TGS Expects Further Revenue Decline

TGS expects net revenues for the first quarter of 2016 to be approximately $64 million, based on preliminary reporting from operating units.

First quarter revenues in 2015 and 2014 were $172 million and $222 million, respectively. In spite of the revenue drop in recent years, TGS anticipates that its cash balance will increase to around $210 million in 1Q 2015 as a result of operational investments of approximately $53 million and good cash collections in the quarter. This is in addition to an undrawn revolving credit facility of $75 million. TGS also expects multi-client investments of approximately $220 million in 1Q 2015.

TGS CEO Kristian Johansen commented in a company statement:

"This last quarter has arguably been the most severe of this down cycle with many customers focusing on cost and headcount reduction resulting in a significant pull back from exploration spending. TGS will continue our strong focus on cost control, cash flow and maintaining a healthy balance sheet in this challenging market.”

TGS’ full first quarter earnings release is scheduled for April 21.



Have a news tip? Share it with Rigzone!
Email news@rigzone.com

WHAT DO YOU THINK?

Click on the button below to add a comment.
Post a Comment
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE

More from this Author
Rigzone Staff
e-mail us at news@rigzone.com
 -  Shell to Sell Gabon Onshore Assets for... (Mar 24)
 -  Industry Pros Gather for Offshore Achi... (Mar 24)
 -  Statoil Makes North Sea Oil, Gas Disco... (Mar 24)
 -  Report: Hiring Managers See Salaries S... (Mar 23)
 -  Repsol Chooses Atlas for Onshore, Offs... (Mar 23)


Most Popular Articles

From the Career Center
Jobs that may interest you
Production Analyst
Expertise: Accounting|Financial Analyst
Location: Midland, TX
 
Senior Payroll Tax Analyst - Houston
Expertise: Accounting
Location: Houston, TX
 
Account Manager - Levelland/Lubbock, TX Area
Expertise: Business Development|Production Operator
Location: Lubbock, tx
 
search for more jobs

Brent Crude Oil : $50.56/BBL 0.15%
Light Crude Oil : $47.7/BBL 0.70%
Natural Gas : $3.05/MMBtu 1.32%
Updated in last 24 hours