SEACOR Holdings Announces Results for Its First Quarter Ended March 31, 2014
FORT LAUDERDALE, FL -- (Marketwired) -- 04/24/14 -- SEACOR Holdings Inc. (NYSE: CKH) today announced its results for its first quarter ended March 31, 2014.
For the quarter ended March 31, 2014, net income attributable to SEACOR Holdings Inc. from continuing operations was $11.5 million, or $0.56 per diluted share, compared with $8.4 million, or $0.41 per diluted share, from continuing operations in the preceding quarter ended December 31, 2013.
A comparison of results for the quarter ended March 31, 2014 with the preceding quarter ended December 31, 2013 is included in "Highlights for the Quarter" discussion below.
For the quarter ended March 31, 2013, net loss attributable to SEACOR Holdings Inc. was $21.0 million, or $1.06 per diluted share, including a loss from continuing operations of $10.8 million, or $0.55 per diluted share.
Highlights for the Quarter
Offshore Marine Services - Operating revenues for the first quarter were $129.0 million compared with $148.4 million in the preceding quarter. Operating income in the first quarter was $11.2 million compared with $18.8 million in the preceding quarter, including gains on asset dispositions of $7.7 million in the first quarter and $3.1 million in the preceding quarter.
In the U.S. Gulf of Mexico, operating revenues were $12.2 million lower in the first quarter. Time charter revenues for the Company's liftboat fleet were $8.1 million lower primarily due to the seasonal downturn for that fleet. In keeping with past practice, the Company normally plans for the drydocking of liftboats during the winter months as the demand for the liftboat fleet is typically stronger in the summer months. During the first quarter, the number of out-of-service days attributable to the drydocking of liftboats was 349 compared with 204 in the preceding quarter, and average day rates decreased from $26,072 per day to $22,219 per day. Time charter revenues for the other vessel classes were $3.5 million lower primarily due to weaker market conditions. In overall terms, utilization was 70.6% compared with 77.9% in the preceding quarter and average day rates decreased from $18,224 per day to $17,010 per day. As of March 31, 2014, the Company had two vessels cold-stacked in the U.S. Gulf of Mexico.
In international regions, operating revenues were $7.2 million lower in the first quarter. Time charter revenues were $5.1 million lower primarily due to the conclusion of a charter for a vessel operating in Russia, the repositioning of two vessels into the U.S. Gulf of Mexico and seasonally weaker market conditions for the Company's windfarm utility vessels. Reduced drydocking activity in West Africa, Europe and Asia partially offset the impact of these reductions. Other operating revenues were $2.1 million lower primarily due to a reduction in other contract revenue and reduced third party management fee income. Excluding windfarm utility vessels, utilization was 86.8% compared with 85.1% in the preceding quarter, however average day rates decreased from $13,250 per day to $12,561 per day.
Operating expenses were $5.3 million lower in the first quarter. Personnel costs were $1.4 million lower primarily due to reduced activity levels. Repair and maintenance and drydocking costs were higher in the U.S. Gulf of Mexico primarily due to the seasonal repair and maintenance and drydocking program for the liftboat fleet. Repair and maintenance and drydocking costs were lower in international regions primarily due to a significant reduction in drydocking activity. Insurance and loss reserve expenses were $1.6 million lower, and leased-in equipment expenses were $1.8 million lower primarily due to reduced bareboat charter-in costs in the Middle East.
Administrative and general expenses were $1.9 million lower in the first quarter primarily due to a decrease in the provision for management bonus awards and lower legal and professional fees.
In the first quarter, the total number of days available for charter for the Company's fleet, excluding wind farm utility vessels, decreased by 303 days, or 3%, primarily due to net fleet dispositions. Overall utilization, excluding wind farm utility vessels, decreased from 82.0% to 79.6% and overall average day rates, excluding wind farm utility vessels, decreased by 7% from $15,355 per day to $14,324 per day. This release includes a table presenting time charter operating data by vessel class.
During the first quarter, the Company sold five offshore support vessels and other equipment for net proceeds of $10.2 million and gains of $7.7 million, all of which was recognized currently. During the preceding quarter, the Company sold five offshore support vessels and other equipment for net proceeds of $56.7 million and gains of $14.8 million, of which $3.1 million was recognized currently and $11.7 million was deferred.
Inland River Services - Operating income was $7.4 million on operating revenues of $58.0 million in the first quarter compared with operating income of $12.3 million on operating revenues of $65.4 million in the preceding quarter.
Operating results from the dry cargo barge pool were $6.2 million lower primarily due to lower rates and reduced activity levels following the conclusion of harvest activities and poor operating conditions caused by harsh weather in the Midwest. Operating results from liquid unit tow operations were $1.5 million higher primarily due to reduced out-of-service time and lower costs associated with regulatory inspections for liquid tank barges.
Equity in losses of 50% or less owned companies in the preceding quarter included $4.4 million of losses relating to the structural failure of a terminal facility at the Port of Ibicuy, Argentina.
Shipping Services - Operating income was $11.8 million on operating revenues of $52.4 million in the first quarter compared with operating income of $5.2 million on operating revenues of $51.4 million in the preceding quarter.
Operating results for tanker operations were $6.2 million higher primarily due to minimal drydocking expenditures and no related out-of-service time. The Company has no scheduled product tanker drydockings in 2014. Operating results for harbor towing and bunkering were $1.2 million higher primarily due to an increase in harbor tug traffic and lower drydocking expenses. Operating results for short-sea transportation were $0.8 million lower primarily due to a seasonal decrease in cargo shipping demand and higher drydocking expenses.
During the first quarter, the Company expensed a $4.0 million non-refundable deposit upon the expiration of a new build construction option.
Illinois Corn Processing - Segment profit was $10.8 million on operating revenues of $58.7 million in the first quarter compared with $2.5 million on operating revenues of $46.9 million in the preceding quarter. The improvement in segment profit was primarily due to lower corn prices and higher fuel ethanol prices resulting from an industry-wide supply shortage.
