Lower Impairments Augment Transocean’s 1Q’16 Earnings; Contract Backlog Continues To Decline

Transocean (NYSE:RIG), an international offshore drilling service provider, reported an improvement in its earnings on a year-on-year basis, despite the ongoing commodity slump. This was largely due to lower impairment charges compared to the same quarter last year. Operationally, it was a tough quarter for the company, as it experienced a notable decline in most of its operational metrics, particularly contract backlog and rig utilization. As a result, the Swiss company continued to witness a drop in its revenue both annually as well as sequentially.

Have more questions about Transocean (NYSE:RIG)? See the links below:

• Plummeting Commodity Prices Likely To Pull Down Transocean’s 1Q’16 Results
• How Is Transocean’s Contract Backlog Correlated To Crude Oil Prices?
• How Will Transocean’s Revenue Move If Crude Oil Prices Average At $50 Per Barrel In 2018?
• How Will Transocean’s Revenue Move If Crude Oil Prices Rebound To $100 Per Barrel By 2018?
• How Has Transocean’s Revenue And EBITDA Changed Over The Last 5 Years?
• How Has Transocean’s Revenue And EBITDA Composition Changed Between 2010 And 2015?
• What Was Transocean’s Revenue And EBITDA Composition In 2015?
• Transocean’s Earnings Suffer Due To Weak Drilling Demand; Diminishing Backlog Likely To Cause Further Damage
• What To Expect From Transocean’s 2015 Financial Results?

Notes:

1) The purpose of these analyses is to help readers focus on a few important things. We hope such lean communication sparks thinking, and encourages readers to comment and ask questions on the comment section, or email content@trefis.com

2) Figures mentioned are approximate values to help our readers remember the key concepts more intuitively. For precise figures, please refer to our complete analysis for Transocean

View Interactive Institutional Research (Powered by Trefis):

Global Large Cap | U.S. Mid & Small Cap | European Large & Mid Cap

More Trefis Research