Transocean Earnings: RIG Stock Edges Higher on Narrow Q1 Loss

Transocean (NYSE:RIG) posted its latest quarterly earnings results late on Monday, bringing in a loss that was narrower than what analysts projected–this figure, combined with a strong sales performance, played a role in RIG stock increased after hours.

Transocean EarningsFor its first three months of its fiscal 2019, the Swiss offshore drilling business amassed earnings at a loss of 30 cents per share, which was about 2 cents per share below the Wall Street guidance. Revenue tallied up to $799 million, topping the $742.91 billion that analysts called for.

Transocean added that its total contract drilling revenues came in at $754 million, which marked a 13.5% increase when compared to same metric during its first quarter of 2018. This amount was stronger than Wall Street’s consensus estimate of $751.3 million.

This increase that was propelled due in large part to a full quarter of revenues from three working rigs that were acquired in the Ocean Rig acquisition in December to go along with higher revenue efficiency in its ultra-deepwater floaters. Transocean’s average daily revenues experienced a 6.5% gain to $306,500.

“Over the past four quarters, we have secured over $2 billion in new contract awards; and, based on our recent customer engagements, it appears that the stabilization of oil prices, and the continued improvement in offshore project economics, have combined to provide our customers with the requisite confidence to move forward with more offshore projects,” Transocean CEO Jeremy Thigpen said.

RIG stock was up 1.1% after the bell Monday thanks to its strong quarterly earnings performance. Shares had been flat throughout regular trading hours.

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