Paris, November 4,
2015
BOURBON financial information Q3 and 9 months 2015 Adjusted
revenues for first 9 months maintained their resilience with an
increase of 6.8% to €1,103 million at current rates (-5.5% at
constant rates) in a difficult offshore market
-
3rd quarter 2015
average utilization rate of over 73% (-5.7 pts versus one year ago)
showed good resistance in a very weak market while average daily
rates declined 11%, reflecting the lower rates negotiated with
clients on long term contracts as well as reduced rates on spot
contracts compared with a year ago
-
Positive foreign currency impact enabled 9 month
2015 revenues to reach over €1.1 billion also helped by BOURBON's
modern, standardized fleet, combined with its strong worldwide
client network and local partnerships
-
Revenues increased in the Americas versus the
3rd quarter 2014
while the most significant impact of the market downturn was felt
in Asia, where revenues declined 27% over the same period
-
Compared with the preceding quarter, adjusted
revenues decreased 8.3%, impacted by stacked vessels and
contracting of vessels at lower rates
In € millions, unless otherwise
noted |
Quarter |
9 months |
Q3 2015 |
Q3
2014
(restated) |
Var 2015/
2014 |
Q2
2015 |
2015 |
2014
(restated) |
Var 2015/
2014 |
Operational indicators |
|
|
|
|
|
|
|
Number of
vessels (FTE)* |
502.8 |
495.8 |
+1.4% |
501.2 |
501.3 |
490.6 |
+2.2% |
Number of
vessels (end of period)** |
507 |
501 |
+6
vessels |
506 |
507 |
501 |
+6
vessels |
Average
utilization rate (%) |
73.7% |
79.4% |
-5.7 pts |
77.1% |
76.6% |
80.8% |
-4.2 pts |
Average
daily rate (US$/day) |
11,167 |
12,604 |
-11.4% |
11,558 |
11,632 |
12,292 |
-5.4% |
(*) FTE: Full
Time Equivalent.
(**) Vessels operated by BOURBON (including
vessels owned or on bareboat charter).
Adjusted Revenues (a) |
|
|
|
|
|
|
|
Marine
Services |
279.0 |
289.8 |
-3.7% |
299.8 |
891.0 |
841.6 |
+5.9% |
Deepwater offshore vessels |
101.9 |
106.3 |
-4.1% |
109.6 |
325.3 |
300.3 |
+8.3% |
Shallow water offshore vessels |
107.2 |
112.9 |
-5.1% |
116.1 |
346.7 |
327.8 |
+5.8% |
Crew boats |
69.9 |
70.6 |
-1.0% |
74.2 |
219.0 |
213.5 |
+2.6% |
Subsea
Services |
61.0 |
65.7 |
-7.2% |
70.9 |
199.0 |
176.6 |
+12.7% |
Other |
4.1 |
6.1 |
-32.8% |
4.5 |
12.9 |
14.4 |
-10.2% |
Total adjusted revenues
(change at constant rates) |
344.1
|
361.7
|
-4.9%
-12.9% |
375.2
|
1,102.9
|
1,032.6
|
+6.8%
-5.5% |
IFRS 11
impact*** |
(23.8) |
(20.8) |
|
(30.1) |
(81.4) |
(49.2) |
|
Group TOTAL |
320.2 |
340.8 |
-6.0% |
345.1 |
1,021.6 |
983.4 |
-3.9% |
(***) Effect of
consolidation of jointly controlled companies using the equity
method.
(a) See page 2.
Average
utilization rate (excl. Crew boats) |
76.0% |
85.8% |
-9.8 pts |
79.5% |
79.8% |
87.8% |
-8 pts |
Average
daily rate (excl. Crew boats US$/d) |
17,858 |
20,247 |
-11.8% |
18,640 |
18,599 |
19,728 |
-5.7% |
"In today's
market environment, BOURBON remains determined in the search of
operational excellence and is focusing on what it can control:
safety, cost control initiatives and operational efficiency",
says Christian Lefèvre, Chief
Executive Officer of BOURBON. "The
objectives in the coming quarters will be to maximize the
utilization of the fleet by extending the scope of services on the
full range of vessels and extend the portfolio of clients thanks to
its network and strong partnerships overseas."
