'Transforming for Beyond' Action Plan & 2012 Annual Results -- PARIS, March 6, 2013 /PRNewswire/ -- PARIS, March 6, 2013 /PRNewswire/ -- 2012 revenues: up 17.7% Gross operating income (EBITDA) €406.2 million, up 35.3% Operating income (EBIT) €161.6 million, up 89.4% In the context of a favorable oil & gas services market, the growth in BOURBON's 2012 results illustrates the value of our strategy which is aimed, through our series of innovative series vessels, at meeting our clients' needs in terms of safety, cost savings, reliability and quality of service. Operating income is up 89.4% thanks to higher daily rates and EBITDA is up in all three of our segments," says Christian Lefèvre, Chief Executive Officer of BOURBON. The stability of the price per barrel at around US$110 has encouraged our clients to make substantial investments in a market where growth prospects point to sustained demand for vessels in 2013. Change H2 2012 / H2 H1 H2 In millions of euros 2012 H1 2012 2012 2011 2012 2011 Change Revenues 618.9 568.0 +9.0% 525.3 1,186.9 1,008.0 +17.7% Gross operating income (EBITDA) excluding capital gains 201.6 180.8 +11.5% 157.7 382.4 299,4 +27.7% Gross operating income (EBITDA) 225.4 180.8 +24.7% 158.2 406.2 300.2 +35.3% % of revenues 36.4% 31.8% 30.1% 34.2% 29.8% Operating income (EBIT) 97.8 63.8 +53.2% 42.2 161.6 85.3 +89.4% Financial income (54.7) (32.3) (8.9) (87.0) (71.7) Income tax (15.1) (7.1) (3.8) (22.2) (10.7) Income from discontinued operations 0.8 0.8 0.5 Minority interests (3.0) (8.3) (1.2) (11.3) 3.3 Net income, Group share 24.9 17.0 +46.5% 28.2 41.9 6.8 x6 2012 revenues are up 17.7% over the previous year due to the expansion of the fleet, better daily rates and €/US$ exchange rate. All vessel segments have contributed to this growth, particularly Shallow water offshore (+39.4%). 2012 gross operating income (EBITDA) came to €406.2 million, representing a 35.3% increase over the previous year. This is markedly higher than the increase in revenues due to the improvement in daily rates, a stronger dollar, fleet expansion (albeit less rapid), sustained utilization rates and a capital gain on the sale of 3 vessels. Consequently, EBIT is posting remarkable growth of nearly 90%. 2012 financial income represents a net expense of €87.0 million due to a slight increase in debt and unrealized foreign exchange losses of €27.6 million. Net income, Group share for 2012 is up sharply to €41.9 million compared to €6.8 million in 2011. At the next Combined General Meeting scheduled for May 28, 2013, the Board of Directors will propose a dividend of €0.82 per share. BOURBON Marine Services Subsea Services DELTA/H1 DELTA/H1 DELTA/H1 H2 2012 2012 H2 2012 2012 H2 2012 2012 Number of vessels* +12 +11 +1 (end of period) 458 vessels 439 vessels 18 vessel vessels owned or on bareboat charter BOURBON Marine Services Subsea Services In millions of DELTA/H1 DELTA/H1 DELTA/H1 euros H2 2012 2012 H2 2012 2012 H2 2012 2012 Revenues 618.9 +9.0% 511.8 +11.1% 97.9 +6.2% EBITDA 225.4 +24.7% 184.7 +29.5% 38.0 +8.9% EBIT 97.8 +53.2% Total Shallow fleet Deepwater water excl. offshore offshore IMR Crewboats Crewboats Average utilization rate Average daily rate Average utilization rates are holding up well, above the market average. Average daily rates continue to improve as the market rebalances due to strong growth in demand and the trend for replacing old and obsolete vessels. The improvement in average utilization rates in the Shallow water offshore segment, up 2.4 points between 2011 and 2012, validates BOURBON's strategic decision since 2006 