Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on SBM OFFSHORE NV. We currently have 10 research reports from 1 professional analysts.
|07Dec16 05:00||GNW||SBM OFFSHORE 2016 YEAR END UPDATE|
|05Dec16 07:00||GNW||WEEKLY SHARE REPURCHASE PROGRAM TRANSACTION DETAILS|
|30Nov16 02:07||GNW||RESOLUTION EXTRAORDINARY GENERAL MEETING|
|28Nov16 07:00||GNW||WEEKLY SHARE REPURCHASE PROGRAM TRANSACTION DETAILS|
|21Nov16 07:00||GNW||WEEKLY SHARE REPURCHASE PROGRAM TRANSACTION DETAILS|
|14Nov16 07:00||GNW||WEEKLY SHARE REPURCHASE PROGRAM TRANSACTION DETAILS|
|09Nov16 05:00||GNW||SBM OFFSHORE THIRD QUARTER TRADING UPDATE|
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SBM OFFSHORE NV
SBM OFFSHORE NV
Positive FCF from H1 16; €150m share buy-back; further cost-cutting
10 Aug 16
H1 16 IFRS revenue was $1.1bn (-27% yoy due to Turnkey, -48% yoy to $505m). Directional revenue came in at $0.9bn. IFRS EBIT was $213m (+4% yoy), below consensus (at $287m). Underlying Directional EBIT was $146m (-43% yoy; vs. consensus at $161m). The IFRS underlying net profit was $145m (vs. $106m in H1 15), broadly in line with consensus estimates. The IFRS net debt was $5.2bn (steady from end-2015). Proportional net debt, at $3.1bn, decreased by $68m ytd. The company generated a positive FCF thanks to Lease & Operate. Guidance 2016 is mostly confirmed: - Directional revenue of at least $2.0bn (o/w Turnkey $0.6-0.7bn, Lease and Operate $1.3-1.4bn); - Directional EBITDA at c. $750m; - Directional capex at $70m (vs. $90m previously). The group launched a $150m share buy-back programme to be completed in 2016.
$275m settlement with Brazilian government
18 Jul 16
On Friday, 15 July, SBM Offshore reached a settlement with the Brazilian government; this closes the inquiries into improper commercial practices. The terms: - Cash payment of $162.8m (o/w $149.2m to Petrobras, the remainder to ministries; $142.8m paid on settlement, plus $10m instalments after one and two years); - 95% reduction on the future performance bonus on FPSOs Cidade de Anchieta and Capixaba lease and operate contracts, amounting to $179m over the period 2016-30, with a PV of $112m (SBM applies a 10% discount rate); - The company is obliged to cooperate on procedures, related to the case, against third parties; - Implementation by SBM Offshore of improvements of its internal compliance programme in relation to Brazil.
Guidance confirmed, covenants renegotiated
11 May 16
Q1 directional revenues were $442m (-26% yoy; IFRS revenues were $507m, -32% yoy), as expected by management. Guidance 2016 is confirmed: - Directional revenue of at least $2.0bn (o/w Turnkey $0.6-0.7bn, Lease and Operate $1.3-1.4bn); - EBITDA at c. $750m.
Recovery unlikely before 2018; H2 15 order intake almost nil
11 Feb 16
In H2 15, IFRS revenue was $1.2bn, below consensus estimates (at $1.7bn), and -54% yoy, mainly due to Turnkey. However, Directional revenue came in at $1.0bn, in line with consensus expectations and guidance. New orders were $87m (vs. $2.1bn in H2 14). The Directional backlog stood at $18.9bn (vs. $21.8bn in 2014), o/w 97% in Lease and Operate. IFRS EBIT was $35m (vs. $526m in H2 14), missing consensus (at $292m). Directional EBIT posted a $64m loss ($242m in H2 14), also below consensus (at $152m). The IFRS bottom line also disappointed, with a loss of $135m (vs. a $155m profit of consensus estimates). The IFRS net debt was $5.2bn (vs. $4.8bn last year and flat from H1 15). Proportional net debt, at $3.1bn, beat guidance of $3.3bn. The company proposed a dividend of $0.21 per share, after a 5-year break. +Guidance 2016:+ - Directional revenue at $2.0bn (below consensus at $2.2bn), o/w Turnkey $0.6-0.7bn, Lease and Operate $1.3-1.4bn; - Directional EBITDA at $750m; - The company expects Turnkey losses (at Directional EBIT level) of a cumulated c. $150m over 2016-17; - Directional capex at c. $90m.
