BOURBON Press Release: 1st Quarter 2017 financial information
(Thomson Reuters ONE) -
Paris, May 4, 2017
BOURBON 1(st) quarter 2017 financial information
Adjusted revenues amounted to ?225.5 million (?204.9 million in consolidated
revenues) in the 1(st) quarter of 2017, down 7.7% from the 4(th) quarter of
2016 and 28.3% year on year
* 1(st) quarter revenue fell by 7.7% compared with the 4(th )quarter 2016. As
forecasted, this was strongly impacted by the Shallow water offshore vessel
segment (-25.9%), which remains the most affected by the cyclical downturn.
* The strategy is still to concentrate on the utilization rate of the fleet in
operation and to stack vessels proactively.
* Customers were keen to renew long-term contracts in the Deepwater offshore,
Shallow water offshore and Subsea segments.
* The agreement signed with ICBC Financial Leasing reduces lease payments by
US$240 million until the end of 2018.
+-------+-------+-------+-------+-------+
|Q1 2017|Q4 2016|Q3 2016|Q2 2016|Q1 2016|
+--------------------------------------+-------+-------+-------+-------+-------+
|Adjusted revenues (in ? millions) | 225.5 | 244.4 | 259.1 | 284.7 | 314.5 |
|Sequential change | -7.7% | -5.7% | -9.0% | -9.5% | |
| | | | | | |
+--------------------------------------+-------+-------+-------+-------+-------+
|Average utilization rate (excl. Crew | | | | | |
|boats) | 46.8% | 52.1% | 58.3% | 64.5% | 71.7% |
|Deepwater offshore vessels | 61.0% | 60.5% | 66.4% | 69.7% | 77.2% |
|Shallow water offshore vessels | 35.6% | 44.6% | 53.1% | 62.5% | 71.3% |
|Subsea | 57.5% | 63.3% | 57.0% | 56.0% | 52.3% |
| | | | | | |
| | | | | | |
+--------------------------------------+-------+-------+-------+-------+-------+
|Average daily rate (excl. Crew boats |15,267 |15,081 |15,260 |15,265 |16,299 |
|US$/d) | | | | | |
+--------------------------------------+-------+-------+-------+-------+-------+
"Despite oil prices remaining above US$50 a barrel during the 1(st) quarter of
2017, activity is yet to recover in the Shallow water offshore and Deepwater
offshore sectors. However, the upturn witnessed in late 2016 in specialized
Subsea and personnel transport operations looks set to continue in 2017", says
Jacques de Chateauvieux, Chairman and Chief Executive Officer of BOURBON
Corporation.
"BOURBON is therefore focusing its efforts on what it can control: cost
reduction and its transformation in response to evolving customers'
expectations."
+---------------------------------+
| Quarter |
+-------+-------+---------+-------+
|Q1 2017|Q1 2016|Variation|Q4 2016|
In ? millions, except as noted | | |2017/2016| |
+-------------------------------------------+-------+-------+---------+-------+
|Operational indicators | | | | |
| | | | | |
|Number of vessels (FTE)* | 514.0 | 511.4 | +0.3% | 514.0 |
| | | | | |
|Number of vessels (end of period)** | 514 | 515 |-1 vessel| 514 |
| | | | | |
|Average utilization rate (%) | 54.5% | 69.5% | -15 pts | 57.4% |
| | | | | |
|Average daily rate (US$/day) | 8,769 |10,324 | -15.1% | 8,989 |
+-------------------------------------------+-------+-------+---------+-------+
(*) FTE: Full Time Equivalent
(**) Vessels operated by BOURBON (including vessels owned or on bareboat
charter)
+-------------------------------------------+-------+-------+---------+-------+
|Adjusted Revenues(a) | | | | |
| | | | | |
|Marine Services | 164.8 | 259.5 | -36.5% | 182.9 |
| | | | | |
|Deepwater offshore vessels | 68.8 | 98.6 | -30.2% | 72.8 |
| | | | | |
|Shallow water offshore vessels | 37.1 | 94.6 | -60.8% | 50.1 |
| | | | | |
|Crew boats | 58.9 | 66.3 | -11.2% | 60.0 |
| | | | | |
|Subsea Services | 56.6 | 50.0 | +13.3% | 56.4 |
| | | | | |
|Other | 4.1 | 5.0 | -17.6% | 5.1 |
+-------------------------------------------+-------+-------+---------+-------+
|Total adjusted revenues | 225.5 | 314.5 | -28.3% | 244.4 |
|(change at constant rate) | | | -29.3% | |
