Tidewater Posts $600M EBITDA, $430M Free Cash Flow; Acquires $500M Tug Fleet
Tidewater generated $600 million in EBITDA and $430 million in free cash flow in 2025, while Q4 revenue reached $336.8 million on stronger day rates and utilization. The company completed a $500 million acquisition of Wilson Sons Offshore Ultra Tug and restructured vessel ownership to boost operational efficiency.
1. Record Financial Performance
Tidewater delivered its strongest annual results with nearly $600 million in EBITDA and $430 million in free cash flow for 2025, surpassing previous industry highs and reflecting robust operational execution.
2. Q4 Results Details
Fourth quarter revenue climbed to $336.8 million driven by higher average day rates and improved utilization, although average day rates dipped 3% versus Q3. No share repurchases took place as insurance and diesel costs rose modestly due to geopolitical tensions.
3. Strategic Acquisition and Restructuring
The company closed a $500 million deal to acquire Wilson Sons Offshore Ultra Tug and executed an internal restructuring to consolidate vessel ownership, aiming to enhance operational efficiency and maintain a strong balance sheet.
4. Operating Outlook and Guidance
Management projects a flat market in 2026 with free cash flow averaging around $300 million despite elevated CapEx, and anticipates market tightening in H2 leading to day rate increases of $3,000–$4,000 per day in 2027–28, supported by improving Middle East and West Africa activity.