Bristow Reports Strong Q2 Profit Growth Amid Ongoing Government Segment Challenges
On August 4, Bristow Group (NYSE:VTOL) reported a significant increase in second-quarter net income to $21.2 million or $0.70 per diluted share from $13.1 million or $0.44 per share the previous quarter. Total revenue rose to $411.8 million, and adjusted EBITDA increased sharply to $79.8 million. The company's Offshore Energy Services segment showed improved efficiency with an operating margin expansion to 18% from 14%. Bristow also completed its acquisition of Berry Aviation for $105 million in cash on July 13, enhancing its Government Services capabilities. Despite these gains, the Government Services segment reported a swing to an operating loss of $2.1 million due to penalties related to aircraft availability and supply chain issues costing $3.6 million. New bases in the UK and Ireland contributed to higher revenue but also increased personnel costs. The corporate line saw wider losses primarily from non-recurring gains on helicopter sales last quarter. Bristow ended Q2 with strong liquidity, including $312.3 million in unrestricted cash and positive operating cash flow of $41.1 million. It maintained its capital return program by declaring a quarterly dividend.
