Polarcus Tests Market, Improves Earnings

By Eric Haun
Friday, August 08, 2014
Polarcus Adira

Polarcus Limited today announced the release of its second quarter 2014 financial statements in which it reported revenue rose 13% sequentially and 5% YoY to $137.6 million while. The company highlighted EBITDA of $49.9 million and EBIT of $23.8 million, a net profit increase to $9.2 million, from 6.3 million in Q2 2013, net cash flow from operations of $45.6 million, a strong Multi-Client prefunding of 92% and 30% reduced financing costs YoY with improved maturity profile.

Polarcus recorded higher revenue per vessel and improved margins in Q2 2014 compared to Q1 2014, as the quarter saw an end to the downward trend in margins recorded sequentially over the previous two quarters. The improved revenue is driven by higher contract utilization and operational efficiency, the company said. Multi-Client sales of existing data library remained elusive due to delayed client purchasing decisions, however subsequent to the quarter end a $6.3 million sale was booked originating from the second tranche of the U.K. 27th licensing round.

A continued competitive market environment combined with increased uncertainty on Multi-Client sales, leads the company to reduce its full year EBITDA guidance to approximately $200 million.

Polarcus Naila returned to operation after a propulsion upgrade which increased her towing and streamer capacity to match the capability of the company's four high performance A-class vessels. The vessel now operates with a significantly improved cost base as well as improved earnings potential through the improved towing capability. $20 million financing relating to the propulsion and productivity enhancement was received post quarter end.

The company said it has continued to improve its financial position by extending its debt maturity profile and reducing its financing costs through issuing a NOK 350 million bond. The new bond carries a lower effective interest rate than the old debt the funds were used to refinance. The transactions were finalized post quarter end.

Commenting on the results, Rolf Rønningen, CEO Polarcus, said, "The company has successfully delivered improved margins in the quarter despite a testing market that has seen tendering levels flat year-on-year and Multi-Client late sales delayed. The competitive market environment meanwhile has had an impact on backlog, however we remain fully focused on improving margins and increasing visibility on future Contract activity. We are also now well advanced on building a strong, well-funded, multi-client project pipeline."

polarcus.com
 

  • Rolf Rønningen

    Rolf Rønningen

Maritime Reporter September 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Danny Broad Appointed to ARENA Board

The Chair, Board members and staff of the Australian Renewable Energy Agency (ARENA) are delighted to advise that Danny Broad has been appointed by the Australian Government to the Board of ARENA.

Monitoring U.S. Troops Returning from Ebola Mission

Secretary Hagel has signed an order that validated a recommendation from the Joint Chiefs of Staff to place all U.S. military service members returning from

Danaos Corp. 3Q & 9M Results

Danaos Corporation, a leading international owner of containerships, today reported unaudited results for the period ended September 30, 2014. Highlights for

Finance

Hyundai Heavy Plummets to Worse Loss Ever

South Korea's Hyundai Heavy Industries Co Ltd, the world's biggest shipbuilder, slid to a record quarterly loss of $1.8 billion and warned it's heading for its

Danaos Corp. 3Q & 9M Results

Danaos Corporation, a leading international owner of containerships, today reported unaudited results for the period ended September 30, 2014. Highlights for

US Natgas Exports Would Raise Energy Prices but Boost Economy

Expanded U.S. liquefied natural gas exports would mean a modest price increase for domestic consumers, but the higher costs would be offset by a boost to the economy, the U.

News

USCG Suspends Search for the 2 Migrants

The Coast Guard suspended its search Wednesday at 3 p.m. for two missing Cuban migrants in the vicinity of Caesar Creek, Florida, to Haulover Inlet, Florida.

Danny Broad Appointed to ARENA Board

The Chair, Board members and staff of the Australian Renewable Energy Agency (ARENA) are delighted to advise that Danny Broad has been appointed by the Australian Government to the Board of ARENA.

First Libra Offshore Oil Well Confirms Discovery

Libra consortium reports that drilling the first well in the area extension of Libra, the 3-BRSA-1255-RJS (3-RJS-731), confirmed the discovery of good quality

Surveyors

DEA’s New 82-foot Survey Vessel Commissioned

David Evans and Associates, Inc.’s Marine Services Division commissioned its new 82-foot hydrographic survey and scientific vessel Blake in a ceremony held in the vessel’s homeport of Gulfport,

EnQuest Selects Technip for Mega Subsea Contract

Technip was awarded by EnQuest earlier this year a large(1) engineering, procurement, installation and construction (EPCI) contract for the Kraken development located in the North Sea,

Burger Boat Delivers R/V Arcticus

Burger Boat Company delivered the R/V Arcticus, a 78-foot research vessel for the United States Geological Survey (USGS), on Friday, October 17, 2014. The Arcticus

Seismic Vessel Tech

DEA’s New 82-foot Survey Vessel Commissioned

David Evans and Associates, Inc.’s Marine Services Division commissioned its new 82-foot hydrographic survey and scientific vessel Blake in a ceremony held in the vessel’s homeport of Gulfport,

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Navigation Offshore Oil Pipelines Ship Electronics Ship Simulators Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2878 sec (3 req/sec)