Other - Segment loss was $3.9 million in the first quarter compared with segment profit of $1.3 million in the preceding quarter. The reduction was primarily due to $1.8 million of legal costs associated with litigation related to the Deepwater Horizon oil spill for which the Company has indemnified one of its 50% or less owned companies, a $0.4 million impairment charge on an aircraft in the Company's leasing portfolio, and equity in losses primarily from the Company's 50% or less owned industrial aviation services companies in Asia.
Corporate and Eliminations - Administrative and general expenses were $1.3 million lower in the first quarter compared with the preceding quarter primarily due to lower management bonus accruals, partially offset by higher legal and audit and tax accruals. In addition, the Company recorded a $3.5 million impairment charge on an aircraft.
Capital Commitments - As of March 31, 2014, the Company's unfunded capital commitments were $442.5 million and included: $94.8 million for 15 offshore support vessels; $22.8 million for 47 inland river dry cargo barges; $0.9 million for two inland river tank barges; $4.7 million for five inland river towboats; $230.2 million for three U.S.-flag product tankers; $78.7 million for one U.S.-flag articulated tug-barge; and $10.4 million for other equipment and improvements. These commitments are payable as follows: $157.3 million is payable during the remainder of 2014; $275.9 million is payable during 2015-2016; and $9.3 million is payable during 2017. This release includes a table detailing expected delivery by vessel class.
Liquidity and Debt - As of March 31, 2014, the Company's balances of cash, cash equivalents, restricted cash, marketable securities, construction reserve funds and Title XI reserve funds totaled $683.1 million and its total outstanding long-term debt was $880.1 million.
SEACOR and its subsidiaries are in the business of owning, operating, investing in and marketing equipment, primarily in the offshore oil and gas, shipping and logistics industries. SEACOR offers customers a diversified suite of services and equipment, including offshore marine, inland river storage and handling, distribution of petroleum, chemical and agricultural commodities, and shipping. SEACOR is dedicated to building innovative, modern, "next generation," efficient marine equipment while providing highly responsive service with the highest safety standards, and dedicated professional employees. SEACOR is publicly traded on the New York Stock Exchange (NYSE) under the symbol CKH.
Certain statements discussed in this release as well as in other reports, materials and oral statements that the Company releases from time to time to the public constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Generally, words such as "anticipate," "estimate," "expect," "project," "intend," "believe," "plan," "target," "forecast" and similar expressions are intended to identify forward-looking statements. Such forward-looking statements concern management's expectations, strategic objectives, business prospects, anticipated economic performance and financial condition and other similar matters. These statements are not guarantees of future performance and actual events or results may differ significantly from these statements. Actual events or results are subject to significant known and unknown risks, uncertainties and other important factors, including decreased demand and loss of revenues as a result of additional safety and certification requirements for drilling activities in the U.S. Gulf of Mexico and delayed approval of applications for such activities, the possibility of U.S. government implemented moratoriums directing operators to cease certain drilling activities in the U.S. Gulf of Mexico and any extension of such moratoriums (the "Moratoriums"), weakening demand for the Company's services as a result of unplanned customer suspensions, cancellations, rate reductions or non-renewals of vessel charters or failures to finalize commitments to charter vessels in response to Moratoriums, increased government legislation and regulation of the Company's businesses could increase cost of operations, increased competition if the Jones Act is repealed, liability, legal fees and costs in connection with the past provision of emergency response services, including the Company's involvement in response to the oil spill as a result of the sinking of the Deepwater Horizon in April 2010, decreased demand for the Company's services as a result of declines in the global economy, declines in valuations in the global financial markets and a lack of liquidity in the credit sectors, including, interest rate fluctuations, availability of credit, inflation rates, change in laws, trade barriers, commodity prices and currency exchange fluctuations, the cyclical nature of the oil and gas industry, activity in foreign countries and changes in foreign political, military and economic conditions, changes in foreign and domestic oil and gas exploration and production activity, safety record requirements related to Offshore Marine Services and Shipping Services, decreased demand for Shipping Services due to construction of additional refined petroleum product, natural gas or crude oil pipelines or due to decreased demand for refined petroleum products, crude oil or chemical products or a change in existing methods of delivery, compliance with U.S. and foreign government laws and regulations, including environmental laws and regulations, the dependence of Offshore Marine Services and Shipping Services on several customers, consolidation of the Company's customer base, the ongoing need to replace aging vessels, industry fleet capacity, restrictions imposed by the Shipping Acts on the amount of foreign ownership of the Company's Common Stock, operational risks of Offshore Marine Services, Inland River Services and Shipping Services, effects of adverse weather conditions and seasonality, the level of grain export volume, the effect of fuel prices on barge towing costs, variability in freight rates for inland river barges, the effect of international economic and political factors on Inland River Services' operations, sudden and unexpected changes in commodity prices, futures and options, global weather conditions, political instability, changes in currency exchanges rates, and product availability in agriculture commodity trading and logistics activities, adequacy of insurance coverage, the potential for a material weakness in the Company's internal controls over financial reporting and the Company's ability to remediate such potential material weakness, the attraction and retention of qualified personnel by the Company, and various other matters and factors, many of which are beyond the Company's control as well as those discussed in Item 1A (Risk Factors) of the Company's Annual report on Form 10-K. In addition, these statements constitute the Company's cautionary statements under the Private Securities Litigation Reform Act of 1995. It should be understood that it is not possible to predict or identify all such factors. Consequently, the preceding should not be considered to be a complete discussion of all potential risks or uncertainties. Forward-looking statements speak only as of the date of the document in which they are made. The Company disclaims any obligation or undertaking to provide any updates or revisions to any forward-looking statement to reflect any change in the Company's expectations or any change in events, conditions or circumstances on which the forward-looking statement is based, except as required by law. It is advisable, however, to consult any further disclosures the Company makes on related subjects in its filings with the Securities and Exchange Commission, including Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K (if any).
