Civeo Corporation (NYSE:CVEO) today reported financial and
operating results for the second quarter ended June 30, 2020.
Highlights include:
- Reported second quarter revenues of $114.7 million, net income
of $6.1 million and operating cash flow of $24.5 million;
- Delivered second quarter Adjusted EBITDA of $28.1 million and
free cash flow of $25.1 million; and
- Reduced leverage ratio to 2.34x as of June 30, 2020 from 2.54x
as of March 31, 2020.
“I am pleased with the financial performance of the Company in
the second quarter given this environment, but I am most proud of
our team’s safety performance during this challenging time. Their
efforts to keep each other and our guests safe and our locations
open are a testament to Civeo's core values. As we are all still
working hard to navigate the COVID-19 pandemic, I want to once
again thank our employees for their commitment and focus during
this difficult time. I am proud of how our team has handled this
pandemic and we have received extremely positive feedback from our
customers and other stakeholders. We are continuing to closely
monitor the COVID-19 situation and follow our stringent safety
protocols,“ stated Bradley J. Dodson, Civeo's President and Chief
Executive Officer.
Mr. Dodson continued, “Civeo’s second quarter financial
performance underscores 1) our team’s ability to execute quickly
and respond to difficult market conditions; 2) our strong customer
relationships and contracts; and 3) the benefits of the Company’s
diversified geographic and commodity end-market footprint. While
keeping our customers and guests safe, we were able to address our
cost structure quickly in North America as occupancy and activity
decreased swiftly in March and April. With a strong market position
in Canada, we were able to capture the majority of the occupancy in
our target markets, allowing us to generate positive operational
contributions. Our differentiating exposure to the Australian
natural resources industry also benefited the company as occupancy
and profitability continued to improve in that region. The second
quarter’s solid performance was highlighted by a 44% year-over-year
increase in our Australian segment’s Adjusted EBITDA. In total,
despite the significant decline in oil prices and related decline
in Canadian occupancy, we continued to generate strong free cash
flow and reduce our leverage ratio."
Mr. Dodson concluded, "Looking forward, we expect occupancy in
Canada to improve modestly in the second half of 2020 compared to
the second quarter run rate, and we expect continued strength in
our Australian operations. Overall our focus remains the same:
continue to operate safely, maximize cash flow generation and
reduce debt."
Second Quarter 2020 Results
In the second quarter of 2020, Civeo generated revenues of
$114.7 million and reported net income of $6.1 million (diluted net
income of $5.3 million or $0.03 per diluted share). Net income
includes $4.7 million of income ($4.7 million after-tax, or $0.03
per diluted share) associated with the settlement of a
representations and warranties claim related to the Noralta
acquisition. During the second quarter of 2020, Civeo produced
operating cash flow of $24.5 million, Adjusted EBITDA of $28.1
million and free cash flow of $25.1 million. The second quarter of
2020 Adjusted EBITDA outperformed the second quarter of 2019
primarily due to increased occupancy in our Australian Bowen Basin
villages, the contribution from the Action Catering acquisition and
$6.2 million of other income related to proceeds from the Canada
Emergency Wage Subsidy ("CEWS").
By comparison, in the second quarter of 2019, Civeo generated
revenues of $122.2 million and reported a net loss of $15.3
million, or $0.09 per diluted share. The second quarter net loss
included asset impairments in Australia totaling $5.5 million, or
$0.03 per diluted share. During the second quarter of 2019, Civeo
produced operating cash flow of $3.6 million and Adjusted EBITDA of
$26.5 million.
(EBITDA is a non-GAAP financial measure that is defined as net
income plus interest, taxes, depreciation and amortization, and
Adjusted EBITDA is defined as EBITDA adjusted to exclude impairment
charges, adjustments regarding an asset retirement obligation
recorded in the second quarter of 2019 and proceeds from a
representations and warranties claim related to a prior
acquisition. Free cash flow is a non-GAAP financial measure that is
defined as net cash flows provided by operating activities less
capital expenditures plus proceeds from asset sales. Please see the
reconciliations to GAAP measures at the end of this news
release.)
Business Segment Results
(Unless otherwise noted, the following discussion compares the
quarterly results for the second quarter of 2020 to the results for
the second quarter of 2019.)
