Second quarter 2011 report – steady on the helm

by polarcus on 26-Jul-11 19:55
Polarcus Limited (OAX: PLCS) is pleased to announce the release of its second quarter 2011 financial statements.
 
In the second quarter 2011 Polarcus has focused on strengthening the Company’s operations, backlog and balance sheet. Revenues for the second quarter are significantly higher compared to the same quarter last year due to the expansion of the Polarcus fleet by three vessels over the interim period. EBITDA margin of 25.4% in the second quarter 2011 is likewise up from 18.5% versus the same quarter last year.
 
Rolf Ronningen, CEO Polarcus, commented: "As a consequence of the technical improvement plan announced in the first quarter we have seen a much improved performance and lower technical downtime across the fleet despite some continuing severe weather in the early part of the quarter. The subsequent announcement of our first 3D and 4D contracts for a Supermajor is a very welcome endorsement of our technical competiveness in the marketplace. Last but not least the USD 410 million bank loan facility announced on 21 July will significantly strengthen our balance sheet and improve our financial health at this important juncture in our growth.” 
Highlights in the second quarter 2011:  
  • Revenue of USD 65.8 million, EBITDA of USD 16.7 million, and EBIT of USD 2.9 million, with five vessels in operation. Positive net cash flow from operating activities of USD 4.74 million.

  • Option exercised for POLARCUS SELMA after raising USD 125 million in a convertible bond with a coupon of 2.875% and a conversion premium of 32.5%. The vessel will be delivered in August 2011.

  • Vessel backlog extended well into Q4, including first 3D and 4D contract with a Supermajor.
      
  • The newbuild program for POLARCUS AMANI and POLARCUS ADIRA continues on schedule and on budget. The two new 12-14 streamer vessels are being built by Ulstein Verft AS and will be delivered in Q1 and Q2 2012.
Subsequent important events:
  • On 21 July 2011, the company announced the signature of a term sheet for a bank loan facility of USD 410 million with DnB NOR Bank ASA and DVB Bank SE, Nordic Branch, together with Garanti-instituttet for Eksportkreditt (GIEK) and Eksportfinans ASA. The facility is offered at attractive terms and significantly improves the Company’s financial position and flexibility going forward.

 

Contacts

 
Rolf Ronningen, CEO Polarcus, +971 4 436 0800/ +971 50 459 6982      
Tom Henrik Sundby, CFO Polarcus, +971 4 436 0800/ +971 50 708 6480
 
About Polarcus
 
Polarcus (OAX: PLCS) is a pure play marine geophysical company with a pioneering environmental agenda, specializing in high-end towed streamer data acquisition from Pole to Pole. Polarcus operates a fleet of high performance 3D seismic vessels incorporating an innovative design and advanced maritime technologies for improved safety and efficiency. Polarcus offers contract seismic surveys and multi-client projects worldwide and employs over 400 professionals. The Company’s principal office is in Dubai, United Arab Emirates. For more information, visit www.polarcus.com
 
Disclaimer
 
The information included herein may contain forward-looking statements.  Forward-looking statements include all statements that are not historical facts, including but not limited to statements expressing or implying the Company's intent, belief or current expectations with respect to, among other things, forecasts, estimates, and predictions. Such forward-looking statements necessarily involve risks and uncertainties and are dependent on assumptions, information, data or methods that may be incorrect or imprecise. Actual results could differ materially from expectations expressed in the forward-looking statements if one or more of the underlying assumptions or expectations proves to be inaccurate or is unrealized.  Some factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to, developments in the oil and gas industry, the demand for seismic services, the demand for data from the Company's multi-client library, currency risks, political risks, regulatory risks, and unexpected operational setbacks. For a further description of other relevant risk factors we refer to our 2010 Annual Report. The reservation is also made that inaccuracies or mistakes may occur in the information given above concerning the current status of the Company or its business. Any reliance on the information given above is at the risk of the reader, and Polarcus disclaims any and all liability in this respect.
 
This information is subject of the disclosure requirements acc. to §5-12 vphl (Norwegian Securities Trading Act)

Related documents:

PLCS Q2 Presentation 2011

PLCS Q2 Report 2011.pdf