+-------------------------------------------+-------+-------+---------+-------+
|IFRS 11 impact*** |(20.6) |(22.5) | |(20.0) |
+-------------------------------------------+-------+-------+---------+-------+
|Group TOTAL | 204.9 | 292.0 | -29.8% | 224.4 |
+-------------------------------------------+-------+-------+---------+-------+
(***) Effect of consolidation of jointly controlled companies using the
equity method
+-------------------------------------------+-------+-------+---------+-------+
|Average utilization rate (excl. Crew boats)| 46.8% | 71.7% |-24.9pts | 52.1% |
+-------------------------------------------+-------+-------+---------+-------+
|Average daily rate (excl. Crew boats) |15,267 |16,299 | -6.3% |15,081 |
+-------------------------------------------+-------+-------+---------+-------+
(a) Adjusted data:
The adjusted financial information is presented by activity and by segment based
on the internal reporting system and shows internal segment information used by
the principal operating decision maker to manage and measure the performance of
BOURBON (IFRS 8). The internal reporting (and thus the adjusted financial
information) records the performance of operational joint ventures on which the
group has joint control using the full integration method. Adjusted comparative
figures are restated accordingly.
Market highlights and operations for the 1(st) quarter 2017
* In March, the Brent price remained above US$50 a barrel for the sixth
consecutive month.
* In January, the Bourbon Evolution 801 completed its first well clean-up
operation in around 30 hours, to restart a well in the OFON field in Nigeria
for TOTAL.
* Several long-term contracts were renewed in Angola with oil majors and
contractors.
* In renewable energy, BOURBON was selected by Centrale Nantes for the
offshore installation of the anchoring system of France's first floating
wind turbine.
MARINE SERVICES
+-----------------------------------------+
| Quarter |
+---------+---------+-----------+---------+
| Q1 2017 | Q1 2016 | Variation | Q4 2016 |
| | | 2017/2016 | |
+------------------------------------+---------+---------+-----------+---------+
| Adjusted Revenues (in ? millions) | 164.8 | 259.5 | -36.5% | 182.9 |
+------------------------------------+---------+---------+-----------+---------+
| Number of vessels (end of period)* | 491 | 492 | -1 vessel | 491 |
+------------------------------------+---------+---------+-----------+---------+
| Average utilization rate | 54.3% | 70.3% | -16 pts | 57.1% |
+------------------------------------+---------+---------+-----------+---------+
* Vessels operated by BOURBON (including vessels owned or on bareboat
charter).
The Marine Services activity amounts to 491 vessels in BOURBON's fleet. Overall,
the impact of the sharp reduction in the Shallow water offshore segment, both in
terms of utilization rate and day rate, outweighs the resilience of the Crew
boats and Deepwater offshore segments.
Marine Services: Deepwater offshore vessels
+-----------------------------------------+
| Quarter |
+---------+---------+-----------+---------+
| Q1 2017 | Q1 2016 | Variation | Q4 2016 |
| | | 2017/2016 | |
+------------------------------------+---------+---------+-----------+---------+
| Adjusted Revenues (in ? millions) | 68.8 | 98.6 | -30.2% | 72.8 |
+------------------------------------+---------+---------+-----------+---------+
| Number of vessels (end of period)* | 89 | 89 | - | 89 |
+------------------------------------+---------+---------+-----------+---------+
| Average utilization rate | 61.0% | 77.2% | -16.2 pts | 60.5% |
+------------------------------------+---------+---------+-----------+---------+
| Average daily rate (US$/day) | 15,084 | 17,630 | -14.4% | 15,526 |
+------------------------------------+---------+---------+-----------+---------+
* Vessels operated by BOURBON (including vessels owned or on bareboat
charter).
