logo-loader
viewHelix Energy Solutions Group Inc

Helix Energy shares flow higher as higher vessel utilization boosts first-quarter results

One of Helix’s new offshore vessels was put straight to work in the quarter, while the company also benefited from a full quarter of work from another recently -introduced vessel

tanker next to an offshore oil rig
Revenues and profits both came in ahead of consensus

Helix Energy Solutions Group Inc (NYSE:HLX) shares flowed higher on Tuesday after the oilfield services provider topped expectations with its first-quarter results.

The Texas-based outfit saw its net loss narrow to US$2.6mln, or US$0.02 per share, in the first three months of 2018.

Revenue beats forecast

That was comfortably better than the US$0.06 per share loss Wall Street had been looking for and comfortably ahead of the US$0.11 loss it recorded in the year-ago period.

Helix generated US$164.3mln in revenue in the quarter – 57% higher than last year’s first quarter and US$18.3mln higher than forecasts of US$146.0mln.

The company said the strong performance was due to higher vessel utilization, with a new offshore vessel going straight into service in the quarter, while another recently-introduced recently enjoyed a full quarter of work.

Other older vessels were also under contract and earning revenue for almost of the quarter as well.

“Our first quarter 2018 results reflect strong operational execution by our team,” said Chief Executive Owen Kratz.

“In the GOM, we successfully introduced the 15K IRS system to the market, and the Q5000, Q4000, and Grand Canyon II were on contract for substantially all of the quarter.

“Our results in Brazil improved, reflecting the first full quarter of operations for the Siem Helix 2 and continued strong performance for the Siem Helix 1. In the North Sea, we maintained tight cost control measures until seasonal activity picked up in March. We will continue to focus on operational execution and maximizing our financial performance.”

Helix shares closed up 12.8% at US$7.05 on Tuesday.

Quick facts: Helix Energy Solutions Group Inc

Price: 3.36 USD

NYSE:HLX
Market: NYSE
Market Cap: $504.02 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

ioneer Ltd's Bernard Rowe hails new boric acid distribution and sales agreements

ioneer Ltd's (ASX:INR) Bernard Rowe speaks to Proactive's Andrew Scott after securing two distribution and sales agreements for the supply of boric acid from its Rhyolite Ridge Lithium-Boron Project in Nevada, USA. The three-year boric acid distribution and sales agreements were signed with...

2 days, 3 hours ago

2 min read