Noble Corporation reports a loss due to downtime in Brazil
In the second quarter, Noble Corporation reported a loss of $37 million due to the suspension of operations at two drilling rigs off the coast of Brazil. The company also lowered its revenue and EBITDA forecasts for 2026.
Petrus
In the second quarter, drilling company Noble Corporation reported a loss of $37 million following the suspension of operations of two drilling rigs off the coast of Brazil.
The quarterly report did not specify the reasons for halting the ultradeepwater rig Noble Faye Kozack and the semisubmersible rig Noble Courage. The company is continuing negotiations with its client, Petrobras, regarding the terms of the suspension.
According to the latest fleet status report, the contract for the Noble Faye Kozack with Petrobras is valid until January 2027, while the contract for the Noble Courage runs through December 2030.
The suspension of operations negatively impacted Noble’s financial results for the second quarter: revenues fell by 15% compared to the same period last year, totaling $720 million. Operating profit before interest, taxes, depreciation, and amortization (EBITDA) amounted to $212 million.
Analysts had forecast second-quarter revenue at $699 million and EBITDA at $222 million.
After the rigs were taken offline, the company lowered its revenue and EBITDA forecasts for 2026. Annual revenue is now expected to be between $2.8 and $2.9 billion, down from the previous forecast of $2.8 to $3 billion. The projected adjusted EBITDA is now between $850 and $925 million, compared to the earlier estimate of $940 million to $1.02 billion. The capital expenditure forecast for the current year remains unchanged at $615 to $665 million.
At the start of the week, Noble’s order backlog stood at $6.8 billion.
The company will hold its quarterly earnings conference on Tuesday.