to expand the fleet. Change Change H2 2012 / 2012 H2 2012 H1 2012 H1 2012 2012 2011 /2011 Number of owned vessels* +11 +21 (end of period) 439 428 vessels 439 418 vessels Average utilization rate 84.7% 83.2% +1.5 pt 83.9% 83.8% +0.1 pt Change Change H2 2012 / 2012 In millions of euros H2 2012 H1 2012 H1 2012 2012 2011 /2011 Revenues 511.8 460.4 +11.1% 972.2 792.9 +22.6% Direct costs (299.9) (269.7) +11.2% (569.6) (488.8) +16.5% Operating margin 211.9 190.8 +11.1% 402.6 304.1 +32.4% General and administrative costs (50.9) (48.2) +5.8% (99.1) (83.2) +19.2% Gross operating income (EBITDA) excluding capital gains 160.9 142.6 +12.9% 303.5 221.0 +37.3% % of revenues 31.4% 31.0% 31.2% 27.9% Gross operating income (EBITDA) 184.7 142.6 +29.5% 327.4 221.4 +47.8% % of revenues 36.1% 31.0% 33.7% 27.9% Marine Services revenues in 2012 amounted to €972.2 million, up 22.6% compared to 2011, mainly due to the expansion of the fleet (+21 vessels) and continuing high utilization rates along with an increase in daily rates in all segments, particularly in the Shallow water offshore segment. From the 1st half to the 2nd half of 2012, revenues increased by 11.1% to €511.8 million due to the expansion of the fleet (+11 vessels), high utilization rates and an increase in average daily rates, particularly in the Shallow water segment. Compared to the previous year, EBITDA in 2012 is up sharply, by 47.8%, to €327.4 million, +37.3% EBITDA excluding capital gains. This increase reflects general growth in all 3 segments and the benefit of a stronger dollar during the period. From the 1st half to the 2nd half of 2012, EBITDA was 29.5% higher, due in particular to the performance of the Deepwater offshore vessel segment. In 2012, the Marine Services activity expanded its range of vessels, particularly the entry into the fleet of the first 6 vessels in the new AHTS Bourbon Liberty 300 series, the first vessel in the latest-generation FSIV series with straight bow and DP2 dynamic positioning, and 2 "large PSV" PX105 with inverted bow equipped with the PG MACS unique cargo system. The commencement of a contract for 3 Bourbon Liberty vessels in Australia illustrates the oil companies' preference for this series. Results by segment Deepwater offshore vessels Change Change H2 2012 / 2012 H2 2012 H1 2012 H1 2012 2012 2011 /2011 Number of owned vessels* +1 +2 (end of period) 72 71 vessel 72 70 vessels Average utilization rate 91.2% 91.9% -0.7 pt 91.6% 89.8% +1.8 pt Change H2 Change 2012 / H1 2012 In millions of euros H2 2012 H1 2012 2012 2012 2011 /2011 Revenues 185.8 175.0 +6.1% 360.8 318.4 +13.3% Direct costs (99.2) (94.0) +5.6% (193.2) (174.4) +10.7% Operating margin 86.5 81.1 +6.7% 167.6 144.0 +16.4% General and administrative costs (18.5) (18.3) +0.9% (36.8) (33.4) +10.1% Gross operating income (EBITDA) 68.1 excluding capital gains 36.6% 62.8 +8.5% 130.8 110.6 +18.3% % of revenues 35.9% 36.3% 34.7% Gross operating income (EBITDA) 91.9 62.8 +46.4% 154.6 110,6 +39.8% % of revenues 49.5% 35.9% 42.9% 34.7% In 2012, revenues from the Deepwater offshore vessels segment were €360.8 million and represented 37.1% of total Marine Services activity. In this segment, BOURBON expanded its fleet by 2 vessels and utilization rates continued their improvement to 91.6%, up 1.8 point relative to 2011. The renewal of several expiring contracts made it possible to take advantage of higher rates in the segment and raise the average daily rate. EBITDA of €130.8 million (excluding the capital gain) represented 43.1% of the Marine Services activity total compared with 50.0% in 