- Valaris ( NYSE: VAL ) reported third results late Monday that moved past Wall Street estimates .
- The offshore rig operator generated earnings of $0.98 per share on revenue of $437M that grew 33.8% Y/Y. Excluding reimbursable items, revenues increased to $416M from $385M in the second quarter. The increase was primarily driven by higher utilization for floaters and higher average day rates for both the floater and jackup fleets.
- Net income was $78M compared to loss of $52.8M in the same quarter a year ago. Adjusted EBITDA also grew from $29M in Q2 to increased to $76M.
- CEO Anton Dibowitz said, "We believe that the outlook for commodity supply and demand, and the significant reduction in excess rig capacity over the past several years, lay the foundation for a sustained upcycle. We retain significant operational leverage to the improving market through our high-quality stacked fleet and will continue to exercise our operational leverage in a disciplined manner to help maximize future earnings and free cash flow."
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Valaris Q3 earnings exceed estimates