Tidewater Reports Results for the Three Months Ending March 31, 2021

Rhea-AI Summary

Tidewater Inc. (NYSE:TDW) reported Q1 2021 revenue of $83.5 million, a 28% decline from Q1 2020's $116.4 million. Net losses for the quarter were $35.3 million ($0.87 per share), compared to $18.4 million ($0.46 per share) a year earlier. However, the company generated $19.2 million in free cash flow for Q1 and $87.1 million for the trailing twelve months. Operating costs decreased 23% year-over-year, and debt was reduced by $26.4 million. Tidewater also disposed of six vessels for $11 million as part of fleet development.

Positive

• Generated $19.2 million in free cash flow for Q1 2021.
• Reduced outstanding debt by $26.4 million.
• Improved cash position with $143.4 million available.
• Reduced operating costs by 23% compared to Q1 2020.

Negative

• Revenue declined by 28% year-over-year to $83.5 million.
• Net losses increased to $35.3 million in Q1 2021.

Tidewater Inc. (NYSE:TDW) announced today revenue for the three months ending March 31, 2021 of $83.5 million compared with $116.4 million for the three months ending March 31, 2020. Tidewater's net losses for the three months ending March 31, 2021, were $35.3 million ($0.87 per common share) compared with $18.4 million ($0.46 per common share) for the three months ending March 31, 2020. Included in the net losses for the three months ending March 31, 2021 were severance expenses totaling $0.1 million; excluding these costs, we would have reported a net loss for the three months ending March 31, 2021 of $35.2 million ($0.86 per common share). Included in the net losses for the three months ending March 31, 2020 were $10.3 million in long-lived asset impairments and one-time severance expenses; excluding these costs, net losses for the three months ending March 31, 2020 were $8.1 million (or $0.20 per common share).

Quintin Kneen, Tidewater’s President and Chief Executive Officer, commented, "I am pleased to report that we once again generated free cash flow for the latest quarter. In the first quarter of 2021, we generated $19.2 million of free cash flow and for the trailing twelve months, which were the most difficult twelve months the company has ever seen, we generated $87.1 million of free cash flow.

"Since late 2018, we have dedicated ourselves to building an offshore vessel company that is able to generate positive free cash flow throughout the business cycle by optimizing the earnings potential of the fleet, being the lowest cost operator and by adroitly managing drydocks and capital investments. The shore base infrastructure we have built is highly scalable and the operations have a substantial degree of operating leverage. I look forward to the acceleration in cash generation that will result from combined benefit of higher day rates as we enter a more balanced supply and demand environment and the lower per unit administrative cost of our scalable shore based infrastructure as more vessels are put to work.

“Compared to the first quarter of last year, revenue was down 28%, which is in line with the expectations we set out on the first quarter call last year after the pandemic broke. Operating costs were down 23%. Pandemic-driven inefficiencies kept operating expenses a bit higher than they otherwise would have been. General and administrative costs are down 25% since the first quarter of 2020. We have demonstrated again that we can swiftly and seamlessly adjust the scale of our operations to meet market demand.

“Our ongoing fleet development program includes the sale or recycling of vessels that are deemed uneconomic or that otherwise do not meet our future strategic goals, and during the first quarter we disposed of six vessels for $11.0 million.

“During the quarter, we reduced outstanding debt by $26.4 million and decreased our net debt position by $14.4 million. We ended the quarter with $143.4 million of cash on hand. We repurchased $11.8 million of the 2022 bonds at 100.5% of par during the first quarter.

“As highlighted in our recently issued inaugural sustainability report, which I encourage you to read, although 2020 posed many unique challenges, nothing caused us to waver from our environmental, social and governance (ESG) standards. While the report covers a great deal of what we have and continue to strive to achieve, I want to underscore that maintaining a safe working environment for our employees is a cornerstone of the Tidewater culture. During calendar year 2020, our employees clocked in more than 17 million hours and we had no lost time incidents. This is a tremendous achievement and I want to thank all of our employees for their dedication to creating a safe working environment.”

In addition to the number of outstanding shares, as of March 31, 2021, the company also has the following in-the-money warrants.

Common shares outstanding			40,731,777
New Creditor Warrants (strike price $0.001 per common share)			657,203
GulfMark Creditor Warrants (strike price $0.01 per common share)			815,575
Total			42,204,555

Tidewater will hold a conference call to discuss results for the three months ending March 31, 2021 on May 7, 2021, at 8:00 a.m. Central Time. Investors and interested parties may listen to the earnings conference call via telephone by calling +1-888-771-4371 if calling from the U.S. or Canada (+1-847-585-4405 if calling from outside the U.S.) and asking for the “Tidewater” call just 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 10:30 a.m. Central Time on May 7, 2021 and will continue until 11:59 p.m. Central Time on June 7, 2021. To access the replay, visit the Investor Relations section of Tidewater’s website at investor.tdw.com

The conference call will contain forward-looking statements in addition to statements of historical fact. The actual achievement of any forecasted results or the unfolding of future economic or business developments in a way anticipated or projected by the company involves numerous risks and uncertainties that may cause the company’s actual performance to be materially different from that stated or implied in the forward-looking statements. Such risks and uncertainties include, among other things, risks associated with the general nature of the oilfield service industry and other factors discussed within the “Risk Factors” section of Tidewater’s most recent Forms 10-Q and 10-K.