Canada
During the second quarter of 2020, the Canadian segment
generated revenues of $53.0 million, operating loss of $6.7 million
and Adjusted EBITDA of $15.3 million, compared to revenues of $78.1
million, operating loss of $5.8 million and Adjusted EBITDA of
$16.3 million in the second quarter of 2019. The second quarter of
2020 Adjusted EBITDA included $6.2 million of other income related
to proceeds from the CEWS and a $1.7 million gain on sale of assets
from the partial sale of assets from our Henday lodge.
On a constant currency basis, the Canadian segment experienced a
30% period-over-period decrease in revenues driven by a 45%
year-over-year reduction in billed rooms related to decreased
customer activity due to the decline in oil prices and the COVID-19
pandemic. Adjusted EBITDA for the Canadian segment decreased 19%
year-over-year primarily due to lower billed rooms in the oil sands
lodges, partially offset by the CEWS proceeds and a higher gain on
sale of assets.
Australia
During the second quarter of 2020, the Australian segment
generated revenues of $57.1 million, operating income of $8.2
million and Adjusted EBITDA of $18.8 million, compared to revenues
of $31.0 million, operating loss of $5.6 million and Adjusted
EBITDA of $13.0 million in the second quarter of 2019. The second
quarter of 2020 results reflect the impact of a weakened Australian
dollar relative to the U.S. dollar, which decreased revenues and
Adjusted EBITDA by $2.2 million and $1.2 million, respectively.
On a constant currency basis, the Australian segment experienced
a 96% period-over-period increase in revenues primarily driven by
contributions from the acquisition of Action Catering coupled with
increased occupancy at our Bowen Basin villages. Australian village
occupancy increased 21% year-over-year largely due to continued
improvement in metallurgical coal activity across the Bowen Basin.
Adjusted EBITDA from the Australian segment increased 44%
year-over-year due to higher village occupancy coupled with
contributions from the acquisition of Action Catering. Australian
revenues in the second quarter of 2020 increased more
year-over-year than Australian Adjusted EBITDA due to the inherent
lower margins in the service-only business model of Action
Catering.
U.S.
The U.S. segment generated revenues of $4.6 million, operating
loss of $2.6 million and negative Adjusted EBITDA of $1.4 million
in the second quarter of 2020, compared to revenues of $13.1
million, operating loss of $1.4 million and Adjusted EBITDA of $2.6
million in the second quarter of 2019. Revenues and Adjusted EBITDA
declined year-over-year primarily due to lower drilling and
completion activity coupled with lower occupancy in the U.S.
lodges.
Income Taxes
Civeo recognized an income tax expense of $0.1 million, which
resulted in an effective tax rate of 2%, in the second quarter of
2020. During the second quarter of 2019, Civeo recognized an income
tax benefit of $2.9 million, which resulted in an effective tax
rate of 16%.
Financial Condition
As of June 30, 2020, Civeo had total liquidity of approximately
$166.2 million, consisting of $158.9 million available under its
revolving credit facilities and $7.3 million of cash on hand.
Civeo’s total debt outstanding on June 30, 2020 was $299.5
million, a $15.3 million decrease since March 31, 2020. The
decrease consisted of $28.0 million in debt payments from cash flow
generated by the business, partially offset by an unfavorable
foreign currency translation impact of $12.7 million.
Civeo reduced its leverage ratio from 2.54x as of March 31, 2020
to 2.34x as of June 30, 2020.
During the second quarter of 2020, Civeo invested $1.2 million
in capital expenditures, down from $11.5 million during the second
quarter of 2019 due to the completion of the Sitka lodge expansion
in 2019.
Full Year 2020 Guidance
Civeo is again providing full year 2020 revenue and EBITDA
guidance. For the full year of 2020, Civeo expects revenues of $476
million to $486 million and Adjusted EBITDA of $80 million to $85
million. This guidance is based on our expectations as of the date
hereof and assumes no material changes to the current macro
environment, or conditions related to the COVID-19 pandemic and the
responses thereto. The Company is maintaining its full year 2020
capital expenditure guidance of approximately $15 million.