(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). As of January 1, 2015, 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.
MARINE SERVICES
|
Quarter |
9 months |
Q3 2015 |
Q3
2014
(restated) |
Var 2015/
2014 |
Q2
2015 |
2015 |
2014
(restated) |
Var 2015/
2014 |
Adjusted Revenues (in € millions) |
279.0 |
289.8 |
-3.7% |
299.8 |
891.0 |
841.6 |
+5.9% |
Number of
vessels (end of period)* |
484 |
481 |
+3 vessels |
483 |
484 |
481 |
+3 vessels |
Average
utilization rate |
74.1% |
79.4% |
-5.3 pts |
77.4% |
76.9% |
80.6% |
-3.7 pts |
* Vessels
operated by BOURBON (including vessels owned or on bareboat
charter).
All segments had declines in
utilization rates and average daily rates both year on year and
sequentially, reflecting the continued difficulty in the offshore
services market. Stronger foreign exchange rates and an increase in
the size of the fleet contributed to offset the decline of the
utilization and daily rates, resulting in an increase in adjusted
revenues for the 9 month period.
Marine Services: Deepwater offshore vessels
|
Quarter |
9 months |
Q3 2015 |
Q3
2014
(restated) |
Var 2015/
2014 |
Q2
2015 |
2015 |
2014
(restated) |
Var 2015/
2014 |
Adjusted Revenues (in € millions) |
101.9 |
106.3 |
-4.1% |
109.6 |
325.3 |
300.3 |
+8.3% |
Number of
vessels (end of period)* |
86 |
75 |
+11 vessels |
82 |
86 |
75 |
+11 vessels |
Average
utilization rate |
79.8% |
85.7% |
-5.9 pts |
84.0% |
83.1% |
87.1% |
-4 pts |
Average
daily rate (US$/day) |
19,518 |
23,887 |
-18.3% |
20,286 |
20,543 |
23,189 |
-11.4% |
* Vessels
operated by BOURBON (including vessels owned or on bareboat
charter).
Adjusted revenues increased more
than 8% for the 9 months period compared with the year ago period
due to a significant increase in the size of the fleet and a
favorable exchange rate, and these two factors combined to help
offset a reduction in average utilization and average daily rates.
Almost all regions were affected by the downturn.
Compared with the 2nd quarter
2015, the greatest decline in utilization was seen in Asia, while
average daily rates declined as new contracts began at lower rates
than the expiring contracts. With a 3rd quarter
utilization rate of almost 80%, BOURBON has demonstrated strong
resistance in a depressed market where some regions have seen more
significant reductions in activity than others. There were up to 8
deepwater vessels stacked during the quarter.
Marine Services: Shallow water offshore vessels
|
Quarter |
9 months |
Q3 2015 |
Q3
2014
(restated) |
Var 2015/
2014 |
Q2
2015 |
2015 |
2014
(restated) |
Var 2015/
2014 |
Adjusted Revenues (in € millions) |
107.2 |
112.9 |
-5.1% |
116.1 |
346.7 |
327.8 |
+5.8% |
Number of
vessels (end of period)* |
134 |
135 |
-1 vessel |
138 |
134 |
135 |
-1 vessel |
Average
utilization rate |
75.5% |
86.6% |
-11.1 pts |
78.3% |
79.4% |
88.5% |
-9.1 pts |
Average
daily rate (in US$/day) |
12,880 |
14,152 |
-9.0% |
13,507 |
13,457 |
14,065 |
-4.3% |
* Vessels
operated by BOURBON (including vessels owned or on bareboat
charter).
