SCHIEDAM, Netherlands, Nov. 14, 2013 (GLOBE NEWSWIRE) --
STRONG REVENUE GROWTH AND RECORD BACKLOG Highlights * Year-to-date 2013 Directional(1) revenues up 25% to US$2.6 billion, IFRS revenues up 40% to US$3.4 billion * FPSO Stones adds US$2.1 billion to Directional(1) Backlog which at US$24.4 billion is highest in company history * FPSO OSX 2 delivered and paid as per contract * FPSO Cidade de Paraty successfully achieved contract milestone for start-up of gas compression and processing * Deep Panuke MOPU in production since August although Production Acceptance Notice (PAN) delayed Bruno Chabas, CEO of SBM Offshore commented: "This has been a period of encouragingly strong growth. The benefits of strategic focus and cultural change are beginning to emerge, recognizing we are still in a transformation phase. We are working as a team, staying close to our clients and bringing our project skills and technology leadership to bear in meeting their challenges Financial Highlights Year-to-date 2013 Directional(1) revenue totalled US$2,573 million versus US$2,062 million in the year-ago period. Directional(1 )Lease & Operate and Turnkey segment revenues came in at US$814 million and US$1,759 million, up 17% and 29% respectively. Year-to-date 2013 IFRS revenue totalled US$3,428 million versus US$2,442 million in the year-ago period. Showing strong year-over-year improvements, IFRS Lease & Operate and Turnkey segment revenues came in at US$770 million and US$2,658 million, up 16% and 49% respectively. The substantial difference between IFRS and Directional(1) revenue is largely attributable to the elimination of the revenue recognized under IFRS on the finance lease projects Cidade de Ilhabela, Cidade de Paraty, N'Goma and Cidade de Maricá & Saquarema. All of these lease contracts are treated under IAS 17 as outright sales projects with deferred payments. Net debt as of September 30, 2013 amounted to US$2,516 million compared to US$1,816 million at the end of 2012 reflecting significant investments in the ongoing lease and operate projects. The Company ended the quarter with cash and cash equivalent balances of US$276 million versus US$715 million at the end of 2012. Committed, undrawn credit facilities stood at US$820 million, which compares to US$1,300 million as of December 31, 2012. Capital expenditure and investments on finance lease contracts through the third quarter of 2013 amounted to a combined total of US$719 million. During the third quarter a project loan of US$600 million for FPSO N'Goma was secured from a consortium of international banks at a weighted average cost of debt of 4.7%. Project Review FPSO Cidade de Ilhabela (Brazil) Construction of FPSO Cidade de Ilhabela progressed, with refurbishment and conversion at the Chinese shipyard completed. The vessel set sail for Brazil in early November where construction of the process modules at the Brasa yard continues in anticipation of the arrival of the FPSO and start-up of the facility expected in the second half of 2014. FPSO Cidade de Paraty (Brazil) FPSO Cidade de Paraty has been formally on hire since June 7, 2013. Subsequently, the unit has successfully achieved the contract milestone for start-up of gas compression and gas processing. FPSO Stones (US Gulf of Mexico) As announced on July 23, 2013, SBM Offshore signed a contract with Shell Offshore Inc. to supply and lease a Floating Production Storage and Offloading facility (FPSO) for the Stones development project in the Gulf of Mexico. The charter contract includes an initial period of 10 years with future extension options up to a total of 20 years. When installed at almost 3 kilometers of water depth, the FPSO Stones will be the deepest offshore production facility of any type in the world. FPSO OSX-2 (Brazil) The Company announced the successful delivery as per contract in early September. SBM Offshore has no further financial exposure to the client. Deep Panuke (Canada) The Deep Panuke platform has been producing sales gas since early August. Production levels of around 200 MMcf/d have been achieved, however this is below full production capacity of 300 MMcf/d. The team is currently debottlenecking the system with the intention of bringing the platform to full production capacity safely. In the meantime, a partial day rate arrangement applies. A further update will be provided once full production acceptance has been achieved. Management Change Further to our announcement of November 7, 2013, Bruno Chabas, CEO, has temporarily taken over the role of COO. The Company is addressing the way the role is structured in the future. In the interim, the Company is fortunate to have an excellent group of senior managers who are taking on various aspects of the role. Divestment Update In November the Company agreed to the sale of the DSCV SBM Installer, a newbuild Diving Support and Construction