Revenue growth of 19.3% in 2026Q1 highlights a recovery in ultra-deepwater demand, though operating margins remain sensitive to fluctuating maintenance costs, as evidenced by the decline from an 85.9% gross margin in 2025Q4 to 30.7% in 2026Q1.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 4.14B | 3.96B | 3.52B | 2.83B | 2.58B | 2.56B | 3.15B | 3.09B | 3.02B | 2.97B | 4.16B | 7.39B | 9.19B | 9.25B | 8.95B | 8.03B | 7.95B | 11.56B | 12.67B | 6.38B | 3.88B | 2.89B | 2.61B | 2.43B | 2.67B | 2.82B | 1.23B | 648.24M | 1.09B | 891.33M | 528.9M |
| Revenue Growth % | 12.9% | 12.51% | 24.44% | 9.98% | 0.74% | -18.91% | 2.07% | 2.32% | 1.51% | -28.55% | -43.66% | -19.59% | -0.69% | 3.4% | 11.44% | 0.98% | -31.21% | -8.82% | 98.75% | 64.27% | 34.23% | 10.64% | 7.38% | -8.96% | -5.18% | 129.37% | 89.67% | -40.56% | 22.35% | 68.53% | -69.85% |
| Cost of Goods Sold | 1.09B | 659M | 739M | 744M | 735M | 742M | 781M | 855M | 818M | 832M | 893M | 963M | 1.13B | 1.11B | 1.12B | 1.11B | 1.01B | 5.14B | 5.36B | 2.78B | 2.15B | 1.72B | 1.73B | 1.61B | 1.49B | 1.6B | 812.6M | 476.92M | 588.57M | 474.94M | 351.57M |
| COGS % of Revenue | - | 16.62% | 20.97% | 26.27% | 28.54% | 29.03% | 24.78% | 27.69% | 27.1% | 27.99% | 21.46% | 13.04% | 12.29% | 11.99% | 12.54% | 13.82% | 12.69% | 44.48% | 42.25% | 43.61% | 55.51% | 59.51% | 66.04% | 66.15% | 55.87% | 56.85% | 66.09% | 73.57% | 53.97% | 53.28% | 66.47% |
| Gross Profit | 2.91B | 3.31B | 2.79B | 2.09B | 1.84B | 1.81B | 2.37B | 2.23B | 2.2B | 2.14B | 3.27B | 6.42B | 8.06B | 8.14B | 7.82B | 6.92B | 6.94B | 6.42B | 7.32B | 3.6B | 1.73B | 1.17B | 887.6M | 823.9M | 1.18B | 1.22B | 416.9M | 171.31M | 501.96M | 416.4M | 177.33M |
| Gross Margin % | 70.24% | 83.38% | 79.03% | 73.73% | 71.46% | 70.97% | 75.22% | 72.31% | 72.9% | 72.01% | 78.54% | 86.96% | 87.71% | 88.01% | 87.46% | 86.18% | 87.31% | 55.52% | 57.75% | 56.39% | 44.49% | 40.49% | 33.96% | 33.85% | 44.13% | 43.15% | 33.91% | 26.43% | 46.03% | 46.72% | 33.53% |
| Gross Profit Growth % | - | 18.71% | 33.38% | 13.48% | 1.43% | -23.49% | 6.18% | 1.5% | 2.76% | -34.49% | -49.12% | -20.27% | -1.03% | 4.05% | 13.08% | -0.32% | 8.17% | -12.34% | 103.53% | 108.22% | 47.48% | 31.93% | 7.73% | -30.18% | -3.02% | 191.87% | 143.36% | -65.87% | 20.55% | 134.81% | -73.5% |
| Operating Expenses | 1.98B | 2.6B | 2.41B | 2.17B | 1.86B | 1.93B | 2.86B | 2.95B | 3.45B | 4.65B | 2.16B | 5.06B | 9.4B | 5.92B | 6.22B | 11.68B | 4.21B | 2.02B | 1.96B | 357M | 86M | 451M | 559.7M | 584.2M | 3.49B | 666.8M | 283.8M | 122.47M | 124.69M | 117.78M | 69.72M |
| OpEx % of Revenue | - | 65.6% | 68.47% | 76.73% | 72.27% | 75.35% | 90.86% | 95.66% | 114.35% | 156.27% | 51.96% | 68.48% | 102.37% | 64.04% | 69.57% | 145.51% | 52.96% | 17.45% | 15.48% | 5.6% | 2.22% | 15.59% | 21.41% | 24% | 130.52% | 23.64% | 23.08% | 18.89% | 11.43% | 13.21% | 13.18% |
