ENSCO Announces 1Q 2002 Results
ENSCO International Incorporated reported net income of $16.2 million ($.12 per diluted share) on revenues of $142.3 million for the three months ended March 31, 2002, compared to net income of $46.9 million ($.34 per diluted share) on revenues of $195.3 million for the year earlier quarter. Included in the results for the three months ended March 31, 2002 is a $5.8 million gain ($3.8 million after tax or $.03 per diluted share) in connection with an insurance claim settled in the first quarter relating to the ENSCO 51 jackup rig, which sustained extensive damage from a natural gas well fire in March 2001.
The average day rate for ENSCO's jackup rig fleet was $41,500 for the first quarter of 2002, compared to $47,500 in the year earlier period. Utilization for the Company's jackup fleet was 82% in the most recent quarter, versus 92% in the first quarter of 2001.
In the Company's marine transportation segment, the average day rate for the Company's marine fleet was $7,100 in the first quarter of 2002 compared to $7,600 in the year earlier period. Utilization for the marine fleet was 70% in the quarter ended March 31, 2002 versus 77% in the first quarter of 2001.
Carl Thorne, Chairman and Chief Executive Officer of ENSCO, commented on the Company's recent results and outlook, "In the first quarter, we had as many as seven of our jackup rigs in a shipyard for planned regulatory and enhancement work, and we anticipate having as many as six in a yard during the second quarter. These rigs will have a positive impact on our results as they return to service during 2002. We will continue our rig enhancement program as previously planned, given current opportunity cost considerations, with particular emphasis on our Gulf of Mexico fleet.
"We believe that the Gulf of Mexico jackup market has bottomed, and will show gradual improvement over the remainder of this year. With this improving climate in the Gulf, a growing contract backlog for many of our international rigs, and rigs returning to service over the course of 2002 as shipyard work is completed, we anticipate steady sequential improvement in our results over the last three quarters of this year. Second quarter 2002 earnings per share are expected to be in the range of $.10 to $.15."