Open report — full analysis, no account required.
Sign up to generate reports and read filings that aren't on the open list.
Get notified when RIG files again. Create a free account and we'll email you the moment its next filing is analyzed.
Get filing alertsTransocean reports Q2 2026: $966M revenue, $212M free cash flow, adds $292M backlog
Filed August 5, 2026 · Period ending August 5, 2026 · ~1 min read
Key Changes
-
high
Q2 2026 revenue $966M with 97% efficiency; net income $170M ($0.04/share), adjusted EBITDA $312M (32.2% margin), free cash flow $212M after $24M capex.
Item 2.02 verify on EDGAR → -
high
Added $292M firm backlog at ~$461K average dayrate across U.S. Gulf, Norway, Australia, Ivory Coast; total backlog ~$6.7B excluding conditional Equinor work.
Item 7.01 verify on EDGAR → -
high
Equinor signed conditional $1.0B agreement for three harsh-environment rigs in Norway (Enabler 3yr, Encourage 2yr, Endurance 2yr), subject to license partner approvals.
Item 7.01 verify on EDGAR → -
medium
Debt principal declined to $5.1B (down $30M quarter-over-quarter, $1.5B year-over-year); repaid $586M in H1 2026. Liquidity >$1.3B including undrawn revolver.
Item 2.02 verify on EDGAR → -
high
FY 2026 guidance: revenue $3.9B–$4.0B, capex $150M, cash taxes $55M–$60M, liquidity $1.25B–$1.35B. Q3 revenue expected $920M–$960M at 96.5% efficiency.
Item 2.02 verify on EDGAR →
Summary
Transocean reported solid second-quarter 2026 results with $966 million in contract drilling revenue and $212 million in free cash flow, demonstrating strong operational execution at 97% revenue efficiency.
The company generated $170 million in net income and $312 million in adjusted EBITDA while continuing to reduce debt, paying down $586 million in the first half of 2026 and ending the quarter with total debt of $5.1 billion and liquidity exceeding $1.3 billion. The quarter's commercial activity was robust.
Transocean added $292 million in firm backlog at an average dayrate of approximately $461,000 through five new contracts spanning the U.S. Gulf, Norway, Australia, and Ivory Coast. More significantly, the company secured a conditional $1.0 billion agreement with Equinor for three harsh-environment semisubmersibles on the Norwegian shelf—multi-year programs for the Enabler (3 years), Encourage (2 years), and Endurance (2 years, following mobilization from Australia). Subject to license partner approvals, this would bring total backlog to approximately $7.7 billion, providing substantial revenue visibility. The company's full-year 2026 guidance calls for revenue of $3.9 billion to $4.0 billion, capital expenditures of $150 million, and year-end liquidity of $1.25 billion to $1.35 billion, reflecting continued cash generation and disciplined capital allocation in a favorable offshore drilling market.
Section-by-Section Diff
Event · Item 2.02 — Results of Operations and Financial Condition
Transocean disclosed Q2 2026 financial results via press release.
Added in current filing · verify on EDGAR →
Transocean Ltd.’s press release dated August 5, 2026, concerning financial results for the second quarter 2026, furnished as Exhibit 99.1 to this report, is incorporated by reference herein.
The company disclosed its second quarter 2026 financial results through a press release. The 8-K body provides no quantitative details; all material figures (revenue, earnings, cash flow, guidance) would be in Exhibit 99.1, which is not included in this filing excerpt.
Event · Item 7.01 — Regulation FD Disclosure
Transocean published its quarterly Fleet Status Report dated August 5, 2026, disclosing drilling rig status and contract information.
Show 1 minor / wording change
Added in current filing · verify on EDGAR →
We issue a report entitled “Transocean Fleet Status Report,” which includes drilling rig status and contract information. A report dated August 5, 2026, is furnished as Exhibit 99.2 to this Current Report on Form 8-K and is incorporated herein by reference.
Transocean published its quarterly Fleet Status Report dated August 5, 2026, as Exhibit 99.2. The report contains drilling rig status and contract information for the company's fleet. This is a routine quarterly disclosure that provides operational transparency to investors.
Event · Exhibit 99.1
Added in current filing · view on EDGAR →
Added $292 million in contract backlog(2) at a weighted average dayrate of about $461,000.
The company added $292 million in new contract backlog during the quarter at a weighted average dayrate of approximately $461,000. This reflects new fixtures across Norway, Australia, the U.S. Gulf, and the Ivory Coast, plus a $1.0 billion Equinor agreement for three harsh environment semisubmersibles (subject to license partner approvals).
Added in current filing · view on EDGAR → · paraphrased
As of August 5, 2026, the total backlog is approximately $6.7 billion. This figure excludes $1.0 billion of backlog for work with Equinor, which will be added subject to receipt of approvals from license partners. ... Ended the period with total liquidity of more than $1.3 billion, including the undrawn revolving credit facility.
Total contract backlog as of August 5, 2026 is approximately $6.7 billion, excluding $1.0 billion of Equinor backlog pending license partner approvals. The company ended Q2 2026 with total liquidity exceeding $1.3 billion, including its undrawn revolving credit facility.