| Selling, General & Admin | 194M | 195M | 214M | 187M | 182M | 167M | 183M | 193M | 188M | 156M | 172M | 192M | 234M | 286M | 282M | 288M | 246M | 209M | 199M | 142M | 90M | 75M | 67M | 65.3M | 66M | 57.9M | 42.1M | 16.7M | 25.99M | 15.66M | 23.13M |
| SG&A % of Revenue | - | 4.92% | 6.07% | 6.6% | 7.07% | 6.53% | 5.81% | 6.25% | 6.23% | 5.25% | 4.13% | 2.6% | 2.55% | 3.09% | 3.15% | 3.59% | 3.09% | 1.81% | 1.57% | 2.23% | 2.32% | 2.59% | 2.56% | 2.68% | 2.47% | 2.05% | 3.42% | 2.58% | 2.38% | 1.76% | 4.37% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 3M | 2.41B | 2.2B | 1.99B | 1.68B | 1.76B | 2.68B | 2.76B | 3.26B | 4.49B | 1.99B | 4.87B | 9.17B | 5.64B | 5.94B | 11.39B | 3.96B | 1.81B | 1.76B | 215M | -4M | 376M | 492.7M | 518.9M | 3.42B | 608.9M | 241.7M | 105.77M | 98.71M | 102.11M | 46.59M |
| Operating Income | 926M | 705M | 372M | -85M | -21M | -112M | -493M | -721M | -1.25B | -2.5B | 1.11B | 1.36B | -1.35B | 2.22B | 1.6B | -4.76B | 2.73B | 4.4B | 5.36B | 3.24B | 1.64B | 720M | 327.9M | 239.7M | -2.31B | 550M | 133.1M | 48.84M | 377.26M | 298.62M | 107.61M |
| Operating Margin % | 22.37% | 17.78% | 10.56% | -3% | -0.82% | -4.38% | -15.64% | -23.35% | -41.45% | -84.26% | 26.58% | 18.48% | -14.67% | 23.97% | 17.89% | -59.32% | 34.34% | 38.08% | 42.27% | 50.79% | 42.27% | 24.9% | 12.54% | 9.85% | -86.39% | 19.5% | 10.83% | 7.53% | 34.59% | 33.5% | 20.35% |
| Operating Income Growth % | - | 89.52% | 537.65% | -304.76% | 81.25% | 77.28% | 31.62% | 42.37% | 50.06% | -326.49% | -18.97% | 201.34% | -160.76% | 38.56% | 133.6% | -274.43% | -37.95% | -17.86% | 65.39% | 97.38% | 127.92% | 119.58% | 36.8% | 110.38% | -520% | 313.22% | 172.5% | -87.05% | 26.34% | 177.49% | -43.03% |
| EBITDA | 1.55B | 1.36B | 1.11B | 711M | 831M | 850M | 503M | 321M | -321M | -1.67B | 2B | 2.31B | -223M | 3.31B | 2.68B | -3.36B | 4.22B | 5.58B | 6.1B | 3.65B | 2.04B | 1.12B | 831.3M | 723.6M | -1.8B | 1.17B | 402.01M | 154.61M | 494.17M | 624.62M | 154.2M |
| EBITDA Margin % | 37.49% | 34.4% | 31.64% | 25.11% | 32.27% | 33.26% | 15.96% | 10.4% | -10.64% | -56.27% | 48.04% | 31.32% | -2.43% | 35.8% | 29.97% | -41.83% | 53.1% | 48.31% | 48.15% | 57.24% | 52.6% | 38.7% | 31.8% | 29.73% | -67.45% | 41.52% | 32.7% | 23.85% | 45.31% | 70.08% | 29.15% |
| EBITDA Growth % | 303.12% | 22.33% | 56.82% | -14.44% | -2.24% | 68.99% | 56.7% | 200% | 80.81% | -183.69% | -13.58% | 1137.22% | -106.74% | 23.5% | 179.84% | -179.55% | -24.4% | -8.52% | 67.21% | 78.75% | 82.45% | 34.63% | 14.88% | 140.12% | -254.01% | 191.29% | 160.02% | -68.71% | -20.89% | 305.07% | -68.38% |
| D&A (Non-Cash Add-back) | 626M | 659M | 743M | 796M | 852M | 962M | 996M | 1.04B | 930M | 832M | 893M | 948M | 1.12B | 1.09B | 1.08B | 1.4B | 1.49B | 1.18B | 746M | 411M | 401M | 399.2M | 503.4M | 483.9M | 506.5M | 621M | 268.91M | 105.77M | 116.9M | 326M | 46.59M |
