SEACOR Marine Announces First Quarter 2019 Results

HOUSTON--()--SEACOR Marine Holdings Inc. (NYSE:SMHI) (the “Company” or “SEACOR Marine”), a leading provider of marine and support transportation services to offshore oil and natural gas and wind farm facilities worldwide, today announced results for its first quarter ended March 31, 2019.

First quarter highlights include:

  • Total operating revenues increased 8.8% as compared with the first quarter of 2018, due to increases of 5.3% in average day rates and 8.0% in utilization. The improved utilization reflected an increase of 5.0% in on hire days notwithstanding a decrease of 8.5% in the number of available days, compared with the first quarter 2018. Operating loss decreased by $3.4 million to $21.0 million as compared with $24.4 million in the first quarter of 2018.
  • Consolidated direct vessel profit (“DVP”)(1) for the first quarter of 2019 decreased by $1.4 million to $12.0 million from $13.4 million in the first quarter of 2018 due to expensing approximately $4.4 million of mobilization and vessel upgrade costs incurred in the quarter to prepare and position vessels for long-term contracts without comparable expenses incurred in the 2018 quarter. Excluding these costs, DVP would have been approximately $16.4 million in the first quarter of 2019, a 22.4% increase from the first quarter of 2018.
  • Total lease expense, which amounted to $4.1 million, was $0.8 million and $0.7 million higher compared to the first and fourth quarters of 2018, respectively. These increases reflect non-cash adjustments to lease expenses resulting from the implementation of the new lease accounting standard by the Company on January 1, 2019.
  • SEACOR Marine closed on three separate transactions which expanded its fleet. One of the transactions led to 100% ownership of SEACOR Marine’s European wind business through the acquisition of the remaining minority interests. Another of the transactions included the acquisition of three previously pooled fast support vessels (“FSVs”) which had pooling distributions of $2.6 million and $2.4 million in 2018 and 2017, respectively, and their acquisition will result in the elimination of the expense going forward. Subsequent to quarter end, we acquired a modern FSV operating in the U.S. under a long-term contract outside of the oil and gas sector.

Chief Executive Officer John Gellert commented on SEACOR Marine's first quarter results:

This quarter brought many positive developments. Although the first quarter is a period of seasonally lower activity for our fleet, which has a significant presence in North Sea market and Gulf of Mexico lift boat sector, we saw meaningful improvements in both utilization and day rates. Tendering activity also increased, pointing to a continuing recovery. The quarter also featured significant investment to prepare several assets for long-term charters, including one of our two largest liftboats from the U.S. to the North Sea for work supporting the offshore wind farm industry.

We saw improvements in West Africa and Latin America, and increased contracting activity in the North Sea. Within Latin America, Mexico had positive market developments, contracting vessels in support of integrated well service projects and new contracts with foreign oil companies. I am particularly satisfied with the performance of our joint venture in Mexico, which stands out as one of the few companies in that market which can truly claim local content.

I believe the upfront costs to capture these market opportunities are precursors to growth. Our strategy is to continue positioning the fleet selectively to capitalize on our global presence. The benefit of a strong global presence and diverse fleet was again demonstrated through recent contract awards in Latin America, which will expand our hybrid battery equipped platform supply vessels (“PSVs”) in the market.”

For the first quarter ended March 31, 2019, net loss attributable to SEACOR Marine was $25.5 million ($1.11 per basic and diluted share), and operating loss was $21.0 million. Net loss attributable to SEACOR Marine for the preceding quarter ended December 31, 2018 was $7.8 million ($0.35 per basic diluted share) and operating loss was $11.2 million.

___________________

(1)Direct vessel profit (defined as operating revenues less operating expenses excluding leased-in equipment, “DVP”) is the Company’s measure of segment profitability when applied to reportable segments and a non-GAAP measure when applied to individual vessels, fleet categories or the combined fleet. DVP is a critical financial measure used by the Company to analyze and compare the operating performance of its individual vessels, fleet categories, regions and combined fleet, without regard to financing decisions (depreciation for owned vessels vs. leased-in expense for leased-in vessels). DVP is also useful when comparing the Company’s fleet performance against those of our competitors who may have differing fleet financing structures. DVP has material limitations as an analytical tool in that it does not reflect all of the costs associated with the ownership and operation of our fleet, and it should not be considered in isolation or used as a substitute for our results as reported under GAAP. See page 8 for reconciliation of DVP to GAAP Operating Income (Loss), its most comparable GAAP measure.

* * * * *

SEACOR Marine provides global marine and support transportation services to offshore oil and natural gas and windfarm facilities worldwide. SEACOR Marine and its joint ventures operate a diverse fleet of offshore support and specialty vessels that deliver cargo and personnel to offshore installations; handle anchors and mooring equipment required to tether rigs to the seabed; tow rigs and assist in placing them on location and moving them between regions; provide construction, well workover and decommissioning support; and carry and launch equipment used underwater in drilling and well installation, maintenance and repair. Additionally, SEACOR Marine’s vessels provide accommodations for technicians and specialists, safety support and emergency response services.

