BORR 6-K
Borr Drilling Ltd (BORR)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
OF THE SECURITIES EXCHANGE ACT OF 1934
May 21, 2025.
Commission File Number 001-39007
Borr Drilling Limited
S. E. Pearman Building
2nd Floor 9 Par-la-Ville Road
Hamilton HM11
Bermuda
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K on paper as permitted by Regulation S-T Rule 101(b)(1): ☐
Indicate by check mark if the registrant is submitting the Form 6-K on paper as permitted by Regulation S-T Rule 101(b)(7): ☐
Exhibits
| 99.1 | Press Release |
|---|---|
| 99.2 | Borr<br> Drilling Limited Q1 2025 Earnings Release |
| 99.3 | Borr<br> Drilling Limited Fleet Status Report 21 May 2025 |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| BORR DRILLING LIMITED | ||
|---|---|---|
| Date: May 21, 2025. | By: | /s/ Mi Hong Yoon |
| Name: | Mi Hong Yoon | |
| Title: | Director |
Exhibit 99.1
Borr Drilling Limited Announces First Quarter 2025 Results
Hamilton, Bermuda, May 21, 2025: Borr Drilling Limited \(“Borr”, “Borr Drilling” or the “Company”\) announces unaudited results for the three months ended March 31, 2025.
Highlights
Total operating revenues of $216.6 million, a decrease of $46.5 million compared to the fourth quarter of 2024
Net loss of $\(16.9\) million, a decrease of $43.2 million compared to the net income in the fourth quarter of 2024
Adjusted EBITDA of $96.1 million, a decrease of $40.6 million compared to the fourth quarter of 2024
YTD 2025, the company was awarded nine new contract commitments, representing approximately 1,550 days and $221 million of potential contract revenue
CEO, Patrick Schorn commented:
"Our first-quarter results were largely as expected and impacted by temporary rig suspensions and preparations for upcoming contracts. During the quarter, we averaged 16 active rigs out of our 24-rig fleet. Despite the lower activity level,
operational performance remained robust, with technical utilization at 99.2% and economic utilization at 97.9% for our active rigs — a reflection of the continued strength and efficiency of our operations.
On the safety front, I’m pleased to report that several of our rigs received industry and customer recognition for outstanding safety performance. Notably, the Groa was awarded Qatar Energy’s HSE Award for 2024, and Prospector 1 received the 2024
Best Safety Performance Award from the IADC North Sea Chapter. In Thailand, Borr Drilling received PTTEP’s CEO SSHE Excellence Award for the second consecutive year. These achievements are a testament to the commitment and professionalism of our
crews, and I congratulate and thank the entire team for their efforts.
Looking at the second quarter, we are seeing a meaningful ramp-up of activity. Three suspended rigs in Mexico have resumed operations, while the Vali and Arabia I have both commenced their contracts. In addition, the Thor and Ran have secured new
contracts starting this quarter. As a result, our operating rig count has now increased to 22 — laying the foundation for stronger financial performance in the quarters ahead. Our liquidity position improved during the quarter, supported by the
collection of approximately $120 million in outstanding receivables from Mexico and $10 million in mobilization fees for Vali. Following the quarter end, we received an additional $35 million in mobilization fees related to Vali and Arabia I
Recent contract awards for the Gerd, Norve, Thor, Ran, and Skald have brought our 2025 contract coverage to 79% at an average day rate of $147,000, which includes approximately 4.5% coverage related to the suspension period in Mexico. This compares
to approximately 91% coverage in 2024 at average day rate of $136,000. While we continue to pursue several opportunities in 2025, our commercial efforts are now increasingly focused on 2026. Our rigs in Mexico represent a significant portion of our
available days in 2026 and beyond. The combination of increased activity in Q2 and the advancement of private investment projects in Mexico are positive for future rig demand and extensions across our fleet in-country.
In light of uncertain market conditions, the Board has decided not to pay a dividend to reinforce the balance sheet and enhance long-term value creation. While we are not issuing specific Adjusted EBITDA guidance for 2025, we are, however,
comfortable with the current Bloomberg consensus estimate of approximately $460 million. As a function of the increase in active rigs, we expect Adjusted EBITDA to increase significantly in the coming quarters."
Conference call
A conference call and webcast is scheduled for 15:00 CEST \(9:00 AM New York Time\) on Thursday May 22, 2025 and participants are encouraged to dial in 10 minutes before the start of the call.
In order to listen to the presentation, you may also do one of the following:
a\) Webcast
To access the webcast, please go to the following link:
https://edge.media-server.com/mmc/p/8stekv6h
b\) Conference Call
Please use the below link to register for the conference call, https://register-conf.media-server.com/register/BIf64cd1bc1428449c847f17ba22fdf051
Participants will then receive dial-in details on screen and via email and can then choose to dial in with their unique pin or select “Call me” and provide telephone details for the system to link them automatically.
Exhibit 99.2
Borr Drilling Limited Announces First Quarter 2025 Results
Hamilton, Bermuda, May 21, 2025: Borr Drilling Limited (“Borr”, “Borr Drilling” or the “Company”) announces unaudited results for the three months ended March 31, 2025.
