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Tuesday, 02 December, 2008, 00:20 GMT | more >>

TGS-Nopec boosts standalone takings



By Upstream staff 

Norwegian seismic player TGS-Nopec reported sharply higher profits for its fourth quarter as it presented standalone figures while it awaited the results of arbitration on its stalled merger with fellow survey specialist Wavefield-Inseis.

TGS reported fourth quarter net income of $71.3 million, up 42% from the same period in 2006, and excluding a loss of Wavefield shares which were transferred to its control last year as part of its merger arrangement with Wavefield.

It said losses related to the shares came to $27 million in the fourth quarter.

Earnings per share were 69 cents, up from 48 cents in the same period last year. Including the Wavefield shares, earnings per share fell to 43 cents.

TGS reported quarterly revenues of $168.3 million, up 36% over the year-ago period.

For the full year, the company reported net income of $157.4 million, up 4% on 2006, not including an unrealised loss of $22.4 million on the Wavefield shares.

Earnings per share excluding the shares were $1.50, up from $1.43 in 2006, and $1.29 including the Wavefield shares.

Full-year revenues rose 14% over 2006 to $452.8 million.

TGS chairman Claus Kampmann said the company had made a strong finish to a “challenging year” that included delays in the delivery of two newbuild 3D survey vessels, as well as the merger hitches with Wavefield.

He said the company’s outlook for next year remained good on an outlook basis/

TGS said it continued to refute Wavefield’s claims that it had not fulfilled the terms of the merger agreement, saying it believed it would prevail in arbitration proceedings. I said it intended to complete its merger with Wavefield.

It said incurred merger costs of $2.3 million as of 31 December 2007 had consequently not been expensed, but were being held as pre-payments under its short-term assets.


Thursday, 14 February, 2008, 07:17 GMT  | last updated: Thursday, 14 February, 2008, 07:17 GMT

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