Certain statements discussed in this release as well as in other reports, materials and oral statements that the Company releases from time to time to the public constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Generally, words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “believe,” “plan,” “target,” “forecast” and similar expressions are intended to identify forward-looking statements. Such forward-looking statements concern management’s expectations, strategic objectives, business prospects, anticipated economic performance and financial condition and other similar matters. Forward-looking statements are inherently uncertain and subject to a variety of assumptions, risks and uncertainties that could cause actual results to differ materially from those anticipated or expected by the management of the Company. These statements are not guarantees of future performance and actual events or results may differ significantly from these statements. Actual events or results are subject to significant known and unknown risks, uncertainties and other important factors, many of which are beyond the Company’s control. It should be understood that it is not possible to predict or identify all such factors. Consequently, the preceding should not be considered to be a complete discussion of all potential risks or uncertainties. Given these risk factors, investors and analysts should not place undue reliance on forward-looking statements. Forward-looking statements speak only as of the date of the document in which they are made. The Company disclaims any obligation or undertaking to provide any updates or revisions to any forward-looking statement to reflect any change in the Company’s expectations or any change in events, conditions or circumstances on which the forward-looking statement is based, except as required by law. It is advisable, however, to consult any further disclosures the Company makes on related subjects in its filings with the Securities and Exchange Commission, including Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K (if any). These statements constitute the Company’s cautionary statements under the Private Securities Litigation Reform Act of 1995.

Please visit SEACOR Marine’s website at www.seacormarine.com for additional information.

     

SEACOR MARINE HOLDINGS INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF LOSS

(in thousands, except share data)

 
Three Months Ended March 31,
2019       2018
Operating Revenues $ 56,249 $ 51,721
Costs and Expenses:
Operating 44,277 38,348
Administrative and general 12,000 12,374
Operating lease expense 4,148 3,258
Depreciation and amortization   17,193   19,512
  77,618   73,492
Gains (Losses) on Asset Dispositions and Impairments, Net   359   (2,643 )
Operating Loss   (21,010 )   (24,414 )
Other Income (Expense):
Interest income 357 216
Interest expense (7,735 ) (6,133 )
SEACOR Holdings guarantee fees (29 ) (12 )
Derivative losses, net (925 ) (11,516 )
Foreign currency gains, net   635   139
  (7,697 )   (17,306 )
Loss Before Income Tax Benefit and Equity in Earnings of 50% or Less Owned Companies (28,707 ) (41,720 )
Income Tax Benefit   (3,831 )   (9,824 )
Loss Before Equity in Earnings of 50% or Less Owned Companies (24,876 ) (31,896 )
Equity in (Losses) Earnings of 50% or Less Owned Companies   (3,397 )   208
Net Loss (28,273 ) (31,688 )
Net Loss attributable to Noncontrolling Interests in Subsidiaries   (2,724 )   (2,855 )
Net Loss attributable to SEACOR Marine Holdings Inc. $ (25,549 ) $ (28,833 )
 
Basic and Diluted Loss Per Common Share and Warrants of SEACOR Marine Holdings Inc. $ (1.11 ) $ (1.64 )
Weighted Average Common Shares and Warrants Outstanding:
Basic and Diluted 23,090,137 17,571,490
 
     

SEACOR MARINE HOLDINGS INC.

UNAUDITED CONSOLIDATED RESULTS OF OPERATIONS

(in thousands, except share data)

Three Months Ended March 31,
2019     2018
Time Charter Statistics:                
Average Rates Per Day Worked (excluding crew transfer) $ 9,451 $ 9,071
Average Rates Per Day $ 7,371 $ 7,001
Fleet Utilization (excluding crew transfer) 62 % 50 %
Fleet Utilization 61 % 53 %
Fleet Available Days (excluding crew transfer) 8,116 9,271
Fleet Available Days 11,536 12,601
Operating Revenues:
Time charter $ 52,127 93% $ 47,142 91%
Bareboat charter 1,143 2% 1,143 2%
Other marine services   2,979   5%   3,436   7%
$ 56,249   100%   51,721   100%
Costs and Expenses:
Operating:
Personnel 22,756 40% 21,676 42%
Repairs and maintenance 9,006 16% 7,073 14%
Drydocking 2,879 5% 2,257 4%
Insurance and loss reserves 1,474 3% 1,190 2%
Fuel, lubes and supplies 3,753 7% 3,545 7%
Other   4,409   8%   2,607   5%
44,277 79% 38,348 79%
Administrative and general 12,000 21% 12,374 24%
Depreciation and amortization 17,193 31% 19,512 38%
Lease expense - operating   4,148   7%   3,258   6.3%
  77,618   131%   73,492   141%
Gains (Losses) on Asset Dispositions and Impairments, Net   359   1%   (2,643 )  

(5)%

Operating Loss   (21,010 )  

(31)%

  (24,414 )  

(46)%

 
     

SEACOR MARINE HOLDINGS INC.

UNAUDITED CONSOLIDATED STATEMENTS OF LOSS

(in thousands, except statistics and per share data)

 
Three Months Ended

Mar. 31,
2019

     

Dec. 31,
2018

     

Sep. 30,
2018

     

Jun. 30,
2018

     

