Smedvig Has Profitable 3rd Quarter

Smedvig reported consolidated operating profit for the third quarter of NOK 278 million, an increase of NOK 18 million from the previous quarter. The operating profit is the best quarterly result ever posted by the Company. The result reflects higher average dayrate and increased utilization of the rig fleet.

Net financial expenses for the third quarter was NOK 161 million, as compared to net financial expenses of NOK 99 million in the preceding quarter. The increase is mainly attributable to a loss on the Company’s interest rate swap agreements due to generally lower U.S. interest rate levels.

Net income for the third quarter was NOK 122 million, as compared to NOK 750 million in the second quarter, which included a capital gain of NOK 721 million from the sale of West Delta.

Earnings per share were NOK 1.49 for the third quarter. Cash flow for the quarter amounted to NOK 274 million. Cash flow per share was NOK 3.34.

Operating profit from the Mobile Unit Division amounted to NOK 195 million, up from NOK 175 million in previous quarter. The result is the best ever posted by this division. The increase is primarily attributable to higher average dayrate. The operations of all mobile units have proceeded satisfactorily during the quarter, and the utilization rate averaged approximately 98 percent, as compared to 99 percent in the preceding quarter.

Operating profit from the Platform Drilling Division amounted to NOK 8 million, as compared to NOK 20 million in the second quarter. The decrease is mainly due to a lower contribution from high margin operations. Operating profit from the Tender Rigs Division amounted to NOK 86 million, up from NOK 80 million in the previous quarter. The increase is primarily attributable to increased utilization of the tender rig fleet and higher average dayrate. The operations of all units have proceeded satisfactorily during the quarter, and the utilization rate averaged approximately 96 percent, up from 86 percent in the preceding quarter.

Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE


Most Popular Articles

Brent Crude Oil : $53.89/BBL 1.67%
Light Crude Oil : $50.84/BBL 2.14%
Natural Gas : $3.7/MMBtu 2.77%
Updated in last 24 hours