- Increasing quarterly dividend to $0.40 per share in the fourth quarter.
- Net Income of $158 million,
Diluted Earnings Per Share of $1.09,
Adjusted EBITDA of $283 million, cash
provided by operating activities of $139
million, and Free Cash Flow of $40
million.
- Full Year 2023 guidance for Adjusted EBITDA range now
$775 to $825
million, the top half of the previous range.
SUGAR
LAND, Texas, Oct. 31,
2023 /PRNewswire/ -- Noble Corporation plc
(NYSE: NE, CSE: NOBLE, "Noble", or the "Company") today reported
third quarter 2023 results.
|
|
Three Months
Ended
|
(in millions, except
per share amounts)
|
|
September 30,
2023
|
|
September 30,
2022
|
|
June 30,
2023
|
Total
Revenue
|
|
$
697
|
|
$
306
|
|
$
639
|
Contract Drilling
Services Revenue
|
|
671
|
|
289
|
|
606
|
Net Income
(Loss)
|
|
158
|
|
34
|
|
66
|
Adjusted
EBITDA*
|
|
283
|
|
97
|
|
188
|
Adjusted Net Income
(Loss)*
|
|
127
|
|
41
|
|
56
|
Basic Earnings (Loss)
Per Share
|
|
1.14
|
|
0.48
|
|
0.48
|
Diluted Earnings (Loss)
Per Share
|
|
1.09
|
|
0.41
|
|
0.45
|
Adjusted Diluted
Earnings (Loss) Per Share*
|
|
0.87
|
|
0.50
|
|
0.38
|
|
|
|
|
|
|
|
* A Non-GAAP
supporting schedule is included with the statements and schedules
attached to this press release.
|
Robert W. Eifler, President and
Chief Executive Officer of Noble Corporation plc, stated "Our
third quarter results reflect continued strong operational and
financial performance and demonstrate the power of the Noble –
Maersk Drilling combination where synergy progress and integration
are ahead of schedule. We recently celebrated the one-year
anniversary of the combination and I'd like to extend a special
thank you to our employees around the world who have been so
critical to the success of the integration which has exceeded all
expectations. We remain optimistic about expanding free cash flow
potential for Noble in the years ahead. To that end, we are pleased
to be able to raise our quarterly dividend to $0.40 per share in the fourth quarter."
Third Quarter Results
Contract drilling services
revenue for the third quarter of 2023 totaled $671 million compared to $606 million in the second quarter, with the
sequential increase driven by both higher average dayrates and
utilization. Marketed fleet utilization was 78% in the three months
ended September 30, 2023, compared to 76% in the previous
quarter. Contract drilling services costs for the third quarter
were $354 million, a slight decrease
versus $363 million the second
quarter due to lower repair and maintenance expense. Net income
increased to $158 million in the
third quarter, up from $66 million in
the second quarter, and Adjusted EBITDA increased to $283 million in the third quarter, up from
$188 million in the second quarter.
Net cash provided by operating activities in the third quarter was
$139 million, capital expenditures
were $99 million, and free cash flow
(non-GAAP) was $40 million.
Quarterly Dividend Increase
Noble's Board of Directors
approved an increase of the quarterly interim dividend to
$0.40 per share in the fourth quarter
of 2023. This dividend is to be payable on December 14th, 2023, to shareholders of record at
close of business on November 15th,
2023. The Company intends to continue to pay dividends on a
quarterly basis, and the fourth quarter dividend represents
$1.60 on an annualized basis.
Future quarterly dividends and other shareholder returns will be
subject to, amongst other things, approval by the Board of
Directors, and may be modified as market conditions dictate.
Balance Sheet and Capital Allocation
The Company's
balance sheet as of September 30, 2023, reflected total debt
principal value of $600 million and
cash (and cash equivalents) of $245
million. Share repurchases totaled $10 million during
the third quarter, bringing 2023 year-to-date share repurchases to
$80 million, following approximately
$86 million of cash used for share
repurchases during the fourth quarter of 2022 (including the
mandatory purchase associated with the Maersk Drilling
squeeze-out).
Operating Highlights and Backlog
Noble's marketed
fleet of sixteen floaters was 92% contracted through the third
quarter, compared with 90% in the prior quarter. Recontracting
visibility for the marketed fleet continues to be promising, with
leading edge dayrates for working tier 1 drillships in the mid to
high $400,000s range, and with
moderate utilization inefficiencies caused by gaps between programs
and scheduled maintenance related downtime.
