CGG returns to profit after restructuring

Business & Finance

French geophysical player CGG returned to quarterly profit, following successful completion of financial restructuring during the first quarter of 2018. 

For the first quarter of 2018 CGG posted a profit of $646.6 million compared to a loss of $145.1 million in the same period of 2017.

CGG’s revenues for the first quarter of 2018 dropped to $245.6 million from $249.4 million in the prior-year period.

Following the completion of its restructuring at the end of February, CGG restored capital structure with net debt of $659 million at end of March and liquidity of $538 million. It is worth mentioning that CGG’s debt at the end of 1Q 2017 was over $2.3 billion and over $2.6 billion at the end of the fourth quarter 2017.

Commenting on the company’s performance, Sophie Zurquiyah, CGG’s newly-appointed CEO, said: “These results continue to confirm an upward trend initiated in 2017 that is bringing improved volumes to GGR and Equipment. Contractual Data Acquisition activities remain challenged by low demand and deteriorated price conditions.”

Zurquiyah continued: “In the current context of strengthening oil prices, we observe a gradual market improvement, even as the major oil companies remain very cautious in their spending. In this environment, we confirm our revenue growth and EBITDAs margin targets for 2018.”

Offshore Energy Today Staff