Adjusted revenues increased for
the 9 months period due to the positive effects of the foreign
exchange rates, which helped to offset the declines in the market
conditions. Asia had the greatest declines in both average
utilization rates and average daily rate over this same period.
During the 3rd
quarter 2015, BOURBON sold 4 vessels that are non-conforming with
its strategy of diesel electric, DP2 technology. This further
concentrates its fleet so that BOURBON is able to leverage its
competitive advantage of providing low fuel consumption vessels to
its customers.
Compared with the 2nd quarter
2015, all regions showed declines in average utilization rates and
average daily rates in the 3rd quarter.
There were up to 22 vessels stacked during the quarter.
Due to the nature of the shallow
water market being generally comprised of low per-barrel production
cost projects, this market has demonstrated good resilience. It was
impacted by reduced activity in exploration and maintenance
projects that was first visible in Q2 2015 continued in Q3 and
mostly affected markets in Asia, MMI and West Africa.
Marine Services: Crew boat vessels
|
Quarter |
9 months |
Q3 2015 |
Q3
2014
(restated) |
Var 2015/
2014 |
Q2
2015 |
2015 |
2014
(restated) |
Var 2015/
2014 |
Adjusted Revenues (in € millions) |
69.9 |
70.6 |
-1.0% |
74.2 |
219.0 |
213.5 |
+2.6% |
Number of
vessels (end of period) |
264 |
271 |
-7 vessels |
263 |
264 |
271 |
-7 vessels |
Average
utilization rate |
71.5% |
74.0% |
-2.5 pts |
75.0% |
73.6% |
75.0% |
-1.4 pts |
Average
daily rate (in US$/day) |
4,632 |
5,113 |
-9.4% |
4,732 |
4,771 |
5,161 |
-7.6% |
Adjusted revenues for the first 9
months of 2015 were supported by the positive foreign exchange
impacts while there were fewer vessels in the fleet and both
average daily rates and average utilization rates declined. Similar
to what was seen in prior quarters, the reduction in demand for the
FSIVs had the greatest impact on the segment while the smaller crew
boats continued to show greater resilience in utilization as a cost
effective means of transportation during a difficult market.
Subsea Services
|
Quarter |
9 months |
Q3 2015 |
Q3
2014
(restated) |
Var 2015/
2014 |
Q2
2015 |
2015 |
2014
(restated) |
Var 2015/
2014 |
Adjusted Revenues (in € millions) |
61.0 |
65.7 |
-7.2% |
70.9 |
199.0 |
176.6 |
+12.7% |
Number of
vessels (end of period)* |
22 |
19 |
+3 vessels |
22 |
22 |
19 |
+3 vessels |
Average
utilization rate |
64.3% |
81.1% |
-16.8 pts |
70.2% |
70.1% |
86.0% |
-15.9 pts |
Average
daily rate (in US$/day) |
47,657 |
50,992 |
-6.5% |
48,847 |
48,679 |
48,057 |
+1.3% |
* Vessels
operated by BOURBON (including vessels owned or on bareboat
charter).
Three new vessels were added to
the fleet compared with last year and the mix effect of the new,
larger vessels resulted in a higher average daily rate for the 9
months period compared with a prior year. In combination with the
favorable exchange rates, this lead to an increase in revenues of
almost 13% for the period. Utilization rates declined as level of
activity reduced in this segment and a few contracts were not being
extended as clients were looking to reduce their own operating
costs. This resulted in much of the
Subsea fleet working in the spot market.
Other
|
Quarter |
9 months |
Q3 2015 |
Q3
2014
(restated) |
Var 2015/
2014 |
Q2
2015 |
2015 |
2014
(restated) |
Var 2015/
2014 |
Adjusted Revenues (in € millions) |
4.1 |
6.1 |
-32.8% |
4.5 |
12.9 |
14.4 |
-10.2% |
Activities included are those that
do not properly 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
The market environment in the oil
services industry continues to be impacted by the effects of the
oil price drop and the resulting reduction in capital investments
by BOURBON's clients. Previously, capital spending plans had been
reported to decrease 15% for the majors and up to 30% for the
independents. Several large oil companies have recently announced
even further cuts to come for 2016 as they indicate that they are
planning for a prolonged period of relatively low oil prices.
