Bristow Group — Third Quarter 2026 Earnings Summary

Financial Performance:

• Total revenues were $437.9 million in Q3 2026, an increase of $26.2 million (6.4%) compared to $411.8 million in Q2 2026.
• Net income attributable to Bristow Group Inc. was $27.7 million ($0.93 per diluted share) in Q3 2026, compared to $21.2 million ($0.70 per diluted share) in Q2 2026.
• Adjusted EBITDA was $89.6 million in Q3 2026, up from $79.8 million in Q2 2026.
• Operating income was $47.7 million in Q3 2026, compared to $39.6 million in Q2 2026.
• Net cash provided by operating activities was $61.2 million in Q3 2026, compared to $41.1 million in Q2 2026.
• Free Cash Flow was $56.0 million in Q3 2026, compared to $34.3 million in Q2 2026.
• Adjusted Free Cash Flow was $64.3 million in Q3 2026, compared to $35.8 million in Q2 2026.
• Total assets were $2.42 billion as of September 30, 2026, compared to $2.31 billion as of December 31, 2025.
• Total liabilities were $1.32 billion as of September 30, 2026, compared to $1.25 billion as of December 31, 2025.
• Deferred revenue was $39.0 million as of September 30, 2026, compared to $22.4 million as of December 31, 2025.
• Long-term debt was $714.4 million as of September 30, 2026, compared to $643.5 million as of December 31, 2025.

Guidance and Future Outlook:

• The Company affirmed its 2026 Adjusted EBITDA midpoint guidance of $300 million to $320 million.
• Full-year 2026 revenue guidance remains $1.64 billion to $1.70 billion.
• Full-year 2026 Adjusted Operating Income guidance remains: Offshore Energy Services ($240M–$250M), Government Services ($35M–$45M), and Other Services ($25M–$30M).
• Management expects supply chain issues to stabilize during 2027, facilitating a return to historically strong margins on long-term government contracts.
• Growth from Bristow Special Missions (formerly Berry Aviation) is expected to accelerate in the fourth quarter of 2026 and full-year 2027.
• Management maintains a positive outlook for the business, citing favorable offshore energy fundamentals and a tight supply of relevant offshore helicopters.

Business Segments and Product Lines:

• Offshore Energy Services: Revenues were $256.0 million (down 2.1% sequentially). Operating income was $49.2 million (up 6.9% sequentially) with an operating margin of 19%. Revenue in Europe decreased $10.9 million due to lower utilization; Americas increased $6.0 million due to higher utilization and rates; Africa decreased $0.7 million due to higher penalties.
• Government Services: Revenues were $130.0 million (up 15.9% sequentially). Operating loss was $1.4 million (improved from $2.1 million loss in Q2). The segment includes $16.9 million in revenue from the acquisition of Berry Aviation. UK SAR revenues increased $1.6 million due to lower penalties and higher fuel revenues; Irish Coast Guard revenues decreased $0.7 million due to higher penalties.
• Other Services: Revenues were $51.9 million (up 36.8% sequentially). Operating income was $9.9 million (up from $2.9 million in Q2). Revenue growth was driven by $9.2 million from the BSM acquisition and $4.8 million from increased activity in Australia.
• Acquisition: Bristow Special Missions Inc. (formerly Berry Aviation) closed in July 2026 and contributed to revenue and operating results in the third quarter.
• Fleet: Total fleet count was 234 aircraft as of September 30, 2026 (195 helicopters, 36 fixed-wing, 3 UAS). There are 3 aircraft under construction and 14 options outstanding.

Market and Competitive Landscape:

• Management notes that positive offshore energy fundamentals and a tight supply of relevant offshore helicopters create favorable industry conditions not seen in over a dozen years.
• The company operates in a diversified geographic footprint including Australia, Benin, Brazil, Canada, Chile, Djibouti, the Dutch Caribbean, the Falkland Islands, Ireland, Kenya, the Marshall Islands, the Netherlands, Nigeria, Norway, the Philippines, Spain, Suriname, Trinidad, the UK, and the US.

Risks and Challenges:

• Persistent industry supply chain challenges are impacting the business, specifically causing delays in aircraft modification programs for new search and rescue contracts.
• These delays are depressing current margins in the Government Services business.
• Risks include reliance on limited helicopter manufacturers and suppliers, potential aircraft component shortages, and delays in S92 and AW189 fleet parts delivery.
• Other risks include inflation, increased fuel prices, geopolitical instability, foreign exchange fluctuations, and potential labor issues.

Management Commentary and Tone:

• Chris Bradshaw, President and CEO, stated the business is performing well despite adverse supply chain impacts.
• Management expressed confidence in the balance of the portfolio and a very positive outlook for the business.
• The tone regarding the offshore energy sector is optimistic, citing robust profitability and favorable market conditions.
• Management expects the supply chain issues affecting government contracts to resolve in 2027.

Other Key Points:

• The Company repurchased 547,785 shares for $25.0 million in Q3 2026 (average price $45.64 per share).
• As of September 30, 2026, $96.0 million remained available under the $125.0 million share repurchase program authorized in February 2025.
• A quarterly cash dividend of $0.125 per share was declared on October 29, 2026, payable November 27, 2026.
• Through the first nine months of 2026, the Company paid over $11 million in cash dividends and repurchased over $36 million of common shares.
• The Company sold one AW189 heavy helicopter and two AW139 medium helicopters in Q3 2026, resulting in net gains of $1.9 million.
• Liquidity was $287.3 million as of September 30, 2026, consisting of $233.4 million in unrestricted cash and $53.9 million available under the asset-based revolving credit facility.
• Goodwill of $23.4 million was recorded as of September 30, 2026, resulting from the Berry Aviation acquisition.