HOUSTON, Aug. 2 /PRNewswire/ -- Cal Dive International, Inc. (Nasdaq: CDIS), announced second quarter net income of $3.7 million, an improvement of 39% over the comparable period in 1999. Diluted earnings per share increased 29% to 23 cents, with the smaller percentage increase due to the additional shares issued to acquire Aquatica, Inc. in the third quarter last year. Revenues of just under $40 million were driven by significantly improved gas and oil sales which were two and half times those of the 1999 period.
First half earnings of $6.9 million improved by 45% over the $4.7 million reported in the same period of last year. Diluted earnings per share increased 11 cents or 35%, an increase that does not track with net income improvement due to the additional Aquatica shares. First half revenues of $80 million increased by $20 million or 33% due principally to the performance of Energy Resource Technology.
Owen Kratz, Chairman and Chief Executive Officer, stated: "Just a year ago the industry was frozen by the generally accepted perception that oil would trade in a range of $10 - 14 per barrel and gas at $1.50 for the rest of our natural lifetimes. Cal Dive reacted by doubling its ownership of offshore properties, and then implementing the aggressive well exploitation program which yielded such a dramatic return in the second quarter this year. This success also confirms the corporate strategy that gas and oil operations would run countercyclically to those of the marine construction business.
"The number of offshore mobile rigs contracted in the Gulf of Mexico (our leading indicator) has averaged 156 units thus far in 2000 versus 119 last year. With what appears to be a late developing marine construction season, we decided to accelerate regulatory inspections and capital upgrades into the second quarter so that our entire fleet will be on the playing field during what we anticipate will be an unusually active fourth quarter."
Cal Dive International, Inc., headquartered in Houston, Texas, operates a fleet of technically advanced marine construction support vessels and conducts salvage operations in the Gulf of Mexico. Energy Resource Technology, Inc., a wholly owned subsidiary, acquires and operates mature and non-core offshore oil and gas properties.
CAL DIVE INTERNATIONAL, INC. Comparative Consolidated Statements of Operations Three Months Ended Six Months Ended June 30, June 30, (000's omitted, except 2000 1999 2000 1999 per share data)Net Revenues: Subsea and Salvage $23,970 $29,563 $54,308 $52,817 Natural Gas and Oil Production 15,931 4,541 25,702 7,293 Total Revenues 39,901 34,104 80,010 60,110 Cost of Sales 29,483 28,380 61,195 49,129 Gross Profit 10,418 5,724 18,815 10,981 Selling and Administrative 4,953 2,455 9,249 5,028 Interest (Income), net and Other 27 (772) (173) (1,320) Income Before Income Taxes 5,438 4,041 9,739 7,273 Income Tax Provision 1,904 1,400 3,409 2,545 Minority Interest (126) 0 (544) 0 Net Income $3,660 $2,641 $6,874 $4,728 Other Financial Data: Depreciation and Amortization: Subsea and Salvage $3,010 $2,258 $5,794 $4,165 Natural Oil and Gas Production 4,751 1,635 7,437 2,476 EBITDA (A) 13,222 7,511 23,067 13,055 Weighted Avg. Shares Outstanding: Basic 15,711 14,685 15,660 14,651 Diluted 16,155 15,075 16,104 14,994 Earnings Per Common Share: Basic $0.23 $0.18 $0.44 $0.32 Diluted $0.23 $0.18 $0.43 $0.32 (A) The Company calculates EBITDA as earnings before net interest expense, taxes, depreciation and amortization. EBITDA is a supplemental financial measurement used by CDI and investors in the marine construction industry in the evaluation of its business. Comparative Consolidated Balance Sheets ASSETS LIABILITIES & SHAREHOLDERS' EQUITY (000's omitted) June 30, Dec. 31, June 30, Dec. 31, 2000 1999 2000 1999 Current Assets: Current Liabilities: Cash and cash equivalents $498 $19,996 Accounts payable $25,459 $31,834 Accounts receivable 33,921 51,621 Accrued liabilities 17,570 17,223 Other current assets 18,088 16,327 Income tax payable 1,330 0 Total Current Total Current Assets 52,507 87,944 Liabilities 44,359 49,057 Long-Term Debt 1,090 0 Net Property & Equipment 168,919 134,657 Deferred Income Taxes 17,042 16,837 Goodwill 13,495 13,792 Decommissioning Liabilities 30,363 26,956 Other Assets 13,115 7,329 Shareholders' Equity 155,182 150,872 Total Assets $248,036 $243,722 Total Liabilities & Equity $248,036 $243,722
This report and press release include certain statements that may be deemed "forward looking statements" under applicable law. Forward looking statements are not statements of historical fact and such statements are not guarantees of future performance or events and involve risks and assumptions that could cause actual results to vary materially from those predicted, including among other things, unexpected delays and operational issues associated with turnkey projects, the price of crude oil and natural gas, weather conditions in offshore markets, change in site conditions, and capital expenditures by customers. The Company strongly encourages readers to note that some or all of the assumptions upon which such forward looking statements are based are beyond the Company's ability to control or estimate precisely and may in some cases be subject to rapid and material change. SOURCE Cal Dive International, Inc.
CONTACT: Jim Nelson, Executive Vice President of Cal Dive International, Inc., 281-618-0400/