Hamilton, Bermuda, November 25, 2025 - Paratus Energy Services Ltd. (ticker
"PLSV") ("Paratus" or the "Company") today reported operational and financial
results for the third quarter of 2025, highlighted by $127 million in combined
segment revenues and $78 million in adjusted EBITDA. The Company and its
consolidated subsidiaries and ownership in Joint Ventures (the "Group") ended
the quarter with $144 million in cash and a net debt balance of $659 million.
Paratus is pleased to announce that its Board of Directors (the "Board") has
authorized a quarterly cash dividend of $0.22 per share for Q3 2025, consistent
with prior quarters.
"We delivered another strong quarter with better-than-expected financial results
and consistent shareholder distributions," said Robert Jensen, CEO of Paratus.
"The monetization of our Archer stake highlights our focus on simplifying our
business, while recent collections in Mexico further reinforce our confidence in
an improving operating environment in the country. We remain focused on
strategic development of the business and creating long-term value for
our shareholders."
Q3 2025 highlights and post quarter-end developments
· Maintained strong operational performance with fleet technical utilization
of approximately 99%.
· Combined segment revenues increased 20% quarter-over-quarter to $127
million, while EBITDA rose 38% to $78 million, driven by higher dayrates and
increased operational days at Seagems, as well as $12 million of previously
unrecognized revenue at Fontis. Excluding this, EBITDA was $66 million (Q2 2025:
$57 million).
· Monetized the Company's ~24% shareholding in Archer for $48 million
consistent with its focus on portfolio optimization and simplification of the
corporate structure.
· Ended the quarter with $144 million in Group cash and $659 million in net
debt.
· Post Q3, declared a $0.22 per share quarterly dividend for Q3 2025,
consistent with previous quarters.
· In October-November, Fontis collected $96 million from its client in Mexico
with payments made via a Mexican government investment fund; bringing 2025
receipts to $309 million to date.
Fontis
Fontis reported contract revenues of $54.8 million (Q2 2025: $43.8 million),
reflecting the recognition of $12.1 million in previously unrecognized revenue
from the Titania FE contract acknowledge by its client.
Reported operating expenses (Opex) totaled $19.5 million for the quarter, down
from $25.6 million in Q2 2025, as the main portion of the Titania FE rig move
costs had been incurred in the previous period. General and administrative
expenses (G&A) amounted to $0.5 million (Q2 2025: $0.4 million). Adjusted EBITDA
for the quarter was $34.8 million, compared to $17.8 million in Q2 2025,
reflecting the $12.1 million in variable revenue and lower Opex.
During Q3 2025, Fontis achieved an average dayrate of $116 thousand per day,
consistent with the previous quarter, and maintained strong technical
utilization of 99.7% (Q2 2025: 99.2%). The company's contract backlog at quarter
-end stood at approximately $56 million (Q2 2025: approximately $98 million).
The Company observes early signs of demand recovery in the global jack-up
market, supported by increasing activity levels in key regions such as Saudi
Arabia and Mexico. In Saudi Arabia, Saudi Aramco has begun recalling previously
suspended rigs, indicating improving market conditions and an expected increase
in global jack-up utilization. In Mexico, Fontis' client has started securing
rig capacity for 2026 through contract renewals and extensions. Of the Company's
fleet of five jack-up rigs, all are currently contracted into Q1 2026, except
for Titania FE, which remains warm-stacked pending new engagement. While no
assurances can be given, the Company is in discussions with its client regarding
potential contracting of its rigs in Mexico. The Company remains confident in
the long-term demand for its rigs and anticipates that increased drilling
activity in Mexico will be required to support its client's production targets,
as recently reaffirmed by the Mexican government. In line with earlier
communication, the Company continues to assess strategic alternatives for its
jack-up business.
In August 2025, the Mexican government publicly introduced a comprehensive
financial support plan with the aim to make Fontis' client financially self
-sufficient by 2027. Key elements of the plan include the settlement of overdue
supplier payments, debt reduction initiatives, and a long-term increase in
national oil production from approximately 1.6 to 1.8 million barrels per day.
As part of this initiative, approximately $25 billion in new government
guaranteed funding has reportedly been secured by the client in Mexico,
including proceeds partially earmarked for capital expenditures and supplier
debt settlements.
As of the end of Q3 2025, the notional value of accounts receivable was $293
million ($232 million as of Q2 2025). In October-November, Fontis received
payment of approximately $96 million in total towards overdue invoices from its
client in Mexico, with payments made via a Mexican government investment fund.
Including these receipts, the Company has collected approximately $309 million,
so far in 2025.
The Company continues to actively pursue the collection of its remaining
outstanding receivables and remains committed to recovering the full amounts
due, consistent with its past practice. While the Company recognizes that the
timing of collections may continue to fluctuate, recent payments and ongoing
government support initiatives provide greater confidence that the payment cycle
is normalizing.
Seagems Joint Venture
Paratus' 50% share in the Seagems joint venture contributed $72.6 million in
contract revenues during the current quarter, compared to $62.7 million in Q2
2025. The revenue increase was primarily driven by higher average dayrates and
reduced off-hire days relative to the previous quarter, when three vessels were
undergoing acceptance testing as part of the commencement of new Petrobras
contracts. In August, the final vessel, Onix, commenced its new Petrobras
contract.
