Pacific Drilling kondigt resultaten vierde kwartaal en het volledige jaar 2018 aan
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- Pacific Bora contract verlengd met Nigeriaanse Agip Exploration Limited, een dochteronderneming van Eni
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- Total E&P Senegal sluit contract met the Pacific Santa Ana
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- Chevron breidt contract met the Pacific Sharav Golf van Mexico uit
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- Revenue efficiency van 99.8% voor vierde kwartaal en 97.8% voor heel 2018
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- Pacific Drilling Board en aandeelhouders akkoord met $15 miljoen aandeleninkoop.
LUXEMBOURG-(BUSINESS WIRE)- Pacific Drilling S.A. (NYSE: PACD) (“Pacific Drilling” of het ,,Bedrijf”) heeft vandaag resultaten voor het vierde kwartaal 2018 bekendgemaakt. Pacific Drilling CEO Bernie Wolford becommentarieerd: ,,Hoewel de marktcondities een uitdaging blijven, leverden wij uitzonderlijke operationele prestaties met 99.8% opbrengstefficiency voor het kwartaal. Het Pacific Drilling team blijft erkend worden door klanten van wereldklasse voor ons vermogen om toonaangevende operationele prestaties te leveren.
Pacific Drilling Announces Fourth-Quarter and Full-Year 2018 Results
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- Pacific Bora contract extended by Nigerian Agip Exploration Limited, a subsidiary of Eni
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- Total E&P Senegal contracted the Pacific Santa Ana
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- Chevron extends the Pacific Sharav contract in the US Gulf of Mexico
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- Revenue efficiency of 99.8% for the fourth quarter and 97.8% for the full year 2018
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- Pacific Drilling Board and Shareholders approved $15 million share repurchase program
LUXEMBOURG–(BUSINESS WIRE)– Pacific Drilling S.A. (NYSE: PACD) (“Pacific Drilling” or the “Company”) today reported results for the fourth quarter of 2018.
Pacific Drilling CEO Bernie Wolford commented, “Although market conditions continue to be challenging, we delivered exceptional operational performance with 99.8% revenue efficiency for the quarter. The Pacific Drilling team continues to be recognized by world-class clients for our ability to deliver industry-leading operational performance. Pacific Bora’s work in Nigeria was extended by Nigerian Agip Exploration Limited, a subsidiary of Eni, Pacific Sharav’s work in the U.S. Gulf of Mexico was extended by Chevron and Pacific Santa Ana secured new work with Total E&P Senegal in Senegal. Although current dayrates remain challenging, we see an increase in contracting activity compared to 2018. We remain focused on securing additional backlog for our currently operating fleet of three rigs and believe we will have several opportunities to contract one of our smart-stacked rigs before year-end.”
Mr. Wolford continued, “Following our emergence from Chapter 11 on November 19, our leadership team placed heightened emphasis on cost control and G&A process optimization while ensuring that we continue to deliver the level of high-quality drilling services for which Pacific Drilling has become recognized in our industry. Cost reductions as a result of the organizational and process changes made will extend the benefits of our recapitalization and result in better margins as the market for deepwater drilling services improves.”
Fourth-Quarter 2018 Operational and Financial Commentary
Fourth-quarter 2018 contract drilling revenue was $59.6 million, which included $2.9 million of deferred revenue amortization. This compared to third-quarter 2018 contract drilling revenue of $56.7 million, which included $5.3 million of deferred revenue amortization. The increase in revenue resulted primarily from the Pacific Bora commencing its contract with Nigerian Agip Exploration Limited, a subsidiary of Eni.
Operating expenses for the fourth-quarter 2018 were $44.8 million compared to $44.2 million in the third-quarter 2018.
General and administrative expenses for the fourth quarter were $13.8 million, as compared to $10.9 million for the third-quarter 2018. The increase in general and administrative expenses was partially due to severance costs for two former members of executive management.
Upon emergence from bankruptcy on November 19, 2018 (“Plan Effective Date”), we adopted and applied the relevant guidance with respect to the accounting and financial reporting for entities that have emerged from bankruptcy proceedings, or “Fresh Start Accounting.” Under Fresh Start Accounting, our balance sheet on the Plan Effective Date reflects all of our assets and liabilities at fair value. We refer to the Company as the “Successor” for periods subsequent to November 19, 2018 and as the “Predecessor” for periods on or prior to November 19, 2018.
