8/5/2026

speaker
Ami
Conference Operator

Good day, everyone, and welcome to Bristow Group's second quarter of 2026 earnings call. Today's call is being recorded. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during that time, simply press star followed by the number five on your telephone keypad. At this time, I would like to turn the call over to Red Tillohan, Senior Manager of Investor Relations and Financial Reporting.

speaker
Red Tillohan
Senior Manager of Investor Relations and Financial Reporting

Thank you, Ami. Good morning, everyone, and welcome to Bristow Group's second quarter of 2026 earnings call. I am joined on the call today with our President and Chief Executive Officer, Chris Bradshaw, and Senior Vice President and Chief Financial Officer, Jennifer Whalen. Before we begin, I'd like to take this opportunity to remind everyone that during the course of this call, management may make forward-looking statements that are subject to risks and uncertainties that are described in more detail on slide three of our investor presentation. You may access the investor presentation on our website. We will also reference certain non-GAAP financial measures such as EBITDA and free cash flow. A reconciliation of such measures to GAAP is included in the earnings release and the investor presentation. I will now turn the call over for President and CEO. Bristow?

speaker
Chris Bradshaw
President and Chief Executive Officer

Thank you, Red. I'll begin with a brief note on safety, which remains Bristow's number one core value and highest operational priority. The company has delivered on our goal of zero air accidents year-to-date 2026. With regard to occupational safety, we are pleased that the number of lost work days is down from this time last year, and we are on track to achieve our third consecutive year of fewer lost work days. I would like to thank everyone on the Bristow team for their continued commitment to play safety first every day. We close on the acquisition of Barry Aviation on July 13th, and we are excited to welcome the Barry team to Bristow. Headquartered in San Marcos, Texas, Barry Aviation operates a fleet of more than 20 aircraft, primarily providing military and defense aviation services across multiple countries. Through its government services offering, Barry provides a broad range of services such as special missions, ISR operations, MRO Services, Training and Mission Support, and Unmanned Aerial Systems Design and Development Capabilities. Barry's other services consist of on-demand cargo logistics for blue chip end customers and aftermarket supply chain aviation solutions. Barry has extensive experience supporting all branches of the U.S. military, and a record of excellence in completing missions that demand precision, safety and strict compliance. Bristow and Barry share a cultural emphasis on safety, reliability and rapid response in complex environments. And through this transaction, customers will benefit from Bristow's scale, operational expertise and global platform. We now have a presence on six continents across 20 different countries. Various specialized capabilities across a range of mission-critical operations and strong customer relationships are complementary to our existing government services operations, better positioning Bristow to compete for long-duration government programs. The acquisition is expected to enhance the quality of Bristow's earnings through increased exposure to contracted government services and multi-mission aviation activities, supporting a more durable and balanced business profile. The acquisition is also expected to be immediately accretive to Bristow's earnings and free cash flow while bolstering the company's EBITDA margin profile. In a separate initiative, we announced that Bristow is pursuing the sale of our Norway offshore energy services business as part of our longstanding portfolio optimization strategy. The exit is consistent with Bristow's ongoing strategy to deploy assets and resources and markets with attractive margin profiles and value accretive returns on capital. Bristow remains focused on growing our global offshore energy services business and markets that meet our financial return parameters. We also expect to continue pursuing other opportunities in Norway, such as those in the advanced air mobility space. We should note that the timing and structure of any sale transaction remains subject to market conditions and other considerations. I would further note that the planned exit of the Norway OES business and the addition of Barry Aviation would have been neutral to Bristow's 2025 EBITDA on a pro forma basis. Turning now to our financial outlook, Bristow's second quarter financial results keep us on track for what is expected to be a transformational year for the company. We are pleased to affirm our adjusted EBITDA guidance range for full year 2026 of $295 to $325 million, which reflects year-over-year growth of approximately 25%. The ability to confirm this outlook despite macro uncertainties and continued supply chain challenges that are adversely impacting our government search and rescue contract transitions is a testament to the complementary nature of Bristow's business segments. and the benefits provided by the significant geographic and customer diversity in our business model. I'll have more comments on the strong tailwinds poised to benefit the company later in the call. But for now, I will hand it over to our CFO for a detailed discussion of Q2 results and our financial outlook. Jennifer?

Disclaimer

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Investor presentation