Attached files
file | filename |
---|---|
8-K - FORM 8-K - PRIDE INTERNATIONAL INC | h79803e8vk.htm |
Exhibit 99.1
NEWS RELEASE
5847 San Felipe, Suite 3300 Houston, Texas 77057 (713) 789-1400
FOR IMMEDIATE RELEASE
|
Analyst Contact: | Jeffrey L. Chastain | ||
(713) 917-2020 | ||||
Media Contact: | Kate Perez | |||
(713) 917-2343 |
Pride International, Inc. Reports Fourth Quarter
and Full Year 2010 Financial Results
and Full Year 2010 Financial Results
Houston, February 17, 2011 Pride International, Inc. (NYSE: PDE) today reported income
from continuing operations, net of tax, for the three months ended December 31, 2010 of $62.2
million, or $0.35 per diluted share. Results for the fourth quarter included costs relating to
reactivation and startup programs on the semisubmersible rigs Pride Venezuela and Pride South Seas,
along with higher than normal repair and maintenance expenses on the Pride South Atlantic in
preparation for increased regulatory inspections. The aggregate effect of these items negatively
impacted the quarter by $0.03 per diluted share. In addition, the company recognized a charge
pertaining to an impairment of a portion of a receivable from Seahawk Drilling Inc. following
Seahawks Chapter 11 bankruptcy filing and severance costs relating to the closure of certain
regional offices, which combined, negatively impacted the quarter by an additional $0.02 per
diluted share.
The fourth quarter 2010 results compared to income from continuing operations, net of tax, for
the three months ended September 30, 2010 of $42.8 million, or $0.24 per diluted share. Results for
the third quarter of 2010 included refinancing charges totaling $16.7 million, or $0.06 per diluted
share, offset by a tax benefit of $0.08 per diluted share, relating to the change in estimate of
the companys prior year tax liability. For the three months ended December 31, 2009, the company
reported a loss from continuing operations, net of tax, of $23.2 million, or $0.13 per diluted
share, which included the impact of an accrual totaling $56.2 million relating to the previously
announced settlement with the U.S. government. Revenues for the three months ended December 31,
2010 were $400.8 million compared to $346.2 million during the three months ended September 30,
2010 and $316.7 million during the corresponding three months in 2009.
Net income for the three months ended December 31, 2010 was $52.1 million, or $0.29 per
diluted share, including a loss from discontinued operations of $10.1 million, or $0.06 per diluted
share. The reported results compared to net income of $36.5 million, or $0.20 per diluted share,
for the three months ended September 30, 2010, including a loss from discontinued operations of
$6.3 million, or $0.04 per diluted share. For the three months ended December 31, 2009, the company
reported a net loss of $32.8 million, or $0.19 per diluted share, including a loss from
discontinued operations of $9.6 million, or $0.06 per diluted share.
For the year ended December 31, 2010, income from continuing operations, net of tax, totaled
$243.4 million, or $1.37 per diluted share. Net income for 2010 was $219.1 million, or $1.23 per
diluted share, including a loss from discontinued operations of $24.3 million, or $0.14
per diluted share. The results compared to income from continuing operations, net of tax, for
the year ended December 31, 2009 of $340.3 million, or $1.92 per diluted share. Net income for 2009
was $285.8 million, or $1.61 per diluted share, including a loss from discontinued operations of
$54.5 million, or $0.31 per diluted share. Revenues for the year ended December 31, 2010 were
$1,460.1 million compared to $1,594.2 million during 2009.
Cash and cash equivalents at December 31, 2010 were $485.0 million compared to $639.6 million
at September 30, 2010. The lower cash and cash equivalents balance was due primarily to the payment
in December 2010 of the previously announced settlement with the U.S. government, and capital
expenditures relating to the companys deepwater drilling expansion program, which included an
initial payment on the order of its fifth ultra-deepwater drillship from Samsung Heavy Industries
Ltd. The new drillship is expected to be delivered from the shipyard in mid-2013. Long-term debt at
December 31, 2010 was essentially unchanged from the reported amount at September 30, 2010, at $1.8
billion, while stockholders equity was $4.5 billion, resulting in a debt-to-total-capital ratio of
29%.