Utilization of Noble's thirteen marketed jackups was 61% in the
third quarter, compared with 59% utilization during the second
quarter. Contracting activity for the jackup fleet has picked up
moderately from recent cyclical lows with leading edge fixtures for
harsh rigs in the $130,000 to
$150,000 range, while persisting soft
demand in Norway continues to
suppress utilization and dayrate potential for ultra-harsh
jackups.
Subsequent to last quarter's earnings press release, new
contracts for Noble's fleet with total contract value of
approximately $240 million (including
mobilization payments) include the following:
- Noble Valiant was awarded a six-month contract with LLOG
in the U.S. Gulf of Mexico,
expected to commence in January 2024
in direct continuation of the rig's current contract. The dayrate
for this contract is $470,000,
excluding additional fees for the use of managed pressure
drilling.
- Noble Regina Allen was
awarded a three well (estimated 220 days) contract with
TotalEnergies in Argentina. This
contract, expected to commence in mid-2024, has an operating
dayrate of $150,000 excluding
additional fees for mobilization and demobilization.
- Noble Globetrotter I and Noble Globetrotter II
have both received additional contract terms from existing
customers, with combined additional backlog of approximately
$56 million and 5 months, extending
both rigs into mid Q1 2024.
- Noble Reacher was extended by 15 months with
TotalEnergies in the North Sea via previously priced options
(approximately flat with the current dayrate), extending the rig's
firm contracted period to mid-2025 with one year of priced option
remaining.
- Noble Resilient was awarded a 120-day contract with
Petrogas in the North Sea at a dayrate of $133,000. This contract is expected to commence
in Q3 2024.
Noble's backlog as of October 31,
2023 stands at $4.7
billion.
Outlook
For the full year 2023, Noble is increasing
guidance for total revenue to a range of $2.5 to $2.6
billion (previously $2.35 to
$2.55 billion) and Adjusted EBITDA to
a range of $775 to $825 million (previously $725 to $825
million). Full year 2023 guidance for capital expenditures
(net of reimbursable capex) remains unchanged at a range of
$325 to $365
million.
Commenting on Noble's outlook, Mr. Eifler stated, "Strong
year-to-date operational and financial performance has enabled us
to increase full year guidance and the quarterly dividend. Our
outlook for a sustained long-term up-cycle remains well supported
by macro factors and customer dialogue. While moderately lower
financial results are expected over the next two quarters due to
contract sequencing and scheduled downtime, we continue to expect a
nice step up in 2024 compared to 2023."
Due to the forward-looking nature of Adjusted EBITDA, management
cannot reliably predict certain of the necessary components of the
most directly comparable forward-looking GAAP measure. Accordingly,
the Company is unable to present a quantitative reconciliation of
such forward-looking non-GAAP financial measure to the most
directly comparable forward-looking GAAP financial measure without
unreasonable effort. The unavailable information could have a
significant effect on Noble's full year 2023 GAAP financial
results.
Conference Call
Noble will host a conference call
related to its third quarter 2023 results on Wednesday, November 1st, 2023, at 8:00 a.m. U.S. Central Time. Interested parties
may dial +1 929-203-0901 and refer to conference ID 31391
approximately 15 minutes prior to the scheduled start time.
Additionally, a live webcast link will be available on the Investor
Relations section of the Company's website. A webcast replay will
be accessible for a limited time following the scheduled call.
For additional information, visit www.noblecorp.com or
email investors@noblecorp.com.
About Noble Corporation plc
Noble is a leading
offshore drilling contractor for the oil and gas industry. The
Company owns and operates one of the most modern, versatile, and
technically advanced fleets in the offshore drilling industry.
Noble and its predecessors have been engaged in the contract
drilling of oil and gas wells since 1921. Noble performs, through
its subsidiaries, contract drilling services with a fleet of
offshore drilling units focused largely on ultra-deepwater and high
specification jackup drilling opportunities in both established and
emerging regions worldwide. Additional information on Noble is
available at www.noblecorp.com.
Dividend Details
Dividends payable to Noble
shareholders will generally be paid in U.S. dollars (USD). However,
holders of shares in the form of share entitlements admitted to
trading on NASDAQ Copenhagen will receive an equivalent dividend
payment in Danish krone (DKK) as determined by the exchange rate on
a specified date. The holders of such share entitlements bear the
risk of fluctuations in USD and DKK exchange rates.
