EX-99.2 3 hlx-20210726xex99d2.htm EX-99.2

Exhibit 99.2

| July 27, 2021 Second Quarter 2021 Conference Call

| This presentation contains forward-looking statements that involve risks, uncertainties and assumptions that could cause our results to differ materially from those expressed or implied by such forward-looking statements. All statements, other than statements of historical fact, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, any statements regarding the ongoing COVID-19 pandemic and oil price volatility and their respective effects and results, our protocols and plans, our current work continuing, the spot market, our spending and cost reduction plans and our ability to manage changes; our strategy; any statements regarding visibility and future utilization; any projections of financial items; any statements regarding future operations expenditures; any statements regarding the plans, strategies and objectives of management for future operations; any statements regarding our ability to enter into, renew and/or perform commercial contracts; any statements concerning developments; any statements regarding future economic conditions or performance; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Forward-looking statements are subject to a number of known and unknown risks, uncertainties and other factors that could cause results to differ materially from those in the forward-looking statements, including but not limited to the results and effects of the COVID-19 pandemic and actions by governments, customers, suppliers and partners with respect thereto; market conditions; results from acquired properties; demand for our services; the performance of contracts by suppliers, customers and partners; actions by governmental and regulatory authorities including recent regulatory initiatives by the new U.S. administration; operating hazards and delays, which include delays in delivery, chartering or customer acceptance of assets or terms of their acceptance; our ultimate ability to realize current backlog; employee management issues; complexities of global political and economic developments; geologic risks; volatility of oil and gas prices and other risks described from time to time in our reports filed with the Securities and Exchange Commission (“SEC”), including our most recently filed Annual Report on Form 10-K and in our other filings with the SEC, which are available free of charge on the SEC’s website at www.sec.gov. We assume no obligation and do not intend to update these forward-looking statements, which speak only as of their respective dates, except as required by the securities laws. Social Media From time to time we provide information about Helix on social media, including: Twitter: @Helix_ESG LinkedIn: www.linkedin.com/company/helix-energy-solutions-group Facebook: www.facebook.com/HelixEnergySolutionsGroup Instagram: www.instagram.com/helixenergysolutions FORWARD-LOOKING STATEMENTS 2

| • Executive Summary (pg. 4) • Operational Highlights by Segment (pg. 9) • Key Financial Metrics (pg. 17) • 2021 Outlook (pg. 20) • Non-GAAP Reconciliations (pg. 26) • Questions and Answers 3 PRESENTATION OUTLINE

| Executive Summary

| 5 EXECUTIVE SUMMARY ($ in millions, except per share data, unaudited) Three Months Ended 6/30/21 6/30/20 3/31/21 6/30/21 6/30/20 Revenues 162 $ 199 $ 163 $ 325 $ 380 $ Gross profit 3 $ 30 $ 15 $ 18 $ 32 $ 2% 15% 9% 5% 8% Net income (loss)1 (14) $ 5 $ (3) $ (17) $ (6) $ Diluted earnings (loss) per share (0.09) $ 0.04 $ (0.02) $ (0.11) $ (0.06) $ Adjusted EBITDA2 Business segments 34 $ 56 $ 43 $ 77 $ 82 $ Corporate, eliminations and other (9) (8) (7) (16) (15) Adjusted EBITDA2 25 $ 48 $ 36 $ 61 $ 67 $ Cash and cash equivalents3 244 $ 178 $ 205 $ 244 $ 178 $ Cash flows from operating activities4 53 $ 23 $ 40 $ 93 $ 6 $ Six Months Ended 1 Net income (loss) attributable to common shareholders 2 Adjusted EBITDA is a non-GAAP financial measure; see non-GAAP reconciliations on slide 27 3 Excludes restricted cash of $71 million as of 6/30/21, $42 million as of 6/30/20 and $66 million as of 3/31/21 4 Cash flows from operating activities during the six months ended 6/30/20 include $18 million of regulatory certification costs for our vessels and systems