BOURBON will continue to adapt to
conditions and maintain its focus on cost control. Among the
measures taken, BOURBON will continue to temporarily stack certain
vessels which have no anticipated activity for 3 months. BOURBON is
choosing to stack vessels to minimize costs and to preserve the
utilization rates on the vessels that remain in operation. Today,
31 supply vessels are stacked.
It is in this context that
BOURBON's strategy to operate a modern, standardized fleet,
combined with its strong worldwide client network and local
partnerships, contributes to its resiliency as its advantages
become an even greater differentiator during difficult market
conditions.
ADDITIONAL INFORMATION
FINANCIAL CALENDAR
4th Quarter 2015
& full year 2015 financial information press release |
February 3, 2016
|
2015 Annual Results press release and
presentation |
March 10, 2016 |
|
|
APPENDIX Quarterly adjusted revenue breakdown
In millions of euros |
|
2015 |
|
2014 (restated) |
|
Q3 |
Q2 |
Q1 |
|
Q4 |
Q3 |
Q2 |
Q1 |
Marine
Services |
|
279.0 |
299.8 |
312.2 |
|
314.3 |
289.8 |
277.5 |
274.3 |
Deepwater offshore vessels |
|
101.9 |
109.6 |
113.8 |
|
111.4 |
106.3 |
98.9 |
95.1 |
Shallow water offshore
vessels |
|
107.2 |
116.1 |
123.5 |
|
127.8 |
112.9 |
108.3 |
106.6 |
Crew boats |
|
69.9 |
74.2 |
74.9 |
|
75.0 |
70.6 |
70.3 |
72.6 |
Subsea
Services |
|
61.0 |
70.9 |
67.1 |
|
67.6 |
65.7 |
56.2 |
54.6 |
Other |
|
4.1 |
4.5 |
4.3 |
|
6.6 |
6.1 |
4.2 |
4.1 |
Total adjusted revenues |
|
344.1 |
375.2 |
383.6 |
|
388.5 |
361.7 |
337.9 |
333.0 |
Adjustments* |
|
(23.8) |
(30.1) |
(27.4) |
|
(25.5) |
(20.8) |
(15.3) |
(13.0) |
TOTAL CONSOLIDATED** |
|
320.2 |
345.1 |
356.3 |
|
363.0 |
340.8 |
322.6 |
320.0 |
* Effect of
consolidation of joint ventures using the equity
method.
**Consolidated 2013 figures have been restated
according to the implementation of the new accounting
standards.
