Offshore Logistics, Inc. Announces Earnings for Fiscal Year Ended March 31, 2003
BUSINESS WIRE - June 02, 2003 19:53
LAFAYETTE, La., Jun 2, 2003 (BUSINESS WIRE) -- Offshore Logistics, Inc. (NYSE: OLG) today reported net income for the fiscal year ended March 31, 2003 of $43.1 million, or $1.77 per diluted share, on revenues of $558.8 million, compared to net income of $44.5 million, or $1.84 per diluted share, on revenues of $512.1 million for the fiscal year ended March 31, 2002.
Net income for the quarter ended March 31, 2003 was $9.1 million, or $0.38 per diluted share on revenues of $138.7 million, compared to net income of $9.0 million or $0.38 per diluted share, on revenues of $128.0 million for the quarter ended March 31, 2002.
George Small, CEO and President of Offshore Logistics, Inc., said "Overall, we are pleased that our earnings held up well in the current challenging operating environment. While international flight activity remained strong throughout the most recent quarter, activity levels were down in both Air Log and Bristow, which negatively impacted fourth quarter earnings. Exceptionally bad weather in the Gulf of Mexico adversely effected earnings at Air Log, while the slowdown in drilling activity in the North Sea impacted our operations at Bristow in the quarter. We did however receive a $2.5 million dividend from our Egyptian affiliate earlier than usual, which served to mitigate the margin pressure experienced by the operating units."
Small continued, "Looking forward, we see stable demand in most of our key international areas, with expansion expected in some of them. Mexico's push to ramp up drilling activity should provide us with good growth opportunities this year, and oil company activity in Brazil and Western Africa appear to be developing new prospects as well. Although Gulf of Mexico drilling activity is still comparatively weak, the Gulf rig count is beginning to pick up, and we continue to believe that prospects for fiscal year 2004 should be more favorable. Our fleet upgrade program is proceeding as planned, and we are excited about the prospects that this new equipment can generate for us."
The Company said that the amount of the additional pension plan liability charge related to a Bristow sponsored defined benefit pension plan determined as of the normal measurement date of March 31, 2003 totaled $84.0 million, in line with estimates provided in a previous news release. The additional liability arose from the fall in value of plan assets and movements in interest rates and was charged directly to stockholders' equity, net of the related tax effect. The Company also said that the calculated amount of pension plan expense to be recorded for the year ended March 31, 2004 to be approximately $16.0 million compared to $5.1 million in the year ended March 31, 2003. The Company estimates that the additional cash contributions to the plan during fiscal 2004 will be between $5.0 and $6.0 million.
At March 31, 2003, the Company's consolidated balance sheet reflected $361.7 million in shareholders' investment, $56.8 million in cash and $232.8 million of indebtedness.
OLOG will conduct a telephonic conference to discuss its year-end results with analysts, investors and other interested parties at 10:00 a.m. Central Time on Tuesday, June 3, 2003. Individuals wishing to access the conference call should dial (877) 822-9020 for domestic callers and (706) 679-7181 for international callers, approximately five to ten minutes prior to the start time. Please reference the Offshore Logistics, Inc. conference call hosted by George Small Conference ID No. 526045. A replay of the conference call will be available two hours after completion of the teleconference. To hear that recording, dial (800) 642-1687 for domestic callers and (706) 645-9291 for international callers, and enter Conference ID number 526045. The replay will be available until Wednesday June 11, 2003. |