Mar. 31,
2018

Time Charter Statistics:
Average Rates Per Day Worked (excluding crew transfer) $ 9,451 $ 9,852 $ 10,186 $ 9,742 $ 9,071
Average Rates Per Day $ 7,371 $ 7,447 $ 7,323 $ 7,324 $ 7,001
Fleet Utilization (excluding crew transfer) 62 % 61 % 60 % 58 % 50 %
Fleet Utilization 61 % 63 % 68 % 62 % 53 %
Fleet Available Days (excluding crew transfer) 8,116 8,312 9,119 9,071 9,271
Fleet Available Days 11,536 11,808 12,617 12,528 12,601
Operating Revenues:
Time charter $ 52,127 $ 55,382 $ 62,902 $ 56,826 $ 47,142
Bareboat charter 1,143 1,168 1,168 1,156 1,143
Other marine services   2,979   14,382   6,185   2,719   3,436  
$ 56,249 $ 70,932   70,255 $ 60,701 $ 51,721  
Costs and Expenses:
Operating:
Personnel 22,756 23,598 25,021 24,733 21,676
Repairs and maintenance 9,006 7,928 9,208 9,070 7,073
Drydocking 2,879 1,396 4,822 3,112 2,257
Insurance and loss reserves 1,474 2,093 1,857 1,934 1,190
Fuel, lubes and supplies 3,753 4,618 4,690 4,122 3,545
Other   4,409   2,532   3,000   3,009   2,607  
  44,277   42,165   48,598   45,980   38,348  
Direct Vessel Profit   11,972   28,767   21,657   14,721   13,373  
Other Costs and Expenses:
Operating:
Lease expense 4,148 3,430 3,292 3,331 3,258
Administrative and general 12,000 11,795 11,767 15,041 12,374
Depreciation and amortization   17,193   16,986   17,342   18,406   19,512  
  33,341   32,211   32,401   36,778   35,144  
Gains (Losses) on Asset Dispositions and Impairments, Net   359   (7,745 )   586   1,055  

(2,643

)

Operating Loss (21,010 ) (11,189 ) (10,158 ) (21,002)

(24,414

)

Other Income (Expense):
Interest income 357 357 309 352 216
Interest expense (7,735 ) (7,486 ) (7,761 ) (6,489) (6,133 )
SEACOR Holdings guarantee fees (29 ) (5 ) (5 ) (7) (12 )
Debt extinguishment loss

-

 

-

 

 

(638 )

-

 

-

Derivative losses, net (925 ) 12,651 4,387 (2,668) (11,516 )
Foreign currency gains, net 635 (466 ) (302 ) (818) 139
Other, net  

-

  (4 ) 678  

-

 

-

 
  (7,697 )   5,047   (3,332 )     (9,630)     (17,306 )
Loss Before Income Tax Benefit and Equity in Earnings of 50% or Less Owned Companies (28,707 ) (6,142 ) (13,490 ) (30,632) (41,720 )
Income Tax (Benefit) Expense   (3,831 )   (48 )   1,249     (4,724)

 

  (9,824 )
Loss Before Equity in Earnings of 50% or Less Owned Companies (24,876 ) (6,094 ) (14,739 ) (25,908 ) (31,896 )
Equity in (Losses) Earnings of 50% or Less Owned Companies, Net of Tax   (3,397 )   (1,875 )   (1,027 )     (721 )   208  
Net Loss (28,273 ) (7,969 ) (15,766 ) (26,629 ) (31,688 )
Net Loss attributable to Noncontrolling Interests in Subsidiaries   (2,724 )   (175 )   191   (1,605 )   (2,855 )
Net Loss attributable to SEACOR Marine Holdings Inc. $ (25,549 ) $ (7,794 ) $ (15,957 ) $ (25,024 ) $ (28,833 )
 
Basic and Diluted Loss Per Common Share and Warrants of SEACOR Marine Holdings Inc. $ (1.11 ) $ (0.35 ) $ (0.71 ) $ (1.19 ) $ (1.64 )
Weighted Average Common Shares and Warrants Outstanding:
Basic and Diluted 23,090 22,514 22,513 21,035 17,571
Common Shares and Warrants Outstanding at Period End 23,222 22,711 22,709 22,709 17,787
 

                                   

SEACOR MARINE HOLDINGS INC.

UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY REGION

(in thousands, except share data)

 
United

States

(primarily

Gulf of

Mexico)

Africa

(primarily

West

Africa)

Middle

East

and Asia

Latin
America

Europe

(primarily

North

Sea)

Total
For the Three Months Ended March 31, 2019
Time Charter Statistics:
Average Rates Per Day $ 10,588 $ 9,461 $ 8,386 $ 12,900 $ 4,819 $ 7,371
Fleet Utilization 28 % 87 % 72 % 71 % 67 % 61 %
Fleet Available Days 2,698 1,313 2,061 541 4,923 11,536
Operating Revenues:
Time charter $ 8,005 $ 10,773 $ 12,499 $ 4,922 $ 15,928 $ 52,127
Bareboat charter 1,143 1,143
Other marine services   1,132   (637 )   228   635   1,621   2,979
  9,137   10,136   12,727   6,700   17,549   56,249
Direct Costs and Expenses:
Operating:
Personnel 4,503 3,867 4,254 1,556 8,576 22,756
Repairs and maintenance 2,778 1,184 2,193 335 2,516 9,006
Drydocking 1,994 338 159 79 309 2,879
Insurance and loss reserves 592 213 327 135 207 1,474
Fuel, lubes and supplies 683 754 709 428 1,179 3,753
Other   90   2,106   1,100   521   592   4,409
  10,640   8,462   8,742   3,054   13,379   44,277
Direct Vessel (Loss) Profit $ (1,503 ) $ 1,674 $ 3,985 $ 3,646 $ 4,170   11,972
Other Costs and Expenses:
Operating:
Lease expense $ 2,897 $ 665 $ 6 $ 1 $ 362 3,931
Administrative and general (1) 12,217
Depreciation and amortization 5,498 2,356 4,249 1,936 3,154   17,193
  33,341
Gains on Asset Dispositions and Impairments   359
Operating Loss $ (21,010 )
As of March 31, 2019
Property and Equipment:
Historical cost $ 416,559 $ 207,167 $ 310,297 $ 119,699 $ 241,223 $ 1,294,945
Accumulated depreciation   (223,720 )   (59,652 )   (85,627 )   (60,444 )   (149,998 )   (579,441 )
$ 192,839 $ 147,515 $ 224,670 $ 59,255 $ 91,225 $ 715,504
Total Assets (2) $ 330,938 $ 160,624 $ 266,007 $ 128,421 $ 133,019 $ 1,019,009
 

(1) Includes $217 facility lease expense

(2) Total assets by region does not include corporate assets, which are $93,340 as of March 31, 2019

     

SEACOR MARINE HOLDINGS INC.

UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY REGION

(in thousands, except statistics)

 
Three Months Ended

Mar. 31,
2019

     

Dec. 31,
2018

     

Sep. 30,
2018

     

Jun. 30,
2018

     

Mar. 31,
2018

United States, primarily Gulf of Mexico
Time Charter Statistics:
Average rates per day worked $ 10,588 $ 12,656 $ 12,476 $ 10,503 $ 8,775
Fleet utilization 28 % 29 % 30 % 23 % 17 %
Fleet available days 2,698 2,983 3,433 3,710 4,050
Out-of-service days for repairs, maintenance and drydockings 232 143 147 292 219
Out-of-service days for cold-stacked status 1579 1,761 2,101 2,435 3,111
Operating Revenues:
Time charter $ 8,005 $ 10,968 $ 12,800 $ 9,052 $ 5,982
Other marine services   1,132   8,709   2,722   1,676   1,655
  9,137   19,677   15,522   10,728   7,637
Direct Costs and Expenses:
Operating:
Personnel 4,503 5,227 4,853 4,636 3,992
Repairs and maintenance 2,778 1,128 1,801 1,529 694
Drydocking 1,994 147 375 910 525
Insurance and loss reserves 592 974 612 902 434
Fuel, lubes and supplies 683 1,055 1,120 900 493
Other   90   185   154   29   25
  10,640   8,716   8,915   8,906   6,163
Direct Vessel (Loss) Profit $ (1,503 ) $ 10,961 $ 6,607 $ 1,822 $ 1,474
Other Costs and Expenses:
Operating:
Lease expense $ 2,897 $ 1,849 $ 1,853 $ 1,862 $ 1,866
Depreciation and amortization 5,498 5,550 5,227 6,535 5,487
 
Africa, primarily West Africa
Time Charter Statistics:
Average rates per day worked $ 9,461 $ 9,411 $ 9,315 $ 9,509 $ 9,455
Fleet utilization 87 % 87 % 82 % 88 % 91 %
Fleet available days 1,313 1,310 1,475 1,331 1,260
Out-of-service days for repairs, maintenance and drydockings 58 92 46 31
Operating Revenues:
Time charter $ 10,773 $ 10,730 $ 11,201 $ 11,122 $ 10,794
Other marine services   (637 )   4,247   1,777   350   1,287
  10,136   14,977   12,978   11,472   12,081
Direct Costs and Expenses:
Operating:
Personnel 3,867 3,665 4,486 4,314 4,073
Repairs and maintenance 1,184 873 2,438 1,663 1,356
Drydocking 338 (28 ) 1,201 910 2
Insurance and loss reserves 213 307 323 248 218
Fuel, lubes and supplies 754 1,176 1,081 900 669
Other   2,106   772   1,103   1,402   1,036
  8,462   6,765   10,632   9,437   7,354
Direct Vessel Profit $ 1,674 $ 8,212 $ 2,346 $ 2,035 $ 4,727
Other Costs and Expenses:
Operating:
Lease expense $ 665 $ 958 $ 960 $ 962 $ 963
Depreciation and amortization 2,356 2,341 2,381 2,924 2,807
 

     

SEACOR MARINE HOLDINGS INC.

UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY REGION (continued)

(in thousands, except statistics)

 
Three Months Ended

Mar. 31,
2019

     

Dec. 31,
2018

     

Sep. 30,
2018

     

Jun. 30,
2018

     

Mar. 31,
2018

Middle East and Asia
Time Charter Statistics:
Average rates per day worked $ 8,386 $ 8,856 $ 8,156 $ 8,226 $ 8,072
Fleet utilization 72 % 70 % 76 % 82 % 66 %
Fleet available days 2,061 2,009 2,024 2,005 2,132
Out-of-service days for repairs, maintenance and drydockings 95 178 76 4 151
Out-of-service days for cold-stacked status 90 92 92 91 130
Operating Revenues:
Time charter $ 12,499 $ 12,517 $ 12,590 $ 13,591 $ 11,374
Other marine services   228   118   (83 )   (792 )   (130 )
  12,727   12,635   12,507   12,799   11,244
Direct Costs and Expenses:
Operating:
Personnel 4,254 4,354 4,361 4,069 4,022
Repairs and maintenance 2,193 3,077 2,091 3,576 2,428
Drydocking 159 949 352 72 (11 )
Insurance and loss reserves 327 389 385 361 236
Fuel, lubes and supplies 709 1,179 892 922 1,034
Other   1,100   984   952   836   1,208
  8,742   10,932   9,033   9,836   8,917
Direct Vessel Profit $ 3,985 $ 1,703 $ 3,474 $ 2,963 $ 2,327
Other Costs and Expenses:
Operating:
Lease expense $ 6 $