The start of recovery in drilling activities, in particular in South America,
has allowed to stabilize average utilization rate (in most regions where BOURBON
operates) and to limit the impact of the quarter-on-quarter decline in adjusted
revenues, while average day rates decrease slightly. BOURBON stacked up to 26
vessels during the quarter. A first previously stacked PSV has returned to
service at the end of the quarter to support an exploration campaign in
Colombia.
Marine Services: Shallow water offshore vessels
+-----------------------------------------+
| Quarter |
+---------+---------+-----------+---------+
| Q1 2017 | Q1 2016 | Variation | Q4 2016 |
| | | 2017/2016 | |
+------------------------------------+---------+---------+-----------+---------+
| Adjusted Revenues (in ? millions) | 37.1 | 94.6 | -60.8% | 50.1 |
+------------------------------------+---------+---------+-----------+---------+
| Number of vessels (end of period)* | 133 | 133 | - | 133 |
+------------------------------------+---------+---------+-----------+---------+
| Average utilization rate | 35.6% | 71.3% | -35.7 pts | 44.6% |
+------------------------------------+---------+---------+-----------+---------+
| Average daily rate (in US$/day) | 9,534 | 11,967 | -20.3% | 9,958 |
+------------------------------------+---------+---------+-----------+---------+
* Vessels operated by BOURBON (including vessels owned or on bareboat
charter).
Shallow water activity has mainly been impacted by monsoon in Asia and by the
weak drilling and maintenance activity. Average utilization rates have continued
to fall sharply, resulting in a quarter-on-quarter decrease in adjusted revenue
of 25.9%. Thus, BOURBON continued to adapt to these market conditions during the
quarter, with the number of stacked vessels peaking at 76.
Marine Services: Crew boat vessels
+-----------------------------------------+
| Quarter |
+---------+---------+-----------+---------+
| Q1 2017 | Q1 2016 | Variation | Q4 2016 |
| | | 2017/2016 | |
+-----------------------------------+---------+---------+-----------+---------+
| Adjusted Revenues (in ? millions) | 58.9 | 66.3 | -11.2% | 60.0 |
+-----------------------------------+---------+---------+-----------+---------+
| Number of vessels (end of period) | 269 | 270 | -1 vessel | 269 |
+-----------------------------------+---------+---------+-----------+---------+
| Average utilization rate | 61.4% | 67.5% | -6.1 pts | 62.2% |
+-----------------------------------+---------+---------+-----------+---------+
| Average daily rate (in US$/day) | 4,270 | 4,538 | -5.9% | 4,359 |
+-----------------------------------+---------+---------+-----------+---------+
Adjusted revenue for the Crew boats segment remained stable in the 1(st) quarter
of 2017 compared with the previous quarter. Average utilization rates and prices
are almost stable compared to the previous quarter. Demand is growing for large
Crew boats, which offer an economical alternative to helicopter transportation.
Subsea Services
+-----------------------------------------+
| Quarter |
+---------+---------+-----------+---------+
| Q1 2017 | Q1 2016 | Variation | Q4 2016 |
| | | 2017/2016 | |
+------------------------------------+---------+---------+-----------+---------+
| Adjusted Revenues (in ? millions) | 56.6 | 50.0 | +13.3% | 56.4 |
+------------------------------------+---------+---------+-----------+---------+
| Number of vessels (end of period)* | 22 | 22 | - | 22 |
+------------------------------------+---------+---------+-----------+---------+
| Average utilization rate | 57.5% | 52.3% | +5.2 pts | 63.3% |
+------------------------------------+---------+---------+-----------+---------+
| Average daily rate (in US$/day) | 37,488 | 44,119 | -15.0% | 35,195 |
+------------------------------------+---------+---------+-----------+---------+
* Vessels operated by BOURBON (including vessels owned or on bareboat
charter).