Net loss for the fourth-quarter 2018 was $1.8 billion, including $1,744.9 million of reorganization items of the Predecessor, of which ($2,514.1) million related to Fresh Start Accounting adjustments and $794.2 million resulted from gains on settlement of liabilities subject to compromise.
Adjusted EBITDA(a) for the fourth-quarter 2018 was $3.3 million, compared to $1.6 million in the third-quarter 2018.
Footnotes
| (a) | EBITDA and Adjusted EBITDA are non-GAAP financial measures. For a definition of EBITDA and Adjusted EBITDA and a reconciliation to net income, please refer to the schedule included in this release. Management uses this operational metric to track company results and believes that this measure provides additional information that highlights the impact of our operating efficiency as well as the operating and support costs incurred in achieving the revenue performance. |
2019 Guidance
A schedule of Pacific Drilling’s 2019 guidance as of March 11, 2019 is available in the “Quarterly and Annual Results” subsection of the “Investor Relations” section of our website, www.pacificdrilling.com.
Conference Call
Pacific Drilling will conduct a conference call at 10 a.m. Central time on Tuesday, March 12, 2019 to discuss fourth-quarter and full-year 2018 results. To participate in the March 12 call, please dial 1-800-479-1004 or +1 720-543-0206 and refer to confirmation code 1768290 five to 10 minutes prior to the scheduled start time. A replay of the call will be available on the company’s website or by dialing +1-888-203-1112 within North America or +1-719-457-0820 outside of North America and providing confirmation code 1768290.
About Pacific Drilling
With its best-in-class drillships and highly experienced team, Pacific Drilling is committed to becoming the industry’s preferred high-specification, deepwater drilling contractor. Pacific Drilling’s fleet of seven drillships represents one of the youngest and most technologically advanced fleets in the world. Pacific Drilling has principal offices in Luxembourg and Houston. For more information about Pacific Drilling, including our current Fleet Status, please visit our website at www.pacificdrilling.com.
Forward-Looking Statements
Certain statements and information contained in this press release constitute “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, and are generally identifiable by their use of words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “forecast,” “intend,” “our ability to,” “may,” “plan,” “potential,” “predict,” “project,” “projected,” “should,” “will,” “would”, or other similar words which are not generally historical in nature. The forward-looking statements speak only as of the date hereof, and we undertake no obligation to publicly update or revise any forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise.
Our forward-looking statements express our current expectations or forecasts of possible future results or events, including future financial and operational performance and cash balances; revenue efficiency levels; market outlook; forecasts of trends; future client contract opportunities; future contract dayrates; our business strategies and plans or objectives of management; estimated duration of client contracts; backlog; expected capital expenditures; projected costs and savings; and the potential impact of our completed Chapter 11 proceedings on our future operations and ability to finance our business.
Although we believe that the assumptions and expectations reflected in our forward-looking statements are reasonable and made in good faith, these statements are not guarantees, and actual future results may differ materially due to a variety of factors. These statements are subject to a number of risks and uncertainties and are based on a number of judgments and assumptions as of the date such statements are made about future events, many of which are beyond our control. Actual events and results may differ materially from those anticipated, estimated, projected or implied by us in such statements due to a variety of factors, including if one or more of these risks or uncertainties materialize, or if our underlying assumptions prove incorrect.
Important factors that could cause actual results to differ materially from our expectations include: the global oil and gas market and its impact on demand for our services; the offshore drilling market, including reduced capital expenditures by our clients; changes in worldwide oil and gas supply and demand; rig availability and supply and demand for high-specification drillships and other drilling rigs competing with our fleet; costs related to stacking of rigs; our ability to enter into and negotiate favorable terms for new drilling contracts or extensions; our ability to successfully negotiate and consummate definitive contracts and satisfy other customary conditions with respect to letters of intent and letters of award that we receive for our drillships; possible cancellation, renegotiation, termination or suspension of drilling contracts as a result of mechanical difficulties, performance, market changes or other reasons; our ability to execute our business plans; the effects of our completed Chapter 11 proceedings on our future operations; and the other risk factors described in our Registration Statement on Form F-1 filed with the SEC on December 18, 2018 and our Current Reports on Form 6-K. These documents are available through our website at www.pacificdrilling.com or through the SEC’s website at www.sec.gov.