Highlights
| • | Total operating revenues of $216.6 million, a decrease of $46.5<br> million compared to the fourth quarter of 2024 |
|---|---|
| • | Net loss of $(16.9) million, a decrease of $43.2 million compared to the net income in the fourth quarter of<br> 2024 |
| --- | --- |
| • | Adjusted EBITDA^1^ of $96.1 million, a decrease<br> of $40.6 million compared to the fourth quarter of 2024 |
| --- | --- |
| • | YTD 2025, the company was awarded nine new contract commitments, representing approximately 1,550 days and $221 million of potential contract revenue |
| --- | --- |
CEO, Patrick Schorn commented:
"Our first-quarter results were largely as expected and impacted by temporary rig suspensions and preparations for upcoming contracts. During the quarter, we averaged 16 active rigs out of our 24-rig fleet. Despite the lower activity level, operational performance remained robust, with technical utilization at 99.2% and economic utilization at 97.9% for our active rigs — a reflection of the continued strength and efficiency of our operations.
On the safety front, I’m pleased to report that several of our rigs received industry and customer recognition for outstanding safety performance. Notably, the Groa was awarded Qatar Energy’s HSE Award for 2024, and Prospector 1 received the 2024 Best Safety Performance Award from the IADC North Sea Chapter. In Thailand, Borr Drilling received PTTEP’s CEO SSHE Excellence Award for the second consecutive year. These achievements are a testament to the commitment and professionalism of our crews, and I congratulate and thank the entire team for their efforts.
Looking at the second quarter, we are seeing a meaningful ramp-up of activity. Three suspended rigs in Mexico have resumed operations, while the Vali and Arabia I have both commenced their contracts. In addition, the Thor and Ran have secured new contracts starting this quarter. As a result, our operating rig count has now increased to 22 — laying the foundation for stronger financial performance in the quarters ahead. Our liquidity position improved during the quarter, supported by the collection of approximately $120 million in outstanding receivables from Mexico and $10 million in mobilization fees for Vali. Following the quarter end, we received an additional $35 million in mobilization fees related to Vali and Arabia I
Recent contract awards for the Gerd, Norve, Thor, Ran, and Skald have brought our 2025 contract coverage^2^ to 79% at an average day rate of $147,000, which includes approximately 4.5% coverage related to the suspension period in Mexico. This compares to approximately 91% coverage in 2024 at average day rate of $136,000. While we continue to pursue several opportunities in 2025, our commercial efforts are now increasingly focused on 2026. Our rigs in Mexico represent a significant portion of our available days in 2026 and beyond. The combination of increased activity in Q2 and the advancement of private investment projects in Mexico are positive for future rig demand and extensions across our fleet in-country.
In light of uncertain market conditions, the Board has decided not to pay a dividend to reinforce the balance sheet and enhance long-term value creation. While we are not issuing specific Adjusted EBITDA guidance for 2025, we are, however, comfortable with the current Bloomberg consensus estimate of approximately $460 million. As a function of the increase in active rigs, we expect Adjusted EBITDA to increase significantly in the coming quarters."
^1^ The Company presents Adjusted EBITDA, which is a financial measure calculated on a basis other than in accordance with accounting principles generally accepted in the United States (US GAAP). Adjusted EBITDA represents our periodic net (loss)/income adjusted for: depreciation of non-current assets, loss from equity method investments, total financial expense net and income tax expense. Adjusted EBITDA is presented here because the Company believes that the measure provides useful information regarding the Company’s operational performance. For a reconciliation of Adjusted EBITDA to Net income/(loss), please see the last page of this report.
^2^ Excludes unexercised options, includes bareboat charter contracts adjusted to a gross dayrate-equivalent basis
Management Discussion and Analysis
The discussion below compares the unaudited results for the first quarter of 2025 to the unaudited results of the fourth quarter of 2024.
| In $ million | Q1 2025 | Q4 2024 | Change () | Change (%) | |||||
|---|---|---|---|---|---|---|---|---|---|
| Total operating revenues | 216.6 | 263.1 | ) | (18 | )% | ||||
| Total operating expenses | (156.8 | ) | (161.9 | ) | (3 | )% | |||
| Operating income | 60.2 | 101.0 | ) | (40 | )% | ||||
| Net (loss) / income | (16.9 | ) | 26.3 | ) | (164 | )% | |||
| Adjusted EBITDA | 96.1 | 136.7 | ) | (30 | )% | ||||
| Cash and cash equivalents | 170.0 | 61.6 | 176 | % | |||||
| Total equity | 974.9 | 993.3 | ) | (2 | )% |
All values are in US Dollars.
Three months ended March 31, 2025 compared to three months ended December 31, 2024
Total operating revenues were $216.6 million for the first quarter of 2025, a decrease of $46.5 million compared to the fourth quarter of 2024. Total operating revenues consisted of $202.2 million in dayrate revenue, $7.6 million in bareboat charter revenue and $6.8 million in management contract revenue.
The overall decrease in total operating revenue is primarily a result of the $22.6 million decrease in dayrate revenue, a $17.9 million decrease in bareboat charter revenue and a $6.0 million decrease in management contract revenue, in comparison to the prior quarter. The decrease in dayrate revenue is primarily due to a decrease in the number of operating days for the jack-up rigs Arabia II, Ran, and Thor partially offset by an increase in the number of operating days for the jack-up rigs Gerd, Gunnlod and Vali. The overall decrease in dayrate revenue also includes an $11.5 million decrease in deferred mobilization revenue relating to Arabia II due to the recognition of accelerated amortization of deferred mobilization revenue in the prior quarter, as a result of its contract termination. The decrease in bareboat charter revenue is primarily a result of the temporary suspension of the jack-up rigs Galar, Grid and Gersemi which were suspended effective January 8, 2025, while the decrease in management contract revenue is primarily a result of the temporary suspension of the jack-up rig Galar. On April 7, 2025, the Company received re-mobilization notices for the suspended rigs.
