Seadrill Beats on Q1 Earnings, Misses Revenues – Tale of the Tape

Zacks

Hamilton, Bermuda-based Seadrill Ltd. (SDRL) primarily provides services related to offshore drilling activities to customers worldwide. Currently, the company is operating about 69 drilling units that include drillships, jackups, semi-submersibles and tender rigs.

Currently, Seadrill has a Zacks Rank #3 (Hold) but that could change following its first quarter 2015 earnings report which has just released. Coming to earnings surprise history, the partnership has surpassed estimates in two of the last four quarters, leading to an average beat of 0.57%.

We have highlighted some of the key details from the just-released announcement below:

Earnings: Seadrill beats on earnings. Diluted earnings per share came in at 86 cents, comfortably above the Zacks Consensus Estimate of 62 cents.

Revenue: Revenues misses expectations. Revenues of $1,244 million failed to meet the Zacks Consensus Estimate of $1,262 million.

Key Stats: The ‘Floater’ segment reported revenues of $832 million against $839 million in the year-ago quarter. Net operating income of $376 million was down from the first quarter 2014 figure of $784 million.

The ‘Jackup rig’ unit registered revenues of $377 million compared with $315 million in the prior-year quarter. Net operating income of $325 million was substantially higher than $103 million recorded a year ago.

Stock Movement: Seadrill’s shares are down 1.4% during pre-market trading hours following the earnings release.

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