Tidewater owns and operates one of the largest fleets of offshore support vessels in the industry, with more than 65 years of experience supporting offshore energy exploration, production, and generation activities worldwide.

Note: All per-share amounts are stated on a diluted basis.

Financial information is displayed beginning on the next page.

TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data)
		Three Months Ended
		March 31,				March 31,
		2021				2020
Revenues:
Vessel revenues		$	80,993			$	111,974
Other operating revenues			2,511				4,394
Total revenues			83,504				116,368
Costs and expenses:
Vessel operating costs			61,020				78,825
Costs of other operating revenues			1,067				2,673
General and administrative			16,043				21,420
Depreciation and amortization			29,727				27,107
Long-lived asset impairments and other			—				10,207
(Gain) loss on asset dispositions, net			1,948				(5,331	)
			109,805				134,901
Operating loss			(26,301	)			(18,533	)
Other income (expense):
Foreign exchange gain (loss)			(850	)			864
Equity in net losses of unconsolidated companies			(1,849	)			—
Interest income and other, net			23				116
Interest and other debt costs, net			(4,541	)			(6,142	)
Total other expense			(7,217	)			(5,162	)
Loss before income taxes			(33,518	)			(23,695	)
Income tax (benefit) expense			2,009				(5,171	)
Net loss		$	(35,527	)		$	(18,524	)
Less: Net loss attributable to noncontrolling interests			(212	)			(79	)
Net loss attributable to Tidewater Inc.		$	(35,315	)		$	(18,445	)
Basic loss per common share		$	(0.87	)		$	(0.46	)
Diluted loss per common share		$	(0.87	)		$	(0.46	)
Weighted average common shares outstanding			40,716				40,101
Dilutive effect of stock options and restricted stock			—				—
Adjusted weighted average common shares			40,716				40,101

TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except share and par value data)
		March 31,				December 31,
ASSETS		2021				2020
Current assets:
Cash and cash equivalents		$	131,858			$	149,933
Restricted cash			9,061				2,079
Trade and other receivables, less allowance for credit losses of $2,136 and $1,516 at March 31, 2021 and December 31, 2020, respectively			99,865				112,623
Due from affiliate, less allowance for credit losses of $71,595 and $71,800 at March 31, 2021 and December 31, 2020, respectively			62,474				62,050
Marine operating supplies			15,676				15,876
Assets held for sale			31,214				34,396
Prepaid expenses and other current assets			13,594				11,692
Total current assets			363,742				388,649
Net properties and equipment			754,707				780,318
Deferred drydocking and survey costs			46,648				56,468
Other assets			23,833				25,742
Total assets		$	1,188,930			$	1,251,177
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable		$	14,622			$	16,981
Accrued expenses			48,466				52,422
Due to affiliates			56,356				53,194
Current portion of long-term debt			18,201				27,797
Other current liabilities			35,003				32,785
Total current liabilities			172,648				183,179
Long-term debt			148,337				164,934
Other liabilities and deferred credits			79,234				79,792
Commitments and contingencies
Equity:
Common stock			41				41
Additional paid-in-capital			1,372,846				1,371,809
Accumulated deficit			(584,246	)			(548,931	)
Accumulated other comprehensive loss			(875	)			(804	)
Total stockholder's equity			787,766				822,115
Noncontrolling interests			945				1,157
Total equity			788,711				823,272
Total liabilities and equity		$	1,188,930			$	1,251,177

TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (In thousands)
		Three Months Ended
		March 31,				March 31,
		2021				2020
Net loss		$	(35,527	)		$	(18,524	)
Other comprehensive income (loss):
Change in pension plan and supplemental pension plan liability, net of tax of $0 and $0, respectively			(71	)			369
Total comprehensive loss		$	(35,598	)		$	(18,155	)

TIDEWATER INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands)
		Three Months				Three Months
		Ended				Ended
		March 31,				March 31,
		2021				2020
Operating activities:
Net loss		$	(35,527	)		$	(18,524	)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization			18,470				17,285
Amortization of deferred drydocking and survey costs			11,257				9,822
Amortization of debt premiums and discounts			1,108				675
Provision for deferred income taxes			30				—
(Gain) loss on asset dispositions, net			1,948				(5,331	)
Loss on debt extinguishment			59				—
Long-lived asset impairments and other			—				10,207
Stock-based compensation expense			1,172				1,335
Changes in operating assets and liabilities, net:
Trade and other receivables			12,758				(9,438	)
Changes in due to/from affiliate, net			2,738				(2,405	)
Accounts payable			(2,359	)			3,210
Accrued expenses			(4,270	)			(1,146	)
Deferred drydocking and survey costs			(2,722	)			(24,867	)
Other, net			1,054				(8,348	)
Net cash provided by (used in) operating activities			5,716				(27,525	)
Cash flows from investing activities:
Proceeds from sales of assets			10,983				9,452
Additions to properties and equipment			(1,196	)			(2,449	)
Net cash provided by investing activities			9,787				7,003
Cash flows from financing activities:
Principal payments on long-term debt			(26,414	)			(2,600	)
Debt modification costs			(725	)			—
Debt extinguishment premium			(59	)			—
Tax on share-based awards			(135	)			(531	)
Net cash used in financing activities			(27,333	)			(3,131	)
Net change in cash, cash equivalents and restricted cash			(11,830	)			(23,653	)
Cash, cash equivalents and restricted cash at beginning of period			155,225				227,608
Cash, cash equivalents and restricted cash at end of period		$	143,395			$	203,955

