Oceaneering International, Inc.

Second-quarter 2026 revenue increased 10% year over year to $768 million. Operating income rose 11% to $88.2 million, net income attributable to Oceaneering increased 19% to $65 million, or $0.65 per share, and adjusted EBITDA increased 11% to $115 million, which management said exceeded the high end of guidance. Cash from operating activities was $55.2 million, capital expenditures were $23.2 million, free cash flow was $32 million, and the company ended with $629 million of cash and $844 million of total liquidity, with no borrowings on the revolver. For the third quarter, management expects adjusted EBITDA of $115 million-$125 million. For full-year 2026, adjusted EBITDA guidance was raised to $400 million-$440 million. They also said IMDS operating income is now expected to decrease significantly versus 2025, with margin in the low single-digit % range.

Rod Larson framed the quarter as evidence of strong execution across a diversified portfolio and said the business is building momentum. He highlighted energy-side growth around SSR and OPG, plus expanding defense activity in ADTech, including the Kongsberg partnership and the DIU award for an Extra-Large Unmanned Underwater Vehicle. His tone was optimistic but measured: he emphasized organic investment first, inorganic growth second, and continued share buybacks as the primary capital return priority.

Mike Summerall focused on the beat versus guidance and the financial details behind it. He cited 10% revenue growth to $768 million, 11% adjusted EBITDA growth to $115 million, and free cash flow of $32 million after $23.2 million of capex. He also outlined balance sheet actions: a $500 million 2034 senior notes issuance used to retire $500 million of 2028 notes, plus an expanded revolver from $215 million to $345 million with maturity extended to July 2031. Capital return resumed with $10 million of share repurchases during the quarter.

Analysts focused on capital allocation, offshore activity timing, ROV utilization, and the new defense opportunity. Management said buybacks remain primary for capital returns, but they also want to invest in core energy assets and expand defense exposure organically and potentially through selected acquisitions. On offshore timing, Rod Larson said the inflection is already starting rather than appearing as a sharp step-change, with utilization expected to improve gradually and possibly carry into early 2027. On defense, management said the Kongsberg/U.S. Navy work is currently about delivering the design, so revenue beyond that depends on customer budget and use case.