French vessel owner and offshore services provider, Bourbon, has posted an increase in fourth quarter 2014 (Q4) adjusted revenues and a 6.7% rise in full year adjusted revenues despite the harsher market towards the year end.
The company generated a total of €1,385 million in full year adjusted revenues while the forth quarter adjusted revenues were 376.3 million euros, up 6.5%.
Marine Services, shallow water offshore vessels segment, recorded growth of 18.7%. It was the driving force to the adjusted annual sales totaling 446 million euros. However, Deep Offshore and Subsea were impacted by difficult market conditions in Q4.
Impacts from the cost reduction programs of Oil & Gas companies started to appear in the 3rd quarter with a greater effect seen in the Deepwater segment, while the shallow watermarket has been more resilient.
“BOURBON is also adapting to the current market conditions, having reinforced its action plan to reduce costs,” the company said in a statement. However, the company said that it sees both the medium term and long term more positively.
“In 2014, BOURBON achieved adjusted revenues of €1,385 million, a solid growth of 6.7%, during a more difficult market towards the end of the year”, says Christian Lefèvre, Chief Executive Officer of BOURBON. “In this environment, the good performance of the Shallow water segment demonstrates the validity of the strategy to operate modern, standardized vessels. Today, with a strong fleet and reduced financial debt, BOURBON is well equipped to get through this period.”
As for the subsea section, the company reported that as of the end of 2014, Bourbon had installed 276 subsea trees and 396 subsea well connections representing respectively 23% and 33% of subsea connections in West Africa.
In addition, Bourbon took delivery of the 7th and 8th Bourbon Evolution series MPSVs during the 4th quarter, with the final 2 vessels in the investment program expected to be delivered in the 1st half 2015.