| 6 Q2 2021 • Net loss1 of $(14) million, $(0.09) per diluted share • Adjusted EBITDA2 of $25 million • Operating cash flows of $53 million • Free Cash Flow2 of $47 million Q2 2021 Operations • Reactivated Seawell after 12 months in warm stack • Steady utilization and performance on Q7000 in West Africa campaign • Recommenced Robotics follow-on wind farm site clearance operations • Continued seasonal trenching in North Sea • Recompletion of Droshky well, production in Q3 Q2 2021 Year to Date • Net loss1 of $(17) million, $(0.11) per diluted share • Adjusted EBITDA2 of $61 million • Operating cash flows of $93 million • Free Cash Flow2 of $86 million EXECUTIVE SUMMARY – HIGHLIGHTS 1 Net loss attributable to common shareholders 2 Adjusted EBITDA and Free Cash Flow are non-GAAP financial measures; see non-GAAP reconciliations on slide 27

| 7 Well Intervention • Well intervention vessel fleet utilization 72% • 58% in the GOM • 63% in the North Sea and West Africa • 100% in Brazil • 15K IRS and 10K IRS idle during quarter Robotics • Robotics chartered vessels utilization 93% • 236 total vessel days (61 spot days) • 84 days trenching utilization on renewables projects • ROVs, trenchers and ROVDrill utilization of 36% Production Facilities • Helix Producer 1 operated at full rates during quarter • HWCG retainer reinstated • Recompletion of Droshky well during quarter EXECUTIVE SUMMARY – Q2 2021 SEGMENTS

| 8 Q2 2021 • Cash and cash equivalents of $244 million • Excludes $71 million of restricted cash pledged as collateral for a short-term project-related letter of credit expected to be released upon completion of project • Liquidity1 of $416 million • Long-term debt2 of $336 million • Net debt3 of $21 million EXECUTIVE SUMMARY – BALANCE SHEET 1 Liquidity at 6/30/21 is calculated as the sum of cash and cash equivalents and available capacity under our revolving credit facility and excludes restricted cash 2 Net of unamortized issuance costs 3 Net debt at 6/30/21 is calculated as long-term debt less cash and cash equivalents and restricted cash

| Operational Highlights By Segment

| • The ongoing COVID-19 pandemic and its impact on the global economy have resulted in volatility and significant disruption in the oil and gas market • The pandemic negatively affected the global economy and the oil and gas market; while the global economy as well as oil and gas prices have begun to recover, there is a lag in the recovery in the demand and pricing for our services to this sector, which is expected to remain weak in 2021 and possibly beyond • We have responded by responsibly reducing our cost base, including warm stacking our vessels during idle periods and cutting capital expenditures and targeted SG&A spending • We continue to take what we believe to be appropriate steps to protect our employees, customers and balance sheet COVID & MARKET EVENTS 10

| BUSINESS SEGMENT RESULTS 11 ($ in millions, unaudited) Three Months Ended Six Months Ended 6/30/21 6/30/20 3/31/21 6/30/21 6/30/20 Revenues Well Intervention 132 $ 146 $ 134 $ 266 $ 286 $ Robotics 32 51 22 54 86 Production Facilities 14 14 16 31 29 Intercompany eliminations (16) (11) (9) (25) (21) Total 162 $ 199 $ 163 $ 325 $ 380 $ Gross profit (loss) % Well Intervention (3) $ -2% 15 $ 10% 9 $ 7% 6 $ 2% 14 $ 5% Robotics 2 7% 11 22% (1) -4% 1 3% 11 12% Production Facilities 5 36% 4 27% 7 44% 12 40% 8 27% Eliminations and other (2) - - (2) (1) Total 3 $ 2% 30 $ 15% 15 $ 9% 18 $ 5% 32 $ 8% Utilization Well Intervention vessels 72% 72% 70% 82% 72% Robotics vessels 93% 95% 90% 92% 92% ROVs, trenchers and ROVDrill 36% 34% 24% 30% 34% Amounts may not add due to rounding

| • Q5000 – 72% utilized in Q2; completed demobilization of long-term contract with BP; performed recompletion work on Droshky well owned by Helix; subsequently performed ROV work scope for one customer and heavy lift work scope for another customer; commenced production enhancement work for another customer • Q4000 – 45% utilized in Q2; completed construction work for one customer; performed production enhancement work for another customer; commenced mobilization on two-well coiled tubing enhancement work scope for another customer; vessel incurred idle time between projects • 15K IRS rental unit – idle in Q2 • 10K IRS rental unit – idle in Q2 12 WELL INTERVENTION – GULF OF MEXICO

