Tidewater Projects Lower than Expected Revenues

(Press Release)
Friday, September 23, 2011

Tidewater Inc. (NYSE: TDW) said that fiscal second quarter financial results for the three months ending September 30, 2011, are currently expected to reflect vessel revenues that are below the $255 million to $260 million range provided by the Company during its August 4, 2011, earnings conference call and actual vessel revenues of $253 million that were reported for the June quarter. Tidewater does not provide its own earnings forecast or endorse forecasts prepared by others, but notes that the Thomson First Call consensus estimate for the September 2011 quarter is currently $0.52 per share.  Most significantly, the Company has experienced delays in acceptance of the initial vessels that form a part of a nine vessel package that were committed to multi-year term charters with Saudi Aramco, largely because the vessels have yet to meet certain performance standards. In addition, start up delays on other projects are expected to result in unanticipated vessel downtime and lower vessel revenue than originally anticipated in the September quarter. These two items are expected to cumulatively result in lower than previously expected vessel revenue in the September quarter of $6 million to $8 million.  The Company is working with Saudi Aramco to develop a mutually acceptable resolution of the performance standards, and although discussions are still progressing, such a resolution may involve, among other possible outcomes, modifications to the vessels, possible rate reductions during the charter period and further delays before the vessels are on charter. At this time, it is unknown when these issues with Saudi Aramco will be resolved. With regard to the vessels supporting the other projects that were delayed during the September quarter, the Company expects that the vessels will commence charters during the December quarter.
In addition, based on actual results through August, the Company expects that both vessel operating expenses and general and administrative expenses for the September quarter will be above the general guidance that was provided on its August 4, 2011, earnings conference call. Our revised estimates are that vessel operating expenses will be in the range of $158 million to $160 million and that general and administrative expenses will be in the range of $38 million to $40 million.
Tidewater further announced that its fiscal 2012 second quarter (ending September 30, 2011) earnings release and conference call have been scheduled for Wednesday, November 2, 2011.

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter June 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Offshore

POSH Bags Shell FLNG Contract

Singapore’s offshore marine services provider PACC Offshore Services Holdings Ltd. (POSH) has been awarded a contract to support Shell’s Prelude floating liquefied

US Oil Drillers Cut Rigs after 3 Weeks of Additions

U.S. oil drillers cut rigs this week for a 20th week this year after three weeks of additions, according to a closely followed report on Friday, as crude prices

Subsea 7 Announces PLSV Swap off Brazil

Subsea 7 S.A. said it has reached an agreement with Petrobras to substitute a pipelay support vessel (PLSV) working off Brazil.   The agreement will see the Subsea-7-owned

Workboats

Alabama Pilots Order High-speed Launch from Gladding-Hearn

The Alabama Pilot, Inc., in Mobile, Ala., has ordered a Chesapeake Class pilot boat from Gladding-Hearn Shipbuilding, Duclos Corporation. Delivery of the new 53-footer is scheduled for mid-2017.

SeaPro FourStroke Making Gains in the Commercial Market

Mercury Marine’s family of SeaPro FourStroke outboard engines is suited for high-hour applications and harsh environments, according to the manufacturer, who said

Ulstein Delivers for BS Offshore

The first of two service operation vessels (SOV) ordered in 2015 by Bernhard Schulte Offshore (BS Offshore) and its client Siemens from Ulstein Verft in is now completed,

Finance

VEB Guarantees $3 Bln of Yamal LNG Debt

Russian development bank VEB said on Friday it had provided a guarantee for $3 billion of debt to the Yamal liquefied natural gas (LNG) project, led by Russian gas firm Novatek.

US Oil Drillers Cut Rigs after 3 Weeks of Additions

U.S. oil drillers cut rigs this week for a 20th week this year after three weeks of additions, according to a closely followed report on Friday, as crude prices

World Stocks Tumble as Britain Votes for EU Exit

Global capital markets reeled on Friday after Britain voted to leave the European Union, with $2 trillion in value wiped from equity bourses worldwide, while money

 
 
Maritime Careers / Shipboard Positions Naval Architecture Offshore Oil Pipelines Port Authority Salvage Ship Electronics Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | 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: 0.0973 sec (10 req/sec)