Trico Marine Reports Second Quarter 2000 Results
HOUSTON, July 28 /PRNewswire/ --
Trico Marine Services, Inc. (Nasdaq: TMAR) today reported a net loss for the
second quarter ended June 30, 2000, of $4.2 million, or $0.13 per share
(diluted), before an extraordinary gain of $715,000, net of taxes, resulting
from the early extinguishment of debt. After the extraordinary gain, the net
loss was $3.5 million, or $0.11 per share (diluted). This compares to a net
loss of $9.0 million, or $0.39 per share (diluted), for the second quarter of
1999, before an extraordinary charge of $1.8 million, net of taxes, in
connection with the early prepayment of its bank debt. Second quarter 2000
revenues increased to $29.5 million compared to $26.7 million last year.
Second quarter 2000 results also included a gain of $3.9 million, pre-tax,
from the previously announced sale of the Company's lift boats, which closed
in May. The net loss for the second quarter of 1999 included a non-cash
charge of $1.1 million related to the write-down of the book value of an
inactive vessel.
For the first six months of 2000, the net loss before extraordinary item
was $13.2 million, or $0.45 per share (diluted), on revenues of $55.9 million.
After the extraordinary item, the net loss was $12.5 million, or $0.42 per
share (diluted). This compares to a net loss of $16.3 million, or $0.75 per
share (diluted), on revenues of $55.0 million for the first six months of
1999, before the extraordinary charge of $1.8 million, net of taxes.
According to Thomas E. Fairley, president and chief executive officer, the
Company is experiencing improved market conditions for both its Gulf of Mexico
and North Sea fleets. "We are very encouraged by the increased vessel demand
we're seeing in all our operating areas. Vessel utilization and day rates are
improving across all vessel classes," he said. "We are also pleased with the
progress we made during the quarter to reduce debt, increase working capital
and enhance our ability to grow."
Supply boat day rates in the Gulf of Mexico averaged $3,409 for the
quarter, compared to $3,123 for the same period last year, and $3,347 for the
first quarter of 2000. Day rates for the North Sea fleet averaged $9,802 for
the second quarter, compared to $10,093 for the second quarter of 1999 and
$8,650 for the first quarter 2000.
The utilization rate for Gulf of Mexico supply boats increased to 71%,
compared to 52% for the year-ago period due to improved market conditions in
the Gulf and reduced vessel downtime for dry-docking and vessel refurbishment.
Utilization of the North Sea vessels was 82% in the most recent quarter,
compared to 95% in the second quarter 1999, but up from 73% for the first
quarter of 2000. In June, the Company reactivated one of its three inactive
North Sea platform supply vessels in response to improved market conditions.
A second North Sea vessel was reactivated and began working in July, after the
end of the quarter.
Trico Marine provides a broad range of marine support services to the oil
and gas industry, primarily in the Gulf of Mexico, the North Sea and Latin
America. The services provided by the Company's diversified fleet of vessels
include the marine transportation of drilling materials, supplies and crews,
and support for the construction, installation, maintenance and removal of
offshore facilities. Trico has principal offices in Houma, Louisiana, and
Houston, Texas.
Certain statements in this press release that are not historical fact may
be "forward looking statements." Actual events may differ materially from
those projected in any forward-looking statement. There are a number of
important factors involving risks and uncertainties beyond the control of the
Company that could cause actual events to differ materially from those
expressed or implied by such statements. A description of risks and
uncertainties attendant to Trico Marine Services, Inc. and its industry and
other factors, which could affect the Company's financial results, are
included in the Company's Securities and Exchange Commission filings.
TRICO MARINE SERVICES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In thousands, except share and per share amounts)
Three months ended Six months ended
June 30, June 30,
2000 1999 2000 1999
Revenues: $29,482 $26,664 $55,863 $54,982
Operating expenses:
Direct operating expenses
and other 17,149 16,736 32,962 34,074
Asset write-down --- 1,111 --- 1,111
General and
administrative 2,761 2,921 5,305 5,455
Amortization of marine
inspection costs 3,545 3,444 7,434 6,696
23,455 24,212 45,701 47,336
Depreciation and
amortization expense 8,508 8,098 17,056 16,102
Operating loss (2,481) (5,646) (6,894) (8,456)
Amortization of deferred
financing costs (367) (491) (716) (969)
Gain on sale of assets 3,923 --- 3,923 ---
Other expense, net,
including interest (7,575) (7,485) (15,739) (15,218)
Loss before taxes and
extraordinary item (6,500) (13,622) (19,426) (24,643)
Income tax benefit (2,325) (4,616) (6,190) (8,294)
Loss before extraordinary
item (4,175) (9,006) (13,236) (16,349)
Extraordinary item,
net of taxes 715 (1,830) 715 (1,830)
Net loss $(3,460) $(10,836) $(12,521) $(18,179)
Basic earnings per
common share:
Loss before
extraordinary item $(0.13) $(0.39) $(0.45) $(0.75)
Extraordinary item,
net of taxes 0.02 (0.08) 0.03 (0.09)
Net loss $(0.11) $(0.47) $(0.42) $(0.84)
Average common shares
outstanding 30,683,250 22,975,339 29,536,833 21,684,051
Diluted earnings per
common share:
Loss before
extraordinary item $(0.13) $(0.39) $(0.45) $(0.75)
Extraordinary item,
net of taxes 0.02 (0.08) 0.03 (0.09)
Net loss $(0.11) $(0.47) $(0.42) $(0.84)
Average common shares
outstanding 30,683,250 22,975,339 29,536,833 21,684,051
Average Day Rates:
Supply $3,409 $3,123 $3,379 $3,399
Supply /Anchor
Handling (N. Sea) 9,802 10,093 9,259 10,496
Lift 3,891 4,016 3,942 4,296
Crew/line handling 2,422 1,783 2,354 1,841
Utilization:
Supply 71% 52% 70% 53%
Supply /Anchor
Handling (N. Sea) 82% 95% 77% 91%
Lift 50% 47% 46% 47%
Crew/line handling 74% 80% 75% 81%
Average no. of Vessels:
Supply 53.0 53.0 53.0 53.0
Supply/Anchor
Handling (N. Sea) 18.0 17.0 18.0 17.0
Lift 3.0 6.0 4.5 6.0
Crew/line handling 22.0 21.0 22.0 21.0 |
