Petroleum Geo-Services ASA 482 0 Kommentare Third Quarter 2014 Results

Challenging Market
Good Contract and Cash Flow Performance

Highlights Q3 2014

Revenues of $394.2 million, compared to $365.6 million in Q3 2013
EBITDA of $181.7 million, compared to $216.0 million in Q3 2013
EBIT, excluding impairments, of $77.5 million, compared to $108.3 million in Q3 2013
Group EBIT margin, excluding impairments, of 20%, compared to 30% in Q3 2013
Cash flow from operations of $230.7 million, compared to $189.4 million in Q3 2013
Strong balance sheet with $470.4 million liquidity reserve
EPS of $0.04, compared to $0.35 in Q3 2013
Bought back own shares for $4.9 million
Sold Pacific Explorer and decommissioned Nordic Explorer, while Atlantic Explorer is rigged down to 2D - giving quarterly operational cost savings of approximately $10 million effective Q4 2014
Cost reduction programs expanded and on track

"We have during Q3 experienced deteriorating market conditions, including a weakening of the oil price. The cautious spending behaviour among oil companies continues to negatively impact bidding, pricing and utilization. Despite the challenging market environment we have delivered solid marine contract performance. The benefits of attractive rates secured well in advance and good production levels drove a significant improvement in marine contract EBIT margins from the first half of the year, rising to 27%.

However, in MultiClient we experienced lower sales than expected. The shortfall is primarily due to lack of pre-funding from the Triton MultiClient survey in the Gulf of Mexico.

Subsequent to Q3 we have signed up the first Triton pre-funding. This combined with a well pre-funded portfolio of other MultiClient projects, and the visibility we have with 90% of Q4 capacity already booked, although at lower rates, forms the basis for our projected Q4 earnings. The main uncertainty for the full year now relates to MultiClient late sales. Considering the weaker market we adjust our full year EBITDA guidance to approximately $725 million."

Jon Erik Reinhardsen,
President and Chief Executive Officer

Key Financial Figures (In USD millions, except per share data)	3^rd Quarter		Nine months		Full year
	2014	2013	2014	2013	2013
Revenues	394.2	365.6	1,023.6	1,142.1	1,501.6
EBITDA (as defined, see note 1)	181.7	216.0	490.9	627.9	828.9
EBIT ex. impairment charges	77.5	108.3	177.9	315.7	397.1
EBIT as reported	52.5	108.3	143.9	315.7	382.1
Income before income tax expense	27.4	97.9	74.6	283.1	327.9
Net income to equity holders	8.4	74.2	42.7	208.2	238.3
Basic earnings per share ($ per share)	0.04	0.35	0.20	0.97	1.11
Diluted earnings per share ($ per share)	0.04	0.34	0.20	0.96	1.10
Net cash provided by operating activities	230.7	189.4	453.0	563.4	775.3
Cash investment in MultiClient library	70.4	120.9	286.3	262.0	373.0
Capital expenditures (whether paid or not)	53.1	93.2	334.4	364.5	437.8
Total assets (at period end)	3,685.5	3,511.2	3,685.5	3,511.2	3,544.3
Cash and cash equivalents (at period end)	90.4	299.0	90.4	299.0	263.8
Net interest bearing debt (at period end)	1,039.5	638.1	1,039.5	638.1	666.7