MODEC’s Q1 2026 revenue rises 23% as FPSO construction advances; backlog stands at $17.86 billion
MODEC reported first-quarter 2026 revenue of $1.08 billion and operating profit of $122.7 million, supported by progress on existing FPSO construction projects. Orders received were $129.3 million, mainly reflecting specification changes on existing projects, while backlog was $17.86 billion at March 31. The company retained its full-year forecast of $4.6 billion in revenue and $460 million in operating profit.
Confirmed: MODEC generated $1.08 billion of revenue in the three months ended March 31, 2026, up 23.4% year on year, as existing FPSO construction projects progressed. Operating profit increased 63.2% to $122.7 million, and profit attributable to owners of the parent increased 78.2% to $99.1 million. MODEC reported $129.3 million of first-quarter orders, attributed to specification changes on existing FPSO construction projects rather than identified new awards. Backlog remained substantial at $17.86 billion, although it was 3.9% below the end-2025 level. The company maintained its 2026 forecast of $4.6 billion in revenue and $460 million in operating profit.
Interpretation: The results indicate continued high execution activity across MODEC’s existing FPSO construction portfolio and provide revenue visibility through a backlog more than three times the company’s forecast annual revenue. The sharp year-on-year decline in order intake should not be characterized as a collapse in new contract awards because the reported quarterly amount relates to project specification changes and the document identifies no new FPSO award. Strong operating cash flow and increased cash holdings may support execution capacity, but the document does not allocate liquidity to any named future project. MODEC also states that demand for large-scale ultra-deepwater floating-production facilities remains firm. No individual FPSO, client, shipyard or project is named, limiting asset-level relationship extraction. Any extracted company-person relationship remains pending analyst review and is not database-verified.