Quarterly average utilization rates for the BOURBON offshore fleet
In % |
|
2015 |
|
2014 |
|
Q3 |
Q2 |
Q1 |
|
Q4 |
Q3 |
Q2 |
Q1 |
Marine
Services |
|
74.1 |
77.4 |
79.2 |
|
81.7 |
79.4 |
80.0 |
82.4 |
Deepwater offshore vessels |
|
79.8 |
84.0 |
86.0 |
|
85.8 |
85.7 |
87.2 |
88.6 |
Shallow water offshore
vessels |
|
75.5 |
78.3 |
84.5 |
|
89.1 |
86.6 |
87.8 |
91.2 |
Crew boats |
|
71.5 |
75.0 |
74.4 |
|
76.7 |
74.0 |
74.3 |
76.6 |
Subsea
Services |
|
64.3 |
70.2 |
75.9 |
|
82.8 |
81.1 |
83.9 |
94.4 |
"Total fleet excluding Crew boats" |
|
76.0 |
79.5 |
84.3 |
|
87.5 |
85.8 |
87.3 |
90.6 |
"Total fleet" average utilization rate |
|
73.7 |
77.1 |
79.1 |
|
81.7 |
79.4 |
80.2 |
82.8 |
Quarterly average daily rates for the BOURBON offshore fleet
In US$/day |
|
2015 |
|
2014 |
|
Q3 |
Q2 |
Q1 |
|
Q4 |
Q3 |
Q2 |
Q1 |
Deepwater
offshore vessels |
|
19,518 |
20,286 |
21,942 |
|
23,093 |
23,887 |
23,219 |
22,839 |
Shallow water offshore vessels |
|
12,880 |
13,507 |
13,882 |
|
14,452 |
14,152 |
14,006 |
14,199 |
Crew
boats |
|
4,632 |
4,732 |
4,934 |
|
5,067 |
5,113 |
5,197 |
5,323 |
Subsea
Services |
|
47,657 |
48,847 |
50,118 |
|
48,063 |
50,992 |
46,868 |
45,407 |
"Total fleet excluding Crew boats" average
daily
rate |
|
17,858 |
18,640 |
19,301 |
|
19,871 |
20,247 |
19,588 |
19,497 |
Quarterly number of vessels (end of period)
In number of vessels* |
|
2015 |
|
2014 |
|
Q3 |
Q2 |
Q1 |
|
Q4 |
Q3 |
Q2 |
Q1 |
Marine
Services |
|
484 |
483 |
479 |
|
483 |
481 |
481 |
479 |
Deepwater offshore vessels |
|
86 |
82 |
79 |
|
79 |
75 |
74 |
73 |
Shallow water offshore
vessels |
134 |
138 |
138 |
139 |
135 |
133 |
130 |
Crew boats |
264 |
263 |
262 |
265 |
271 |
274 |
276 |
Subsea
Services |
|
22 |
22 |
21 |
|
21 |
19 |
19 |
18 |
FLEET TOTAL |
|
506 |
505 |
500 |
|
504 |
500 |
500 |
497 |
* Vessels
operated by BOURBON (including vessels owned or on bareboat
charter).
Quarterly deliveries of vessels
In number of vessels |
|
2015 |
|
2014 |
|
Q3 |
Q2 |
Q1 |
|
Q4 |
Q3 |
Q2 |
Q1 |
Marine
Services |
|
6 |
4 |
0 |
|
10 |
5 |
8 |
12 |
Deepwater offshore vessels |
|
4 |
3 |
0 |
|
5 |
1 |
1 |
2 |
Shallow water offshore
vessels |
0 |
0 |
0 |
4 |
2 |
3 |
6 |
Crew boats |
2 |
1 |
0 |
1 |
2 |
4 |
4 |
Subsea
Services |
|
0 |
1 |
0 |
|
2 |
0 |
1 |
2 |
FLEET TOTAL |
|
6 |
5 |
0 |
|
12 |
5 |
9 |
14 |
Nine months adjusted revenue breakdown
In millions of euros |
|
9 months |
|
2015 |
2014
(restated) |
Marine
Services |
|
891.0 |
841.6 |
Deepwater offshore vessels |
|
325.3 |
300.3 |
Shallow water offshore
vessels |
|
346.7 |
327.8 |
Crew boats |
|
219.0 |
213.5 |
Subsea
Services |
|
199.0 |
176.6 |
Other |
|
12.9 |
14.4 |
Total adjusted revenues |
|
1,102.9 |
1,032.6 |
Adjustments* |
|
(81.4) |
(49.2) |
TOTAL CONSOLIDATED** |
|
1,021.6 |
983.4 |
* Effect of
consolidation of joint ventures using the equity
method.
** Consolidated 2013 figures have been restated
according to the implementation of the new accounting
standards.
