisition, restructuring and integration related costs, respectively. Vessel operating and general and administrative costs for the three and twelve months ended December 31, 2022, include $5.1 million and $19.1 million in acquisition, restructuring and integration related costs, respectively. TIDEWATER INC. CONSOLIDATED STATEMENTS OF EARNINGS (LOSS) – QUARTERLY DATA (In Thousands, except per share data) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Revenues: Vessel revenues $ 300,515 $ 296,975 $ 210,323 $ 191,180 $ 185,106 Other operating revenues 2,143 2,287 4,638 1,924 1,640 Total revenues 302,658 299,262 214,961 193,104 186,746 Costs and expenses: Vessel operating costs (A) 158,553 164,239 118,264 115,459 115,496 Costs of other operating revenue 1,337 1,481 373 1,151 694 General and administrative (A) 24,724 21,001 26,013 23,545 28,633 Depreciation and amortization 59,167 57,730 32,768 30,666 29,881 Gain on asset dispositions, net (4,218 ) (863 ) (1,404 ) (2,216 ) (1,076 ) Total operating costs and expenses 239,563 243,588 176,014 168,605 173,628 Operating income 63,095 55,674 38,947 24,499 13,118 Other income (expense): Foreign exchange gain (loss) 2,250 (2,149 ) (3,819 ) 2,348 2,105 Equity in net earnings of unconsolidated companies 10 4 25 — 14 Interest income and other, net 3,029 568 2,790 130 981 Interest and other debt costs, net (20,263 ) (19,288 ) (4,731 ) (4,190 ) (4,339 ) Total other expense (14,974 ) (20,865 ) (5,735 ) (1,712 ) (1,239 ) Income before income taxes 48,121 34,809 33,212 22,787 11,879 Income tax expense 10,793 9,260 11,284 11,971 1,697 Net income 37,328 25,549 21,928 10,816 10,182 Net income (loss) attributable to noncontrolling interests (336 ) (650 ) (656 ) 78 (438 ) Net income attributable to Tidewater Inc. $ 37,664 $ 26,199 $ 22,584 $ 10,738 $ 10,620 Basic income per common share $ 0.72 $ 0.50 $ 0.44 $ 0.21 $ 0.22 Diluted income per common share $ 0.70 $ 0.49 $ 0.43 $ 0.21 $ 0.20 Weighted average common shares outstanding 52,648 52,230 50,857 50,604 48,766 Dilutive effect of warrants, restricted stock units and stock options 1,351 1,380 1,148 1,368 3,069 Adjusted weighted average common shares 53,999 53,610 52,005 51,972 51,835 Vessel operating margin $ 141,962 $ 132,736 $ 92,059 $ 75,721 $ 69,610 Note (A): Acquisition, restructuring and integration related costs $ 2,177 $ 6,079 $ 1,242 $ 1,426 $ 5,150 TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands) December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 ASSETS Current assets: Cash and cash equivalents $ 274,437 $ 275,070 $ 171,261 $ 165,145 $ 164,192 Restricted cash 1,241 4,973 1,242 4,972 1,241 Trade and other receivables, net 268,352 250,671 195,906 182,198 156,465 Marine operating supplies 31,933 27,489 22,495 24,448 30,830 Assets held for sale — 565 630 695 4,195 Prepaid expenses and other current assets 15,172 16,598 18,958 18,978 20,985 Total current assets 591,135 575,366 410,492 396,436 377,908 Net properties and equipment 1,315,122 1,348,001 784,873 786,168 796,655 Deferred drydocking and survey costs 106,698 99,215 92,481 82,787 61,080 Indemnification assets 17,370 18,648 22,678 27,698 28,369 Other assets 32,449 30,325 33,640 34,058 33,644 Total assets $ 2,062,774 $ 2,071,555 $ 1,344,164 $ 1,327,147 $ 1,297,656 LIABILITIES AND EQUITY Current liabilities: Accounts payable $ 44,931 $ 57,183 $ 69,822 $ 64,775 $ 38,946 Accrued expenses 125,590 119,631 91,875 107,348 105,518 Current portion of long-term debt 103,077 102,369 2,441 — — Other current liabilities 55,133 53,301 42,305 43,220 50,323 Total current liabilities 328,731 332,484 206,443 215,343 194,787 Long-term debt 631,361 641,301 179,573 169,423 169,036 Other liabilities 64,985 66,246 65,621 68,968 67,843 Equity: Common stock 52 53 51 51 51 Additional paid-in-capital 1,671,759 1,668,392 1,554,793 1,553,919 1,556,990 Accumulated deficit (637,838 ) (640,128 ) (666,327 ) (688,911 ) (699,649 ) Accumulated other comprehensive income 5,266 4,413 4,566 8,254 8,576 Total stockholders' equity 1,039,239 1,032,730 893,083 873,313 865,968 Noncontrolling interests (1,542 ) (1,206 ) (556 ) 100 22 Total equity 1,037,697 1,031,524 892,527 873,413 865,990 Total liabilities and equity $ 2,062,774 $ 2,071,555 $ 1,344,164 $ 1,327,147 $ 1,297,656 TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS – QUARTERLY DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Operating activities: Net income $ 37,328 $ 25,549 $ 21,928 $ 10,816 $ 10,182 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 42,788 43,845 21,096 21,048 20,983 Amortization of deferred drydocking and survey costs 16,379 13,885 11,672 9,618 8,898 Amortization of debt premiums and discounts 1,975 1,802 422 420 522 Amortization of below market contracts (1,894 ) (1,906 ) — — — (Provision) benefit for deferred income taxes 23 35 (1 ) 35 (98 ) Gain on asset dispositions, net (4,218 ) (863 ) (1,404 ) (2,216 ) (1,076 ) Gain on pension settlement (506 ) — (1,807 ) — — Stock-based compensation expense 3,508 2,496 2,648 2,103 2,028 Changes in assets and liabilities, net of effects of business acquisition: Trade and other receivables (17,072 ) (54,765 ) (12,186 ) (25,733 ) 26,172 Accounts payable (12,252 ) (12,639 ) 5,047 25,829 7,117 Accrued expenses 5,841 27,775 (15,374 ) 1,830 (427 ) Deferred drydocking and survey costs (24,069 ) (20,618 ) (21,366 ) (31,325 ) (12,117 ) Other, net (600 ) 10,343 (934 ) 369 (16,844 ) Net cash provided by operating activities 47,231 34,939 9,741 12,794 45,340 Cash flows from investing activities: Proceeds from asset dispositions 5,902 945 2,943 5,716 5,093 Acquisitions, net of cash acquired — (594,191 ) — — — Additions to properties and equipment (8,386 ) (5,702 ) (8,849 ) (8,651 ) (4,929 ) Net cash provided by (used in) investing activities (2,484 ) (598,948 ) (5,906 ) (2,935 ) 164 Cash flows from financing activities: Exercise of warrants — 111,483 — — — Proceeds from issuance of shares — — — — 117,202 Repurchase of SPO acquisition warrants — — — — (117,202 ) Issuance of long-term debt — 575,000 — — — Principal payments on long-term debt (13,677 ) — — — — Purchase of common stock (35,025 ) — — — — Acquisition of non-controlling interest in a majority owned subsidiary — — — (1,427 ) — Debt issuance costs — (14,758 ) — — — Tax on share-based awards (141 ) (378 ) (1,774 ) (3,747 ) (47 ) Net cash provided by (used in) financing activities (48,843 ) 671,347 (1,774 ) (5,174 ) (47 ) Net change in cash, cash equivalents and restricted cash (4,096 ) 107,338 2,061 4,685 45,457 Cash, cash equivalents and restricted cash at beginning of period 282,061 174,723 172,662 167,977 122,520 Cash, cash equivalents and restricted cash at end of period $ 277,965 $ 282,061 $ 174,723 $ 172,662 $ 167,977 Supplemental disclosure of cash flow information: Cash paid during the year for: Interest, net of amounts capitalized $ 18,186 $ 606 $ 7,748 $ 98 $ 7,575 Income taxes $ 7,295 $ 9,384 $ 10,144 $ 17,057 $ 6,132 Supplemental disclosure of noncash investing activities: Purchase of three vessels $ 2,067 $ 27 $ 12,171 $ — $ — Supplemental disclosure of noncash financing activities: Repurchase of SPO acquisition warrants $ — $ — $ — $ — $ 373 Debt incurred for purchase of three vessels $ 3,037 $ 27 $ 12,171 $ — $ — TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 VESSEL REVENUE BY VESSEL CLASS Americas fleet: PSV > 900 $ 28,714 $ 29,270 $ 20,316 $ 20,556 $ 17,814 PSV < 900 28,143 28,886 19,134 17,390 16,486 AHTS > 16K 4,034 3,584 3,425 3,395 2,873 AHTS 8 - 16K 2,316 2,064 2,807 2,807 1,899 AHTS 4 - 8K 1,428 1,570 1,480 1,521 1,553 Other 3,790 5,343 3,214 2,018 1,160 Total 68,425 70,717 50,376 47,687 41,785 Asia Pacific fleet: PSV > 900 19,485 20,159 9,648 9,101 6,692 PSV < 900 8,679 8,292 5,811 5,133 3,120 AHTS > 16K 3,759 3,271 2,065 1,342 3,260 AHTS 8 - 16K 4,706 5,287 5,001 5,397 4,364 AHTS 4 - 8K 1,601 1,582 8 998 1,584 Other 402 403 52 53 50 Total 38,632 38,994 22,585 22,024 19,070 Middle East fleet: PSV > 900 1,378 1,088 1,211 1,192 1,218 PSV < 900 19,215 17,790 16,812 14,965 15,517 AHTS > 16K 1,178 1,196 1,217 2,316 2,351 AHTS 8 - 16K 3,094 3,420 4,276 4,593 4,146 AHTS 4 - 8K 13,207 11,191 8,340 7,696 7,343 Total 38,072 34,685 31,856 30,762 30,575 Europe/Mediterranean fleet: PSV > 900 61,559 59,872 27,602 21,858 23,640 PSV < 900 15,356 14,039 9,195 6,663 9,017 AHTS > 16K 2,437 3,617 2,228 2,511 643 Other 1,391 1,401 270 218 182 Total 80,743 78,929 39,295 31,250 33,482 West Africa fleet: PSV > 900 15,478 17,566 11,550 9,900 10,534 PSV < 900 31,893 26,396 25,419 24,835 20,494 AHTS > 16K 6,994 7,138 9,129 6,237 5,385 AHTS 8 - 16K 11,219 11,917 9,870 9,827 11,810 AHTS 4 - 8K 2,126 2,745 3,496 2,360 5,780 Other 6,933 7,888 6,747 6,298 6,191 Total 74,643 73,650 66,211 59,457 60,194 Worldwide fleet: PSV > 900 126,614 127,955 70,327 62,607 59,898 PSV < 900 103,286 95,403 76,371 68,986 64,634 AHTS > 16K 18,402 18,806 18,064 15,801 14,512 AHTS 8 - 16K 21,335 22,688 21,954 22,624 22,219 AHTS 4 - 8K 18,362 17,088 13,324 12,575 16,260 Other 12,516 15,035 10,283 8,587 7,583 Total $ 300,515 $ 296,975 $ 210,323 $ 191,180 $ 185,106 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVERAGE NUMBER OF VESSELS: Americas fleet: PSV > 900 12 12 10 10 10 PSV < 900 18 18 15 15 16 AHTS > 16K 2 2 2 2 2 AHTS 8 - 16K 2 2 2 2 2 AHTS 4 - 8K 2 2 2 2 2 Other 2 2 2 1 1 Total 38 38 33 32 33 Stacked vessels (1 ) (1 ) (1 ) (1 ) (2 ) Active vessels 37 37 32 31 31 Asia Pacific fleet: PSV > 900 8 8 6 5 5 PSV < 900 5 4 2 2 2 AHTS > 16K 2 2 2 1 2 AHTS 8 - 16K 3 3 3 3 3 AHTS 4 - 8K 1 1 1 2 3 Other — — — 1 1 Total 19 18 14 14 16 Stacked vessels — — — (1 ) (2 ) Active vessels 19 18 14 13 14 Middle East fleet: PSV > 900 1 1 1 1 2 PSV < 900 20 20 20 21 20 AHTS > 16K 1 1 1 2 2 AHTS 8 - 16K 5 5 5 5 5 AHTS 4 - 8K 18 18 17 14 14 Total 45 45 44 43 43 Stacked vessels — — — — — Active vessels 45 45 44 43 43 Europe/Mediterranean