SBM Offshore posts 38% revenue growth boosted by Liza Unity sale (updated)

SBM Offshore NV

29/02/2024 07:20

(Adds details on turnkey segment, EBITDA and outlook from
paragraph 4)
       Feb 29 (Reuters) - Dutch oil and gas services company
SBM Offshore  SBMO.AS  reported a 38% jump in full-year revenue
on Thursday, driven by the November sale of its floating
production, storage and offloading (FPSO) vessel Liza Unity in
Guyana.
    The company, which leases, operates, builds and sells FPSO
vessels to produce and transport crude and gas, generated
directional revenue at a record high level of $4.53 billion last
year, compared to $3.29 billion in 2022. 
    That slightly exceeded its $4.4 billion forecast from
November.
    The group attributed the strong performance to its turnkey
segment, as revenues from turnkey supply contracts and
after-sales services increased by 69% in 2023 with the sale of
the Liza Unity vessel.
    The start of front-end engineering and design work for FPSO
Jaguar and "additional variation orders" on FPSO Prosperity -
also in Guyana - further boosted annual turnkey revenue, the
company said.
    SBM Offshore calculates its results using a method of
"directional reporting" which records payments made during the
construction phase prior to a lease's execution as revenue.
    The Amsterdam-based company said it sees a directional
revenue of $3.5 billion for 2024, while analysts were expecting
$3.16 billion according to a company-compiled consensus.
    The group's directional core profit increased by 31% to
$1.31 billion in 2023, in line with its earlier guidance of
$1.30 billion.

 (Reporting by Stéphanie Hamel in Gdansk; editing by Milla
Nissi)
 ((stephanie.hamel@thomsonreuters.com))