Valaris

Q2 FY2026 EarningsQ2 FY26 results significantly exceeded market expectations across all primary metrics: Total Operating Revenue reached $539.2M vs. $495.6M consensus, while GAAP EPS of $0.72 far surpassed the $0.18 estimate. The bottom-line beat was primarily driven by a $36.6M pre-tax gain from the sale of VALARIS 104 and a significantly lower effective tax rate of 19.8% compared to the 52.6% consensus. Despite $30.0M in geopolitical headwinds in the Middle East, Floater revenue grew 45% QoQ to $290.0M, supported by new contract commencements for VALARIS DS-17, DS-12, and DS-10. Management continues to focus on the pending merger with Transocean, maintaining a stable backlog of $4.6B.