Reports Fourth Quarter and Full-Year 2025 Financial Results, Highlighting Operational Performance and Strategic Growth Initiatives
Helix Energy Solutions Group, Inc. (NYSE: HLX) reported its financial and operational results for the fourth quarter and full year ended December 31, 2025, delivering solid cash flow generation and maintaining a strong liquidity position despite a volatile offshore energy market and lower year-over-year oil prices.
Fourth Quarter 2025 Financial Overview
For the fourth quarter of 2025, Helix reported net income of $8.3 million, or $0.06 per diluted share. This compares to net income of $22.1 million, or $0.15 per diluted share, in the third quarter of 2025 and $20.1 million, or $0.13 per diluted share, in the fourth quarter of 2024. Results for the fourth quarter of 2025 included a non-cash, pre-tax impairment charge of approximately $18.1 million related to certain oil and gas properties, specifically the Thunder Hawk field within the Production Facilities segment.
Adjusted EBITDA for the fourth quarter of 2025 was $73.9 million. While this was down from $103.7 million in the prior quarter, it marked an improvement compared to $71.6 million in the fourth quarter of 2024. Management noted that the fourth quarter EBITDA represented the company’s highest fourth quarter performance since 2013, underscoring the resilience of its operations amid seasonal slowdowns and macroeconomic headwinds.
Revenues for the fourth quarter totaled $334.2 million, compared to $377.0 million in the third quarter of 2025 and $355.1 million in the fourth quarter of 2024. Gross profit was $50.7 million, representing a 15% margin, compared to 18% in the prior quarter and 17% in the year-ago period.
Operating cash flow was a standout metric for the quarter, reaching $113.2 million, significantly higher than $24.3 million in the third quarter and $78.0 million in the fourth quarter of 2024. Free Cash Flow totaled $107.5 million, reflecting strong working capital improvements and disciplined capital spending of $5.7 million during the quarter.
At year-end, Helix held $445.2 million in cash and cash equivalents, compared to $368.0 million at the end of 2024. Consolidated long-term debt stood at $308.0 million, resulting in negative net debt of $137.2 million, further strengthening the company’s balance sheet and financial flexibility.
Full Year 2025 Financial Performance
For the full year 2025, Helix reported net income of $30.8 million, or $0.21 per diluted share, compared to $55.6 million, or $0.36 per diluted share, for full year 2024. Adjusted EBITDA for 2025 was $272.0 million, down from $303.1 million in 2024.
Total revenue for 2025 was $1.29 billion, compared to $1.36 billion in 2024. Gross profit for the year was $159.1 million, representing a 12% margin versus 16% in 2024. Operating cash flow for 2025 was $136.7 million, compared to $186.0 million in 2024, with the decline primarily driven by lower earnings, higher regulatory certification costs, and working capital outflows.
Free Cash Flow for 2025 totaled $120.4 million, compared to $163.2 million in 2024. Capital expenditures declined to $16.3 million in 2025 from $23.3 million in the prior year, reflecting disciplined investment.
During 2025, Helix repurchased approximately 4.6 million shares for $30.2 million, compared to 2.9 million shares for $29.6 million in 2024.
Segment Performance
Well Intervention
Well Intervention revenues were $181.0 million in the fourth quarter of 2025, down 6% sequentially and 20% year over year. The sequential decline was primarily due to lower utilization on the Sea Helix 1 and Well Enhancer, partially offset by higher utilization on the Q4000. Vessel utilization declined to 72% in the fourth quarter from 76% in the prior quarter.
Year over year, lower revenues were driven by reduced utilization on the Q4000, Seawell, and Sea Helix 1. The Seawell was stacked during the quarter, and the fourth quarter of 2024 included a $14 million contract cancellation fee that did not recur in 2025.
For the full year, Well Intervention revenues decreased 12% to $729.4 million due to lower utilization, particularly from the Seawell being stacked throughout 2025 and increased docking days across several vessels. Operating income for the segment declined significantly year over year, reflecting lower revenues partially offset by cost controls.
Robotics
Robotics revenues totaled $87.3 million in the fourth quarter of 2025, down 12% sequentially but up 7% year over year. The sequential decline reflected winter slowdowns in North Sea operations, resulting in lower vessel, trenching, and ROV utilization.
Trenching on third-party vessels remained strong, with 137 days recorded during the fourth quarter of 2025 compared to just 26 days in the prior-year quarter. Site clearance operations also increased year over year. However, integrated vessel trenching days declined.
For the full year, Robotics revenues increased 9% to $323.4 million, driven by increased third-party trenching and improved project rates. Operating income decreased slightly due to margin compression on certain projects despite higher revenues.
Shallow Water Abandonment
Shallow Water Abandonment revenues were $57.6 million in the fourth quarter of 2025, down sequentially due to seasonal slowdown in the Gulf of America shelf but up 53% year over year. The Epic Hedron heavy lift barge achieved 92% utilization during the quarter, significantly higher than the prior year.
For the full year, revenues increased 7% to $199.6 million. The segment delivered operating income of $10.5 million in 2025, compared to an operating loss in 2024. Higher utilization, improved margins, and disciplined cost management drove the turnaround.
Production Facilities
Production Facilities generated $17.3 million in fourth quarter revenues, slightly lower both sequentially and year over year due to reduced oil and gas production from the Droshky field and increased contractual credits related to the Helix Fast Response System. The Thunder Hawk field remained shut in during the quarter.
A non-cash impairment charge of $18.1 million was recorded in the fourth quarter related to the Thunder Hawk field, reflecting lower oil prices and higher expected operating costs.
For the full year, revenues declined 18% to $72.7 million due to the Thunder Hawk shutdown and lower realized oil prices, which declined 12% year over year. Operating income decreased modestly compared to 2024.
Cost Structure and Expenses
Selling, general and administrative (SG&A) expenses for the fourth quarter were $20.3 million, or 6.1% of revenue, compared to $18.2 million in the prior quarter and $27.6 million in the fourth quarter of 2024. The sequential increase was driven primarily by higher employee compensation costs, while the year-over-year decline reflected lower compensation-related expenses.
For the full year, SG&A expenses declined to $75.9 million from $91.7 million in 2024, reflecting ongoing cost discipline.
Other expense, net, was $0.5 million in the fourth quarter of 2025 and $1.4 million for the full year, both lower than 2024 levels.
Liquidity and Financial Position
Helix ended 2025 with total liquidity of $553.6 million, including $445.2 million in cash and $110.9 million available under its ABL facility. With negative net debt of $137.2 million, the company maintains substantial financial flexibility to navigate market volatility and pursue strategic opportunities.
Management highlighted that oil prices declined nearly 20% year over year, contributing to slower offshore activity. However, the company secured a multi-year plug and abandonment program in the UK North Sea covering up to 34 subsea wells, positioning Helix for future work.
