Seadrill 2025 Q2 Earnings Sharp Net Loss Amid Contract Wins
Generated by AI AgentAinvest Earnings Report Digest
Friday, Aug 8, 2025 9:26 am ET1min read
SDRL--
Aime Summary
Aime SummarySeadrill reported earnings for fiscal 2025 Q2 on August 7, 2025, with revenue slightly up and a significant net loss. The results fell well below prior-year profitability, with no immediate guidance adjustments provided.
Seadrill posted a 1.1% revenue increase year-over-year to $377 million. The company’s revenue was driven by contract operations, which contributed $288 million, while management contracts added $65 million. Reimbursable revenues and leasing activities accounted for $16 million and $8 million, respectively.
The total operating revenue amounted to $377 million.
Seadrill swung to a net loss of $42 million, or $0.68 per share, in Q2 2025, a significant deterioration from the net income of $253 million, or $3.61 per share, in Q2 2024. This represents a 116.6% decline in net income and a 118.8% negative change in EPS, marking a disappointing earnings performance. The sharp drop in profitability highlights operational and financial headwinds.
The stock price of SeadrillSDRL-- has edged down 0.00% during the latest trading day, has dropped 3.40% during the most recent full trading week, and has dropped 6.85% month-to-date.
Post-earnings trading strategies for Seadrill have underperformed significantly. A strategy of buying SDRL when earnings beat and holding for 30 days yielded a CAGR of -0.84% and an excess return of -69.10%, far worse than the 66.77% benchmark return. The strategy's maximum drawdown of 0.00% and a Sharpe ratio of -0.02 underscore its poor risk-return profile.
Seadrill President and CEO Simon Johnson highlighted the conversion of prior customer dialogues into new contracts, emphasizing the West Vela’s strong operating performance and the Sevan Louisiana contract as a strategic win. Johnson noted the disciplined contracting approach, robust balance sheet, and operational excellence as key drivers for long-term shareholder value amid improving market conditions.
The company expects material progress on additional fixtures in the near future, with the West Vela commencing its new contract mid-November 2025 and the Sevan Louisiana working into November 2025. Seadrill will continue to leverage its disciplined contracting approach and operational focus to drive performance as market conditions improve.
Additional News
On the same date as Seadrill’s earnings report, Nigeria’s Abuja Technology Village Free Zone faced a potential revocation of its license amid a dispute with the Federal Capital Territory Administration and the Nigeria Export Processing Zones Authority (NEPZA). Meanwhile, the Africa Centres for Disease Control and Prevention reported a 58% drop in mpox cases across the continent, signaling a positive development in disease management. In global markets, U.S. gold futures hit a record high following the imposition of tariffs on gold bullion bars.
Seadrill posted a 1.1% revenue increase year-over-year to $377 million. The company’s revenue was driven by contract operations, which contributed $288 million, while management contracts added $65 million. Reimbursable revenues and leasing activities accounted for $16 million and $8 million, respectively.
The total operating revenue amounted to $377 million.
Seadrill swung to a net loss of $42 million, or $0.68 per share, in Q2 2025, a significant deterioration from the net income of $253 million, or $3.61 per share, in Q2 2024. This represents a 116.6% decline in net income and a 118.8% negative change in EPS, marking a disappointing earnings performance. The sharp drop in profitability highlights operational and financial headwinds.
The stock price of SeadrillSDRL-- has edged down 0.00% during the latest trading day, has dropped 3.40% during the most recent full trading week, and has dropped 6.85% month-to-date.
Post-earnings trading strategies for Seadrill have underperformed significantly. A strategy of buying SDRL when earnings beat and holding for 30 days yielded a CAGR of -0.84% and an excess return of -69.10%, far worse than the 66.77% benchmark return. The strategy's maximum drawdown of 0.00% and a Sharpe ratio of -0.02 underscore its poor risk-return profile.
Seadrill President and CEO Simon Johnson highlighted the conversion of prior customer dialogues into new contracts, emphasizing the West Vela’s strong operating performance and the Sevan Louisiana contract as a strategic win. Johnson noted the disciplined contracting approach, robust balance sheet, and operational excellence as key drivers for long-term shareholder value amid improving market conditions.
The company expects material progress on additional fixtures in the near future, with the West Vela commencing its new contract mid-November 2025 and the Sevan Louisiana working into November 2025. Seadrill will continue to leverage its disciplined contracting approach and operational focus to drive performance as market conditions improve.
Additional News
On the same date as Seadrill’s earnings report, Nigeria’s Abuja Technology Village Free Zone faced a potential revocation of its license amid a dispute with the Federal Capital Territory Administration and the Nigeria Export Processing Zones Authority (NEPZA). Meanwhile, the Africa Centres for Disease Control and Prevention reported a 58% drop in mpox cases across the continent, signaling a positive development in disease management. In global markets, U.S. gold futures hit a record high following the imposition of tariffs on gold bullion bars.
Que la lista de los informes de ganancias de las empresas destacadas sea conocida después de que cierren hoy y antes de que abran mañana.
Latest Articles
Stay ahead of the market.
Get curated U.S. market news, insights and key dates delivered to your inbox.
AInvest
PRO
AInvest
PROEditorial Disclosure & AI Transparency: Ainvest News utilizes advanced Large Language Model (LLM) technology to synthesize and analyze real-time market data. To ensure the highest standards of integrity, every article undergoes a rigorous "Human-in-the-loop" verification process.
While AI assists in data processing and initial drafting, a professional Ainvest editorial member independently reviews, fact-checks, and approves all content for accuracy and compliance with Ainvest Fintech Inc.’s editorial standards. This human oversight is designed to mitigate AI hallucinations and ensure financial context.
Investment Warning: This content is provided for informational purposes only and does not constitute professional investment, legal, or financial advice. Markets involve inherent risks. Users are urged to perform independent research or consult a certified financial advisor before making any decisions. Ainvest Fintech Inc. disclaims all liability for actions taken based on this information. Found an error?Report an Issue
Comments
No comments yet