Total operating expenses for the first quarter of 2025 were $156.8 million, a decrease of $5.1 million compared to the fourth quarter of 2024, primarily due to a $4.2 million decrease in rig operating and maintenance expenses and a $1.1 million decrease in general and administrative expenses. The $4.2 million decrease in rig operating and maintenance expenses is primarily due to a $10.2 million decrease as a result of a decrease in the number of operating days, partially offset by a $5.2 million increase associated with the jack-up rigs Grid and Gersemi as a result of the Company assuming their operating expenses during their temporary suspension period (prior to the temporary suspension, these costs were borne by the JV).
Included in total operating revenues for the first quarter of 2025 is $10.6 million in reimbursable revenues, a decrease of $8.8 million in comparison to the prior quarter. Included in total operating expenses is $7.2 million in reimbursable expenses, a decrease of $4.0 million compared to the fourth quarter of 2024.
Net loss for the first quarter of 2025 was $16.9 million, a decrease of $43.2 million compared to the net income of $26.3 million in the fourth quarter of 2024.
Adjusted EBITDA for the first quarter of 2025 was $96.1 million, a decrease of $40.6 million compared to the fourth quarter of 2024.
Liquidity and Cash Flows
The Company's cash and cash equivalents as of March 31, 2025 were $170.0 million, compared to $61.6 million as of December 31, 2024. In addition, the Company has a Super Senior Credit Facility agreement of $195.0 million, consisting of a $150 million Revolving Credit Facility ("RCF") and a $45.0 million Guarantee Facility. The $150 million RCF was undrawn at March 31, 2025, giving total liquidity of $320.0 million at the end of the quarter.
Net cash provided by operating activities was $138.7 million, which includes receipts of approximately $120.0 million of outstanding receivables from customers in Mexico, $10.0 million in mobilization fees for Vali, $6.1 million of cash interest paid and $16.9 million of income taxes paid.
Net cash used in investing activities was $25.1 million and is comprised of $25.0 million used on jack-up additions, primarily a result of activation costs and long-term maintenance costs, and $0.1 million used on PPE additions.
Net cash used in financing activities was $4.9 million and is comprised of $4.7 million used for the payment of cash distributions to shareholders and $0.2 million used on the repurchase of the Company's shares.
Financing and corporate developments
As of March 31, 2025, we had principal debt outstanding of $2,179.6 million, consisting of $1,279.6 million of aggregate principal amount of senior secured notes due in 2028, $660.6 million of aggregate principal amounts of senior secured notes due in 2030 and $239.4 million principal amount of unsecured Convertible Bonds due in 2028.
The Company also has a $195 million Super Senior Credit Facility, comprised of a $150 million RCF and a $45.0 million Guarantee Facility. As of March 31, 2025, we had no amounts drawn under the RCF and we had $35.6 million drawn under the Guarantee Facility.
Equity
The Company's issued share capital is $24,440,000 divided into 244,400,000 shares with a par value of $0.10 per share
During the quarter ended March 31, 2025, the Company cancelled 19,680,391 shares out of the 25,000,000 shares which the Company had made available pursuant to a share lending agreement ("SLA") for the purposes of facilitating investors’ hedging activities in connection with the $250 million Convertible Bonds due in 2028. The remaining loan shares will be cancelled upon redelivery, whether at repayment of the Convertible Bonds or upon decrease in the demand for hedging shares for other reasons, or upon expiry of the SLA. The number of issued shares excluding the loan shares available is 239,080,391.
The Company’s authorized share capital is $31,500,000.00 divided into 315,000,000 shares of $0.10 par value each.
Fleet, Operations and Contracts
As of the date of the report, the Company’s fleet consists of 24 modern jack-up rigs, all built after 2010. Since the publication of our fourth quarter 2024 report, the Company has secured new contract commitments for the rigs Norve, Gerd, Thor, Ran and Skald.
In early April 2025, we received from our customer in Mexico a re-mobilization request for the rigs Galar, Grid and Gersemi. These rigs have since been moved to new drilling locations and have resumed operation in May. Notably, the Galar has been deployed in the Bacab-Lum field, which is being developed by an affiliate of our customer under a private investment structure.
As of the date of this report, 22 of our 24 rigs are either contracted or committed: one in the North Sea, two in the Middle East, five in Africa, six in Southeast Asia, seven in Mexico and one in South America.
Year to date 2025, the company has been awarded nine new contract commitments, representing approximately 1,550 days and $221 million of potential contract revenue. The Company's total contract revenue backlog (excluding unexercised options, and including bareboat charter contracts adjusted to a gross dayrate-equivalent basis) at March 31, 2025 was $1.38 billion and remains unchanged as of the date of this report.
For more details on our rig contracting, please refer to our Fleet Status report issued in connection with this report.
The technical utilization for our working rigs was 99.2% in the first quarter of 2025, and the economic utilization was 97.9%.
Market
According to Petrodata by S&P Global, the marketed utilization for jack-up rigs globally stood at 90.1% in March 2025, a decrease of 1.6 percentage points from December 2024. The marketed utilization for the modern jack-up fleet (rigs built after year 2000) was 92.3% at the end of March 2025, and remains unchanged as of now.
Currently, there are 303 modern jack-ups contracted, representing an increase of approximately 66 units as compared to the lows in late 2020.
As of the date of this report, 11 newbuild rigs remain under construction and they account for 2.5% of the global marketed jack-up fleet. However, we expect that few of these rigs will join the marketed fleet in the near future due to many being in the early stages of construction and the ongoing supply chain challenges.
Risks and uncertainties^^^3^
Borr is exposed to a number of risks related to the Company’s financial position, operations and the industry in which it operates.
