Subsea engineering specialist Oceaneering has reported net loss of $1.8 million, or 2 cents per share, on revenue of $476 million for the three months ended September 30, 2017.
Adjusted net income was $2.4 million, or $0.02 per share, missing analysts expectations of $0.03 EPS, and revenue by some $32 million.
During the corresponding period in 2016, the company reported net loss of $11.8 million, or $12 cents per share, on revenue of $549 million.
To remind, during the prior quarter ended June 30, 2017, Oceaneering reported profit of $2.1 million, or 2 cents per share, on revenue of $515 million.
For the first nine months of 2017, the company booked a net loss of $7.2 million, on revenue of $1.43 billion, against a profit of $35.6 million, on revenue of $1.78 billion.
The company ended the quarter with a total of 279 remotely operated vehicles. Fleet utilization for the third quarter was 50%.
Subsea products backlog at September 30, 2017 was $284 million, compared to our June 30, 2017 backlog of $328 million. The backlog drop was primarily related to umbilicals, the company noted.
“Looking forward, we believe our fourth quarter results will be considerably lower than our adjusted third quarter results due to seasonality and a reduced level of activity. Most of the decline is expected to be in our ROV and Subsea Projects segments, with modestly lower operating income from our other oilfield segments as we foresee very few near-term catalysts to support an improvement in our oilfield markets. For our non-oilfield segment, Advanced Technologies, we are projecting a modest quarterly improvement, and slightly higher Unallocated Expenses.
“While our fourth quarter outlook has been revised downward, we continue to believe that we will be marginally profitable at the operating income line on a consolidated basis for all of 2017,” said Roderick A. Larson, president and CEO of Oceaneering.
Subsea World News Staff