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PACIFIC DRILLING S.A. AND SUBSIDIARIES
Condensed Consolidated Statements of Operations (in thousands, except per share information) (unaudited) |
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| Successor | Predecessor | Successor | Predecessor | |||||||||||||||||||||||||||||
| Period from | Period from | Three | Three | Period from | Period from | |||||||||||||||||||||||||||
| November 20, | October 1, | Months | Months | November 20, | January 1, | Year | Year | |||||||||||||||||||||||||
| through | through | Ended | Ended | through | through | Ended | Ended | |||||||||||||||||||||||||
| December 31, | November 19, | September 30, | December 31, | December 31, | November 19, | December 31, | December 31, | |||||||||||||||||||||||||
| 2018 | 2018 | 2018 | 2017 | 2018 | 2018 | 2017 | 2016 | |||||||||||||||||||||||||
| Revenues | ||||||||||||||||||||||||||||||||
| Contract drilling | $ | 28,489 | $ | 31,073 | $ | 56,673 | $ | 65,024 | $ | 28,489 | $ | 236,379 | $ | 319,716 | $ | 769,472 | ||||||||||||||||
| Costs and expenses | ||||||||||||||||||||||||||||||||
| Operating expenses | (19,744 | ) | (25,050 | ) | (44,234 | ) | (59,728 | ) | (19,744 | ) | (189,606 | ) | (244,089 | ) | (290,038 | ) | ||||||||||||||||
| General and administrative expenses | (4,245 | ) | (9,572 | ) | (10,947 | ) | (22,448 | ) | (4,245 | ) | (50,604 | ) | (87,134 | ) | (63,379 | ) | ||||||||||||||||
| Depreciation and amortization expense | (27,277 | ) | (38,187 | ) | (70,125 | ) | (69,894 | ) | (27,277 | ) | (248,302 | ) | (278,949 | ) | (275,901 | ) | ||||||||||||||||
| (51,266 | ) | (72,809 | ) | (125,306 | ) | (152,070 | ) | (51,266 | ) | (488,512 | ) | (610,172 | ) | (629,318 | ) | |||||||||||||||||
| Operating income (loss) | (22,777 | ) | (41,736 | ) | (68,633 | ) | (87,046 | ) | (22,777 | ) | (252,133 | ) | (290,456 | ) | 140,154 | |||||||||||||||||
| Other income (expense) | ||||||||||||||||||||||||||||||||
| Interest expense | (10,904 | ) | (29,046 | ) | (45,446 | ) | (27,438 | ) | (10,904 | ) | (106,632 | ) | (178,983 | ) | (189,044 | ) | ||||||||||||||||
| Write-off of deferred financing costs | — | — | — | — | — | — | (30,846 | ) | — | |||||||||||||||||||||||
| Gain on debt extinguishment | — | — | — | — | — | — | — | 36,233 | ||||||||||||||||||||||||
| Reorganization items | (1,300 | ) | (1,743,556 | ) | (30,599 | ) | (6,474 | ) | (1,300 | ) | (1,799,664 | ) | (6,474 | ) | — | |||||||||||||||||
| Interest income | 1,008 | 428 | 1,019 | 895 | 1,008 | 3,148 | 2,717 | 362 | ||||||||||||||||||||||||
| Equity earnings in unconsolidated subsidiaries | 392 | — | — | — | 392 | — | — | — | ||||||||||||||||||||||||
| Expenses to unconsolidated subsidiaries, net | (1,198 | ) | — | — | — | (1,198 | ) | — | — | — | ||||||||||||||||||||||
| Other income (expense) | 526 | 350 | (923 | ) | (899 | ) | 526 | (1,904 | ) | (8,261 | ) | (2,755 | ) | |||||||||||||||||||
| Loss before income taxes | (34,253 | ) | (1,813,560 | ) | (144,582 | ) | (120,962 | ) | (34,253 | ) | (2,157,185 | ) | (512,303 | ) | (15,050 | ) | ||||||||||||||||
| Income tax (expense) benefit | 6,769 | 3,261 | (201 | ) | (8,770 | ) | 6,769 | 2,308 | (12,863 | ) | (22,107 | ) | ||||||||||||||||||||
| Net loss | $ | (27,484 | ) | $ | (1,810,299 | ) | $ | (144,783 | ) | $ | (129,732 | ) | $ | (27,484 | ) | $ | (2,154,877 | ) | $ | (525,166 | ) | $ | (37,157 | ) | ||||||||
