Bristow beats expectations on Q2 revenue growth; lifts outlook

Bristow’s Q2 revenue rose 6.7% year-over-year to reach $359.7m.

Bristow Group’s revenue in the second quarter of 2024 rose 6.7% year-over-year to $359.7m from $337.1m in the same period last year from higher utilisation and increased rates in offshore energy services (OES) and fixed-wing services.

Segment-wise, more than two-thirds of the total revenue came from OES, 23% from government services while fixed-wing services contributed the remainder.

Geographic breakdown showed 51% of the revenue came from Europe, 29% from Americas while 13% and 7% came from Africa and Asia Pacific countries (APACs), respectively.

Higher revenues trickled down to the bottom line as the company’s posted second-quarter profit of $28.2m from a loss of $1.6m in the same period last year. This translated into earnings per share of $0.96 compared with a loss of $0.06.

Overall improvement in both top and bottom line prompted the company to raise its 2024 and 2025 outlook.

“In conjunction with Bristow’s very strong second quarter financial results, we are pleased to raise the company’s adjusted EBITDA guidance range to $210-230m in 2024 and $230-260m in 2025,” said Chris Bradshaw, president and CEO, Bristow Group.

“This financial outlook is aligned with our conviction that we are in the early stages of a multi-year growth cycle. The growth and diversification of our government services business, along with an accelerating offshore energy upcycle and tight supply dynamic, are increasing the Company’s visibility for significant improvements in margins, free cash flow and capital returns.”

In terms of available liquidity, the company had $178.6m of unrestricted cash and $67.8m of remaining availability under its amended asset-based revolving credit facility for total liquidity of $246.4m at the end of June 30, 2024.

Earlier in June 2024, Bristow entered into a long-term equipment financing for an aggregate amount of up to €100m ($109m) with National Westminster Bank as the original lender and UK Export Finance guaranteeing 80% of the facility.

The company had said that the financing will be used to primarily to acquire five new AW189 aircraft to service the Irish Coast Guard contract.

As of July 31st, 2024, the company had drawn about €46.0m ($50.2m) on the IRCG Debt facility.