Viridien Q3 2025 slides: Revenue up 27%, reaffirms $100M cash flow target

Introduction & Market Context

Viridien SA (VIRI) presented its third quarter and nine-month 2025 financial results on October 30, showcasing robust performance across all business segments. The company’s stock rose 2.21% in after-hours trading following the announcement, reflecting positive investor sentiment toward the strong quarterly results and reaffirmed full-year guidance.

The geophysical services provider demonstrated resilience despite oil price volatility, leveraging its technological leadership in high-end imaging solutions and strategic positioning in both mature and emerging markets.

Executive Summary

Viridien reported impressive growth in Q3 2025, with segment revenues reaching $313 million, a 27% increase year-over-year. The company’s profitability metrics showed even stronger improvement, with segment adjusted EBITDAs of $167 million representing a 70% jump compared to the same period last year.

As shown in the following executive summary from the presentation, cash generation was particularly notable with Q3 net cash flow of $53 million, 4.3 times higher than Q3 2024:

For the first nine months of 2025, segment revenues grew 14% to $888 million, while segment adjusted EBITDAs increased 40% to $417 million. The company reaffirmed its full-year target of $100 million in net cash flow, regardless of any PEMEX receivables cash-in, demonstrating confidence in its operational performance.

Segment Performance Analysis

Viridien’s business is organized into two main segments: Data, Digital & Energy Transition (DDE) and Sensing & Monitoring (SMO). The DDE segment, which includes Geoscience and Earth Data, delivered particularly strong results.

The Geoscience division reported steady growth with Q3 revenue of $108 million (+5% YoY) and nine-month revenue of $334 million (+13% YoY). The division’s backlog stood at $290 million, up 19% from the previous year, indicating strong future revenue potential. The following chart illustrates this growth:

The Earth Data segment demonstrated exceptional performance with Q3 revenue of $136 million, a remarkable 63% increase year-over-year. Nine-month revenue reached $306 million, up 21% from the same period in 2024. The segment’s library net book value stood at $534 million as of September 2025.

As shown in the following chart, Earth Data’s growth was driven by high-end data and M&A activities:

The Sensing & Monitoring segment also showed positive momentum with Q3 revenue of $69 million (+16% YoY) and nine-month revenue of $249 million (+8% YoY). Land activities were particularly strong, with nine-month revenue up 36% to $139 million, while marine activities declined 24% to $67 million.

Financial Position & Debt Management

Viridien’s overall segment revenue growth of 14% over the first nine months of 2025 was accompanied by a significant improvement in profitability, with segment adjusted EBITDAs margin expanding by 860 basis points.

The following chart illustrates the company’s segment revenue growth across its business divisions:

Profitability showed even stronger improvement, with segment adjusted EBITDAs increasing by 40% over the nine-month period, as shown in this chart:

Cash flow generation has been a key focus for Viridien, with net cash flow reaching $62 million for the first nine months of 2025, an 83% increase compared to the same period in 2024. The following breakdown illustrates the components of this cash flow performance:

Viridien has also made significant progress in debt reduction, with a $200 million year-over-year decrease in gross debt (at constant FX and after early October partial bond redemption). The company executed its first partial bond redemption in early October, reducing the Euro tranche by €20 million and the USD tranche by $25 million, resulting in annual interest savings of $4.5 million.

The net leverage ratio improved from 2.4x as of September 30, 2024, to 1.7x as of September 30, 2025, reflecting the company’s commitment to strengthening its balance sheet.

Outlook & Guidance

Looking ahead, Viridien expects exploration and seismic activity to remain resilient despite oil price volatility. The company highlighted structurally positive fundamentals as operators focus on long-term resource security.

Most importantly, Viridien reaffirmed its 2025 financial objective of generating $100 million in net cash flow, demonstrating confidence in its operational performance and strategic direction.

During the earnings call, CEO Sophie Zurquiyah emphasized the company’s strategic focus: "Our asset-light strategy, our focus on high-end technical solutions, and disciplined multi-client approach drive strong performance." CFO Jérôme Serve added, "We are comfortably reiterating our $100 million cash flow target for the year without Pemex."

While the company faces potential challenges, including payment delays from Pemex and fluctuating oil prices that could affect exploration budgets, Viridien’s diversified geographical footprint and leadership in high-end imaging technologies position it well to navigate these challenges and capitalize on opportunities in both mature and emerging markets.

Full presentation:

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