| Loss per common share, basic | $ | (0.37 | ) | $ | (84.72 | ) | $ | (6.78 | ) | $ | (6.08 | ) | $ | (0.37 | ) | $ | (100.89 | ) | $ | (24.64 | ) | $ | (1.76 | ) | ||||||||
| Weighted average number of common shares, basic | 75,010 | 21,368 | 21,368 | 21,338 | 75,010 | 21,359 | 21,315 | 21,167 | ||||||||||||||||||||||||
| Loss per common share, diluted | $ | (0.37 | ) | $ | (84.72 | ) | $ | (6.78 | ) | $ | (6.08 | ) | $ | (0.37 | ) | $ | (100.89 | ) | $ | (24.64 | ) | $ | (1.76 | ) | ||||||||
| Weighted average number of common shares, diluted | 75,010 | 21,368 | 21,368 | 21,338 | 75,010 | 21,359 | 21,315 | 21,167 | ||||||||||||||||||||||||
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PACIFIC DRILLING S.A. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets (in thousands) (unaudited) |
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| Successor | Predecessor | ||||||||||||||
| December 31, | September 30, | December 31, | |||||||||||||
| 2018 | 2018 | 2017 | |||||||||||||
| Assets: | |||||||||||||||
| Cash and cash equivalents | $ | 367,577 | $ | 199,459 | $ | 308,948 | |||||||||
| Restricted cash | 21,498 | 1,032,691 | 8,500 | ||||||||||||
| Accounts receivable, net | 40,549 | 34,977 | 40,909 | ||||||||||||
| Other receivable | 28,000 | — | — | ||||||||||||
| Materials and supplies | 40,429 | 84,299 | 87,332 | ||||||||||||
| Deferred costs, current | 482 | 11,623 | 14,892 | ||||||||||||
| Prepaid expenses and other current assets | 8,667 | 10,214 | 14,774 | ||||||||||||
| Total current assets | 507,202 | 1,373,263 | 475,355 | ||||||||||||
| Property and equipment, net | 1,915,172 | 4,456,043 | 4,652,001 | ||||||||||||
| Long-term receivable | — | 202,575 | 202,575 | ||||||||||||
| Receivable from unconsolidated subsidiaries | 204,790 | — | — | ||||||||||||
| Intangible asset | 85,053 | — | — | ||||||||||||
| Investment in unconsolidated subsidiaries | 11,876 | — | — | ||||||||||||
| Other assets | 24,120 | 26,742 | 33,030 | ||||||||||||
| Total assets | $ | 2,748,213 | $ | 6,058,623 | $ | 5,362,961 | |||||||||
| Liabilities and shareholders’ equity: | |||||||||||||||
| Accounts payable | $ | 14,941 | $ | 14,937 | $ | 11,959 | |||||||||
| Accrued expenses | 25,744 | 56,187 | 36,174 | ||||||||||||
| Accrued interest | 16,576 | 32,534 | 6,088 | ||||||||||||
| Deferred revenue, current | — | 19,136 | 23,966 | ||||||||||||
| Total current liabilities | 57,261 | 172,794 | 78,187 | ||||||||||||
| Long-term debt, net of current maturities | 1,039,335 | 961,091 | — | ||||||||||||
| Payable to unconsolidated subsidiaries | 4,400 | — | — | ||||||||||||
| Deferred revenue | — | — | 12,973 | ||||||||||||
| Other long-term liabilities | 28,259 | 30,494 | 32,323 | ||||||||||||
| Total liabilities not subject to compromise | 1,129,255 | 1,164,379 | 123,483 | ||||||||||||
| Liabilities subject to compromise | — | 3,084,836 | 3,087,677 | ||||||||||||
| Shareholders’ equity: | |||||||||||||||
| Common shares | 750 | 214 | 213 | ||||||||||||
| Additional paid-in capital | 1,645,692 | 2,368,070 | 2,366,464 | ||||||||||||
| Accumulated other comprehensive loss | — | (13,915 | ) | (14,493 | ) | ||||||||||
| Accumulated deficit | (27,484 | ) | (544,961 | ) | (200,383 | ) | |||||||||
| Total shareholders’ equity | 1,618,958 | 1,809,408 | 2,151,801 | ||||||||||||
| Total liabilities and shareholders’ equity | $ | 2,748,213 | $ | 6,058,623 | $ | 5,362,961 | |||||||||
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PACIFIC DRILLING S. A. AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows (in thousands) (unaudited) |