Capital expenditures during the fourth quarter of 2010 totaled $175 million, including $84
million toward the companys deepwater expansion program, excluding capitalized interest. For the
year ended December 31, 2010, capital expenditures were $1,151 million, including $825 million
associated with the deepwater fleet expansion. During 2010, the company took delivery of two
deepwater drillships, the Deep Ocean Ascension in February and the Deep Ocean Clarion in August.
Also in 2010, and as previously noted, the company ordered a fifth deepwater drillship with an
estimated cost of delivery, excluding capitalized interest, of approximately $600 million. In
January 2011, the company took delivery of its third deepwater drillship, the Deep Ocean Mendocino.
Following this delivery, an estimated $1,064 million in capital expenditures is required to
complete the deepwater fleet expansion program, consisting of the Deep Ocean Molokai and the fifth
drillship, to be named at a later date.
Deepwater Segment
Revenues from the companys Deepwater segment during the fourth quarter of 2010 were $270.9
million, up 25% from $216.2 million during the third quarter of 2010. Earnings from operations
improved 61% to $107.4 million during the fourth quarter of 2010 compared to $66.9 million during
the preceding quarter of the year, while earnings before interest, taxes, depreciation and
amortization (EBITDA) totaled $137.0 million, up 50% from $91.6 million over the same comparative
period. The considerable improvement in segment results was due primarily to an increase in average
daily revenues from the semisubmersible rig Pride North America following 60 unrecognized contract
days in the third quarter of 2010, or approximately $30 million, resulting from a dispute with the
client. The dispute remains unresolved; however, the company is engaged in a dialogue with the
client in an effort to bring closure to the matter. Also, improved segment results were
attributable to greater revenues from both the drillship Deep Ocean Ascension, which earned a
special standby dayrate of $360,000 for the entire fourth quarter, and the semisubmersible rig
Pride Portland, which recognized a contractual dayrate increase in the fourth quarter of 2010 to
$305,000 from $141,000 during the third quarter of 2010. Segment operating costs, before client
reimbursables, were $130.7 million compared to $121.1 million during the third quarter of 2010. The
increase was due significantly to a full quarter of operating costs on the Deep Ocean Ascension.
Segment utilization improved to 96% in the fourth quarter of 2010 compared to 95% in the preceding
quarter of the year, while average daily revenues increased to $339,800 from $294,800 over the same
comparative period. The
companys Deepwater segment ended 2010 with 85% of the rig days in 2011 under contract, while
75% were under contract in 2012, 60% in 2013 and 46% in 2014.
Also, the company provided an update on the status of the deepwater drillship Deep Ocean
Clarion. The rig arrived in the U.S. Gulf of Mexico in January 2011 following the completion of
construction activities and mobilization from South Korea. The Deep Ocean Clarion is currently
involved in the process of integrated testing and acceptance with the client, BP Exploration &
Production (BP). The company has reached an agreement with BP to amend the contract on the rig to
provide for a special standby dayrate prior to the startup of the previously agreed five-year
contract. The special standby dayrate of $380,000, which gives consideration to the uncertain
deepwater drilling environment in the U.S. Gulf of Mexico, is expected to commence on or before
March 1, 2011, and will continue until the earlier of the completion of certain customer requested
modifications and upgrades or July 1, 2011. The company expects that the Deep Ocean Clarion will be
relocated to a region outside of the U. S. Gulf of Mexico, with mobilization of the rig expected to
commence no later than July 1, 2011. Upon mobilization, the rig would begin earning the applicable
dayrate, which is currently expected to be $596,000 per the terms of the existing contract for the
full five-year term. The contract dayrate has been adjusted to reflect actual operating costs and
client requested capital upgrades performed while construction of the rig was in progress.
