Adjusted revenue for the 1st quarter 2018 amounted to €171 million (consolidated revenue was €157.6 million), down 13.2% compared to the 4th quarter 2017, impacted by the reduced activity in Subsea Services.
- The 1st quarter 2018 reflected a challenging Offshore services market, mainly impacted by deteriorated conditions in Subsea and Shallow water offshore. However, average utilization rates in Marine & Logistics improved, in particular in Deepwater offshore (+3.9 points compared to the 4th quarter 2017 and +4.2 points compared to the 1st quarter 2017).
- Although still affected by the overcapacity in Supply vessels, average daily rates stabilized.
- In the Subsea activity, business remained weak for vessels servicing contractors’ construction work, leading to a sharp decline in average utilization rates (-17.7 points compared to the 4th quarter 2017).
- Weakening of the US dollar against euro weighed on this quarter revenue.
"In an Offshore services market that has been impacted over the long-term by vessel overcapacity, utilization rates in both Deepwater offshore and Shallow water offshore are now heading in the right direction and prices stabilizing. The Subsea business is being hampered by the weakness in the contractors' activity and a reduced number of turnkey projects", declared Gaël Bodénès, Chief Executive Officer of BOURBON Corporation. "The rollout of our strategic action plan #BOURBONINMOTION is underway and we are thus positioning ourselves optimally to benefit from the market upturn under the best competitive conditions."