| SEACOR HOLDINGS INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) (in thousands, except share data, unaudited) | ||||||||||
| Three Months Ended | ||||||||||
| March 31, | ||||||||||
| 2014 | 2013 | |||||||||
| Operating Revenues | $ | 310,017 | $ | 267,064 | ||||||
| Costs and Expenses: | ||||||||||
| Operating | 218,976 | 200,913 | ||||||||
| Administrative and general | 38,077 | 35,645 | ||||||||
| Depreciation and amortization | 33,392 | 33,548 | ||||||||
| 290,445 | 270,106 | |||||||||
| Gains on Asset Dispositions and Impairments, Net | 4,678 | 2,015 | ||||||||
| Operating Income (Loss) | 24,250 | (1,027 | ) | |||||||
| Other Income (Expense): | ||||||||||
| Interest income | 4,043 | 3,167 | ||||||||
| Interest expense | (11,403 | ) | (12,840 | ) | ||||||
| Marketable security gains, net | 5,070 | 3,995 | ||||||||
| Derivative losses, net | (237 | ) | (2,107 | ) | ||||||
| Foreign currency losses, net | (199 | ) | (4,011 | ) | ||||||
| Other, net | (3,655 | ) | 3 | |||||||
| (6,381 | ) | (11,793 | ) | |||||||
| Income (Loss) from Continuing Operations Before Income Tax Expense (Benefit) and Equity in Earnings (Losses) of 50% or Less Owned Companies | 17,869 | (12,820 | ) | |||||||
| Income Tax Expense (Benefit) | 6,375 | (2,653 | ) | |||||||
| Income (Loss) from Continuing Operations Before Equity in Earnings (Losses) of 50% or Less Owned Companies | 11,494 | (10,167 | ) | |||||||
| Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax | 2,221 | (869 | ) | |||||||
| Income (Loss) from Continuing Operations | 13,715 | (11,036 | ) | |||||||
| Loss from Discontinued Operations, Net of Tax | -- | (10,325 | ) | |||||||
| Net Income (Loss) | 13,715 | (21,361 | ) | |||||||
| Net Income (Loss) attributable to Noncontrolling Interests in Subsidiaries | 2,206 | (373 | ) | |||||||
| Net Income (Loss) attributable to SEACOR Holdings Inc. | $ | 11,509 | $ | (20,988 | ) | |||||
| Net Income (Loss) attributable to SEACOR Holdings Inc.: | ||||||||||
| Continuing operations | $ | 11,509 | $ | (10,763 | ) | |||||
| Discontinued operations | -- | (10,225 | ) | |||||||
| $ | 11,509 | $ | (20,988 | ) | ||||||
| Basic Earnings (Loss) Per Common Share of SEACOR Holdings Inc.: | ||||||||||
| Continuing operations | $ | 0.57 | $ | (0.55 | ) | |||||
| Discontinued operations | -- | (0.51 | ) | |||||||
| $ | 0.57 | $ | (1.06 | ) | ||||||
| Diluted Earnings (Loss) Per Common Share of SEACOR Holdings Inc.: | ||||||||||
| Continuing operations | $ | 0.56 | $ | (0.55 | ) | |||||
| Discontinued operations | -- | (0.51 | ) | |||||||
| $ | 0.56 | $ | (1.06 | ) | ||||||
| Weighted Average Common Shares Outstanding: | ||||||||||
| Basic | 20,109,373 | 19,738,930 | ||||||||
| Diluted | 20,546,112 | 19,738,930 | ||||||||
| SEACOR HOLDINGS INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) (in thousands, except per share data, unaudited) | |||||||||||||||||||||
| Three Months Ended | |||||||||||||||||||||
| Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | |||||||||||||||||
| Operating Revenues | $ | 310,017 | $ | 327,861 | $ | 336,784 | $ | 315,563 | $ | 267,064 | |||||||||||
| Costs and Expenses: | |||||||||||||||||||||
| Operating | 218,976 | 228,305 | 239,540 | 240,113 | 200,913 | ||||||||||||||||
| Administrative and general | 38,077 | 39,522 | 31,463 | 34,718 | 35,645 | ||||||||||||||||
| Depreciation and amortization | 33,392 | 33,684 | 33,503 | 33,783 | 33,548 | ||||||||||||||||
| 290,445 | 301,511 | 304,506 | 308,614 | 270,106 | |||||||||||||||||
| Gains on Asset Dispositions and Impairments, Net | 4,678 | 3,957 | 19,230 | 12,305 | 2,015 | ||||||||||||||||
| Operating Income (Loss) | 24,250 | 30,307 | 51,508 | 19,254 | (1,027 | ) | |||||||||||||||
| Other Income (Expense): | |||||||||||||||||||||
| Interest income | 4,043 | 4,802 | 4,280 | 3,218 | 3,167 | ||||||||||||||||
| Interest expense | (11,403 | ) | (11,310 | ) | (10,520 | ) | (7,922 | ) | (12,840 | ) | |||||||||||
| Marketable security gains (losses), net | 5,070 | (3,600 | ) | (1,149 | ) | 6,557 | 3,995 | ||||||||||||||
| Derivative losses, net | (237 | ) | (5,088 | ) | (303 | ) | (825 | ) | (2,107 | ) | |||||||||||
| Foreign currency gains (losses), net | (199 | ) | (654 | ) | 2,230 | (916 | ) | (4,011 | ) | ||||||||||||
| Other, net | (3,655 | ) | (89 | ) | 477 | 195 | 3 | ||||||||||||||
| (6,381 | ) | (15,939 | ) | (4,985 | ) | 307 | (11,793 | ) | |||||||||||||