Supplemental disclosure of cash flow information:
Cash paid during the year for:
Interest, net of amounts capitalized			3,746				5,442
Income taxes			2,535				2,550

Note (A):  Cash, cash equivalents and restricted cash at March 31, 2021 includes $2.5 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 (loss)				interest				Total
Balance at December 31, 2020		$	41				1,371,809				(548,931	)			(804	)			1,157				823,272
Total comprehensive loss			—				—				(35,315	)			(71	)			(212	)			(35,598	)
Amortization of share-based awards			—				1,037				—				—				—				1,037
Balance at March 31, 2021		$	41				1,372,846				(584,246	)			(875	)			945				788,711
Balance at December 31, 2019		$	40				1,367,521				(352,526	)			(236	)			1,611				1,016,410
Total comprehensive loss			—				—				(18,445	)			369				(79	)			(18,155	)
Adoption of credit loss accounting standard			—				—				(163	)			—				—				(163	)
Amortization of share-based awards			—				804				—				—				—				804
Balance at March 31, 2020		$	40				1,368,325				(371,134	)			133				1,532				998,896

The company’s vessel revenues and vessel operating costs and the related percentage of total vessel revenues, were as follows:
		Three Months Ended
		March 31,								March 31,
		2021								2020
(In thousands)						%								%
Vessel revenues:
Americas		$	26,224				32	%		$	31,859				28	%
Middle East/Asia Pacific			24,414				30	%			24,828				22	%
Europe/Mediterranean			14,749				18	%			29,491				26	%
West Africa			15,606				19	%			25,796				23	%
Total vessel revenues		$	80,993				100	%		$	111,974				100	%
Vessel operating costs:
Crew costs		$	35,162				43	%		$	44,487				40	%
Repair and maintenance			9,437				12	%			10,598				9	%
Insurance			623				1	%			1,785				2	%
Fuel, lube and supplies			5,860				7	%			9,752				9	%
Other			9,938				12	%			12,203				11	%
Total vessel operating costs			61,020				75	%			78,825				70	%
Vessel operating margin (A)		$	19,973				25	%		$	33,149				30	%

Note (A):  Vessel operating margin equals revenues less vessel operating costs and excludes general and administrative expenses and depreciation and amortization.

The company’s operating loss and other components of loss before income taxes and its related percentage of total revenues, were as follows:
		Three Months Ended
		March 31,								March 31,
		2021								2020
(In thousands)						%								%
Vessel operating profit (loss):
Americas		$	(1,651	)			(2	)%		$	(1,164	)			(1	)%
Middle East/Asia Pacific			(1,853	)			(2	)%			(856	)			(1	)%
Europe/Mediterranean			(8,021	)			(10	)%			1,547				1	%
West Africa			(6,767	)			(8	)%			(4,863	)			(4	)%
Other operating profit			1,444				2	%			1,721				1	%
			(16,848	)			(20	)%			(3,615	)			(3	)%
Corporate expenses (A)			(7,505	)			(9	)%			(10,042	)			(9	)%
Gain (loss) on asset dispositions, net			(1,948	)			(2	)%			5,331				5	%
Long-lived asset impairments and other			—				0	%			(10,207	)			(9	)%
Operating loss		$	(26,301	)			(31	)%		$	(18,533	)			(16	)%

Note (A):  General and administrative expenses for the three months ended March 31, 2021 and 2020 include stock-based compensation of $1.2 million and $1.3 million, respectively. In addition, vessel operating and general and administrative costs for the three months ended March 31, 2021 and 2020, respectively, both included $0.1 million in one-time restructuring and integration related costs.

TIDEWATER INC. CONSOLIDATED STATEMENTS OF EARNINGS (LOSS) – QUARTERLY DATA (Unaudited) (In thousands, except per share data)
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
Revenues:
Vessel revenues		$	80,993				87,830				85,395				100,975				111,974
Other operating revenues			2,511				4,029				1,072				1,369				4,394
Total revenues			83,504				91,859				86,467				102,344				116,368
Costs and expenses:
Vessel operating costs (A)			61,020				63,397				61,784				64,774				78,825
Costs of other operating revenue			1,067				342				219				171				2,673
General and administrative (A)			16,043				16,992				17,438				17,597				21,420
Depreciation and amortization			29,727				30,681				30,777				28,144				27,107
Long-lived asset impairments and other			—				6,475				1,945				55,482				10,207
Affiliate credit loss impairment expense			—				(600	)			—				53,581				—
Affiliate guarantee obligation			—				—				—				2,000				—
(Gain) loss on asset dispositions, net			1,948				(80	)			(520	)			(1,660	)			(5,331	)
Total operating costs and expenses			109,805				117,207				111,643				220,089				134,901
Operating loss			(26,301	)			(25,348	)			(25,176	)			(117,745	)			(18,533	)
Other income (expense):
Foreign exchange gain (loss)			(850	)			(2,880	)			(1,153	)			(2,076	)			864
Equity in net earnings (losses) of unconsolidated companies			(1,849	)			164				—				—				—
Dividend income from unconsolidated company			—				—				—				17,150				—
Interest income and other, net			23				144				272				696				116
Interest and other debt costs, net			(4,541	)			(5,984	)			(6,071	)			(5,959	)			(6,142	)
Total other expense			(7,217	)			(8,556	)			(6,952	)			9,811				(5,162	)
Loss before income taxes			(33,518	)			(33,904	)			(32,128	)			(107,934	)			(23,695	)
Income tax (benefit) expense			2,009				(4,477	)			5,953				2,730				(5,171	)
Net loss			(35,527	)			(29,427	)			(38,081	)			(110,664	)			(18,524	)
Net income (loss) attributable to noncontrolling interests			(212	)			(180	)			(154	)			(41	)			(79	)
Net loss attributable to Tidewater Inc.		$	(35,315	)			(29,247	)			(37,927	)			(110,623	)			(18,445	)
Basic loss per common share			(0.87	)			(0.72	)			(0.94	)			(2.74	)			(0.46	)
Diluted loss per common share			(0.87	)			(0.72	)			(0.94	)			(2.74	)			(0.46	)
Weighted average common shares outstanding			40,716				40,604				40,405				40,306				40,101
Dilutive effect of stock options and restricted stock			—				—				—				—				—
Adjusted weighted average common shares			40,716				40,604				40,405				40,306				40,101
Vessel operating margin		$	19,973				24,433				23,611				36,201				33,149
Note (A) One-time restructuring and integration related costs		$	103				291				641				446				129