Midwater Segment
Midwater segment revenues for the three months ended December 31, 2010 totaled $97.8 million,
a 13% increase from $86.2 million during the third quarter of 2010, due primarily to the
commencement of operations on the semisubmersible rig Pride Venezuela. The rig, which completed a
lengthy shipyard program in July 2010, began a one-year contract offshore Brazil on October 1, 2010
and began earning full dayrate on November 13. Approximately 43 days, or $11.4 million of revenue,
were lost during the period primarily as a result of delays caused by the time required to clear
regulatory inspections before drilling could commence. Also, higher utilization was achieved on the
semisubmersible rig Pride South America following 42 days in the shipyard during the third quarter
of 2010. Earnings from operations were $10.4 million and EBITDA was $21.9 million during the fourth
quarter of 2010 compared to earnings from operations and EBITDA of $12.5 million and $25.7 million,
respectively, during the third quarter of 2010. The decline was due primarily to reactivation and
startup costs on the Pride Venezuela, which had been idle since March 2009, and on the Pride South
Seas, which has been idle since August 2009. This semisubmersible has experienced an increase in
client interest for drilling programs in West Africa
and the company commenced a reactivation
program in the fourth quarter in order to address client needs in 2011. Segment operating costs
during the fourth quarter of 2010 increased to $74.8 million, before client reimbursables, compared
to $60.4 million in the third quarter of 2010 due significantly to the Pride Venezuela and Pride
South Seas startup and reactivation costs and higher activity on the Pride South America. Segment
utilization improved to 73% in the fourth quarter of 2010 compared to 58% in the third quarter of
2010, while average daily revenues were $243,300 compared to $269,800 over the same comparative
period. The Midwater segment had 77% of the rig days in 2011 under contract at December 31, 2010,
with 35% contracted in 2012, 14% in 2013 and none in 2014.
Independent Leg Jackup Segment
Revenues from the companys seven independent leg jackup rigs were $12.8 million in the fourth
quarter of 2010 compared to $24.7 million in the third quarter of 2010. The segment
recorded a loss from operations during the fourth quarter of 2010 of $11.6 million and
negative EBITDA of $4.1 million compared to a loss from operations and positive EBITDA of $0.2
million and $6.8 million during the preceding quarter in 2010. Segment utilization declined to
14%
in the fourth quarter of 2010 from 41% in the preceding quarter of the year as both the jackup rigs
Pride Cabinda and Pride North Dakota completed contracts at the conclusion of the third quarter of
2010. The Cabinda remained idle throughout the fourth quarter and is expected to commence a
contract in April 2011. The North Dakota spent the fourth quarter in a shipyard for planned
maintenance. Upon completion of the program, the rig commenced a new three-year contract extension
in February 2011. Segment operating costs, before client reimbursables, declined to $16.4 million
in the fourth quarter of 2010 from $17.9 million in the preceding quarter of the year, as lower
segment activity was partially offset by increased rig inspection and rig transportation costs.
In light of the agreement and plan of merger with Ensco plc announced on February 7, 2011, the
company will not host a conference call previously announced for Thursday, February 17, 2011 at
11:00am, EST. However, the company expects to file its Annual Report on Form 10-K with the
Securities and Exchange Commission within the week.
Pride International, Inc., headquartered in Houston, Texas, operates a fleet of 26 mobile
offshore drilling units, consisting primarily of floating rigs (semisubmersibles and drillships)
that address deepwater drilling programs around the world. The company has one of the youngest and
most technologically advanced deepwater drilling fleets in the offshore industry, with five
drillships, including three delivered since 2010, six semisubmersible rigs and two managed
deepwater rigs. Two additional deepwater drillships are currently under construction with expected
deliveries in 2011 and 2013. The companys fleet also includes six other semisubmersible rigs and
seven jackup rigs. Pride Internationals floating rig fleet operates primarily offshore Brazil and
West Africa where the company has a long-standing presence.
The information above includes forward-looking statements within the meaning of the Securities
Act of 1933 and the Securities Exchange Act of 1934. These forward-looking statements are subject
to certain risks, uncertainties and assumptions identified above or as disclosed from time to time
in the companys filings with the Securities and Exchange Commission. As a result of these
factors, actual results may differ materially from those indicated or implied by such
forward-looking statements.
Pride International, Inc.
