ASKER, NORWAY (1 November 2018) - TGS reported net revenues of USD 141 million in Q3 2018, compared to USD 142 million in Q3 2017. TGS continued to see improvement in late sales which at USD 106 million were up 35% compared to Q3 2017.  Operating profit for the quarter was USD 24 million (17% of net revenues) and net income was USD 17 million resulting in earnings per share of USD 0.16, a growth of 78% year-on-year.

With a strong cash balance of USD 322 million, TGS maintains its quarterly dividend at USD 0.20 per share, up 33% from Q3 2017. 

3rd Quarter Highlights - Segment Reporting

  • Consolidated net revenues were USD 141 million, down 1% from USD 142 million in Q3 2017
  • Net late sales totaled USD 106 million, up 35% from USD 79 million in Q3 2017
  • Net pre-funding revenues were USD 33 million, funding 33% of TGS' operational multi-client investments for the quarter
  • Operational multi-client investments were USD 100 million in addition to USD 7 million non-operational investments
  • Operating profit (EBIT) was USD 24 million (17% of net revenues), compared to USD 26 million (18% of net revenues) in Q3 2017
  • Net income was USD 17 million, up 78% from USD 9 million in Q3 2017
  • Cash flow from operations was USD 96 million, up from USD 86 million in Q3 2017
  • Free cash flow (after multi-client investments) was USD 10 million, up from USD (19) million in Q3 2017
  • Cash balance at 30 September 2018 was USD 322 million
  • Earnings per share (fully diluted) were USD 0.16, up 78% from USD 0.09 in Q3 2017
  • Quarterly dividend is maintained at USD 0.20 per share, up 33% from Q3 2017
  • Financial guidance for 2018 is as follows:
    • New multi-client investments* of approximately USD 260 million
    • 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% compared to previous expectation of 45-50%

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

"TGS has grown net revenues by 29% in the first nine months of 2018.  However, E&P companies have for the most part maintained a cautious approach to exploration spending and a large part of the increased revenues is related to acreage turnover, either through M&A between E&P companies or asset swaps and purchases.  With the market fundamentals continuing to improve, E&P companies are likely to come under increasing pressure to replenish reserves and secure growing production in the longer-term. Furthermore, many smaller E&P companies which paused spending during the downcycle, will ultimately return to exploration as they move back to a growth agenda. As a result, exploration budgets are likely to increase from the current unsustainably low levels.

TGS is well positioned to benefit from improved market conditions going into 2019, supporting further investment growth. TGS' counter-cyclical investment during the downturn, with high volumes of data acquired at record-low cost, bodes well for continued industry-leading return on capital going forward," TGS' CEO Kristian Johansen stated.

To access TGS Q3 2018 results information, please use the web links below: 


Q3 2018 Presentation and Webcast 
Kristian Johansen (CEO) and Sven Børre Larsen (CFO) will present the results at 09:00 CET at Felix Conference Center, Aker Brygge, 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.

Q3 2018 Conference Call

CEO Kristian Johansen and CFO Sven Børre Larsen will host a conference call on 1 November 2018 at 15:00 CET (10:00 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 2100 2610
  • International attendees are invited to call 0800 358 6377 or +44 (0)330 336 9105
  • US attendees are invited to call +1 800 289 0438 or +1 323 794 2423

Participants will need to quote the following confirmation code when dialing into the conference: 8091241.

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 8091241 followed by # (pound-sign).

A replay of the conference call will also be available at