Civeo(US:CVEO)2021-07-29 16:00Financial Performance - Revenues for the three months ended June 30, 2021, were $154.176 million, a 34.7% increase from $114.702 million for the same period in 2020[11] - Operating income for the three months ended June 30, 2021, was $2.129 million, compared to a loss of $1.841 million for the same period in 2020[11] - Net income attributable to Civeo Corporation for the three months ended June 30, 2021, was $13, compared to $6.607 million for the same period in 2020[11] - For the six months ended June 30, 2021, total revenues were $279.6 million, compared to $253.5 million for the same period in 2020, reflecting a 10.3% increase[92] - Total revenues for the three months ended June 30, 2021, were $154.2 million, a 34.4% increase from $114.7 million for the same period in 2020[92] - Total revenues for the six months ended June 30, 2021, increased by $26.1 million, or 10%, to $279.6 million compared to $253.5 million for the same period in 2020[153] Assets and Liabilities - Total current assets increased to $143.277 million as of June 30, 2021, from $119.213 million as of December 31, 2020[18] - Total liabilities decreased to $354.282 million as of June 30, 2021, from $365.496 million as of December 31, 2020[18] - Total shareholders' equity decreased to $363.405 million as of June 30, 2021, from $375.357 million as of December 31, 2020[18] - Total assets as of June 30, 2021, were $717.7 million, compared to $734.6 million at December 31, 2020[92] - Cash and cash equivalents decreased to $4.414 million as of June 30, 2021, from $6.155 million as of December 31, 2020[18] Income and Expenses - The company reported a comprehensive loss of $1.552 million for the three months ended June 30, 2021, compared to a comprehensive income of $35.911 million for the same period in 2020[15] - The company incurred impairment expense of $7.935 million for the six months ended June 30, 2021, compared to $144.120 million for the same period in 2020[11] - The company reported depreciation and amortization of $42,646 thousand for the six months ended June 30, 2021, down from $47,707 thousand in 2020[27] - Consolidated cost of sales and services increased by $24.9 million, or 30%, in Q2 2021 compared to Q2 2020, totaling $108.0 million[132] - Selling, general and administrative expenses increased by $3.2 million, or 28%, in Q2 2021 compared to Q2 2020, totaling $14.7 million[133] Net Loss and Earnings Per Share - Basic net loss per share attributable to Civeo Corporation common shareholders was $(0.03) for the three months ended June 30, 2021, compared to $0.37 for the same period in 2020[11] - Net loss for the six months ended June 30, 2021, was $9,415 thousand, compared to a net loss of $138,983 thousand for the same period in 2020[27] - For the three months ended June 30, 2021, Civeo reported a net loss attributable to common shareholders of $467,000 compared to a net income of $6.1 million in the same period in 2020[66] - Net loss attributable to Civeo Corporation for the six months ended June 30, 2021, was $10.4 million, or $0.73 per diluted share, significantly improved from a net loss of $140.4 million, or $9.96 per diluted share, in the same period of 2020[153] Cash Flow and Capital Expenditures - Cash flows provided by operating activities for the six months ended June 30, 2021, were $29,350 thousand, down from $45,318 thousand in 2020[27] - Total capital expenditures for the six months ended June 30, 2021, were $6,530 thousand, compared to $3,847 thousand in 2020[27] - Capital expenditures for 2021 are expected to total approximately $20 million, up from $10.1 million in 2020[127] Taxation - Civeo's effective tax rate for the three months ended June 30, 2021 was 102.1% of pretax loss, compared to a tax expense of 1.8% of pretax income in the same period of 2020[77] - The income tax expense for the six months ended June 30, 2021, totaled $0.6 million, or (6.6)% of pretax loss, compared to a benefit of $8.7 million, or 5.9% of pretax loss for the same period in 2020[78] Segment Performance - Accommodation revenues in Canada for the three months ended June 30, 2021, were $69.759 million, up 73.5% from $40.204 million in the same period of 2020[42] - The Canadian segment reported revenues that were $12.8 million, or 10%, higher than the six months ended June 30, 2020, primarily due to a 9% strengthening of the Canadian dollar against the U.S. dollar[167] - The Australian segment's revenues increased by $17.5 million, or 17%, for the six months ended June 30, 2021, largely due to a 17% strengthening of the Australian dollar against the U.S. dollar, which contributed $18.3 million to revenue growth[172] - The U.S. segment reported revenues of $10.8 million for the six months ended June 30, 2021, a decrease of $4.2 million, or 28%, compared to $14.9 million in the same period of 2020, due to reduced drilling activity[176] Market Conditions and Risks - The ongoing trade dispute between China and Australia has led to a trade embargo on Australian coal, impacting approximately 22% of Australia's met coal exports[117] - The company is exposed to market risks related to interest rates and foreign currency exchange rates, which could impact financial performance[197] - The company believes that any ultimate liability from pending legal proceedings will not have a material adverse effect on its consolidated financial position[204]