fleet: PSV > 900 39 38 18 19 19 PSV < 900 10 10 7 7 7 AHTS > 16K 2 2 1 1 1 Total 51 50 26 27 27 Stacked vessels — — — — — Active vessels 51 50 26 27 27 West Africa fleet: PSV > 900 9 9 7 7 6 PSV < 900 19 19 18 18 18 AHTS > 16K 4 4 5 5 4 AHTS 8 - 16K 11 11 11 11 11 AHTS 4 - 8K 4 5 6 8 8 Other 21 24 23 25 28 Total 68 72 70 74 75 Stacked vessels (1 ) (3 ) (5 ) (8 ) (10 ) Active vessels 67 69 65 66 65 Worldwide fleet: PSV > 900 69 68 42 42 42 PSV < 900 72 71 62 63 63 AHTS > 16K 11 11 11 11 11 AHTS 8 - 16K 21 21 21 21 21 AHTS 4 - 8K 25 26 26 26 27 Other 23 26 25 27 30 Total 221 223 187 190 194 Stacked vessels (2 ) (4 ) (6 ) (10 ) (14 ) Active vessels 219 219 181 180 180 Total active 219 219 181 180 180 Total stacked 2 4 6 10 14 Total joint venture — — — — 1 Total 221 223 187 190 195 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVAILABLE DAYS - TOTAL FLEET: Americas fleet: PSV > 900 1,104 1,095 910 907 922 PSV < 900 1,675 1,730 1,365 1,359 1,499 AHTS > 16K 184 184 182 180 184 AHTS 8 - 16K 184 184 182 180 184 AHTS 4 - 8K 184 184 182 180 184 Other 184 184 182 121 92 Total 3,515 3,561 3,003 2,927 3,065 Asia Pacific fleet: PSV > 900 736 726 559 481 460 PSV < 900 454 358 182 180 184 AHTS > 16K 184 184 182 90 184 AHTS 8 - 16K 276 276 273 270 276 AHTS 4 - 8K 92 92 91 180 292 Other — — — 48 92 Total 1,742 1,636 1,287 1,249 1,488 Middle East fleet: PSV > 900 92 92 91 90 92 PSV < 900 1,840 1,840 1,820 1,842 1,840 AHTS > 16K 92 92 91 180 184 AHTS 8 - 16K 460 460 455 450 460 AHTS 4 - 8K 1,615 1,640 1,556 1,291 1,288 Total 4,099 4,124 4,013 3,853 3,864 Europe/Mediterranean fleet: PSV > 900 3,588 3,492 1,638 1,672 1,746 PSV < 900 920 907 637 630 644 AHTS > 16K 184 184 139 90 92 Total 4,692 4,583 2,414 2,392 2,482 West Africa fleet: PSV > 900 828 819 637 630 644 PSV < 900 1,735 1,744 1,638 1,620 1,656 AHTS > 16K 368 368 407 450 368 AHTS 8 - 16K 1,012 1,012 1,001 990 1,012 AHTS 4 - 8K 385 476 546 720 736 Other 1,899 2,184 2,099 2,256 2,545 Total 6,227 6,603 6,328 6,666 6,961 Worldwide fleet: PSV > 900 6,348 6,224 3,835 3,780 3,864 PSV < 900 6,624 6,579 5,642 5,631 5,823 AHTS > 16K 1,012 1,012 1,001 990 1,012 AHTS 8 - 16K 1,932 1,932 1,911 1,890 1,932 AHTS 4 - 8K 2,276 2,392 2,375 2,371 2,500 Other 2,083 2,368 2,281 2,425 2,729 Total 20,275 20,507 17,045 17,087 17,860 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 OUT-OF-SERVICE - STACKED DAYS: Americas fleet: PSV < 900 92 92 91 99 211 Total 92 92 91 99 211 Asia Pacific fleet: AHTS 4 - 8K — — — — 54 Other — — — 48 92 Total — — — 48 146 West Africa fleet: AHTS 4 - 8K 109 184 182 180 158 Other 16 103 265 540 797 Total 125 287 447 720 955 Worldwide fleet: PSV < 900 92 92 91 99 211 AHTS 4 - 8K 109 184 182 180 212 Other 16 103 265 588 889 Total 217 379 538 867 1,312 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVAILABLE DAYS - ACTIVE FLEET: Americas fleet: PSV > 900 1,104 1,095 910 907 922 PSV < 900 1,583 1,638 1,274 1,260 1,288 AHTS > 16K 184 184 182 180 184 AHTS 8 - 16K 184 184 182 180 184 AHTS 4 - 8K 184 184 182 180 184 Other 184 184 182 121 92 Total 3,423 3,469 2,912 2,828 2,854 Asia Pacific fleet: PSV > 900 736 726 559 481 460 PSV < 900 454 358 182 180 184 AHTS > 16K 184 184 182 90 184 AHTS 8 - 16K 276 276 273 270 276 AHTS 4 - 8K 92 92 91 180 238 Total 1,742 1,636 1,287 1,201 1,342 Middle East fleet: PSV > 900 92 92 91 90 92 PSV < 900 1,840 1,840 1,820 1,842 1,840 AHTS > 16K 92 92 91 180 184 AHTS 8 - 16K 460 460 455 450 460 AHTS 4 - 8K 1,615 1,640 1,556 1,291 1,288 Total 4,099 4,124 4,013 3,853 3,864 Europe/Mediterranean fleet: PSV > 900 3,588 3,492 1,638 1,672 1,746 PSV < 900 920 907 637 630 644 AHTS > 16K 184 184 139 90 92 Total 4,692 4,583 2,414 2,392 2,482 West Africa fleet: PSV > 900 828 819 637 630 644 PSV < 900 1,735 1,744 1,638 1,620 1,656 AHTS > 16K 368 368 407 450 368 AHTS 8 - 16K 1,012 1,012 1,001 990 1,012 AHTS 4 - 8K 276 292 364 540 578 Other 1,883 2,081 1,834 1,716 1,748 Total 6,102 6,316 5,881 5,946 6,006 Worldwide fleet: PSV > 900 6,348 6,224 3,835 3,780 3,864 PSV < 900 6,532 6,487 5,551 5,532 5,612 AHTS > 16K 1,012 1,012 1,001 990 1,012 AHTS 8 - 16K 1,932 1,932 1,911 1,890 1,932 AHTS 4 - 8K 2,167 2,208 2,193 2,191 2,288 Other 2,067 2,265 2,016 1,837 1,840 Total 20,058 20,128 16,507 16,220 16,548 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 UTILIZATION - TOTAL FLEET: Americas fleet: PSV > 900 77.2 % 84.5 % 78.5 % 84.2 % 82.6 % PSV < 900 78.9 85.7 83.9 79.8 68.1 AHTS > 16K 59.0 54.7 50.0 50.0 48.2 AHTS 8 - 16K 74.0 65.4 100.0 100.0 76.8 AHTS 4 - 8K 93.7 97.8 93.7 96.4 99.2 Other 100.0 100.0 100.0 97.5 100.0 Total 78.9 % 84.1 % 82.8 % 82.3 % 74.6 % Asia Pacific fleet: PSV > 900 93.4 % 97.3 % 71.1 % 70.8 % 62.6 % PSV < 900 92.3 99.0 100.0 90.6 78.4 AHTS > 16K 72.7 66.7 60.7 78.1 90.8 AHTS 8 - 16K 63.9 78.9 85.0 79.8 85.4 AHTS 4 - 8K 100.0 100.0 10.4 80.3 79.5 Total 86.6 % 91.3 % 72.4 % 74.8 % 71.7 % Middle East fleet: PSV > 900 100.0 % 90.2 % 100.0 % 100.0 % 100.0 % PSV < 900 88.6 82.8 81.6 74.4 78.3 AHTS > 16K 100.0 100.0 100.0 100.0 100.0 AHTS 8 - 16K 60.4 69.0 87.0 96.0 84.8 AHTS 4 - 8K 87.6 77.7 63.4 85.7 86.3 Total 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Europe/Mediterranean fleet: PSV > 900 91.4 % 90.8 % 91.0 % 82.7 % 88.5 % PSV < 900 86.8 86.4 81.3 85.0 89.2 AHTS > 16K 53.2 63.3 43.4 84.1 65.5 Total 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % West Africa fleet: PSV > 900 64.9 % 88.5 % 83.1 % 83.0 % 85.7 % PSV < 900 95.4 85.1 91.1 95.3 89.9 AHTS > 16K 91.1 77.0 92.9 73.5 89.4 AHTS 8 - 16K 72.4 79.5 79.6 79.8 91.1 AHTS 4 - 8K 57.6 58.5 62.9 32.4 62.1 Other 56.9 50.0 49.4 50.3 45.4 Total 73.3 % 70.7 % 72.3 % 68.4 % 70.5 % Worldwide fleet: PSV > 900 85.8 % 90.1 % 84.0 % 82.0 % 83.8 % PSV < 900 87.9 85.6 85.5 83.4 80.2 AHTS > 16K 75.8 70.7 73.0 75.4 81.9 AHTS 8 - 16K 68.5 75.6 84.1 85.6 87.4 AHTS 4 - 8K 83.5 76.3 63.5 69.9 79.4 Other 60.7 53.9 53.4 51.7 45.7 Total 81.5 % 80.5 % 76.9 % 76.5 % 76.5 % TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 UTILIZATION - ACTIVE FLEET: Americas fleet: PSV > 900 77.2 % 84.5 % 78.5 % 84.2 % 82.6 % PSV < 900 83.4 90.5 89.9 86.1 79.3 AHTS > 16K 59.0 54.7 50.0 50.0 48.2 AHTS 8 - 16K 74.0 65.4 100.0 100.0 76.8 AHTS 4 - 8K 93.7 97.8 93.7 96.4 99.2 Other 100.0 100.0 100.0 97.5 100.0 Total 81.0 % 86.3 % 85.4 % 85.2 % 80.1 % Asia Pacific fleet: PSV > 900 93.4 % 97.3 % 71.1 % 70.8 % 62.6 % PSV < 900 92.3 99.0 100.0 90.6 78.4 AHTS > 16K 72.7 66.7 60.7 78.1 90.8 AHTS 8 - 16K 63.9 78.9 85.0 79.8 85.4 AHTS 4 - 8K 100.0 100.0 10.4 80.3 97.4 Total 86.6 % 91.3 % 72.4 % 77.8 % 79.5 % Middle East fleet: PSV > 900 100.0 % 90.2 % 100.0 % 100.0 % 100.0 % PSV < 900 88.6 82.8 81.6 74.4 78.3 AHTS > 16K 100.0 100.0 100.0 100.0 100.0 AHTS 8 - 16K 60.4 69.0 87.0 96.0 84.8 AHTS 4 - 8K 87.6 77.7 63.4 85.7 86.3 Total 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Europe/Mediterranean fleet: PSV > 900 91.4 % 90.8 % 91.0 % 82.7 % 88.5 % PSV < 900 86.8 86.4 81.3 85.0 89.2 AHTS > 16K 53.2 63.3 43.4 84.1 65.5 Total 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % West Africa fleet: PSV > 900 64.9 % 88.5 % 83.1 % 83.0 % 85.7 % PSV < 900 95.4 85.1 91.1 95.3 89.9 AHTS > 16K 91.1 77.0 92.9 73.5 89.4 AHTS 8 - 16K 72.4 79.5 79.6 79.8 91.1 AHTS 4 - 8K 80.4 95.4 94.3 43.2 79.1 Other 57.4 52.5 56.5 66.2 66.1 Total 74.8 % 73.9 % 77.8 % 76.6 % 81.7 % Worldwide fleet: PSV > 900 85.8 % 90.1 % 84.0 % 82.0 % 83.8 % PSV < 900 89.2 86.8 86.9 84.9 83.2 AHTS > 16K 75.8 70.7 73.0 75.4 81.9 AHTS 8 - 16K 68.5 75.6 84.1 85.6 87.4 AHTS 4 - 8K 87.7 82.6 68.8 75.7 86.7 Other 61.2 56.4 60.4 68.2 67.8 Total 82.4 % 82.1 % 79.4 % 80.6 % 82.5 % TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVERAGE VESSEL DAY RATES: (A) Americas fleet: PSV > 900 $ 33,707 $ 31,648 $ 28,446 $ 26,930 $ 23,401 PSV < 900 21,306 19,479 16,702 16,037 16,146 AHTS > 16K 37,174 35,598 37,640 37,720 32,368 AHTS 8 - 16K 16,997 17,157 15,421 15,593 13,431 AHTS 4 - 8K 8,285 8,717 8,678 8,764 8,511 Other 18,427 26,857 17,658 17,110 12,611 Total 24,524 23,495 20,269 19,794 18,271 Asia Pacific fleet: PSV > 900 28,351 28,525 24,276 26,723 23,237 PSV < 900 20,703 23,380 31,927 31,488 21,627 AHTS > 16K 28,120 26,649 18,690 19,095 19,519 AHTS 8 - 16K 26,680 24,275 21,561 25,049 18,509 AHTS 4 - 8K 17,404 17,197 946 6,903 6,822 Total 25,378 25,867 24,250 23,582 17,868 Middle East fleet: PSV > 900 14,972 13,112 13,304 13,251 13,234 PSV < 900 11,785 11,677 11,320 10,926 10,768 AHTS > 16K 12,801 13,004 13,378 12,868 12,777 AHTS 8 - 16K 11,140 10,771 10,804 10,632 10,627 AHTS 4 - 8K 9,334 8,787 8,460 6,953 6,604 Total 10,855 10,544 10,449 9,679 9,498 Europe/Mediterranean fleet: PSV > 900 18,771 18,879 18,512 15,798 15,306 PSV < 900 19,227 17,926 17,756 12,451 15,696 AHTS > 16K 24,899 31,048 36,913 33,164 10,682 Total 19,061 19,105 18,990 15,669 15,364 West Africa fleet: PSV > 900 28,797 24,220 21,815 18,931 19,096 PSV < 900 19,271 17,781 17,040 16,080 13,758 AHTS > 16K 20,869 25,192 24,154 18,863 16,367 AHTS 8 - 16K 15,302 14,804 12,382 12,433 12,809 AHTS 4 - 8K 9,583 9,858 10,178 10,113 12,637 Other 6,415 7,217 6,511 5,548 5,359 Total 16,356 15,772 14,469 13,047 12,272 Worldwide fleet: PSV > 900 23,240 22,804 21,820 20,193 18,502 PSV < 900 17,734 16,949 15,837 14,688 13,839 AHTS > 16K 23,985 26,293 24,719 21,163 17,505 AHTS 8 - 16K 16,120 15,533 13,662 13,984 13,153 AHTS 4 - 8K 9,658 9,368 8,828 7,583 8,196 Other 8,397 10,281 8,441 6,852 6,080 Total $ 18,066 $ 17,865 $ 16,042 $ 14,624 $ 13,554 Note (A): Average Vessel Day Rates equals Vessel Revenue / Days Worked. TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Americas Vessel revenues $ 68,425 $ 70,717 $ 50,376 $ 47,687 $ 41,785 Vessel operating costs: Crew costs 24,045 26,848 18,033 17,402 16,486 Repair and maintenance 3,846 5,588 3,973 3,888 3,619 Insurance 526 476 479 410 410 Fuel, lube and supplies 3,241 4,386 2,549 2,999 2,387 Other 5,172 5,924 4,564 3,572 5,102 Total vessel operating costs 