Conference Call
Civeo will host a conference call to discuss its second quarter
2020 financial results today at 11:00 a.m. Eastern time. This call
is being webcast and can be accessed at Civeo's website at
www.civeo.com. Participants may also join the conference call by
dialing (800) 263-0877 in the United States or (646) 828-8143
internationally and using the conference ID 6978181#. A replay will
be available after the call by dialing (844) 512-2921 in the United
States or (412) 317-6671 internationally and using the conference
ID 6978181#.
About Civeo
Civeo Corporation is a leading provider of hospitality services
with prominent market positions in the Canadian oil sands and the
Australian natural resource regions. Civeo offers comprehensive
solutions for lodging hundreds or thousands of workers with its
long-term and temporary accommodations and provides food services,
housekeeping, facility management, laundry, water and wastewater
treatment, power generation, communications systems, security and
logistics services. Civeo currently operates a total of 28 lodges
and villages in Canada, Australia and the U.S., with an aggregate
of approximately 30,000 rooms. Civeo is publicly traded under the
symbol CVEO on the New York Stock Exchange. For more information,
please visit Civeo's website at www.civeo.com.
Forward Looking Statements
This news release contains forward-looking statements within the
meaning of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. Forward-looking statements are
those that do not state historical facts and are, therefore,
inherently subject to risks and uncertainties. The forward-looking
statements herein include the statements regarding Civeo’s future
plans and outlook, including expectations in the Canada and
Australia segments, are based on then current expectations and
entail various risks and uncertainties that could cause actual
results to differ materially from those expressed or implied by
these forward-looking statements. Such risks and uncertainties
include, among other things, risks associated with global health
concerns and pandemics, including the COVID-19 pandemic and the
risk that room occupancy may decline if our customers are limited
or restricted in the availability of personnel who may become ill
or be subjected to quarantine, risks associated with the general
nature of the accommodations industry, risks associated with the
level of supply and demand for oil, coal, iron ore and other
minerals, including the level of activity, spending and
developments in the Canadian oil sands, the level of demand for
coal and other natural resources from, and investments and
opportunities in, Australia, and fluctuations or sharp declines in
the current and future prices of oil, natural gas, coal, iron ore
and other minerals, risks associated with failure by our customers
to reach positive final investment decisions on, or otherwise not
complete, projects with respect to which we have been awarded
contracts, which may cause those customers to terminate or postpone
contracts, risks associated with currency exchange rates, risks
associated with the company’s ability to integrate acquisitions,
risks associated with the development of new projects, including
whether such projects will continue in the future, risks associated
with the trading price of the company’s common shares, availability
and cost of capital, risks associated with our ability to remain in
compliance with our financial covenants in our debt agreements,
risks associated with general global economic conditions, global
weather conditions, natural disasters and security threats and
changes to government and environmental regulations, including
climate change, and other factors discussed in the “Management’s
Discussion and Analysis of Financial Condition and Results of
Operations” and “Risk Factors” sections of Civeo’s annual report on
Form 10-K for the year ended December 31, 2019 and other reports
the company may file from time to time with the U.S. Securities and
Exchange Commission. Each forward-looking statement contained
herein speaks only as of the date of this release. Except as
required by law, Civeo expressly disclaims any intention or
obligation to revise or update any forward-looking statements,
whether as a result of new information, future events or
otherwise.