| • Well Enhancer – 83% utilized in Q2; performed production enhancement work scopes on four wells for one customer; subsequently commenced production enhancement work on one well for another customer • Seawell – 10% utilized in Q2 after reactivating from warm stack; performed production enhancement work on three wells for one customer; vessel idle at end of quarter • Q7000 – 96% utilized in Q2; performed well integrity work scopes on two wells for one customer; subsequently performed production enhancement work on one well for another customer 13 WELL INTERVENTION – NORTH SEA AND WEST AFRICA

| • Siem Helix 1 – 100% utilized in Q2; performed abandonment scopes on four wells • Siem Helix 2 – 100% utilized in Q2; performed abandonment scopes on three wells 14 WELL INTERVENTION – BRAZIL

| • Grand Canyon II (Asia Pacific) – 100% utilized in Q2; performed ROV support work offshore Taiwan • Grand Canyon III (North Sea) – 93% utilized in Q2; performed trenching operations for two customers • Spot Vessels – 61 days utilization during Q2; performed follow-on North Sea renewables seabed clearance boulder removal work • Trenching – 84 total days of trenching operations on the Grand Canyon III 15 ROBOTICS

| 16 VESSEL UTILIZATION • Grand Canyon II1 • Grand Canyon III1 • Spot vessels1 • Q5000 • Q4000 • Seawell • Well Enhancer • Siem Helix 11 • Siem Helix 21 • Q7000 • 42 ROVs2 • 4 Trenchers • 1 ROVDrill unit 72% 93% 36% 70% 90% 24% 72% 95% 34% 0% 20% 40% 60% 80% 100% Well Intervention Vessels Robotics Support Vessels ROVs, Trenchers and ROVDrill Q2 2021 Q1 2021 Q2 2020 1 Chartered vessels 2 Two ROVs retired Q1 2021

| Key Financial Metrics

| DEBT INSTRUMENT PROFILE Total funded debt1 of $346 million at 6/30/21 • $35 million Convertible Senior Notes due 2022 – 4.25% • $30 million Convertible Senior Notes due 2023 – 4.125% • $200 million Convertible Senior Notes due 2026 – 6.75% • $28 million Term Loan – LIBOR + 3.25% • Quarterly amortization payments of approximately $0.9 million with a final balloon payment of $27 million due at maturity in Q4 2021 • $53 million MARAD Debt – 4.93% • Semi-annual amortization payments through maturity in Q1 2027 $0 $50 $100 $150 $200 $250 $9 $215 Principal Payment Schedule at 6/30/21 ($ in millions) Term Loan CSN 2022 MARAD CSN 2023 CSN 2026 $43 $32 $9 $38 1 Excludes $10 million of remaining unamortized debt issuance costs 18

| 19 DEBT & LIQUIDITY PROFILE ($ in millions) $496 $440 $406 $350 $394 $336 $229 $161 $143 $58 $102 $21 $348 $426 $380 $452 $452 $416 $0 $100 $200 $300 $400 $500 12/31/17 12/31/18 12/31/19 12/31/20 1/1/21 6/30/21 Long-term Debt¹ Net Debt² Liquidity³ $44 $44 Impact of the adoption of ASU 2020-061 as of 1/1/21 Liquidity3 of approximately $416 million at 6/30/21 1 Long-term debt through 12/31/20 was net of unamortized discounts and issuance costs; as of January 1, 2021, with the adoption of ASU 2020-06, the discounts on our convertible senior notes due 2022, 2023 and 2026 were eliminated, increasing the carrying value of long-term debt by $44 million; beginning Q1 2021 long-term debt is net of issuance costs only 2 Net debt is calculated as long-term debt less cash and cash equivalents and restricted cash 3 Liquidity is calculated as the sum of cash and cash equivalents plus available capacity under our revolving credit facility and excludes restricted cash; liquidity on December 31, 2019 and June 30, 2021 excluded approximately $54 million and $71 million, respectively, of restricted cash on a short-term project-related letter of credit