36,830 43,222 29,598 28,271 28,004 Vessel operating margin ($) 31,595 27,495 20,778 19,416 13,781 Vessel operating margin (%) 46.2 % 38.9 % 41.2 % 40.7 % 33.0 % Americas - Select operating statistics Average vessels - Total fleet 38 38 33 32 33 Utilization - Total fleet 78.9 % 84.1 % 82.8 % 82.3 % 74.6 % Average vessels - Active fleet 37 37 32 31 31 Utilization - Active fleet 81.0 % 86.3 % 85.4 % 85.2 % 80.1 % Average day rates $ 24,524 $ 23,495 $ 20,269 $ 19,794 $ 18,271 Vessels commencing drydocks 3 3 4 2 2 Deferred drydocking and survey costs - beginning balance $ 29,684 $ 29,769 $ 27,832 $ 21,720 $ 21,772 Cash paid for deferred drydocking and survey costs 5,025 4,658 5,867 8,218 4,389 Amortization of deferred drydocking and survey costs (5,353 ) (3,727 ) (2,626 ) (3,417 ) (3,025 ) Disposals, intersegment transfers and other (668 ) (1,016 ) (1,304 ) 1,311 (1,416 ) Deferred drydocking and survey costs - ending balance $ 28,688 $ 29,684 $ 29,769 $ 27,832 $ 21,720 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Asia Pacific Vessel revenues $ 38,632 $ 38,994 $ 22,585 $ 22,024 $ 19,070 Vessel operating costs: Crew costs 15,177 12,390 7,062 7,311 9,876 Repair and maintenance 2,977 2,969 1,517 1,749 901 Insurance 269 183 219 123 183 Fuel, lube and supplies 1,191 909 1,521 1,630 1,299 Other 2,045 2,380 1,648 1,678 1,574 Total vessel operating costs 21,659 18,831 11,967 12,491 13,833 Vessel operating margin ($) 16,973 20,163 10,618 9,533 5,237 Vessel operating margin (%) 43.9 % 51.7 % 47.0 % 43.3 % 27.5 % Asia Pacific - Select operating statistics Average vessels - Total fleet 19 18 14 14 16 Utilization - Total fleet 86.6 % 91.3 % 72.4 % 74.8 % 71.7 % Average vessels - Active fleet 19 18 14 13 14 Utilization - Active fleet 86.6 % 91.3 % 72.4 % 77.8 % 79.5 % Average day rates $ 25,378 $ 25,867 $ 24,250 $ 23,582 $ 17,868 Vessels commencing drydocks — — — 1 2 Deferred drydocking and survey costs - beginning balance $ 3,595 $ 2,128 $ 2,525 $ 553 $ 979 Cash paid for deferred drydocking and survey costs (18 ) 84 (4 ) 2,368 156 Amortization of deferred drydocking and survey costs (720 ) (637 ) (393 ) (282 ) (117 ) Disposals, intersegment transfers and other 912 2,020 — (114 ) (465 ) Deferred drydocking and survey costs - ending balance $ 3,769 $ 3,595 $ 2,128 $ 2,525 $ 553 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Middle East Vessel revenues $ 38,072 $ 34,685 $ 31,856 $ 30,762 $ 30,575 Vessel operating costs: Crew costs 13,716 13,914 13,170 12,616 12,472 Repair and maintenance 4,105 4,828 3,779 3,475 3,216 Insurance 501 385 465 433 384 Fuel, lube and supplies 2,610 3,142 3,470 2,870 2,991 Other 4,906 4,796 3,756 3,669 2,505 Total vessel operating costs 25,838 27,065 24,640 23,063 21,568 Vessel operating margin ($) 12,234 7,620 7,216 7,699 9,007 Vessel operating margin (%) 32.1 % 22.0 % 22.7 % 25.0 % 29.5 % Middle East - Select operating statistics Average vessels - Total fleet 45 45 44 43 43 Utilization - Total fleet 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Average vessels - Active fleet 45 45 44 43 43 Utilization - Active fleet 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Average day rates $ 10,855 $ 10,544 $ 10,449 $ 9,679 $ 9,498 Vessels commencing drydocks 3 4 7 5 5 Deferred drydocking and survey costs - beginning balance $ 21,153 $ 22,717 $ 20,677 $ 15,062 $ 14,993 Cash paid for deferred drydocking and survey costs 1,360 3,234 4,262 7,787 1,930 Amortization of deferred drydocking and survey costs (3,182 ) (2,776 ) (3,778 ) (1,913 ) (2,323 ) Disposals, intersegment transfers and other — (2,022 ) 1,556 (259 ) 462 Deferred drydocking and survey costs - ending balance $ 19,331 $ 21,153 $ 22,717 $ 20,677 $ 15,062 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Europe/Mediterranean Vessel revenues $ 80,743 $ 78,929 $ 39,295 $ 31,250 $ 33,482 Vessel operating costs: Crew costs 25,848 26,632 13,406 12,727 13,010 Repair and maintenance 6,081 5,342 2,900 2,706 3,067 Insurance 791 689 354 384 386 Fuel, lube and supplies 3,717 4,033 2,363 1,584 2,051 Other 3,719 5,376 2,292 2,371 1,762 Total vessel operating costs 40,156 42,072 21,315 19,772 20,276 Vessel operating margin ($) 40,587 36,857 17,980 11,478 13,206 Vessel operating margin (%) 50.3 % 46.7 % 45.8 % 36.7 % 39.4 % Europe/Mediterranean - Select operating statistics Average vessels - Total fleet 51 50 26 27 27 Utilization - Total fleet 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % Average vessels - Active fleet 51 50 26 27 27 Utilization - Active fleet 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % Average day rates $ 19,061 $ 19,105 $ 18,990 $ 15,669 $ 15,364 Vessels commencing drydocks 5 5 4 4 3 Deferred drydocking and survey costs - beginning balance $ 16,256 $ 11,705 $ 11,363 $ 9,566 $ 8,588 Cash paid for deferred drydocking and survey costs 7,580 6,733 2,217 5,128 1,175 Amortization of deferred drydocking and survey costs (2,758 ) (3,201 ) (1,875 ) (1,739 ) (1,523 ) Disposals, intersegment transfers and other — 1,019 — (1,592 ) 1,326 Deferred drydocking and survey costs - ending balance $ 21,078 $ 16,256 $ 11,705 $ 11,363 $ 9,566 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 West Africa Vessel revenues $ 74,643 $ 73,650 $ 66,211 $ 59,457 $ 60,194 Vessel operating costs: Crew costs 18,751 17,502 16,336 16,587 17,855 Repair and maintenance 4,626 4,868 4,665 4,834 3,971 Insurance 678 626 651 655 664 Fuel, lube and supplies 4,506 5,300 4,055 4,472 4,113 Other 5,509 4,753 5,037 5,314 5,212 Total vessel operating costs 34,070 33,049 30,744 31,862 31,815 Vessel operating margin ($) 40,573 40,601 35,467 27,595 28,379 Vessel operating margin (%) 54.4 % 55.1 % 53.6 % 46.4 % 47.1 % West Africa - Select operating statistics Average vessels - Total fleet 68 72 70 74 75 Utilization - Total fleet 73.3 % 70.7 % 72.3 % 68.4 % 70.5 % Average vessels - Active fleet 67 69 65 66 65 Utilization - Active fleet 74.8 % 73.9 % 77.8 % 76.6 % 81.7 % Average day rates $ 16,356 $ 15,772 $ 14,469 $ 13,047 $ 12,272 Vessels commencing drydocks 7 7 4 6 2 Deferred drydocking and survey costs - beginning balance $ 28,527 $ 26,162 $ 20,390 $ 14,179 $ 11,545 Cash paid for deferred drydocking and survey costs 10,121 5,909 9,024 7,824 4,467 Amortization of deferred drydocking and survey costs (4,367 ) (3,544 ) (3,000 ) (2,267 ) (1,909 ) Disposals, intersegment transfers and other (449 ) — (252 ) 654 76 Deferred drydocking and survey costs - ending balance $ 33,832 $ 28,527 $ 26,162 $ 20,390 $ 14,179 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Worldwide Vessel revenues $ 300,515 $ 296,975 $ 210,323 $ 191,180 $ 185,106 Vessel operating costs: Crew costs 97,537 97,286 68,007 66,643 69,699 Repair and maintenance 21,635 23,595 16,834 16,652 14,774 Insurance 2,765 2,359 2,168 2,005 2,027 Fuel, lube and supplies 15,265 17,770 13,958 13,555 12,841 Other 21,351 23,229 17,297 16,604 16,155 Total vessel operating costs 158,553 164,239 118,264 115,459 115,496 Vessel operating margin ($) 141,962 132,736 92,059 75,721 69,610 Vessel operating margin (%) 47.2 % 44.7 % 43.8 % 39.6 % 37.6 % Worldwide - Select operating statistics Average vessels - Total fleet 221 223 187 190 194 Utilization - Total fleet 81.5 % 80.5 % 76.9 % 76.5 % 76.5 % Average vessels - Active fleet 219 219 181 180 180 Utilization - Active fleet 82.4 % 82.1 % 79.4 % 80.6 % 82.5 % Average day rates $ 18,066 $ 17,865 $ 16,042 $ 14,624 $ 13,554 Vessels commencing drydocks 18 19 19 18 14 Deferred drydocking and survey costs - beginning balance $ 99,215 $ 92,481 $ 82,787 $ 61,080 $ 57,877 Cash paid for deferred drydocking and survey costs 24,068 20,618 21,366 31,325 12,117 Amortization of deferred drydocking and survey costs (16,380 ) (13,885 ) (11,672 ) (9,618 ) (8,897 ) Disposals, intersegment transfers and other (205 ) 1 — — (17 ) Deferred drydocking and survey costs - ending balance $ 106,698 $ 99,215 $ 92,481 $ 82,787 $ 61,080 TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Net income $ 37,328 $ 25,549 $ 21,928 $ 10,816 $ 10,182 Interest and other debt costs 20,263 19,288 4,731 4,190 4,339 Income tax expense 10,793 9,260 11,284 11,971 1,697 Depreciation 42,788 43,845 21,096 21,048 20,983 Amortization of deferred drydock and survey costs 16,379 13,885 11,672 9,618 8,898 Amortization of below market contracts (1,894 ) (1,906 ) — — — EBITDA (A), (B), (C) 125,657 109,921 70,711 57,643 46,099 Non-cash indemnification assets charge (70 ) 1,184 — — — Non-cash stock compensation expense 3,508 2,496 2,648 2,103 2,028 Acquisition, restructuring and integration related costs 2,177 6,079 1,242 1,426 5,150 Adjusted EBITDA (A), (B), (C) $ 131,272 $ 119,680 $ 74,601 $ 61,172 $ 53,277 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 December 31, 2023, and for each of the prior four quarters includes non-cash stock-based compensation expense of $3,508, $2,496, $2,648, $2,103 and $2,028 respectively. Note (C): EBITDA and Adjusted EBITDA for the three months ended December 31, 2023, and for each of the prior four quarters includes foreign exchange gain (losses) of $2,250, $(2,149), $(3,819), $2,348 and $2,105 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 December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Net cash provided by operating activities (A) $ 47,231 $ 34,939 $ 9,741 $ 12,794 $ 45,340 Cash interest expense 18,186 606 7,748 98 7,575 Interest income and other (3,029 ) (568 ) (2,790 ) (130 ) (981 ) Indemnification assets charge 70 (1,184 ) — — — Additions to property and equipment (8,386 ) (5,702 ) (8,849 ) (8,651 ) (4,929 ) Acquisitions — (594,191 ) — — — Expansion capital 1,034 594,252 2,493 109 1,240 55,106 28,152 8,343 4,220 48,245 Proceeds from asset sales 5,902 945 2,943 5,716 5,093 Free cash flow $ 61,008 $ 29,097 $ 11,286 $ 9,936 $ 53,338 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 (used in) 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 (used in) 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 December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Cash provided by (used in) changes in assets and liabilities, excluding drydock payments $ (24,083 ) $ (29,286 ) $ (23,447 ) $ 2,295 $ 16,018 Cash paid for deferred drydock and survey costs (24,069 ) (20,618 ) (21,366 ) (31,325 ) (12,117 ) Total sources (uses) of cash for changes in assets and liabilities $ (48,152 ) $ (49,904 ) $ (44,813 ) $ (29,030 ) $ 3,901 View source version on businesswire.com: https://www.businesswire.com/news/home/20240226697169/en/Contacts Tidewater Inc. West Gotcher Vice President, Finance and Investor Relations +1.713.470.5285