Adjusted revenues of the Subsea Services activity was maintained during the
quarter, reflecting the upturn registered in the 4(th) quarter of 2016. The
slight increase reflects the time it takes for vessels to return to service and
transit to areas of operation under new contracts.
Vessels in the Bourbon Evolution 800 series are continuing to appeal to both oil
majors and contractors. These vessels have benefited from the gradual resumption
in maintenance works on existing fields, following the prolonged standstill of
this activity in Asia, the Mediterranean/Middle East, West Africa and India. At
the end of March, the utilization rate of this part of the fleet was 88%.
Together with its partners, BOURBON is pursuing its diversification strategy in
historic areas of operation by expanding its range of activities: construction
support, ROV operations, diving, flotel and well stimulation.
Other
+-----------------------------------------+
| Quarter |
+---------+---------+-----------+---------+
| Q1 2017 | Q1 2016 | Variation | Q4 2016 |
| | | 2017/2016 | |
+-----------------------------------+---------+---------+-----------+---------+
| Adjusted Revenues (in ? millions) | 4.1 | 5.0 | -17.6% | 5.1 |
+-----------------------------------+---------+---------+-----------+---------+
Activities included are those that do not fit into either Marine Services or
Subsea Services. Making up the majority of the total are earnings from such
items as miscellaneous ship management activities, logistics as well as from the
cement carrier Endeavor.
OUTLOOK
Production reduction by OPEC members and non-members have not put to an end to
uncertainty over oil prices evolution as inventories remain relatively high.
However, if oil prices were to stabilize at between US$50 and US$60 a barrel,
this could trigger renewed investment due to the strong drop in costs and the
continued reduction in oil companies' breakeven.
The pace of the recovery will be partly influenced by the extent to which
production recovers in the United States. If it materializes, this will result
in delaying a significant price rise by several quarters.
Nevertheless, the fall in production of existing fields should see a return of
investment, especially in sectors where rapid profitability is guaranteed.
The Subsea and Crew boats segments will be the first to benefit from this
recovery, as is already the case today.
BOURBON is therefore continuing its efforts to streamline operations, reduce
costs and preserve cash, with the same objective of operational excellence.
MAJOR EVENTS AND OPERATIONS
As announced on April 12, in parallel with the negotiations that led to the
rescheduling of a large part of its debt, BOURBON also reached an agreement to
reschedule vessel lease payments under the sale and bareboat charter/leaseback
agreements signed with ICBC Financial Leasing in 2013 and 2014.
Under this agreement, BOURBON's lease payments for 2016-2018 will fall by US$240
million, in consideration of the two-year extension of the initial bareboat
charter period at a rate of 8%, as well as more favorable commercial terms for
ICBC Financial Leasing.
This agreement will not have any significant impact on the consolidated
financial statements of the group as it will not affect the qualification of
bareboat charter of the vessels. Pursuant to IFRS, lease payments will be
recognized on a straight-line basis as of the date of the lease term
renegotiation and for the remaining lease term.
ADDITIONAL INFORMATION
BOURBON's results will continue to be influenced by the ?/US$ exchange rate.