| Income (Loss) from Continuing Operations Before Income Tax Expense (Benefit) and Equity In Earnings (Losses) of 50% or Less Owned Companies | 17,869 | 14,368 | 46,523 | 19,561 | (12,820 | ) | |||||||||||||||
| Income Tax Expense (Benefit) | 6,375 | 5,441 | 15,984 | 7,975 | (2,653 | ) | |||||||||||||||
| Income (Loss) from Continuing Operations Before Equity in Earnings (Losses) of 50% or Less Owned Companies | 11,494 | 8,927 | 30,539 | 11,586 | (10,167 | ) | |||||||||||||||
| Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax | 2,221 | 193 | 230 | 7,710 | (869 | ) | |||||||||||||||
| Income (Loss) from Continuing Operations | 13,715 | 9,120 | 30,769 | 19,296 | (11,036 | ) | |||||||||||||||
| Loss from Discontinued Operations, Net of Tax | -- | -- | -- | -- | (10,325 | ) | |||||||||||||||
| Net Income (Loss) | 13,715 | 9,120 | 30,769 | 19,296 | (21,361 | ) | |||||||||||||||
| Net Income (Loss) attributable to Noncontrolling Interests in Subsidiaries | 2,206 | 724 | 478 | 25 | (373 | ) | |||||||||||||||
| Net Income (Loss) attributable to SEACOR Holdings Inc. | $ | 11,509 | $ | 8,396 | $ | 30,291 | $ | 19,271 | $ | (20,988 | ) | ||||||||||
| Net Income | |||||||||||||||||||||
| (Loss) attributable | |||||||||||||||||||||
| to SEACOR | |||||||||||||||||||||
| Holdings Inc.: | |||||||||||||||||||||
| Continuing operations | $ | 11,509 | $ | 8,396 | $ | 30,291 | $ | 19,271 | $ | (10,763 | ) | ||||||||||
| Discontinued operations | -- | -- | -- | -- | (10,225 | ) | |||||||||||||||
| $ | 11,509 | $ | 8,396 | $ | 30,291 | $ | 19,271 | $ | (20,988 | ) | |||||||||||
| Basic Earnings (Loss) Per Common Share of SEACOR Holdings Inc.: | |||||||||||||||||||||
| Continuing operations | $ | 0.57 | $ | 0.42 | $ | 1.52 | $ | 0.97 | $ | (0.55 | ) | ||||||||||
| Discontinued operations | -- | -- | -- | -- | (0.51 | ) | |||||||||||||||
| $ | 0.57 | $ | 0.42 | $ | 1.52 | $ | 0.97 | $ | (1.06 | ) | |||||||||||
| Diluted Earnings (Loss) Per Common Share of SEACOR Holdings Inc.: | |||||||||||||||||||||
| Continuing operations | $ | 0.56 | $ | 0.41 | $ | 1.36 | $ | 0.91 | $ | (0.55 | ) | ||||||||||
| Discontinued operations | -- | -- | -- | -- | (0.51 | ) | |||||||||||||||
| $ | 0.56 | $ | 0.41 | $ | 1.36 | $ | 0.91 | $ | (1.06 | ) | |||||||||||
| Weighted Average Common Shares of Outstanding: | |||||||||||||||||||||
| Basic | 20,109 | 20,043 | 19,965 | 19,825 | 19,739 | ||||||||||||||||
| Diluted | 20,546 | 20,530 | 24,602 | 24,392 | 19,739 | ||||||||||||||||
| Common Shares Outstanding at Period End | 20,597 | 20,382 | 20,332 | 20,184 | 20,106 | ||||||||||||||||
| SEACOR HOLDINGS INC. | |||||||||||||||||||||
| SEGMENT INFORMATION | |||||||||||||||||||||
| (in thousands, unaudited) | |||||||||||||||||||||
| Three Months Ended | |||||||||||||||||||||
| Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | |||||||||||||||||
| Offshore Marine Services | |||||||||||||||||||||
| Operating Revenues | $ | 129,001 | $ | 148,371 | $ | 156,198 | $ | 138,678 | $ | 124,016 | |||||||||||
| Costs and Expenses: | |||||||||||||||||||||
| Operating | 94,043 | 99,320 | 95,113 | 97,581 | 90,031 | ||||||||||||||||
| Administrative and general | 15,160 | 17,085 | 14,132 | 14,235 | 14,827 | ||||||||||||||||
| Depreciation and amortization | 16,304 | 16,207 | 16,470 | 16,460 | 16,287 | ||||||||||||||||
| 125,507 | 132,612 | 125,715 | 128,276 | 121,145 | |||||||||||||||||
| Gains on Asset Dispositions | 7,738 | 3,087 | 15,343 | 7,895 | 2,339 | ||||||||||||||||
| Operating Income | 11,232 | 18,846 | 45,826 | 18,297 | 5,210 | ||||||||||||||||
| Other Income (Expense): | |||||||||||||||||||||
| Derivative gains (losses), net | (61 | ) | (274 | ) | 32 | 175 | 150 | ||||||||||||||
| Foreign currency gains (losses), net | 107 | (49 | ) | 1,937 | (833 | ) | (3,264 | ) | |||||||||||||
| Other, net | -- | (8 | ) | -- | 11 | -- | |||||||||||||||
| Equity in Earnings of 50% or Less Owned Companies, Net of Tax | 2,641 | 2,988 | 1,527 | 7,694 | 1,313 | ||||||||||||||||
| Segment Profit | $ | 13,919 | $ | 21,503 | $ | 49,322 | $ | 25,344 | $ | 3,409 | |||||||||||
| OIBDA(1) | $ | 27,536 | $ | 35,053 | $ | 62,296 | $ | 34,757 | $ | 21,497 | |||||||||||
| Drydocking expenditures (included in operating costs and expenses) | $ | 11,080 | $ | 11,899 | $ | 9,017 | $ | 14,804 | $ | 11,225 | |||||||||||
| Out-of-service days for drydockings | 635 | 668 | 635 | 994 | 645 | ||||||||||||||||
| Inland River Services | |||||||||||||||||||||