Full-Year 2023 Highlights Revenue of $1,010.0 million, a 55.9% increase from 2022 Average day rate increased to $16,802 per day, $4,048 higher than 2022 Net income of $97.2 million, an increase of $118.9 million from 2022 Adjusted EBITDA of $386.7 million, an increase of $220.0 million from 2022 Net cash provided by operating activities of $104.7 million, an increase of $64.5 million from 2022 Free cash flow of $111.3 million, an increase of $60.8 million from 2022 Completed acquisition and financing of 37 PSVs from Solstad Offshore Fourth Quarter 2023 Highlights Revenue of $302.7 million, highest quarterly revenue in eight years Average day rate increased to $18,066 per day, $201 higher than the third quarter of 2023 Composite leading edge term contract day rate of $29,511, $902 higher than the third quarter of 2023 Net income of $37.7 million, an increase of $11.5 million from the third quarter of 2023 Adjusted EBITDA of $131.3 million, an increase of $11.6 million from the third quarter of 2023 Net cash provided by operating activities of $47.2 million, an increase of $12.3 million from the third quarter of 2023 Free cash flow of $61.0 million, an increase of $31.9 million from the third quarter of 2023 Share Repurchase Program and 2024 Guidance Completed $35.0 million of share repurchases during the fourth quarter of 2023 at an average price of $59.29 per share Board approves a new share repurchase authorization of $48.6 million, the maximum permissible amount under existing debt agreements Reiterating 2024 revenue guidance of $1.40 to $1.45 billion and 2024 gross margin guidance of 52%
Tidewater Inc. (NYSE:TDW) announced today revenue for the three and twelve months ended December 31, 2023 of $302.7 million and $1,010.0 million, respectively, compared with $186.7 million and $647.7 million, respectively, for the three and twelve months ended December 31, 2022. Tidewater's net income for the three and twelve months ended December 31, 2023, was $37.7 million ($0.70 per common share) and $97.2 million ($1.84 per common share), respectively, compared with net income (losses) of $10.6 million ($0.20 per common share) and $(21.7) million ($0.49 per common share), respectively, for the three and twelve months ended December 31, 2022. Quintin Kneen, Tidewater’s President and Chief Executive Officer, commented, “The past year represented a year of significant milestones and profitable growth for Tidewater with revenue and gross profit improving each quarter throughout the year. The supply and demand dynamics positively influencing the offshore vessel industry drove strong financial and operational results, with revenue cresting the $1.0 billion mark, a significant achievement for Tidewater that was bolstered by the acquisitions done in 2022 and 2023. Day rate progression realized during the year is faster than anything we have seen in the industry. The shortage of vessels, a record-low vessel newbuilding order book and improving offshore vessel demand visibility all support improving operational performance into 2024 and beyond, as indicated by our continued confidence in our ability to grow revenue by 40% and grow gross margin by 66% in 2024. As a result of improved industry fundamentals and associated financial performance, Tidewater is once again in a position to return capital to shareholders, the initial phase of which we completed during the fourth quarter of 2023 with an initial $35.0 million of share repurchases. We are excited to continue to grow free cash flow and return capital to our shareholders as this upcycle continues to unfold. “Since 2017, we have been high-grading the fleet through the disposal of lower-specification vessels and the acquisition of higher-specification vessels. The financial impact of this strategy continues to be demonstrated by the higher revenue and gross margin outlook for our business. Fourth quarter revenue of $302.7 million is the highest quarterly revenue in over eight years and we anticipate quarterly revenue growth each quarter in 2024, outgrowing the seasonality we typically see in the first and fourth quarters of the year. Gross margin for the fourth quarter came in at 47.2%, the highest gross margin percentage in 15 years, and we anticipate gross margin for the fourth quarter of 2024 to reach 56.0%. Leading edge day rates continued their upward trend, with leading edge day rates up $902 sequentially, to $29,511. We continue to see improving demand across all regions and for a variety of end markets beyond drilling and, as such, we reiterate our full-year 2024 revenue guidance of $1.40 to $1.45 billion and gross margin guidance of 52.0%. “We generated $61.0 million of free cash flow and returned nearly 60% of this to our shareholders in the form of share repurchases during the fourth quarter. Given our free cash flow performance, business outlook and healthy balance sheet, we are pleased to announce the Board has authorized a new share repurchase program, under which we are authorized to purchase up to $48.6 million of the Company’s common stock. The new authorization represents the maximum permissible amount of share repurchases under our existing debt agreements. As we have previously communicated, we anticipate utilizing this repurchase program opportunistically, weighing the value of share repurchases against other capital allocation opportunities to optimize the use of our capital to maximize shareholder returns. “The past year was an important chapter in Tidewater’s history and was a successful year by all measures. I want to thank our dedicated team for their tremendous contributions to this achievement. We have even greater success ahead of us and I look forward to working together to achieve the goals we have set for ourselves. As always, we remain committed to providing a safe and rewarding environment for our employees as we continue to build the safest, most sustainable, most reliable, most profitable, high specification offshore energy support vessel fleet in the world.” In addition to the number of outstanding shares, as of December 31, 2023, the Company also has the following in-the-money warrants. Common shares outstanding 52,259,303 New Creditor Warrants (strike price $0.001 per common share) 81,244 GulfMark Creditor Warrants (strike price $0.01 per common share) 91,436 Total 52,431,983 Tidewater will hold a conference call to discuss results for the three and twelve months ending December 31, 2023 on March 1, 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: 6663124 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 March 1, 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 December 31, 2023 and 2022; the Consolidated Statements of Operations and Consolidated Statements of Equity for the three and twelve months ended December 31, 2023 and 2022; and the Consolidated Statements of Cash Flows for the three and twelve months ended December 31, 2023 and 2022. Extracts are drawn from the December 31, 2023 and 2022 audited annual financial statements of Tidewater Inc. All per-share amounts are stated on a diluted basis. TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In Thousands, except per share data) Three Months Ended Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Revenues: Vessel revenues $ 300,515 $ 185,106 $ 998,993 $ 641,404 Other operating revenues 2,143 1,640 10,992 6,280 Total revenues 302,658 186,746 1,009,985 647,684 Costs and expenses: Vessel operating costs 158,553 115,496 556,515 397,301 Costs of other operating revenues 1,337 694 4,342 2,130 General and administrative 24,724 28,633 95,283 101,921 Depreciation and amortization 59,167 29,881 180,331 119,160 Long-lived asset impairment and other — — — 714 Gain on asset dispositions, net (4,218 ) (1,076 ) (8,701 ) (250 ) Total costs and expenses 239,563 173,628 827,770 620,976 Operating income 63,095 13,118 182,215 26,708 Other income (expense): Foreign exchange gain (loss) 2,250 2,105 (1,370 ) (2,827 ) Equity in net earnings (losses) of unconsolidated companies 10 14 39 (221 ) Interest income and other, net 3,029 981 6,517 5,397 Loss on warrants — — — (14,175 ) Interest and other debt costs, net (20,263 ) (4,339 ) (48,472 ) (17,189 ) Total other expense (14,974 ) (1,239 ) (43,286 ) (29,015 ) Income (loss) before income taxes 48,121 11,879 138,929 (2,307 ) Income tax expense 10,793 1,697 43,308 19,886 Net income (loss) 37,328 10,182 95,621 (22,193 ) Less: Net loss attributable to noncontrolling interests (336 ) (438 ) (1,564 ) (444 ) Net income (loss) attributable to Tidewater Inc. $ 37,664 $ 10,620 $ 97,185 $ (21,749 ) Basic income (loss) per common share $ 0.72 $ 0.22 $ 1.88 $ (0.49 ) Diluted income (loss) per common share $ 0.70 $ 0.20 $ 1.84 $ (0.49 ) Weighted average common shares outstanding 52,648 48,766 51,591 44,132 Dilutive effect of warrants, restricted stock units and stock options 1,351 3,069 1,346 — Adjusted weighted average common shares 53,999 51,835 52,937 44,132 TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands, except share and par value data) December 31, 2023 December 31, 2022 ASSETS Current assets: Cash and cash equivalents $ 274,437 $ 164,192 Restricted cash 1,241 1,241 Trade and other receivables, less allowance for credit losses of $15,914 and $14,060 as of December 31, 2023 and 2022, respectively 268,352 156,465 Marine operating supplies 31,933 30,830 Assets held for sale — 4,195 Prepaid expenses and other current assets 15,172 20,985 Total current assets 591,135 377,908 Net properties and equipment 1,315,122 796,655 Deferred drydocking and survey costs 106,698 61,080 Indemnification assets 17,370 28,369 Other assets 32,449 33,644 Total assets $ 2,062,774 $ 1,297,656 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 44,931 $ 38,946 Accrued expenses 125,590 105,518 Current portion of long-term debt 103,077 — Other current liabilities 55,133 50,323 Total current liabilities 328,731 194,787 Long-term debt 631,361 169,036 Other liabilities 64,985 67,843 Commitments and contingencies Equity: Common stock of $0.001 par value, 125,000,000 shares authorized. 