$ $ $
Depreciation and amortization 4,249 4,154 4,207 4,311 6,090
 
Latin America
Time Charter Statistics:
Average rates per day worked $ 12,900 $ 11,866 $ 17,604 $ 19,127 $ 15,272
Fleet utilization 71 % 72 % 80 % 57 % 41 %
Fleet available days 541 460 531 416 219
Out-of-service days for repairs, maintenance and drydockings 5
Out-of-service days for cold-stacked status 90 92 92 91 90
Operating Revenues:
Time charter $ 4,922 $ 3,934 $ 7,479 $ 4,556 $ 1,374
Bareboat charter 1,143 1,168 1,168 1,156 1,143
Other marine services   635   183   416   845   110
  6,700   5,285   9,063   6,557   2,627
Direct Costs and Expenses:
Operating:
Personnel 1,556 1,142 1,662 1,219 376
Repairs and maintenance 335 362 312 32 305
Drydocking 79 14 103 11
Insurance and loss reserves 135 96 163 169 67
Fuel, lubes and supplies 428 384 427 349 65
Other   521   232   350   488   60
  3,054   2,230   3,017   2,268   873
Direct Vessel Profit $ 3,646 $ 3,055 $ 6,046 $ 4,289 $ 1,754
Other Costs and Expenses:
Operating:
Lease expense $ 1 $ $ $ $
Depreciation and amortization 1,936 1,888 2,521 2,280 1,219
 

     

SEACOR MARINE HOLDINGS INC.

UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY REGION (continued)

(in thousands, except statistics)

 
Three Months Ended

Mar. 31,
2019

     

Dec. 31,
2018

     

Sep. 30,
2018

     

Jun. 30,
2018

     

Mar. 31,
2018

Europe, primarily North Sea
Time Charter Statistics:
Average rates per day worked 4,819 4,676 4,287 4,823 5,164
Fleet utilization 67 % 73 % 85 % 76 % 69 %
Fleet available days 4,923 5,046 5,154 5,065 4,940
Out-of-service days for repairs, maintenance and drydockings 124 136 240 77 137
Out-of-service days for cold-stacked status 90 92 61
Operating Revenues:
Time charter $ 15,928 $ 17,233 $ 18,832 $ 18,505 $ 17,618
Other marine services   1,621   1,125   1,353   640   514
  17,549   18,358   20,185   19,145   18,132
Direct Costs and Expenses:
Operating:
Personnel 8,576 9,210 9,659 10,495 9,213
Repairs and maintenance 2,516 2,488 2,566 2,270 2,290
Drydocking 309 314 2,791 1,209 1,741
Insurance and loss reserves 207 327 374 254 235
Fuel, lubes and supplies 1,179 824 1,170 1,051 1,284
Other   592   359   441   254   278
  13,379   13,522   17,001   15,533   15,041
Direct Vessel Profit $ 4,170 $ 4,836 $ 3,184 $ 3,612 $ 3,091
Other Costs and Expenses:
Operating:
Lease expense $ 362 $ 178 $ 12 $ 22 $
Depreciation and amortization 3,154 3,053 3,006 2,976 2,861

     

SEACOR MARINE HOLDINGS INC.

UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY VESSEL CLASS

(in thousands, except statistics)

 
Three Months Ended

Mar. 31,
2019

     

Dec. 31,
2018

     

Sep. 30,
2018

     

Jun. 30,
2018

     

Mar. 31,
2018

Anchor handling towing supply
Time Charter Statistics:
Average rates per day worked $ 8,502 $ 8,506 $ 9,269 $ 13,381 $ 10,322
Fleet utilization 38 % 26 % 28 % 23 % 21 %
Fleet available days 900 1,012 1,012 866 1,260
Out-of-service days for repairs, maintenance and drydockings 34 12 100 23 36
Out-of-service days for cold-stacked status 521 644 602 608 947
Operating Revenues:
Time charter $ 2,875 $ 2,248 $ 2,592 $ 2,712 $ 2,787
Other marine services   (658 )   2,426   1,244   (91 )   1,438
  2,217   4,674   3,836   2,621   4,225
Direct Costs and Expenses:
Operating:
Personnel 1,390 1,279 1,667 1,593 1,397
Repairs and maintenance 630 386 1,625 1,281 394
Drydocking 75 (70 ) 1,168 945 480
Insurance and loss reserves 122 219 282 265 91
Fuel, lubes and supplies 62 467 582 586 153
Other   592   568   530   689   452
  2,871   2,849   5,854   5,359   2,967
Direct Vessel (Loss) Profit $ (654 ) $ 1,825 $ (2,018 ) $ (2,738 ) $ 1,258
Other Costs and Expenses:
Operating:
Lease expense $ 1,539 $ 1,847 $ 1,851 $ 1,855 $ 1,858
Depreciation and amortization 575 679 689 532 1,490
 
Fast support
Time Charter Statistics:
Average rates per day worked $ 7,609 $ 7,749 $ 7,148 $ 6,963 $ 7,746
Fleet utilization 68 % 67 % 59 % 62 % 53 %
Fleet available days 3,295 3,187 3,709 3,820 3,780
Out-of-service days for repairs, maintenance and drydockings 72 151 131 53 109
Out-of-service days for cold-stacked status 622 659 1,037 1,191 1,253
Operating Revenues:
Time charter $ 17,083 $ 16,453 $ 15,678 $ 16,488 $ 15,427
Other marine services   (251 )   (952 )   (834 )   (505 )   (656 )
  16,832   15,501   14,844   15,983   14,771
Direct Costs and Expenses:
Operating:
Personnel 5,511 5,328 5,826 5,258 4,756
Repairs and maintenance 2,337 2,595 2,641 3,406 2,544
Drydocking 350 1 432 115 (9 )
Insurance and loss reserves 326 534 407 314 324
Fuel, lubes and supplies 1,102 1,368 1,016 1,015 795
Other   2,464   1,062   1,718   1,466   1,460
  12,090   10,888   12,040   11,574   9,870
Direct Vessel Profit $ 4,742 $ 4,613 $ 2,804 $ 4,409 $ 4,901
Other Costs and Expenses:
Operating:
Lease expense $ 352 $ 341 $ 342 $ 342 $ 342
Depreciation and amortization 5,944 5,525 5,780 6,585 6,585
 
     

SEACOR MARINE HOLDINGS INC.

UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY VESSEL CLASS (continued)

(in thousands, except statistics)

 
Three Months Ended

Mar. 31,
2019

     

Dec. 31,
2018

     

Sep. 30,
2018

     

Jun. 30,
2018

     

Mar. 31,
2018

Supply
Time Charter Statistics:
Average rates per day worked $ 7,001 $ 7,050 $ 7,410 $ 7,174 $ 6,454
Fleet utilization 62 % 81 % 82 % 69 % 73 %
Fleet available days 501 460 565 637 633
Out-of-service days for repairs, maintenance and drydockings 60 27 16
Out-of-service days for cold-stacked status 19 68
Operating Revenues:
Time charter $ 2,182 $ 2,631 $ 3,442 $ 3,149 $ 3,002
Bareboat charter 1,143 1,168 1,168 1,156 1,143
Other marine services   781   619   1,066   39   (18 )
  4,106   4,418   5,676   4,344   4,127
Direct Costs and Expenses:
Operating:
Personnel 1,678 1,487 1,976 1,999 1,956
Repairs and maintenance 619 403 549 259 445
Drydocking 162 1,023 1,624 585
Insurance and loss reserves 105 130 145 134 102
Fuel, lubes and supplies 399 445 391 317 694
Other   1,144   762   254   1,048   719
  4,107   4,250   4,939   4,342   3,916
Direct Vessel (Loss) Profit $ (1 ) $ 168 $ 737 $ 2 $ 211
Other Costs and Expenses:
Operating:
Lease expense $ 318 $ 178 $ 34 $ $
Depreciation and amortization 1,036 966 1,173 1,394 2,743
 
Standby safety
Time Charter Statistics:
Average rates per day worked $ 8,499 $ 8,504 $ 8,692 $ 9,157 $ 9,058
Fleet utilization 82 % 82 % 77 % 80 % 78 %
Fleet available days 1,620 1,734 1,809 1,746 1,849
Out-of-service days for repairs, maintenance and drydockings 71 89 117 46 87
Operating Revenues:
Time charter $ 11,308 $ 12,024 $ 12,036 $ 12,791 $ 13,051
Other marine services   31   11   50   39   40
  11,339   12,035   12,086   12,830   13,091
Direct Costs and Expenses:
Operating:
Personnel 6,133 6,774 5,855 8,148 6,938
Repairs and maintenance 1,422 1,601 1,627 1,464 1,554
Drydocking 309 273 1,156 624 1,741
Insurance and loss reserves 60 216 234 143 138
Fuel, lubes and supplies 947 657 975 843 991
Other   240   209   351   144   161
  9,111   9,730   10,198   11,366   11,523
Direct Vessel Profit $ 2,228 $ 2,305 $ 1,888 $ 1,464 $ 1,568
Other Costs and Expenses:
Depreciation and amortization $ 1,096 $ 1,085 $ 945 $ 681 $ 694
 

     

SEACOR MARINE HOLDINGS INC.

UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY VESSEL CLASS (continued)

(in thousands, except statistics)

 
Three Months Ended

Mar. 31,
2019

     

Dec. 31,
2018

     

Sep. 30,
2018

     

Jun. 30,
2018

     

Mar. 31,
2018

Specialty
Time Charter Statistics:
Fleet available days 90 92 92 91 90
Out-of-service days for cold-stacked status 90 92 92 91 90
Operating Revenues:
Other marine services $ $ 337 $ $ $
 
Direct Costs and Expenses:
Operating:
Personnel 65 64 64 79 164
Repairs and maintenance 4 12 31 13 37
Drydocking (6 )
Insurance and loss reserves 8 9 41 25 10
Fuel, lubes and supplies 31 33 65 (29 ) 83
Other   95   70   67   93   104
  203   188   268   181   392
Direct Vessel (Loss) Profit $ (203 ) $ 149 $ (268 ) $ (181 ) $ (392 )
Other Costs and Expenses:
Depreciation and amortization 128 282 282 283 282
 
Liftboats
Time Charter Statistics:
Average rates per day worked $ 17,750 $ 18,497 $ 18,993 $ 19,225 $ 16,068
Fleet utilization 46 % 49 % 60 % 43 % 30 %
Fleet available days 1,710 1,827 1,932 1,911 1,659
Out-of-service days for repairs, maintenance and drydockings 224 132 86 266 116
Out-of-service days for cold-stacked status 526 550 554 708 933
Operating Revenues:
Time charter $ 13,877 $ 16,631 $ 22,171 $ 15,788 $ 8,126
Other marine services   2,080   1,926   2,922   1,569   756
  15,957   18,557   25,093   17,357   8,882
Direct Costs and Expenses:
Operating:
Personnel 5,097 5,546 5,621 4,671 3,461
Repairs and maintenance 2,828 1,971 1,827 1,553 1,134
Drydocking 1,983 167 433 842 51
Insurance and loss reserves 884 872 630 889 651
Fuel, lubes and supplies 1,005 1,485 1,482 1,153 668
Other   444   667   620   336   417
  12,241   10,708   10,613   9,444   6,382
Direct Vessel Profit $ 3,716 $ 7,849 $ 14,480 $ 7,913 $ 2,500
Other Costs and Expenses:
Operating:
Lease expense $ 1,498 $ 638 $ 641 $ 644 $ 638
Depreciation and amortization 6,053 6,098 6,188 6,333 5,025
 

     

SEACOR MARINE HOLDINGS INC.

UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY VESSEL CLASS (continued)

(in thousands, except statistics)

 
Three Months Ended

Mar. 31,
2019

     

Dec. 31,
2018

     

Sep. 30,
2018

     

Jun. 30,
2018

     

Mar. 31,
2018

Crew transfer
Time Charter Statistics:
Average rates per day worked $ 2,325 $ 2,283 $ 2,253 $ 2,330 $ 2,305
Fleet utilization 60 % 68 % 89 % 73 % 62 %
Fleet available days 3,420 3,496 3,498 3,457 3,330
Out-of-service days for repairs, maintenance and drydockings 53 47 123 31 113
Out-of-service days for cold-stacked status 90 92 61 40
Operating Revenues:
Time charter $ 4,802 $ 5,395 $ 6,983 $ 5,898 $ 4,749
Other marine services   322   460   657   563   429
  5,124   5,855   7,640   6,461   5,178
Direct Costs and Expenses:
Operating:
Personnel 2,309 2,274 2,471 2,295 2,222
Repairs and maintenance 1,096 814 806 987 825
Drydocking 2 9 1
Insurance and loss reserves 104 94 130 93 103
Fuel, lubes and supplies 189 145 163 219 144
Other   113   165   104   173   96
  3,811   3,494   3,683   3,768   3,390
Direct Vessel Profit $ 1,313 $ 2,361 $ 3,957 $ 2,693 $ 1,788
Other Costs and Expenses:
Operating:
Lease expense $ $ $ (22 ) $ 22 $
Depreciation and amortization 2,031 679 689 532 1,490
 
Other Activity
Operating Revenues:
Other marine services $ 674 $ 9,555 $ 1,080 $ 1,105 $ 1,447
  674   9,555   1,080   1,105   1,447
Direct Costs and Expenses:
Operating:
Personnel 573 846 1,541 690 782
Repairs and maintenance 70 146 102 107 140
Insurance and loss reserves (135 ) 19 (12 ) 71 (229 )
Fuel, lubes and supplies 18 18 16 18 17
Other   (683 )   (971 )   (644 )   (940 )   (802 )
  (157 )   58   1,003   (54 )   (92 )
Direct Vessel Profit $ 831 $ 9,497 $ 77 $ 1,159 $ 1,539
Other Costs and Expenses:
Operating:
Lease expense $ 224 $ (19 ) $ (21 ) $ (23 ) $ (13 )
Depreciation and amortization 330 196 192 218 265
 
     

SEACOR MARINE HOLDINGS INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (NON-GAAP PRESENTATION)

(in thousands)

 
Three Months Ended

Mar. 31,
2019

     

Dec. 31,
2018

     

Sep. 30,
2018

     

Jun. 30,
2018

     

Mar. 31,
2018

Cash Flows from Operating Activities:
DVP 11,972 28,767 $ 21,657 $ 14,721 $ 13,373
Operating, leased-in equipment (excluding amortization of deferred gains) (5,157 ) (4,994 ) (4,834 ) (4,850 ) (4,834 )
Administrative and general (excluding provisions for bad debts and amortization of share awards) (11,860 ) (12,314 ) (11,452 ) (14,076 ) (12,357 )
SEACOR Holdings management and guarantee fees (29 ) (5 ) (5 ) (7 ) (12 )
Dividends received from 50% or less owned companies 400 400 1,324
Other, net (excluding non-cash losses)     (3 )   249    
(4,674 ) 11,851 5,615 (2,888 ) (3,830 )
Changes in operating assets and liabilities before interest and income taxes 5,372 (10,638 ) (16,587 ) (14,575 ) (4,938 )
Director share awards 893
Restricted stock vested (282 ) (5 ) (32 ) (51 )
Cash settlements on derivative transactions, net (75 ) 1,420 102 (21 ) (129 )
Interest paid, excluding capitalized interest (1) (4,664 ) (5,929 ) (5,498 ) (5,875 ) (2,828 )
Interest received 357 357 309 352 216
Income taxes refunded, net   1,999   40   (344 )   (12 )  
Net cash used in operating activities   (1,967 )   (2,904 )   (16,435 )   (22,177 )   (11,509 )
Cash Flows from Investing Activities:
Purchases of property and equipment (20,813 ) (14,217 ) (21,601 ) (5,983 ) (8,557 )
Capitalized interest paid (370 ) (614 ) (1,008 )
Proceeds from disposition of property and equipment 552 17,476 1,858 3,244 282
Net change in construction reserve fund   (48 )   7,535   2,556   7,209
Net investing activities in property and equipment (20,679 ) 10,794 (17,801 ) 3,462 (8,275 )
Investments in and advances to 50% or less owned companies (1,951 ) (3,672 ) 1,770 (5,610 ) (19,950 )
Net investing activities in third party notes receivable 17 99
Sale of subsidiary to joint venture       8,017    
Net cash (used in) provided by investing activities   (22,630 )   7,139   (8,014 )   (2,148 )   (28,126 )
Cash Flows from Financing Activities:
Payments on long-term debt (4,361 ) (11,352 ) (2,851 ) (6,395 ) (28,807 )
Proceeds from issuance of long-term debt, net of issue costs (336 ) 43,882 18,471
Purchase of subsidiary shares from noncontrolling interests (3,392 )
Proceeds from exercise of stock options and Warrants 108 20 813
Issuance of stock         54,012   1,793
Net cash (used in) provided by financing activities   (7,645 )   (11,668 )   41,031   48,430   (8,543 )
Effects of Exchange Rate Changes on Cash and Cash Equivalents   1,485   (233 )   (253 )   (970 )   682
Net Change in Cash, Cash Equivalents and Restricted Cash (30,757 ) (7,666 ) 16,329 23,135 (47,496 )
Cash, Restricted Cash and Cash Equivalents, Beginning of Period   96,852   104,519   88,190   65,055   112,551
Cash, Restricted Cash and Cash Equivalents, End of Period $ 66,095 $ 96,853 $ 104,519 $ 88,190 $ 65,055
 