Forward-looking Statements
This communication includes
"forward-looking statements" within the meaning of Section 27A of
the Securities Act and Section 21E of the Exchange Act, as amended.
All statements other than statements of historical facts included
in this communication are forward looking statements, including
those regarding future guidance, including revenue, adjusted
EBITDA, the offshore drilling market and demand fundamentals,
realization and timing of integration synergies, related costs to
achieve, new technology and software platforms, free cash flow
expectations, capital expenditure, capital allocation expectations
including planned dividend and share repurchases, contract backlog,
rig demand, expected future contracts, anticipated contract start
dates, dayrates and duration, fleet condition and utilization, 2023
and 2024 financial guidance, business, financial performance and
position and our plans, objectives, expectations and intentions
related to the Noble-Maersk merger. Forward-looking statements
involve risks, uncertainties and assumptions, and actual results
may differ materially from any future results expressed or implied
by such forward-looking statements. When used in this
communication, or in the documents incorporated by reference, the
words "anticipate," "believe," "continue," "could," "estimate,"
"expect," "intend," "may," "might," "on track," "plan," "possible,"
"potential," "predict," "project," "should," "would," "shall,"
"target," "will" and similar expressions are intended to be among
the statements that identify forward-looking statements. Although
we believe that the expectations reflected in such forward-looking
statements are reasonable, we cannot assure you that such
expectations will prove to be correct. These forward-looking
statements speak only as of the date of this communication and we
undertake no obligation to revise or update any forward-looking
statement for any reason, except as required by law. Risks and
uncertainties include, but are not limited to, those detailed in
Noble's most recent Annual Report on Form 10-K, Quarterly Reports
Form 10-Q and other filings with the U.S. Securities and Exchange
Commission. We cannot control such risk factors and other
uncertainties, and in many cases, we cannot predict the risks and
uncertainties that could cause our actual results to differ
materially from those indicated by the forward-looking statements.
You should consider these risks and uncertainties when you are
evaluating us. With respect to our capital allocation policy,
distributions to shareholders in the form of either dividends or
share buybacks are subject to the Board of Directors' assessment of
factors such as business development, growth strategy, current
leverage and financing needs. There can be no assurance that a
dividend will be declared or continued.
NOBLE CORPORATION
plc AND SUBSIDIARIES
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands,
except per share amounts)
(Unaudited)
|
|
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Operating
revenues
|
|
|
|
|
|
|
|
|
Contract drilling
services
|
|
$
671,004
|
|
$
289,494
|
|
$ 1,852,474
|
|
$
746,992
|
Reimbursables and
other
|
|
26,446
|
|
16,378
|
|
93,565
|
|
44,263
|
|
|
697,450
|
|
305,872
|
|
1,946,039
|
|
791,255
|
Operating costs and
expenses
|
|
|
|
|
|
|
|
|
Contract drilling
services
|
|
354,199
|
|
186,482
|
|
1,078,521
|
|
530,710
|
Reimbursables
|
|
16,682
|
|
13,284
|
|
67,484
|
|
37,095
|
Depreciation and
amortization
|
|
77,146
|
|
24,868
|
|
218,412
|
|
77,109
|
General and
administrative
|
|
33,039
|
|
18,089
|
|
95,428
|
|
52,300
|
Merger and integration
costs
|
|
12,966
|
|
9,338
|
|
47,049
|
|
27,916
|
(Gain) loss on sale of
operating assets, net
|
|
—
|
|
354
|
|
—
|
|
(3,105)
|
Hurricane losses and
(recoveries), net
|
|
2,642
|
|
1,896
|
|
22,120
|
|
4,701
|
|
|
496,674
|
|
254,311
|
|
1,529,014
|
|
726,726
|
Operating income
(loss)