TIDEWATER INC. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (In thousands)
		March 31,				December 31,				September 30,				June 30,				March 31,
ASSETS		2021				2020				2020				2020				2020
Current assets:
Cash and cash equivalents		$	131,858				149,933				192,243				203,119				187,802
Restricted cash			9,061				2,079				26,401				19,880				12,461
Trade and other receivables, net			99,865				112,623				100,583				115,008				119,455
Due from affiliate, net			62,474				62,050				65,692				65,766				128,204
Marine operating supplies			15,676				15,876				17,808				20,580				21,944
Assets held for sale			31,214				34,396				19,163				29,064				26,142
Prepaid expenses and other current assets			13,594				11,692				18,925				20,350				22,185
Total current assets			363,742				388,649				440,815				473,767				518,193
Net properties and equipment			754,707				780,318				820,876				839,912				922,979
Deferred drydocking and survey costs			46,648				56,468				63,975				74,585				81,981
Other assets			23,833				25,742				25,108				27,411				29,971
Total assets		$	1,188,930				1,251,177				1,350,774			$	1,415,675			$	1,553,124
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable		$	14,622				16,981				12,953				17,111				30,711
Accrued expenses			48,466				52,422				55,811				60,993				72,854
Due to affiliates			56,356				53,194				53,355				48,803				50,013
Current portion of long-term debt			18,201				27,797				9,576				9,437				9,104
Other current liabilities			35,003				32,785				31,599				25,815				26,953
Total current liabilities			172,648				183,179				163,294				162,159				189,635
Long-term debt			148,337				164,934				246,179				273,215				273,015
Other liabilities and deferred credits			79,234				79,792				87,724				90,301				91,578
Equity:
Common stock			41				41				40				40				40
Additional paid-in-capital			1,372,846				1,371,809				1,370,778				1,369,645				1,368,325
Accumulated deficit			(584,246	)			(548,931	)			(519,684	)			(481,757	)			(371,134	)
Accumulated other comprehensive income (loss)			(875	)			(804	)			1,106				581				133
Total stockholder's equity			787,766				822,115				852,240				888,509				997,364
Noncontrolling interests			945				1,157				1,337				1,491				1,532
Total equity			788,711				823,272				853,577				890,000				998,896
Total liabilities and equity		$	1,188,930				1,251,177				1,350,774				1,415,675				1,553,124
Supplemental information
Due from related parties, net of due to related parties:
Sonatide (Angola)		$	6,118				8,856				12,337				16,963				64,184
DTDW (Nigeria)			—				—				—				—				14,007
Total		$	6,118				8,856				12,337				16,963				78,191

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In thousands)
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
VESSEL REVENUE BY VESSEL CLASS
Americas fleet:
Deepwater		$	19,876				25,706				22,836				27,858				22,882
Towing-supply			4,817				4,603				4,119				4,455				7,243
Other			1,531				1,759				1,750				1,731				1,734
Total			26,224				32,068				28,705				34,044				31,859
Middle East/Asia Pacific fleet:
Deepwater		$	15,931				16,822				13,819				14,195				14,326
Towing-supply			8,483				8,220				9,461				9,788				10,502
Total			24,414				25,042				23,280				23,983				24,828
Europe/Mediterranean fleet:
Deepwater		$	14,588				15,621				17,578				20,476				29,163
Towing-supply			—				—				(13	)			—				179
Other			161				154				151				144				149
Total			14,749				15,775				17,716				20,620				29,491
West Africa fleet:
Deepwater		$	7,909				6,237				4,905				8,748				12,102
Towing-supply			4,879				5,202				7,711				11,029				10,521
Other			2,818				3,506				3,078				2,552				3,173
Total		$	15,606				14,945				15,694				22,329				25,796
Worldwide fleet:
Deepwater		$	58,304				64,386				59,137				71,277				78,473
Towing-supply			18,179				18,025				21,278				25,271				28,445
Other			4,510				5,419				4,980				4,427				5,056
Total		$	80,993				87,830				85,395				100,975				111,974