| Operating Revenues | $ | 57,959 | $ | 65,437 | $ | 52,742 | $ | 47,357 | $ | 50,077 | |||||||||||
| Costs and Expenses: | |||||||||||||||||||||
| Operating | 39,674 | 42,472 | 38,473 | 35,193 | 36,389 | ||||||||||||||||
| Administrative and general | 4,337 | 4,034 | 3,431 | 3,921 | 4,024 | ||||||||||||||||
| Depreciation and amortization | 7,370 | 7,430 | 6,869 | 7,078 | 7,084 | ||||||||||||||||
| 51,381 | 53,936 | 48,773 | 46,192 | 47,497 | |||||||||||||||||
| Gains on Asset Dispositions | 853 | 779 | 783 | 4,296 | 697 | ||||||||||||||||
| Operating Income | 7,431 | 12,280 | 4,752 | 5,461 | 3,277 | ||||||||||||||||
| Other Income (Expense): | |||||||||||||||||||||
| Foreign currency gains (losses), net | (327 | ) | (160 | ) | (89 | ) | 219 | (137 | ) | ||||||||||||
| Other, net | (38 | ) | -- | -- | -- | -- | |||||||||||||||
| Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax | (412 | ) | (5,320 | ) | 80 | 1 | (2,387 | ) | |||||||||||||
| Segment Profit | $ | 6,654 | $ | 6,800 | $ | 4,743 | $ | 5,681 | $ | 753 | |||||||||||
| OIBDA(1) | $ | 14,801 | $ | 19,710 | $ | 11,621 | $ | 12,539 | $ | 10,361 | |||||||||||
| SEACOR HOLDINGS INC. | |||||||||||||||||||||
| SEGMENT INFORMATION (continued) | |||||||||||||||||||||
| (in thousands, unaudited) | |||||||||||||||||||||
| Three Months Ended | |||||||||||||||||||||
| Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | |||||||||||||||||
| Shipping Services | |||||||||||||||||||||
| Operating Revenues | $ | 52,401 | $ | 51,405 | $ | 48,200 | $ | 48,103 | $ | 46,476 | |||||||||||
| Costs and Expenses: | |||||||||||||||||||||
| Operating | 26,997 | 32,900 | 28,215 | 29,554 | 26,614 | ||||||||||||||||
| Administrative and general | 5,896 | 5,639 | 5,133 | 6,124 | 5,177 | ||||||||||||||||
| Depreciation and amortization | 7,754 | 7,754 | 7,841 | 7,907 | 7,797 | ||||||||||||||||
| 40,647 | 46,293 | 41,189 | 43,585 | 39,588 | |||||||||||||||||
| Gains (Losses) on Asset Dispositions and Impairments, Net | -- | 91 | 3,104 | 114 | (3,069 | ) | |||||||||||||||
| Operating Income | 11,754 | 5,203 | 10,115 | 4,632 | 3,819 | ||||||||||||||||
| Other Income (Expense): | |||||||||||||||||||||
| Foreign currency gains (losses), net | (10 | ) | (5 | ) | 6 | (8 | ) | (7 | ) | ||||||||||||
| Other, net | (3,933 | ) | 18 | 540 | 188 | 14 | |||||||||||||||
| Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax | 753 | 376 | (1,413 | ) | (403 | ) | (1,505 | ) | |||||||||||||
| Segment Profit | $ | 8,564 | $ | 5,592 | $ | 9,248 | $ | 4,409 | $ | 2,321 | |||||||||||
| OIBDA(1) | $ | 19,508 | $ | 12,957 | $ | 17,956 | $ | 12,539 | $ | 11,616 | |||||||||||
| Drydocking expenditures for U.S.-flag product tankers (included in operating costs and expenses) | $ | 42 | $ | 5,504 | $ | 664 | $ | 2,884 | $ | 74 | |||||||||||
| Out-of-service days for drydockings of U.S.-flag product tankers | -- | 26 | 5 | 34 | 1 | ||||||||||||||||
| Illinois Corn Processing | |||||||||||||||||||||
| Operating Revenues | $ | 58,656 | $ | 46,875 | $ | 52,580 | $ | 61,378 | $ | 32,849 | |||||||||||
| Costs and Expenses: | |||||||||||||||||||||
| Operating | 47,274 | 38,812 | 52,390 | 59,402 | 34,045 | ||||||||||||||||
| Administrative and general | 511 | 465 | 428 | 477 | 661 | ||||||||||||||||
| Depreciation and amortization | 990 | 1,330 | 1,489 | 1,489 | 1,489 | ||||||||||||||||
| 48,775 | 40,607 | 54,307 | 61,368 | 36,195 | |||||||||||||||||
| Operating Income (Loss) | 9,881 | 6,268 | (1,727 | ) | 10 | (3,346 | ) | ||||||||||||||
| Other Income (Expense): | |||||||||||||||||||||
| Derivative gains (losses), net | 718 | (3,719 | ) | 1,129 | 473 | 39 | |||||||||||||||
| Other, net | 193 | -- | -- | -- | -- | ||||||||||||||||
| Segment Profit (Loss) | $ | 10,792 | $ | 2,549 | $ | (598 | ) | $ | 483 | $ | (3,307 | ) | |||||||||
| SEACOR HOLDINGS INC. | |||||||||||||||||||||
| SEGMENT INFORMATION (continued) | |||||||||||||||||||||
| (in thousands, unaudited) | |||||||||||||||||||||
| Three Months Ended | |||||||||||||||||||||
| Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | |||||||||||||||||
| Other | |||||||||||||||||||||
| Operating Revenues | $ | 12,992 | $ | 16,675 | $ | 27,881 | $ | 20,652 | $ | 14,324 | |||||||||||
| Costs and Expenses: | |||||||||||||||||||||
| Operating | 11,936 | 15,665 | 26,141 | 18,960 | 14,488 | ||||||||||||||||
| Administrative and general | 3,111 | 1,888 | 1,429 | 1,323 | 1,656 | ||||||||||||||||
| Depreciation and amortization | 85 | 91 | 92 | 96 | 99 | ||||||||||||||||
