Tidewater Issues Earnings Guidance
Tidewater Inc. (TDW)
announced that it expects fiscal second quarter financial results to be below current analysts' earnings expectations. For the three months ended September 30, 2003, the Company is currently estimating diluted earnings per share of $0.20-$0.23. The Thomson First
Call consensus earnings estimate is currently $0.31 per share.Lower utilization for the Company's supply and towing supply vessels in certain international markets, particularly in Nigeria, Venezuela, and Brazil, negatively impacted international vessel revenues and profitability. Additionally, continued weakness in the Gulf of Mexico drilling market will result in an operating loss from domestic operations in the second fiscal quarter, despite significant cost cutting efforts that took place during the quarter. The full financial impact of these cost cutting measures is expected to be realized beginning in the fiscal third quarter. In line with prior guidance, worldwide vessel operating costs were higher than the June 30, 2003 quarter as a result of higher drydocking costs and incremental costs related to new vessels delivered at the end of the June 2003 quarter and during the September 2003 quarter. All of these factors are estimated to lead to a decline of $0.09-$0.12 earnings per share in the quarter ended September 30, compared to the $0.32 earnings per share reported for the immediately preceding quarter ended June 30, 2003.As previously announced, Tidewater will hold a conference call to discuss September quarter earnings on Thursday, October 23, at 10:00 a.m. CDST promptly following the Company's release of quarterly earnings. Investors and interested parties may listen to the teleconference via telephone by calling 1-888-388-7493 if calling from the U.S. or Canada (1-706-679-8348 if calling from outside the U.S.) and ask for the "Tidewater Inc." call just prior to the scheduled start. A replay of the conference call will be available beginning at 1:00 p.m. CDST on October 23, 2003, and will continue until 11:59 p.m. CDST on October 24, 2003. To hear the replay, call 1-800-642-1687 (1-706-645-9291 if calling from outside the U.S.). The conference call ID number is 3122162.A simultaneous Webcast of the conference call will be accessible online at the Tidewater Inc. Website, www.tdw.com, and at the CCBN Website, www.streetevents.com. The online replay will be available until November 23, 2003.