Bristow Group Inc.

Bristow said Q2 total revenues were $23.1 million higher than Q1 and adjusted EBITDA was $20.5 million higher, driven by higher utilization in Other Services, higher fuel revenues and rates in OES, and lower repairs and maintenance costs. As of June 2026, unrestricted cash was $312 million and total available liquidity was approximately $372 million. Net cash provided by operating activities was $41.4 million in Q2 versus net cash used of $8.3 million in Q1. The company reaffirmed full-year 2026 guidance of $1.6 billion to $1.7 billion in total revenues and $295 million to $325 million in adjusted EBITDA. Segment guidance was updated to OES revenue not specified but adjusted operating income of $235 million to $245 million, Government Services revenue of $475 million to $495 million and adjusted operating income of $55 million to $65 million, and Other Services revenue of $155 million to $175 million and adjusted operating income of $25 million to $30 million.

Chris Bradshaw framed the quarter as a step in a “transformational year,” highlighting the Berry deal, the Norway exit, and Bristow’s expanded global footprint across 6 continents and 20 countries. He emphasized three long-term growth themes: rising defense spending, energy security, and electrification of transportation. His tone was constructive and confident, but he acknowledged that supply-chain problems are still delaying aircraft deliveries and affecting government-contract transitions.

Jennifer Whalen said Q2 benefited sequentially from higher revenues and lower repairs and maintenance, and she gave specific segment drivers for the improvements. In OES, higher rates and fuel revenues, lower operating expenses, and higher affiliate earnings helped lift adjusted operating income; in Government Services, higher revenues were offset by elevated transition costs, KPI penalties, overtime, and fuel-price timing issues; and in Other Services, seasonal activity and fuel revenues improved results. She noted unrestricted cash of $312 million, total liquidity of about $372 million, and that operating cash flow improved to $41.4 million in Q2, while working capital uses remained elevated from receivables, start-up costs, and payment timing. She also reiterated capital allocation priorities: protect the balance sheet, complete growth-related investments, and return capital to shareholders, including the $0.125 per share dividend declared on July 30.

Analysts focused on the updated OES guidance, offshore utilization, the Norway sale, government-services transition costs, Berry’s contract structure, supply-chain delays, and free cash flow. Management said OES performance was better than expected on both rate and activity, and that it now has more certainty around revenue; Chris Bradshaw added that offshore utilization remains tight, second-half 2026 flight hours should be slightly higher, and 2027 looks more like the inflection point for incremental offshore projects. On government services, Whalen said most transition costs should fall away in 2026, with some people- and lease-related costs carrying into very early 2027. On capital allocation, management said it has no net debt target, share repurchases will be opportunistic, and M&A remains a possible use of capital, especially tuck-in deals in government and military aviation.