TGS sees revenue increase in Q1 2021, lower segment numbers
TGS-NOPEC Geophysical Company (TGS) has reported a revenue of $186 million in the first quarter of 2021, an increase of 256% compared to $52 million in Q1 2020.
EBITDA was $162 million and the operating result was $69 million, compared to $26 million and $-58 million, respectively, in the first quarter of the prior year.
TGS reported net segment revenues of $75 million in Q1 2021, down 50.8% versus $152 million in Q1 2020.
Segment EBITDA was $51 million, a 59.2% decrease from $126 million in the same quarter of 2020.
The company’s backlog amounted to $81.7 million at the end of Q1 2021, down 7.2% compared to $88.9 million at the end of Q4 2020.
Backlog at the end of the quarter decreased 48.9% from the backlog of $160 million at the end of Q1 2020.
Free-cash flow equaled $84 million, up from $1 million in Q1 2020.
“Despite a substantial increase in the oil price over the past six months, exploration spending remains muted. While we remain cautiously optimistic for a pick-up in activity towards the end of the year, we expect our near-term organic multi-client investments to be lower, partly due to use of supplier risk-sharing and JVs. As a result, we continue to add high volumes of data to our library and generate strong cash flow,” said Kristian Johansen, TGS CEO.
“Our New Energy Solutions initiative is progressing rapidly, and we are excited to announce 4C Offshore as the first acquisition in the renewable area. The acquisition fits perfectly with our ambition to become the leading global provider of energy data and insights to support decision-making processes across the energy value chain.”