Reported Opex for the quarter was $21.3 million (Q2 2025: $15.4 million), while
G&A expenses totaled $3.2 million (Q2 2025: $3.7 million). The increase in Opex
primarily reflected the absence of one-off favorable items recorded in the
previous quarter. Adjusted EBITDA for the period was $44.8 million, up from
$40.6 million in Q2 2025, mainly as a result of stronger revenues.
The JV achieved an average dayrate of $272 thousand per day (Q2 2025: $255
thousand per day) and maintained strong technical utilization of 98.5% (Q2 2025:
97.9%). The Seagems JV's contract backlog at quarter-end was approximately $1.5
billion (Q2 2025: approximately $1.6 billion).
During the first nine months ("year-to-date" or "YTD") of 2025, the Seagems JV
provided cash distribution of approximately $91 million to Paratus (YTD 2024:
approximately $60 million).
In Q3 2025, Seagems also secured an aggregate $60 million in additional capital
expenditures financing from local Brazilian banks with amortization scheduled
over 3 years starting in 2026.
Webcast and Q&A Session
Paratus will host a presentation of the Q3 2025 results via an audio webcast
today at 15:00 CET. The presentation will be led by CEO Robert Jensen and CFO
Baton Haxhimehmedi.
To join the webcast, please use the following link:
https://paratusenergy.engagestream.companywebcast.com/2025-11-25
A Q&A session will follow the presentation, with instructions on how to submit
questions provided at the start of the session.
For further information, please contact:
Robert Jensen, CEO
Robert.Jensen@paratus-energy.com
+47 958 26 729
Baton Haxhimehmedi, CFO
Baton.Haxhimehmedi@paratus-energy.com
+47 406 39 083
This information is subject to the disclosure requirements pursuant to section 5
-12 the Norwegian Securities Trading Act.
Attachments
· Q3 2025 Interim Results Report
· Q3 2025 Interim Results Presentation
About Paratus
Paratus Energy Services Ltd. (ticker: PLSV) is an investment holding company of
a group of leading energy services companies. The Paratus Group is primarily
comprised of its ownership of Fontis Energy and a 50/50 JV interest in Seagems.
Fontis Energy is an offshore drilling company with a fleet of five high
-specification jack-up rigs in Mexico. Seagems is a leading subsea services
company, with a fleet of six multi-purpose pipe-laying support vessels in
Brazil.
Forward-Looking Statements
This release includes forward-looking statements. Such statements are generally
not historical in nature, and specifically include statements about the
Company's and / or the Paratus Group's (including any member of the Paratus
Group) plans, strategies, business prospects, changes and trends in its business
and the markets in which it operates. These statements are based on management's
current plans, expectations, assumptions and beliefs concerning future events
impacting the Company and / or the Paratus Group and therefore involve a number
of risks, uncertainties and assumptions that could cause actual results to
differ materially from those expressed or implied in the forward-looking
statements, which speak only as of the date of this news release. Important
factors that could cause actual results to differ materially from those in the
forward-looking statements include, but are not limited to, management's
reliance on third party professional advisors and operational partners and
providers, the Company's ability (or inability) to control the operations and
governance of certain joint ventures and investment vehicles, oil and energy
services and solutions market conditions, subsea services market conditions, and
offshore drilling market conditions, the cost and timing of capital projects,
the performance of operating assets, delay in payment or disputes with
customers, the ability to successfully employ operating assets, procure or have
access to financing, ability to comply with loan covenants, liquidity and
adequacy of cash flow from operations of its subsidiaries and investments,
fluctuations in the international price of oil or alternative energy sources,
international financial, commodity or currency market conditions, including, in
each case, the impact of pandemics and related economic conditions, changes in
governmental regulations, including in connection with pandemics, that affect
the Paratus Group, increased competition in any of the industries in which the
Paratus Group operates, the impact of global economic conditions and global
health threats, including in connection with pandemics, our ability to maintain
relationships with suppliers, customers, joint venture partners, professional
advisors, operational partners and providers, employees and other third parties
and our ability to maintain adequate financing to support our business plans,
factors related to the offshore drilling, subsea services, and oil and energy
services and solutions markets, the impact of global economic conditions, our
liquidity and the adequacy of cash flows for our obligations, including the
ability of the Company's subsidiaries and investment vehicles to pay dividends,
political and other uncertainties, the concentration of our revenues in certain
geographical jurisdictions, limitations on insurance coverage, our ability to
attract and retain skilled personnel on commercially reasonable terms, the level
of expected capital expenditures, our expected financing of such capital
expenditures, and the timing and cost of completion of capital projects,
fluctuations in interest rates or exchange rates and currency devaluations
relating to foreign or U.S. monetary policy, tax matters, changes in tax laws,
treaties and regulations, tax assessments and liabilities for tax issues, legal
and regulatory matters, customs and environmental matters, the potential impacts
on our business resulting from climate-change or greenhouse gas legislation or
regulations, the impact on our business from climate-change related physical
changes or changes in weather patterns, and the occurrence of cybersecurity
incidents, attacks or other breaches to our information technology systems,
including our rig operating systems. Consequently, no forward-looking statement
can be guaranteed.
Neither the Company nor any member of the Paratus Group undertakes any
obligation to update any forward-looking statements to reflect events or
circumstances after the date on which such statement is made or to reflect the
occurrence of unanticipated events. New factors emerge from time to time, and it
is not possible for us to predict all of these factors. Further, we cannot
assess the impact of each such factors on our businesses or the extent to which
any factor, or combination of factors, may cause actual results to be materially
different from those contained in any forward-looking statement.