- Financial Schedules Follow -
CIVEO CORPORATION
UNAUDITED CONSOLIDATED
STATEMENTS OF OPERATIONS
(in thousands, except per
share amounts)
Three Months Ended June
30,
Six Months Ended June
30,
2020
2019
2020
2019
Revenues
$
114,702
$
122,153
$
253,494
$
230,703
Costs and expenses:
Cost of sales and services
83,133
85,240
186,446
164,870
Selling, general and administrative
expenses
11,490
12,530
25,427
28,626
Depreciation and amortization expense
22,205
30,996
47,707
61,778
Impairment expense
—
5,546
144,120
5,546
Other operating expense (income)
(285
)
(103
)
704
(168
)
116,543
134,209
404,404
260,652
Operating loss
(1,841
)
(12,056
)
(150,910
)
(29,949
)
Interest expense
(3,854
)
(6,720
)
(9,449
)
(13,355
)
Interest income
4
22
20
49
Other income
12,642
1,055
12,667
4,033
Income (loss) before income taxes
6,951
(17,699
)
(147,672
)
(39,222
)
Income tax (expense) benefit
(122
)
2,850
8,689
7,334
Net income (loss)
6,829
(14,849
)
(138,983
)
(31,888
)
Less: Net income attributable to
noncontrolling interest
222
—
480
—
Net income (loss) attributable to Civeo
Corporation
6,607
(14,849
)
(139,463
)
(31,888
)
Less: Dividends attributable to Class A
preferred shares
471
461
939
920
Net income (loss) attributable to Civeo
common shareholders
$
6,136
$
(15,310
)
$
(140,402
)
$
(32,808
)
Net income (loss) per share attributable
to Civeo Corporation common shareholders:
Basic
$
0.03
$
(0.09
)
$
(0.83
)
$
(0.20
)
Diluted
$
0.03
$
(0.09
)
$
(0.83
)
$
(0.20
)
Weighted average number of common shares
outstanding:
Basic
169,812
167,532
169,165
166,437
Diluted
169,990
167,532
169,165
166,437
CIVEO CORPORATION
CONDENSED CONSOLIDATED BALANCE
SHEETS
(in thousands)
June 30, 2020
December 31, 2019
(UNAUDITED)
Current assets:
Cash and cash equivalents
$
7,311
$
3,331
Accounts receivable, net
85,553
99,493
Inventories
7,683
5,877
Assets held for sale
—
7,589
Prepaid expenses and other current
assets
17,392
15,151
Total current assets
117,939
131,441
Property, plant and equipment, net
486,815
590,309
Goodwill, net
7,778
110,173
Other intangible assets, net
100,423
111,837
Operating lease right-of-use assets
21,065
24,876
Other noncurrent assets
563
1,276
Total assets
$
734,583
$
969,912
Current liabilities:
Accounts payable
$
35,168
$
36,971
Accrued liabilities
16,910
21,755
Income taxes
571
328
Current portion of long-term debt
33,510
35,080
Deferred revenue
7,853
7,165
Other current liabilities
5,484
8,741
Total current liabilities
99,496
110,040
Long-term debt
264,522
321,792
Deferred income taxes
—
9,452
Operating lease liabilities
18,541
21,231
Other noncurrent liabilities
17,781
16,592
Total liabilities
400,340
479,107
Shareholders' equity:
Preferred shares
59,068
58,129
Common shares
—
—
Additional paid-in capital
1,575,788
1,572,249
Accumulated deficit
(911,992)
(771,590)
Treasury stock
(6,930)
(5,472)
Accumulated other comprehensive loss
(382,315)
(363,173)
Total Civeo Corporation shareholders'
equity
333,619
490,143
Noncontrolling interest
624
662
Total shareholders' equity
334,243
490,805
Total liabilities and shareholders'
equity
$
734,583
$
969,912
CIVEO CORPORATION
UNAUDITED CONSOLIDATED
STATEMENTS OF CASH FLOWS
(in thousands)
Six Months Ended June
30,
2020
2019
Cash flows from operating activities:
Net loss
$
(138,983
)
$
(31,888
)
Adjustments to reconcile net loss to net
cash provided by operating activities:
Depreciation and amortization
47,707
61,778
Impairment charges
144,120
5,546
Deferred income tax benefit
(8,941
)
(7,855
)
Non-cash compensation charge
3,539
5,029
Gains on disposals of assets
(1,819
)
(1,371
)
Provision (benefit) for loss on
receivables, net of recoveries
25
(56
)
Other, net
(3,240
)
1,444
Changes in operating assets and
liabilities:
Accounts receivable
10,231
(18,616
)
Inventories
(1,895
)
(3
)
Accounts payable and accrued
liabilities
(4,583
)
135
Taxes payable
251
244
Other current and noncurrent assets and