| EBIT | -2.19B | -2.39B | -161M | -295M | -1M | -23M | 34M | -538M | -1.16B | -2.51B | 1.34B | 1.45B | -1.3B | 2.24B | 1.61B | -4.82B | 2.72B | 4.41B | 5.41B | 3.24B | 1.64B | 720M | 327.9M | 239.7M | -2.31B | 550M | 133.1M | 48.84M | 377.26M | 298.62M | 107.61M |
| Net Interest Income | -673M | -515M | -312M | -594M | -534M | -432M | -554M | -617M | -567M | -448M | -389M | -410M | -463M | -532M | -667M | -577M | -544M | -479M | -608M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 42M | 40M | 50M | 52M | 27M | 15M | 21M | 43M | 53M | 43M | 20M | 22M | 20M | 52M | 56M | 44M | 23M | 5M | 32M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 715M | 555M | 362M | 646M | 561M | 447M | 575M | 660M | 620M | 491M | 409M | 432M | 483M | 584M | 723M | 621M | 567M | 484M | 640M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -3.55B | -3.65B | -895M | -856M | -541M | -358M | -48M | -477M | -524M | -498M | -172M | -350M | -441M | -561M | -716M | -676M | -575M | -476M | -585M | 145M | -34M | 82M | -87.6M | -218.1M | -179M | -189.5M | 11.3M | -37K | -3.24M | -6.16M | 14.04M |
| Pretax Income | -2.89B | -2.95B | -523M | -941M | -562M | -470M | -541M | -1.2B | -1.77B | -3B | 934M | 1.01B | -1.79B | 1.66B | 884M | -5.44B | 2.15B | 3.92B | 4.77B | 3.38B | 1.61B | 802M | 240.3M | 21.6M | -2.49B | 360.5M | 144.4M | 48.81M | 374.02M | 292.46M | 121.65M |
| Pretax Margin % | -69.83% | -74.35% | -14.84% | -33.23% | -21.83% | -18.39% | -17.16% | -38.8% | -58.81% | -101.01% | 22.45% | 13.74% | -19.47% | 17.9% | 9.88% | -67.75% | 27.11% | 33.96% | 37.65% | 53.07% | 41.4% | 27.73% | 9.19% | 0.89% | -93.08% | 12.78% | 11.74% | 7.53% | 34.3% | 32.81% | 23% |
| Income Tax | -126M | -33M | -11M | 13M | 59M | 121M | 27M | 59M | 228M | 94M | 107M | 120M | 92M | 258M | 52M | 324M | 292M | 754M | 743M | 253M | 222M | 87M | 91.3M | 3M | -122M | 85.7M | 36.7M | -9.3M | 32.44M | 32M | 43.61M |
| Effective Tax Rate % | 4.36% | 1.12% | 2.1% | -1.38% | -10.5% | -25.74% | -4.99% | -4.92% | -12.85% | -3.13% | 11.46% | 11.82% | -5.15% | 15.58% | 5.88% | -5.96% | 13.55% | 19.22% | 15.57% | 7.48% | 13.81% | 10.85% | 37.99% | 13.89% | 4.9% | 23.77% | 25.42% | -19.05% | 8.67% | 10.94% | 35.85% |
| Net Income | -2.77B | -2.92B | -512M | -954M | -621M | -592M | -567M | -1.25B | -2B | -3.13B | 778M | 865M | -1.84B | 1.41B | -219M | -5.75B | 926M | 3.18B | 4.03B | 3.13B | 1.39B | 716M | 152.2M | 19.2M | -3.73B | 252.6M | 108.5M | 58.1M | 341.58M | 260.45M | 78.05M |
| Net Margin % | -66.79% | -73.52% | -14.53% | -33.69% | -24.12% | -23.16% | -17.99% | -40.64% | -66.14% | -105.18% | 18.7% | 11.71% | -20.02% | 15.21% | -2.45% | -71.68% | 11.65% | 27.53% | 31.81% | 49.1% | 35.68% | 24.76% | 5.82% | 0.79% | -139.57% | 8.96% | 8.82% | 8.96% | 31.32% | 29.22% | 14.76% |
