Subsea 7 reports earnings growth and confirms merger with Saipem

Subsea 7 has reported a marked increase in its results for the second quarter of 2025, with revenue of $1.76bn (USD1.76bn) and net profit of $131mn (USD131mn). Adjusted earnings before interest, tax, depreciation and amortisation (Adjusted EBITDA) reached $360mn (USD360mn), up 23% from the previous year, representing a margin of 21%. This performance is based on the strength of both Subsea and Conventional as well as Renewables activities, which posted margins of 21% and 17% respectively.

A robust backlog and international operations
Subsea 7’s order backlog stood at $11.8bn (USD11.8bn) as of 30 June, providing more than 90% visibility on expected revenue for 2025. Orders booked in the quarter reached $2.5bn (USD2.5bn), corresponding to a book-to-bill ratio of 1.4. This momentum is explained by the signing of new contracts, notably in long-cycle subsea markets and certain offshore wind projects.

Quarterly operations extended across several key geographical areas. In Angola, the vessels Seven Arctic and Seven Borealis completed installation of flexibles, umbilicals and manifolds at the Agogo field. In Norway, Seven Navica continued its work on the Yggdrasil project, while Seven Oceanic completed a campaign in Australia before heading north. In Brazil, Seven Cruzeiro began a new three-year contract with Petróleo Brasileiro S.A. (Petrobras).

Renewables and financial position
In the renewables sector, Subsea 7 progressed on several major sites in Europe, including monopile installation for the Dogger Bank C and East Anglia THREE projects in the United Kingdom, as well as cable installation at He Dreiht in Germany. This diversification supports business resilience, despite a wind energy market dependent on certain short-term regulatory allocations.

Financially, the company ended the quarter with net debt including lease liabilities of $695mn (USD695mn), equal to 0.6 times adjusted EBITDA generated over the last twelve months. Operating cash flow reached $339mn (USD339mn), while investments in fixed assets amounted to $81mn (USD81mn).

2025 outlook and merger with Saipem
Subsea 7 reaffirms its targets for the year, expecting revenue between $6.8bn (USD6.8bn) and $7.2bn (USD7.2bn), and an adjusted EBITDA margin between 18% and 20%. The definitive agreement signed with Saipem outlines a merger of equals that will create a new global leader in energy services.

The group relies on a solid order backlog and a sustained tendering activity to approach the second half of the year. According to management, high activity levels in subsea markets and diversification into renewables pave the way for margin improvement in 2026.