FINANCIAL CALENDAR
Combined General Shareholders' Meeting May 23, 2017
2017 1(st) Half Financial Information press release August 3, 2017
2017 1(st) Half Results press release and presentation September 7, 2017
2017 3(rd) Quarter Financial Information press release November 9, 2017
APPENDIX
Quarterly adjusted revenue breakdown
+------+ +---------------------------+
| 2017 | | 2016 |
In ? millions | | | | | | |
| Q1 | | Q4 | Q3 | Q2 | Q1 |
+------------------------------+ +------+ +------+------+------+------+
|Marine Services | |164.8 | |182.9 |203.2 |218.5 |259.5 |
| | | | | | | | |
|Deepwater offshore vessels | | 68.8 | | 72.8 | 81.4 | 84.2 | 98.6 |
| | | | | | | | |
|Shallow water offshore vessels| | 37.1 | | 50.1 | 60.9 | 73.6 | 94.6 |
| | | | | | | | |
|Crew boats | | 58.9 | | 60.0 | 60.8 | 60.7 | 66.3 |
+------------------------------+ +------+ +------+------+------+------+
|Subsea Services | | 56.6 | | 56.4 | 50.0 | 60.9 | 50.0 |
+------------------------------+ +------+ +------+------+------+------+
|Other | | 4.1 | | 5.1 | 5.9 | 5.3 | 5.0 |
+------------------------------+ +------+ +------+------+------+------+
|Total adjusted revenues | |225.5 | |244.4 |259.1 |284.7 |314.5 |
+------------------------------+ +------+ +------+------+------+------+
|IFRS 11 impact* | |(20.6)| |(20.0)|(19.4)|(20.1)|(22.5)|
+------------------------------+ +------+ +------+------+------+------+
|TOTAL CONSOLIDATED(**) | |204.9 | |224.4 |239.7 |264.6 |292.0 |
+------------------------------+ +------+ +------+------+------+------+
* Effect of consolidation of joint ventures using the equity method.
Quarterly average utilization rates for the BOURBON offshore fleet
+----+ +-------------------+
|2017| | 2016 |
In % | | | | | | |
| Q1 | | Q4 | Q3 | Q2 | Q1 |
+--------------------------------------+ +----+ +----+----+----+----+
|Marine Services | |54.3| |57.1|59.9|64.5|70.3|
| | | | | | | | |
|Deepwater offshore vessels | |61.0| |60.5|66.4|69.7|77.2|
| | | | | | | | |
|Shallow water offshore vessels | |35.6| |44.6|53.1|62.5|71.3|
| | | | | | | | |
|Crew boats | |61.4| |62.2|61.1|63.8|67.5|
+--------------------------------------+ +----+ +----+----+----+----+
|Subsea Services | |57.5| |63.3|57.0|56.0|52.3|
+--------------------------------------+ +----+ +----+----+----+----+
|"Total fleet excluding Crew boats" | |46.8| |52.1|58.3|64.5|71.7|
+--------------------------------------+ +----+ +----+----+----+----+
|"Total fleet" average utilization rate| |54.5| |57.4|59.7|64.2|69.5|
+--------------------------------------+ +----+ +----+----+----+----+
Quarterly average daily rates for the BOURBON offshore fleet
+------+ +---------------------------+
| 2017 | | 2016 |
In US$/day | | | | | | |
| Q1 | | Q4 | Q3 | Q2 | Q1 |
+---------------------------------------+ +------+ +------+------+------+------+
|Deepwater offshore vessels | |15,084| |15,526|16,492|16,537|17,630|
+---------------------------------------+ +------+ +------+------+------+------+
|Shallow water offshore vessels | |9,534 | |9,958 |10,365|10,712|11,967|
+---------------------------------------+ +------+ +------+------+------+------+
|Crew boats | |4,270 | |4,359 |4,473 |4,405 |4,538 |
+---------------------------------------+ +------+ +------+------+------+------+
|Subsea Services | |37,488| |35,195|37,182|39,583|44,119|
+---------------------------------------+ +------+ +------+------+------+------+
|"Total fleet excluding Crew boats' | | | | | | | |
| average daily | |15,267| |15,081|15,260|15,265|16,299|
|rate | | | | | | | |
+---------------------------------------+ +------+ +------+------+------+------+
Quarterly number of vessels (end of period)
+------+ +-----------------------+
| 2017 | | 2016 |
In number of vessels* | | | | | | |
| Q1 | | Q4 | Q3 | Q2 | Q1 |
+--------------------------------+ +------+ +-----+-----+-----+-----+
| Marine Services | | 491 | | 491 | 491 | 490 | 492 |
| | | | | | | | |
| Deepwater offshore vessels | | 89 | | 89 | 89 | 89 | 89 |
| | | | | | | | |
| Shallow water offshore vessels | | 133 | | 133 | 133 | 133 | 133 |
| | | | | | | | |
| Crew boats | | 269 | | 269 | 269 | 268 | 270 |
+--------------------------------+ +------+ +-----+-----+-----+-----+
| Subsea Services | | 22 | | 22 | 22 | 22 | 22 |
+--------------------------------+ +------+ +-----+-----+-----+-----+
| FLEET TOTAL | | 513 | | 513 | 513 | 512 | 514 |
+--------------------------------+ +------+ +-----+-----+-----+-----+
* Vessels operated by BOURBON (including vessels owned or on bareboat
charter).