2011. This decrease is due to the growing share of the Shallow water offshore segment in Marine Services. The capital gain which contributed €23.8 million to this segment's EBITDA was mainly due to the sale of 3 UT 755-type vessels. Compared with the previous half, revenues in the second half of 2012 were up 6.1% thanks to maintaining a high utilization rate and an increase in the average daily rate. Shallow water offshore vessels Change Change H2 2012 / 2012 H2 2012 H1 2012 H1 2012 2012 2011 /2011 Number of owned vessels +5 +11 (end of period) 102 97 vessels 102 91 vessels +2.4 Average utilization rate 91.3% 88.5% 2.8 pts 89.9% 87.5% pts Change H2 Change 2012 / H1 2012 In millions of euros H2 2012 H1 2012 2012 2012 2011 /2011 Revenues 182.8 153.8 +18.8% 336.7 241.5 +39.4% Direct costs (113.3) (97.5) +16.3% (210.8) (156.2) +35.0% Operating margin 69.5 56.4 +23.2% 125.9 85.3 +47.6% General and administrative costs (18.2) (16.1) +13.3% (34.3) (25.3) +35.5% Gross operating income EBITDA 51.3 40.4 +26.8% 91.7 60.3 +51.9% % of revenues 28.0% 26.3% 27.2% 25.0% In 2012, the revenues generated by the Shallow water offshore segment came to €336.7 million, up strongly (39.4%) year-on-year, thanks to 11 additional vessels, the increase in the utilization rate (89.9%), up 2.4 points, and a sharp increase in the average daily rate. EBITDA rose to €91.7 million, representing an increase of 51.9% over 2011. BOURBON's growth strategy in the Shallow water offshore segment is endorsed by its clients who regularly praise the advent of modern vessels equipped with dynamic positioning technology, high maneuverability and diesel-electric propulsion enabling them to reduce their fuel consumption costs. Compared with the previous half of the year, revenues in the second half were up 18.8% to €182.8 million. This growth was due to 5 additional vessels and to higher average daily rate, leading to an increase in EBITDA of 26.8% compared to the previous six months. Crewboats Change Change H2 2012 / 2012 H2 2012 H1 2012 H1 2012 2012 2011 /2011 Number of owned vessels +5 +8* (end of period) 265 260 vessels 265 257 vessels Average utilization rate 80.5% 78.9% +1.6 pt 79.6% 80.9% -1.3 pt BOURBON took delivery of 20 Crewboats during the year and withdrew the 12 oldest vessels from service which were all over 15 years old. Change H2 Change 2012 / H1 2012 In millions of euros H2 2012 H1 2012 2012 2012 2011 /2011 Revenues 143.2 131.6 +8.8% 274.8 233.0 +17.9% Direct costs (87.4) (78.3) +11.6% (165.6) (158.2) +4.7% Operating margin 55.8 53.3 +4.7% 109.1 74.8 +45.8% General and administrative costs (14.2) (13.8) +3.5% (28.0) (24.4) +14.6% Gross operating income (EBITDA) 41.6 39.4 +5.6% 81.1 50.5 +60.6% % of revenues 29.1% 30.0% 29.5% 21.7% In 2012, revenues generated by the Crewboats segment came to €274.8 million, up 17.9% thanks to 8 additional vessels in the fleet and a steady increase in daily rates, particularly for large vessels. EBITDA rose to €81.1 million, up 60.6%, due to the increase in daily rates and the improvement in technical cost control in West Africa. Compared to the previous half of the year, revenues rose 8.8%, to €143.2 million, thanks to higher utilization rates (+1.6 point), a high daily rate and continued expansion of the fleet. EBITDA was up 5.6%, at €41.6 million, in line with the increased revenues. Change Change H2 2012 / 2012 H2 2012 H1 2012 H1 2012 2012 2011 /2011 Number of owned vessels +1 (end of period) 18 17 vessel 18* 18 - Average utilization rate 88.5% 87.7% +0.8 pt 88.1% 93.2% -5.1 pt The structure of the Subsea Services fleet