| 15,132 | 17,644 | 27,662 | 20,379 | 16,243 | |||||||||||||||||
| Gains (Losses) on Asset Dispositions and Impairments, Net | (409 | ) | -- | -- | -- | 1,907 | |||||||||||||||
| Operating Income (Loss) | (2,549 | ) | (969 | ) | 219 | 273 | (12 | ) | |||||||||||||
| Other Income (Expense): | |||||||||||||||||||||
| Derivative gains (losses), net | (733 | ) | 198 | (380 | ) | (450 | ) | 842 | |||||||||||||
| Foreign currency gains (losses), net | 9 | (21 | ) | 15 | (169 | ) | (167 | ) | |||||||||||||
| Other, net | 175 | (39 | ) | (3 | ) | -- | 54 | ||||||||||||||
| Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax | (761 | ) | 2,149 | 36 | 418 | 1,710 | |||||||||||||||
| Segment Profit (Loss) | $ | (3,859 | ) | $ | 1,318 | $ | (113 | ) | $ | 72 | $ | 2,427 | |||||||||
| Corporate and Eliminations | |||||||||||||||||||||
| Operating Revenues | $ | (992 | ) | $ | (902 | ) | $ | (817 | ) | $ | (605 | ) | $ | (678 | ) | ||||||
| Costs and Expenses: | |||||||||||||||||||||
| Operating | (948 | ) | (864 | ) | (792 | ) | (577 | ) | (654 | ) | |||||||||||
| Administrative and general | 9,062 | 10,411 | 6,910 | 8,638 | 9,300 | ||||||||||||||||
| Depreciation and amortization | 889 | 872 | 742 | 753 | 792 | ||||||||||||||||
| 9,003 | 10,419 | 6,860 | 8,814 | 9,438 | |||||||||||||||||
| Gains (Losses) on Asset Dispositions and Impairments, Net | (3,504 | ) | -- | -- | -- | 141 | |||||||||||||||
| Operating Loss | $ | (13,499 | ) | $ | (11,321 | ) | $ | (7,677 | ) | $ | (9,419 | ) | $ | (9,975 | ) | ||||||
| Other Income (Expense): | |||||||||||||||||||||
| Derivative losses, net | $ | (161 | ) | $ | (1,293 | ) | $ | (1,084 | ) | $ | (1,023 | ) | $ | (3,138 | ) | ||||||
| Foreign currency gains (losses), net | 22 | (419 | ) | 361 | (125 | ) | (436 | ) | |||||||||||||
| Other, net | (52 | ) | (60 | ) | (60 | ) | (4 | ) | (65 | ) | |||||||||||
______________________
| (1) | Non-GAAP Financial Measure. The Company, from time to time, discloses and discusses OIBDA, a non-GAAP financial measure, for certain of its operating segments in its public releases and other filings with the Securities and Exchange Commission. The Company defines OIBDA as operating income (loss) plus depreciation and amortization. The Company's measure of OIBDA may not be comparable to similarly titled measures presented by other companies. Other companies may calculate OIBDA differently than the Company, which may limit its usefulness as a comparative measure. In addition, this measurement does not necessarily represent funds available for discretionary use and is not a measure of its ability to fund its cash needs. OIBDA is a financial metric used by management (i) as a supplemental internal measure for planning and forecasting overall expectations and for evaluating actual results against such expectations; (ii) as a criteria for annual incentive bonuses paid to the Company officers and other shore-based employees; and (iii) to compare to the OIBDA of other companies when evaluating potential acquisitions. | |
| SEACOR HOLDINGS INC. CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, unaudited) | ||||||||||||||||||
| Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | ||||||||||||||
| ASSETS | ||||||||||||||||||
| Current Assets: | ||||||||||||||||||
| Cash and cash equivalents | $ | 374,790 | $ | 527,435 | $ | 332,767 | $ | 394,783 | $ | 312,977 | ||||||||
| Restricted cash | 14,490 | 12,175 | 20,893 | 16,776 | 27,129 | |||||||||||||
| Marketable securities | 29,522 | 24,292 | 25,660 | 27,264 | 22,568 | |||||||||||||
| Receivables: | ||||||||||||||||||
| Trade, net of allowance for doubtful accounts | 203,785 | 215,768 | 211,853 | 188,128 | 172,889 | |||||||||||||
| Other | 41,292 | 48,181 | 39,774 | 37,204 | 41,139 | |||||||||||||
| Inventories | 24,962 | 27,615 | 25,442 | 22,955 | 31,966 | |||||||||||||
| Deferred income taxes | 116 | 116 | 3,530 | 3,530 | 3,530 | |||||||||||||
| Prepaid expenses and other | 8,292 | 6,701 | 10,746 | 11,715 | 8,834 | |||||||||||||
| Discontinued operations | -- | -- | -- | -- | 384 | |||||||||||||
| Total current assets | 697,249 | 862,283 | 670,665 | 702,355 | 621,416 | |||||||||||||
| Property and Equipment: | ||||||||||||||||||
| Historical cost | 2,224,212 | 2,199,183 | 2,208,315 | 2,212,929 | 2,186,892 | |||||||||||||
| Accumulated depreciation | (894,511 | ) | (866,330 | ) | (835,604 | ) | (806,672 | ) | (785,765 | ) | ||||||||
