Du är här

2016-02-25

North Atlantic Drilling Ltd.: NADL - North Atlantic Drilling Ltd. - Fourth quarter and preliminary 2015 results

Highlights from the
fourth quarter

* North Atlantic Drilling achieved fourth quarter economic utilization of 98
percent

* North Atlantic Drilling generated fourth quarter 2015 EBITDA* of $76.6
million

* North Atlantic Drilling reports fourth quarter 2015 net loss of $112.9
million and a net loss attributable to shareholders of $116.9 million. The
loss per share was $4.85.

* Excluding the loss on disposal recognized on reclassification of the West
Rigel to an asset held for sale, the fourth quarter 2015 net loss was $30.9
million

* North Atlantic Drilling signed an amendment with Jurong Shipyard for the
delivery of the semi-submersible drilling unit, the West Rigel. The
deferral period lasts until June 2016, during which time the Company will
continue to market the unit for an acceptable drilling contract, and the
unit will remain at the Jurong Shipyard in Singapore. The Company and
Jurong may also consider other commercial opportunities for the Unit during
this period. The unit has been classified as an asset held for sale, and
consequently a non-cash loss on disposal of $82.0 million has been
recognized.

Financial highlights

Fourth quarter 2015 results

Consolidated revenues for the fourth quarter 2015 were $150.4 million compared
to $194.6 million for the third quarter. The primary reasons for the decrease
are the contract completions of the West Venture and the West Phoenix
entering its idle period under contract through the winter season.

Operating loss for the fourth quarter was $61.1 million, a decrease of $118.3
million compared to the third quarter operating income of $57.2 million. The
decrease is primarily due to the non-cash loss on disposal of $82.0 million
relating to the West Rigel, which as been reclassified as an asset held for
sale. Operating loss is also due to the West Phoenix and West Venture as
stated above.

Net financial items for the fourth quarter of 2015 amounted to a charge of
$17.7 million. The charge included $23.9 million in interest expenses, gain
on financial derivatives of $0.7 million, and foreign exchange gain of $8.6
million mainly related to the NOK1,500 million bond loan. The third quarter
of 2015 incurred a net financial charge of $47.9 million, including interest
expenses of $24.1 million, loss on financial derivatives of $32.6 million,
and gain on foreign exchange of $8.7 million mainly related to the NOK1,500
million bond loan.

Income taxes for the fourth quarter was a $34.1 million expense, compared to a
$7.9 million expense in the third quarter primarily due to additional
deferred tax liability recorded on unremitted earnings.

Net loss for the fourth quarter was $112.9 million and the net loss
attributable to shareholders was $116.9 million, resulting in a basic loss
per share of $4.85. This is compared to net income of $1.4 million and a net
loss attributable to shareholders of $2.6 million for the third quarter.

The Company reports operating revenues of $747.7 million, operating income of
$97.5 million and a net loss of $78.6 million for the twelve months ended
December 31, 2015. This compares to operating revenues of $1,263.7 million,
operating loss of $116.4 million and a net loss of $320.5 million for the
twelve months ended December 31, 2014.

Balance sheet as at December 31, 2015

As at December 31, 2015, total assets decreased to $3,255.1 million from
$3,440.6 million compared to the previous quarter.

Total non-current assets decreased to $2,968.6 million from $3,104.0 million
compared to the previous quarter. The decrease was mainly due to depreciation
on drilling units, and also the loss on disposal on the West Rigel asset held
for sale.

Total current liabilities decreased to $494.6 million from $514.1 million
compared to the previous quarter. The decrease is largely due to the decrease
in related party payables.

Long-term interest bearing debt, including related party debt, decreased to
$2,224.5 million from $2,282.9 million during the quarter. Net interest
bearing debt decreased to $2,277.5 million from $2,333.1 million. During the
fourth quarter the Company repaid net $42 million on the $2 billion credit
facility and repaid net $12 million on the $475 million credit facility. As
at December 31, 2015, the Company had undrawn amounts of $50 million
available on its credit facilities.

Total equity decreased to $418.7 million from $519.7 million compared to the
previous quarter. The decrease is primarily due to the net loss for the
quarter.

Cash flow

As at December 31, 2015, cash and cash equivalents decreased to $150.9 million
from $155.4 million compared to the previous quarter.

For the twelve-month period ending December 31, 2015, net cash provided by
operating activities was $339.9 million, net cash used in investing
activities amounted to $39.0 million, and net cash used in financing
activities was $264.1 million.

Outstanding shares, reverse stock split and capital reduction

In December 2015 the shareholders in a special general meeting approved a
capital reorganization, including a 1-for-10 reverse stock split of the
Company's issued and outstanding common shares and reducing the par value
from $5.00 to $0.10. In addition the total authorized share capital was
reduced from $2,000 million to $10 million.

As a result of the capital restructuring the number of shares outstanding has
fallen from 241,142,651 to 24,114,232. The Company held 237,386 treasury
shares as at December 31, 2015.

The Company has received notification from the New York Stock Exchange
("NYSE") on February 1, 2016, that the Company is now in compliance with the
continued listing criterion of share price of at least $1.00 per share over a
consecutive 30 trading-day period.

Questions should be directed to North Atlantic Management AS represented by:

Scott McReaken: Chief Financial Officer

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

Fourth quarter 2015 report
http://hugin.info/155697/R/1989296/730620.pdf
Fourth quarter 2015 fleet status
http://hugin.info/155697/R/1989296/730621.pdf

---------------------------------------

This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: North Atlantic Drilling Ltd. via Globenewswire

HUG#1989296

Författare WKR

Tala om vad ni tycker

Tala om vad ni tycker

Ni är just nu inne på en betaversion av nya aktiespararna. Lämna gärna feedback på vad ni tycker i formuläret nedan.