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
AVERAGE NUMBER OF VESSELS:
Americas fleet:
Deepwater			29				32				32				32				32
Towing-supply			8				10				12				15				17
Other			3				3				3				3				3
Total			40				45				47				50				52
Stacked vessels			(12	)			(15	)			(17	)			(17	)			(17	)
Active vessels			28				30				30				33				35
Middle East/Asia Pacific fleet:
Deepwater			21				21				22				26				27
Towing-supply			20				22				23				26				28
Total			41				43				45				52				55
Stacked vessels			(3	)			(3	)			(4	)			(9	)			(10	)
Active vessels			38				40				41				43				45
Europe/Mediterranean fleet:
Deepwater			31				31				32				36				39
Towing-supply			—				—				—				1				2
Total			31				31				32				37				41
Stacked vessels			(14	)			(16	)			(17	)			(17	)			(11	)
Active vessels			17				15				15				20				30
West Africa fleet:
Deepwater			20				20				25				26				26
Towing-supply			12				13				17				18				19
Other			26				23				16				19				20
Total			58				56				58				63				65
Stacked vessels			(25	)			(26	)			(31	)			(21	)			(21	)
Active vessels			33				30				27				42				44
Worldwide fleet:
Deepwater			101				104				111				120				124
Towing-supply			40				45				52				60				66
Other			29				26				19				22				23
Total			170				175				182				202				213
Stacked vessels			(54	)			(60	)			(69	)			(64	)			(60	)
Active vessels			116				115				113				138				153
Total active			116				115				113				138				153
Total stacked			54				60				69				64				60
Total joint venture and other vessels			3				3				3				3				3
Total			173				178				185				205				216

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
AVAILABLE DAYS - TOTAL FLEET:
Americas fleet:
Deepwater			2,627				2,944				2,996				2,940				2,873
Towing-supply			720				898				1,098				1,329				1,547
Other			270				276				276				273				285
Total			3,617				4,118				4,370				4,542				4,705
Middle East/Asia Pacific fleet:
Deepwater			1,863				1,932				2,025				2,411				2,496
Towing-supply			1,822				2,032				2,118				2,342				2,512
Total			3,685				3,964				4,143				4,753				5,008
Europe/Mediterranean fleet:
Deepwater			2,756				2,852				2,916				3,256				3,581
Towing-supply			—				—				24				91				122
Total			2,756				2,852				2,940				3,347				3,703
West Africa fleet:
Deepwater			1,827				1,840				2,269				2,366				2,366
Towing-supply			1,084				1,196				1,588				1,654				1,729
Other			2,340				2,095				1,469				1,698				1,820
Total			5,251				5,131				5,326				5,718				5,915
Worldwide fleet:
Deepwater			9,073				9,568				10,206				10,973				11,316
Towing-supply			3,626				4,126				4,828				5,416				5,910
Other			2,610				2,371				1,745				1,971				2,105
Total			15,309				16,065				16,779				18,360				19,331

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
OUT-OF-SERVICE - STACKED DAYS:
Americas fleet:
Deepwater			923				1,105				1,134				863				873
Towing-supply			90				189				362				601				593
Other			90				92				92				91				103
Total			1,103				1,386				1,588				1,555				1,569
Middle East/Asia Pacific fleet:
Deepwater			90				92				185				500				546
Towing-supply			180				177				186				310				396
Total			270				269				371				810				942
Europe/Mediterranean fleet:
Deepwater			1,238				1,448				1,522				1,422				1,004
Towing-supply			—				—				24				91				—
Total			1,238				1,448				1,546				1,513				1,004
West Africa fleet:
Deepwater			1,104				1,288				1,809				919				819
Towing-supply			544				644				882				563				469
Other			599				417				181				446				637
Total			2,247				2,349				2,872				1,928				1,925
Worldwide fleet:
Deepwater			3,355				3,933				4,650				3,704				3,242
Towing-supply			814				1,010				1,454				1,565				1,458
Other			689				509				273				537				740
Total			4,858				5,452				6,377				5,806				5,440

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
AVAILABLE DAYS - ACTIVE FLEET:
Americas fleet:
Deepwater			1,704				1,839				1,862				2,077				2,000
Towing-supply			630				709				736				728				954
Other			180				184				184				182				182
Total			2,514				2,732				2,782				2,987				3,136
Middle East/Asia Pacific fleet:
Deepwater			1,773				1,840				1,840				1,911				1,950
Towing-supply			1,642				1,855				1,932				2,032				2,116
Total			3,415				3,695				3,772				3,943				4,066
Europe/Mediterranean fleet:
Deepwater			1,518				1,404				1,394				1,834				2,577
Towing-supply			—				—				—				—				122
Total			1,518				1,404				1,394				1,834				2,699
West Africa fleet:
Deepwater			723				552				460				1,447				1,547
Towing-supply			540				552				706				1,091				1,260
Other			1,741				1,678				1,288				1,252				1,183
Total			3,004				2,782				2,454				3,790				3,990
Worldwide fleet:
Deepwater			5,718				5,635				5,556				7,269				8,074
Towing-supply			2,812				3,116				3,374				3,851				4,452
Other			1,921				1,862				1,472				1,434				1,365
Total			10,451				10,613				10,402				12,554				13,891