Consolidated Statements of Operations
(In millions, except per share amounts)
Consolidated Statements of Operations
(In millions, except per share amounts)
Three Months Ended | ||||||||
December 31, | ||||||||
2010 | 2009 | |||||||
REVENUES |
||||||||
Revenues, excluding reimbursable revenues |
$ | 392.2 | $ | 310.4 | ||||
Reimbursable revenues |
8.6 | 6.3 | ||||||
400.8 | 316.7 | |||||||
COSTS AND EXPENSES |
||||||||
Operating costs, excluding depreciation and amortization |
240.1 | 212.3 | ||||||
Reimbursable costs |
8.0 | 5.7 | ||||||
Depreciation and amortization |
50.6 | 40.7 | ||||||
General and administrative, excluding depreciation and amortization |
26.2 | 25.2 | ||||||
Department of Justice and Securities and Exchange Commission fines |
| 56.2 | ||||||
Loss on sales of assets, net |
0.3 | 0.1 | ||||||
325.2 | 340.2 | |||||||
EARNINGS FROM OPERATIONS |
75.6 | (23.5 | ) | |||||
OTHER INCOME (EXPENSE), NET |
||||||||
Interest expense, net of amounts capitalized |
(6.8 | ) | | |||||
Interest income |
0.7 | 0.4 | ||||||
Other income (expense), net |
(1.6 | ) | (0.9 | ) | ||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES |
67.9 | (24.0 | ) | |||||
INCOME TAXES |
(5.7 | ) | 0.8 | |||||
INCOME FROM CONTINUING OPERATIONS, NET OF TAX |
62.2 | (23.2 | ) | |||||
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAX |
(10.1 | ) | (9.6 | ) | ||||
NET INCOME |
$ | 52.1 | $ | (32.8 | ) | |||
BASIC EARNINGS PER SHARE: |
||||||||
Income from continuing operations attributable to common
shareholders |
$ | 0.35 | $ | (0.13 | ) | |||
Loss from discontinued operations |
(0.06 | ) | (0.06 | ) | ||||
Net income |
$ | 0.29 | $ | (0.19 | ) | |||
DILUTED EARNINGS PER SHARE: |
||||||||
Income from continuing operations attributable to common
shareholders |
$ | 0.35 | $ | (0.13 | ) | |||
Loss from discontinued operations |
(0.06 | ) | (0.06 | ) | ||||
Net income |
$ | 0.29 | $ | (0.19 | ) | |||
SHARES USED IN PER SHARE CALCULATIONS |
||||||||
Basic |
175.8 | 174.4 | ||||||
Diluted |
176.5 | 174.4 |
Pride International, Inc.
Consolidated Statements of Operations
(In millions, except per share amounts)
Consolidated Statements of Operations
(In millions, except per share amounts)
Year Ended December 31, | ||||||||||||
2010 | 2009 | 2008 | ||||||||||
REVENUES |
||||||||||||
Revenues, excluding reimbursable revenues |
$ | 1,431.5 | $ | 1,563.5 | $ | 1,664.7 | ||||||
Reimbursable revenues |
28.6 | 30.7 | 37.9 | |||||||||
1,460.1 | 1,594.2 | 1,702.6 | ||||||||||
COSTS AND EXPENSES |
||||||||||||
Operating costs, excluding depreciation and amortization |
871.9 | 828.3 | 766.5 | |||||||||
Reimbursable costs |
24.9 | 27.3 | 34.9 | |||||||||
Depreciation and amortization |
184.0 | 159.0 | 147.3 | |||||||||
General and administrative, excluding depreciation and amortization |
103.9 | 110.5 | 126.7 | |||||||||
Department of Justice and Securities and Exchange Commission fines |
| 56.2 | | |||||||||
Loss (gain) on sales of assets, net |
0.2 | (0.4 | ) | 0.1 | ||||||||
1,184.9 | 1,180.9 | 1,075.5 | ||||||||||
EARNINGS FROM OPERATIONS |
275.2 | 413.3 | 627.1 | |||||||||
OTHER INCOME (EXPENSE), NET |
||||||||||||
Interest expense, net of amounts capitalized |
(13.4 | ) | (0.1 | ) | (20.0 | ) | ||||||
Refinancing charges |
(16.7 | ) | | (2.3 | ) | |||||||
Interest income |
2.9 | 3.0 | 16.8 | |||||||||
Other income (expense), net |
4.0 | (4.1 | ) | 20.6 | ||||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES |
252.0 | 412.1 | 642.2 | |||||||||
INCOME TAXES |
(8.6 | ) | (71.8 | ) | (133.5 | ) | ||||||
INCOME FROM CONTINUING OPERATIONS, NET OF TAX |
243.4 | 340.3 | 508.7 | |||||||||
INCOME (LOSS) FROM DISCONTINUED OPERATIONS, NET OF TAX |
(24.3 | ) | (54.5 | ) | 342.4 | |||||||
NET INCOME |
$ | 219.1 | $ | 285.8 | $ | 851.1 | ||||||
BASIC EARNINGS PER SHARE: |
||||||||||||
Income from continuing operations attributable to common shareholders |
$ | 1.37 | $ | 1.93 | $ | 2.95 | ||||||
Income (loss) from discontinued operations |
(0.14 | ) | (0.31 | ) | 1.99 | |||||||
Net income |
$ | 1.23 | $ | 1.62 | $ | 4.94 | ||||||
DILUTED EARNINGS PER SHARE: |
||||||||||||
Income from continuing operations attributable to common shareholders |
$ | 1.37 | $ | 1.92 | $ | 2.89 | ||||||
Income (loss) from discontinued operations |
(0.14 | ) | (0.31 | ) | 1.94 | |||||||
Net income |
$ | 1.23 | $ | 1.61 | $ | 4.83 | ||||||
SHARES USED IN PER SHARE CALCULATIONS |
||||||||||||
Basic |
175.6 | 173.7 | 170.6 | |||||||||
Diluted |
176.2 | 174.0 | 175.2 |
Pride International, Inc.