evolved during the year, with the entry into the fleet of one new vessel and the transfer of one vessel from the Marine Services Activity in exchange for 2 Subsea vessels, taking the number of Subsea vessels to 18 at December 31, 2012. Change H2 Change 2012 / H1 2012 In millions of euros H2 2012 H1 2012 2012 2012 2011 /2011 Revenues 97.9 92.1 +6.2% 190.0 172.8 +10.0% Direct costs (50.1) (47.6) +5.3% (97.7) (87.5) +11.6% Operating margin 47.8 44.5 +7.3% 92.3 85.3 +8.3% General and administrative costs (9.7) (9.6) +1.0% (19.4) (18.1) +6.9% Gross operating income (EBITDA) 38.0 34.9 +8.9% 72.9 67.5 +8.0% % of revenues 38.8% 37.9% 38.4% 39.1% In 2012, the revenues of the Subsea Services Activity rose to €190 million, up 10.0% over the previous year, due to the full operation of the first vessel in the Bourbon Evolution 800 series, the second one entering the fleet and the improvement in daily rates, despite 8 planned classification dry-docks over the year which affected over 40% of the fleet and had a negative impact of 4.3 points on the average utilization rate. Although up 8.0%, to €72.9 million, EBITDA for this activity in 2012 was particularly impacted by periods of planned classification dry-docks not generating any revenues to offset the fixed costs. Compared with the 1st half of 2012, revenues were up 6.2% due to the second Bourbon Evolution 800 joining the fleet. EBITDA was 8.9% higher and the ratio of "EBITDA/Revenues" continued to improve. Change H2 Change 2012 / H1 2012 In millions of euros H2 2012 H1 2012 2012 2012 2011 /2011 Revenues 9.3 15.4 -39.9% 24.7 42.3 -41.7% Direct costs (6.0) (11.4) +47.1% (17.5) (29.6) +41.1% Operating margin 3.2 4.0 -19.1% 7.2 12.7 -43.1% General and administrative costs (0.6) (0.7) +16.1% (1.3) (1.3) +1.7% Gross operating income (EBITDA) 2.6 3.3 -19.7% 5.9 11.3 -48.0% % of revenues 28.4% 21.2% 23.9% 26.8% "Other" mainly includes the activity of the cement carrier Endeavor, offshore vessels chartered externally which are not operate by BOURBON, as well as items not allocated to the other two Activities. The decline in revenues and EBITDA reflects the slowdown in external chartering in the Offshore activities. In a public presentation today, BOURBON will announce an action plan called "Transforming for beyond" to prepare now and pave the way for the Group's further growth beyond 2015. The financial aspect of this plan consists of the disposal of vessels for a total amount of US$2.5 billion during 2013/2014 and the bareboat charter of those vessels for 10 years. In a growing oil & gas services market, BOURBON will continue to mark its competitive advantage by taking delivery of 45 new vessels in 2013, across all segments, by concentrating on the existing series. All the growth indicators regarding demand for vessels are excellent, whether for drilling, construction and commissioning fields, or installing subsea well heads. Regarding the supply of vessels, fewer vessels will be exiting the shipyards, except for the deepwater offshore PSV market, in which, at the end of 2012 BOURBON had a long-term contractualization rate of 81% and an average residual duration of firm charter agreements of 13 months. In parallel, the replacement of old shallow water offshore vessels will be accelerated. BOURBON took the decision to commit €500 million in the coming months for 41 new vessels in the various existing series as the final investments due under the BOURBON Leadership Strategy 2015 plan. In this context, with a fleet strategically based on midsized Deepwater offshore vessels and high-end Shallow water offshore vessels, BOURBON will further consolidate its positions and benefit from growth in the sector's activity. The 2012 financial statements were closed by the Board of Directors on March 04, 2013. The auditing procedures have been completed and the audit report relating to certification is in the process of being issued. 