Transocean Ltd (RIG) has reported 27.99 percent rise in profit for the year ended Dec. 31, 2016. The company has earned $782 million, or $2.10 a share in the year, compared with $611 million, or $1.66 a share for the last year. On the other hand, adjusted net income for the year stood at $655 million, or $1.75 a share compared with $1,737 million or $4.74 a share, a year ago. Revenue during the year surged 124.80 percent to $4,161 million from $1,851 million in the previous year. Gross margin for the year contracted 217 basis points over the previous year to 54.94 percent. Total expenses were 72.80 percent of annual revenues, up from 59.48 percent for the last year. That has resulted in a contraction of 1331 basis points in operating margin to 27.20 percent.
Operating income for the year was $1,132 million, compared with $750 million in the previous year.
“In the face of a very challenging market, we again produced impressive operational and financial results in the fourth quarter,” said President and Chief Executive Officer Jeremy Thigpen. “For the second consecutive quarter, driven by our stellar uptime performance, and our acute focus on value creation, we delivered revenue efficiency in excess of 100% and EBITDA margins surpassing 50%.”
Operating cash flow drops significantly
Transocean Ltd has generated cash of $1,911 million from operating activities during the year, down 44.53 percent or $1,534 million, when compared with the last year. The company has spent $1,313 million cash to meet investing activities during the year as against cash outgo of $1,932 million in the last year. It has incurred net capital expenditure of $1,314 million on net basis during the year, down 32.51 percent or $633 million from year ago.
Cash flow from financing activities was $115 million for the year as against cash outgo of $1,809 million in the last year period.
Cash and cash equivalents stood at $2,339 million as on Dec. 31, 2016, down 23.36 percent or $713 million from $3,052 million 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