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| Successor | Predecessor | Successor | Predecessor | ||||||||||||||||||||||||||||||
| Period from | Period from | ||||||||||||||||||||||||||||||||
| November | Period from | Three | Three | November | Period from | ||||||||||||||||||||||||||||
| 20, | October 1, | Months | Months | 20, | January 1, | Year | Year | ||||||||||||||||||||||||||
| through | through | Ended | Ended | through | through | Ended | Ended | ||||||||||||||||||||||||||
| December | November | September | December | December | November | December | December | ||||||||||||||||||||||||||
| 31, | 19, | 30, | 31, | 31, | 19, | 31, | 31, | ||||||||||||||||||||||||||
| 2018 | 2018 | 2018 | 2017 | 2018 | 2018 | 2017 | 2016 | ||||||||||||||||||||||||||
| Cash flow from operating activities: | |||||||||||||||||||||||||||||||||
| Net loss | $ | (27,484 | ) | $ | (1,810,299 | ) | $ | (144,783 | ) | $ | (129,732 | ) | $ | (27,484 | ) | $ | (2,154,877 | ) | $ | (525,166 | ) | $ | (37,157 | ) | |||||||||
| Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | |||||||||||||||||||||||||||||||||
| Depreciation and amortization expense | 27,277 | 38,187 | 70,125 | 69,894 | 27,277 | 248,302 | 278,949 | 275,901 | |||||||||||||||||||||||||
| Amortization of deferred revenue | — | (2,890 | ) | (5,319 | ) | (5,145 | ) | — | (20,212 | ) | (46,829 | ) | (67,053 | ) | |||||||||||||||||||
| Amortization of deferred costs | 128 | 1,645 | 2,976 | 3,080 | 128 | 13,882 | 11,689 | 13,945 | |||||||||||||||||||||||||
| Amortization of deferred financing costs | — | 1,639 | — | — | — | 1,639 | 24,889 | 18,786 | |||||||||||||||||||||||||
| Amortization of debt premium, net | (38 | ) | — | — | — | (38 | ) | — | 940 | 1,279 | |||||||||||||||||||||||
| Interest paid-in-kind | 3,732 | 4,477 | 456 | — | 3,732 | 4,933 | — | — | |||||||||||||||||||||||||
| Write-off of deferred financing costs | — | — | — | — | — | — | 30,846 | — | |||||||||||||||||||||||||
| Deferred income taxes | (6,507 | ) | 7,172 | (661 | ) | 7,497 | (6,507 | ) | 4,103 | 7,409 | 15,494 | ||||||||||||||||||||||
| Share-based compensation expense | 599 | 932 | 440 | 781 | 599 | 2,543 | 6,819 | 7,094 | |||||||||||||||||||||||||
| Gain on debt extinguishment | — | — | — | — | — | — | — | (36,233 | ) | ||||||||||||||||||||||||
| Other-than-temporary impairment of available-for-sale securities | — | — | — | 682 | — | — | 6,829 | — | |||||||||||||||||||||||||
| Reorganization items | — | 1,724,494 | 15,393 | 5,315 | — | 1,746,764 | 5,315 | — | |||||||||||||||||||||||||
| Changes in operating assets and liabilities: | |||||||||||||||||||||||||||||||||
| Accounts receivable | (11,670 | ) | 6,096 | 2,616 | (4,548 | ) | (11,670 | ) | 12,028 | 53,713 | 73,428 | ||||||||||||||||||||||
| Materials and supplies | (122 | ) | 499 | 1,078 | 1,999 | (122 | ) | 3,532 | 6,187 | 2,564 | |||||||||||||||||||||||
| Prepaid expenses and other assets | (11,177 | ) | (39,254 | ) | 2,421 | (10,327 | ) | (11,177 | ) | (32,962 | ) | (20,457 | ) | (29,276 | ) | ||||||||||||||||||
| Accounts payable and accrued expenses | (16,490 | ) | (20,808 | ) | 29,751 | 20,472 | (16,490 | ) | (10,096 | ) | 38,214 | (24,843 | ) | ||||||||||||||||||||
| Deferred revenue | — | — | — | 3,056 | — | (481 | ) | 5,780 | 35,175 | ||||||||||||||||||||||||
| Net cash provided by (used in) operating activities | (41,752 | ) | (88,110 | ) | (25,507 | ) | (36,976 | ) | (41,752 | ) | (180,902 | ) | (114,873 | ) | 249,104 | ||||||||||||||||||
