SEACOR Holdings Announces Results for the Year and Fourth Quarter Ended December 31, 2012
FORT LAUDERDALE, FL -- (Marketwire) -- 02/27/13 -- SEACOR Holdings Inc. (NYSE: CKH) today announced its results for the fourth quarter ended December 31, 2012. For the year ended December 31, 2012, net income attributable to SEACOR Holdings Inc. was $61.2 million, or $2.95 per diluted share, including income from continuing operations of $34.4 million, or $1.66 per diluted share. For the year ended December 31, 2011, net income attributable to SEACOR Holdings Inc. was $41.1 million, or $1.91 per diluted share, including income from continuing operations of $32.7 million, or $1.52 per diluted share.
For the quarter ended December 31, 2012, the Company reported a net loss attributable to SEACOR Holdings Inc. of $2.6 million, or $0.13 per diluted share, including a loss from continuing operations of $8.3 million, or $0.41 per diluted share. The loss from continuing operations included:
- compensation expenses of $9.8 million, net of tax, or $0.49 per diluted share, related to the acceleration of restricted stock awards that were originally scheduled to vest in 2013 and 2014; and
- equity in losses of 50% or less owned companies of $9.7 million, net of tax, or $0.48 per diluted share, upon the contribution of the Company's O'Brien's Response Management Inc. ("ORM") subsidiary in exchange for an equity interest in Witt O'Brien's, LLC, a response management joint venture. The equity in losses was primarily related to the one-time recognition of deferred tax liabilities. In addition, ORM reported operating losses from continuing operations of $4.2 million for the year ended December 31, 2012.
Executive Chairman of the Board, Charles Fabrikant, commented: "During 2012, we sold our environmental remediation and response business, and in December we concluded a transaction to contribute our environmental consulting business into a joint venture. We believe this combination with a strategic partner represents an excellent opportunity to grow the response management business. In December, we sold our energy trading business. Subsequent to year end, on January 31, we spun-off Era Group Inc., the company that operated our Aviation Services business segment, by means of a dividend to SEACOR's stockholders of all the issued and outstanding common stock of Era Group Inc., which is now a stand-alone public company. These transactions have changed the profile of SEACOR on a go-forward basis. In addition, in the fourth quarter we purchased 1,047,664 of our shares and paid a $5.00 per share special cash dividend, returning $191.2 million in total to our stockholders."
For the preceding quarter ended September 30, 2012, net income attributable to SEACOR Holdings Inc. was $16.1 million, or $0.78 per diluted share, including income from continuing operations of $15.4 million, or $0.74 per diluted share. A comparison of results for the quarter ended December 31, 2012 with the preceding quarter ended September 30, 2012 is included in "Highlights for the Quarter" discussion below.
For the quarter ended December 31, 2011, net income attributable to SEACOR Holdings Inc. was $17.0 million, or $0.80 per diluted share, including income from continuing operations of $7.0 million, or $0.33 per diluted share.
Highlights for the Quarter
Offshore Marine Services - Operating income was $19.3 million on operating revenues of $141.1 million compared with operating income of $21.2 million on operating revenues of $134.3 million in the preceding quarter.
Operating revenues were $6.8 million higher in the fourth quarter, primarily due to an increase in activity levels for the Company's anchor handling towing supply vessels in the U.S. Gulf of Mexico, which contributed incremental time charter revenues of $5.8 million. Time charter revenues for other vessel classes in the U.S. Gulf of Mexico increased by $1.0 million primarily due to improved market conditions. As of December 31, 2012, the Company had two anchor handling towing supply vessels cold-stacked in the U.S. Gulf of Mexico compared with three as of September 30, 2012.
Operating expenses were $2.6 million higher primarily due to $3.0 million of increased drydocking expenditures in the U.S. Gulf of Mexico, Europe and the Middle East. During the fourth quarter, drydocking costs were $7.3 million compared with $4.3 million in the preceding quarter.
Administrative and general expenses were $4.7 million higher primarily due to $3.2 million of additional compensation expenses arising from the acceleration of restricted stock awards originally scheduled to vest in 2013 and 2014.
