Rowan revenues slip on lower jack-up utilization
- Exploration & Production
Offshore drilling contractor Rowan Companies saw a marginal decrease in net income and a 9% drop in revenues in the first quarter of 2016 when compared to the same period last year.
Namely, the company on Wednesday reported net income of $122.8 million, compared to $123.7 million in the first quarter of 2015.
Rowan’s revenues were $500.2 million in the first quarter of 2016, down by 9% from the prior-year quarter revenues of $547 million, due primarily to lower utilization of jack-up rigs.
The lower jack-up utilization was partially offset by contributions from the company’s third and fourth newbuild ultra-deepwater drillships, which began operating in February and June of 2015, respectively.
Tom Burke, President and Chief Executive Officer, commented, “Our first quarter results reflect our focus on safe and reliable operations with particular attention to careful cost control as we navigate a challenging 2016. Our offshore crews are striving to continuously improve our operational efficiency. Additionally, I’m pleased with our ability to secure some new contracts in a difficult market.”