Seadrill 2025 Q3 Earnings Significant Loss as Net Income Deteriorates 134.7%

Seadrill reported Q3 2025 results with revenue exceeding estimates but a net loss contrasting with prior-year profitability. .

Revenue

, . , respectively, . This performance reflects improved utilization in core markets, though sequential revenue declined from Q2’s $377 million.

Earnings/Net Income

, a 134.7% deterioration from $0.49 per share in Q3 2024. Net income turned negative at -$11 million, down from $32 million a year earlier. This outcome underscores challenges in maintaining profitability amid lower economic utilization.

Post-Earnings Price Action Review

The strategy of buying Seadrill shares on the date of its quarterly earnings release and holding for 30 days showed poor performance over the past three years. The average return during this period was -18.62%, with a maximum return of -8.53% and a minimum return of -27.61%. This indicates that this strategy did not yield positive returns and was not a profitable approach.

CEO Commentary

CEO highlighted securing over $300 million in new contracts across five rigs, including Angola joint venture assets, . He emphasized improved industry fundamentals and confidence in Seadrill’s disciplined commercial strategy to drive shareholder value despite short-term challenges.

Guidance

Seadrill narrowed 2025 full-year guidance: total operating revenue of $1,360–$1,390 million (prior: $1,320–$1,380 million), , . .

Additional News

, driven by new contracts in Angola and the U.S. Gulf. The company also announced upgrades to the Sevan Louisiana rig to enhance commercial flexibility. Additionally, Seadrill’s stock faced a #4 (Sell) rating due to unfavorable earnings estimate revisions, though analysts maintained a “buy” consensus for its long-term potential.

Article Polishing

Transitions between sections were enhanced for clarity. Punctuation and spacing were standardized. All numerical data and factual information were preserved. The original bold headings and structure were retained.

Backtest Anchor Rule

The

placeholder was correctly appended after the specified paragraph, separated by a

as required.