1st quarter 2013 revenues release May 02, 2013 Shareholders' meeting May 28, 2013 Release and presentation of 2013 1st half results August 28, 2013 The financial data related to the 2012 annual results includes this press release as well as the presentation from the press conference which will be available on the group's website on March 6, 2012 at noon, after the press conference held that day. Watch the conference live at 8.50 am (paris local time) or recorded as from 2pm the same day (paris local time) on our website http://www.bourbon-online.com Simplified consolidated balance sheet In millions of euros 12/31/2012 12/31/2011 12/31/2012 12/31/2011 Shareholder's equity 1,412 1,417 Net properties and Financial equipment 3,327 3,244 debt > 1 year 1,745 1,565 Other Other non-current non-current assets 106 101 liabilities 141 134 Other current Financial assets 481 484 debt < 1 year 511 620 Cash and cash Other current equivalents 195 230 liabilities 300 323 TOTAL CURRENT TOTAL CURRENT ASSETS 676 714 LIABILITIES 811 943 Non-current Non-current assets held liabilities for sale - - held for sale - - TOTAL TOTAL ASSETS 4,109 4,059 LIABILITIES 4,109 4,059 Consolidated Cash Flow Statement 2012 2011 Consolidated net income 53.2 3.6 Cash flow 303.6 225.7 Net cash flow from operating activities 346.7 231.6 Net cash flow consumed by investing activities (324.6) (300.6) * Of which acquisition of property, plant and equipment and intangible assets (375.7) (358.1) Of which disposal of property, plant and equipment and intangible assets 55.8 43.5 Net cash flow from financing activities 59.1 84.8 Of which increase (decrease) in borrowings (182.4) 203.1 Of which dividends paid to shareholders of the group (53.3) (53.2) Of which net financial interests paid (71.9) (64.4) Effect of the change in exchange rates 0.3 1.2 Net cash increase (decrease) 81.6 17.0 Net cash at beginning of period 81.6 17.0 Net cash at end of period (44.0) (61.1) Net cash increase (decrease) 37.5 (44.0) (*) including discontinued operations in 2011 Quarterly breakdown of revenues (in millions of euros) 2012 2011 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Marine Services 257.2 254.5 238.4 222.1 216.5 200.3 191.1 185.1 Deepwater offshore vessels 92.6 93.2 88.5 86.5 87.5 81.7 74.4 74.8 Shallow water offshore Quarterly breakdown of the average utilization rate of the BOURBON fleet (in %) 2012 2011 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Deepwater offshore vessels 90.2 92.1 91.3 92.5 93.7 90.2 86.9 88.1 Shallow water offshore vessels 92.2 90.3 92.5 84.3 88.3 86.4 90.2 84.8 Crewboats 82.5 78.4 78.6 81.0 82.1 79.7 81.4 80.5 Marine Services average utilization rate 86.0 83.4 83.9 83.7 85.5 83.0 84.2 82.7 Subsea Services average utilization rate 91.7 85.2 89.7 85.7 91.0 94.0 96.3 92.0 Average utilization rate "Total fleet excl. Crewboats" 91.4 90.5 91.8 87.6 90.7 88.7 89.5 86.9 "Total fleet" average utilization rate 86.2 83.5 84.0 83.7 85.7 83.4 84.7 83.1 Quarterly breakdown of the average daily rate for the BOURBON fleet Quarterly number of vessels delivered (in number of vessels) 2012 2011 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 FLEET TOTAL 5 14 6 8 3 15 11 10 Marine Services 5 13 6 8 2 15 11 10 Deepwater offshore vessels 