liabilities, net
(1,094
)
(4,427
)
Net cash flows provided by operating
activities
45,318
9,960
Cash flows from investing activities:
Capital expenditures
(3,847
)
(21,208
)
Proceeds from disposition of property,
plant and equipment
1,897
4,448
Other, net
4,619
1,762
Net cash flows provided by (used in)
investing activities
2,669
(14,998
)
Cash flows from financing activities:
Term loan repayments
(16,551
)
(17,398
)
Revolving credit borrowings (repayments),
net
(25,630
)
27,754
Taxes paid on vested shares
(1,458
)
(4,283
)
Net cash flows provided by (used in)
financing activities
(43,639
)
6,073
Effect of exchange rate changes on
cash
(368
)
52
Net change in cash and cash
equivalents
3,980
1,087
Cash and cash equivalents, beginning of
period
3,331
12,372
Cash and cash equivalents, end of
period
$
7,311
$
13,459
CIVEO CORPORATION
SEGMENT DATA
(in thousands)
(unaudited)
Three Months Ended June
30,
Six Months Ended June
30,
2020
2019
2020
2019
Revenues
Canada
$
52,986
$
78,102
$
132,334
$
144,872
Australia
57,071
30,996
106,184
59,417
United States
4,645
13,055
14,976
26,414
Total revenues
$
114,702
$
122,153
$
253,494
$
230,703
EBITDA (1)
Canada
$
19,991
$
16,306
$
(100,265
)
$
26,479
Australia
18,798
6,540
34,959
16,393
United States
(1,389
)
2,586
(13,442
)
5,382
Corporate and eliminations
(4,616
)
(5,437
)
(12,268
)
(12,392
)
Total EBITDA
$
32,784
$
19,995
$
(91,016
)
$
35,862
Adjusted EBITDA (1)
Canada
$
15,301
$
16,306
$
26,726
$
26,479
Australia
18,798
13,010
34,959
22,863
United States
(1,389
)
2,586
(1,003
)
5,382
Corporate and eliminations
(4,616
)
(5,437
)
(12,268
)
(12,392
)
Total adjusted EBITDA
$
28,094
$
26,465
$
48,414
$
42,332
Operating income (loss)
Canada
$
(6,719
)
$
(5,761
)
$
(143,350
)
$
(17,356
)
Australia
8,191
(5,579
)
14,355
(5,964
)
United States
(2,623
)
(1,356
)
(16,757
)
(2,317
)
Corporate and eliminations
(690
)
640
(5,158
)
(4,312
)
Total operating income (loss)
$
(1,841
)
$
(12,056
)
$
(150,910
)
$
(29,949
)
(1) Please see Non-GAAP Reconciliation
Schedule.
CIVEO CORPORATION
NON-GAAP
RECONCILIATIONS
(in thousands)
(unaudited)
Three Months Ended June
30,
Six Months Ended June
30,
2020
2019
2020
2019
EBITDA (1)
$
32,784
$
19,995
$
(91,016
)
$
35,862
Adjusted EBITDA (1)
$
28,094
$
26,465
$
48,414
$
42,332
Free Cash Flow (2)
$
25,110
$
(7,919
)
$
43,368
$
(6,800
)
(1)
The term EBITDA is defined as net income
(loss) attributable to Civeo Corporation plus interest, taxes,
depreciation and amortization. The term Adjusted EBITDA is defined
as EBITDA adjusted to exclude impairment charges, adjustments
regarding an asset retirement obligation recorded in the second
quarter of 2019 and proceeds from a representations and warranties
claim related to a prior acquisition. EBITDA and Adjusted EBITDA
are not measures of financial performance under generally accepted
accounting principles and should not be considered in isolation
from or as a substitute for net income or cash flow measures
prepared in accordance with generally accepted accounting
principles or as a measure of profitability or liquidity.
Additionally, EBITDA and Adjusted EBITDA may not be comparable to
other similarly titled measures of other companies. Civeo has
included EBITDA and Adjusted EBITDA as supplemental disclosures
because its management believes that EBITDA and Adjusted EBITDA
provide useful information regarding its ability to service debt
and to fund capital expenditures and provide investors a helpful
measure for comparing the Civeo's operating performance with the
performance of other companies that have different financing and
capital structures or tax rates. Civeo uses EBITDA and Adjusted
EBITDA to compare and to monitor the performance of its business
segments to other comparable public companies and as a benchmark
for the award of incentive compensation under its annual incentive
compensation plan.
