GulfMark Offshore jumps after 3Q beats views

HOUSTON - Shares of GulfMark Offshore Inc., which transports materials, supplies and personnel for the offshore oil industry, jumped Wednesday after it said its third-quarter earnings jumped 45 percent, mostly boosted by growth in a recently acquired segment.

The results also topped Wall Street's expectations. Shares surged $3.03, or 10.7 percent, to $31.42 in afternoon trading.

The company said late Tuesday it earned $45.4 million, or $1.78 per share, compared with $31.2 million, or $1.35 per share, in the third-quarter of 2007.

Revenue soared 67 percent to $124.6 million, from $74.7 million a year earlier.

Analysts were expecting a profit of $1.62 per share on revenue of $119 million, according to a poll by Thomson Reuters.

The company said results were mostly driven by results from the Rigdon Marine Corp., which it bought in July. The acquired business added $34.8 million in third-quarter revenue.

In a note to clients, RBC Capital Markets analyst Victor Marchon called the results "solid," adding that higher day rates for the company's vessels in the North Sea also drove profit in the quarter.

GulfMark Offshore also said it has delayed the delivery date of two newly built vessels because of issues with some equipment components. The vessels, originally scheduled for delivery in the fourth quarter, are not set to be delivered in the first quarter of 2009.

GulfMark added that while it has not seen a decrease in activity because of weakening global economic conditions, it is focusing on securing a "significant" amount of forward contracts and expanding the areas and clients it serves.

Marchon holds a cautious outlook for 2009, predicting the company will earn $6.17 per share, compared with an average consensus estimate of $6.76 per share.

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