Vessel (DSCV), to Daya Vessels Limited for US$180 million in cash. The transaction will close in Q1 2014. The sale and lease back of real estate in Monaco remains on track with completion expected by year end. Orders & Backlog Directional(1) order intake stood at US$10,479 million as of September 30, 2013. Directional(1 )Backlog as of September 30, 2013 was $US24.4 billion, the highest in company history (IFRS Backlog US$21.6 billion). Compliance The internal investigation into potentially improper sales practices is ongoing. The Company is in active dialogue with the relevant authorities. The Company does not expect there will be a final outcome by the end of the year. External Auditors Following a thorough selection process the company will propose to the Annual General Meeting of shareholders in April 2014 the appointment of PricewaterhouseCoopers as the new statutory auditors. PricewaterhouseCoopers will replace KPMG effective in the 2014 reporting year, as part of the Dutch compulsory external auditor rotation rules. 2013 Outlook and Guidance The Company is confident it will accomplish IFRS revenue of at least US$4.3 billion, of which US$3.3 billion for Turnkey and US$1 billion for Lease and Operate segments respectively. Conference Call SBM Offshore has scheduled a conference call followed by a Q&A session at 8:30 Central European Time on Thursday, November 14, 2013. The call will be hosted by Bruno Chabas (CEO), Peter van Rossum (CFO) and Sietze Hepkema (CGCO). Interested parties are invited to listen to the call by dialling +31 20 794 8484 in the Netherlands, +44 207 190 1590 in the UK or +1 480 629 9761 in the US. Corporate Profile SBM Offshore N.V. is a listed holding company that is headquartered in Schiedam. It holds direct and indirect interests in other companies that collectively with SBM Offshore N.V. form the SBM Offshore group ("the Company"). SBM Offshore provides floating production solutions to the offshore energy industry, over the full product life-cycle. The Company is market leading in leased floating production systems with multiple units currently in operation, and has unrivalled operational experience in this field. The Company's main activities are the design, supply, installation, operation and the life extension of Floating Production, Storage and Offloading (FPSO) vessels. These are either owned and operated by SBM Offshore and leased to its clients or supplied on a turnkey sale basis. Group companies employ over 9,600 people worldwide, who are spread over five execution centers, eleven operational shore bases, several construction yards and the offshore fleet of vessels. Please visit our website at www.sbmoffshore.com. The companies in which SBM Offshore N.V. directly and indirectly owns investments are separate entities. In this communication "SBM Offshore" is sometimes used for convenience where references are made to SBM Offshore N.V. and its subsidiaries in general, or where no useful purpose is served by identifying the particular company or companies. The Management Board Schiedam, November 14, 2013 For further information, please contact: Investor Relations Nicolas D. Robert Head of Investor Relations Telephone: +377 92 05 18 98 Mobile: +33 (0) 6 40 62 44 79 E-mail: email@example.com Website: www.sbmoffshore.com Media Relations Anne Guerin-Moens Group Communications Director Telephone: +377 92 05 30 83 Mobile: +33 (0) 6 80 86 36 91 E-mail: firstname.lastname@example.org Website: www.sbmoffshore.com To see the complete version of this press release, please click on the link below Disclaimer Some of the statements contained in this release that are not historical facts are statements of future expectations and other forward-looking statements based on management's current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance, or events to differ materially from those in such statements. Such forward-looking statements are subject to various risks and uncertainties, which may cause actual results and performance of the Company's business to differ materially and adversely from the forward-looking statements. Certain such forward-looking statements can be identified by the use of forward-looking terminology such as "believes", "may", "will", "should", "would be", "expects" or "anticipates" or similar expressions, or the negative thereof, or other variations thereof, or comparable terminology, or by discussions of strategy, plans, or intentions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this release as anticipated, believed, or expected. SBM Offshore NV does not intend, and does not assume any obligation, to update any industry information or forward-looking statements set forth in this release to reflect subsequent events or circumstances. SBM Offshore Press Release: http://hugin.info/130754/R/1743125/586240.pdf [HUG#1743125] Source:SBM Offshore N.V.