The following table sets forth a
reconciliation of EBITDA and Adjusted EBITDA to net loss
attributable to Civeo Corporation, which is the most directly
comparable measure of financial performance calculated under
generally accepted accounting principles (in thousands)
(unaudited):
Three Months Ended June
30,
Six Months Ended June
30,
2020
2019
2020
2019
Net loss attributable to Civeo
Corporation
$
6,607
$
(14,849
)
$
(139,463
)
$
(31,888
)
Income tax benefit
122
(2,850
)
(8,689
)
(7,334
)
Depreciation and amortization
22,205
30,996
47,707
61,778
Interest income
(4
)
(22
)
(20
)
(49
)
Interest expense
3,854
6,720
9,449
13,355
EBITDA
$
32,784
$
19,995
$
(91,016
)
$
35,862
Adjustments to EBITDA
Impairment of long-lived assets (a)
—
5,546
50,514
5,546
Impairment of goodwill (b)
—
—
93,606
—
Australia ARO adjustment (c)
—
924
—
924
Representations and warranties settlement
(d)
(4,690
)
—
(4,690
)
—
Adjusted EBITDA
$
28,094
$
26,465
$
48,414
$
42,332
(a)
Relates to asset impairments in the first
quarter of 2020 and the second quarter of 2019. In the first
quarter of 2020, we recorded a pre-tax loss related to the
impairment of long-lived assets in our Canadian segment of $38.1
million ($38.1 million after-tax, or $0.23 per diluted share) and a
pre-tax loss related to the impairment of long-lived assets in our
U.S. segment of $12.4 million ($12.4 million after-tax, or $0.07
per diluted share), which is included in Impairment expense on the
unaudited statements of operations.
In the second quarter 2019, we recorded a
pre-tax loss related to the impairment of assets in Australia of
$5.5 million ($5.5 million after-tax, or $0.03 per diluted share),
which is included in Impairment expense on the unaudited statements
of operations. This includes $1.0 million of impairment expense
related to an error corrected in the second quarter 2019. During
the second quarter of 2019, we identified a future liability
related to an asset retirement obligation (ARO) at one of our
villages in Australia that should have been recorded in 2011. We
determined that the error was not material to our previously issued
financial statements included in our Annual Report on Form 10-K for
the year ended December 31, 2018, and therefore, corrected the
error in the second quarter of 2019.
(b)
Relates to the impairment of goodwill in
the first quarter of 2020. The $93.6 million impairment ($93.6
million after-tax, or $0.56 per diluted share) is related to our
Canada reporting unit and is included in Impairment expense on the
statements of operations.
(c)
As noted above, during the second quarter
of 2019, we identified a future liability related to an ARO at one
of our villages in Australia that should have been recorded in
2011. The correction included a $0.9 million ($0.9 million
after-tax, or $0.01 per diluted share) adjustment, which is
included in Cost of sales and services on the unaudited statements
of operations. This amount represents the prior period impact of
this correction.
(d)
In the second quarter of 2020, we recorded
$4.7 million of income ($4.7 million after-tax, or $0.03 per
diluted share) associated with the settlement of a representations
and warranties claim related to the Noralta acquisition, which is
included in Other income on the unaudited statements of
operations.
(2)
The term Free Cash Flow is defined as net cash flows provided by
operating activities less capital expenditures plus proceeds from
asset sales. Free Cash Flow is not a measure of financial
performance under generally accepted accounting principles and
should not be considered in isolation from or as a substitute for
cash flow measures prepared in accordance with generally accepted
accounting principles or as a measure of profitability or
liquidity. Additionally, Free Cash Flow may not be comparable to
other similarly titled measures of other companies. Civeo has
included Free Cash Flow as a supplemental disclosure because its
management believes that Free Cash Flow provides useful information
regarding the cash flow generating ability of its business relative
to its capital expenditure and debt service obligations. Civeo uses
Free Cash Flow to compare and to understand, manage, make operating
decisions and evaluate Civeo's business.
