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Archer Limited: Record Q4 and 36% EBITDA-growth in 2023 | Forecasts continued EBITDA growth and reduced leverage for 2024

Hamilton, Bermuda (January 26, 2024)

Drilling and well services provider Archer today provides a trading update for the fourth quarter and full-year 2023, and financial outlook for 2024.

Some highlights from the trading update:

  • Revenue of $305 million and adjusted EBITDA of $33.4 million in Q4 2023, a year-on-year increase of 15% and 14%, respectively.
  • EBITDA grew by 36% in 2023, exceeding upper range of full-year guidance.
  • Reduced leverage ratio to 2.9 at year-end 2023.
  • Estimates 15-20% EBITDA growth in 2024 as well as further reduction of leverage ratio to between 2.4 and 2.7 at year-end 2024.

“We delivered 36% EBITDA growth in 2023 due to increased activity across all divisions. We believe the market fundamentals for our services will continue to improve and we therefore forecast EBITDA growth of 15-20%, and a further material reduction in leverage ratio in 2024” says Dag Skindlo, CEO of Archer.


Archer delivered revenue of $305 million in the fourth quarter 2023, up 15% from the same quarter last year ($264m). Adjusted EBITDA increased 14% to a record high $33.4 million ($29m), while EBITDA was $31 million ($27m). EBIT in the fourth quarter was $16.9 million ($13m), equivalent to an EBIT-margin of 5.5% (4.9%).


Archer’s full-year 2023 revenue was of $1,169 million, an increase of 20% from 2022 ($970m). EBITDA was $116.8 million, up 36% year-on-year ($86m). EBIT was $64.7 million, an increase of 121% from 2022 ($29.3m).

Strong growth and operational cash flow for 2023, as well as the refinancing in the first half of the year, has reduced Archer’s leverage ratio to 2.9 (5.3) at year-end. Archer’s order backlog stands at $1.7 billion, providing good visibility for 2024 and beyond.

“We exceeded the upper range of our financial guidance for 2023. This demonstrates that our strategy is paying off and that our key markets support continued growth,” adds Dag Skindlo.

Archer will present its complete fourth quarter and full-year 2023 financial results on 29 February 2024.


Archer remains committed to deliver best in class on health, safety, and environment in its operations.

“I want to thank all our employees for their dedication to deliver according to these standards. We can as a team of 4,800 employees be proud that we had zero High Potential Incidents in 2023,” says Skindlo.


Archer consists of three operating division: Well Services, Platform Operations, and Land Drilling.

Archer’s Well Services division delivered an impressive 57% EBITDA growth in 2023, of which approximately 40% was organic. The division has delivered an organic CAGR of 26% from 2017 to 2023. The company expects continued strong EBITDA growth from Well Services in 2024.

Within Platform Operations, Archer sees a high demand for P&A and decommissioning services. The strongest activity and near-term increase in the well decom market is in the UK, where operators will spend an estimated $26 billion towards 2040, while global offshore P&A market is expected to grow more than 100% in the next 10 years. The brownfield and decom market, which Archer is primarily exposed to, is less impacted by fluctuations in the oil price. Platform Operation expects slightly lower activity in 2024 as one of the modular drilling rigs is idle while being upgraded and recertified for operation on Fulmar.

The Land Drilling division delivered solid operational and financial results in 2023. The newly announced Pan American Energy contracts and increased activity underpins expected EBITDA growth of 15-20% in 2024. Archer considers the political signals in Argentina as positive regarding opening up the economy and investments into oil and gas.


In total, Archer expects an EBITDA growth of 15-20% in 2024.

The company expects to reduce its leverage ratio from 2.9 at the beginning of the year to between 2.4 and 2.7 at year-end 2024.

Archer expects capital expenditure of 4-5% of revenue during 2024. This is somewhat above historic level to support growth and the recertification and upgrade of the Emerald modular drilling rig for operation in 2025.

“The market outlook for our operating divisions remains positive, and we are well positioned to capitalize on this growth. Deleveraging Archer will remain a key focus in order to create additional financial flexibility for Archer in the coming years,” Dag Skindlo concludes.  


Archer will host a conference call at 9:00 am CET on January 26, 2024. To follow the presentation, the following options are available:

A. Webcast

To register for the webcast please go to

B. Conference call

To access the call, which is open to the public, please dial in at the participant telephone numbers listed below. Please call in 10 minutes prior to the scheduled start time, and ask for the “Archer Q4 2023 Trading Update and 2024 Outlook Presentation”.                       

Participants dial-in:

United Kingdom +44 20 3936 2999

United States +1 646 787 9445

Germany +49 32 221098334

Norway: +47 815 03 308

Access code: 352865

The operator will ask for your name and company. Following the presentation there will be a Q&A session. Information on how to ask questions will be given at the beginning of the Q&A session.

For additional information please contact:

Dag Skindlo, Chief Executive Officer | Mobile: +47 982 26 624 | Email:

Espen Joranger, Chief Financial Officer | Mobile: +47 982 06 812 | Email:

Joachim Houeland, Manager Treasury & Investor Relations | Mobile: +47 482 78 748 | Email:

This information is subject of the disclosure requirements acc. to §5-12 vphl (Norwegian Securities Trading Act)