Helix Energy posts lower third quarter profit

Offshore energy services company Helix Energy Solutions recorded a lower profit for the third quarter 2017 impacted by operational downtime and idle time for some of its vessels. 

On Sunday, the company reported net income of $2.3 million for the third quarter of 2017 compared to net income of $11.5 million for the same period in 2016 and a net loss of $6.4 million for the second quarter of 2017.

Helix Energy’s revenues for the third quarter 2017 were $163.3 million compared to $161.2 million in the prior-year period.

Owen Kratz, President and Chief Executive Officer of Helix, stated, “Our third quarter results were negatively impacted by some operational downtime experienced by the Well Enhancer in the North Sea and some idle time on the Q5000 between projects.

“These negative impacts were partially offset by improvements in our Brazilian well intervention operations for the quarter with the Siem Helix 1 completing its first full quarter of operations. We continue to expand our operations in Brazil as the Siem Helix 2 is currently expected to commence commercial operations late in the fourth quarter.”

Looking at segments, the company’s Well Intervention revenues decreased $1.6 million, or 1%, in the third quarter of 2017 from the second quarter of 2017 primarily due to lower day rates in the Gulf of Mexico, offset in part by a full quarter of revenue in Brazil at higher rates than the second quarter. Overall Well Intervention vessel utilization decreased to 88% in the third quarter of 2017 from 90% in the second quarter of 2017.

Robotics revenues increased 42% in the third quarter of 2017 from the second quarter of 2017 primarily attributable to increased vessel days from four chartered vessels as well as 34 additional spot vessel days quarter over quarter.

Production Facilities revenues increased 8% in the third quarter of 2017 from the second quarter of 2017, primarily reflecting the HFRS at full rates during the third quarter of 2017 compared to reduced rates in the second quarter of 2017 as a result of the Q4000 dry-dock.

By the end of the third quarter, the company’s consolidated long-term debt decreased to $504 million from $515 million at the end of the second quarter 2017.

Offshore Energy Today Staff

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