Invitation for Sépia and Libra tenders from Petrobras; Brazil settlement still pending
16 Nov 15
SBM Offshore has received from Petrobras the formal invitation to tender for FPSO projects in the Sépia and Libra fields. The awarding of new contracts still depends on SBM Offshore and Brazilian authorities reaching a settlement over the compliance issues.
08 Dec 16
Elderstreet stake acquired 02 GENERAL NEWS Globalworth premium In this issue Venture capital firm Draper Esprit has taken a 30.8% stake in venture capital trust manager Elderstreet. Both investment managers focus on the technology sector and they will be able to co-invest. Elderstreet has investments in a number of AIM-quoted companies through its VCTs. The purchase was funded by an issue of Draper Esprit shares worth just over £250,000. Simon Cook, the chief executive of Draper Esprit, is a former partner at Elderstreet so he knows the business and the people who run it, although he did leave more than 14 years ago. Cook has previously acquired portfolios from 3i and Cazenove, two other firms where he has worked. Draper Esprit has an option to acquire the remaining shares in Elderstreet, which has more than £25m under management. Adding Elderstreet to the group enables Draper Esprit to offer investors a range of EIS funds, VCTs and an ISA qualifying listed evergreen patient capital fund. The enlarged group has venture capital assets under management of more than £350m. At the end of September 2016, Draper Esprit had a net asset value of 352p a share, which is similar to the current share price. The June 2016 flotation price was 300p a share. Draper Esprit is quoted on Ireland’s Enterprise Securities Market as well as AIM.
01 Nov 16
Since our last outlook note, Quadrise has begun to supply MSAR for extended LONO sea trials, paving the way for commercial adoption from calendar H217 onwards. In August it signed a memorandum of understanding with clients in the Kingdom of Saudi Arabia (KSA), which is a key enabler for progressing the production-to-combustion pilot there. In October it completed a placing and open offer raising a total of £5.25m (gross). This should enable it to transition comfortably to the commercial phase on successful completion of the LONO and KSA trials.
Dividends reinstated; is it time to turn (more) optimistic?
08 Dec 16
Glencore continues to surprise the markets, earlier with its fast pace of asset disposals and now with the reinstatement of dividends. The following were the key details shared with investors in a meeting held on 1 December 2016: 1/ completed $6.3bn of asset disposals; 2/ reduced net debt (including readily marketable inventories) by $12.5bn over the last 18 months; 3/ reiterated trading’s 2016 EBIT guidance towards the upper end of the $2.5-2.7bn range; 4/ expects healthy annualised 2016 free cash flows – even at Q1 16 commodity price lows; at 2017 forward prices, FCFs are guided to be $6.5bn; 5/ dividends would be reinstated from 2017 – with $1bn to be paid in two equal tranches in H1 and H2; thereafter (i.e. 2018 onwards), $1bn would be a fixed annual dividend payment (banking on the stability of trading’s cash flows) plus a minimum 25% of FCFs from industrial activities. Production guided to grow Source – Investor Presentation December 2016 While copper would be negatively impacted by the end-of-life impact at Alumbera and the Ernest Henry divestment, the output for all other commodities is guided to be higher (in varying degrees).
Raising Target Price to 2,500p per share
01 Nov 16
Royal Dutch reported clean EPS of US$0.35, nearly 50% ahead of consensus. More importantly, cash flow jumped QoQ to US$8.5bn which should go a long way to confirming Shell’s capacity to maintain the current dividend, despite the increase in gearing to 29.2%. Upstream returned to profitability on an underlying basis for the first time since 1Q15. We believe these results confirm our view that Shell’s dividend can and will be maintained at US$0.47 per quarter and we increase our Target Price to 2,500p per share, given further sterling weakness.