Tidewater Inc. (TDW) experienced a significant after-hours plunge of 5.66% following the release of its first-quarter financial results. The offshore vessel operator reported earnings that fell sharply short of analyst expectations, triggering a sell-off in extended trading.

The company posted Q1 earnings per share of $0.12, missing the FactSet consensus estimate of $0.68 by a substantial margin. Net income attributable to shareholders plummeted 97% to $6.14 million compared to the prior quarter, while revenue declined 3% year-over-year to $326.22 million. The dramatic earnings miss was attributed to higher-than-anticipated operating costs in the Middle East due to conflict-related insurance and crew expenses, as well as a $3.4 million foreign exchange loss that impacted net income and EBITDA.

Despite the disappointing quarterly results, Tidewater reiterated its full-year 2026 revenue guidance of $1.43 billion to $1.48 billion, which aligns with the FactSet consensus estimate of $1.45 billion. The company also maintained its gross margin guidance of 49% to 51% for the year and expects its recently announced Wilson Sons Ultratug acquisition to close in the second quarter.