|
|
200,776
|
|
51,561
|
|
417,025
|
|
64,529
|
Other income
(expense)
|
|
|
|
|
|
|
|
|
Interest expense, net
of amounts capitalized
|
|
(13,005)
|
|
(7,943)
|
|
(44,539)
|
|
(23,338)
|
Gain on bargain
purchase
|
|
5,005
|
|
—
|
|
5,005
|
|
—
|
Gain (loss) on
extinguishment of debt, net
|
|
—
|
|
(196)
|
|
(26,397)
|
|
(196)
|
Interest income and
other, net
|
|
17,206
|
|
3,235
|
|
16,292
|
|
4,766
|
Income (loss) before
income taxes
|
|
209,982
|
|
46,657
|
|
367,386
|
|
45,761
|
Income tax benefit
(provision)
|
|
(51,659)
|
|
(13,072)
|
|
(35,184)
|
|
(11,775)
|
Net income
(loss)
|
|
$
158,323
|
|
$
33,585
|
|
$
332,202
|
|
$
33,986
|
Per share
data
|
|
|
|
|
|
|
|
|
Basic:
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
1.14
|
|
$
0.48
|
|
$
2.42
|
|
$
0.49
|
Diluted:
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
1.09
|
|
$
0.41
|
|
$
2.29
|
|
$
0.42
|
NOBLE CORPORATION
plc AND SUBSIDIARIES
CONDENSED
CONSOLIDATED BALANCE SHEETS
(In
thousands)
(Unaudited)
|
|
|
|
September 30,
2023
|
|
December 31,
2022
|
ASSETS
|
|
|
|
|
Current
assets
|
|
|
|
|
Cash and cash
equivalents
|
|
$
244,792
|
|
$
476,206
|
Accounts receivable,
net
|
|
638,746
|
|
468,802
|
Prepaid expenses and
other current assets
|
|
147,912
|
|
106,782
|
Total current
assets
|
|
1,031,450
|
|
1,051,790
|
Intangible
assets
|
|
11,341
|
|
34,372
|
Property and equipment,
at cost
|
|
4,413,310
|
|
4,163,205
|
Accumulated
depreciation
|
|
(399,005)
|
|
(181,904)
|
Property and equipment,
net
|
|
4,014,305
|
|
3,981,301
|
Goodwill
|
|
—
|
|
26,016
|
Other assets
|
|
211,820
|
|
141,385
|
Total
assets
|
|
$
5,268,916
|
|
$
5,234,864
|
LIABILITIES AND
EQUITY
|
|
|
|
|
Current
liabilities
|
|
|
|
|
Current maturities of
long-term debt
|
|
$
—
|
|
$
159,715
|
Accounts
payable
|
|
281,266
|
|
290,690
|
Accrued payroll and
related costs
|
|
88,953
|
|
76,185
|
Other current
liabilities
|
|
145,610
|
|
140,508
|
Total current
liabilities
|
|
515,829
|
|
667,098
|
Long-term
debt
|
|
585,791
|
|
513,055
|
Other
liabilities
|
|
270,984
|
|
265,743
|
Noncurrent contract
liabilities
|
|
63,312
|
|
181,883
|
Total
liabilities
|
|
1,435,916
|
|
1,627,779
|
Commitments and
contingencies
|
|
|
|
|
Total shareholders'
equity
|
|
3,833,000
|
|
3,607,085
|
Total liabilities
and equity
|
|
$
5,268,916
|
|
$
5,234,864
|
NOBLE CORPORATION
plc AND SUBSIDIARIES
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In
thousands)
(Unaudited)
|
|
|
Nine Months Ended
September 30,
|
|
2023
|
|
2022
|
Cash flows from
operating activities
|
|
|
|
Net income
(loss)
|
$
332,202
|
|
$
33,986
|
Adjustments to
reconcile net income (loss) to net cash flow from operating
activities:
|
|
|
|
Depreciation and
amortization
|
218,412
|
|
77,109
|
Amortization of
intangible assets and contract liabilities, net
|
(95,540)
|
|
36,525
|
Gain on bargain
purchase
|
(5,005)
|
|
—
|
(Gain) loss on
extinguishment of debt, net
|
26,397
|
|
196
|
(Gain) loss on sale of
operating assets, net
|
—
|
|
(6,767)
|
Changes in components
of working capital and other operating activities
|
(189,618)
|
|
(31,243)
|
Net cash provided by
(used in) operating activities
|
286,848
|
|
109,806
|
Cash flows from
investing activities
|
|
|
|
Capital
expenditures
|
(268,131)
|
|
(109,235)
|
Proceeds from disposal
of assets, net
|
—
|
|
15,756
|
Net cash provided by
(used in) investing activities
|
(268,131)
|
|
(93,479)
|
Cash flows from
financing activities
|
|
|
|
Issuance of senior
notes
|
600,000
|
|
—
|
Borrowings on credit
facilities
|
—
|
|
220,000
|
Repayments of
debt
|
(673,411)
|
|
(1,828)
|
Debt extinguishment
costs
|
(25,697)
|
|
—
|
Debt issuance
costs
|
(24,914)
|
|
—
|
Share
repurchases
|
(80,000)
|
|
—
|
Dividend
payments
|
(42,369)
|
|
—
|
Other financing
activities
|
(8,456)
|
|
(4,142)
|
Net cash provided by
(used in) financing activities
|
(254,847)
|
|
214,030
|
Net increase (decrease)
in cash, cash equivalents and restricted cash
|
(236,130)
|
|
