Offshore services player Helix Energy Solutions has posted improved results in the third quarter of 2016, backed by its well intervention division.
Despite revenue drop of close to 12 percent year-over-year, the Houston-based well intervention and robotics specialist generated net income of $11.5 million, or $0.10 per diluted share, against $9.9 million, or $0.09 per diluted share in the year-ago quarter (improvement of some 16 percent).
Helix has also swung back into the black when compared to the second quarter of 2016 and a net loss of $10.7 million.
“We realized a significant improvement in financial results across our business units primarily resulting from a combination of higher vessel utilization and seasonal factors. However, industry conditions remain challenging,” said Owen Kratz, president and CEO of Helix.
In the third quarter 2016, revenues were approximately $161 million, down from $182 million in 3Q 2015, but up from $107 million in 2Q 2016. Revenues for the nine months ended September 30, 2016 declined some 33 percent from $538 million in the prior-year comparable period.
The company recorded 81 percent increase in well intervention revenues in the third quarter of 2016 from revenues in the second quarter of 2016. Robotics revenues also increased 26 percent in the third quarter of 2016 compared to the second quarter of 2016.
Result for the first nine months of 2016 was a negative $27 million or $(0.25) per diluted share, compared to a profit of $26.9 million, or $0.25 per diluted share, for the nine months ended September 30, 2015. Adjusted EBITDA for the nine months ended September 30, 2016 was $62.7 million compared to $138.6 million for the nine months ended September 30, 2015.
Helix said its total liquidity at September 30, 2016 was some $499 million, and added that its consolidated long-term debt decreased to $678 million in the third quarter of 2016 from $711 million in the second quarter of 2016.
Subsea World News Staff