Subsea 7 (OTCMKTS:SUBCY) Posts Quarterly Earnings Results, Beats Expectations By $0.11 EPS

Key Points

• Subsea 7 reported $0.45 earnings per share, exceeding analysts' expectations of $0.34 by $0.11, despite revenue falling short at $1.76 billion against estimates of $1.84 billion.
• The company announced a significant increase in its dividend to $0.5822, which represents a remarkable yield of 529.0% and a payout ratio of 181.25%.
• Stock performance saw a decline, trading down to $19.04, with analysts adjusting ratings; Wall Street Zen moved their rating from "buy" to "hold", whereas UBS maintained an "outperform" rating.

Subsea 7 (OTCMKTS:SUBCY - Get Free Report) posted its quarterly earnings data on Thursday. The energy company reported $0.45 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.34 by $0.11, Zacks reports. The company had revenue of $1.76 billion during the quarter, compared to analyst estimates of $1.84 billion. Subsea 7 had a return on equity of 6.12% and a net margin of 3.80%. Subsea 7 updated its FY 2025 guidance to EPS.

Subsea 7 Trading Up 0.7%

Shares of OTCMKTS:SUBCY traded up $0.13 during midday trading on Tuesday, hitting $19.00. 2,908 shares of the stock traded hands, compared to its average volume of 7,017. The company has a quick ratio of 1.02, a current ratio of 1.04 and a debt-to-equity ratio of 0.12. The business's 50 day moving average is $18.85 and its two-hundred day moving average is $16.67. The stock has a market capitalization of $5.74 billion, a PE ratio of 21.35 and a beta of 1.43. Subsea 7 has a one year low of $12.15 and a one year high of $20.42.

Subsea 7 Increases Dividend

The business also recently disclosed a dividend, which was paid on Thursday, May 22nd. Stockholders of record on Friday, May 16th were paid a dividend of $0.5822 per share. This represents a dividend yield of 529.0%. This is a boost from Subsea 7's previous dividend of $0.28. The ex-dividend date of this dividend was Thursday, May 15th. Subsea 7's payout ratio is currently 130.34%.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on SUBCY. Wall Street Zen raised Subsea 7 from a "hold" rating to a "buy" rating in a report on Tuesday. UBS Group reissued an "outperform" rating on shares of Subsea 7 in a research note on Thursday, May 1st. Two analysts have rated the stock with a hold rating, two have given a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, Subsea 7 has a consensus rating of "Moderate Buy".

About Subsea 7

Subsea 7 SA delivers offshore projects and services for the energy industry worldwide. It provides subsea field development products and services, including project management, design and engineering, procurement, fabrication, survey, installation, and commissioning of production facilities on the seabed and the tie-back of its facilities to fixed or floating platforms or to the shore.