Helix posts deeper 2Q loss. Expects increase in activity
- Business & Finance
Offshore services provider Helix Energy Solutions posted a net loss of $10.7 million for the second quarter of the year.
The loss widened when compared to a net loss of $2.6 million reported in the second quarter of 2015. Revenues were $107 million, down from $166 million reported in the second quarter of 2015.
Worth noting, Helix’s loss shrank when compared to the first quarter of 2016, when it reported a loss of almost $28 million.
The company said it has managed to increase the well intervention fleet utilization to 54%, up from 23% in the first quarter. Well Intervention revenues increased 30% in the second quarter of 2016 from revenues in the first quarter of 2016.
Robotics revenues increased 22% in the second quarter of 2016 compared to the first quarter of 2016. Helix said that chartered vessel utilization increased to 61% in the second quarter of 2016 from 52% in the first quarter of 2016, and ROV asset utilization increased to 48% in the second quarter of 2016 from 39% in the first quarter of 2016. The increase in revenue and gross profit was driven by increased seasonal activity in the North Sea.
Owen Kratz, President and Chief Executive Officer of Helix, stated, “The market remains very weak, but in the second quarter we started to benefit from the commencement of the Q5000 contract in the Gulf of Mexico and the seasonal pickup in the North Sea. We expect to see improvement in our financial performance for the second half of 2016 compared to the first half of the year driven by the seasonal increase in North Sea activity during the summer and the commencement of the first Petrobras contract in late 2016.”
Offshore Energy Today Staff