Brent oil prices in the first quarter of 2025 averaged approximately $75 per barrel, with a high point of approximately $83 and low point of $71 within the quarter. The average Brent oil price in the fourth quarter of 2024 was approximately $74 per barrel. Uncertainty persists in the market and oil benchmark prices are expected to remain volatile given the potential tariffs, production surge, current global economic uncertainty and geopolitical events affecting supply and demand. In addition, the geopolitical unrest, including in the Middle East, and any expansion or increase of trade tensions, may result in oil supply disruptions and cause further volatility in commodity prices. Therefore, we remain subject to risks relating to the volatility of our industry and the risk that demand and day rates could decline further.
^3^ This Risks and uncertainties section is not a complete discussion of the risks the Company faces. See “Risk Factors” in the Company’s most recent Annual Report Form 20-F; this discussion does not and does not purport to update that section of the annual report.
Our business may experience supply chain constraints and inflationary pressure, which may impact the cost base in our industry, including personnel costs, and the prices of goods and services required to operate rigs. Demand for jack-up rigs may not remain at current levels, and may decline. In January 2025, we received a notice of temporary suspension of three rigs operating in Mexico and in November 2024, we received a notice of temporary suspension of one rig in Saudi Arabia, and that contract was subsequently terminated. While we have received remobilization notices for our three rigs operating in Mexico, any decline in demand for services of jack-up rigs could have a negative effect on the Company. We have recently taken delivery of the newbuildings Vali and Var. The Var is yet to be contracted with a customer. The delivery of these rigs has increased the size of fleet and the risks we face including the risk of a decline in demand.
We have outstanding $1,279.6 million aggregate principal amount of 10% senior secured notes due 2028, $660.6 million aggregate principal amount of 10.375% senior secured notes due 2030, and $239.4 million aggregate principal amount of unsecured Convertible Bonds due 2028.
We are subject to risks relating to our indebtedness, including risks relating to our ability to meet the financial covenants in our revolving credit facility, risks relating to covenant limitations and the interest and other payments due on our secured and convertible notes, including amortization and cash sweep requirements under our secured notes and other risks relating to our significant levels of indebtedness, including the risk that we may not be able to refinance our debt as it matures.
Conference call
A conference call and webcast is scheduled for 9:00 AM New York Time (15:00 CET) on Thursday May 22, 2025 and participants are encouraged to dial in 10 minutes before the start of the call. Further details can be found in the Investor Relations section on the Company's website, www.borrdrilling.com.
Forward looking statements
This announcement and related discussions include forward looking statements made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward looking statements do not reflect historical facts and may be identified by words such as "anticipate", "believe", "continue", "estimate", "expect", "intends", "may", "should", "will", "likely", "aim", "plan", "guidance" and similar expressions and include statements regarding industry trends and market outlook, supply/demand expectations, expected activity levels in the jack-up rig and oil industry, contract revenue backlog, contracts and contract commitments, contract start dates and rates, options, LOIs and LOAs, contract coverage, potential revenue, including rates that may be achieved, guidance on results of operations, expected trends in dayrates, market conditions, statements about dividends and share buybacks, statement about the global jack-up fleet, including the number of rigs contracted and available and expected to be available and expected trends in the global fleet including expected new deliveries and the number of rigs under construction and expectations as to when such rigs will join the global fleet, statements about the expected timing of payment of receivables owed to us and statements relating to expected timing of receipt of mobilization revenue and statements made under “Market” and "Risk and uncertainties" above, and other non-historical statements. These forward-looking statements are based upon current expectations and various assumptions, which are, by their nature, uncertain and are subject to significant known and unknown risks, contingencies and other important factors which are difficult or impossible to predict and are beyond our control. Such risks, uncertainties, contingencies and other factors could cause our actual results, level of activity, performance, financial results or position, liquidity or achievements to differ materially from those expressed or implied by these forward-looking statements, including risks relating to our industry and industry conditions, business, the risk that our actual results of operations in future periods differ materially from expected results or guidance discussed herein, the actual timing of payments to us and the risk of delays in payments or receivables to our JVs and payments from our JVs to us, the risk that our customers do not comply with their contractual obligations, risks relating to geopolitical events and inflation, risks relating to global economic uncertainty and energy commodity prices, risks relating to contracting, including our ability to convert commitments, LOIs and LOAs into contracts, the risk of contract suspension or termination, the risk that options will not be exercised, the risk that contract revenue backlog and revenue potential will not materialize as expected, risks relating to the operations of our rigs and ability to achieve expected dates of operation and delivery of rigs and contract commencement dates, risks relating to dayrates and duration of contracts and the terms of contracts and the risk that we may not enter into contracts or that contracts are not performed as expected, risks relating to contracting our newly delivered rigs and other available rigs, risks relating to market trends, including tender activity, risks relating to customer demand and contracting activity and suspension of operations, risks relating to our liquidity and cash flows, risks relating to our indebtedness including risks relating to our ability to repay or refinance our debt at maturity, including our secured notes maturing in 2028 and 2030, our Convertible Bonds due 2028, and debt under our revolving credit facility and risks relating to our other payment obligations on these debt instruments including interest, amortization and cash sweeps, risks relating to our ability to comply with covenants under our revolving credit facility and other debt instruments and obtain any necessary waivers and the risk of cross defaults, risks relating to our ability to pay cash distributions and repurchase shares including the risk that we may not have available liquidity or distributable reserves or the ability under our debt instruments to pay such cash distributions or repurchase shares and the risk that we may not complete our share repurchase program in full, and risks relating to the amount and timing of any cash distributions we declare, risks relating to future financings including the risk that future financings may not be completed when required and risks relating to the terms of any refinancing, risks related to climate change, including climate-change or greenhouse gas related legislation or regulations and the impact on our business from physical climate-change related to changes in weather patterns, and the potential impact of new regulations relating to climate change and the potential impact on the demand for oil and gas, risk relating to military actions including in Ukraine and the Middle East and their impact on our business and industry, and other risks factors set forth under “Risk Factors” in our most recent annual report on Form 20-F and other filings with the U.S. Securities and Exchange Commission. These forward-looking statements are made only as of the date of this document. We undertake no (and expressly disclaim any) obligation to update any forward-looking statements after the date of this report or to conform such statements to actual results or revised expectations, except as required by law.
