Oceaneering International, Inc. (NYSE:OII) Q4 2022 Earnings Conference Call February 24, 2023 11:00 AM ET

Company Participants

Mark Peterson - Vice President of Development and Investor Relations

Rod Larson - President and Chief Executive Officer

Alan Curtis - Senior Vice President and Chief Financial Officer

Conference Call Participants

Kurt Hallead - Benchmark

Eddie Kim - Barclays

Operator

Good morning. My name is Joanna, and I will be your conference operator. Welcome, everyone to Oceaneering's Fourth Quarter and Full-Year 2022 Earnings Conference Call. [Operator Instructions] There will be a question-and-answer period after the speakers’ remarks.

With that, I will now turn the call over to Mark Peterson, Oceaneering's Vice President of Development and Investor Relations. Please go ahead.

Mark Peterson

Thank you, Joanna. Good morning, and welcome, everyone, to Oceaneering's fourth quarter and full-year 2022 earnings conference call. Today's call is being webcast, and a replay will be available on Oceaneering's website.

With me on the call today are Rod Larson, President and Chief Executive Officer, who will be providing our prepared comments; Alan Curtis, Senior Vice President and Chief Financial Officer; and Wit LeBlanc, Vice President and Chief Accounting Officer.

Before we begin, I would like to remind participants that statements we make during the course of this call regarding our future financial performance, business strategy, plans for future operations and industry conditions are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Our comments today also include non-GAAP financial measures.

Additional details and reconciliations to the most directly comparable GAAP financial measures can be found in our fourth quarter press release. We welcome your questions after the prepared statements.

I will now turn the call over to Rod.

Rod Larson

Hey, good morning, and thanks for joining the call today. 2022 marked our fourth consecutive year of improved adjusted EBITDA performance. In our offshore energy markets, the year unfolded generally as we expected, with seasonally lower activity levels and increased preparation costs during the first-half of the year, progressing into higher activity levels and increased margins during the second-half of the year.

Our consolidated adjusted EBITDA of $233 million was above the midpoint of our guidance range and year-over-year adjusted EBITDA growth was led by significant improvements in our Subsea Robotics or SSR and Offshore Projects Group, OPG segment results.

We delivered $121 million of cash flow from operations, spent $81 million on capital expenditures and increased our cash position by $30.6 million to $569 million on December 31, 2022. We are encouraged by our strong order intake during the second-half of 2022, improving pricing and expanding sales pipeline. We expect these positive fundamentals to drive improved financial performance in 2023.