Press Releases

TGS announces Q2 2011 revenues of USD 136 million

ASKER, NORWAY (4 August 2011) - TGS reports  net revenues of  USD 136 million in  Q2 2011, compared to USD  112 million in Q2 2010.  Investments and the corresponding pre-funding revenues were significantly lower in Q2 2011 than in Q2 2010 due to the expected back end loaded investment plan, as previously communicated to the market.   Despite lower investments, TGS is pleased to report late sales of USD 98.0 million which is up 52% from Q2 2010. 

 2nd QUARTER HIGHLIGHTS  

  • Consolidated net revenues were USD 136.1 million, an increase of 21% compared to Q2 2010. 

  • Net late sales totaled USD 98.0 million, up 52% from Q2 2010. 

  • Net pre-funding revenues were USD 26.7 million, down 38% from Q2 2010, funding 43% of the Company's operational multi-client investments during Q2 (investments of USD 61.7 million, down 36% from Q2 2010). 

  • Proprietary revenues were USD 11.4 million, up 142% from Q2 2010. 

  • Operating profit (EBIT) was USD 57.7 million (42% of net revenues), compared to USD 33.4 million (30% of net revenues) in Q2 2010.  

  • Cash flow from operations was USD 93.3 million, up from USD 74.1 million in Q2 2010. 

  • Earnings per share (fully diluted) were USD 0.41, compared to 0.18 in Q2 2010. 

 6 MONTHS FINANCIAL HIGHLIGHTS  

  • Consolidated net revenues were USD 268.1 million, an increase of 3% compared to H1 2010. 

  • Net late sales from the multi-client library totaled USD 182.8 million, up 33% from USD 138.0 million in 2010. 

  • Net pre-funding revenues were USD 63.4 million, down 44% from 2010, funding 60% of the Company's operational multi-client investments during H1 (investments of USD 105.2 million, down 46% from 2010). 

  • Proprietary revenues were USD 21.9 million, up 118% from 2010. 

  • Operating profit (EBIT) was USD 116.7 million (44% of net revenues), compared to USD 92.3 million (35% of net revenues) in 2010. 

  • Cash flow from operations was USD 231.6 million, an increase of 28% from USD 180.4 million in 2010. 

  • Earnings per share (fully diluted) were USD 0.81 compared to USD 0.58 for the same period in 2010. 

 "Another strong quarter with revenue growth of 21% from last year," TGS' CEO Robert Hobbs stated. "We continue to see great demand for our existing library data and all business areas experienced growth in late sales compared to one year ago. We maintain our guidance for 2011." 

CEO Robert Hobbs and CFO Kristian Johansen will present the results at 08:30 CET on 4 August 2011 at Shippingklubben located at Haakon VII's gt 1 in Oslo, Norway.  The presentation is open to the public and can also be followed live on the internet atwww.tgsnopec.com streamed by Webcast Norge. 

To access TGS Q2 2011 results information, click on the links below or go to the Company website at www.tgsnopec.com: 

TGS Q2 2011 Earnings Release

TGS Q2 2011 Webcast

TGS Q2 2011 Presentation Slides

 

Q2 2011 Conference Call     

CEO Robert Hobbs and CFO Kristian Johansen will also host a conference call on 4 August 2011 at 15:00 CET Norway time (9:00 AM New York time).   Attendees may want to call 5-10 minutes before 15:00 CET (9:00 AM NY) to ensure registration and access. 

  • Norwegian attendees are invited to call +800 19641 or +47 2415 9757 

  • International attendees are invited to call 0800 032 3808  or +44 (0)20 7138 0843 

  • US attendees are invited to call +1 866 850 2201 

 Participants will need to quote the following confirmation code when dialing into the conference: 3885488.  

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 2100 0498 (Norway) or +44 (0)20 7111 1244 (International) or +1 347 366 9565 (US) 

  • replay access code 3885488 followed by # (pound-sign) 

A replay of the conference call will also be available at www.tgsnopec.com 

About TGS

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

Sven Børre Larsen

Chief Financial Officer

Tel: +47 90 94 36 73

Ellen Munkvold

Ellen Munkvold

IR Coordinator

Tel: +47 97 76 26 25