Bristow Group (BRS) swung to a net loss for the quarter ended Dec. 31, 2016. The company has made a net loss of $21.93 million, or $ 0.62 a share in the quarter, against a net profit of $3.20 million, or $0.09 a share in the last year period. On adjusted basis, net loss for the quarter stood at $10.12 million, or $0.29 a share compared with a net profit of $23.53 million, or $0.67 a share in the last year period.
Revenue during the quarter dropped 19.63 percent to $337.44 million from $419.89 million in the previous year period. Gross margin for the quarter contracted 658 basis points over the previous year period to 19.23 percent. Operating margin for the quarter stood at negative 5.66 percent as compared to a positive 5.26 percent for the previous year period.
Operating loss for the quarter was $19.10 million, compared with an operating income of $22.08 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $22.92 million compared with $64.73 million in the prior year period. At the same time, adjusted EBITDA margin contracted 862 basis points in the quarter to 6.79 percent from 15.42 percent in the last year period.
"Our third quarter financial performance exceeded our internal expectations," said Bristow Group president and chief executive officer Jonathan Baliff. “While our results continue to be impacted by the challenging market conditions affecting the offshore oil and gas industry, we have been successful on a number of fronts, including improving our liquidity and competitive position. The funding of the Lombard equipment financing and the recent announcement of additional financings greatly improve our liquidity runway and should allow us to maintain our leadership position in this current difficult market environment.
Operating cash flow turns negativeBristow Group has spent $14.86 million cash to meet operating activities during the nine month period as against cash inflow of $55.68 million in the last year period. The company has spent $105.09 million cash to meet investing activities during the nine month period as against cash outgo of $324.21 million in the last year period. It has incurred net capital expenditure of $105.09 million on net basis during the nine month period, down 67.59 percent or $219.12 million from year ago period.
Cash flow from financing activities was $92.74 million for the nine month period, down 68.26 percent or $199.47 million, when compared with the last year period.
Cash and cash equivalents stood at $71.16 million as on Dec. 31, 2016, down 46.05 percent or $60.75 million from $131.91 million on Dec. 31, 2015.
Working capital turns negative
Working capital of Bristow Group has turned negative to $32.19 million on Dec. 31, 2016 from positive $247.99 million on Dec. 31, 2015. Current ratio was at 0.94 as on Dec. 31, 2016, down from 1.68 on Dec. 31, 2015.
Cash conversion cycle (CCC) has decreased to 50 days for the quarter from 66 days for the last year period. Days sales outstanding went up to 61 days for the quarter compared with 51 days for the same period last year.
Days inventory outstanding has decreased to 21 days for the quarter compared with 43 days for the previous year period. At the same time, days payable outstanding went up to 32 days for the quarter from 28 for the same period last year.
Debt moves up marginallyBristow Group has witnessed an increase in total debt over the last one year. It stood at $1,261.67 million as on Dec. 31, 2016, up 3.16 percent or $38.66 million from $1,223 million on Dec. 31, 2015. Total debt was 40.29 percent of total assets as on Dec. 31, 2016, compared with 36.48 percent on Dec. 31, 2015. Debt to equity ratio was at 0.92 as on Dec. 31, 2016, up from 0.79 as on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