| Cash flow from investing activities: | |||||||||||||||||||||||||||||||||
| Capital expenditures | (2,697 | ) | (3,544 | ) | (4,292 | ) | (3,883 | ) | (2,697 | ) | (18,624 | ) | (36,645 | ) | (52,625 | ) | |||||||||||||||||
| Deconsolidation of Zonda Debtors | — | (4,910 | ) | — | — | — | (4,910 | ) | — | — | |||||||||||||||||||||||
| Purchase of available-for-sale securities | — | — | — | — | — | — | (6,000 | ) | — | ||||||||||||||||||||||||
| Net cash used in investing activities | (2,697 | ) | (8,454 | ) | (4,292 | ) | (3,883 | ) | (2,697 | ) | (23,534 | ) | (42,645 | ) | (52,625 | ) | |||||||||||||||||
| Cash flow from financing activities: | |||||||||||||||||||||||||||||||||
| Payments for shares issued under share-based compensation plan | (126 | ) | — | — | — | (126 | ) | (4 | ) | (199 | ) | (89 | ) | ||||||||||||||||||||
| Proceeds from debtor-in-possession financing | — | — | 50,000 | — | — | 50,000 | — | — | |||||||||||||||||||||||||
| Payments for debtor-in-possession financing | — | (50,000 | ) | — | — | — | (50,000 | ) | — | — | |||||||||||||||||||||||
| Proceeds from long-term debt | — | — | 1,000,000 | — | — | 1,000,000 | — | 450,000 | |||||||||||||||||||||||||
| Payments on long-term debt | — | (1,136,478 | ) | — | — | — | (1,136,478 | ) | (146,473 | ) | (110,832 | ) | |||||||||||||||||||||
| Proceeds from equity offerings | — | 500,000 | — | — | — | 500,000 | — | — | |||||||||||||||||||||||||
| Payments for financing costs | (13,525 | ) | (1,933 | ) | (27,422 | ) | — | (13,525 | ) | (29,355 | ) | (4,530 | ) | (25,423 | ) | ||||||||||||||||||
| Net cash provided by (used in) financing activities | (13,651 | ) | (688,411 | ) | 1,022,578 | — | (13,651 | ) | 334,163 | (151,202 | ) | 313,656 | |||||||||||||||||||||
| Increase (decrease) in cash and cash equivalents | (58,100 | ) | (784,975 | ) | 992,779 | (40,859 | ) | (58,100 | ) | 129,727 | (308,720 | ) | 510,135 | ||||||||||||||||||||
| Cash, cash equivalents and restricted cash, beginning of period | 447,175 | 1,232,150 | 239,371 | 358,307 | 447,175 | 317,448 | 626,168 | 116,033 | |||||||||||||||||||||||||
| Cash, cash equivalents and restricted cash, end of period | $ | 389,075 | $ | 447,175 | $ | 1,232,150 | $ | 317,448 | $ | 389,075 | $ | 447,175 | $ | 317,448 | $ | 626,168 | |||||||||||||||||
EBITDA and Adjusted EBITDA Reconciliation
EBITDA is defined as earnings before interest expense, taxes, depreciation and amortization. Adjusted EBITDA is defined as earnings before interest expense, taxes, depreciation, amortization, other-than-temporary impairment of available-for-sale securities, write-off of deferred financing costs, gain on debt extinguishment, equity earnings in unconsolidated subsidiaries, expenses to unconsolidated subsidiaries, net and reorganization items. EBITDA and Adjusted EBITDA do not represent and should not be considered an alternative to net income, operating income, cash flow from operations or any other measure of financial performance presented in accordance with U.S. generally accepted accounting principles (“GAAP”) and our calculation of EBITDA and Adjusted EBITDA may not be comparable to that reported by other companies. EBITDA and Adjusted EBITDA are included herein because they are used by management to measure the Company’s operations. Management believes that EBITDA and Adjusted EBITDA present useful information to investors regarding the Company’s operating performance.
