Geophysical contractor TGS has posted higher profit in the first quarter of 2019 when compared to same period in 2018, despite revenue drop.
The Oslo-listed firm posted earnings per share of 17 cents, up 34% from 13 cents per share in Q1 2018.
TGS generated net revenues of close to $110 million in Q1 2019, against $135 million quarter-on-quarter.
“ The market outlook continues to improve in line with a strong oil price development over the past months. We have announced several new projects so far this year and we remain confident in the guidance of investment growth of approximately 20% for 2019. We are also excited about our recently announced plan to acquire Spectrum and the opportunities the transaction will bring to TGS ,” said Kristian Johansen, TGS’ CEO.
Operating profit for the quarter was $17 million, compared to $25 million in the prior-year comparable quarter.
TGS reported backlog was $112 million at the end of the first quarter 2019, up from $74 million in the corresponding period in 2018, and up from $63 million sequentially.
The company has hiked its quarterly dividend by 35% compared to same time last year at 27 cents per share.
Subsea World News Staff