1 0 2 0 0 0 1 0 Shallow water offshore vessels 1 4 1 3 1 6 5 3 Crewboats 3 9 3 5 1 9 5 7 Subsea Services / IMR 0 1 0 0 1 0 0 0 Yearly breakdown of revenues (in millions of euros) Full year 2012 2011 Marine Services 972.2 792.9 Deepwater offshore vessels 360.8 318.4 Shallow water offshore vessels 336.7 241.5 Crewboats 274.8 233.0 Subsea Services Yearly breakdown of the average utilization rate of the BOURBON fleet (in %) Year 2012 2011 Deepwater offshore vessels 91.6 89.8 Shallow water offshore vessels 89.9 87.5 Crewboats 79.6 80.9 Marine Services average utilization rate 83.9 83.8 Subsea Services average utilization rate 88.1 93.2 Average utilization rate "Total fleet excl. Crewboats" 90.4 89.0 "Total fleet" average utilization rate 84.1 84.2 Yearly breakdown of the average daily rate for the BOURBON fleet (in US$/day) Year 2012 2011 Deepwater offshore vessels 20,683 19,413 Shallow water offshore vessels 13,918 12,820 Crewboats 4,852 4,369 IMR vessels 38,497 33,288 Average utilization rate "Total fleet excl. Yearly number of vessels delivered (in number of vessels) Full year 2012 2011 FLEET TOTAL 33 39 Marine Services 32 38 Deepwater offshore vessels 3 1 Shallow water offshore vessels 9 15 Crewboats 20 22 Subsea Services / IMR 1 1 Breakdown of BOURBON revenues by geographical region (in millions of euros) 4th quarter Year Q4 2012 Q4 2011 Change 2012 2011 Change Africa 188.2 164.6 +14.4% 729.2 611.1 +19.3% Europe &Mediterranean/Middle East 54.9 50.4 +8.9% 201.1 188.5 +6.7% Americas 36.0 34.1 +5.5% 146.3 125.6 +16.5% Asia 33.6 24.0 +40.1% 110.3 82.9 +33.1% Other key indicators Quarterly breakdown 2012 2011 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Average EUR/US$ exchange rate for the quarter (in EUR) 1.30 1.25 1.28 1.31 1.35 1.41 1.44 1.37 EUR/US$ exchange rate at closing (in EUR) 1.32 1.29 1.26 1.34 1.29 1.35 1.45 1.42 Average price of Brent for the quarter 12 month breakdown Year 2012 2011 Average 12-month EUR/$ exchange rate (in EUR) 1.28 1.39 EUR/US$ exchange rate at closing (in EUR) 1.32 1.29 Average 12-month price of Brent (in US$/bl) 112 111 BOURBON offers the most demanding oil and gas companies a comprehensive range of surface and subsea marine services for offshore oil and gas fields and wind farms, based on an extensive range of latest-generation vessels. The Group provides a local service through its 27 operating subsidiaries, close to clients and their operations, and it guarantees the highest standards of service quality and safety worldwide. BOURBON has two Businesses (Marine Services and Subsea Services) and also protects the French coastline for the French Navy. Under the "BOURBON 2015 Leadership Strategy" plan, the Group is investing in a large fleet of innovative and high-performance offshore vessels built in series. In 2012, BOURBON posted revenues of €1.187 billion and operated a fleet of 458 vessels as of December 31, 2012 Classified by ICB (Industry Classification Benchmark) in the "Oil Services" sector, BOURBON is listed for trading on Euronext Paris, Compartment A, participates in the Deferred Settlement Service ("SRD") and is included in the SBF 120 and CAC Mid 60 indices. PR Agency: Publicis Consultants Jérôme Goaer + 33- (0) 1-44-82-46-24 - jerome.goaer@consultants.publicis.fr Véronique Duhoux +33- (0) 1-44-82-46-33 - veronique.duhoux@consultants.publicis.fr BOURBON Investors - Analysts - Shareholders Relations James Fraser +33- (0) 4-91-13-35-45 - james.fraser@bourbon-online.com Communication Department Christa Roqueblave +33- (0) 1-40-13-86-06 - christa.roqueblave@bourbon-online.com