230,357
|
Cash, cash
equivalents and restricted cash, beginning of period
|
485,707
|
|
196,722
|
Cash, cash
equivalents and restricted cash, end of period
|
$
249,577
|
|
$
427,079
|
NOBLE CORPORATION
plc AND SUBSIDIARIES
OPERATIONAL
INFORMATION
(Unaudited)
|
|
|
Average Rig
Utilization
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
September 30,
2023
|
|
June 30,
2023
|
|
September 30,
2022
|
Floaters
|
77 %
|
|
76 %
|
|
78 %
|
Jackups
|
64 %
|
|
62 %
|
|
82 %
|
Total
|
72 %
|
|
70 %
|
|
80 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Days
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
September 30,
2023
|
|
June 30,
2023
|
|
September 30,
2022
|
Floaters
|
1,348
|
|
1,305
|
|
792
|
Jackups
|
824
|
|
786
|
|
606
|
Total
|
2,172
|
|
2,091
|
|
1,398
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
Dayrates
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
September 30,
2023
|
|
June 30,
2023
|
|
September 30,
2022
|
Floaters
|
$
403,813
|
|
$
363,167
|
|
$
285,362
|
Jackups
|
140,775
|
|
128,885
|
|
118,209
|
Total
|
$
304,040
|
|
$
275,066
|
|
$
212,958
|
NOBLE CORPORATION
plc AND SUBSIDIARIES
CALCULATION OF BASIC
AND DILUTED NET INCOME/(LOSS) PER SHARE
(In thousands,
except per share amounts)
(Unaudited)
|
|
The following tables
presents the computation of basic and diluted income (loss) per
share:
|
|
|
|
Three Months
Ended
September
30,
|
|
Nine Months
Ended
September
30,
|
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Numerator:
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
158,323
|
|
$
33,585
|
|
$
332,202
|
|
$
33,986
|
Denominator:
|
|
|
|
|
|
|
|
|
Weighted average shares
outstanding - basic
|
|
139,400
|
|
70,318
|
|
137,478
|
|
69,260
|
Dilutive effect of
share-based awards
|
|
3,204
|
|
3,388
|
|
3,204
|
|
3,388
|
Dilutive effect of
warrants
|
|
3,117
|
|
8,220
|
|
4,339
|
|
8,718
|
Weighted average shares
outstanding - diluted
|
|
145,721
|
|
81,926
|
|
145,021
|
|
81,366
|
Per share
data
|
|
|
|
|
|
|
|
|
Basic:
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
1.14
|
|
$
0.48
|
|
$
2.42
|
|
$
0.49
|
Diluted:
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
1.09
|
|
$
0.41
|
|
$
2.29
|
|
$
0.42
|
NOBLE CORPORATION plc AND
SUBSIDIARIES
NON-GAAP MEASURES AND RECONCILIATION
Certain non-GAAP measures and corresponding reconciliations to
GAAP financial measures for the Company have been provided for
meaningful comparisons between current results and prior operating
periods. Generally, a non-GAAP financial measure is a numerical
measure of a company's performance, financial position, or cash
flows that excludes or includes amounts that are not normally
included or excluded in the most directly comparable measure
calculated and presented in accordance with generally accepted
accounting principles.
The Company defines "Adjusted EBITDA" as net income (loss)
adjusted for interest expense, net of amounts capitalized; interest
income and other, net; income tax benefit (provision); and
depreciation and amortization expense, as well as, if applicable,
gain (loss) on extinguishment of debt, net; losses on economic
impairments; restructuring and similar charges; costs related to
mergers and integrations; and certain other infrequent operational
events. We believe that the Adjusted EBITDA measure provides
greater transparency of our core operating performance. We prepare
Adjusted Net Income (Loss) by eliminating from Net Income (Loss)
the impact of a number of non-recurring items we do not consider
indicative of our on-going performance. We prepare Adjusted Diluted
Earnings (Loss) per Share by eliminating from Diluted Earnings per
Share the impact of a number of non-recurring items we do not
consider indicative of our on-going performance. Similar to
Adjusted EBITDA, we believe these measures help identify underlying
trends that could otherwise be masked by the effect of the
non-recurring items we exclude in the measure.
