NADL - North Atlantic Drilling Ltd. reports second quarter and half year 2014 results

STAVANGER, Norway, Aug. 27, 2014 (GLOBE NEWSWIRE) --

Highlights from the second quarter

  • North Atlantic Drilling generates second quarter 2014 EBITDA*) of US$154.0 million
  • North Atlantic Drilling reports second quarter 2014 net income of US$59.7 million and earnings per share of US$0.24.
  • North Atlantic Drilling resolves to maintain the regular quarterly cash dividend at US$0.24 per share
  • West Linus commences drilling contract with ConocoPhilips on May 25, 2014
  • North Atlantic Drilling and Seadrill announce Investment and Cooperation Agreement with Rosneft to partner in the Russian markets

Subsequent events

  • North Atlantic Drilling announces the execution of six offshore drilling contracts with Rosneft as part of the Investment and Cooperation Agreement, with a total revenue potential of US$4.25 billion
  • North Atlantic Drilling enters into agreement to acquire a significant portion of Rosneft's land drilling fleet in Russia. Rosneft will receive a 30% ownership stake in North Atlantic Drilling

*) EBITDA is defined as earnings before interest, depreciation and amortization equal to operating profit plus depreciation and amortization. Condensed consolidated income statements Second quarter and half year 2014 results Consolidated revenues for the second quarter 2014 were US$342.6 million compared to US$273.7 million for the first quarter 2014. Operating profit for the second quarter was US$104.8 million, an increase of US$33.6 million compared to the first quarter operating profit of US$71.2 million. Net financial items for the second quarter of 2014 amounted to a loss of US$42.4 million. The loss included US$27.4 million in interest expenses and US$19.3 million loss related to financial derivatives, compared to the first quarter 2014 that incurred a loss of US$48.5 million including interest expenses of US$23.4 million and US$22.5 million in a settlement premium for the prepayment of the US$500 million bond. Income taxes for the second quarter were US$2.7 million. Net income for the second quarter was US$59.7 million, and basic earnings per share were US$0.24. The Company reports operating revenues of US$616.3 million, operating income of US$176.0 million and a net income of US$79.9 million for the six months ended June 30, 2014. This compares to operating revenues of US$692.6 million, operating income of US$178.5 million and a net income of US$118.6 million for the six months ended June 30, 2013. The full report for the second quarter can also be downloaded from | Investor relations | Financial reports Questions should be directed to North Atlantic Management AS represented by: Ragnvald Kavli: Chief Financial Officer Tore Byberg: VP Commercial Finance

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

NADL Second Quarter 2014 report

NADL Fleet status Q2 2014


Source:North Atlantic Drilling Ltd.