OSLO, Norway (10 October 2022) - Based on preliminary reporting from operating units, TGS management expects net revenues for Q3 2022 to be approximately USD 135 million, compared to USD 200 million in Q3 2021. Net POC revenues* are expected to be approximately USD 119 million, compared to USD 61 million in Q3 2021.
Kristian Johansen, CEO at TGS, commented: “With approximately half of revenues made up by late sales, the strong underlying development from the first half of the year continued in the third quarter. Furthermore, I’m pleased to see that cash flow remains robust. The net cash position was close to USD 200 million on 30 September, despite the proceeds for the ION and Prediktor transactions being paid during the quarter.”
TGS will release its Q3 2022 results at approximately 07:00 CEST on 27 October 2022. CEO Kristian Johansen and CFO Sven Børre Larsen will present the results at CEST 09:00 at House of Oslo (the auditorium), Ruseløkkveien 34, 0251 Oslo. The presentation is open to the public and can be followed live on www.tgs.com. Access and registration for online attendees is available by copying and pasting this link into your browser: https://channel.royalcast.com/landingpage/hegnarmedia/20221027_9/
The slides from the presentation will also be available in PDF format at both the TGS and Oslo Stock Exchange websites.
*For the purpose of POC revenues, multiclient revenues committed prior to completion of projects are recognized on a percentage of completion (“POC”) basis. This differs from IFRS reporting where revenues committed prior to completion are recognized when the customers receive access to the finished data.
Adjustments between preliminary IFRS and Segment revenue numbers for Q3 2022:
Preliminary IFRS reported revenue: USD 135 million
- Revenue recognized from performance obligations met during Q3 for completed projects: USD 55 million
+ Revenue recognized under POC during Q3: USD 39 million
= Preliminary net segment reported revenue: USD 118 million
TGS provides scientific data, data-driven solutions and intelligence to companies active in the energy sector. In addition to a global, extensive and diverse energy data library, TGS offers specialized services such as advanced processing and analytics alongside cloud-based data applications and solutions.
Forward Looking Statement
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, as well as volatile market conditions, which have been exacerbated by the COVID-19 pandemic and the severe drop in oil prices. 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.
For further information, please contact:
CFO Sven Børre Larsen
Tel.: +47 90 94 36 73