About Borr Drilling Limited
Borr Drilling Limited is an international drilling contractor incorporated in Bermuda in 2016 and listed on the New York Stock Exchange since July 31, 2019 under the ticker "BORR". The Company owns and operates jack-up rigs of modern and high specification designs and provides services focused on the shallow water segment to the offshore oil and gas industry worldwide. Please visit our website at: www.borrdrilling.com
May 21, 2025
The Board of Directors
Borr Drilling Limited
Hamilton, Bermuda
Questions should be directed to:
Magnus Vaaler: CFO, +44 1224 289208
UNAUDITED NON GAAP MEASURES AND RECONCILIATION
Set forth below is a reconciliation of the Company's Unaudited Net Income to Adjusted EBITDA.
| (in US$ millions) | Q1 2025 | Q4 2024 | |
|---|---|---|---|
| Net (loss) / income | (16.9 | ) | 26.3 |
| Depreciation of non-current assets | 35.9 | 35.7 | |
| Loss from equity method investments | 1.8 | 2.5 | |
| Total financial expense, net | 62.7 | 62.6 | |
| Income tax expense | 12.6 | 9.6 | |
| Adjusted EBITDA | 96.1 | 136.7 |
Borr Drilling Limited
Unaudited Condensed Consolidated Statements of Operations
(In $ millions except share and per share data)
| Three months ended<br><br> <br>March 31, 2025 | Three months ended<br><br> <br>March 31, 2024 | |||||
|---|---|---|---|---|---|---|
| Operating revenues | ||||||
| Dayrate revenue | 202.2 | 198.3 | ||||
| Bareboat charter revenue | 7.6 | 11.3 | ||||
| Management contract revenue | 6.8 | — | ||||
| Related party revenue | — | 24.4 | ||||
| Total operating revenues | 216.6 | 234.0 | ||||
| Gain on disposals | 0.4 | 0.2 | ||||
| Operating expenses | ||||||
| Rig operating and maintenance expenses | (109.8 | ) | (104.0 | ) | ||
| Depreciation of non-current assets | (35.9 | ) | (31.8 | ) | ||
| General and administrative expenses | (11.1 | ) | (13.4 | ) | ||
| Total operating expenses | (156.8 | ) | (149.2 | ) | ||
| Operating income | 60.2 | 85.0 | ||||
| (Loss) / income from equity method investments | (1.8 | ) | 5.4 | |||
| Financial income (expenses), net | ||||||
| Interest income | 0.6 | 1.4 | ||||
| Interest expense | (58.1 | ) | (49.0 | ) | ||
| Other financial expenses, net | (5.2 | ) | (10.2 | ) | ||
| Total financial expenses, net | (62.7 | ) | (57.8 | ) | ||
| (Loss) / income before income taxes | (4.3 | ) | 32.6 | |||
| Income tax expense | (12.6 | ) | (18.2 | ) | ||
| Net (loss) / income attributable to shareholders of Borr Drilling Limited | (16.9 | ) | 14.4 | |||
| Total comprehensive (loss) / income attributable to shareholders of Borr Drilling Limited | (16.9 | ) | 14.4 | |||
| Basic (loss) / income per share | (0.07 | ) | 0.06 | |||
| Diluted (loss) / income per share | (0.07 | ) | 0.06 | |||
| Weighted-average shares outstanding - basic | 243,386,188 | 252,718,525 | ||||
| Weighted-average shares outstanding - diluted | 243,386,188 | 256,565,237 |
Borr Drilling Limited
Unaudited Condensed Consolidated Balance Sheets
(In $ millions)
| December 31, 2024 | |||||
|---|---|---|---|---|---|
| ASSETS | Audited | ||||
| Current assets | |||||
| Cash and cash equivalents | 170.0 | 61.6 | |||
| Restricted cash | 1.2 | 0.9 | |||
| Trade receivables, net | 143.8 | 184.3 | |||
| Prepaid expenses | 18.3 | 8.4 | |||
| Deferred mobilization and contract preparation costs | 39.1 | 40.6 | |||
| Accrued revenue | 111.3 | 107.7 | |||
| Due from related parties | 7.3 | 85.1 | |||
| Other current assets | 25.9 | 28.0 | |||
| Total current assets | 516.9 | 516.6 | |||
| Non-current assets | |||||
| Property, plant and equipment | 2.6 | 2.8 | |||
| Jack-up drilling rigs, net | 2,806.5 | 2,823.2 | |||
| Equity method investments | 12.7 | 14.5 | |||
| Other non-current assets | 63.5 | 62.5 | |||
| Total non-current assets | 2,885.3 | 2,903.0 | |||
| Total assets | 3,402.2 | 3,419.6 | |||
| LIABILITIES AND EQUITY | |||||
| Current liabilities | |||||
| Trade accounts payables | 60.8 | 81.6 | |||
| Accrued expenses | 59.6 | 68.0 | |||
| Short-term accrued interest and other items | 78.4 | 30.6 | |||
| Short-term debt | 118.1 | 118.1 | |||
| Short-term deferred mobilization, demobilization and other revenue | 43.4 | 27.1 | |||
| Other current liabilities | 52.1 | 84.2 | |||
| Total current liabilities | 412.4 | 409.6 | |||
| Non-current liabilities | |||||
| Long-term debt | 1,996.6 | 1,992.5 | |||
| Long-term deferred mobilization, demobilization and other revenue | 15.5 | 21.0 | |||
| Other non-current liabilities | 2.8 | 3.2 | |||
| Total non-current liabilities | 2,014.9 | 2,016.7 | |||
| Total liabilities | 2,427.3 | 2,426.3 | |||
| Shareholders’ Equity | |||||
| Common shares of par value 0.10 per share: authorized 315,000,000 (2024:315,000,000) shares, issued 244,400,000 (2024:<br> 264,080,391) shares and outstanding 239,308,556 (2024: 244,926,821) shares | 24.5 | 26.5 | |||
| Treasury shares | (19.7 | ) | (20.9 | ) | |
| Additional paid in capital | 344.8 | 340.8 | |||
| Contributed surplus | 1,919.0 | 1,923.7 | |||
| Accumulated deficit | (1,293.7 | ) | (1,276.8 | ) | |
| Total equity | 974.9 | 993.3 | |||
| Total liabilities and equity | 3,402.2 | 3,419.6 |
All values are in US Dollars.