Consolidated Balance Sheets
(In millions)
Consolidated Balance Sheets
(In millions)
December 31, | ||||||||
2010 | 2009 | |||||||
ASSETS |
||||||||
CURRENT ASSETS: |
||||||||
Cash and cash equivalents |
$ | 485.0 | $ | 763.1 | ||||
Trade receivables, net |
200.3 | 211.9 | ||||||
Deferred income taxes |
10.1 | 21.6 | ||||||
Other current assets |
127.3 | 167.6 | ||||||
Total current assets |
822.7 | 1,164.2 | ||||||
PROPERTY AND EQUIPMENT |
7,337.0 | 6,091.0 | ||||||
Less: accumulated depreciation |
1,375.8 | 1,200.7 | ||||||
Property and equipment, net |
5,961.2 | 4,890.3 | ||||||
OTHER ASSETS, NET |
87.8 | 88.4 | ||||||
Total assets |
$ | 6,871.7 | $ | 6,142.9 | ||||
LIABILITIES AND STOCKHOLDERS EQUITY |
||||||||
CURRENT LIABILITIES: |
||||||||
Current portion of long-term debt |
$ | 30.3 | $ | 30.3 | ||||
Accounts payable |
112.3 | 132.4 | ||||||
Accrued expenses and other current liabilities |
217.0 | 339.7 | ||||||
Total current liabilities |
359.6 | 502.4 | ||||||
OTHER LONG-TERM LIABILITIES |
101.5 | 118.3 | ||||||
LONG-TERM DEBT, NET OF CURRENT PORTION |
1,833.4 | 1,161.7 | ||||||
DEFERRED INCOME TAXES |
60.9 | 102.7 | ||||||
STOCKHOLDERS EQUITY: |
||||||||
Preferred stock |
| | ||||||
Common stock |
1.8 | 1.8 | ||||||
Paid-in capital |
2,103.0 | 2,058.7 | ||||||
Treasury stock, at cost |
(21.8 | ) | (16.4 | ) | ||||
Retained earnings |
2,429.9 | 2,210.8 | ||||||
Accumulated other comprehensive income |
3.4 | 2.9 | ||||||
Total stockholders equity |
4,516.3 | 4,257.8 | ||||||
Total liabilities and stockholders equity |
$ | 6,871.7 | $ | 6,142.9 | ||||
Pride International, Inc.
