McDermott lifts 3Q profit, revenues
- Business & Finance
McDermott, an engineering, procurement, construction and installation company, boosted its profit and revenues during the third quarter 2017 helped by increased activity in the Middle East region.
According to McDermott’s report on Wednesday, the company’s net income increased by $78.6 million in the third quarter 2017 totaling $94.7 million, as opposed to $16.1 million in the prior-year period.
During the third quarter of 2017, McDermott’s revenues increased by $400 million to $958.5 million compared to $558.5 million in the same period of 2016.
The key projects driving revenue for the third quarter of 2017 were the Saudi Aramco LTA II Lump Sum, Saudi Aramco Marjan power system replacement and Inpex Ichthys projects. The increase from the prior-year third quarter was primarily due to increased activity across the portfolio of projects in the Middle East.
“This quarter, we had many operational accomplishments, including: near completion of the largest subsea project in the world, Inpex Ichthys, with successful completion of the mooring and hook-up of the FPSO facility and installation of the flexible risers; significant progress on the Pemex Abkatun-A2 and BP Angelin projects in our Altamira facility; and a flawless dual lift with the DB 27 and DB 30 on the Marjan power system project,” said David Dickson, President and Chief Executive Officer of McDermott.
“We also recently announced two letters of award; a significant award in the Middle East, demonstrating our operational expertise and strong relationships in the area, and an award for KG-D6, a significant subsea installation project, from Reliance Industries in India, supporting our continued focus and growing presence in the country.”
As of September 30, 2017, the company’s backlog was $2.4 billion, compared to $3.3 billion at June 30, 2017. Of the September 30, 2017 backlog, 85% was related to offshore operations and 15% was related to subsea operations.
Offshore Energy Today Staff