| Net Income Growth % | -301.31% | -469.34% | 46.33% | -53.62% | -4.9% | -4.41% | 54.82% | 37.12% | 36.17% | -501.93% | -10.06% | 147.04% | -230.7% | 742.47% | 96.19% | -721.38% | -70.89% | -21.09% | 28.74% | 126.06% | 93.44% | 370.43% | 692.71% | 100.51% | -1577.43% | 132.81% | 86.74% | -82.99% | 31.15% | 233.72% | -59.54% |
| Net Income (Continuing) | -2.77B | -2.92B | -512M | -954M | -621M | -591M | -568M | -1.26B | -2B | -3.1B | 827M | 895M | -1.88B | 1.4B | 832M | -5.76B | 1.86B | 3.17B | 4.03B | 3.13B | 1.39B | 716M | 152.2M | 18.4M | -2.37B | 271.9M | 107.1M | 58.1M | 341.58M | 260.45M | 78.05M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 2M | -20M | 9M | -1.04B | 85M | -894M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 1M | 1M | 1M | 1M | 3M | 5M | 7M | 4M | 3M | 310M | 311M | -6M | -15M | 106M | -8M | 7M | 3M | 5M | 4M | 3.6M | 4M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -2.46 | -3.04 | -0.60 | -1.24 | -0.89 | -0.93 | -0.92 | -2.05 | -4.26 | -8.00 | 2.10 | 2.16 | -5.28 | 3.87 | -0.62 | -17.78 | 2.99 | 9.84 | 12.53 | 14.14 | 6.10 | 3.03 | 0.67 | 0.06 | -11.69 | 0.80 | 0.51 | 0.53 | 3.12 | 2.38 | 1.09 |
| EPS Growth % | -219.03% | -406.67% | 51.61% | -39.33% | 4.3% | -1.09% | 55.12% | 51.88% | 46.75% | -480.95% | -2.78% | 140.91% | -236.43% | 724.19% | 96.51% | -694.65% | -69.61% | -21.47% | -11.39% | 131.8% | 101.32% | 352.24% | 1016.67% | 100.51% | -1561.25% | 56.86% | -3.77% | -83.01% | 31.09% | 118.35% | 32.93% |
| EPS (Basic) | - | -3.04 | -0.60 | -1.24 | -0.89 | -0.93 | -0.92 | -2.05 | -4.26 | -8.00 | 2.10 | 2.16 | -5.28 | 3.87 | -0.62 | -17.78 | 2.99 | 9.87 | 12.63 | 14.65 | 6.32 | 2.20 | 0.68 | 0.06 | -11.69 | 0.82 | 0.52 | 0.53 | 3.12 | 2.38 | 1.09 |
| Diluted Shares Outstanding | 1.12B | 960M | 925M | 768M | 699M | 637M | 615M | 612M | 468M | 391M | 367M | 363M | 362M | 360M | 356M | 322M | 320M | 321M | 321M | 222M | 228M | 332.95M | 320.7M | 321.4M | 319.25M | 315.75M | 211.7M | 109.64M | 109.64M | 109.64M | 71.89M |
| Basic Shares Outstanding | 1.11B | 960M | 850M | 768M | 699M | 637M | 615M | 612M | 468M | 390.88M | 367M | 363M | 362M | 360M | 356M | 322M | 320M | 320M | 318M | 214M | 219M | 324.88M | 320.7M | 319.8M | 319.25M | 308.05M | 210.4M | 109.56M | 109.56M | 109.56M | 71.89M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | 44.05% | - | 43.07% | - | - | - | - | 0.02% | - | - | - | - | - | - | 15.12% | 23.32% | - | 3.51% | 27.33% | 10.51% |
High Debt Maturity Profile
According to recent quarterly filings, Transocean achieved a 19.3% year-over-year revenue increase in 2026Q1, signaling a sustained recovery in ultra-deepwater demand as the company successfully leverages its high-spec fleet to capture premium dayrates in the competitive Golden Triangle offshore drilling market.
