Civeo Corporation (NYSE:CVEO) Q4 2022 Earnings Conference Call February 28, 2023 11:00 AM ET

Company Participants

Regan Nielsen - Senior Director, Corporate Development & Investor Relations

Bradley Dodson - President, Chief Executive Officer and Director

Carolyn Stone - Senior Vice President, Chief Financial Officer and Treasurer

Conference Call Participants

Stephen Gengaro - Stifel

Steve Ferazani - Sidoti & Company

John Daniel - Daniel Energy Partners

Operator

Greetings. Welcome to Civeo Corporation Fourth Quarter 2022 Earnings Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions]. Please note, this conference is being recorded.

I will now turn the conference over to Regan Nielsen, Senior Director of Corporate Development and Investor Relations. Thank you. You may begin.

Regan Nielsen

Thank you, and welcome to Civeo's fourth quarter 2022 earnings conference call. Today, our call will be led by Bradley Dodson, Civeo's President and Chief Executive Officer; and Carolyn Stone, Civeo's Senior Vice President, Chief Financial Officer and Treasurer.

Before we begin, we would like to caution listeners regarding forward-looking statements. To the extent that our remarks today contain anything other than historical information, please note that we're relying on the safe harbor protections afforded by federal law. Any such remarks should be read in the context of the many factors that affect our business, including risks and uncertainties disclosed in our Forms 10-K, 10-Q and other SEC filings.

I'll now turn the call over to Bradley.

Bradley Dodson

Thank you, Regan, and thank you all for joining us today on our fourth quarter earnings call. I'll start with the key takeaways and then give a brief summary of our fourth quarter and full-year 2022 performance. Carolyn will then provide a financial and segment level review, and I'll conclude with our initial full-year 2023 consolidated guidance and regional assumptions. Then we'll open up the call for questions.

The key takeaways from our call today are that the business continued to generate cash, which is supporting our ongoing capital allocation priorities of reducing debt and returning capital to shareholders. For the full-year 2022, Civeo generated $83 million in free cash flow and made debt repayments of $34 million.

During 2022, we also used over 50% of our free cash flow to repurchase the equivalent of 1.5 million common shares for $45 million. This included a repurchase of 40% of the then outstanding preferred shares, which coupled with the conversion of the remaining preferred shares into common shares in December, resulting in only one class of shares outstanding at year-end and are just the common shares.