| 2021 Outlook

| 21 2021 OUTLOOK: FORECAST ($ in millions) 2021 2020 Outlook Actual Revenues $ 600 - 670 734 $ Adjusted EBITDA1 75 - 100 155 Free Cash Flow1 45 - 90 80 Capital Additions2 20 - 35 32 Revenue Split: Well Intervention $ 455 - 515 539 $ Robotics 120 - 130 178 Production Facilities 65 - 70 58 Eliminations3 (40) - (45) (42) Total $ 600 - 670 734 $ 1 Adjusted EBITDA and Free Cash Flow are non-GAAP financial measures. See non-GAAP reconciliations on slide 27 2 2021 Outlook and 2020 Actual include regulatory certification costs for our vessels and systems 3 2021 Outlook includes approximately $6 million of intercompany revenue associated with the recompletion work on one Droshky well Amounts may not add due to rounding

| 22 The ongoing COVID pandemic and its effect on the offshore oil and gas market, combined with sector uncertainty relating to regulatory changes by the new U.S. administration, suggest a year that will be more challenging than 2020. Our customers’ spending levels currently remain low, providing even more challenges in a year in which three of our long-term Well Intervention contracts expire. Key expectations / assumptions for 2021 include the following: • Total backlog at June 30, 2021 of approximately $291 million; $153 million expected to be realized during remainder of 2021 • North Sea – prioritizing work and expecting good seasonal utilization on the Well Enhancer, balancing customer requirements and scheduling needs; targeted opportunities on the Seawell in Q3, • Gulf of Mexico – prioritizing utilization on the Q5000, balancing customer requirements and scheduling needs, with expected gaps in schedule on both vessels • Brazil – 120-day contract extension on the Siem Helix 1 with Petrobras into mid-August at reduced rates; Siem Helix 2 on contract into mid-December • Robotics – intermittent renewables work with expected fewer site clearance days compared to 2020 2021 OUTLOOK

| 23 2021 OUTLOOK – WELL INTERVENTION • Q4000 (Gulf of Mexico) – vessel has contracted backlog during Q3 with intermittent scheduling gaps and expected utilization into Q4; identified opportunities thereafter on various work scopes • Q5000 (Gulf of Mexico) – vessel has contracted work through mid-August with identified opportunities thereafter with expected scheduling gaps • IRS rental units (Gulf of Mexico) – 15K IRS opportunities identified in Q4; 10K IRS expected to remain idle • Well Enhancer (North Sea) – vessel has contracted backlog through mid-August with opportunities identified into Q4 • Seawell (North Sea) – vessel idle during July with scheduled backlog beginning August and into September; subsequently available in the spot market with identified opportunities into Q4 • Q7000 (West Africa) – vessel operational in Nigeria with contracted work expected into October; subsequent West Africa opportunities identified • Siem Helix 1 (Brazil) – under contract with Petrobras through mid-August; regulatory dry dock expected following the end of the contract extension • Siem Helix 2 (Brazil) – under contract for Petrobras through mid-December

| 24 • Grand Canyon II (Asia Pacific) – vessel expected to perform ROV support work for decommissioning project offshore Thailand through the remainder of 2021 • Grand Canyon III (North Sea) – vessel expected to continue performing trenching work in the North Sea into December with good utilization expected during the remainder of 2021 • Renewables site clearance – site clearance work (boulder removal) on North Sea wind farm utilizing one vessel of opportunity expected to continue into Q4; follow-on site clearance work expected into December • Spot vessels – cable installation project in Guyana beginning August; other spot vessel opportunities including UXO work identified during second half 2021 2021 OUTLOOK - ROBOTICS

| 25 2021 Capital additions are currently forecasted at $20-$35 million, consisting of the following: • Maintenance Capex – $15-30 million related to regulatory inspection costs of our systems and equipment and other maintenance capital • Recompletion Capex – $5 million of recompletion costs on one of our Droshky wells • Capital additions during remainder of 2021 expected to be $10-$25 million Balance Sheet • Our total funded debt1 level is expected to decrease by $32 million (from $346 million at June 30, 2021 to $314 million at December 31, 2021) as a result of scheduled principal payments • Credit Facility expiration and $28 million Term Loan maturity date December 31, 2021 • Tax refund related to the CARES Act of $12 million expected in the next 12 months ($7 million collected during Q1 2021) 2021 OUTLOOK: CAPITAL ADDITIONS & BALANCE SHEET 1 Excludes unamortized issuance costs