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
UTILIZATION - TOTAL FLEET:
Americas fleet:
Deepwater			55.6	%			53.2	%			51.7	%			64.3	%			57.7	%
Towing-supply			83.2				67.7				50.0				43.5				54.9
Other			55.7				66.7				66.7				65.2				63.1
Total			61.1	%			57.2	%			52.2	%			58.3	%			57.1	%
Middle East/Asia Pacific fleet:
Deepwater			80.1	%			78.2	%			67.4	%			57.9	%			56.8	%
Towing-supply			75.6				62.5				72.3				68.2				69.2
Total			77.9	%			70.2	%			69.9	%			63.0	%			63.0	%
Europe/Mediterranean fleet:
Deepwater			44.7	%			44.7	%			45.5	%			49.9	%			64.2	%
Towing-supply			—				—				—				—				46.7
Total			44.7	%			44.7	%			45.1	%			48.6	%			63.6	%
West Africa fleet:
Deepwater			36.2	%			27.2	%			17.5	%			31.1	%			41.5	%
Towing-supply			30.1				30.8				28.4				41.3				45.5
Other			34.4				42.3				53.1				39.2				51.5
Total			34.1	%			34.2	%			30.6	%			36.5	%			45.7	%
Worldwide fleet:
Deepwater			53.4	%			50.7	%			45.4	%			51.5	%			56.2	%
Towing-supply			63.5				54.4				52.4				52.8				58.0
Other			36.6				45.2				55.3				42.8				53.1
Total			52.9	%			50.9	%			48.5	%			50.9	%			56.4	%

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
UTILIZATION - ACTIVE FLEET:
Americas fleet:
Deepwater			85.7	%			85.1	%			83.2	%			91.0	%			72.8	%
Towing-supply			95.1				85.7				74.6				79.4				89.0
Other			83.6				100.0				100.0				97.8				98.8
Total			87.9	%			86.3	%			82.0	%			88.6	%			85.7	%
Middle East/Asia Pacific fleet:
Deepwater			84.2	%			82.1	%			74.2	%			73.1	%			72.8	%
Towing-supply			83.9				68.5				79.2				78.6				82.2
Total			84.0	%			75.3	%			76.8	%			75.9	%			77.7	%
Europe/Mediterranean fleet:
Deepwater			81.3	%			90.9	%			95.1	%			88.6	%			89.2	%
Towing-supply			—				—				—				—				46.7
Total			81.3	%			90.9	%			95.1	%			88.6	%			87.3	%
West Africa fleet:
Deepwater			91.4	%			90.8	%			86.2	%			50.9	%			63.4	%
Towing-supply			60.4				66.7				63.8				62.6				62.4
Other			46.2				52.9				60.6				53.2				79.2
Total			59.6	%			63.1	%			66.3	%			55.0	%			67.8	%
Worldwide fleet:
Deepwater			84.8	%			86.1	%			83.4	%			77.7	%			78.8	%
Towing-supply			81.9				72.1				75.0				74.2				77.0
Other			49.7				57.5				65.5				58.9				81.9
Total			77.6	%			77.0	%			78.2	%			74.5	%			78.5	%

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
AVERAGE VESSEL DAY RATES: (A)
Americas fleet:
Deepwater		$	13,608				16,416				14,743				14,738				13,793
Towing-supply			8,040				7,576				7,506				7,707				8,532
Other			10,179				9,559				9,514				9,723				9,638
Total		$	11,865				13,602				12,581				12,865				11,854
Middle East/Asia Pacific fleet:
Deepwater		$	10,670				11,129				10,127				10,161				10,097
Towing-supply			6,159				6,471				6,180				6,128				6,041
Total		$	8,506				9,002				8,040				8,009				7,863
Europe/Mediterranean fleet:
Deepwater		$	11,829				12,368				13,257				12,600				12,682
Towing-supply			—				—				—				—				3,138
Total		$	11,960				12,368				13,361				12,689				12,514
West Africa fleet:
Deepwater		$	11,972				12,449				12,365				11,891				12,337
Towing-supply			14,967				14,136				17,122				16,158				13,389
Other			3,501				3,952				3,944				3,829				3,384
Total		$	8,711				8,510				9,643				10,711				9,539
Worldwide fleet:
Deepwater		$	12,028				13,265				12,756				12,620				12,342
Towing-supply			7,896				8,026				8,411				8,843				8,292
Other			4,721				5,059				5,163				5,243				4,524
Total		$	9,993				10,749				10,503				10,799				10,267

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

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In thousands)
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
Americas
Vessel revenues		$	26,224				32,068				28,705				34,044				31,859
Vessel operating costs:
Crew costs		$	10,594				12,795				11,711				13,138				14,186
Repair and maintenance			2,714				2,065				1,259				1,703				2,171
Insurance			200				402				426				427				417
Fuel, lube and supplies			1,774				1,822				1,754				1,373				2,615
Other			1,980				2,306				2,486				1,956				2,673
Total vessel operating costs		$	17,262				19,390				17,636				18,597				22,062
Vessel operating margin ($)		$	8,962				12,678				11,069				15,447				9,797
Vessel operating margin (%)			34.2	%			39.5	%			38.6	%			45.4	%			30.8	%
Americas - Select operating statistics
Average vessels - Total fleet			40				45				47				50				52
Utilization - Total fleet			61.1	%			57.2	%			52.2	%			58.3	%			57.1	%
Average vessels - Active fleet			28				30				30				33				35
Utilization - Active fleet			87.9	%			86.3	%			82.0	%			88.6	%			85.7	%
Average day rates		$	11,865				13,602				12,581				12,865				11,854
Vessels commencing drydocks			1				1				—				5				5
Deferred drydocking and survey costs - beginning balance		$	15,440				17,774				20,024				21,599				18,561
Cash paid for deferred drydocking and survey costs			881				1,015				1,086				1,819				5,912
Amortization of deferred drydocking and survey costs			(3,222	)			(3,349	)			(3,336	)			(3,394	)			(2,874	)
Disposals, intersegment transfers and other			(1,286	)			—				—				—				—
Deferred drydocking and survey costs - ending balance		$	11,813				15,440				17,774				20,024				21,599

