U.S. subsea engineering and applied technology firm Oceaneering International has achieved a revenue of $675 million in the first quarter of 2025, a 13% increase year over year, outperforming expectations due to “resilient utilization of remotely operated vehicles (ROVs) and strong vessel activity” .
For Q1 2025, Oceaneering reported an operating income of $73.5 million, a 100% increase year over year, and a net income of $50.4 million, a 233% increase year over year.
Adjusted EBITDA was $96.7 million, a 57% increase year over year, not adjusted for a $10.4 million inventory reserve taken in the Manufactured Products segment.
“Oceaneering outperformed expectations this quarter due to resilient utilization of remotely operated vehicles (ROVs), and strong vessel activity predominately in the Gulf of Mexico and West Africa. We generated adjusted EBITDA of $96.7 million, exceeding both our guidance range and consensus estimates for the quarter,” said Rod Larson , President and Chief Executive Officer of Oceaneering.
“Compared to the same quarter last year, our consolidated first quarter 2025 operating income doubled on a 13% increase in revenue, driven by strong performances from our Subsea Robotics (SSR) and Offshore Projects Group (OPG) segments.”
As compared to Q1 2024, SSR operating income improved 35% to $59.6 million on a 10% increase in revenue. ROV fleet utilization was 67% and ROV revenue per day utilized was $10,788, reflecting year-over-year improvements.
According to the Texas-headquartered company, OPG results improved significantly due to the continuation of international projects that began in Q4 2024, improved vessel utilization in the Gulf of Mexico/America , and the reduction in drydock costs and the associated loss of vessel days that impacted the first quarter of 2024. Operating income grew to $35.7 million, revenue increased to $165 million, and operating income margin expanded to 22%.
At the segment level, for the second quarter of 2025, as compared to the same period in 2024, SSR revenue and operating profitability are expected to increase and OPG revenue is forecasted to be relatively flat and operating profitability is forecast to improve significantly, Oceaneering said.
“We reiterate our prior full-year 2025 guidance of EBITDA in the range of $380 million to $430 million. As discussed during our fourth quarter 2024 earnings call, we lowered the bottom end of our guidance range to $380 million, in acknowledgment of potential market uncertainties. Given our strong start to 2025, we still believe this range is appropriate, even with recent market developments,” Larson concluded.