Bourbon loss widens in first half

Bourbon

In an Offshore services market that reached a low point, BOURBON achieved a solid adjusted EBITDAR, even though it declined 21% compared with the 1st half 2015.

  • Operationally, the half year period recorded an exceptional performance in terms of safety         (TRIR of 0.60) and technical availability of the fleet (97.6%)
  • Adjusted EBITDAR reached €228.8 million compared with €290.4 million in 1st half 2015, with a stability of the margin at 38.2% of adjusted revenues compared with 38.3% for the same period a year ago, even as the full time equivalent number of stacked vessels, excluding Crew boats, increased from 18.6 vessels in the 1st half 2015 to 53.6 vessels for the 1st half 2016
  • Adjusted direct costs declined by 22.4%; the cost reduction for vessels in operation and the reduction in general & administrative costs compensated for the increase in total costs for the stacked vessels
  • During the 1st half, the reduction in adjusted revenues, the stability of the depreciation & amortization of the entire fleet, the impact of various non-recurring provisions and the loss on exchange realized in Nigeria, Egypt and Mexico have reduced the adjusted operating profit to             -€24.8 million and the Net Income, Group share to -€104.3 million
  • While BOURBON took delivery of 4 vessels during the 1st half, including the Bourbon Arctic in February 2016, the free cash flow generated in the period remained slightly positive at €6.7 million

“BOURBON is reinforcing its resistance capacity in the bottom of the cycle thanks to the action plan “Stronger for longer” that encompasses operational excellence, cost optimization, cash preservation and an appropriate debt structure”, says Jacques de Chateauvieux, Chairman and Chief Executive Officer of BOURBON Corporation.

“However, we are convinced that the model of tomorrow will not return to that of pre-crisis and we are already preparing new responses to changes seen in the clients’ expectations.”

 

In € millions, unless otherwise noted
H1 2016 H1 2015 var H1 2016/
 H1 2015
H2 2015
     
Operational indicators        
 
  • Number of vessels (FTE)*
511.3 500.6 +2.1% 505.4
  • Number of vessels (end of period)**
513 506 +7 vessels 511
  • Technical availability rate (%)
97.6% 96.4% +1.3 pts 96.5%
  • Average utilization rate (%)
66.8% 78.1% -11.3 pts 73.0%
  • Average daily rate $/d
9,961 11,885 -16.2% 10,920
 
       * FTE: full time equivalent.
       ** Vessels operated by BOURBON (including vessels owned or on bareboat charter).
         
Financial performance  
  • Adjusteda Revenues
599.2 758.8 -21.0% 678.3
(change at constant rate)   -19.6% -12.6%
  • Adjusteda Costs (excl. bareboat charters)
(370.3) (468.4) -20.9% (421.0)
  • Adjusteda EBITDAR (ex. cap. gains)
228.8 290.4 -21.2% 257.3
Adjusted EBITDAR / Revenues 38.2% 38.3% -0.1 pt 37.9%
  • Adjusteda EBITDA
134.4 205.0 -34.4% 166.3
  • Adjusteda EBIT
(24.8) 51.1 n/s 15.0
  • IFRS 11 impact ***
(3.6) (6.4) -43.7% (11.9)
  • EBIT
(28.3) 44.8 n/s 3.0
  • Net income
(87.3) (3.7) n/s (39.7)
  • Net income (group share)
(104.3) (19.2) n/s (57.4)

*** Effect of consolidation of jointly controlled companies using the equity method.

       
Average utilization rate (excl. crew boats) 68.1% 81.9% -13.8 pts 76.4%
Average daily rate (excluding crew boats, US$/d) 15,741 19,012 -17.2% 17,237

(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.


Half year 2016 market and operational highlights

  • The global deepwater PSV market continues to face overcapacity during the prolonged downturn in the oil & gas sector as offshore activity is still significantly affected by the reductions in investments in new and existing projects by oil & gas companies
  • BOURBON is focused on operational excellence in execution:
    • Safety remains a strength at BOURBON, with TRIR (Total Recordable Incident Rate per million hours worked) of 0.60
    • Strong Technical availability rate of 97.6% in the 1st half of 2016
    • Cost control remains a high priority in order to continuously improve the efficiency of the fleet

Half year 2016 results highlights

  • Continued cost control efforts which included both efficiency gains as well as proactive stacking activity resulted in a reduction in costs (direct costs and G&A) of approximately 21% compared with the same period a year ago
  • The high margin of adjusted EBITDAR as a percent of revenues was stable overall compared with the 1st half 2015

LEAVE A COMMENT

Comments (18)

… [Trackback]

[…] Informations on that Topic: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Read More here: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Informations on that Topic: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Read More here: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Informations on that Topic: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Read More Infos here: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Read More: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Informations on that Topic: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] There you will find 30702 more Infos: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Informations on that Topic: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Informations on that Topic: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Read More: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] There you will find 75909 more Infos: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Informations on that Topic: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Find More Informations here: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Read More here: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] There you will find 84543 more Infos: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

… [Trackback]

[…] Read More here|Read More|Find More Infos here|Here you can find 85177 more Infos|Infos on that Topic: shippingherald.com/bourbon-loss-widens-in-first-half/ […]

×

Comments are closed.