Transocean

RIG Q2 2025 Earnings

Reported Aug 4, 2025 at 4:37 PM ET · SEC Source

Q2 25 EPS

$0.00

BEAT +100.00%

Est. $-0.02

Q2 25 Revenue

$988.0M

BEAT +1.85%

Est. $970.0M

vs S&P Since Q2 25

+61.3%

BEATING MARKET

RIG +78.1% vs S&P +16.8%

Market Reaction

Did RIG Beat Earnings? Q2 2025 Results

Transocean turned in a quarter defined by a sharp operational rebound buried beneath an accounting headline, as the offshore driller posted Q2 2025 contract drilling revenues of $988 million, up $127 million from a year ago, while a $1.13 billion non… Read more Transocean turned in a quarter defined by a sharp operational rebound buried beneath an accounting headline, as the offshore driller posted Q2 2025 contract drilling revenues of $988 million, up $127 million from a year ago, while a $1.13 billion non-cash asset impairment charge drove a GAAP net loss of $938 million, or $1.06 per diluted share. Strip out the impairment and a $24 million debt-conversion loss, and the company generated adjusted net income of $19 million, a meaningful reversal from the $65 million adjusted loss in Q1 and the $123 million adjusted loss in Q2 2024. Rig utilization climbed to 67.3% from 57.8% a year ago, pushing average fleet daily revenue to $458,600 and adjusted EBITDA to $344 million, a 34.9% margin that stands as the strongest in recent quarters. Free cash flow turned positive at $104 million, and management reiterated its target of reducing net debt by more than $700 million in 2025, supported by a $7.2 billion contract backlog that provides substantial forward visibility. The stock had already rallied nearly 10% ahead of the print in anticipation of strengthening operational momentum.

Key Takeaways

  • Improved rig utilization to 67.3% from 63.4% sequentially
  • Revenue efficiency of 96.6%, up from 95.5% in Q1 2025
  • Higher average fleet daily revenue of $458,600 vs. $443,600 in Q1
  • Higher reimbursement revenues and an additional calendar day in Q2
  • Lower operating and maintenance expense due to non-recurrence of prior quarter litigation costs
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RIG YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

24/7 Wall St

RIG Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“We reported a quarter of safe, reliable, and efficient operations, resulting in an adjusted EBITDA margin of 35% and free cash generation of $104 million. This result reflects favorable revenue efficiency driven by high operational reliability.”

— Keelan Adamson, Q2 2025 Earnings Press Release