Norway’s Dolphin has slumped into the red in the second quarter as revenues declined on lower pricing and less capacity allocated to exclusive contracts.
The Oslo-listed seismic player recorded a net loss of $15 million for the quarter or negative diluted earnings per share of $0.04. Nordstjernan AB remains the company’s largest shareholder with little above 10% stake. Year-to-date earnings were a negative $10.4 million.
Second quarter revenues were $80.1 million, compared to $101.0 million in Q2 2014. The decrease was primarily due to a 24% reduction in exclusive contract revenue and a 18% reduction in Multi-Client revenues.
Revenues for the first half of the year were USD 200.2 million, compared to USD 181.1 million in the same period in 2014.
Furthermore, Dolphin recorded charges of $6.2 million related to restructuring of earlier re-delivery of Artemis Atlantic and de-rigging of Artemis Arctic. This is part of the announced cost savings programme communicated in Q1. All of the charges are non-cash effect for this quarter.
Dolphin has a total of 466 employees as of 30 June 2015, including subcontractors engaged as part of the seismic crew on our operated vessels. There has been a redundancy process in the Group during 2015, which will affect Q3 2015 result.
Dolphin, for the coming third quarter, expects total revenues in the range USD 90-100 millions. The company said the re will be no larger CAPEX programs committed to and Dolphin will consider adjusting its vessel capacity to meet changes in seismic demand.