CGG Loss Deepens

French seismic contractor, CGG, recognised widened quarterly net loss as the market slowdown made a major dent in the company’s revenues.

In the first quarter 2016, CGG generated revenues of $313 million, down 45 per cent compared to Q1 2015 ($570 million) and down close to 47 per cent quarter-over-quarter ($589 million).

The company recognised quarterly net loss of $130 million, versus $55 million loss same time last year. CGG improved quarter-over-quarter, narrowing its loss form $256 million.

“Our clients are reacting strongly to the prevailing very unfavorable oil prices by continuing to significantly reduce their capital expenditure and headcounts, and this has had a strong impact on our activities. This environment has mostly penalized Sercel and our multi-client after-sales, although the latter had a very good fourth quarter in 2015,” stated Jean-Georges Malcor, CGG CEO.

Malcor also said that the company expects a depressed environment for the whole year, but also to see full benefits from its earlier initiated transformation plan in the second half.

Subsea World News Staff

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UTC 2017

The subsea industry has, as all other parts of the oil & gas industry, been seriously rattled by the most severe downturn in the hydrocarbon energy era. However, the realization of what hit us and actions to be taken to sustain a healthy and profitable future is still on-going – unfortunately with thousands of colleagues paying the price by losing their job as one of the most severe consequences. At this time, there are signs that we have reached bottom in terms of most industry indicators, but few experts expect a sharp recovery. Many seem to believe that a slow recovery is what the industry needs in order to avoid an unsustainable capacity build-up, as seen in the period after the financial crisis. Considering the uncertainty of what the future will bring, this year’s UTC Program Committee have decided to challenge all of us to present ideas, experiences, technological innovations, business models and execution models for how to shape our subsea future and explain how and why subsea is the future.
UTC welcomes abstracts based on the topics listed below. If selected, please consider writing a paper in addition to the UTC presentation. From 2017, UTC papers will be published in an international database.

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19th Asia Oil and Gas Conference (AOGC 2017)

A high level congregation that needs no introduction, the Event brings forth strategic discourses from global industry captains…

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All-Energy Exhibition and Conference 2017

All-Energy has provided the industry suppliers, experts and thought-leaders from the renewable energy supply chain the opportunity…

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3rd Deepwater East & Southern Africa Congress 2017

The past successful two series has gathered around 600 industrial professionals, while most of which thought this event informative and useful…

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