The following is a summary of the Borr Drilling Limited (BORR) Q2 2024 Earnings Call Transcript:

Financial Performance:

• Q2 total operating revenues were $271.9 million, a 16% increase from Q1.

• Adjusted EBITDA for Q2 was $136.4 million, reflecting a 17% increase from the previous quarter.

• Net income for Q2 was $31.7 million, more than doubling from Q1 by $17.3 million.

• The company reported substantial liquidity with nearly $200 million in cash and an undrawn $150 million RCF.

Business Progress:

• All 22 delivered rigs are contracted and committed.

• The company has successfully secured several new long-term contracts for its rigs.

• Borr Drilling is set to complete its CapEx program on newbuild rigs in 2024, which allows future increases in shareholder returns.

• Projected strong demand for jackups will likely lead to sustained higher day rates, attributed to the aging global fleet and limited newbuild activity.

Opportunities:

• Expectation of strong market demand continues, with about 73% of the capacity contracted for 2025.

• New contracts have been secured at accretive day rates, showing strong revenue visibility for 2025.

Risks:

• The contract suspension in Saudi Arabia led to the need to obtain replacement contracts, though successfully done so at higher day rates and longer contract duration.

• No new rigs have been ordered in nearly a decade, which couples current market conditions with both an opportunity and a risk tied to the aging fleet.

Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.