Tidewater Reports Third Quarter Results For Fiscal 2013
Tidewater Reports Third Quarter Results For Fiscal 2013
NEW ORLEANS--(BUSINESS WIRE)-- Tidewater Inc. (NYS: TDW) announced today third quarter earnings for the period ended December 31, 2012, of $29.9 million, or $0.61 per share, on revenues of $309.5 million. For the same quarter last year, net earnings of $34.1 million was reported, or $0.67 per share, on revenues of $272.1 million. The immediately preceding quarter ended September 30, 2012, had net earnings of $41.4 million, or $0.83 per share, on revenues of $311.9 million, which included approximately $7.4 million of vessel revenue associated with retroactive rate increases agreed to during the September 2012 quarter, but related to the period from January 1, 2012 through June 30, 2012.
Included in the current fiscal quarter's general and administrative expenses is a $5.2 million settlement loss charge ($3.4 million after tax, or $0.07 per share) related to the lump sum supplemental executive retirement plan distribution made in the December 2012 quarter to the Company's former President and Chief Executive Officer who retired earlier in the year. The settlement loss is the result of the recognition of heretofore unrecognized actuarial losses that were being amortized over time to pension expense. As a result of the December 2012 lump sum distribution, a portion of the previously unrecognized actuarial losses was required to be recognized in earnings in the current quarter in accordance with ASC 715. Included in the prior fiscal year third quarter's net earnings is an $8.4 million, or $0.16 per share, reversal of income tax liabilities originally established for uncertain tax positions as a result of the expiration of various statutes of limitations.
As previously announced, Tidewater will hold a conference call to discuss December quarterly earnings and also their near-term outlook with respect to the Company's future financial and operational performance on Friday, February 1, 2013, at 10:00 a.m. Central time. Investors and interested parties may listen to the teleconference via telephone by calling 1-888-388-7493 if calling from the U.S. or Canada (1-706-679-8348 if calling from outside the U.S.) and ask for the "Tidewater" call just prior to the scheduled start. A replay of the conference call will be available beginning at 12:00 p.m. Central time on February 1, 2013, and will continue until 11:59 p.m. Central time on February 3, 2013. To hear the replay, call 1-855-859-2056 (1-404-537-3406 if calling from outside the U.S.). The conference call ID number is 86377851.
A simultaneous webcast of the conference call will be accessible online at the Tidewater Inc. website, (http://www.tdw.com). The online replay will be available until March 1, 2013.
The conference call will contain forward-looking statements in addition to statements of historical fact. The actual achievement of any forecasted results or the unfolding of future economic or business developments in a way anticipated or projected by the Company involve numerous risks and uncertainties that may cause the Company's actual performance to be materially different from that stated or implied in the forward-looking statements. Such risks and uncertainties include, among other things, risks associated with the general nature of the oilfield service industry and other factors discussed within the "Risk Factors" section of Tidewater's recent Forms 10-Q and 10-K.
Tidewater is the leading provider of larger Offshore Service Vessels (OSVs) to the global energy industry.
Note: all per-share amounts are stated on a diluted basis.
Financial information is displayed on the next page.
TIDEWATER INC. | |||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | |||||||||||||
(Unaudited) | |||||||||||||
(In thousands, except share and per share data) | |||||||||||||
Quarter Ended | Nine Months Ended | ||||||||||||
December 31, | December 31, | ||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||
Revenues: | |||||||||||||
Vessel revenues | $ | 305,043 | 270,486 | 904,959 | 772,213 | ||||||||
Other marine revenues | 4,423 | 1,625 | 10,873 | 5,399 | |||||||||
309,466 | 272,111 | 915,832 | 777,612 | ||||||||||
Costs and expenses: | |||||||||||||
Vessel operating costs | 180,895 | 155,838 | 523,778 | 469,430 | |||||||||
Costs of other marine revenues | 4,176 | 1,938 | 9,284 | 5,200 | |||||||||
Depreciation and amortization | 37,181 | 35,215 | 109,012 | 102,771 | |||||||||
Goodwill impairment | --- | --- | --- | 30,932 | |||||||||