| 1,329,701 | 1,332,853 | 1,372,711 | 1,406,257 | 1,401,127 | ||||||||||||||
| Construction in progress | 325,529 | 143,482 | 129,481 | 133,985 | 113,381 | |||||||||||||
| Net property and equipment | 1,655,230 | 1,476,335 | 1,502,192 | 1,540,242 | 1,514,508 | |||||||||||||
| Investments, at Equity, and Advances to 50% or Less Owned Companies | 456,446 | 440,853 | 365,891 | 293,793 | 299,778 | |||||||||||||
| Construction Reserve Funds & Title XI Reserve Funds | 264,339 | 261,739 | 229,021 | 150,375 | 194,477 | |||||||||||||
| Goodwill | 17,963 | 17,985 | 17,978 | 17,978 | 17,978 | |||||||||||||
| Intangible Assets, Net | 11,567 | 12,423 | 13,583 | 14,594 | 15,754 | |||||||||||||
| Other Assets | 42,241 | 44,615 | 52,394 | 48,996 | 51,576 | |||||||||||||
| $ | 3,145,035 | $ | 3,116,233 | $ | 2,851,724 | $ | 2,768,333 | $ | 2,715,487 | |||||||||
| LIABILITIES AND EQUITY | ||||||||||||||||||
| Current Liabilities: | ||||||||||||||||||
| Current portion of long-term debt | $ | 49,171 | $ | 45,323 | $ | 26,973 | $ | 25,109 | $ | 15,435 | ||||||||
| Accounts payable and accrued expenses | 83,296 | 85,477 | 73,063 | 73,185 | 69,008 | |||||||||||||
| Other current liabilities | 132,190 | 123,619 | 124,788 | 122,434 | 122,125 | |||||||||||||
| Discontinued operations | -- | -- | -- | -- | 300 | |||||||||||||
| Total current liabilities | 264,657 | 254,419 | 224,824 | 220,728 | 206,868 | |||||||||||||
| Long-Term Debt | 830,887 | 834,118 | 675,206 | 674,444 | 655,384 | |||||||||||||
| Deferred Income Taxes | 456,883 | 457,827 | 437,436 | 421,623 | 422,719 | |||||||||||||
| Deferred Gains and Other Liabilities | 145,483 | 144,441 | 133,525 | 115,102 | 116,608 | |||||||||||||
| Discontinued Operations | -- | -- | -- | -- | 2,599 | |||||||||||||
| Total liabilities | 1,697,910 | 1,690,805 | 1,470,991 | 1,431,897 | 1,404,178 | |||||||||||||
| Equity: | ||||||||||||||||||
| SEACOR Holdings Inc. stockholders' equity: | ||||||||||||||||||
| Preferred stock | -- | -- | -- | -- | -- | |||||||||||||
| Common stock | 374 | 372 | 372 | 370 | 369 | |||||||||||||
| Additional paid-in capital | 1,401,294 | 1,394,621 | 1,358,273 | 1,347,909 | 1,340,875 | |||||||||||||
| Retained earnings | 1,106,779 | 1,095,270 | 1,086,874 | 1,056,583 | 1,037,312 | |||||||||||||
| Shares held in treasury, at cost | (1,087,101 | ) | (1,088,219 | ) | (1,088,219 | ) | (1,089,061 | ) | (1,089,064 | ) | ||||||||
| Accumulated other comprehensive loss, net of tax | (929 | ) | (1,192 | ) | (1,809 | ) | (4,243 | ) | (4,321 | ) | ||||||||
| 1,420,417 | 1,400,852 | 1,355,491 | 1,311,558 | 1,285,171 | ||||||||||||||
| Noncontrolling interests in subsidiaries | 26,708 | 24,576 | 25,242 | 24,878 | 26,138 | |||||||||||||
| Total equity | 1,447,125 | 1,425,428 | 1,380,733 | 1,336,436 | 1,311,309 | |||||||||||||
| $ | 3,145,035 | $ | 3,116,233 | $ | 2,851,724 | $ | 2,768,333 | $ | 2,715,487 | |||||||||
| SEACOR HOLDINGS INC. FLEET COUNTS (unaudited) | ||||||||||||
| Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | ||||||||
| Offshore Marine Services | ||||||||||||
| Anchor handling towing supply | 18 | 18 | 18 | 18 | 19 | |||||||
| Crew | 39 | 42 | 43 | 45 | 47 | |||||||
| Mini-supply | 8 | 8 | 8 | 8 | 9 | |||||||
| Standby safety | 25 | 25 | 25 | 25 | 25 | |||||||
| Supply | 26 | 27 | 26 | 26 | 26 | |||||||
| Towing supply | 3 | 3 | 3 | 3 | 3 | |||||||
| Specialty | 9 | 12 | 12 | 12 | 11 | |||||||
| Liftboats | 15 | 15 | 15 | 17 | 20 | |||||||
| Wind farm utility | 34 | 34 | 33 | 32 | 31 | |||||||
| 177 | 184 | 183 | 186 | 191 | ||||||||
| Inland River Services | ||||||||||||
| Dry-cargo barges | 1,415 | 1,405 | 1,409 | 1,413 | 1,434 | |||||||
| Liquid tank barges | 74 | 74 | 75 | 75 | 80 | |||||||
| Deck barges | 20 | 20 | 20 | 20 | 20 | |||||||
| Towboats | 32 | 32 | 31 | 31 | 31 | |||||||
| Dry-cargo vessel | -- | 1 | 1 | 1 | 1 | |||||||
| 1,541 | 1,532 | 1,536 | 1,540 | 1,566 | ||||||||
| Shipping Services(1) | ||||||||||||
| U.S.-flag: | ||||||||||||
| Product tankers | 7 | 7 | 7 | 7 | 7 | |||||||
| RORO/deck barges | 7 | 7 | 7 | 7 | 7 | |||||||
| Dry-bulk articulated tug-barge | 1 | 1 | 1 | 1 | 1 | |||||||
| Harbor tugs | 24 | 24 | 24 | 24 | 22 | |||||||
| Ocean liquid tank barges | 5 | 5 | 5 | 5 | 5 | |||||||
| Foreign-flag: | ||||||||||||
| Harbor tugs | 4 | 4 | 4 | 4 | 4 | |||||||
| Very large gas carriers | 3 | 3 | 3 | -- | -- | |||||||
| Short-sea container/RORO | 8 | 8 | 7 | 8 | 7 | |||||||