52,259,303 and 50,554,179 shares issued and outstanding at December 31, 2023 and 2022, respectively 52 51 Additional paid-in-capital 1,671,759 1,556,990 Accumulated deficit (637,838 ) (699,649 ) Accumulated other comprehensive loss 5,266 8,576 Total stockholders' equity 1,039,239 865,968 Noncontrolling interests (1,542 ) 22 Total equity 1,037,697 865,990 Total liabilities and equity $ 2,062,774 $ 1,297,656 TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (In Thousands) Three Months Ended Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Net income (loss) $ 37,328 $ 10,182 $ 95,621 $ (22,193 ) Other comprehensive income (loss): Unrealized gain (loss) on note receivable 682 779 213 (496 ) Change in supplemental executive retirement plan pension liability (525 ) 4,561 (525 ) 4,561 Change in liability of pension plans 696 1,762 (2,998 ) 1,843 Total comprehensive income (loss) $ 38,181 $ 17,284 $ 92,311 $ (16,285 ) TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In Thousands) Twelve Months Twelve Months Ended Ended December 31, 2023 December 31, 2022 Operating activities: Net income (loss) $ 95,621 $ (22,193 ) Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation 128,777 83,522 Amortization of deferred drydocking and survey costs 51,554 35,638 Amortization of debt premiums and discounts 4,619 1,679 Amortization of below market contracts (3,800 ) — Provision for deferred income taxes 92 36 Gain on asset dispositions, net (8,701 ) (250 ) Gain on pension settlement (2,313 ) — Gain on bargain purchase — (1,300 ) Long-lived asset impairment and other — 714 Loss on warrants — 14,175 Stock-based compensation expense 10,755 7,372 Changes in assets and liabilities, net of effects of business acquisition: Trade and other receivables (109,756 ) (4,129 ) Changes in due to/from affiliate, net — (20 ) Accounts payable 5,985 16,481 Accrued expenses 20,072 (1,340 ) Deferred drydocking and survey costs (97,378 ) (56,000 ) Other, net 9,178 (34,159 ) Net cash provided by operating activities 104,705 40,226 Cash flows from investing activities: Proceeds from asset dispositions 15,506 13,568 Acquisitions, net of cash acquired (594,191 ) (20,740 ) Additions to properties and equipment (31,588 ) (16,637 ) Net cash used in investing activities (610,273 ) (23,809 ) Cash flows from financing activities: Exercise of warrants 111,483 — Proceeds from issuance of shares — 187,832 Repurchase of SPO acquisition warrants — (187,832 ) Issuance of long-term debt 575,000 — Principal payments on long-term debt (13,677 ) — Purchase of common stock (35,025 ) — Acquisition of non-controlling interest in a majority owned subsidiary (1,427 ) — Debt issuance costs (14,758 ) (393 ) Tax on share-based awards (6,040 ) (2,323 ) Net cash provided by (used in) financing activities 615,556 (2,716 ) Net change in cash, cash equivalents and restricted cash 109,988 13,701 Cash, cash equivalents and restricted cash at beginning of period 167,977 154,276 Cash, cash equivalents and restricted cash at end of period $ 277,965 $ 167,977 Supplemental disclosure of cash flow information: Cash paid during the year for: Interest, net of amounts capitalized $ 26,638 $ 15,554 Income taxes $ 43,880 $ 22,275 Supplemental disclosure of noncash investing activities: Acquisition of SPO $ — $ 162,648 Purchase of three vessels $ 14,265 $ — Supplemental disclosure of noncash financing activities: Warrants issued for SPO acquisition $ — $ 162,648 Repurchase of SPO acquisition warrants $ — $ 1,365 Debt incurred for the purchase of three vessels $ 15,235 $ — Note: Cash, cash equivalents and restricted cash at December 31, 2023 includes $2.3 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 September 30, 2023 $ 53 $ 1,668,392 $ (640,128 ) $ 4,413 $ (1,206 ) $ 1,031,524 Total comprehensive income (loss) — — 37,664 853 (336 ) 38,181 Exercise of warrants into common stock — — — — — — Repurchase and retirement of common stock (1 ) — (35,374 ) — — (35,375 ) Amortization of share-based awards — 3,367 — — — 3,367 Balance at December 31, 2023 $ 52 $ 1,671,759 $ (637,838 ) $ 5,266 $ (1,542 ) $ 1,037,697 Balance at September 30, 2022 $ 46 $ 1,555,388 $ (710,269 ) $ 1,474 $ 460 $ 847,099 Total comprehensive income (loss) — — 10,620 7,102 (438 ) 17,284 Issuance of common stock 5 120,629 — — — 120,634 Repurchase of SPO acquisition warrants — (121,007 ) — — — (121,007 ) Amortization of share-based awards — 1,980 — — — 1,980 Balance at December 31, 2022 $ 51 $ 1,556,990 $ (699,649 ) $ 8,576 $ 22 $ 865,990 Twelve Months Ended Accumulated Additional other Non Common paid-in Accumulated comprehensive controlling stock capital deficit income (loss) interest Total Balance at December 31, 2022 $ 51 $ 1,556,990 $ (699,649 ) $ 8,576 $ 22 $ 865,990 Total comprehensive income (loss) — — 97,185 (3,310 ) (1,564 ) 92,311 Exercise of warrants into common stock 2 111,481 — — — 111,483 Repurchase and retirement of common stock (1 ) — (35,374 ) — — (35,375 ) Acquisition of non-controlling interest in a majority owned subsidiary — (1,427 ) — — — (1,427 ) Amortization of share-based awards — 4,715 — — — 4,715 Balance at December 31, 2023 $ 52 $ 1,671,759 $ (637,838 ) $ 5,266 $ (1,542 ) $ 1,037,697 Balance at December 31, 2021 $ 41 $ 1,376,494 $ (677,900 ) $ 2,668 $ 466 $ 701,769 Total comprehensive income (loss) — — (21,749 ) 5,908 (444 ) (16,285 ) Issuance of common stock 10 192,881 — — — 192,891 SPO acquisition warrants — 176,823 — — — 176,823 Repurchase of SPO acquisition warrants — (194,256 ) — — — (194,256 ) Amortization of share-based awards — 5,048 — — — 5,048 Balance at December 31, 2022 $ 51 $ 1,556,990 $ (699,649 ) $ 8,576 $ 22 $ 865,990 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 Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Vessel revenues: Americas $ 68,425 23 % $ 41,785 23 % $ 237,205 24 % $ 146,871 23 % Asia Pacific 38,632 13 % 19,070 10 % 122,235 12 % 64,231 10 % Middle East 38,072 12 % 30,575 16 % 135,375 14 % 110,375 17 % Europe/Mediterranean 80,743 27 % 33,482 18 % 230,217 23 % 129,578 20 % West Africa 74,643 25 % 60,194 33 % 273,961 27 % 190,349 30 % Total vessel revenues $ 300,515 100 % $ 185,106 100 % $ 998,993 100 % $ 641,404 100 % Vessel operating costs: Crew costs $ 97,537 33 % $ 69,699 37 % $ 329,473 33 % $ 242,364 38 % Repair and maintenance 21,635 7 % 14,774 8 % 78,716 8 % 51,256 8 % Insurance 2,765 1 % 2,027 1 % 9,297 1 % 6,765 1 % Fuel, lube and supplies 15,265 5 % 12,841 7 % 60,548 6 % 43,729 7 % Other 21,351 7 % 16,155 9 % 78,481 8 % 53,187 8 % Total vessel operating costs 158,553 53 % 115,496 62 % 556,515 56 % 397,301 62 % Vessel operating margin (A) $ 141,962 47 % $ 69,610 38 % $ 442,478 44 % $ 244,103 38 % Note (A): Vessel operating margin equals vessel revenues less vessel operating costs. The company’s operating loss and other components of loss before income taxes and its related percentage of total revenues, were as follows: (In Thousands) Three Months Ended Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Vessel operating profit (loss): Americas $ 16,171 5 % $ 3,216 2 % $ 42,964 4 % $ 12,016 2 % Asia Pacific 11,322 4 % (808 ) (0 )% 38,471 4 % 3,726 0 % Middle East 2,093 1 % 492 0 % (1,051 ) (0 )% (1,093 ) (0 )% Europe/Mediterranean 13,768 5 % 3,874 2 % 33,687 3 % 18,844 3 % West Africa 27,360 9 % 18,305 10 % 98,447 10 % 43,112 7 % Other operating profit 806 0 % 946 0 % 6,650 1 % 4,150 1 % 71,520 24 % 26,025 14 % 219,168 22 % 80,755 13 % — Corporate expenses (A) (12,643 ) (4 )% (13,983 ) (7 )% (45,654 ) (5 )% (53,583 ) (9 )% Gain on asset dispositions, net 4,218 1 % 1,076 1 % 8,701 1 % 250 0 % Long-lived asset impairment and other — 0 % — 0 % — 0 % (714 ) (0 )% Operating income $ 63,095 21 % $ 13,118 7 % $ 182,215 18 % $ 26,708 4 % Note (A): General and administrative expenses for the three months and twelve months ended December 31, 2023 include stock-based compensation of $3.5 million and $10.8 million, respectively. General and administrative expenses for the three and twelve months ended December 31, 2022 include stock-based compensation of $2.1 million and $7.4 million, respectively. In addition, vessel operating and general and administrative costs for the three months and twelve months ended December 31, 2023, include $2.2 million and $10.9 million in acquisition, restructuring and integration related costs, respectively. Vessel operating and general and administrative costs for the three and twelve months ended December 31, 2022, include $5.1 million and $19.1 million in acquisition, restructuring and integration related costs, respectively. TIDEWATER INC. CONSOLIDATED STATEMENTS OF EARNINGS (LOSS) – QUARTERLY DATA (In Thousands, except per share data) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Revenues: Vessel revenues $ 300,515 $ 296,975 $ 210,323 $ 191,180 $ 185,106 Other operating revenues 2,143 2,287 4,638 1,924 1,640 Total revenues 302,658 299,262 214,961 193,104 186,746 Costs and expenses: Vessel operating costs (A) 158,553 164,239 118,264 115,459 115,496 Costs of other operating revenue 1,337 1,481 373 1,151 694 General and administrative (A) 24,724 21,001 26,013 23,545 28,633 Depreciation and amortization 59,167 57,730 32,768 30,666 29,881 Gain on asset dispositions, net (4,218 ) (863 ) (1,404 ) (2,216 ) (1,076 ) Total operating costs and expenses 239,563 243,588 176,014 168,605 173,628 Operating income 63,095 55,674 38,947 24,499 13,118 Other income (expense): Foreign exchange gain (loss) 2,250 (2,149 ) (3,819 ) 2,348 2,105 Equity in net earnings of unconsolidated companies 10 4 25 — 14 Interest income and other, net 3,029 568 2,790 130 981 Interest and other debt costs, net (20,263 ) (19,288 ) (4,731 ) (4,190 ) (4,339 ) Total other expense (14,974 ) (20,865 ) (5,735 ) (1,712 ) (1,239 ) Income before income taxes 48,121 34,809 33,212 22,787 11,879 Income tax expense 10,793 9,260 11,284 11,971 1,697 Net income 37,328 25,549 21,928 10,816 10,182 Net income (loss) attributable to noncontrolling interests (336 ) (650 ) (656 ) 78 (438 ) Net income attributable to Tidewater Inc. $ 37,664 $ 26,199 $ 22,584 $ 10,738 $ 10,620 Basic income per common share $ 0.72 $ 0.50 $ 0.44 $ 0.21 $ 0.22 Diluted income per common share $ 0.70 $ 0.49 $ 0.43 $ 0.21 $ 0.20 Weighted average common shares outstanding 52,648 52,230 50,857 50,604 48,766 Dilutive effect of warrants, restricted stock units and stock options 1,351 1,380 1,148 1,368 3,069 Adjusted weighted average common shares 53,999 53,610 52,005 51,972 51,835 Vessel operating margin $ 141,962 $ 132,736 $ 92,059 $ 75,721 $ 69,610 Note (A): Acquisition, restructuring and integration related costs $ 2,177 $ 6,079 $ 1,242 $ 1,426 $ 5,150 TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands) December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 ASSETS Current assets: Cash and cash equivalents $ 274,437 $ 275,070 $ 171,261 $ 165,145 $ 164,192 Restricted cash 1,241 4,973 1,242 4,972 1,241 Trade and other receivables, net 268,352 250,671 195,906 182,198 156,465 Marine operating supplies 31,933 27,489 22,495 24,448 30,830 Assets held for sale — 565 630 695 4,195 Prepaid expenses and other current assets 15,172 16,598 18,958 18,978 20,985 Total current assets 591,135 575,366 410,492 396,436 377,908 Net properties and equipment 1,315,122 1,348,001 784,873 786,168 796,655 Deferred drydocking and survey costs 106,698 99,215 92,481 82,787 61,080 Indemnification assets 17,370 18,648 22,678 27,698 28,369 Other assets 32,449 30,325 33,640 34,058 33,644 Total assets $ 2,062,774 $ 2,071,555 $ 1,344,164 $ 1,327,147 $ 1,297,656 LIABILITIES AND EQUITY Current liabilities: Accounts payable $ 44,931 $ 57,183 $ 69,822 $ 64,775 $ 38,946 Accrued expenses 125,590 119,631 91,875 107,348 105,518 Current portion of long-term debt 103,077 102,369 2,441 — — Other current liabilities 55,133 53,301 42,305 43,220 50,323 Total current liabilities 328,731 332,484 206,443 215,343 194,787 Long-term debt 631,361 641,301 179,573 169,423 169,036 Other liabilities 64,985 66,246 65,621 68,968 67,843 Equity: Common stock 52 53 51 51 51 Additional paid-in-capital 1,671,759 1,668,392 1,554,793 1,553,919 1,556,990 Accumulated deficit (637,838 ) (640,128 ) (666,327 ) (688,911 ) (699,649 ) Accumulated other comprehensive income 5,266 4,413 4,566 8,254 8,576 Total stockholders' equity 1,039,239 1,032,730 893,083 873,313 865,968 Noncontrolling interests (1,542 ) (1,206 ) (556 ) 100 22 Total equity 1,037,697 1,031,524 892,527 873,413 865,990 Total liabilities and equity $ 2,062,774 $ 2,071,555 $ 1,344,164 $ 1,327,147 $ 1,297,656 TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS – QUARTERLY DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Operating activities: Net income $ 37,328 $ 25,549 $ 21,928 $ 10,816 $ 10,182 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 42,788 43,845 21,096 21,048 20,983 Amortization of deferred drydocking and survey costs 16,379 13,885 11,672 9,618 8,898 Amortization of debt premiums and discounts 1,975 1,802 422 420 522 Amortization of below market contracts (1,894 ) (1,906 ) — — — (Provision) benefit for deferred income taxes 23 35 (1 ) 35 (98 ) Gain on asset dispositions, net (4,218 ) (863 ) (1,404 ) (2,216 ) (1,076 ) Gain on pension settlement (506 ) — (1,807 ) — — Stock-based compensation expense 3,508 2,496 2,648 2,103 2,028 Changes in assets and liabilities, net of effects of business acquisition: Trade and other receivables (17,072 ) (54,765 ) (12,186 ) (25,733 ) 26,172 Accounts payable (12,252 ) (12,639 ) 5,047 25,829 7,117 Accrued expenses 5,841 27,775 (15,374 ) 1,830 (427 ) Deferred drydocking and survey costs (24,069 ) (20,618 ) (21,366 ) (31,325 ) (12,117 ) Other, net (600 ) 10,343 (934 ) 369 (16,844 ) Net cash provided by operating activities 47,231 34,939 9,741 12,794 45,340 Cash flows from investing activities: Proceeds from asset dispositions 5,902 945 2,943 5,716 5,093 Acquisitions, net of cash acquired — (594,191 ) — — — Additions to properties and equipment (8,386 ) (5,702 ) (8,849 ) (8,651 ) (4,929 ) Net cash provided by (used in) investing activities (2,484 ) (598,948 ) (5,906 ) (2,935 ) 164 Cash flows from financing activities: Exercise of warrants — 111,483 — — — Proceeds from issuance of shares — — — — 117,202 Repurchase of SPO acquisition warrants — — — — (117,202 ) Issuance of long-term debt — 575,000 — — — Principal payments on long-term debt (13,677 ) — — — — Purchase of common stock (35,025 ) — — — — Acquisition of non-controlling interest in a majority owned subsidiary — — — (1,427 ) — Debt issuance costs — (14,758 ) — — — Tax on share-based awards (141 ) (378 ) (1,774 ) (3,747 ) (47 ) Net cash provided by (used in) financing activities (48,843 ) 671,347 (1,774 ) (5,174 ) (47 ) Net change in cash, cash equivalents and restricted cash (4,096 ) 107,338 2,061 4,685 45,457 Cash, cash equivalents and restricted cash at beginning of period 282,061 174,723 172,662 167,977 122,520 Cash, cash equivalents and restricted cash at end of period $ 277,965 $ 282,061 $ 174,723 $ 172,662 $ 167,977 Supplemental disclosure of cash flow information: Cash paid during the year for: Interest, net of amounts capitalized $ 18,186 $ 606 $ 7,748 $ 98 $ 7,575 Income taxes $ 7,295 $ 9,384 $ 10,144 $ 17,057 $ 6,132 Supplemental disclosure of noncash investing activities: Purchase of three vessels $ 2,067 $ 27 $ 12,171 $ — $ — Supplemental disclosure of noncash financing activities: Repurchase of SPO acquisition warrants $ — $ — $ — $ — $ 373 Debt incurred for purchase of three vessels $ 3,037 $ 27 $ 12,171 $ — $ — TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 VESSEL REVENUE BY VESSEL CLASS Americas fleet: PSV > 900 $ 28,714 $ 29,270 $ 20,316 $ 20,556 $ 17,814 PSV < 900 28,143 28,886 19,134 17,390 16,486 AHTS > 16K 4,034 3,584 3,425 3,395 2,873 AHTS 8 - 16K 2,316 2,064 2,807 2,807 1,899 AHTS 4 - 8K 1,428 1,570 1,480 1,521 1,553 Other 3,790 5,343 3,214 2,018 1,160 Total 68,425 70,717 50,376 47,687 41,785 Asia Pacific fleet: PSV > 900 19,485 20,159 9,648 9,101 6,692 PSV < 900 8,679 8,292 5,811 5,133 3,120 AHTS > 16K 3,759 3,271 2,065 1,342 3,260 AHTS 8 - 16K 4,706 5,287 5,001 5,397 4,364 AHTS 4 - 8K 1,601 1,582 8 998 1,584 Other 402 403 52 53 50 Total 38,632 38,994 22,585 22,024 19,070 Middle East fleet: PSV > 900 1,378 1,088 1,211 1,192 1,218 PSV < 900 19,215 17,790 16,812 14,965 15,517 AHTS > 16K 1,178 1,196 1,217 2,316 2,351 AHTS 8 - 16K 3,094 3,420 4,276 4,593 4,146 AHTS 4 - 8K 13,207 11,191 8,340 7,696 7,343 Total 38,072 34,685 31,856 30,762 30,575 Europe/Mediterranean fleet: PSV > 900 61,559 59,872 27,602 21,858 23,640 PSV < 900 15,356 14,039 9,195 6,663 9,017 AHTS > 16K 2,437 3,617 2,228 2,511 643 Other 1,391 1,401 270 218 182 Total 80,743 78,929 39,295 31,250 33,482 West Africa fleet: PSV > 900 15,478 17,566 11,550 9,900 10,534 PSV < 900 31,893 26,396 25,419 24,835 20,494 AHTS > 16K 6,994 7,138 9,129 6,237 5,385 AHTS 8 - 16K 11,219 11,917 9,870 9,827 11,810 AHTS 4 - 8K 2,126 2,745 3,496 2,360 5,780 Other 6,933 7,888 6,747 6,298 6,191 Total 74,643 73,650 66,211 59,457 60,194 Worldwide fleet: PSV > 900 126,614 127,955 70,327 62,607 59,898 PSV < 900 103,286 95,403 76,371 68,986 64,634 AHTS > 16K 18,402 18,806 18,064 15,801 14,512 AHTS 8 - 16K 21,335 22,688 21,954 22,624 22,219 AHTS 4 - 8K 18,362 17,088 13,324 12,575 16,260 Other 12,516 15,035 10,283 8,587 7,583 Total $ 300,515 $ 296,975 $ 210,323 $ 191,180 $ 185,106 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVERAGE NUMBER OF VESSELS: Americas fleet: PSV > 900 12 12 10 10 10 PSV < 900 18 18 15 15 16 AHTS > 16K 2 2 2 2 2 AHTS 8 - 16K 2 2 2 2 2 AHTS 4 - 8K 2 2 2 2 2 Other 2 2 2 1 1 Total 38 38 33 32 33 Stacked vessels (1 ) (1 ) (1 ) (1 ) (2 ) Active vessels 37 37 32 31 31 Asia Pacific fleet: PSV > 900 8 8 6 5 5 PSV < 900 5 4 2 2 2 AHTS > 16K 2 2 2 1 2 AHTS 8 - 16K 3 3 3 3 3 AHTS 4 - 8K 1 1 1 2 3 Other — — — 1 1 Total 19 18 14 14 16 Stacked vessels — — — (1 ) (2 ) Active vessels 19 18 14 13 14 Middle East fleet: PSV > 900 1 1 1 1 2 PSV < 900 20 20 20 21 20 AHTS > 16K 1 1 1 2 2 AHTS 8 - 16K 5 5 5 5 5 AHTS 4 - 8K 18 18 17 14 14 Total 45 45 44 43 43 Stacked vessels — — — — — Active vessels 45 45 44 43 43 Europe/Mediterranean fleet: PSV > 900 39 38 18 19 19 PSV < 900 10 10 7 7 7 AHTS > 16K 2 2 1 1 1 Total 51 50 26 27 27 Stacked vessels — — — — — Active vessels 51 50 26 27 27 West Africa fleet: PSV > 900 9 9 7 7 6 PSV < 900 19 19 18 18 18 AHTS > 16K 4 4 5 5 4 AHTS 8 - 16K 11 11 11 11 11 AHTS 4 - 8K 4 5 6 8 8 Other 21 24 23 25 28 Total 68 72 70 74 75 Stacked vessels (1 ) (3 ) (5 ) (8 ) (10 ) Active vessels 67 69 65 66 65 Worldwide fleet: PSV > 900 69 68 42 42 42 PSV < 900 72 71 62 63 63 AHTS > 16K 11 11 11 11 11 AHTS 8 - 16K 21 21 21 21 21 AHTS 4 - 8K 25 26 26 26 27 Other 23 26 25 27 30 Total 221 223 187 190 194 Stacked vessels (2 ) (4 ) (6 ) (10 ) (14 ) Active vessels 219 219 181 180 180 Total active 