Luxembourg's Subsea 7 Q1 revenue rises 17%, lifts 2026 outlook

Subsea 7

30/04/2026 07:08

Overview

Luxembourg offshore energy contractor's Q1 revenue rose 17% yr/yr, adjusted EBITDA up over 60%

Company raised 2026 revenue and EBITDA margin guidance on strong backlog and revenue visibility

Strong performances in both Subsea and Renewables segments drove margin improvement

Outlook

Subsea 7 raises 2026 revenue guidance to $7.4-$7.8 bln, up from $7.0-$7.4 bln

Company expects 2026 adjusted EBITDA margin of about 23%, up from prior 22% forecast

Subsea 7 says exposure to regional disruption is low, with less than 10% of backlog in Middle East

Result Drivers

FLEET UTILISATION - Higher vessel utilisation rates in Subsea (78%) and Renewables (81%) segments contributed to improved results

PROJECT EXECUTION - Activity on projects in Türkiye, Brazil, Norway and the UK supported operational performance

CASH GENERATION - Focus on optimising cash generation led to increase in net cash to $198 mln

Company press release: ID:nGNE2S5vhB

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
$1.79 bln
Q1 Adjusted EBITDA
$385 mln
Q1 Adjusted EBITDA Margin
21.00%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 6 "hold" and 3 "sell" or "strong sell"

The average consensus recommendation for the oil related services and equipment peer group is "buy"

Wall Street's median 12-month price target for Subsea 7 SA is NOK290.00, about 10.8% below its April 29 closing price of NOK325.00

The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 10 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)