| 59 | 59 | 58 | 56 | 53 | ||||||||
______________________
| (1) | For each of the periods presented, the Company provided technical management services for two additional vessels. | |
| SEACOR HOLDINGS INC. | ||||||||||||||||||||||||||||
| EXPECTED FLEET DELIVERIES | ||||||||||||||||||||||||||||
| (unaudited) | ||||||||||||||||||||||||||||
| 2014 | 2015 | 2016 | 2017 | |||||||||||||||||||||||||
| Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Total | |||||||||||||||
| Offshore Marine Services | ||||||||||||||||||||||||||||
| Crew | 1 | 3 | -- | 1 | 1 | 2 | 1 | 1 | -- | -- | -- | -- | -- | 10 | ||||||||||||||
| Supply(1) | 1 | 1 | -- | -- | 1 | -- | -- | -- | -- | -- | -- | -- | -- | 3 | ||||||||||||||
| Wind farm utility | 1 | 1 | -- | -- | -- | -- | -- | -- | -- | -- | -- | -- | -- | 2 | ||||||||||||||
| Inland River Services | ||||||||||||||||||||||||||||
| Dry-cargo barges | 44 | 3 | -- | -- | -- | -- | -- | -- | -- | -- | -- | -- | -- | 47 | ||||||||||||||
| Liquid tank barges | -- | 1 | 1 | -- | -- | -- | -- | -- | -- | -- | -- | -- | -- | 2 | ||||||||||||||
| Towboats | 1 | 1 | 1 | 1 | 1 | -- | -- | -- | -- | -- | -- | -- | -- | 5 | ||||||||||||||
| Shipping Services | ||||||||||||||||||||||||||||
| U.S.-flag product tankers | -- | -- | -- | -- | -- | -- | -- | -- | 1 | -- | 1 | 1 | -- | 3 | ||||||||||||||
| U.S.-flag articulated tug-barge | -- | -- | -- | -- | -- | -- | -- | -- | 1 | -- | -- | -- | -- | 1 | ||||||||||||||
______________________
| (1) | To be sold to SEACOR OSV Partners I LP, a 50% or less owned company, upon delivery. |
| SEACOR HOLDINGS INC. OFFSHORE MARINE SERVICES TIME CHARTER OPERATING DATA (unaudited) | ||||||||||||||||
| Three Months Ended | ||||||||||||||||
| Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | ||||||||||||
| Rates Per Day Worked: | ||||||||||||||||
| Anchor handling towing supply | $ | 24,841 | $ | 26,773 | $ | 29,008 | $ | 23,635 | $ | 26,683 | ||||||
| Crew | 8,664 | 8,627 | 8,553 | 7,719 | 7,664 | |||||||||||
| Mini-supply | 7,148 | 7,805 | 8,048 | 7,721 | 7,666 | |||||||||||
| Standby safety | 10,679 | 10,584 | 9,922 | 9,621 | 9,642 | |||||||||||
| Supply | 17,156 | 16,906 | 17,541 | 16,864 | 14,915 | |||||||||||
| Towing supply | 10,128 | 8,744 | 10,970 | 9,156 | 9,349 | |||||||||||
| Specialty | 19,200 | 31,856 | 37,121 | 24,822 | 12,950 | |||||||||||
| Liftboats | 22,219 | 26,072 | 25,001 | 22,062 | 18,573 | |||||||||||
| Overall Average Rates Per Day Worked (excluding wind farm utility) | 14,324 | 15,355 | 15,677 | 13,588 | 12,878 | |||||||||||
| Wind farm utility | 2,423 | 2,427 | 2,315 | 2,302 | 2,142 | |||||||||||
| Overall Average Rates Per Day Worked | 11,659 | 12,279 | 12,454 | 11,010 | 10,657 | |||||||||||
| Utilization: | ||||||||||||||||
| Anchor handling towing supply | 77% | 74% | 75% | 74% | 74% | |||||||||||
| Crew | 81% | 84% | 88% | 90% | 91% | |||||||||||
| Mini-supply | 92% | 94% | 96% | 97% | 74% | |||||||||||
| Standby safety | 88% | 88% | 88% | 86% | 88% | |||||||||||
| Supply | 86% | 82% | 75% | 83% | 72% | |||||||||||
| Towing supply | 92% | 84% | 83% | 79% | 100% | |||||||||||
| Specialty | 47% | 81% | 58% | 54% | 25% | |||||||||||
| Liftboats | 60% | 73% | 82% | 69% | 64% | |||||||||||
| Overall Fleet Utilization (excluding wind farm utility) | 80% | 82% | 83% | 82% | 79% | |||||||||||
| Wind farm utility | 81% | 90% | 95% | 93% | 82% | |||||||||||
| Overall Fleet Utilization | 80% | 84% | 86% | 84% | 79% | |||||||||||
| Available Days: | ||||||||||||||||
| Anchor handling towing supply | 1,530 | 1,564 | 1,564 | 1,547 | 1,530 | |||||||||||
| Crew | 2,605 | 2,740 | 2,844 | 3,057 | 3,060 | |||||||||||
| Mini-supply | 540 | 552 | 552 | 565 | 630 | |||||||||||
| Standby safety | 2,160 | 2,208 | 2,208 | 2,184 | 2,160 | |||||||||||
| Supply | 1,530 | 1,564 | 1,564 | 1,538 | 1,581 | |||||||||||
| Towing supply | 180 | 184 | 184 | 182 | 180 | |||||||||||
| Specialty | 270 | 276 | 327 | 364 | 360 | |||||||||||
| Liftboats | 1,350 | 1,380 | 1,543 | 1,614 | 1,620 | |||||||||||
| Overall Fleet Available Days(excluding wind farm utility) | 10,165 | 10,468 | 10,786 | 11,051 | 11,121 | |||||||||||
| Wind farm utility | 2,863 | 2,959 | 2,978 | 2,889 | 2,790 | |||||||||||
| Overall Fleet Available Days | 13,028 | 13,427 | 13,764 | 13,940 | 13,911 | |||||||||||
For additional information, contact:
Molly Hottinger
(954) 627-5278
or visit SEACOR's website at www.seacorholdings.com
Source: SEACOR Holdings Inc.