PGS says technology differentiation paying offCompany News // July 26, 2013
Releasing details of its second quarter results, marine seismic specialist PGS said its strategy of technology differentiation is payining off.
Jon Erik Reinhardsen, President and Chief Executive Officer of PGS said: ""Strong interest in our MultiClient GeoStreamer library resulted in the best second quarter MultiClient late sales ever achieved.
"Good marine contract performance, our strong technology position and an attractive MultiClient library contributed to the high profitability in the quarter.
"Our pre-funding for the full year is expected at a robust 110 per cent of capitalized cash investment, though slightly lower than earlier communicated. The MultiClient projects are very attractive and lower pre-funding is expected to lead to higher late sales over time.
"We are close to fully booked for the third quarter," he said. "Approximately 60 per cent of our capacity is now booked for the fourth quarter with average pricing for marine contract work in 2013 being 10-15 per cent higher than 2012 average.
"Active tenders in the market have increased over the last months giving us an improved bid pipeline going into the winter season and 2014."
PGS had revenues of US$381.7 million, compared to US$404.8 million in the second quarter of 2012. EBIT of US$110.6 million was up 28 per cent from the second quarter of 2012; the group EBIT margin of 29 per cent was up from 21 per cent; EBITDA was US$209.6 million compared to US$246.2 million; and net cash provided by operating activities was US$271.3 million, up 54 per cent.