In order to fully assess the financial operating results,
management believes that the results of operations, adjusted to
exclude the following items, which are included in the Company's
press release issued on October 31, 2023, are appropriate
measures of the continuing and normal operations of the
Company:
(i)
|
In the second and third
quarter of 2023 and the third quarter of 2022, merger and
integration costs; hurricane losses and (recoveries), net;
intangible contract amortization and discrete tax items.
|
(ii)
|
The third quarter of
2023 includes a gain on bargain purchase and joint taxation scheme
compensation.
|
(iii)
|
The second quarter of
2023 and the third quarter of 2022 included a (gain) loss on
extinguishment of debt, net.
|
(iv)
|
In addition, the third
quarter of 2022 included (gain) loss on sale of operating assets,
net and professional services costs related to corporate
initiatives.
|
The Company also discloses free cash flow as a non-GAAP
liquidity measure. Free cash flow is calculated as Net cash
provided by (used in) operating activities less cash paid for
capital expenditures. We believe Free Cash Flow is useful to
investors because it measures our ability to generate or use cash.
Once business needs and obligations are met, this cash can be used
to reinvest in the company for future growth or to return to
shareholders through dividend payments or share repurchases.
We believe that these non-GAAP financial measures provide useful
information about our financial performance, enhance the overall
understanding of our past performance and future prospects, and
allow for greater transparency with respect to key metrics used by
our management team for financial and operational decision-making.
We are presenting these non-GAAP financial measures to assist
investors in seeing our financial performance through the eyes of
management, and because we believe that these measures provide an
additional tool for investors to use in comparing our core
financial performance over multiple periods with other companies in
our industry.
These non-GAAP adjusted measures should be considered in
addition to, and not as a substitute for, or superior to, contract
drilling revenue, contract drilling cost, contract drilling margin,
average daily revenue, operating income, cash flows from
operations, or other measures of financial performance prepared in
accordance with GAAP. Please see the following non-GAAP Financial
Measures and Reconciliations for a complete description of the
adjustments.
NOBLE CORPORATION
plc AND SUBSIDIARIES
NON-GAAP MEASURES
AND RECONCILIATION
(In thousands,
except per share amounts)
(Unaudited)
|
|
Reconciliation of
Adjusted EBITDA
|
|
|
|
|
Three Months Ended
September 30,
|
|
Three Months
Ended
|
|
|
2023
|
|
2022
|
|
June 30,
2023
|
Net income
(loss)
|
|
$
158,323
|
|
$
33,585
|
|
$
65,816
|
Income tax (benefit)
provision
|
|
51,659
|
|
13,072
|
|
(671)
|
Interest expense, net
of amounts capitalized
|
|
13,005
|
|
7,943
|
|
14,662
|
Interest income and
other, net
|
|
(17,206)
|
|
(3,235)
|
|
2,940
|
Depreciation and
amortization
|
|
77,146
|
|
24,868
|
|
71,324
|
Amortization of
intangible assets and contract liabilities, net
|
|
(10,803)
|
|
8,170
|
|
(31,009)
|
Gain on bargain
purchase
|
|
(5,005)
|
|
—
|
|
—
|
(Gain) loss on
extinguishment of debt, net
|
|
—
|
|
196
|
|
26,397
|
Professional services -
corporate projects
|
|
—
|
|
400
|
|
—
|
Merger and integration
costs
|
|
12,966
|
|
9,338
|
|