The following table sets forth a
reconciliation of Free Cash Flow to Net Cash Flows Provided by
Operating Activities, which is the most directly comparable measure
of financial performance calculated under generally accepted
accounting principles (in thousands) (unaudited):
Three Months Ended June
30,
Six Months Ended June
30,
2020
2019
2020
2019
Net Cash Flows Provided by Operating
Activities
$
24,481
$
3,619
$
45,318
$
9,960
Capital expenditures
(1,196
)
(11,529
)
(3,847
)
(21,208
)
Proceeds from disposition of property,
plant and equipment
1,825
(9
)
1,897
4,448
Free Cash Flow
$
25,110
$
(7,919
)
$
43,368
$
(6,800
)
CIVEO CORPORATION
NON-GAAP RECONCILIATIONS -
GUIDANCE
(in millions)
(unaudited)
Year Ending December 31,
2020
EBITDA Range (1)
$
(59.4
)
$
(54.4
)
Adjusted EBITDA Range (1)
$
80.0
$
85.0
(1)
The following table sets forth a
reconciliation of estimated Adjusted EBITDA to estimated net loss
which is the most directly comparable measure of financial
performance calculated under generally accepted accounting
principles (in million) (unaudited):
Year Ending December 31,
2020
(estimated)
Net loss
$
(161.7
)
$
(156.7
)
Income tax benefit
(8.7
)
(8.7
)
Depreciation and amortization
94.0
94.0
Interest expense
17.0
17.0
EBITDA
$
(59.4
)
$
(54.4
)
Adjustments to EBITDA
Impairment expense
144.1
144.1
Representations and warranties
settlement
(4.7
)
(4.7
)
Adjusted EBITDA
$
80.0
$
85.0
CIVEO CORPORATION
SUPPLEMENTAL QUARTERLY SEGMENT
AND OPERATING DATA
(U.S. dollars in thousands,
except for room counts and average daily rates)
(unaudited)
Three Months Ended June
30,
Six Months Ended June
30,
2020
2019
2020
2019
Supplemental Operating Data - Canadian
Segment
Revenues
Accommodation revenue (1)
$
40,204
$
66,183
$
106,270
$
123,835
Mobile facility rental revenue (2)
6,072
1,819
8,580
2,600
Food and other services revenue (3)
6,710
9,086
17,484
17,423
Manufacturing revenue (4)
—
1,014
—
1,014
Total Canadian revenues
$
52,986
$
78,102
$
132,334
$
144,872
Costs
Accommodation cost
$
28,598
$
45,145
$
76,653
$
87,763
Mobile facility rental cost
5,285
2,027
8,542
2,676
Food and other services cost
6,163
8,466
16,178
16,301
Manufacturing cost
141
668
297
857
Indirect other cost
2,278
2,970
5,067
6,326
Total Canadian cost of sales and
services
$
42,465
$
59,276
$
106,737
$
113,923
Average daily rates (5)
$
96
$
89
$
94
$
91
Billed rooms (6)
409,897
739,627
1,118,220
1,365,619
Canadian dollar to U.S. dollar
$
0.722
$
0.748
$
0.733
$
0.750
Supplemental Operating Data -
Australian Segment
Accommodation revenue (1)
$
34,933
$
30,996
$
67,518
$
59,417
Food and other services revenue (3)
22,138
—
38,666
—
Total Australian revenues
$
57,071
$
30,996
$
106,184
$
59,417
Costs
Accommodation cost
$
15,269
$
15,465
$
30,264
$
29,862
Food and other services cost
18,759
—
32,466
—
Indirect other cost
885
590
1,736
1,192
Total Australian cost of sales and
services
$
34,913
$
16,055
$
64,466
$
31,054
Average daily rates (4)
$
70
$
74
$
69
$
74
Billed rooms (5)
502,392
416,416
974,232
798,997
Australian dollar to U.S. dollar
$
0.658
$
0.700
$
0.658
$
0.706
(1)
Includes revenues related to lodge and
village rooms and hospitality services for owned rooms for the
periods presented.
(2)
Includes revenues related to mobile camps
for the periods presented.
(3)
Includes revenues related to food service,
laundry and water and wastewater treatment services, and facilities
management for the periods presented.
(4)
Includes revenues related to modular
construction and offshore manufacturing services for the periods
presented.
(5)
Average daily rate is based on billed
rooms and accommodation revenue.
(6)
Billed rooms represents total billed days
for the periods presented.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20200729005161/en/
Carolyn J. Stone Civeo Corporation Senior Vice President &
Chief Financial Officer 713-510-2400
Jeffrey Spittel FTI Consulting 832-667-5140
Civeo (NYSE:CVEO)
Historical Stock Chart
From Mar 2024 to Apr 2024
Civeo (NYSE:CVEO)
Historical Stock Chart
From Apr 2023 to Apr 2024