General and administrative | 46,339 | 40,425 | 128,870 | 115,779 | |||||||||
Gain on asset dispositions, net | (99 | ) | (2,496 | ) | (2,770 | ) | (13,671 | ) | |||||
268,492 | 230,920 | 768,174 | 710,441 | ||||||||||
Operating income | 40,974 | 41,191 | 147,658 | 67,171 | |||||||||
Other income (expenses): | |||||||||||||
Foreign exchange gain (loss) | 52 | (1,738 | ) | (1,170 | ) | 735 | |||||||
Equity in net earnings of unconsolidated companies | 2,639 | 3,482 | 8,359 | 9,427 | |||||||||
Interest income and other, net | 936 | 347 | 2,783 | 2,303 | |||||||||
Interest and other debt costs | (7,183 | ) | (6,027 | ) | (21,918 | ) | (14,854 | ) | |||||
(3,556 | ) | (3,936 | ) | (11,946 | ) | (2,389 | ) | ||||||
Earnings before income taxes | 37,418 | 37,255 | 135,712 | 64,782 | |||||||||
Income tax expense | 7,471 | 3,168 | 31,553 | 11,013 | |||||||||
Net earnings | $ | 29,947 | 34,087 | 104,159 | 53,769 | ||||||||
Basic earnings per common share | $ | 0.61 | 0.67 | 2.10 | 1.05 | ||||||||
Diluted earnings per common share | $ | 0.61 | 0.67 | 2.09 | 1.04 | ||||||||
Weighted average common shares outstanding | 49,162,547 | 51,036,420 | 49,585,930 | 51,203,598 | |||||||||
Dilutive effect of stock options and restricted stock | 221,738 | 206,329 | 220,669 | 267,661 | |||||||||
Adjusted weighted average common shares | 49,384,285 | 51,242,749 | 49,806,599 | 51,471,259 | |||||||||
Cash dividends declared per common share | $ | 0.25 | 0.25 | 0.75 | 0.75 |
TIDEWATER INC. | |||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||
(Unaudited) | |||||||
(In thousands, except share and par value data) | |||||||
December 31, | March 31, | ||||||
ASSETS | 2012 | 2012 | |||||
Current assets: | |||||||
Cash and cash equivalents | $ | 54,187 | 320,710 | ||||
Trade and other receivables, net | 361,989 | 309,468 | |||||
Marine operating supplies | 61,251 | 53,850 | |||||
Other current assets | 12,557 | 10,072 | |||||
Total current assets | 489,984 | 694,100 | |||||
Investments in, at equity, and advances to unconsolidated companies | 55,364 | 46,077 | |||||
Properties and equipment: | |||||||
Vessels and related equipment | 4,151,491 | 3,952,468 | |||||
Other properties and equipment | 86,420 | 93,107 | |||||
4,237,911 | 4,045,575 | ||||||
Less accumulated depreciation and amortization | 1,139,259 | 1,139,810 | |||||
Net properties and equipment | 3,098,652 | 2,905,765 | |||||
Goodwill | 297,822 | 297,822 | |||||
Other assets | 113,842 | 117,854 | |||||
Total assets | $ | 4,055,664 | 4,061,618 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||
Current liabilities: | |||||||
Accounts payable | 81,981 | 74,115 | |||||
Accrued expenses | 147,498 | 134,953 | |||||
Accrued property and liability losses | 3,356 | 3,636 | |||||
Other current liabilities | 31,089 | 26,225 | |||||
Total current liabilities | 263,924 | 238,929 | |||||
Long-term debt | 930,000 | 950,000 | |||||
Deferred income taxes | 211,440 | 214,627 | |||||
Accrued property and liability losses | 3,422 | 3,150 | |||||
Other liabilities and deferred credits | 120,567 | 128,555 | |||||
Commitments and Contingencies | |||||||
Stockholders' equity: | |||||||
Common stock of $0.10 par value, 125,000,000 shares authorized, issued 49,397,616 shares at December 31, 2012 and 51,250,995 shares at March 31, 2012 | 4,939 | 5,125 | |||||
Additional paid-in capital | 117,981 | 102,726 | |||||
Retained earnings | 2,419,574 | 2,437,836 | |||||
Accumulated other comprehensive loss | (16,183 | ) | (19,330 | ) | |||
Total stockholders' equity | 2,526,311 | 2,526,357 | |||||
Total liabilities and stockholders' equity | $ | 4,055,664 | 4,061,618 |
TIDEWATER INC. | ||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||
(Unaudited) | ||||||||||||
(In thousands, except share and per share data) | ||||||||||||
Quarter Ended | Nine Months Ended | |||||||||||
December 31, | December 31, | |||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||
Net earnings | $ | 29,947 | 34,087 | 104,159 | 53,769 | |||||||
Other comprehensive income/(loss): | ||||||||||||
Unrealized gains/(losses) on available-for-sale securities | (353 | ) | 70 | (558 | ) | (931 | ) | |||||
Amortization of loss on derivative contract | 117 | 119 | 350 | 349 | ||||||||
Change in supplemental executive retirement plan pension liability | 3,355 | --- | 3,355 | --- | ||||||||
Total comprehensive income | $ | 33,066 | 34,273 | 107,306 | 53,187 |
TIDEWATER INC. | |||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
(Unaudited) | |||||||
(In thousands) | |||||||
Nine Months Ended | |||||||
December 31, | |||||||