Paratus Energy Services Ltd announces Q2 and Q3 2022 trading update
12 Dev, 2022
Hamilton, Bermuda, December 12, 2022 - Paratus Energy Services Ltd. (“Paratus” or the “Company”) today announced a trading update for the second and third quarter 2022 and updates on Paratus, its subsidiaries and associated companies (“Paratus Group”).
1. Key Financial Highlights
1.1 Paratus
In the second quarter ending June 30, 2022, Paratus generated $50 million in revenue and $25 million in EBITDA[1]. In the third quarter ending September 30, 2022, Paratus generated $50 million in revenue and $21 million in EBITDA1.
1.2 SeaMex Group
During the second quarter period ending June 30, 2022, Paratus’ wholly owned subsidiary SeaMex Holdings, Ltd. (“SeaMex”) and its subsidiaries (collectively with SeaMex, “SeaMex Group”) generated $50 million in revenue and $26 million in EBITDA. Compared to the first quarter, revenue decreased 7.4% and EBITDA decreased 13.3%. For the second quarter ending June 30, 2022, SeaMex Group earned an average contractual rate of $115 thousand per day and ended with $653 million in contract backlog[2].
During the third quarter period ending September 30, 2022, SeaMex Group generated $50 million in revenue and $25 million in EBITDA. Compared to the second quarter, revenue was relatively flat, and EBITDA decreased by 3.8%. For the third quarter, SeaMex Group earned an average contractual rate of $115 thousand per day and ended with $600 million in contract backlog2.
1.3 Joint Venture in Seabras Group
Seabras UK Limited (“Seabras”), a wholly owned subsidiary of Paratus, holds a 50% equity interest in Seabras Sapura Holding GmbH, its associated company, Seabras Sapura Participaҫões S.A and their subsidiaries (collectively with Seabras, “Seabras Group”).
During the second quarter period ending June 30, 2022, Seabras Group generated $108 million in revenue and $63 million in EBITDA. Compared to the first quarter, revenue and EBITDA increased by 14.9% and 46.5%, respectively. For the second quarter, Seabras Group earned an average contractual rate of $198 thousand per day and ended with $939 million in contract backlog.
During the third quarter period ending September 30, 2022, Seabras Group generated $109 million in revenue and $66 million in EBITDA. Compared to the second quarter, revenue was relatively flat, and EBITDA increased 4.8%. For the third quarter, Seabras Group earned an average contractual rate of $198 thousand per day and ended with $802 million in contract backlog.
2. Other Updates
2.1 Update regarding Open Tax Audits for SeaMex Group
SeaMex Group currently has open tax audits with the Mexico Tax Authority for financial years 2014, 2016 and 2017, and has been notified by the Mexico Tax Authority of a potential tax liability for fiscal year 2014. With the assistance of its external professional advisors, SeaMex Group is continuing to review, evaluate and quantify this matter. External advisors are also representing SeaMex Group in discussions with the Mexico Tax Authority regarding a potential resolution and settlement of the matter.
Schedule 1. Key Financial Highlights
Notes:
- Represent the results of the Predecessor entity
- Excludes intercompany debt, any amortization of fees and fair value adjustment; represents debt principal only
- Net debt is calculated as gross debt less cash and restricted cash
- Contract backlog takes into account West Titania’s termination date of March 16, 2023
- The figures presented for Paratus do not include financials from Seabras as Seabras is not consolidated in the Paratus financial statements due to Paratus’ 50% equity ownership of Seabras
Schedule 2. Fleet Status Report
SeaMex Group
Seabras Group
Notes:
- The expiration date of West Titania reflects PEMEX's termination notice
Neither the Company nor any member of the Paratus Group undertakes any obligation to update any forward-looking statements to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of unanticipated events. New factors emerge from time to time, and it is not possible for us to predict all of these factors. Further, we cannot assess the impact of each such factors on our businesses or the extent to which any factor, or combination of factors, may cause actual results to be materially different from those contained in any forward-looking statement.
[1] The figures presented for Paratus do not consider revenue and EBTIDA from Seabras Group as Seabras is not consolidated in the Paratus financial statements due to Paratus’ 50% equity ownership of Seabras
[2] SeaMex backlog is calculated at the dayrate floor and is subject to market rate adjustments