Helix Energy Solutions Swings to $13.4M Q1 Loss as Margins Collapse
Helix Energy Solutions Group, an offshore energy services provider, posted a net loss of $13.4 million for the first quarter of fiscal 2026, reversing a $3.1 million profit in the year-ago period.
Helix Energy Solutions Group, Inc. (NYSE: HEX), an offshore energy services provider, swung to a net loss of $13.4 million for the three months ending March 31, 2026, compared with net income of $3.1 million in the same quarter of 2025. Read more earnings reports.
The company reported revenue of $287.9 million for Q1 2026, up 3.6% from $278.1 million in the prior-year quarter. However, cost of revenue surged 11.4% to $279.1 million from $250.5 million, compressing gross profit by 68% to $8.8 million from $27.5 million.
Operating income flipped to a loss of $13.3 million in the quarter, down from operating income of $8.2 million a year earlier. Selling, general and administrative expenses climbed to $22.1 million from $19.4 million, contributing to the deterioration in operating performance.
The company reported a loss of $0.09 per diluted share for the quarter, compared with earnings of $0.02 per diluted share in Q1 2025. The weighted average diluted share count declined to 147.2 million from 152.2 million.
Balance Sheet and Cash Position
Total assets stood at $2.57 billion as of March 31, 2026, down from $2.62 billion at the end of December 2025. Cash and cash equivalents increased to $501.3 million from $445.2 million at year-end 2025.
Accounts receivable fell to $230.1 million from $303.9 million during the quarter, while property, plant and equipment declined to $1.32 billion from $1.36 billion.
Total liabilities decreased to $1.01 billion from $1.04 billion. Long-term debt edged down to $294.4 million from $298.4 million. Current liabilities declined to $281.1 million from $299.7 million.
Stockholders' equity stood at $1.56 billion as of March 31, 2026, compared with $1.58 billion three months earlier. Retained earnings declined to $385.5 million from $398.9 million as the quarterly loss reduced accumulated profits.
Cash Flow Performance
Cash from operations surged to $61.8 million in Q1 2026 from $16.4 million in the year-ago quarter, despite the net loss. Cash used in investing activities totaled $2.8 million, down from $4.5 million in Q1 2025. Cash used in financing activities was $4.3 million, compared with $11.1 million a year earlier.
Key Financial Metrics
| Metric (in millions, except per-share) | Q1 2026 | Q1 2025 |
|---|---|---|
| Revenue | $287.9 | $278.1 |
| Cost of Revenue | $279.1 | $250.5 |
| Gross Profit | $8.8 | $27.5 |
| Operating Income (Loss) | ($13.3) | $8.2 |
| Net Income (Loss) | ($13.4) | $3.1 |
| EPS (Diluted) | ($0.09) | $0.02 |
| Cash from Operations | $61.8 | $16.4 |
The company had 147.3 million shares outstanding as of March 31, 2026, compared with 147.2 million at the end of 2025.