219 219 181 180 180 Total stacked 2 4 6 10 14 Total joint venture — — — — 1 Total 221 223 187 190 195 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVAILABLE DAYS - TOTAL FLEET: Americas fleet: PSV > 900 1,104 1,095 910 907 922 PSV < 900 1,675 1,730 1,365 1,359 1,499 AHTS > 16K 184 184 182 180 184 AHTS 8 - 16K 184 184 182 180 184 AHTS 4 - 8K 184 184 182 180 184 Other 184 184 182 121 92 Total 3,515 3,561 3,003 2,927 3,065 Asia Pacific fleet: PSV > 900 736 726 559 481 460 PSV < 900 454 358 182 180 184 AHTS > 16K 184 184 182 90 184 AHTS 8 - 16K 276 276 273 270 276 AHTS 4 - 8K 92 92 91 180 292 Other — — — 48 92 Total 1,742 1,636 1,287 1,249 1,488 Middle East fleet: PSV > 900 92 92 91 90 92 PSV < 900 1,840 1,840 1,820 1,842 1,840 AHTS > 16K 92 92 91 180 184 AHTS 8 - 16K 460 460 455 450 460 AHTS 4 - 8K 1,615 1,640 1,556 1,291 1,288 Total 4,099 4,124 4,013 3,853 3,864 Europe/Mediterranean fleet: PSV > 900 3,588 3,492 1,638 1,672 1,746 PSV < 900 920 907 637 630 644 AHTS > 16K 184 184 139 90 92 Total 4,692 4,583 2,414 2,392 2,482 West Africa fleet: PSV > 900 828 819 637 630 644 PSV < 900 1,735 1,744 1,638 1,620 1,656 AHTS > 16K 368 368 407 450 368 AHTS 8 - 16K 1,012 1,012 1,001 990 1,012 AHTS 4 - 8K 385 476 546 720 736 Other 1,899 2,184 2,099 2,256 2,545 Total 6,227 6,603 6,328 6,666 6,961 Worldwide fleet: PSV > 900 6,348 6,224 3,835 3,780 3,864 PSV < 900 6,624 6,579 5,642 5,631 5,823 AHTS > 16K 1,012 1,012 1,001 990 1,012 AHTS 8 - 16K 1,932 1,932 1,911 1,890 1,932 AHTS 4 - 8K 2,276 2,392 2,375 2,371 2,500 Other 2,083 2,368 2,281 2,425 2,729 Total 20,275 20,507 17,045 17,087 17,860 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 OUT-OF-SERVICE - STACKED DAYS: Americas fleet: PSV < 900 92 92 91 99 211 Total 92 92 91 99 211 Asia Pacific fleet: AHTS 4 - 8K — — — — 54 Other — — — 48 92 Total — — — 48 146 West Africa fleet: AHTS 4 - 8K 109 184 182 180 158 Other 16 103 265 540 797 Total 125 287 447 720 955 Worldwide fleet: PSV < 900 92 92 91 99 211 AHTS 4 - 8K 109 184 182 180 212 Other 16 103 265 588 889 Total 217 379 538 867 1,312 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVAILABLE DAYS - ACTIVE FLEET: Americas fleet: PSV > 900 1,104 1,095 910 907 922 PSV < 900 1,583 1,638 1,274 1,260 1,288 AHTS > 16K 184 184 182 180 184 AHTS 8 - 16K 184 184 182 180 184 AHTS 4 - 8K 184 184 182 180 184 Other 184 184 182 121 92 Total 3,423 3,469 2,912 2,828 2,854 Asia Pacific fleet: PSV > 900 736 726 559 481 460 PSV < 900 454 358 182 180 184 AHTS > 16K 184 184 182 90 184 AHTS 8 - 16K 276 276 273 270 276 AHTS 4 - 8K 92 92 91 180 238 Total 1,742 1,636 1,287 1,201 1,342 Middle East fleet: PSV > 900 92 92 91 90 92 PSV < 900 1,840 1,840 1,820 1,842 1,840 AHTS > 16K 92 92 91 180 184 AHTS 8 - 16K 460 460 455 450 460 AHTS 4 - 8K 1,615 1,640 1,556 1,291 1,288 Total 4,099 4,124 4,013 3,853 3,864 Europe/Mediterranean fleet: PSV > 900 3,588 3,492 1,638 1,672 1,746 PSV < 900 920 907 637 630 644 AHTS > 16K 184 184 139 90 92 Total 4,692 4,583 2,414 2,392 2,482 West Africa fleet: PSV > 900 828 819 637 630 644 PSV < 900 1,735 1,744 1,638 1,620 1,656 AHTS > 16K 368 368 407 450 368 AHTS 8 - 16K 1,012 1,012 1,001 990 1,012 AHTS 4 - 8K 276 292 364 540 578 Other 1,883 2,081 1,834 1,716 1,748 Total 6,102 6,316 5,881 5,946 6,006 Worldwide fleet: PSV > 900 6,348 6,224 3,835 3,780 3,864 PSV < 900 6,532 6,487 5,551 5,532 5,612 AHTS > 16K 1,012 1,012 1,001 990 1,012 AHTS 8 - 16K 1,932 1,932 1,911 1,890 1,932 AHTS 4 - 8K 2,167 2,208 2,193 2,191 2,288 Other 2,067 2,265 2,016 1,837 1,840 Total 20,058 20,128 16,507 16,220 16,548 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 UTILIZATION - TOTAL FLEET: Americas fleet: PSV > 900 77.2 % 84.5 % 78.5 % 84.2 % 82.6 % PSV < 900 78.9 85.7 83.9 79.8 68.1 AHTS > 16K 59.0 54.7 50.0 50.0 48.2 AHTS 8 - 16K 74.0 65.4 100.0 100.0 76.8 AHTS 4 - 8K 93.7 97.8 93.7 96.4 99.2 Other 100.0 100.0 100.0 97.5 100.0 Total 78.9 % 84.1 % 82.8 % 82.3 % 74.6 % Asia Pacific fleet: PSV > 900 93.4 % 97.3 % 71.1 % 70.8 % 62.6 % PSV < 900 92.3 99.0 100.0 90.6 78.4 AHTS > 16K 72.7 66.7 60.7 78.1 90.8 AHTS 8 - 16K 63.9 78.9 85.0 79.8 85.4 AHTS 4 - 8K 100.0 100.0 10.4 80.3 79.5 Total 86.6 % 91.3 % 72.4 % 74.8 % 71.7 % Middle East fleet: PSV > 900 100.0 % 90.2 % 100.0 % 100.0 % 100.0 % PSV < 900 88.6 82.8 81.6 74.4 78.3 AHTS > 16K 100.0 100.0 100.0 100.0 100.0 AHTS 8 - 16K 60.4 69.0 87.0 96.0 84.8 AHTS 4 - 8K 87.6 77.7 63.4 85.7 86.3 Total 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Europe/Mediterranean fleet: PSV > 900 91.4 % 90.8 % 91.0 % 82.7 % 88.5 % PSV < 900 86.8 86.4 81.3 85.0 89.2 AHTS > 16K 53.2 63.3 43.4 84.1 65.5 Total 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % West Africa fleet: PSV > 900 64.9 % 88.5 % 83.1 % 83.0 % 85.7 % PSV < 900 95.4 85.1 91.1 95.3 89.9 AHTS > 16K 91.1 77.0 92.9 73.5 89.4 AHTS 8 - 16K 72.4 79.5 79.6 79.8 91.1 AHTS 4 - 8K 57.6 58.5 62.9 32.4 62.1 Other 56.9 50.0 49.4 50.3 45.4 Total 73.3 % 70.7 % 72.3 % 68.4 % 70.5 % Worldwide fleet: PSV > 900 85.8 % 90.1 % 84.0 % 82.0 % 83.8 % PSV < 900 87.9 85.6 85.5 83.4 80.2 AHTS > 16K 75.8 70.7 73.0 75.4 81.9 AHTS 8 - 16K 68.5 75.6 84.1 85.6 87.4 AHTS 4 - 8K 83.5 76.3 63.5 69.9 79.4 Other 60.7 53.9 53.4 51.7 45.7 Total 81.5 % 80.5 % 76.9 % 76.5 % 76.5 % TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 UTILIZATION - ACTIVE FLEET: Americas fleet: PSV > 900 77.2 % 84.5 % 78.5 % 84.2 % 82.6 % PSV < 900 83.4 90.5 89.9 86.1 79.3 AHTS > 16K 59.0 54.7 50.0 50.0 48.2 AHTS 8 - 16K 74.0 65.4 100.0 100.0 76.8 AHTS 4 - 8K 93.7 97.8 93.7 96.4 99.2 Other 100.0 100.0 100.0 97.5 100.0 Total 81.0 % 86.3 % 85.4 % 85.2 % 80.1 % Asia Pacific fleet: PSV > 900 93.4 % 97.3 % 71.1 % 70.8 % 62.6 % PSV < 900 92.3 99.0 100.0 90.6 78.4 AHTS > 16K 72.7 66.7 60.7 78.1 90.8 AHTS 8 - 16K 63.9 78.9 85.0 79.8 85.4 AHTS 4 - 8K 100.0 100.0 10.4 80.3 97.4 Total 86.6 % 91.3 % 72.4 % 77.8 % 79.5 % Middle East fleet: PSV > 900 100.0 % 90.2 % 100.0 % 100.0 % 100.0 % PSV < 900 88.6 82.8 81.6 74.4 78.3 AHTS > 16K 100.0 100.0 100.0 100.0 100.0 AHTS 8 - 16K 60.4 69.0 87.0 96.0 84.8 AHTS 4 - 8K 87.6 77.7 63.4 85.7 86.3 Total 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Europe/Mediterranean fleet: PSV > 900 91.4 % 90.8 % 91.0 % 82.7 % 88.5 % PSV < 900 86.8 86.4 81.3 85.0 89.2 AHTS > 16K 53.2 63.3 43.4 84.1 65.5 Total 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % West Africa fleet: PSV > 900 64.9 % 88.5 % 83.1 % 83.0 % 85.7 % PSV < 900 95.4 85.1 91.1 95.3 89.9 AHTS > 16K 91.1 77.0 92.9 73.5 89.4 AHTS 8 - 16K 72.4 79.5 79.6 79.8 91.1 AHTS 4 - 8K 80.4 95.4 94.3 43.2 79.1 Other 57.4 52.5 56.5 66.2 66.1 Total 74.8 % 73.9 % 77.8 % 76.6 % 81.7 % Worldwide fleet: PSV > 900 85.8 % 90.1 % 84.0 % 82.0 % 83.8 % PSV < 900 89.2 86.8 86.9 84.9 83.2 AHTS > 16K 75.8 70.7 73.0 75.4 81.9 AHTS 8 - 16K 68.5 75.6 84.1 85.6 87.4 AHTS 4 - 8K 87.7 82.6 68.8 75.7 86.7 Other 61.2 56.4 60.4 68.2 67.8 Total 82.4 % 82.1 % 79.4 % 80.6 % 82.5 % TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 AVERAGE VESSEL DAY RATES: (A) Americas fleet: PSV > 900 $ 33,707 $ 31,648 $ 28,446 $ 26,930 $ 23,401 PSV < 900 21,306 19,479 16,702 16,037 16,146 AHTS > 16K 37,174 35,598 37,640 37,720 32,368 AHTS 8 - 16K 16,997 17,157 15,421 15,593 13,431 AHTS 4 - 8K 8,285 8,717 8,678 8,764 8,511 Other 18,427 26,857 17,658 17,110 12,611 Total 24,524 23,495 20,269 19,794 18,271 Asia Pacific fleet: PSV > 900 28,351 28,525 24,276 26,723 23,237 PSV < 900 20,703 23,380 31,927 31,488 21,627 AHTS > 16K 28,120 26,649 18,690 19,095 19,519 AHTS 8 - 16K 26,680 24,275 21,561 25,049 18,509 AHTS 4 - 8K 17,404 17,197 946 6,903 6,822 Total 25,378 25,867 24,250 23,582 17,868 Middle East fleet: PSV > 900 14,972 13,112 13,304 13,251 13,234 PSV < 900 11,785 11,677 11,320 10,926 10,768 AHTS > 16K 12,801 13,004 13,378 12,868 12,777 AHTS 8 - 16K 11,140 10,771 10,804 10,632 10,627 AHTS 4 - 8K 9,334 8,787 8,460 6,953 6,604 Total 10,855 10,544 10,449 9,679 9,498 Europe/Mediterranean fleet: PSV > 900 18,771 18,879 18,512 15,798 15,306 PSV < 900 19,227 17,926 17,756 12,451 15,696 AHTS > 16K 24,899 31,048 36,913 33,164 10,682 Total 19,061 19,105 18,990 15,669 15,364 West Africa fleet: PSV > 900 28,797 24,220 21,815 18,931 19,096 PSV < 900 19,271 17,781 17,040 16,080 13,758 AHTS > 16K 20,869 25,192 24,154 18,863 16,367 AHTS 8 - 16K 15,302 14,804 12,382 12,433 12,809 AHTS 4 - 8K 9,583 9,858 10,178 10,113 12,637 Other 6,415 7,217 6,511 5,548 5,359 Total 16,356 15,772 14,469 13,047 12,272 Worldwide fleet: PSV > 900 23,240 22,804 21,820 20,193 18,502 PSV < 900 17,734 16,949 15,837 14,688 13,839 AHTS > 16K 23,985 26,293 24,719 21,163 17,505 AHTS 8 - 16K 16,120 15,533 13,662 13,984 13,153 AHTS 4 - 8K 9,658 9,368 8,828 7,583 8,196 Other 8,397 10,281 8,441 6,852 6,080 Total $ 18,066 $ 17,865 $ 16,042 $ 14,624 $ 13,554 Note (A): Average Vessel Day Rates equals Vessel Revenue / Days Worked. TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Americas Vessel revenues $ 68,425 $ 70,717 $ 50,376 $ 47,687 $ 41,785 Vessel operating costs: Crew costs 24,045 26,848 18,033 17,402 16,486 Repair and maintenance 3,846 5,588 3,973 3,888 3,619 Insurance 526 476 479 410 410 Fuel, lube and supplies 3,241 4,386 2,549 2,999 2,387 Other 5,172 5,924 4,564 3,572 5,102 Total vessel operating costs 36,830 43,222 29,598 28,271 28,004 Vessel operating margin ($) 31,595 27,495 20,778 19,416 13,781 Vessel operating margin (%) 46.2 % 38.9 % 41.2 % 40.7 % 33.0 % Americas - Select operating statistics Average vessels - Total fleet 38 38 33 32 33 Utilization - Total fleet 78.9 % 84.1 % 82.8 % 82.3 % 74.6 % Average vessels - Active fleet 37 37 32 31 31 Utilization - Active fleet 81.0 % 86.3 % 85.4 % 85.2 % 80.1 % Average day rates $ 24,524 $ 23,495 $ 20,269 $ 19,794 $ 18,271 Vessels commencing drydocks 3 3 4 2 2 Deferred drydocking and survey costs - beginning balance $ 29,684 $ 29,769 $ 27,832 $ 21,720 $ 21,772 Cash paid for deferred drydocking and survey costs 5,025 4,658 5,867 