Akastor Reduces Quarterly Deficit

Oilfield services investment company Akastor recorded loss of NOK 251 million ($31 million) for the second-quarter 2018 compared to loss of NOK 321 million ($40 million) same time in 2017.

Akastor generated profit of NOK 121 million from continuing operations.

However, the result for the second quarter was primarily impacted by impairment of NOK 322 million in AKOFS Offshore, leading to net loss from discontinued operations of NOK 372 million in the quarter.

Result for the first half of 2018 was also negative at NOK 271 million, against NOK 132 million loss in the prior year comparable period.

The Oslo-listed company as a group generated some 25 per cent higher revenue (NOK 873 billion) in the Q2 2018 from the same quarter one year earlier (NOK 697 billion).

Revenues for the first six months of 2018 were NOK 1.75 billion, compared to close to NOK 1.5 billion in 2017.

Quarterly EBITDA was NOK 78 million, versus negative NOK 7 million in 2017 second quarter.

AKOFS Offshore, a provider of vessel based subsea well construction and intervention services to the oil and gas industry, had revenue of NOK 289 million in the quarter, compared to NOK 187 million a year earlier. The division had 186 employees at the end of Q2 2018.

Earlier this year, Akastor entered into a share purchase agreement with Mitsui and MOL (Mitsui O.S.K. Lines) for transfer of 50% of its shares in AKOFS Offshore in order to form a joint venture ownership.

Akastor reported order intake in the quarter of NOK 4.6 billion, resulting in an aggregate backlog of NOK 9.5 billion. The group had 1,970 employees at the end of Q2 2018, compared to 2,067 in the corresponding period.

Subsea World News Staff