Borr Drilling Limited
Unaudited Condensed Consolidated Statements of Cash Flows
(In $ millions)
| Three months<br><br> <br>ended March 31,<br><br> <br>2025 | Three months<br><br> <br>ended March 31,<br><br> <br>2024 | |||||
|---|---|---|---|---|---|---|
| Cash flows from operating activities | ||||||
| Net (loss) / income | (16.9 | ) | 14.4 | |||
| Adjustments to reconcile net (loss) / income to net cash provided by operating activities: | ||||||
| Non-cash compensation expense related to share based employee and directors' compensation | 3.4 | 1.8 | ||||
| Depreciation of non-current assets | 35.9 | 31.8 | ||||
| Amortization of deferred mobilization and contract preparation costs | 10.2 | 14.7 | ||||
| Amortization of deferred mobilization, demobilization and other revenue | (7.8 | ) | (26.2 | ) | ||
| Gain on disposal of assets | (0.4 | ) | (0.2 | ) | ||
| Amortization of debt discount | 1.7 | 1.7 | ||||
| Amortization of debt premium | (0.7 | ) | (0.1 | ) | ||
| Amortization of deferred finance charges | 3.2 | 2.7 | ||||
| Bank commitment, guarantee and other fees | 4.2 | — | ||||
| Loss / (income) from equity method investments | 1.8 | (5.4 | ) | |||
| Deferred income tax | (0.5 | ) | 3.1 | |||
| Change in assets and liabilities: | ||||||
| Amounts due from related parties | 74.4 | (3.2 | ) | |||
| Accrued expenses | (1.8 | ) | (9.3 | ) | ||
| Accrued interest | 47.8 | 35.1 | ||||
| Other current and non-current assets | 18.5 | (52.0 | ) | |||
| Other current and non-current liabilities | (34.3 | ) | 15.0 | |||
| Net cash provided by operating activities | 138.7 | 23.9 | ||||
| Cash flows from investing activities | ||||||
| Purchase of property, plant and equipment | (0.1 | ) | (0.2 | ) | ||
| Additions to newbuildings | — | (3.3 | ) | |||
| Additions to jack-up drilling rigs | (25.0 | ) | (15.2 | ) | ||
| Net cash used in investing activities | (25.1 | ) | (18.7 | ) | ||
| Cash flows from financing activities | ||||||
| Repayment of debt^(1)^ | — | (10.6 | ) | |||
| Cash dividends paid | (4.7 | ) | (23.8 | ) | ||
| Debt proceeds, gross of premium / (net of discount) and issuance costs | — | 208.3 | ||||
| Purchase of treasury shares | (0.2 | ) | — | |||
| Proceeds from exercise of share options | — | 1.3 | ||||
| Net cash (used in) / provided by financing activities | (4.9 | ) | 175.2 | |||
| Net increase in cash, cash equivalents and restricted cash | 108.7 | 180.4 | ||||
| Cash, cash equivalents and restricted cash at the beginning of the period | 62.5 | 102.6 | ||||
| Cash, cash equivalents and restricted cash at the end of the period | 171.2 | 283.0 | ||||
| Supplementary disclosure of cash flow information | ||||||
| Interest paid | (6.1 | ) | (6.3 | ) | ||
| Income taxes paid | (16.9 | ) | (12.8 | ) | ||
| Non-cash offset of trade receivables and jack-up rigs | (0.6 | ) | — |
^(1)^ Included in repayment of debt is the redemption premium on our Senior Secured Notes due in 2028 and 2030
| (In $ millions) | March 31, 2025 | December 31, 2024 | ||
|---|---|---|---|---|
| Cash and cash equivalents | 170.0 | 61.6 | ||
| Restricted cash | 1.2 | 0.9 | ||
| Total cash and cash equivalents and restricted cash | 171.2 | 62.5 |
Borr Drilling Limited
Unaudited Condensed Consolidated Statements of Changes in Shareholders’ Equity
(In $ millions except share data)
| Number of<br><br> <br>outstanding<br><br> <br>shares | Common<br><br> <br>shares | Treasury<br><br> <br>shares | Additional<br><br> <br>paid in<br><br> <br>capital | Contributed<br><br> <br>Surplus | Accumulated<br><br> <br>deficit | Total equity | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Balance as at December 31, 2023 | 252,582,036 | 26.5 | (8.9 | ) | 337.2 | 1,988.1 | (1,358.9 | ) | 984.0 | |||||||||||
| Movement in treasury shares | 3,067 | — | — | — | — | — | — | |||||||||||||
| Share-based compensation | 411,336 | — | 0.1 | 3.0 | — | — | 3.1 | |||||||||||||
| Distribution to shareholders | — | — | — | — | (11.9 | ) | — | (11.9 | ) | |||||||||||
| Total comprehensive income | — | — | — | — | — | 14.4 | 14.4 | |||||||||||||
| Balance as at March 31, 2024 | 252,996,439 | 26.5 | (8.8 | ) | 340.2 | 1,976.2 | (1,344.5 | ) | 989.6 | |||||||||||
| Number of<br><br> <br>outstanding<br><br> <br>shares | Common<br><br> <br>shares | Treasury<br><br> <br>shares | Additional<br><br> <br>paid in<br><br> <br>capital | Contributed<br><br> <br>Surplus | Accumulated<br><br> <br>deficit | Total equity | ||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Balance as at December 31, 2024 | 244,926,821 | 26.5 | (20.9 | ) | 340.8 | 1,923.7 | (1,276.8 | ) | 993.3 | |||||||||||
