Oceaneering International Posts $35.9M Profit in Q1 2026 on $692.4M Revenue

Oceaneering International Inc. (NYSE: OII), a subsea engineering and applied technology company, reported net income of $35.9 million for the quarter ending March 31, 2026, down 28% from $49.4 million in the same period a year earlier. Revenue for the quarter rose 3% to $692.4 million from $674.5 million. Read more earnings reports.

Operating income fell 21% to $57.8 million from $73.5 million in the prior-year quarter. The company's operating margin compressed to 8.3% from 10.9% a year ago as selling, general and administrative expenses increased 13% to $69.5 million from $61.5 million.

Diluted earnings per share came in at $0.36, down from $0.49 in the first quarter of 2025. Basic earnings per share dropped to $0.36 from $0.50.

Segment Performance

The company's largest segment, Subsea Robotics, generated revenue of $214.3 million, up 4% from $206.0 million a year earlier. Manufactured Products revenue rose 6% to $143.6 million from $135.0 million. Offshore Projects Group revenue fell 18% to $135.4 million from $164.9 million.

Integrity Management & Digital Solutions posted revenue of $67.9 million, down 5% from $71.4 million. The Aerospace and Defense Technologies segment jumped 35% to $131.2 million from $97.2 million in the prior-year quarter.

Cash Position and Debt

Cash and restricted cash totaled $607.5 million as of March 31, 2026, down from $688.9 million at year-end 2025. The company burned $59.1 million in operating cash during the quarter compared to a $80.7 million outflow in the first quarter of 2025.

Long-term debt stood at $488.8 million as of quarter-end, up slightly from $487.4 million at December 31, 2025. Total assets declined to $2.64 billion from $2.67 billion at year-end.

Capital expenditures for investing activities totaled $15.3 million compared to $24.3 million in the year-ago period. Financing activities consumed $8.8 million in cash versus $15.6 million a year earlier.

Balance Sheet Metrics

Stockholders' equity increased to $1.11 billion as of March 31, 2026, from $1.07 billion at December 31, 2025. Total liabilities and equity stood at $2.64 billion. Current assets were $1.52 billion against current liabilities of $729.2 million.

Accounts receivable rose to $371.8 million from $308.5 million at year-end, while inventory increased to $208.2 million from $201.6 million. Gross profit for the quarter was $127.3 million compared to $135.0 million in the prior-year period.

Interest expense for the quarter was $9.1 million, essentially flat with $9.1 million in the prior-year period. Income tax expense declined to $18.7 million from $19.0 million a year earlier.