Borr Drilling — Earnings Release 2024

May 23, 2024

Borr Drilling Limited Announces First Quarter 2024 Results

Borr Drilling Limited Announces First Quarter 2024 Results

Hamilton, Bermuda, May 23, 2024: Borr Drilling Limited ("Borr", "Borr Drilling"

or the "Company") announces unaudited  results for the three months ended March

31, 2024.

Highlights

· Total operating revenues of $234.0 million, an increase of $13.4 million or

6% compared to the fourth quarter of 2023

· Net income of $14.4 million, a decrease of $14.0 million compared to the

fourth quarter of 2023

· Adjusted EBITDA of $116.8 million, an increase of $5.3 million or 5%

compared to the fourth quarter of 2023

· Raised $200 million of additional principal amount of debt under the 2028

Senior Secured Notes

· Year to date of report, the Company has been awarded eleven new contract

commitments, representing 1,743 days and $318 million of potential contract

revenue, including five new contract commitments signed after the end of the

first quarter of 2024.

· On May 22, 2024, the Board declared an increase in cash dividend to $0.10

per share for the first quarter of 2024 to be paid on or about June 17, 2024.

CEO, Patrick Schorn commented:

"The first quarter results have been strong, driven by solid operational

performance with technical utilization coming in at 99.0% and economic

utilization at 98.6%, keeping us right on track to meet our annual plan. We

finished the quarter with all 22 delivered rigs operating, however after the

close of the quarter, the contract for one of our rigs, "Arabia I" in Saudi

Arabia, was suspended. The rig had excellent operational performance, and based

on current customer discussions we are optimistic it will be re-contracted

before the end of Q3.

On the contracting front, we continue to deliver strong results, securing $318

million in revenue backlog year to date, translating to an average day rate of

approximately $183,000. Notably, in the second quarter, we achieved our first

-ever contract exceeding $200,000 per day on a clean day rate basis. This

milestone not only underscores the premium quality and operational excellence of

our fleet, but it is a positive confirmation of our views of a well-balanced

market despite the recent developments in Saudi Arabia.

Given the high utilization of our rigs and limited near term availability, we

are working closely with our customers to optimize the deployment of our fleet

to best serve their requirements. As such, it is our expectation that the

newbuild rig "Vali", to be delivered from the shipyard by the end of 2024, will

immediately join the operational fleet to cover this work scope.

On the back of the strong operational performance and the positive market

outlook, the board has approved an increase of the quarterly dividend to $0.10

per share. This doubling of dividend versus the previous quarter is in line with

our stated ambition of progressively increasing dividend in-line with our

earnings projections. Additionally,

we reiterate our full year Adjusted EBITDA guidance range for 2024 of $500 to

$550 million."

Questions should be directed to: Magnus Vaaler, CFO, +44 1224 289208