| Non-GAAP Reconciliations

| 27 NON-GAAP RECONCILIATIONS ($ in thousands, unaudited) Three Months Ended Year Ended 6/30/21 6/30/20 3/31/21 6/30/21 6/30/20 12/31/20 Adjusted EBITDA: Net income (loss) (13,683) $ 5,450 $ (3,050) $ (16,733) $ (8,478) $ 20,084 $ Adjustments: Income tax provision (benefit) (1,968) (271) 116 (1,852) (21,364) (18,701) Net interest expense 5,919 7,063 6,053 11,972 12,809 28,531 Gain on extinguishment of long-term debt - - - - - (9,239) Other (income) expense, net (960) 2,069 (1,617) (2,577) 12,496 (4,724) Depreciation and amortization 34,941 33,969 34,566 69,507 65,567 133,709 Goodwill impairment - - - - 6,689 6,689 Non-cash gain on equity investment - - - - - (264) EBITDA 24,249 $ 48,280 $ 36,068 $ 60,317 $ 67,719 $ 156,085 $ Adjustments: (Gain) loss on disposition of assets, net 646 $ (473) $ - $ 646 $ (473) $ (889) $ General provision (release) for current expected credit losses (83) 108 100 17 694 746 Realized losses from FX contracts not designated as hedging instruments - - - - (682) (682) Adjusted EBITDA 24,812 $ 47,915 $ 36,168 $ 60,980 $ 67,258 $ 155,260 $ Free cash flow: Cash flows from operating activities 52,671 $ 23,264 $ 39,869 $ 92,540 $ 6,042 $ 98,800 $ Less: Capital expenditures, net of proceeds from sale of assets (5,432) (4,692) (1,329) (6,761) (17,081) (19,281) Free cash flow 47,239 $ 18,572 $ 38,540 $ 85,779 $ (11,039) $ 79,519 $ Six Months Ended We define EBITDA as earnings before income taxes, net interest expense, gain or loss on extinguishment of long-term debt, net other income or expense, and depreciation and amortization expense. Non-cash impairment losses on goodwill and other long-lived assets and gains and losses on equity investments are also added back if applicable. To arrive at our measure of Adjusted EBITDA, we exclude the gain or loss on disposition of assets and the general provision for current expected credit losses, if any. In addition, we include realized losses from foreign currency exchange contracts not designated as hedging instruments, which are excluded from EBITDA as a component of net other income or expense. We define free cash flow as cash flows from operating activities less capital expenditures, net of proceeds from sale of assets. We use EBITDA and free cash flow to monitor and facilitate internal evaluation of the performance of our business operations, to facilitate external comparison of our business results to those of others in our industry, to analyze and evaluate financial and strategic planning decisions regarding future investments and acquisitions, to plan and evaluate operating budgets, and in certain cases, to report our results to the holders of our debt as required by our debt covenants. We believe that our measures of EBITDA and free cash flow provide useful information to the public regarding our operating performance and ability to service debt and fund capital expenditures and may help our investors understand and compare our results to other companies that have different financing, capital and tax structures. Other companies may calculate their measures of EBITDA, Adjusted EBITDA and free cash flow differently from the way we do, which may limit their usefulness as comparative measures. EBITDA, Adjusted EBITDA and free cash flow should not be considered in isolation or as a substitute for, but instead are supplemental to, income from operations, net income, cash flows from operating activities, or other income or cash flow data prepared in accordance with GAAP. Users of this financial information should consider the types of events and transactions that are excluded from these measures.

| We continue to implement and improve Environmental, Social and Governance (“ESG”) initiatives and disclosures throughout our business. We understand we have an important role to play as a steward of the people, communities and environments we serve, and we regularly look for ways to emphasize and improve our own ESG record. We incorporate ESG initiatives into our core business values and priorities of safety, sustainability and value creation with a top-down approach led by management and our Board of Directors. We emphasize constant improvement by continually striving to improve our safety record, reducing our environmental impact, and increasing transparency. In 2020, we maintained a low Total Recordable Incident Rate and expanded our business with renewable energy customers. Our efforts are published in our Corporate Sustainability Report and Corporate Sustainability Summary Update, copies of which are available on our website at www.HelixESG.com/about- helix/corporate-sustainability. Thank you