ASKER, NORWAY (8 April 2019) Based on preliminary reporting from operating units, TGS management expects net segment revenues* for the first quarter of 2019 to be approximately USD 110 million, whereof approximately 12% is made up by pre-funding.
“While operational investments and pre-funding revenues came in behind plan due to postponed start-up of projects, this was offset by late sales coming in above internal expectations. Following the announcement of several new projects so far this year, we have now committed approximately USD 240 million of investments for 2019 and we are well on track for meeting the guidance of approximately 20% investment growth,” said Kristian Johansen, CEO of TGS. “With the strong cash flow in Q1, our cash balance is now almost USD 400 million, which puts us in a strong position to grow shareholder returns further.”
*Based on segment reporting with revenues from projects in progress recognized according to percentage of completion, as opposed to the IFRS reporting, where revenues as a main rule is not recognized until the project has been delivered to the customer(s).
TGS-NOPEC Geophysical Company (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.
For more information visit TGS online at www.tgs.com.
Forward-looking statements and contact information
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 principle customers, TGS' ability to continue to expand markets for licensing of data, and TGS' ability to acquire and process data products 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.
TGS-NOPEC Geophysical Company ASA is listed on the Oslo Stock Exchange (OSLO:TGS).
TGS sponsored American Depositary Shares trade on the U.S. over-the-counter market under the symbol "TGSGY”.
For additional information about this press release please contact:
Sven Børre Larsen
Chief Financial Officer
Tel: +47 90 94 36 73