Odfjell Drilling reported second-quarter revenue of $251 million, a 14.6% increase from $219 million in the same period last year, driven by higher contributions from its own fleet. The company’s EBITDA reached $162 million, representing a 64.5% margin, while normalized EBITDA excluding insurance-related adjustments stood at $129 million.
Own fleet revenue accounted for $221 million of total revenue, with the external fleet contributing $29 million. Net profit for the quarter was $57 million, supported by a $32 million positive EBITDA impact from insurance proceeds related to the recovery and repair of the Deepsea Atlantic following a major equipment failure. The rig returned to operations on August 2, 2026, after 106 days off-hire.
The company maintained a quarterly dividend of $0.25 per share, equating to a total payout of approximately $60 million and a trailing annualized yield of 10%. The ex-dividend date is set for September 3, 2026, with payment scheduled for September 17, 2026. Odfjell Drilling’s net debt stood at $862-$863 million, with available liquidity of $308 million, including $248 million in undrawn revolving credit facilities.
Fleet utilization remained strong, with the Deepsea Nordkapp and Deepsea Stavanger achieving 99% financial utilization, above the 10-year average of 97%. Sector-wide harsh-environment utilization currently hovers around 90%, a level historically associated with upward pressure on day rates. The company’s firm contract backlog for its own fleet reached $2.1 billion, with all units contracted through at least late 2027. The Deepsea Nordkapp has been extended through 2028 by Aker BP.
Shares of Odfjell Drilling rose 4.57% to $96.20 following the results, narrowing its 52-week range to between $73.60 and $112.00. The company’s equity ratio remained flat at 55%, based on total assets of approximately $2.6 billion.