The consistent revenue expansion suggests that RIG is successfully transitioning from a period of fleet reactivation to one of active utilization. Investors should monitor whether this growth trajectory remains durable as the company exhausts its current backlog and faces the necessity of securing new long-term contracts at elevated rates.
As reported in financial statements, Transocean's gross margin reached 30.7% in 2026Q1, a figure that appears to fluctuate significantly compared to the 85.9% peak observed in 2025Q4, suggesting that periodic maintenance and reactivation costs continue to exert pressure on the company's underlying operational profitability.
The wide variance in reported gross margins indicates that the company's cost structure remains highly sensitive to the timing of rig surveys and mobilization efforts. This volatility warrants further investigation into whether the current margin profile reflects true operational efficiency or merely the accounting treatment of project-specific expenses.
Based on RIG's reported figures, the company achieved an operating margin of 26.2% in 2026Q1, demonstrating a notable improvement from the negative margins seen in 2024, yet the persistent gap between operating income and net income suggests that interest obligations continue to constrain bottom-line performance.
While the scaling of operating income indicates improved overhead efficiency, the company's ability to translate this into net profitability remains hindered by its capital structure. Analysts should monitor whether the current operating leverage is sufficient to offset the ongoing burden of debt servicing in a high-interest environment.
Data from recent income statements reveals that Transocean's net income remains highly erratic, swinging from a $1.9 billion loss in 2025Q3 to a $71 million profit in 2026Q1, which suggests that non-cash impairments and financial charges frequently obscure the company's core operational earnings power.
The inconsistency in net income highlights the difficulty in assessing the company's true earnings quality, as reported figures are heavily influenced by non-operating items. Investors should focus on operating cash flow and EBITDA as more reliable indicators of the company's ability to sustain its operations without further dilution.
Quick answers to the most common questions about buying RIG stock.
For fiscal year 2025, Transocean Ltd. (RIG) reported total revenue of $3.96B. This represents a 649.7% increase compared to $528.9M in 1996.
Transocean Ltd. (RIG) reported a net loss of $2.92B for the fiscal year ending 2025.
Transocean Ltd. (RIG) reported an operating income of $705.0M, resulting in an operating profit margin of 17.8%. This margin reflects the operational efficiency of the business before interest and taxes.
Transocean Ltd. (RIG) generated $3.31B in gross profit for the year, representing a gross profit margin of 83.4%. This demonstrates the company's core pricing power and production efficiency.