Rowan 3Q: CEO Rues Impact of Gorilla VII Leg Damage

Rowan 3Q CEO Rues Impact of Gorilla VII Leg Damage

For the three months ended September 30, 2013, Rowan Companies plc generated net income from continuing operations of $51.9 million, or $0.42 per share, compared to $26.4 million, or $0.21 per share in the third quarter of 2012. The prior-year quarter included $28.1 million of non-recurring or unusual items, or $0.18 per share after tax.

Rowan’s revenues were $382.8 million in the third quarter of 2013, up 8% over the prior-year quarter due primarily to higher average day rates and higher utilization. The operating results for the third quarter of 2013 were significantly impacted by out-of-service time and incremental repair costs due to leg damage sustained on the Gorilla VII as it was moving locations in July.

Matt Ralls, Chief Executive Officer, commented, “Except for the negative impact of the leg damage to the Gorilla VII, we were very pleased with our performance for the quarter. We are encouraged by the continuing strength of the high-spec jack-up markets and expect a number of our rigs that have contracts expiring over the next year to roll to higher day rates. We are also excited about the delivery of our first of four ultra-deepwater drillships at the end of the year, and look forward to our second drillship delivery mid-2014. Both rigs are expected to go on contract approximately 90 days after delivery.”

Press Release, November 05, 2013