Nine month average utilization rates for the BOURBON offshore fleet
In % |
|
9 months |
|
2015 |
2014 |
Marine
Services |
|
76.9 |
80.6 |
Deepwater offshore vessels |
|
83.1 |
87.1 |
Shallow water offshore
vessels |
|
79.4 |
88.5 |
Crew boats |
|
73.6 |
75.0 |
Subsea
Services |
|
70.1 |
86.0 |
"Total fleet excluding Crew boats" |
|
79.8 |
87.8 |
"Total fleet" average utilization rate |
|
76.6 |
80.8 |
Nine month average daily rates for the BOURBON offshore fleet
In US$/day |
|
9 months |
|
2015 |
2014 |
Deepwater
offshore vessels |
|
20,543 |
23,189 |
Shallow
water offshore vessels |
|
13,457 |
14,065 |
Crew
boats |
|
4,771 |
5,161 |
Subsea
Services |
|
48,679 |
48,057 |
"Total fleet excluding Crew boats" average daily
rate |
|
18,599 |
19,728 |
Nine month deliveries of vessels
In number of vessels |
|
9 months |
|
2015 |
2014 |
Marine
Services |
|
10 |
25 |
Deepwater Offshore vessels |
|
7 |
4 |
Shallow water Offshore |
0 |
11 |
Crew boats |
3 |
10 |
Subsea
Services |
|
1 |
3 |
FLEET TOTAL |
|
11 |
28 |
Breakdown of BOURBON adjusted revenues by geographical region
In millions of euros |
Third quarter |
9 months |
Q3 2015 |
Q3
2014
(restated) |
Change |
2015 |
2014
(restated) |
Change |
Africa |
188.7 |
205.3 |
-8.1% |
621.0 |
590.4 |
+5.2% |
Europe
& Mediterranean/Middle East |
53.2 |
60.6 |
-12.2% |
169.5 |
170.6 |
-0.7% |
Americas |
68.1 |
49.1 |
+38.7% |
201.2 |
139.7 |
+44.0% |
Asia |
34.1 |
46.8 |
-27.0% |
111.2 |
131.8 |
-15.6% |
Other key indicators Quarterly breakdown
|
|
2015 |
|
2014 |
|
Q3 |
Q2 |
Q1 |
|
Q4 |
Q3 |
Q2 |
Q1 |
Average
€/US$ exchange rate for the quarter
(in €) |
|
1.11 |
1.11 |
1.13 |
|
1.25 |
1.33 |
1.37 |
1.37 |
€/US$
exchange rate at closing
(in €) |
|
1.12 |
1.12 |
1.08 |
|
1.21 |
1.26 |
1.37 |
1.38 |
Average
price of Brent for the quarter
(in US$/bbl) |
|
50 |
62 |
54 |
|
76 |
102 |
110 |
108 |
Nine month breakdown
|
|
9 months |
|
2015 |
2014 |
Average
nine month €/US$ exchange rate (in €) |
|
1.11 |
1.35 |
€/US$
exchange rate at closing (in €) |
|
1.12 |
1.26 |
Average
nine month price of Brent (in US$/bbl) |
|
55 |
106 |
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 12,000 skilled employees. Through its 29 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 2014,
BOURBON'S revenue came to €1,346.4 million and the company operated
a fleet of 507 vessels as of September 30, 2015.
Placed by ICB
(Industry Classification Benchmark) in the "Oil Services" sector,
BOURBON is listed on the Euronext Paris, Compartment A.
Contacts
BOURBON
Investor Relations,
analysts, shareholders
James Fraser, CFA
+33 491 133 545
james.fraser@bourbon-online.com
Corporate
Communications
Christelle Loisel
+33 491 136 732
christelle.loisel@bourbon-online.com
Media relations agency
Publicis Consultants
Véronique Duhoux
+33 144 824 633
veronique.duhoux@consultants.publicis.fr
Vilizara Lazarova
+33 144 824 634
vilizara.lazarova@consultants.publicis.fr
PDF version
This
announcement is distributed by NASDAQ OMX Corporate Solutions on
behalf of NASDAQ OMX 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
HUG#1963818