| Cancellation of treasury shares | — | (2.0 | ) | 2.0 | — | — | — | — | ||||||||||||
| Repurchase of treasury shares | (50,000 | ) | — | (0.2 | ) | — | — | — | (0.2 | ) | ||||||||||
| Movement in treasury shares | (5,568,265 | ) | — | (0.6 | ) | 0.6 | — | — | — | |||||||||||
| Share based compensation | — | — | — | 3.4 | — | — | 3.4 | |||||||||||||
| Distribution to shareholders | — | — | — | — | (4.7 | ) | — | (4.7 | ) | |||||||||||
| Total comprehensive loss | — | — | — | — | — | (16.9 | ) | (16.9 | ) | |||||||||||
| Balance as at March 31, 2025 | 239,308,556 | 24.5 | (19.7 | ) | 344.8 | 1,919.0 | (1,293.7 | ) | 974.9 |
Exhibit 99.3
| Borr Drilling<br><br> <br><br> Fleet Status Report - 21 May 2025 | |
|---|---|
| New Contracts / Extensions / Amendments | |
| --- | --- |
| Gerd | |
| • Contract (from LOA): June 2025 to October 2025, Lime Petroleum (Benin) | |
| Gerd | |
| • Contract (from LOA): December 2025 to December 2026, Foxtrot<br> International (Ivory Coast) | |
| Ran | |
| • Contract: May 2025 to September 2025, Eni (Mexico) | |
| Thor | |
| • Contract (from LOA): April 2025 to June 2025, Vietsovpetro<br> (Vietnam) | |
| Galar | |
| • Contract extension: January 2026 to April<br> 2026, PEMEX (Mexico) | |
| Gersemi | |
| • Contract extension: January 2026 to May 2026, PEMEX (Mexico) | |
| Grid | |
| • Contract extension: January 2026 to May 2026, PEMEX (Mexico) | |
| Letters of Award / Letters of Intent / Negotiations | |
| Norve | |
| • LOA: December 2026 to October 2027, Undisclosed (West Africa) | |
| Skald | |
| • LOA: late October 2025 to early April 2026, Medco Energi (Thailand) | |
| Other Developments | |
| Prospector 1 | |
| • Concluded operations with an undisclosed customer in Netherlands and commenced<br> operations with One-Dyas in UK in direct continuation in mid March 2025 | |
| Vali | |
| • Commenced operations with<br> Mellitah Oil and Gas in Libya in mid March 2025 | |
| Arabia I | |
| • Commenced operations with Petrobras in Brazil in early April 2025 | |
| Norve | |
| • Concluded operations with BW Energy in Gabon and commenced operations with Marathon oil in Equatorial Guinea in late April 2025 | |
| Thor | |
| • Commenced operations with Vietsovpetro in Vietnam in late April 2025 | |
| Galar,<br> Gersemi and Grid | |
| • Received a reinstatement notice in early April 2025. These three rigs have mobilized to location and resumed operations in May | |
| Ran | |
| • Commenced operations with Eni in Mexico in mid May 2025 | |
| Natt | |
| • Expected to conclude operations with Eni in Congo in late September 2025 |
| Borr Drilling<br><br> <br><br> Fleet Status Report - 21 May 2025 | ||||||||
|---|---|---|---|---|---|---|---|---|
| Rig Name | Rig Design | Rig Water<br><br> <br>Depth (ft) | Year Built | Customer / Status | Contract Start | Contract End | Location | Comments |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Contracted Rigs | ||||||||
| Arabia I | KFELS B Class | 400 ft | 2020 | Petrobras ^3^ | April - 2025 | April - 2029 | Brazil | Operating with option to extend |
| Arabia III ^1^ | KFELS Super A Class | 400 ft | 2013 | Saudi Aramco | September - 2023 | September - 2028 | Saudi Arabia | Operating with option to extend |
| Galar | PPL Pacific Class 400 | 400 ft | 2017 | PEMEX ^2^ | April - 2024 | April - 2026 | Mexico | Operating |
| Gerd | PPL Pacific Class 400 | 400 ft | 2018 | ENI | December - 2024 | June - 2025 | Congo | Operating |
| Lime Petroleum | June - 2025 | October - 2025 | Benin | Committed | ||||
| Foxtrot International | December - 2025 | December - 2026 | Ivory Coast | Committed with option to extend | ||||
| Gersemi | PPL Pacific Class 400 | 400 ft | 2018 | PEMEX ^2^ | January - 2024 | May - 2026 | Mexico | Operating |
| Grid | PPL Pacific Class 400 | 400 ft | 2018 | PEMEX ^2^ | January - 2024 | May - 2026 | Mexico | Operating |
| Groa | PPL Pacific Class 400 | 400 ft | 2018 | Qatar Energy | April - 2022 | April - 2026 | Qatar | Operating |
| Gunnlod | PPL Pacific Class 400 | 400ft | 2018 | ExxonMobil | November - 2024 | August - 2025 | Malaysia | Operating |
| Hild | KFELS Super B Class | 400 ft | 2020 | Fieldwood Energy | October - 2023 | March - 2026 | Mexico | Operating with option to extend |
