Oceaneering revenue rises 6% year over year to $785 million as a refinancing charge cuts net income 26%

Oceaneering International reported third-quarter 2026 revenue of $785 million, up 6% from a year earlier, and operating income of $92.2 million, up 7%, in its earnings release filed October 21, 2026. Reported net income attributable to the company fell 26% to $52.6 million, or $0.52 a diluted share, down from $0.71 per diluted share a year earlier, after a $19.03 million loss on extinguishment of debt from the quarter's refinancing, and the company set initial 2027 EBITDA guidance of $430 million to $480 million.

A refinancing charge separates reported profit from the operating result

Oceaneering International's third-quarter 2026 revenue of $785 million came in 6% above the same period of 2025, and operating income rose 7% to $92.2 million from a year earlier. Reported net income attributable to the company fell 26% to $52.6 million, or $0.52 a diluted share, from $0.71 a year earlier. The decline is not operational: the income statement carries a $19.03 million loss on extinguishment of debt, recorded as Oceaneering issued $500 million of 6.875% senior notes due 2034 and amended and extended its revolving credit facility to $345 million of commitments maturing in July 2031. A heavier income-tax provision compounded the effect. Adjusted net income, which excludes only foreign-currency and discrete tax items, was $50.03 million, or $0.50 a share, down 9.09% from $0.55, and that adjusted measure still carries the $19.03 million charge, so adjusted EPS before it would have exceeded $0.55. The 9.09% is computed on rounded cents. Revenue was also 2.13% above the $768.18 million booked in the second quarter.

Subsea Robotics lifts the quarter as ROV rates rise

Subsea Robotics revenue rose to $233 million and operating income climbed 16% to $75.4 million, taking segment operating margin to 32% from 30% and segment EBITDA margin to 39%. The release credits higher revenue per day utilized, which reached $11,781, together with more Survey activity and better ROV operating margins. Fleet utilization was unchanged at 65% and days utilized eased to 14,897 from 14,962, so the improvement came from rate and service mix rather than from more working days. Activity rose in Europe, Guyana and West Africa, largely offsetting a softer U.S. Gulf.

Backlog thins at Manufactured Products as ADTech margin slips

Manufactured Products revenue increased 8% to $168.16 million and operating income was roughly flat at $25.1 million, leaving margin at 15% against 16%. The release attributes the gain mainly to the final resolution of a legacy mobility solutions contract, offset by lower activity and profitability at Grayloc Products. Backlog was $435 million at September 30, 2026, 23.42% below the $568 million reported a year earlier, and book-to-bill was 0.77 for the twelve months to that date. Aerospace and Defense Technologies revenue rose 7% to $135 million, but operating income fell to $14.7 million and margin to 11% from 13%, which the release ties to more pass-through activity and certain program costs. Offshore Projects Group was essentially flat on both lines, at $172.52 million of revenue and $24.22 million of operating income, while Integrity Management & Digital Solutions grew revenue 7% from a year earlier to $75.81 million on flat operating income of $2.75 million.

Cash conversion and the 2027 EBITDA target

Adjusted EBITDA rose 7% to $119 million from a year earlier. Operating cash flow was $163 million and free cash flow $142 million, 84.2% above the $77.05 million generated a year earlier. Cash and equivalents stood at $735 million at quarter-end against $506 million a year earlier, and the company puts total liquidity, including revolver capacity, above $1.0 billion. For the fourth quarter Oceaneering guides consolidated EBITDA of $85 million to $95 million and expects revenue to increase, with Subsea Robotics operating income lower as rigs transit out of the U.S. Gulf and mobilization costs rise. It set initial 2027 consolidated EBITDA guidance of $430 million to $480 million and said free cash flow should exceed the 2026 forecast.

Rod Larson, chief executive, said “Our third-quarter results were in line with our guidance and consensus estimates.” He added that “we are initiating full-year 2027 EBITDA guidance in the range of $430 million to $480 million.” The release publishes no consensus figure against which that first claim can be checked here, and it gives no quarterly revenue amount, no 2027 revenue range and no segment-level 2027 guidance. Larson also said “We expect free cash flow generation to moderate in the fourth quarter, but we remain on track to achieve the top end of our full-year guidance.”

Oceaneering holds its third-quarter conference call on Thursday, October 22, 2026, at 10 a.m. Central. The next scheduled disclosure is the fourth-quarter 2026 release, when the company says it will provide more specific 2027 guidance.