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In thousands)
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
Middle East/Asia Pacific
Vessel revenues		$	24,414				25,042				23,280				23,983				24,828
Vessel operating costs:
Crew costs		$	9,639				9,982				10,468				8,726				10,085
Repair and maintenance			2,659				2,899				2,385				2,196				2,586
Insurance			(224	)			452				562				739				591
Fuel, lube and supplies			1,569				1,924				1,783				1,405				2,665
Other			2,959				3,532				2,057				2,412				1,696
Total vessel operating costs		$	16,602				18,789				17,255				15,478				17,623
Vessel operating margin ($)		$	7,812				6,253				6,025				8,505				7,205
Vessel operating margin (%)			32.0	%			25.0	%			25.9	%			35.5	%			29.0	%
Middle East/Asia Pacific - Select operating statistics
Average vessels - Total fleet			41				43				45				52				55
Utilization - Total fleet			77.9	%			70.2	%			69.9	%			63.0	%			63.0	%
Average vessels - Active fleet			38				40				41				43				45
Utilization - Active fleet			84.0	%			75.3	%			76.8	%			75.9	%			77.7	%
Average day rates		$	8,506				9,002				8,040				8,009				7,863
Vessels commencing drydocks			—				3				—				—				5
Deferred drydocking and survey costs - beginning balance		$	17,031				18,666				21,116				23,139				16,513
Cash paid for deferred drydocking and survey costs			72				1,447				386				850				8,897
Amortization of deferred drydocking and survey costs			(3,114	)			(3,082	)			(3,036	)			(2,589	)			(2,271	)
Disposals, intersegment transfers and other			—				—				200				(284	)			—
Deferred drydocking and survey costs - ending balance			13,989				17,031				18,666				21,116				23,139

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In thousands)
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
Europe/Mediterranean
Vessel revenues		$	14,749				15,775				17,716				20,620				29,491
Vessel operating costs:
Crew costs		$	9,022				8,179				7,952				9,707				11,696
Repair and maintenance			1,673				1,133				869				1,278				3,141
Insurance			299				297				448				420				431
Fuel, lube and supplies			759				710				592				924				1,098
Other			1,707				1,214				1,274				1,547				2,522
Total vessel operating costs		$	13,460				11,533				11,135				13,876				18,888
Vessel operating margin ($)		$	1,289				4,243				6,581				6,744				10,603
Vessel operating margin (%)			8.7	%			26.9	%			37.1	%			32.7	%			36.0	%
Europe/Mediterranean - Select operating statistics
Average vessels - Total fleet			31				31				32				37				41
Utilization - Total fleet			44.7	%			44.7	%			45.1	%			48.6	%			63.6	%
Average vessels - Active fleet			17				15				15				20				30
Utilization - Active fleet			81.3	%			90.9	%			95.1	%			88.6	%			87.3	%
Average day rates		$	11,960				12,368				13,361				12,689				12,514
Vessels commencing drydocks			3				4				—				—				2
Deferred drydocking and survey costs - beginning balance		$	7,317				7,147				9,143				10,387				9,406
Cash paid for deferred drydocking and survey costs			2,067				1,710				(361	)			517				2,591
Amortization of deferred drydocking and survey costs			(1,653	)			(1,540	)			(1,635	)			(1,710	)			(1,610	)
Disposals, intersegment transfers and other			—				—				—				(51	)			—
Deferred drydocking and survey costs - ending balance		$	7,731				7,317				7,147				9,143				10,387

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In thousands)
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
West Africa
Vessel revenues		$	15,606				14,945				15,694				22,328				25,796
Vessel operating costs:
Crew costs		$	5,907				5,804				6,555				7,120				8,520
Repair and maintenance			2,391				1,930				1,419				1,479				2,700
Insurance			348				296				517				424				346
Fuel, lube and supplies			1,758				1,765				2,628				2,681				3,374
Other			3,292				3,890				4,639				5,119				5,312
Total vessel operating costs		$	13,696				13,685				15,758				16,823				20,252
Vessel operating margin ($)		$	1,910				1,260				(64	)			5,505				5,544
Vessel operating margin (%)			12.2	%			8.4	%			(0.4	)%			24.7	%			21.5	%
West Africa - Select operating statistics
Average vessels - Total fleet			58				56				58				63				65
Utilization - Total fleet			34.1	%			34.2	%			30.6	%			36.5	%			45.7	%
Average vessels - Active fleet			33				30				27				42				44
Utilization - Active fleet			59.6	%			63.1	%			66.3	%			55.0	%			67.8	%
Average day rates		$	8,711				8,510				9,643				10,711				9,539
Vessels commencing drydocks			—				—				—				—				3
Deferred drydocking and survey costs - beginning balance		$	16,680				20,388				24,301				26,856				22,456
Cash paid for deferred drydocking and survey costs			(298	)			(400	)			(576	)			911				7,467
Amortization of deferred drydocking and survey costs			(3,268	)			(3,294	)			(3,426	)			(3,466	)			(3,067	)
Disposals, intersegment transfers and other			1				(14	)			89				—				—
Deferred drydocking and survey costs - ending balance		$	13,115				16,680				20,388				24,301				26,856