8,218 4,389 Amortization of deferred drydocking and survey costs (5,353 ) (3,727 ) (2,626 ) (3,417 ) (3,025 ) Disposals, intersegment transfers and other (668 ) (1,016 ) (1,304 ) 1,311 (1,416 ) Deferred drydocking and survey costs - ending balance $ 28,688 $ 29,684 $ 29,769 $ 27,832 $ 21,720 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Asia Pacific Vessel revenues $ 38,632 $ 38,994 $ 22,585 $ 22,024 $ 19,070 Vessel operating costs: Crew costs 15,177 12,390 7,062 7,311 9,876 Repair and maintenance 2,977 2,969 1,517 1,749 901 Insurance 269 183 219 123 183 Fuel, lube and supplies 1,191 909 1,521 1,630 1,299 Other 2,045 2,380 1,648 1,678 1,574 Total vessel operating costs 21,659 18,831 11,967 12,491 13,833 Vessel operating margin ($) 16,973 20,163 10,618 9,533 5,237 Vessel operating margin (%) 43.9 % 51.7 % 47.0 % 43.3 % 27.5 % Asia Pacific - Select operating statistics Average vessels - Total fleet 19 18 14 14 16 Utilization - Total fleet 86.6 % 91.3 % 72.4 % 74.8 % 71.7 % Average vessels - Active fleet 19 18 14 13 14 Utilization - Active fleet 86.6 % 91.3 % 72.4 % 77.8 % 79.5 % Average day rates $ 25,378 $ 25,867 $ 24,250 $ 23,582 $ 17,868 Vessels commencing drydocks — — — 1 2 Deferred drydocking and survey costs - beginning balance $ 3,595 $ 2,128 $ 2,525 $ 553 $ 979 Cash paid for deferred drydocking and survey costs (18 ) 84 (4 ) 2,368 156 Amortization of deferred drydocking and survey costs (720 ) (637 ) (393 ) (282 ) (117 ) Disposals, intersegment transfers and other 912 2,020 — (114 ) (465 ) Deferred drydocking and survey costs - ending balance $ 3,769 $ 3,595 $ 2,128 $ 2,525 $ 553 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Middle East Vessel revenues $ 38,072 $ 34,685 $ 31,856 $ 30,762 $ 30,575 Vessel operating costs: Crew costs 13,716 13,914 13,170 12,616 12,472 Repair and maintenance 4,105 4,828 3,779 3,475 3,216 Insurance 501 385 465 433 384 Fuel, lube and supplies 2,610 3,142 3,470 2,870 2,991 Other 4,906 4,796 3,756 3,669 2,505 Total vessel operating costs 25,838 27,065 24,640 23,063 21,568 Vessel operating margin ($) 12,234 7,620 7,216 7,699 9,007 Vessel operating margin (%) 32.1 % 22.0 % 22.7 % 25.0 % 29.5 % Middle East - Select operating statistics Average vessels - Total fleet 45 45 44 43 43 Utilization - Total fleet 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Average vessels - Active fleet 45 45 44 43 43 Utilization - Active fleet 85.6 % 79.8 % 76.0 % 82.5 % 83.3 % Average day rates $ 10,855 $ 10,544 $ 10,449 $ 9,679 $ 9,498 Vessels commencing drydocks 3 4 7 5 5 Deferred drydocking and survey costs - beginning balance $ 21,153 $ 22,717 $ 20,677 $ 15,062 $ 14,993 Cash paid for deferred drydocking and survey costs 1,360 3,234 4,262 7,787 1,930 Amortization of deferred drydocking and survey costs (3,182 ) (2,776 ) (3,778 ) (1,913 ) (2,323 ) Disposals, intersegment transfers and other — (2,022 ) 1,556 (259 ) 462 Deferred drydocking and survey costs - ending balance $ 19,331 $ 21,153 $ 22,717 $ 20,677 $ 15,062 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Europe/Mediterranean Vessel revenues $ 80,743 $ 78,929 $ 39,295 $ 31,250 $ 33,482 Vessel operating costs: Crew costs 25,848 26,632 13,406 12,727 13,010 Repair and maintenance 6,081 5,342 2,900 2,706 3,067 Insurance 791 689 354 384 386 Fuel, lube and supplies 3,717 4,033 2,363 1,584 2,051 Other 3,719 5,376 2,292 2,371 1,762 Total vessel operating costs 40,156 42,072 21,315 19,772 20,276 Vessel operating margin ($) 40,587 36,857 17,980 11,478 13,206 Vessel operating margin (%) 50.3 % 46.7 % 45.8 % 36.7 % 39.4 % Europe/Mediterranean - Select operating statistics Average vessels - Total fleet 51 50 26 27 27 Utilization - Total fleet 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % Average vessels - Active fleet 51 50 26 27 27 Utilization - Active fleet 89.0 % 88.8 % 85.7 % 83.4 % 87.8 % Average day rates $ 19,061 $ 19,105 $ 18,990 $ 15,669 $ 15,364 Vessels commencing drydocks 5 5 4 4 3 Deferred drydocking and survey costs - beginning balance $ 16,256 $ 11,705 $ 11,363 $ 9,566 $ 8,588 Cash paid for deferred drydocking and survey costs 7,580 6,733 2,217 5,128 1,175 Amortization of deferred drydocking and survey costs (2,758 ) (3,201 ) (1,875 ) (1,739 ) (1,523 ) Disposals, intersegment transfers and other — 1,019 — (1,592 ) 1,326 Deferred drydocking and survey costs - ending balance $ 21,078 $ 16,256 $ 11,705 $ 11,363 $ 9,566 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 West Africa Vessel revenues $ 74,643 $ 73,650 $ 66,211 $ 59,457 $ 60,194 Vessel operating costs: Crew costs 18,751 17,502 16,336 16,587 17,855 Repair and maintenance 4,626 4,868 4,665 4,834 3,971 Insurance 678 626 651 655 664 Fuel, lube and supplies 4,506 5,300 4,055 4,472 4,113 Other 5,509 4,753 5,037 5,314 5,212 Total vessel operating costs 34,070 33,049 30,744 31,862 31,815 Vessel operating margin ($) 40,573 40,601 35,467 27,595 28,379 Vessel operating margin (%) 54.4 % 55.1 % 53.6 % 46.4 % 47.1 % West Africa - Select operating statistics Average vessels - Total fleet 68 72 70 74 75 Utilization - Total fleet 73.3 % 70.7 % 72.3 % 68.4 % 70.5 % Average vessels - Active fleet 67 69 65 66 65 Utilization - Active fleet 74.8 % 73.9 % 77.8 % 76.6 % 81.7 % Average day rates $ 16,356 $ 15,772 $ 14,469 $ 13,047 $ 12,272 Vessels commencing drydocks 7 7 4 6 2 Deferred drydocking and survey costs - beginning balance $ 28,527 $ 26,162 $ 20,390 $ 14,179 $ 11,545 Cash paid for deferred drydocking and survey costs 10,121 5,909 9,024 7,824 4,467 Amortization of deferred drydocking and survey costs (4,367 ) (3,544 ) (3,000 ) (2,267 ) (1,909 ) Disposals, intersegment transfers and other (449 ) — (252 ) 654 76 Deferred drydocking and survey costs - ending balance $ 33,832 $ 28,527 $ 26,162 $ 20,390 $ 14,179 TIDEWATER INC. OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Worldwide Vessel revenues $ 300,515 $ 296,975 $ 210,323 $ 191,180 $ 185,106 Vessel operating costs: Crew costs 97,537 97,286 68,007 66,643 69,699 Repair and maintenance 21,635 23,595 16,834 16,652 14,774 Insurance 2,765 2,359 2,168 2,005 2,027 Fuel, lube and supplies 15,265 17,770 13,958 13,555 12,841 Other 21,351 23,229 17,297 16,604 16,155 Total vessel operating costs 158,553 164,239 118,264 115,459 115,496 Vessel operating margin ($) 141,962 132,736 92,059 75,721 69,610 Vessel operating margin (%) 47.2 % 44.7 % 43.8 % 39.6 % 37.6 % Worldwide - Select operating statistics Average vessels - Total fleet 221 223 187 190 194 Utilization - Total fleet 81.5 % 80.5 % 76.9 % 76.5 % 76.5 % Average vessels - Active fleet 219 219 181 180 180 Utilization - Active fleet 82.4 % 82.1 % 79.4 % 80.6 % 82.5 % Average day rates $ 18,066 $ 17,865 $ 16,042 $ 14,624 $ 13,554 Vessels commencing drydocks 18 19 19 18 14 Deferred drydocking and survey costs - beginning balance $ 99,215 $ 92,481 $ 82,787 $ 61,080 $ 57,877 Cash paid for deferred drydocking and survey costs 24,068 20,618 21,366 31,325 12,117 Amortization of deferred drydocking and survey costs (16,380 ) (13,885 ) (11,672 ) (9,618 ) (8,897 ) Disposals, intersegment transfers and other (205 ) 1 — — (17 ) Deferred drydocking and survey costs - ending balance $ 106,698 $ 99,215 $ 92,481 $ 82,787 $ 61,080 TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In Thousands) Three Months Ended December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Net income $ 37,328 $ 25,549 $ 21,928 $ 10,816 $ 10,182 Interest and other debt costs 20,263 19,288 4,731 4,190 4,339 Income tax expense 10,793 9,260 11,284 11,971 1,697 Depreciation 42,788 43,845 21,096 21,048 20,983 Amortization of deferred drydock and survey costs 16,379 13,885 11,672 9,618 8,898 Amortization of below market contracts (1,894 ) (1,906 ) — — — EBITDA (A), (B), (C) 125,657 109,921 70,711 57,643 46,099 Non-cash indemnification assets charge (70 ) 1,184 — — — Non-cash stock compensation expense 3,508 2,496 2,648 2,103 2,028 Acquisition, restructuring and integration related costs 2,177 6,079 1,242 1,426 5,150 Adjusted EBITDA (A), (B), (C) $ 131,272 $ 119,680 $ 74,601 $ 61,172 $ 53,277 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 December 31, 2023, and for each of the prior four quarters includes non-cash stock-based compensation expense of $3,508, $2,496, $2,648, $2,103 and $2,028 respectively. Note (C): EBITDA and Adjusted EBITDA for the three months ended December 31, 2023, and for each of the prior four quarters includes foreign exchange gain (losses) of $2,250, $(2,149), $(3,819), $2,348 and $2,105 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 December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Net cash provided by operating activities (A) $ 47,231 $ 34,939 $ 9,741 $ 12,794 $ 45,340 Cash interest expense 18,186 606 7,748 98 7,575 Interest income and other (3,029 ) (568 ) (2,790 ) (130 ) (981 ) Indemnification assets charge 70 (1,184 ) — — — Additions to property and equipment (8,386 ) (5,702 ) (8,849 ) (8,651 ) (4,929 ) Acquisitions — (594,191 ) — — — Expansion capital 1,034 594,252 2,493 109 1,240 55,106 28,152 8,343 4,220 48,245 Proceeds from asset sales 5,902 945 2,943 5,716 5,093 Free cash flow $ 61,008 $ 29,097 $ 11,286 $ 9,936 $ 53,338 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 (used in) 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 (used in) 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 December 31, September 30, June 30, March 31, December 31, 2023 2023 2023 2023 2022 Cash provided by (used in) changes in assets and liabilities, excluding drydock payments $ (24,083 ) $ (29,286 ) $ (23,447 ) $ 2,295 $ 16,018 Cash paid for deferred drydock and survey costs (24,069 ) (20,618 ) (21,366 ) (31,325 ) (12,117 ) Total sources (uses) of cash for changes in assets and liabilities $ (48,152 ) $ (49,904 ) $ (44,813 ) $ (29,030 ) $ 3,901 View source version on businesswire.com: https://www.businesswire.com/news/home/20240226697169/en/