Ensco’s 4Q17 revenues
Ensco (ESV) earns its revenues from operating floaters and jack-ups. The company saw its revenues from continuing operations fall to $454.0 million in 4Q17, 10.0% lower than its $505.0 million in 4Q16 and 1.3% lower than its 3Q17 revenues of $460.0 million.
In its Floater segment, Ensco’s 4Q17 revenues totaled $303.0 million, which was consistent with its 4Q16 revenues. The average day rate declined to $307,000 from $358,000 in 4Q16. This trend was offset by an increase in the number of operating days, primarily due to the Atwood Acquisition.
Ensco’s 4Q17 floater revenues included $19.0 million related to Atwood Oceanics’ acquired rigs. The utilization rate also fell to 97.0% from 98.0% in 4Q16.
Jack-up segment and rig management
Ensco’s Jack-Up segment revenues came in at $137.0 million for 4Q17 compared to $187.0 million in 4Q16. The segment’s average day rate fell from $101,000 in 4Q16 to $76,000 in 4Q17. Ensco’s 4Q17 jack-up revenues included $4.0 million related to Atwood’s rigs.
In 4Q17, Ensco’s revenues from drilling rig management totaled $15.0 million, which was consistent with 4Q16.
Ensco expects its 1Q18 revenues to fall 8.0% quarter-over-quarter due to lower revenues from Ensco DS-7, which completed its contract during 4Q17, as well as Ensco DS-6, which is expected to complete its current contract later this quarter.
Several offshore drilling companies (OIH) have already released their results for the quarter ended December 31, 2017.