22,452
|
(Gain) loss on sale of
operating assets, net
|
|
—
|
|
354
|
|
—
|
Hurricane losses and
(recoveries), net
|
|
2,642
|
|
1,896
|
|
15,934
|
Adjusted
EBITDA
|
|
$
282,727
|
|
$
96,587
|
|
$
187,845
|
|
|
|
|
|
Reconciliation of
Income Tax Benefit (Provision)
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Three Months
Ended
|
|
|
2023
|
|
2022
|
|
June 30,
2023
|
Income tax benefit
(provision)
|
|
$
(51,659)
|
|
$
(13,072)
|
|
$
671
|
Adjustments
|
|
|
|
|
|
|
Amortization of
intangible assets and contract liabilities, net
|
|
6,079
|
|
(1,716)
|
|
3,747
|
Joint taxation scheme
compensation
|
|
(1,981)
|
|
—
|
|
—
|
Hurricane losses and
(recoveries), net
|
|
—
|
|
(398)
|
|
—
|
Discrete tax
items
|
|
(17,088)
|
|
(10,628)
|
|
(47,601)
|
Total
Adjustments
|
|
(12,990)
|
|
(12,742)
|
|
(43,854)
|
Adjusted income tax
benefit (provision)
|
|
$
(64,649)
|
|
$
(25,814)
|
|
$
(43,183)
|
NOBLE
CORPORATION plc AND SUBSIDIARIES
NON-GAAP MEASURES
AND RECONCILIATION
(In thousands,
except per share amounts)
(Unaudited)
|
|
Reconciliation of
Net Income (Loss
|
|
|
Three Months Ended
September 30,
|
|
Three Months
Ended
|
|
|
2023
|
|
2022
|
|
June 30,
2023
|
Net income
(loss)
|
|
$
158,323
|
|
$
33,585
|
|
$
65,816
|
Adjustments
|
|
|
|
|
|
|
Amortization of
intangible assets and contract liabilities, net
|
|
(4,724)
|
|
6,454
|
|
(27,262)
|
Joint taxation scheme
compensation
|
|
(19,837)
|
|
—
|
|
—
|
Gain on bargain
purchase
|
|
(5,005)
|
|
—
|
|
—
|
Professional services
- corporate projects
|
|
—
|
|
400
|
|
—
|
Merger and integration
costs
|
|
12,966
|
|
9,338
|
|
22,452
|
(Gain) loss on sale of
operating assets, net
|
|
—
|
|
354
|
|
—
|
Hurricane losses and
(recoveries), net
|
|
2,642
|
|
1,498
|
|
15,934
|
(Gain) loss on
extinguishment of debt, net
|
|
—
|
|
196
|
|
26,397
|
Discrete tax
items
|
|
(17,088)
|
|
(10,628)
|
|
(47,601)
|
Total
Adjustments
|
|
(31,046)
|
|
7,612
|
|
(10,080)
|
Adjusted net income
(loss)
|
|
$
127,277
|
|
$
41,197
|
|
$
55,736
|
|
|
|
|
|
|
|
Reconciliation of
Diluted EPS
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Three Months
Ended
|
|
|
2023
|
|
2022
|
|
June 30,
2023
|
Unadjusted diluted
EPS
|
|
$
1.09
|
|
$
0.41
|
|
$
0.45
|
Adjustments
|
|
|
|
|
|
|
Amortization of
intangible assets and contract liabilities, net
|
|
(0.03)
|
|
0.08
|
|
(0.19)
|
Joint taxation scheme
compensation
|
|
(0.14)
|
|
—
|
|
—
|
Gain on bargain
purchase
|
|
(0.03)
|
|
—
|
|
—
|
Professional services
- corporate projects
|
|
—
|
|
—
|
|
—
|
Merger and integration
costs
|
|
0.08
|
|
0.12
|
|
0.15
|
(Gain) loss on sale of
operating assets, net
|
|
—
|
|
—
|
|
—
|
Hurricane losses and
(recoveries), net
|
|
0.02
|
|
0.02
|
|
0.11
|
(Gain) loss on
extinguishment of debt, net
|
|
—
|
|
—
|
|
0.18
|
Discrete tax
items
|
|
(0.12)
|
|
(0.13)
|
|
(0.32)
|
Total
Adjustments
|
|
(0.22)
|
|
0.09
|
|
(0.07)
|
Adjusted diluted
EPS
|
|
$
0.87
|
|
$
0.50
|
|
$
0.38
|
|
|
|
|
|
|
|
Reconciliation of
Free Cash Flow
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Three Months
Ended
|
|
|
2023
|
|
2022
|
|
June 30,
2023
|
Net cash provided by
(used in) operating activities
|
|
$
138,768
|
|
$
73,507
|
|
$
211,160
|
Capital
expenditures
|
|
(98,601)
|
|
(29,710)
|
|
(106,796)
|
Free cash
flow
|
|
$
40,167
|
|
$
43,797
|
|
$
104,364
|
View original
content:https://www.prnewswire.com/news-releases/noble-corporation-plc-announces-third-quarter-2023-results-and-dividend-increase-301973226.html
SOURCE Noble Corporation plc