SBM Offshore N.V.

H1 2026 directional revenue was $4.9 billion, up from around $2.3 billion in H1 2025. Directional EBITDA was $1.3 billion, almost double the year-ago period. Turnkey revenue was above $3.7 billion versus around $1.3 billion a year ago, and Lease and Operate revenue was around $1.2 billion versus around $1 billion. Turnkey EBITDA was $813 million, Lease and Operate EBITDA was around $547 million, and other EBITDA was around $50 million negative. Backlog increased to a record $35.6 billion, and net debt was $3.7 billion with a pro forma leverage ratio of around 1.6x EBITDA. Management raised 2026 directional revenue guidance from above $6.9 billion to around $7.6 billion, with around $2.4 billion expected from Lease and Operate and around $5.2 billion from Turnkey, and raised directional EBITDA guidance from around $1.8 billion to around $1.9 billion. The company also expects around $8 billion from backlog on a net cash basis.

Oivind Tangen said the first half confirmed the strength of SBM Offshore’s model: disciplined execution, robust client demand, and profitable growth from core offshore energy production. He emphasized that recent awards in Brazil and Guyana reinforce the company’s position in lower-cost, lower-carbon deepwater markets and support long-term growth. His tone was confident but disciplined, repeatedly stressing standardization, execution quality, and selective capital allocation rather than growth at any cost.

Douglas Wood tied the guidance increase to strong execution, the addition of SEAP awards, and the sale of One Guyana plus a stake in FSO Chalchi. He said backlog rose to $35.6 billion and net debt fell to $3.7 billion, with leverage around 1.6x EBITDA, while noting leverage may move up temporarily this year because of Jaguar and Chalchi financing and timing of milestone payments. He also reconfirmed the $100 million interim dividend for 2026, said $118 million had already been spent on buybacks to repurchase around 3 million shares, and reiterated a minimum $2.1 billion of shareholder returns across 2026 to 2031.

Analysts pressed management on execution capacity, asking whether the six-project in-house limit was really a hard cap; management said the constraint is not one single phase but a mix of engineering, procurement, yard capacity, and project management, and that standardization and partnerships allow it to scale beyond six without compromising quality. They also asked about Venus in Namibia, where management declined to comment on bid status but said Namibia is strategically important and that SBM keeps only a very small local structure with limited cost and high upside. Other questions focused on working capital, tax, and guidance; management said H1 taxes were unusually low because One Guyana had already been taxed, Chalchi had only a small EBITDA effect, and working capital will remain volatile because of Sale and Operate timing and new hull investment.