McDermott Slumps to Loss

Houston-based McDermott has reported quarterly loss of $2.8 billion, or $15.33 per diluted share, compared to $26 million, or $0.27 per diluted share in the fourth quarter of 2017.

Adjusted net loss for the fourth quarter was $280 million, with adjusted diluted earnings per share of $1.55.

Excluding project-related charges, Mcdermott booked a $2.2 billion goodwill impairment charge.

The company posted Q4 2018 revenues of $2.1 billion, compared to revenues of $718 million for the prior-year Q4.

For the twelve months of 2018 the company recognized loss of $2.7 million on revenue of $6.7 billion, against profit of $179 million on revenue of $3 billion.

Mcdermott reported revenue pipeline comprised of backlog of $10.9 billion, bids and change orders outstanding of $20.3 billion and target projects of $70 billion.

For the year 2019, McDermott said it expects revenue between $9.5 billion and $10.5 billion, with net profit between $250 – $275 million.

Subsea World News Staff