Consolidated Statements of Cash Flows
(In millions)
Consolidated Statements of Cash Flows
(In millions)
Year Ended December 31, | ||||||||||||
2010 | 2009 | 2008 | ||||||||||
CASH FLOWS FROM (USED IN) OPERATING ACTIVITIES: |
||||||||||||
Net income |
$ | 219.1 | $ | 285.8 | $ | 851.1 | ||||||
Adjustments to reconcile net income to net cash from operating activities: |
||||||||||||
Gain on sale of Eastern Hemisphere land rigs |
| (5.4 | ) | (6.2 | ) | |||||||
Gain on sale of tender-assist rigs |
| | (121.4 | ) | ||||||||
Gain on sale of Latin America and E&P Services segments |
| | (56.8 | ) | ||||||||
Gain on sale of equity method investment |
| | (11.4 | ) | ||||||||
Depreciation and amortization |
184.0 | 196.5 | 210.8 | |||||||||
Refinancing charges |
12.3 | | | |||||||||
Amortization and write-offs of deferred financing costs |
6.1 | 2.4 | 5.2 | |||||||||
Amortization of deferred contract liabilities |
(45.8 | ) | (53.8 | ) | (59.0 | ) | ||||||
Impairment charges |
| 33.4 | | |||||||||
Gain on sales of assets, net |
(0.1 | ) | (0.4 | ) | (24.0 | ) | ||||||
Deferred income taxes |
(27.8 | ) | (13.2 | ) | 78.1 | |||||||
Excess tax benefits from stock-based compensation |
(2.8 | ) | (1.5 | ) | (7.7 | ) | ||||||
Stock-based compensation |
32.7 | 35.9 | 24.8 | |||||||||
Other, net |
2.2 | 0.9 | 2.2 | |||||||||
Net effect of changes in operating accounts |
(39.4 | ) | 142.8 | (26.9 | ) | |||||||
Change in deferred gain on asset sales and retirements |
| 4.9 | (12.3 | ) | ||||||||
Increase (decrease) in deferred revenue |
(9.6 | ) | 13.8 | (8.7 | ) | |||||||
Decrease (increase) in deferred expense |
(8.7 | ) | (15.0 | ) | 6.3 | |||||||
NET CASH FLOWS FROM OPERATING ACTIVITIES |
322.2 | 627.1 | 844.1 | |||||||||
CASH FLOWS FROM (USED IN) INVESTING ACTIVITIES: |
||||||||||||
Purchases of property and equipment |
(1,253.3 | ) | (994.4 | ) | (984.0 | ) | ||||||
Reduction of cash from spin-off of Seahawk |
| (82.4 | ) | | ||||||||
Proceeds from dispositions of property and equipment |
1.4 | 7.4 | 65.8 | |||||||||
Proceeds from the sale of Eastern Hemisphere land rigs, net |
| 9.6 | 84.9 | |||||||||
Proceeds from sale of tender-assist rigs, net |
| | 210.8 | |||||||||
Proceeds from sale of equity method investment |
| | 15.0 | |||||||||
Proceeds from insurance |
| | 25.0 | |||||||||
NET CASH FLOWS USED IN INVESTING ACTIVITIES |
(1,251.9 | ) | (1,059.8 | ) | (582.5 | ) | ||||||
CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES: |
||||||||||||
Repayments of borrowings |
(542.6 | ) | (30.3 | ) | (537.2 | ) | ||||||
Proceeds from debt borrowings |
1,200.0 | 498.2 | 68.0 | |||||||||
Debt finance costs |
(17.3 | ) | (6.2 | ) | (2.7 | ) | ||||||
Net proceeds from employee stock transactions |
8.7 | 20.1 | 24.7 | |||||||||
Excess tax benefits from stock-based compensation |
2.8 | 1.5 | 7.7 | |||||||||
NET CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES |
651.6 | 483.3 | (439.5 | ) | ||||||||
Increase (decrease) in cash and cash equivalents |
(278.1 | ) | 50.6 | (177.9 | ) | |||||||
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD |
763.1 | 712.5 | 890.4 | |||||||||
CASH AND CASH EQUIVALENTS, END OF PERIOD |
$ | 485.0 | $ | 763.1 | $ | 712.5 | ||||||
Pride International, Inc.
Quarterly Continuing Operating Results by Segment
(In millions)
Quarterly Continuing Operating Results by Segment
(In millions)
Three Months Ended | ||||||||||||
December 31, | September 30, | December 31, | ||||||||||
2010 | 2010 | 2009 | ||||||||||
Deepwater revenues: |
||||||||||||
Revenues, excluding reimbursables |
$ | 267.3 | $ | 212.1 | $ | 176.0 | ||||||
Reimbursable revenues |
3.7 | 4.1 | 2.1 | |||||||||
Total Deepwater revenues |
271.0 | 216.2 | 178.1 | |||||||||
Midwater revenues: |
||||||||||||
Revenues, excluding reimbursables |
96.8 | 86.1 | 74.0 | |||||||||
Reimbursable revenues |
1.0 | 0.1 | 1.7 | |||||||||
Total Midwater revenues |
97.8 | 86.2 | 75.7 | |||||||||
Independent Leg Jackup revenues: |
||||||||||||
Revenues, excluding reimbursables |
12.5 | 24.5 | 43.2 | |||||||||
Reimbursable revenues |
0.3 | 0.2 | 0.7 | |||||||||
Total Independent Leg Jackup revenues |
12.8 | 24.7 | 43.9 | |||||||||
Other |
19.0 | 19.0 | 17.4 | |||||||||
Corporate |
0.2 | 0.1 | 1.6 | |||||||||
Total revenues |
$ | 400.8 | $ | 346.2 | $ | 316.7 | ||||||
Earnings (loss) from continuing
operations: |
||||||||||||
Deepwater |
$ | 107.4 | $ | 66.9 | $ | 47.4 | ||||||
Midwater |
10.4 | 12.5 | 7.9 | |||||||||
Independent Leg Jackups |
(11.6 | ) | (0.2 | ) | 3.1 | |||||||
Other |
0.1 | 2.1 | 0.9 | |||||||||
Corporate |
(30.7 | ) | (25.3 | ) | (82.8 | ) | ||||||
Total |
$ | 75.6 | $ | 56.0 | $ | (23.5 | ) | |||||
Pride International, Inc.
