Viridien: third-quarter revenue down 24%, net debt reduced by 18%
Viridien published its third-quarter results on 3 November 2026, which offer two contrasting readings. Operating revenue fell 24% to $237M, and adjusted operating EBITDAs fell 40% to $100M, mainly due to exceptional transfer fees recorded in the third quarter of 2025.
Conversely, net debt excluding IFRS 16 fell 18% year on year to $656M, and cumulative nine-month net cash flow rose 8% to $67M. The group also confirmed its annual net cash flow target.
Cumulative cash flow rises and net debt continues to fall
In the third quarter alone, net cash flow fell 33% to $35M, without preventing the nine-month total from exceeding that of 2025. The group attributes this cash generation to the execution of Geoscience projects and the normalisation of working capital requirements.
The change in working capital requirements and provisions thus came to +$1M, compared with -$36M a year earlier, and Viridien collected all outstanding receivables owed by the Mexican national oil company PEMEX. Total capital expenditure, meanwhile, decreased 12% to $47M.
According to the company, this cash flow is mainly allocated to debt reduction. Net debt excluding IFRS 16 came down to $656M at the end of September, compared with $735M at the end of December 2025, and a new partial early repayment of the euro-denominated bond tranche has been announced for November.
Cash stood at $205M at 30 September, up 18% since the end of 2025, for total liquidity of $305M, including an undrawn $100M revolving credit facility. Chief Executive Officer Henning Berg summed up the group's priority as “strengthening the Group's financial position”.
Geoscience returns to growth, Earth Data and SMO decline
Geoscience, the group's largest business with $112M in revenue, grew 3% year on year and 17% compared with the second quarter, thanks to the conversion of its order backlog. Over nine months, it remains down 8% at $305M.
The backlog stood at $267M at the end of September, down 8% year on year, and then at $283M at the end of October 2026. According to the group, several tens of millions of dollars of verbal awards remain to be formalised.
Earth Data's revenue fell 49% to $69M, due to high transfer fees in the third quarter of 2025 and lower pre-funding revenues.
Its cash EBITDA fell to $19M from $73M, and its capital expenditure decreased 20% to $36M, due to the postponement of certain projects.
The DDE segment (Geoscience and Earth Data) generated adjusted operating EBITDAs of $112M, down 34%, for a margin of 62%, its highest quarterly level in 2026. Geoscience's profitability improved both year on year and compared with the previous quarter, according to the press release.
Sensing & Monitoring fell 18% to $56M, still penalised by the conflict in the Middle East, with a 32% decline in marine activities and an 11% increase in land activities. Its adjusted operating EBITDAs turned negative at -$5M, compared with +$4M a year earlier.
Its adjusted operating income came to -$11M, compared with -$2M. Viridien has launched an operational review and initiatives aimed at lowering this business's break-even point, while preserving the capacity needed for a market recovery.
IFRS net loss in the third quarter, cash flow target confirmed
Under IFRS, consolidated revenue fell 12% to $236M, and operating income fell to $13M from $77M. Net income swung from a profit of $41M to a loss of $10M.
This loss mainly reflects $73M of depreciation and amortisation, of which $65M relates to Earth Data projects, and $23M of net financial debt costs, down 14%. Over nine months, the net loss reached $46M, compared with a profit of $19M in 2025.
Over nine months, the two reporting frameworks diverge: IFRS revenue rose 2% to $771M, while operating revenue fell 23% to $683M. The gap stems from $88M of IFRS 15 adjustments, as the standard requires Earth Data pre-funding revenues to be recognised upon data delivery.
Viridien confirmed its net cash flow target of $100M for 2026 and expressed confidence in a more favourable environment in the fourth quarter, relying on increased customer engagement and sustained commercial activity. Annual results will be published on 25 February 2027.
Deleveraging thus continues at the pace of cash generation, while operating results remain penalised by the Earth Data comparison base and Sensing & Monitoring's negative operating income.