Added in current filing · view on EDGAR →
Total debt, principal amount, end of period $ 5,107 | $ 5,137 | $ (30) | $ 6,654 | $ (1,547)
Total debt principal declined to $5,107 million at June 30, 2026, down $30 million sequentially from $5,137 million at March 31, 2026, and down $1,547 million year-over-year from $6,654 million at June 30, 2025. The company repaid $586 million of debt in the first half of 2026.
Added in current filing · view on EDGAR →
The following table includes guidance on key items for the third quarter and full year of 2026: 3Q26E | FY26E | (In millions, except percentages) | Contract drilling revenues | $ 920 – 960 | $ 3,900 – 3,975 | Revenue efficiency, fleet wide (1) | 96.5% | 96.5% | Selected costs and expenses | Operating and maintenance expense | $ 595 – 625 | $ 2,325 – 2,400 | General and administrative | $ 45 | $ 170 – 180 | Interest expense | $ 113 | $ 475 | Interest income | $ 5 – 10 | $ 30 – 35 | Capital expenditures | $ 40 – 50 | $ 150 | Cash taxes | $ 25 – 30 | $ 55 – 60 | Total liquidity | — | $ 1,250 – 1,350
For Q3 2026, the company expects contract drilling revenues of $920–960 million and revenue efficiency of 96.5%. For full year 2026, it expects revenues of $3,900–3,975 million, operating and maintenance expense of $2,325–2,400 million, capital expenditures of $150 million, cash taxes of $55–60 million, and total liquidity of $1,250–1,350 million.
Event · Exhibit 99.2
Transocean announces new drilling contracts worth $292M and a conditional $1.0B Equinor agreement, bringing total backlog to ~$6.7B.
Added in current filing · view on EDGAR →
Deepwater Conqueror – Awarded a two-well contract extension by an unnamed operator in the U.S. Gulf. ◾ Deepwater Proteus – Awarded a two-well contract with two one-well options by an unnamed operator in the U.S. Gulf. ◾ Deepwater Skyros – Awarded a one-well extension by Murphy in Ivory Coast. ◾ Transocean Norge – Awarded a five-well contract with three one-well options by Harbour Energy in Norway. ◾ Transocean Equinox – Awarded a two-well contract with five one-well options by Santos in Australia. The aggregate incremental backlog associated with these firm fixtures is approximately $292 million.
Transocean secured five new drilling contracts across its fleet in the U.S. Gulf, Ivory Coast, Norway, and Australia. The firm portions of these contracts add approximately $292 million to backlog, with additional upside from priced options on several rigs. These awards reflect continued demand for the company's ultra-deepwater and harsh-environment drilling capabilities.
Added in current filing · view on EDGAR →
In addition, Equinor executed an agreement, conditional upon receipt of approvals from license partners, for three harsh environment semisubmersible rigs on the Norwegian shelf: ◾ Transocean Enabler – Three-year program in direct continuation of the rig’s current program. ◾ Transocean Encourage – Two-year program in direct continuation of the rig’s current program. ◾ Transocean Endurance – Two-year program after conclusion of her current program and mobilization back to Norway from Australia. The total value of the Equinor agreement is approximately $1.0 billion.
Equinor signed a conditional agreement for three harsh-environment rigs totaling approximately $1.0 billion in contract value, subject to license partner approvals. The Enabler and Encourage programs extend current work, while Endurance will mobilize from Australia to Norway. This represents significant multi-year visibility for Transocean's Norwegian fleet, though the backlog is not yet firm.
Added in current filing · view on EDGAR →
As of August 5, 2026, the total backlog is approximately $6.7 billion. This figure excludes $1.0 billion of backlog for work with Equinor, which will be added subject to receipt of approvals from license partners.
Transocean's total contract backlog stands at approximately $6.7 billion as of August 5, 2026, excluding the conditional $1.0 billion Equinor agreement. If the Equinor contracts receive license partner approvals, total backlog would reach approximately $7.7 billion, providing substantial revenue visibility for the fleet.
Added in current filing · view on EDGAR →
Q3 2026 | Q4 2026 | Q1 2027 | Q2 2027 | Estimated Average Contract Dayrates (4) | $451,000 | $451,000 | $449,000 | $447,000
The ultra-deepwater drillship fleet is projected to earn average contract dayrates of $451,000 in Q3 and Q4 2026, declining modestly to $449,000 in Q1 2027 and $447,000 in Q2 2027. These rates reflect the mix of contracts rolling off and new awards coming online, with the fleet maintaining strong pricing in the $445,000-$450,000 range through mid-2027.
Added in current filing · view on EDGAR →
Q3 2026 | Q4 2026 | Q1 2027 | Q2 2027 | Estimated Average Contract Dayrates (4) | $462,000 | $459,000 | $476,000 | $468,000
The harsh-environment semisubmersible fleet is expected to earn average contract dayrates of $462,000 in Q3 2026, dipping to $459,000 in Q4 2026, then rising to $476,000 in Q1 2027 before moderating to $468,000 in Q2 2027. The Q1 2027 spike likely reflects higher-rate contracts commencing, with the fleet maintaining strong pricing above $460,000 throughout the period.
Thanks — your feedback helps us improve report quality.
Figures/quotes linked to EDGAR · Narrative written by AI · Aug 6, 2026 · How we verify