> ## Content Index > Fetch the complete content index at: https://www.bullished.co/llms.txt > Use this file to discover other available public pages before exploring further. # Transocean Revenue Slips To $937 Million As Fewer Rigs Work, But Backlog Reaches $8.0 Billion - URL: https://www.bullished.co/transocean-revenue-slips-to-937-million-as-fewer-rigs-work-but-backlog-reaches-8-0-billion-f63d6336/ - Published: 2026-11-02T21:52:09.000Z - Updated: 2026-11-02T23:25:39.000Z - Description: The driller added $2.0 billion of backlog, paid off $200 million of Deepwater Aquila debt early and expects the Valaris deal to close December 1. - Author: Matteo Parrino - Tags: SEC Filings, RIG, Industry: Energy [Transocean](https://www.bullished.co/tag/rig/), the offshore drilling contractor, said third-quarter [contract drilling revenue fell to $937 million](https://www.sec.gov/Archives/edgar/data/0001451505/000145150526000083/rig-ex99d1.htm?ref=bullished.co) from $966 million in the second quarter and $1,028 million a year earlier, as fewer rigs were working. New awards nonetheless lifted its contract backlog to about $8.0 billion, the company said Monday. ## Fewer rigs working, thinner earnings Net income was $26 million, or $0.02 per diluted share, against a loss of $1,923 million a year earlier. It was down from $170 million in the second quarter. Adjusted net income, which strips out items such as acquisition costs and discrete tax items, was $1 million, compared with $158 million in the second quarter and $62 million a year earlier. The company attributed the sequential revenue drop mainly to an expected decline in rig utilization. Fleet-wide utilization was 74.7%, against 78.2% in the second quarter and 76.0% a year earlier. Ultra-deepwater utilization fell to 67.6%, while harsh-environment rigs ran at 95.1%. Adjusted EBITDA, the company's measure of operating earnings before interest, taxes and depreciation, was $313 million, a 33.4% margin, versus $397 million a year earlier. ## Cash flow and a smaller debt pile Free cash flow was $131 million after $43 million of capital spending. Total debt principal ended the quarter at $4,975 million, down from $5,107 million three months earlier and $6,297 million a year earlier. Liquidity stood at $1.3 billion, including an undrawn $510 million revolving credit facility. CEO Keelan Adamson said strong cash flow let Transocean retire the remaining $200 million of debt tied to the Deepwater Aquila notes ahead of schedule. ## $2.0 billion of new work Transocean, which owns or has partial interests in 27 offshore rigs, 20 ultra-deepwater drillships and seven harsh-environment semisubmersibles, added nine fixtures since its August report. Together they carry about $2.0 billion of backlog at a weighted average dayrate of about $423,000, according to the [fleet status report](https://www.sec.gov/Archives/edgar/data/0001451505/000145150526000083/rig-ex99d2.htm?ref=bullished.co). That includes final approval from Equinor in late September for three Norway semisubmersibles, Transocean Enabler, Encourage and Endurance, worth about $1.0 billion. Adamson said the awards improved 2027 contract coverage to approximately 95%. For the fourth quarter, Transocean guided contract drilling revenue of $915 million to $965 million, and $3,900 million to $3,950 million for full-year 2026\. Preliminary 2027 guidance is $3,850 million to $4,000 million. ## Valaris closing set for December 1 With all regulatory approvals in hand, Adamson said the Valaris closing is expected on December 1, and the company is focused on integration planning and capturing $200 million in identified annual synergies. Transocean hosts its earnings call at 9 a.m. EST on Tuesday. Management says its priorities are converting backlog into cash flow and reducing debt, with the Valaris deal targeted to close December 1. Learn - [Item 2.02: results of operations →](https://www.bullished.co/learn/8-k-items-explained/#item-202-results-of-operations) From 8-K Items Explained: What Every Item Code From 1.01 To 9.01 Tells You, With Examples ### Sources - [8-K Filing — Transocean Ltd. (RIG)](https://www.sec.gov/Archives/edgar/data/0001451505/000145150526000083/rig-20261102x8k.htm?ref=bullished.co) — SEC EDGAR - [Exhibit rig-ex99d1.htm — Transocean Ltd. 8-K exhibit](https://www.sec.gov/Archives/edgar/data/0001451505/000145150526000083/rig-ex99d1.htm?ref=bullished.co) — SEC EDGAR - [Exhibit rig-ex99d2.htm — Transocean Ltd. 8-K exhibit](https://www.sec.gov/Archives/edgar/data/0001451505/000145150526000083/rig-ex99d2.htm?ref=bullished.co) — SEC EDGAR - [Transocean Ltd. Reports Third Quarter 2026 Results](https://www.globenewswire.com/news-release/2026/11/02/3393772/0/en/transocean-ltd-reports-third-quarter-2026-results.html?ref=bullished.co) — globenewswire.com - [Transocean Ltd. Provides Quarterly Fleet Status Report](https://www.globenewswire.com/news-release/2026/11/02/3393762/0/en/transocean-ltd-provides-quarterly-fleet-status-report.html?ref=bullished.co) — globenewswire.com ### More on Transocean - [Transocean And Valaris Holders Vote November 24 On All-Stock Deal, With Court Hearing Two Days Later](https://www.bullished.co/transocean-and-valaris-holders-vote-november-24-on-all-stock-deal-with-court-hearing-two-6b8e2ebd/) - [Transocean Wins Two U.S. Gulf Drillship Contracts Adding About $550 Million To Backlog](https://www.bullished.co/transocean-wins-two-u-s-gulf-drillship-contracts-adding-about-550-million-to-backlog-b8c8ed2a/) - [Transocean Signs $750 Million Revolver Running To October 2031, Contingent On Valaris Deal](https://www.bullished.co/transocean-signs-750-million-revolver-running-to-october-2031-contingent-on-valaris-deal-4bbd5eea/) [All Transocean (RIG) coverage →](https://www.bullished.co/tag/rig/)