Dolphin Geo profit drops despite revenue growth

Dolphin Geophysical AS, Norwegian supplier of marine geophysical services, has reported net income of $6.2 million for the Q1 2014, compared to $8 million in Q1 2013.

Dolphin Geo’s revenues for Q1 2014 were USD 80.2 million, compared to USD 69.1 million in Q1 2013. Recorded EBITDA was USD 22.7 million (28,3%), compared to USD 22.9 million in Q1 2013 and EBIT was USD 13.0 million (16,2%) compared to USD 13.8 million in Q1 2013.

During the first quarter Dolphin expanded regionally into South America and Asia Pacific region, delivered strong operational performance on contracts in Australia and India and secured record backlog of USD 260 million as of 1st May.

The period also the delivery of Sanco Sword, a new 16 streamer high-capacity 3D vessel , two weeks ahead of schedule.

Atle Jacobsen, Dolphin Group CEO said:

“I’m very pleased that we were able to deliver a record first quarter in terms of both revenue and backlog, and that we have succeeded in manoeuvring the company back in to profitability considering the disappointing fourth quarter we delivered.

During the fourth and first quarter, we increased our globalisation by building up a stronger presence in the South American and Asia-Pacific marine seismic markets. This strategy, combined with consistently strong performance, proved to be successful and has been a key factor in the turnaround.

During the quarter, the new build 3D seismic vessel, Sanco Sword, was introduced to the market and commenced operations on Dolphin’s Multi-Client survey in the Barents Sea, which is heavily pre-funded by clients. The data is currently being acquired using our proprietary SHarp Broadband acquisition technology and processed in our own processing centre, using Dolphin’s OpenCPS software platform. This is an excellent illustration of the fact that Dolphin has become a mature company, with the ability to innovate and compete in all segments of our industry.

Our next target is to deliver solid earnings for the coming quarters and then position ourselves so we can start to reward our supportive shareholders with regular future dividend payment.”