Bourbon has seen its revenue decline some 32 percent year-on-year for the quarter ended March 31, 2018, impacted by lower activity levels in subsea and water offshore segments.
The French vessel owner and offshore services provider generated a total of €171 million in first-quarter 2018 revenue, versus €225.5 million in the prior year comparable period. This result is also 13 percent lower sequentially.
The company’s subsea segment brought in Q1 2018 adjusted revenue of €27 million, down some 37 percent sequentially, and down from close to €57 million of 52 percent sametimelast year.
Subsea average utilization rate fell to 39 percent from 57.5 percent in Q1 2017, and from 56.7 percent sequentially. On a positive note, average daily rates increased slightly above 11 percent sequentially.
“In an offshore services market that has been impacted over the long-term by vessel overcapacity, utilization rates in both deepwater offshore and shallow water offshore are now heading in the right direction and prices stabilizing. The subsea business is being hampered by the weakness in the contractors’ activity and a reduced number of turnkey projects,” said Gaël Bodénès, CEO of BOURBON.
To remind, Bourbon has seen a net loss of €576 million ($712 million) for the twelve months in 2017. This result compares with €279 million ($345 million) loss for the corresponding period in 2016.
Full-year 2017 adjusted revenues fell from €1.1 billion in 2016 to €860 million, with overall average daily rates down 9 percent.
Subsea World News Staff