TRANSOCEAN Q4 2017 RESULTS

February 22, 2018

Transocean Q4 2017 results included net unfavorable items of $18 million. After consideration of these net unfavorable items, fourth quarter 2017 adjusted net loss was $93 million. For the period the net loss attributable to controlling interest was $111 million.
Contract drilling revenues for the three months ended December 31, 2017, decreased $110 million sequentially to $589 million. The decline was primarily due to fewer operating days and lower revenue efficiency. The lower revenue efficiency was primarily driven by the Petrobras 10000, which is returning to work in the first quarter of 2018. The quarter results were also impacted by lower dayrates on the Deepwater Invictus. These decreases were partly offset by the commencement of operations of the ultra-deepwater newbuild drillship Deepwater Pontus.
Other revenues were $40 million, which included $25 million of early termination fees associated with the Discoverer Clear Leader. This compares with $109 million in the prior quarter, which included $99 million of early termination fees.
Operating and maintenance expense was $389 million, compared with $323 million in the prior quarter. The anticipated sequential increase was the result of the reactivation and contract preparation costs related to the Development Driller I and Deepwater Nautilus; and the commencement of operations of the Deepwater Pontus. The quarter results were also impacted by timing from the prior quarter of scheduled maintenance costs and recycling costs associated with previously announced floater retirements.
For the year ended December 31, 2017, net loss attributable to controlling interest totaled $3.13 billion. Full year results included $3.10 billion of net unfavorable items. After excluding these net unfavorable items, adjusted net loss for 2017 was $24 million.
(Source: Transocean)