TGS announces Q1 2017 Results with revenues up 35%

10 May 2017OSE

ASKER, NORWAY (10 May 2017) - TGS reported net revenues of USD 86 million in Q1 2017, up 35% from USD 64 million in Q1 2016. Strong cash flow from operations of USD 185 million helped to grow the cash balance to USD 248 million. Quarterly dividend will be maintained at USD 0.15 per share. 

1st Quarter Highlights

  • Consolidated net revenues were USD 86 million, up 35% from USD 64 million in Q1 2016
  • Net late sales totaled USD 69 million, up 82% from USD 38 million in Q4 2016 
  • Net pre-funding revenues were USD 15 million (USD 23 million in Q1 2016) funding 26% of TGS' operational multi-client investments for the quarter
  • Operational multi-client investments were USD 58 million in addition to USD 5 million from risk sharing arrangements
  • Operating profit (EBIT) was USD 2 million (2% of net revenues), compared to USD -21 million (-33% of net revenues) in Q1 2016
  • Cash flow from operations was USD 185 million, up 27% from USD 145 million in Q1 2016
  • Free cash flow (after multi-client investments) was USD 74 million, compared to USD 63 million in Q1 2016
  • Cash balance at 31 March 2017 was USD 248 million in addition to the undrawn USD 75 million Revolving Credit Facility
  • Earnings per share (fully diluted) were USD 0.02, up from USD -0.20 in Q1 2016
  • Quarterly dividend maintained at USD 0.15 per share
  • Financial guidance for 2017 reiterated at: • New multi-client investments* at approximately the same level as in 2016 • Additional multi-client investments expected from sales of existing surveys with risk sharing arrangements• Pre-funding of new multi-client investments* expected to be approximately 40-45%

*New multi-client investments excluding investments related to surveys with risk sharing arrangements

"Despite the continued challenging market conditions, TGS delivered strong growth in late sales of 82% from Q1 2016.  We were also successful at securing prefunding for new 2017 projects.  Our cash flow generation and pipeline of investment opportunities positions TGS well to enhance our status as the world's leading multi-client geophysical company," TGS' CEO Kristian Johansen stated.

To access TGS Q1 2017 results information, please use the web links below: 

Q1 2017 Presentation and Webcast 
Kristian Johansen (CEO) and Sven Børre Larsen (CFO) will present the results at 9.00 am CEST at the Hotel Continental, Stortingsgata 24/26 in Oslo, Norway. The presentation is open to the public and can be followed live on the internet at

The slides from the presentation will also be available in PDF format at both the TGS and Oslo Stock Exchange websites.

Q1 2017 Conference Call

CEO Kristian Johansen and CFO Sven Børre Larsen will host a conference call on 10 May 2017 at 3.00 pm CEST (9.00 am EDT).  Attendees may want to call 5-10 minutes before to ensure registration and access.

  • Norwegian attendees are invited to call +800 51084 or +47 2350 0296
  • International attendees are invited to call 0800 279 7204 or +44 (0)330 336 9412
  • US attendees are invited to call +1 800 730 9234 or +1 719 325 4746

Participants will need to quote the following confirmation code when dialing into the conference: 6000372.

A Q&A session will follow a short introduction, based upon the presentation issued in the morning. To pose a question, please press *1.

A replay of the conference call will be available shortly after. To access replay of the TGS conference call:

  • dial +47 23 50 00 77 or +800 196 72 (Norway), +44 (0) 207 660 0134 or +0 808 101 1153 (International) or +1 719 457 0820 or +888 203 1112 (US)
  • replay access code 6000372 followed by # (pound-sign).

A replay of the conference call will also be available at

TGS provides multi-client geoscience data to oil and gas Exploration and Production companies worldwide. In addition to extensive global geophysical and geological data libraries that include multi-client seismic data, magnetic and gravity data, digital well logs, production data and directional surveys, TGS also offers advanced processing and imaging services, interpretation products, and data integration solutions.

All statements in this press release other than statements of historical fact are forward-looking statements, which are subject to a number of risks, uncertainties and assumptions that are difficult to predict, and are based upon assumptions as to future events that may not prove accurate. These factors include TGS' reliance on a cyclical industry and principal customers, TGS' ability to continue to expand markets for licensing of data, and TGS' ability to acquire and process data product at costs commensurate with profitability. Actual results may differ materially from those expected or projected in the forward-looking statements. TGS undertakes no responsibility or obligation to update or alter forward-looking statements for any reason.

Sven Børre Larsen
Chief Financial Officer
Tel: +47 90 94 36 73

Will Ashby
SVP Investor Relations, HR & Communication
Tel: +1 713 860 2184