SED Energy Holdings Plc reported second-quarter 2026 revenue of $71.5 million, beating a $69.6 million consensus estimate by 2.7% and rising 38% from the prior-year period. Adjusted EBITDA climbed 64% to $42.6 million, while net profit turned to $25.6 million from a $6.2 million loss in Q2 2025.
For the first half of 2026, revenue reached $141.3 million, up 24% year-over-year, with adjusted EBITDA at $81.5 million and free cash flow to the firm totaling $72 million. Operating expenses rose 5% to $24.7 million, while selling, general and administrative costs fell 58% to $4.3 million.
The company’s leverage ratio stood at 0.1x trailing twelve-month adjusted EBITDA, significantly below peers whose ratios range from 0.5x to 6.4x. Net interest-bearing debt was $17.6 million, supported by $39.4 million in unrestricted cash and $14.2 million in restricted cash. Three rigs and two vessels remain unencumbered.
SED Energy’s Energy Drilling segment generated $64.4 million in revenue, up from $44.5 million in Q2 2025, with adjusted EBITDA of $41.6 million and a 65% margin. Technical utilization reached 98%, while economic utilization was 99%. The segment operates four tender barges and two semi-submersibles in Southeast Asia, with day rates ranging from $83,000 to $160,000 per day; the GHTH semi-submersible commands $160,000 per day in Myanmar.
SeaBird Exploration contributed $7.3 million in revenue and $1.6 million in adjusted EBITDA, with technical utilization improving sequentially to 94% but economic utilization declining to 76% after the Eagle Explorer completed its contract in late May.
The group’s total revenue backlog stood at $342 million as of June 30, 2026, including $150 million scheduled for execution in 2026 and $103 million in 2027. Energy Drilling accounted for $318 million of the backlog, while SeaBird held $24 million.
SED Energy proposed a Q2 2026 distribution of $25 million, subject to shareholder approval, and maintained full-year 2026 guidance of $90 million to $110 million. Since the May 2025 merger, total distributions paid and proposed have reached NOK 1.72 per share, equivalent to roughly 32% of the implied market capitalization at the time of the combination.
The company’s shares slipped 0.88% to $7.90, within a 52-week range of $7.47 to $10.25.
