U.S. oilfield equipment provider National Oilwell Varco (NOV) narrowed its net loss for the second quarter 2017 as revenues grew by 2 percent year-over-year.
The company on Thursday reported a second quarter 2017 net loss of $75 million compared to $217 million net loss in 2Q 2016.
Excluding other items, net loss for the quarter was $54 million. Other items totaled $30 million, pretax, and primarily consisted of charges related to severance and facility closures.
Revenues for the second quarter of 2017 were $1.76 billion, an increase of one percent compared to the first quarter of 2017 and an increase of two percent from the second quarter of 2016 and revenues of $1.72 billion.
Looking ahead, Clay Williams, Chairman, President, and CEO, said: “Scarcity is returning to the oilfield, and, around the world, customers are steadily exhausting excess stocks of the critical products, equipment and technologies we supply, laying the groundwork for future demand. The strong recovery we’ve seen thus far in North America, combined with many international markets stabilizing and offshore markets nearing bottom, makes us optimistic in our outlook.”
As of June 30, 2017, the company had $1.53 billion in cash and cash equivalents and total debt of $3.21 billion. On June 27, 2017, the company replaced its existing credit facility with a new $3 billion unsecured revolving credit facility that matures in June of 2022 and is subject to one primary covenant, a maximum debt-to-capitalization ratio of 60 percent.
Offshore Energy Today Staff