Viridien · EURONEXT:VIRI

Viridien — CGG — Q1 2016 Earnings Presentation

18 slides from Viridien's earnings presentation, 2016

  1. Slide 1: Q1 2016 Financial Results

    Q1 2016 Financial Results Quarterly results strongly impacted by very low volumes Transformation Plan on track and strong cash generation All results are presented before Non-Recurring Charges & write-off, unless stated otherwise

  2. Slide 2: Forward-Looking Statements

    Forward-Looking Statements This presentation contains forward-looking statements, including, without limitation, statements about CGG (“the Company”) plans, strategies and prospects. These forward-looking statements are subject to risks and uncertainties that may change at any time, and, therefore,

  3. Slide 3: Q1 2016 Financial Highlights

    Q1 2016 Financial Highlights  In a depressed market environment, CGG delivered a weak operating income  Revenue at $313m, down 45% y-o-y and Operating Income at $(81)m  GGR: very low multi-client revenue after strong Q4, margin impacted by high amortization rate and low after-sales  Equipment: s

  4. Slide 4: Q1 2016 Operational Highlights

    Q1 2016 Operational Highlights  Multi-Client  25% of fleet dedicated to multi-client production in Q1, notably active in Brazil  Fleet dedicated to multi-client expected to be 70% in Q2 and 60% in Q3  SI & Reservoir  Successful delivery of the first large high-density broadband integrated surve

  5. Slide 5: Operational Review

    Operational Review Passion for Geoscience « CGG

  6. Slide 6: GGR: Profitability impacted by low volumes and weak Multi-Client after-sales

    GGR: Profitability impacted by low volumes and weak Multi-Client after-sales  Total revenue at $164m, down (31)% y-o-y GGR Revenue (In million $)  25% of fleet dedicated to multi-client production MC Revenue  Multi-Client at $55m, down (44)% y-o-y SI & Reservoir 385  Prefunding sales at $47m, up

  7. Slide 7: Equipment: Strongly impacted by very low volumes

    Equipment: Strongly impacted by very low volumes Revenue  Total sales at $73m, down (42)% y-o-y Land Equipment (In million $)  Particularly low volumes in Q1 Marine Equipment 125  72% Land and 28% Marine equipment 103  Internal sales at $11m, stable 54 27 73  EBITDAs at $(1)m 21  Operating inc

  8. Slide 8: Contractual Data Acquisition: Weak market conditions, Perimeter effects & Transformation Plan implementation

    Contractual Data Acquisition: Weak market conditions, Perimeter effects & Transformation Plan implementation  Total revenue at $89m, down (59)% y-o-y Contractual Data Acquisition Revenue (In million $) Land & MP  Marine revenue at $58m, down (66)% y-o-y Marine 219  75% dedicated to contractual ma

  9. Slide 9: Non-Operated Resources (N.O.R)

    Non-Operated Resources (N.O.R)  EBITDAs at $(10)m Non-Operated Resources OPINC (In million $)  Operating Income at $(27)m Q1 2015 (1) Q4 2015 Q1 2016  Amortization of excess streamers and lay-up (3) costs (14)  Gradual cold-stacking of vessels negatively (27) impacting operating income (1) New r

  10. Slide 10: Financial Review

    Financial Review Passion for Geoscience « CGG

  11. Slide 11: Q1 2016: P&L

    Q1 2016: P&L In Million $ Q1 2016 Total Revenue 313 Group EBITDAs excluding NOR 37 NOR (10) Group EBITDAs 27 Group OPINC excluding NOR (54) NOR (27) Group OPINC (81) Equity from Investments 5 Non-recurring charges (6) Net financial costs (41) Taxes (6) Net Income (130)  Group EBITDAs at $27m, EBITD

  12. Slide 12: Q1 2016: Strong cash generation

    Q1 2016: Strong cash generation EBITDAs (In million $)  EBITDAs at $27m, down (81)% y-o-y 282  Operating Cash Flow at $238m, up 105% y-o-y 145  Not including $(42)m non-recurring payments related to the Transformation Plan 25.5% 47.8% 27 8.7%  Capex at $88m, down (20)% y-o-y Q1 2015 Q4 2015 Q1 2

  13. Slide 13: Debt profile: No major debt instalment before 2019

    Debt profile: No major debt instalment before 2019  €/$ closing rate at 1.14  Average Maturity, excluding RCF, at 4.2 years as of end March 2016  Average cost of debt, excluding RCF, at 5.4%  $275m French RCF extended to June 2018 13

  14. Slide 14: Strong liquidity and stable leverage ratio

    Strong liquidity and stable leverage ratio Liquidity by end March  Group Liquidity (available cash plus undrawn RCF) at $853m  Post c.$370m net proceeds of the rights issue  US & French RCF fully undrawn by end of March RCF Covenant Headroom  Group Net Debt at $2,102m as of March 2016 from $2,50

  15. Slide 15: Conclusion

    Conclusion Passion for Geoscience ec G G

  16. Slide 16: Geoscience Solutions at all scales: A dynamic transformation focused on less capital-intensive businesses

    Geoscience Solutions at all scales : A dynamic transformation focused on less capital-intensive businesses Petroleum reservoir engineering Reservoir modeling Reservoir field and history matching development studies Well log interpretation Seismic reservoir characterization Seismic Licensing round Ac

  17. Slide 17: Focus on Transformation Plan Execution and Cash Generation

    Focus on Transformation Plan Execution and Cash Generation  A depressed Oil & Gas environment  Unprecedented sequence of E&P investment cuts  Q1 2016 turned out to be one of the weakest ever  High uncertainties and volatility remaining  Increasing evidence of a supply and demand mid-term tighte

  18. Slide 18: Thank you

    Passion for Geoscience ec G G cgg.com

CGG — Q1 2016 Earnings Presentation on 6ix