                             

SEACOR MARINE HOLDINGS INC.

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands)

 

March 31,
2019

December 31,
2018

September 30,
2018

June 30,
2018

March 31,
2018

ASSETS
Current Assets:
Cash and cash equivalents $ 63,855 $ 95,195 $ 102,864 $ 86,239 $ 62,738
Restricted cash 2,240 1,657 1,655 1,951 2,316
Receivables: `
Trade, net of allowance for doubtful accounts 67,900 64,125 75,349 57,658 45,664
Other 9,078 12,082 16,552 16,039 17,039
Inventories 4,139 3,443 3,646 3,666 3,975
Prepaid expenses and other   4,597   2,530   2,692   4,090   3,613
Total current assets   151,809   179,032   202,758   169,643   135,345
Property and Equipment:
Historical cost 1,294,945 1,242,733 1,279,000 1,287,855 1,320,496
Accumulated depreciation   (579,441 )   (561,272 )   (568,752 )   (564,477 )   (580,461 )
715,504 681,461 710,248 723,378 740,035
Construction in progress   63,301   88,918   82,953   82,274   80,682
Net property and equipment   778,805   770,379   793,201   805,652   820,717
Right-of-Use Asset - Operating Leases 30,503
Investments, at Equity, and Advances to 50% or Less Owned Companies 119,520 121,773 120,340 115,424 112,219
Construction Reserve Funds 28,109 28,061 35,596 38,152 45,361
Other Assets   3,603   3,690   3,582   3,667   3,736
$ 1,112,349 $ 1,102,935 $ 1,155,477 $ 1,132,538 $ 1,117,378
LIABILITIES AND EQUITY
Current Liabilities:
Current portion of operating lease liabilities $ 17,918
Current portion of long-term debt 17,426 16,812 17,426 22,858 22,858
Accounts payable and accrued expenses 27,263 19,370 20,480 23,774 25,551
Due to SEACOR Holdings 535 452 463 746 1,583
Other current liabilities   47,567   46,983   63,772   56,469   55,365
Total current liabilities   110,709   83,617   102,141   103,847   105,357
Long-Term Operating Lease Liabilities 19,851
Long-Term Debt 384,344 387,854 397,738 348,912 405,234
Conversion Option Liability on Convertible Senior Notes 6,201 5,276 17,928 21,886 18,991
Deferred Income Taxes 41,831 44,682 46,120 49,789 56,024
Deferred Gains and Other Liabilities   7,290   26,571   26,662   27,289   28,600
Total liabilities   570,226   548,000   590,589   551,723   614,206
Equity:
SEACOR Marine Holdings Inc. stockholders’ equity:
Common stock 211 204 204 204 178
Additional paid-in capital 422,830 415,372 414,460 413,754 306,639
Retained earnings 111,701 126,834 134,628 150,585 175,609
Shares held in treasury (373 ) (91 ) (86 ) (54 )
Accumulated other comprehensive loss, net of tax   (16,812 )   (16,788 )   (13,945 )   (13,129 )   (10,424 )
517,557 525,531 535,261 551,360 472,002
Noncontrolling interests in subsidiaries   24,566   29,404   29,627   29,455   31,170
Total equity   542,123   554,935   564,888   580,815   503,172
$ 1,112,349 $ 1,102,935 $ 1,155,477 $ 1,132,538 $ 1,117,378
 

                                     

SEACOR MARINE HOLDINGS INC.

UNAUDITED FLEET COUNTS

 
 

March 31, 2019
(1)

December 31,
2018

September 30,
2018

June 30, 2018 March 31, 2018
AHTS   11   12   13   13 19
FSV 42 41 47 49 50
Supply 42 39 29 29 29
Standby safety 18 19 20 21 22
Specialty 7 7 4 4 4
Liftboats 19 19 21 21 21
Crew transfer   43   42   42   42 41
182 179 176 179 186
 

______________________

(1) Excludes seven owned and one leased-in offshore support vessels that have been retired and removed from service.

               

SEACOR MARINE HOLDINGS INC.

UNAUDITED EXPECTED FLEET DELIVERIES

 
2019 2020
Q2     Q3     Q4 Q1     Q2     Q3     Q4 Deferred Total
Fast support  

-

 

-

 

-

 

-

  1  

-

 

-

2 3
Supply

-

2

-

-

-

-

-

2
Crew transfer 1 1 1

-

-

-

-

3
Platform supply

-

1 1 1

-

-

-

-

3
 
 

Contacts

Connie Morinello at (346) 980-1700 or InvestorRelations@seacormarine.com

Contacts

Connie Morinello at (346) 980-1700 or InvestorRelations@seacormarine.com