Annual Continuing Operating Results by Segment
(In millions)
Annual Continuing Operating Results by Segment
(In millions)
Year Ended December 31, | ||||||||||||
2010 | 2009 | 2008 | ||||||||||
Deepwater revenues: |
||||||||||||
Revenues, excluding reimbursables |
$ | 916.3 | $ | 810.3 | $ | 874.6 | ||||||
Reimbursable revenues |
14.2 | 12.8 | 7.6 | |||||||||
Total Deepwater revenues |
930.5 | 823.1 | 882.2 | |||||||||
Midwater revenues: |
||||||||||||
Revenues, excluding reimbursables |
365.8 | 412.9 | 419.5 | |||||||||
Reimbursable revenues |
1.7 | 6.5 | 6.0 | |||||||||
Total Midwater revenues |
367.5 | 419.4 | 425.5 | |||||||||
Independent Leg Jackup revenues: |
||||||||||||
Revenues, excluding reimbursables |
89.4 | 264.0 | 273.9 | |||||||||
Reimbursable revenues |
1.3 | 1.3 | 1.3 | |||||||||
Total Independent Leg Jackup revenues |
90.7 | 265.3 | 275.2 | |||||||||
Other |
70.9 | 83.0 | 119.2 | |||||||||
Corporate |
0.5 | 3.4 | 0.5 | |||||||||
Total revenues |
$ | 1,460.1 | $ | 1,594.2 | $ | 1,702.6 | ||||||
Earnings (loss) from continuing
operations: |
||||||||||||
Deepwater |
$ | 344.8 | $ | 348.3 | $ | 454.7 | ||||||
Midwater |
66.5 | 129.0 | 163.6 | |||||||||
Independent Leg Jackups |
(25.1 | ) | 105.4 | 133.2 | ||||||||
Other |
3.8 | 4.8 | 7.8 | |||||||||
Corporate |
(114.8 | ) | (174.2 | ) | (132.2 | ) | ||||||
Total |
$ | 275.2 | $ | 413.3 | $ | 627.1 | ||||||
Pride International, Inc.
Quarterly Selected Offshore Drilling Services Metrics
Quarterly Selected Offshore Drilling Services Metrics
Q4 2010 | Q3 2010 | Q4 2009 | ||||||||||||||||||||||
Averge Daily | Averge Daily | Averge Daily | ||||||||||||||||||||||
Revenues (1) | Utilization (2) | Revenues (1) | Utilization (2) | Revenues (1) | Utilization (2) | |||||||||||||||||||
Deepwater |
$ | 339,800 | 96 | % | $ | 294,800 | 95 | % | $ | 322,700 | 75 | % | ||||||||||||
Midwater |
$ | 243,300 | 73 | % | $ | 269,800 | 58 | % | $ | 249,100 | 55 | % | ||||||||||||
Jackups
Independent Leg |
$ | 139,400 | 14 | % | $ | 92,400 | 41 | % | $ | 122,500 | 56 | % |
(1) | Average daily revenues are based on total revenues for each type of rig divided by actual days worked by all rigs of that type. Average daily revenues will differ from average contract dayrate due to billing adjustments for any non-productive time, mobilization fees, demobilization fees, performance bonuses and charges to the customer for ancillary services. | |
(2) | Utilization is calculated as the total days worked divided by the total days in the period. |
Pride International, Inc.