| Idun | KFELS Super B Bigfoot Class | 350 ft | 2013 | PTTEP | February - 2024 | February - 2026 | Thailand | Operating |
| Mist | KFELS Super B Bigfoot Class | 350 ft | 2013 | Valeura Energy | December - 2023 | August - 2026 | Thailand | Operating with option to extend |
| Natt | PPL Pacific Class 400 | 400 ft | 2018 | ENI | August - 2024 | September - 2025 | Congo | Operating |
| Njord | PPL Pacific Class 400 | 400 ft | 2019 | PEMEX ^2^ | April - 2024 | December - 2025 | Mexico | Operating |
| Norve | PPL Pacific Class 400 | 400 ft | 2011 | Marathon Oil | April - 2025 | August - 2025 | Equatorial Guinea | Operating |
| Vaalco Energy | September - 2025 | July - 2026 | Gabon | Committed with option to extend | ||||
| Undisclosed | December - 2026 | October - 2027 | West Africa | LOA | ||||
| Odin | KFELS Super B Bigfoot Class | 350 ft | 2013 | PEMEX ^2^ | April - 2024 | December - 2025 | Mexico | Operating |
| Prospector 1 ^1^ | F&G, JU2000E | 400 ft | 2013 | ONE-Dyas | March - 2025 | August - 2025 | United Kingdom/Netherlands | Operating with option to extend |
| Prospector 5 ^1^ | F&G, JU2000E | 400 ft | 2014 | ENI | April - 2024 | May - 2026 | Congo | Operating |
| Ran ^1^ | KFELS Super A Class | 400 ft | 2013 | ENI | May - 2025 | September - 2025 | Mexico | Operating with option to extend |
| Saga | KFELS Super B Bigfoot Class | 400 ft | 2018 | Brunei Shell Petroleum | November - 2022 | November - 2026 | Brunei | Operating with option to extend |
| Skald | KFELS Super B Bigfoot Class | 400 ft | 2018 | PTTEP | July - 2024 | September - 2025 | Thailand | Operating |
| Medco Energi | October - 2025 | April - 2026 | Thailand | LOA | ||||
| Thor | KFELS Super B Bigfoot Class | 400 ft | 2019 | Vietsovpetro | April - 2025 | June - 2025 | Vietnam | Operating |
| Undisclosed | July - 2025 | August - 2025 | Southeast Asia | Committed | ||||
| Vali | KFELS Super B Bigfoot Class | 400 ft | 2024 | Mellitah Oil and Gas | March - 2025 | July - 2026 | Libya | Operating with option to extend |
| Available Rigs | ||||||||
| Arabia II | KFELS B Class | 400 ft | 2019 | December - 2024 | Bahrain | Warm Stacked | ||
| Var | KFELS Super B Bigfoot Class | 400 ft | 2024 | December - 2024 | Singapore | Warm Stacked | ||
| 1 - HD/HE Capability<br><br> <br>2 - Rigs provided by Borr Drilling through a bareboat charter arrangement and services provided by our Mexican Joint Venture or by Borr Drilling, with ultimate customer being PEMEX<br><br> <br>3 - Rig provided by Borr Drilling through a charter arrangement, with ultimate customer being Petrobras | ||||||||
| Operating / Committed | Available | Cold Stacked | ||||||
| Total Fleet | 24 | 22 | 2 | 0 |
| Borr Drilling<br><br> <br><br> Fleet Status Report - 21 May 2025 | |
|---|---|
| Additional information regarding this Fleet Status Report | |
| --- | --- |
| This summary contains information on letters of intent/award and advanced negotiations. Letters of intent/award or advanced negotiations may not result in an actual drilling contract. | |
| Forward Looking Statements:<br><br> <br><br> The statements described in this status report that are not historical facts are "Forward Looking Statements". <br><br> <br><br> Forward Looking Statements reflect management’s current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. No assurance can be given that the<br> expectations expressed in these Forward-Looking Statements will prove to be correct. Actual results could differ materially from expectations expressed in, or implied by, the Forward-Looking Statements if one or more of the underlying<br> assumptions or expectations proves to be inaccurate or is unrealised. These include, but are not limited to, changes to commencement dates, contract duration, earned day rates, locations and other contractual terms; risks relating to the<br> delivery of drilling rigs under construction; sale and purchase of drilling units; oil and gas prices; and risks associated with international operations generally. <br><br> <br><br> No Forward-Looking Statement contained in herein or expressed elsewhere should be relied upon as predicting future events. <br><br> We undertake no obligation to update or revise any Forward-Looking Statements to reflect events or circumstances that occur, or which we become aware of, after the date hereof, except as otherwise may be required by law. |