Polarcus has posted its first net profit in over a year following new project awards and higher earnings.
The Dubai-based seismic shipowner recorded net profit of $0.6m for the second quarter of 2019, compared to a $8.1m loss in the same period last year.
"During the quarter we commenced the industry's largest 4D project in 2019 and were awarded a substantial wide-azimuth project in the Americas," chief executive Duncan Eley said in Polarcus' quarterly report.
The Oslo-listed company brought in $64.8m in revenue during the period, which is $16.4m more than last year.
Likewise, EBITDA has grown from $3.4m in the second quarter 2018 to $16m this year.
Vessel utilisation was 72% during the three-month period, having been impacted by vessel repositioning early in the quarter, Polarcus said.
Brighter Outlook
Polarcus expects to raise its prices for seismic survey work to meet demand from its expanding client base of multi-client companies without vessels.
"As Polarcus becomes one of only three seismic vessel owners operating globally, the marine acquisition segment is positioned to achieve further improved pricing," the company said.
The current oil price is a "positive driver" exploration and production (E&P) spending, which should boost demand for seismic data acquisition from both E&P companies and multi-client companies, Polarcus said.
The company's fleet of seismic vessels is 80% booked for the second half of 2019.
Its secured contract backlog stood at an estimated $200m as of 30 June, compared to $150m at the same time last year.
"Tender activity remains elevated and we expect strong levels of demand to continue," Eley said.
"We look ahead to a third quarter with higher fleet utilisation and associated further improvements to revenue and EBITDA."
