Oceaneering International reported a net income of $71.3 million for the third quarter of 2025, a significant increase from the $29.5 million reported in the third quarter of 2024.
Revenue for the quarter rose nine per cent year-on-year to $743 million, while operating income increased 21 per cent to $86.5 million. Adjusted EBITDA climbed 13 per cent to $111 million compared to the third quarter of 2024.
Cash flow provided by operating activities was $101 million, and free cash flow was $77.0 million for the quarter, with the company ending the period with a cash position of $506 million.
During the quarter, Oceaneering repurchased 440,814 shares for approximately $10.1 million. The company also secured total inbound orders of $854 million, with notable contract wins in its subsea robotics (SSR), aerospace and defence technologies, and manufactured products segments.
Rod Larson, Oceaneering's President and CEO, stated that the team delivered positive results, with adjusted EBITDA exceeding guidance through solid performance across segments.
He highlighted the conversion of higher-margin backlog in manufactured products, a favourable project mix in the offshore projects group (OPG), and improved ROV revenue per day in SSR.
Looking ahead, Larson expressed optimism about consolidated growth opportunities in 2026, expected to be led by the aerospace and defence technologies segment, although the year is anticipated to unfold differently than 2025 with seasonally lower activity in energy-focused businesses in the first quarter.
Oceaneering initiated full-year 2026 consolidated EBITDA guidance in the range of $390 million to $440 million, with free cash flow forecast to be consistent with 2025 levels and share repurchase activity expected to continue. For the fourth quarter of 2025, consolidated EBITDA is forecast to be in the range of $80 million to $90 million.
Segment results for Q3 2025 compared to Q3 2024 showed operating income in manufactured products improved 119 per cent, OPG operating income increased 17 per cent, and aerospace and defence technologies operating income rose 36 per cent.
SSR operating income was essentially flat despite a decline in ROV fleet utilisation to 65 per cent, supported by a six per cent increase in ROV revenue per day utilized.