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PACIFIC DRILLING S.A. AND SUBSIDIARIES
Supplementary Data—Reconciliation of Net Loss to Non-GAAP EBITDA and Adjusted EBITDA (in thousands) (unaudited) |
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| Successor | Predecessor | Successor | Predecessor | ||||||||||||||||||||||||||||||
| Period from | Period from | Three | Three | Period from | Period from | ||||||||||||||||||||||||||||
| November 20, | October 1, | Months | Months | November 20, | January 1, | Year | Year | ||||||||||||||||||||||||||
| through | through | Ended | Ended | through | through | Ended | Ended | ||||||||||||||||||||||||||
| December 31, | November 19, | September 30, | December 31, | December 31, | November 19, | December 31, | December 31, | ||||||||||||||||||||||||||
| 2018 | 2018 | 2018 | 2017 | 2018 | 2018 | 2017 | 2016 | ||||||||||||||||||||||||||
| Net loss | $ | (27,484 | ) | $ | (1,810,299 | ) | $ | (144,783 | ) | $ | (129,732 | ) | $ | (27,484 | ) | $ | (2,154,877 | ) | $ | (525,166 | ) | $ | (37,157 | ) | |||||||||
| Add: | |||||||||||||||||||||||||||||||||
| Interest expense | 10,904 | 29,046 | 45,446 | 27,438 | 10,904 | 106,632 | 178,983 | 189,044 | |||||||||||||||||||||||||
| Depreciation and amortization expense | 27,277 | 38,187 | 70,125 | 69,894 | 27,277 | 248,302 | 278,949 | 275,901 | |||||||||||||||||||||||||
| Income tax expense (benefit) | (6,769 | ) | (3,261 | ) | 201 | 8,770 | (6,769 | ) | (2,308 | ) | 12,863 | 22,107 | |||||||||||||||||||||
| EBITDA | $ | 3,928 | $ | (1,746,327 | ) | $ | (29,011 | ) | $ | (23,630 | ) | $ | 3,928 | $ | (1,802,251 | ) | $ | (54,371 | ) | $ | 449,895 | ||||||||||||
| Add (subtract): | |||||||||||||||||||||||||||||||||
| Other-than-temporary impairment of available-for-sale securities | — | — | — | 682 | — | — | 6,829 | — | |||||||||||||||||||||||||
| Write-off of deferred financing costs | — | — | — | — | — | 30,846 | — | ||||||||||||||||||||||||||
| Gain on debt extinguishment | — | — | — | — | — | — | — | (36,233 | ) | ||||||||||||||||||||||||
| Equity earnings in unconsolidated subsidiaries | (392 | ) | — | — | — | (392 | ) | — | — | — | |||||||||||||||||||||||
| Expenses to unconsolidated subsidiaries, net | 1,198 | — | — | — | 1,198 | — | — | — | |||||||||||||||||||||||||
| Reorganization items | 1,300 | 1,743,556 | 30,599 | 6,474 | 1,300 | 1,799,664 | 6,474 | — | |||||||||||||||||||||||||
| Adjusted EBITDA | $ | 6,034 | $ | (2,771 | ) | $ | 1,588 | $ | (16,474 | ) | $ | 6,034 | $ | (2,587 | ) | $ | (10,222 | ) | $ | 413,662 | |||||||||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20190311005795/en/
Contacts
Investor Contact:
Johannes (John) P. Boots
Pacific Drilling S.A.
+713 334 6662
Investor@pacificdrilling.com
Media Contact:
Amy L. Roddy
Pacific Drilling S.A.
+713 334 6662
Media@pacificdrilling.com