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In thousands)
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
Worldwide
Vessel revenues		$	80,993				87,830				85,395				100,975				111,974
Vessel operating costs:
Crew costs		$	35,162				36,760				36,686				38,691				44,487
Repair and maintenance			9,437				8,027				5,932				6,656				10,598
Insurance			623				1,447				1,953				2,010				1,785
Fuel, lube and supplies			5,860				6,221				6,757				6,383				9,752
Other			9,938				10,942				10,456				11,034				12,203
Total vessel operating costs		$	61,020				63,397				61,784				64,774				78,825
Vessel operating margin ($)		$	19,973				24,434				23,611				36,201				33,149
Vessel operating margin (%)			24.7	%			27.8	%			27.6	%			35.9	%			29.6	%
Worldwide - Select operating statistics
Average vessels - Total fleet			170				175				182				202				213
Utilization - Total fleet			52.9	%			50.9	%			48.5	%			50.9	%			56.4	%
Average vessels - Active fleet			116				115				113				138				153
Utilization - Active fleet			77.6	%			77.0	%			78.2	%			74.5	%			78.5	%
Average day rates		$	9,993				10,749				10,503				10,799				10,267
Vessels commencing drydocks			4				8				—				5				15
Deferred drydocking and survey costs - beginning balance		$	56,468				63,975				74,584				81,981				66,936
Cash paid for deferred drydocking and survey costs			2,722				3,772				535				4,097				24,867
Amortization of deferred drydocking and survey costs			(11,257	)			(11,265	)			(11,433	)			(11,159	)			(9,822	)
Disposals, intersegment transfers and other			(1,285	)			(14	)			289				(335	)			—
Deferred drydocking and survey costs - ending balance		$	46,648				56,468				63,975				74,584				81,981

TIDEWATER INC. UNAUDITED OTHER FLEET AND FINANCIAL DATA (In thousands)
		Three Months Ended
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
Net loss		$	(35,527	)			(29,427	)			(38,081	)			(110,664	)			(18,524	)
Interest and other debt costs			4,541				5,984				6,071				5,959				6,142
Income tax (benefit) expense			2,009				(4,477	)			5,953				2,730				(5,171	)
Depreciation			18,470				19,416				19,343				16,986				17,285
Amortization of deferred drydock and survey costs			11,257				11,265				11,434				11,158				9,822
EBITDA (A), (B), (C)		$	750				2,761				4,720				(73,831	)			9,554
Long-lived asset impairments and other			—				6,475				1,945				55,482				10,207
Affiliate credit loss impairment expense			—				(600	)			—				53,581				—
Affiliate guarantee obligation			—				—				—				2,000				—
One-time integration related costs			—				291				641				446				129
Adjusted EBITDA (A), (B), (C)		$	750				8,927				7,306				37,678				19,890

Note (A):  EBITDA excludes interest and other debt costs, income tax expense, depreciation and amortization. Additionally, Adjusted EBITDA excludes impairment charges, and merger and integration related costs.

Note (B):  EBITDA and Adjusted EBITDA for the three months ended March 31, 2021, and for each of the prior four quarters includes non-cash, stock-based compensation expense of $1,172, $1,158, $1,223, $1,401, and $1,335 respectively.

Note (C):  EBITDA and Adjusted EBITDA for the three months ended March 31, 2021, and for each of the prior four quarters includes foreign exchange gains (losses) of $(850), $(2,880), $(1,153), $(2,076), and $864, 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 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
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
Net cash provided by (used in) operating activities (A)		$	5,716				2,180				14,629				14,702				(27,525	)
Cash interest expense			3,746				5,066				5,435				5,292				5,442
Interest income and other			(23	)			(144	)			(272	)			(696	)			(116	)
Additions to property and equipment			(1,196	)			(10,218	)			(607	)			(1,626	)			(2,449	)
Expansion capital			—				5,300				—				—				—
Free cash flow before proceeds from asset sales			8,243				2,184				19,185				17,672				(24,648	)
Proceeds from asset sales			10,983				6,798				10,592				11,454				9,452
Free cash flow		$	19,226				8,982				29,777				29,126				(15,196	)

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 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
		March 31,				December 31,				September 30,				June 30,				March 31,
		2021				2020				2020				2020				2020
Cash provided by (used in) changes in assets and liabilities, excluding drydock payments		$	9,921				(4,915	)			18,858				(10,373	)			(18,127	)
Cash paid for deferred drydock and survey costs			(2,722	)			(3,772	)			(535	)			(4,097	)			(24,867	)
Total sources (uses) of cash for changes in assets and liabilities		$	7,199				(8,687	)			18,323				(14,470	)			(42,994	)

 

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FAQ

What were Tidewater's Q1 2021 revenue and net loss figures?

Tidewater reported Q1 2021 revenue of $83.5 million and net losses of $35.3 million.

How much free cash flow did Tidewater generate in Q1 2021?

Tidewater generated $19.2 million in free cash flow for the first quarter of 2021.

What was the decline in Tidewater's revenue compared to Q1 2020?

Tidewater's revenue declined by 28% compared to Q1 2020.

How much did Tidewater reduce its debt by in the first quarter of 2021?

Tidewater reduced its outstanding debt by $26.4 million in Q1 2021.