Breakdown of BOURBON adjusted revenues by geographical region
+-----+ +-----------------------+
|2017 | | 2016 |
In ? millions | | | | | | |
| Q1 | | Q4 | Q3 | Q2 | Q1 |
+----------------------------------+ +-----+ +-----+-----+-----+-----+
|Africa | |130.1| |135.9|131.0|162.9|186.5|
+----------------------------------+ +-----+ +-----+-----+-----+-----+
|Europe & Mediterranean/Middle East| |28.8 | |42.0 |45.7 |36.9 |33.7 |
+----------------------------------+ +-----+ +-----+-----+-----+-----+
|Americas | |41.3 | |45.4 |52.9 |51.9 |66.4 |
+----------------------------------+ +-----+ +-----+-----+-----+-----+
|Asia | |25.3 | |21.0 |29.5 |32.9 |27.8 |
+----------------------------------+ +-----+ +-----+-----+-----+-----+
Other key indicators
Quarterly breakdown
+----+ +-------------------+
|2017| | 2016 |
| | | | | | |
| Q1 | | Q4 | Q3 | Q2 | Q1 |
+-------------------------------------------------+ +----+ +----+----+----+----+
|Average ?/US$ exchange rate for the quarter (in | |1.06| |1.08|1.12|1.13|1.10|
|?) | | | | | | | |
+-------------------------------------------------+ +----+ +----+----+----+----+
|?/US$ exchange rate at closing (in ?) | |1.07| |1.05|1.12|1.11|1.14|
+-------------------------------------------------+ +----+ +----+----+----+----+
|Average price of Brent for the quarter (in | | 54 | | 49 | 46 | 46 | 34 |
|US$/bbl) | | | | | | | |
+-------------------------------------------------+ +----+ +----+----+----+----+
About BOURBON
Among the market leaders in marine services for offshore oil & gas, BOURBON
offers the most demanding oil & gas companies a wide range of marine services,
both surface and sub-surface, for offshore oil & gas fields and wind farms.
These extensive services rely on a broad range of the latest-generation vessels
and the expertise of almost 9,300 skilled employees. Through its 37 operating
subsidiaries the group provides local services as close as possible to customers
and their operations throughout the world, of the highest standards of service
and safety.
BOURBON provides two operating activities (Marine Services and Subsea Services)
and also protects the French coastline for the French Navy.
In 2016, BOURBON'S revenue came to ?1,102.6 million and the company operated a
fleet of 514 vessels.
Placed by ICB (Industry Classification Benchmark) in the "Oil Services" sector,
BOURBON is listed on the Euronext Paris, Compartment B.
Contacts
BOURBON Media relations agency
Publicis Consultants
Investor Relations, analysts, Vilizara Lazarova
shareholders
+33 140 138 607 +33 144 824 634
investor-relations(at)bourbon- vilizara.lazarova(at)consultants.publicis.fr
online.com
Corporate Communication
Christelle Loisel
+33 491 136 732
christelle.loisel(at)bourbon-online.com
PDF version:
http://hugin.info/159569/R/2101574/796794.pdf
This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: BOURBON via GlobeNewswire
Unternehmensinformation / Kurzprofil:
Datum: 04.05.2017 - 07:00 Uhr
Sprache: Deutsch
News-ID 540160
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contact information:
Town:
Paris
Kategorie:
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