Stonegate Capital Partners has updated its coverage on Civeo Corporation (NYSE: CVEO) following the company's fourth-quarter 2025 financial results. The report underscores that Civeo's performance in the quarter was driven by continued strength in its Australian operations and the positive impact of cost-reduction initiatives in Canada, which together supported margin recovery and improved incremental profitability.
For Q4 2025, Civeo reported revenue of $161.6 million and adjusted EBITDA of $21.7 million. These figures compared to Stonegate's estimates of $168.9 million and $21.6 million, respectively, and consensus estimates of $170.2 million in revenue and $21.2 million in adjusted EBITDA. The year-over-year EBITDA increase reflects the strong contributions from Australia and the benefits of cost-cutting measures in Canada.
Operating cash flow for the quarter totaled $19.3 million, while capital expenditures were $4.8 million, primarily allocated to the maintenance of lodges and villages. The company ended the quarter with net debt of $168.4 million, a net leverage ratio of 1.9x, and liquidity of approximately $90.4 million.
Looking ahead, management provided guidance for fiscal year 2026, projecting revenue in the range of $650 million to $700 million and adjusted EBITDA between $85 million and $90 million. This outlook implies stable-to-improving fundamentals for the company.
Capital returns remain a central theme for Civeo. The company's Phase 1 share buyback program is approximately 95% complete, and Phase 2 has been authorized, adding an additional 10% to the repurchase authorization. This demonstrates management's commitment to returning capital to shareholders.
For more details, Stonegate's full announcement, including downloadable images and additional information, can be accessed here.
Stonegate Capital Partners is a capital markets advisory firm that provides investor relations, equity research, and institutional investor outreach services for public companies. Its affiliate, Stonegate Capital Markets (member FINRA), offers investment banking, equity research, and capital raising services for public and private companies.