Annual Selected Offshore Drilling Services Metrics
Annual Selected Offshore Drilling Services Metrics
Year Ended December 31, | ||||||||||||||||||||||||
2010 | 2009 | 2008 | ||||||||||||||||||||||
Averge Daily | Averge Daily | Averge Daily | ||||||||||||||||||||||
Revenues (1) | Utilization (2) | Revenues (1) | Utilization (2) | Revenues (1) | Utilization (2) | |||||||||||||||||||
Deepwater |
$ | 327,300 | 93 | % | $ | 335,100 | 84 | % | $ | 310,100 | 97 | % | ||||||||||||
Midwater |
$ | 261,000 | 64 | % | $ | 258,700 | 74 | % | $ | 249,400 | 78 | % | ||||||||||||
Jackups
Independent Leg |
$ | 101,400 | 35 | % | $ | 123,000 | 84 | % | $ | 121,100 | 89 | % |
(1) | Average daily revenues are based on total revenues for each type of rig divided by actual days worked by all rigs of that type. Average daily revenues will differ from average contract dayrate due to billing adjustments for any non-productive time, mobilization fees, demobilization fees, performance bonuses and charges to the customer for ancillary services. | |
(2) | Utilization is calculated as the total days worked divided by the total days in the period. |
Pride International, Inc.
Reconciliation of Earnings before Interest, Taxes and Depreciation and Amortization (EBITDA)
(In millions)
Reconciliation of Earnings before Interest, Taxes and Depreciation and Amortization (EBITDA)
(In millions)
We believe that this non-GAAP financial measure, EBITDA, is meaningful information that our
management considers when making investment decisions. We believe it also provides supplemental
information regarding our operating results with respect to both the performance of our fundamental
business activities and our ability to meet our future debt service, capital expenditures and
working capital requirements. We also believe investors and analysts commonly use EBITDA as a
widely accepted financial indicator to analyze and compare companies on the basis of operating
performance that have different financing and capital structures and tax rates. EBITDA is not a
substitute for the U.S. GAAP measures of earnings or of cash flow and is not necessarily a measure
of the companys ability to fund its cash needs.
Q4 2010 | Q3 2010 | Q4 2009 | ||||||||||
Deepwater |
||||||||||||
Income from continuing operations |
$ | 107.4 | $ | 66.9 | $ | 47.4 | ||||||
Plus: Total interest expense, net |
| | | |||||||||
Plus: Income tax provision |
| | | |||||||||
Plus: Depreciation and amortization |
29.6 | 24.7 | 19.9 | |||||||||
EBITDA |
137.0 | 91.6 | 67.3 | |||||||||
Midwater |
||||||||||||
Income from continuing operations |
10.4 | 12.5 | 7.9 | |||||||||
Plus: Total interest expense, net |
| | | |||||||||
Plus: Income tax provision |
| | | |||||||||
Plus: Depreciation and amortization |
11.5 | 13.2 | 11.2 | |||||||||
EBITDA |
21.9 | 25.7 | 19.1 | |||||||||
Independent Leg Jackups |
||||||||||||
Income (loss) from continuing operations |
(11.6 | ) | (0.2 | ) | 3.1 | |||||||
Plus: Total interest expense, net |
| | | |||||||||
Plus: Income tax provision |
| | | |||||||||
Plus: Depreciation and amortization |
7.5 | 7.0 | 7.7 | |||||||||
EBITDA |
(4.1 | ) | 6.8 | 10.8 | ||||||||
Other & Corporate |
||||||||||||
Loss from continuing operations |
(44.0 | ) | (36.4 | ) | (81.6 | ) | ||||||
Plus: Total interest expense, net |
6.1 | 5.4 | (0.4 | ) | ||||||||
Plus: Income tax provision |
5.7 | (15.0 | ) | (0.8 | ) | |||||||
Plus: Depreciation and amortization |
2.0 | 1.8 | 1.9 | |||||||||
EBITDA |
(30.2 | ) | (44.2 | ) | (80.9 | ) | ||||||
Total Pride International Inc. |
||||||||||||
Income (loss) from continuing operations |
62.2 | 42.8 | (23.2 | ) | ||||||||
Plus: Total interest expense, net |
6.1 | 5.4 | (0.4 | ) | ||||||||
Plus: Income tax provision |
5.7 | (15.0 | ) | (0.8 | ) | |||||||
Plus: Depreciation and amortization |
50.6 | 46.7 | 40.7 | |||||||||
EBITDA |
$ | 124.6 | $ | 79.9 | $ | 16.3 | ||||||