In the fourth quarter, the total number of days available for charter for the Company's fleet, excluding wind farm utility vessels, increased by 133 days, or 1% primarily due to net fleet additions. Overall utilization, excluding wind farm utility vessels, increased from 82.0% to 83.0% and overall average day rates, excluding wind farm utility vessels, increased by 5% from $12,718 per day to $13,306 per day. Time charter operating data by vessel class is presented in the table included herein.
Inland River Services - Operating income was $8.9 million on operating revenues of $66.5 million compared with operating income of $7.7 million on operating revenues of $53.3 million in the preceding quarter. Fourth quarter results included $1.4 million in gains on asset dispositions compared with $3.5 million in gains in the preceding quarter. The improvement in operating income was primarily attributable to the results of the pooled hopper barge fleet. Seasonal activity associated with the harvest of grain in the Midwest, demand for grain movements prior to anticipated navigation restrictions required by low water conditions, and increased fertilizer loadings were the primary factors causing this improvement. Administrative and general expenses increased by $1.2 million primarily due to higher compensation costs arising from the acceleration of restricted stock awards originally scheduled to vest in 2013 and 2014.
Shipping Services(formerly Marine Transportation Services and Harbor and Offshore Towing Services) - Operating income was $5.7 million on operating revenues of $46.3 million compared with operating income of $2.9 million on operating revenues of $45.2 million in the preceding quarter. Operating results for petroleum transportation were $3.2 million lower in the fourth quarter primarily due to 27 days of out-of-service time and $2.1 million of expenses incurred for one vessel undergoing a regulatory drydocking. Operating results for harbor towing and bunkering were $4.0 million higher in the fourth quarter primarily due to fewer days out-of-service for drydockings and the recognition of $1.1 million in gains on the sale of two vessels. In the preceding quarter, other income for harbor towing and bunkering included a termination payment of $7.0 million received from a customer following the cancellation of a long-term charter. Operating results for liner transportation were $2.0 million higher primarily due to the third quarter settlement of a legal dispute. Equity in losses in the fourth quarter were primarily attributable to losses in the Company's short-sea transportation joint venture.
Alcohol Manufacturing - Alcohol Manufacturing reported a segment loss of $2.2 million on operating revenues of $42.3 million compared with a segment loss of $0.8 million on operating revenues of $47.8 million in the preceding quarter. Operating results in the fourth quarter were negatively impacted by higher corn prices.
Other - Other reported a segment loss of $10.7 million during the fourth quarter, which included equity in losses of 50% or less owned companies of $9.7 million upon the contribution of ORM in exchange for an equity interest in Witt O'Brien's, LLC. The equity in losses was primarily related to the one-time recognition of deferred tax liabilities on the deconsolidation of non-deductible goodwill.
Era Group Inc. (Aviation Services) - Operating income was $9.7 million on operating revenues of $70.9 million compared with operating income of $11.1 million on operating revenues of $78.0 million in the preceding quarter.
Operating revenues were $7.1 million lower primarily due to the end of seasonal activities in Alaska partially offset by increased revenues from international contract-leasing due to the recognition of previously deferred revenues.
Operating expenses were $4.0 million lower primarily due to the end of seasonal activities and a reduction in repairs and maintenance expense in the current quarter as a result of maintenance credits received in connection with the end of two customer contract-leases. Power-by-hour expenses were lower due to fewer flight hours in international contract-leasing primarily due to the suspension of EC225 helicopter operations.
Administrative and general expenses were $2.8 million lower in the fourth quarter primarily due to an allowance for doubtful accounts and severance costs related to the separation of an executive officer, both recorded in the previous quarter. Depreciation expenses were $11.5 million in the fourth quarter, an increase of $0.5 million primarily due to fleet additions.
Corporate and Eliminations - Administrative and general expenses were $18.2 million compared with $8.5 million in the preceding quarter. The increase was primarily due to $6.8 million of expense associated with the acceleration of restricted stock awards originally scheduled to vest in 2013 and 2014, accruals for bonuses and increased audit and professional fees.
Discontinued Operations - On December 31, 2012, the Company disposed of SEACOR Energy Inc. ("SEI"), the entity that had been conducting the Company's energy trading activities, for a net sales price of $15.1 million and a gain of $7.1 million, net of tax, or $0.34 per diluted share. The historical operating results for SEI have been reported as discontinued operations, net of tax, for all periods presented.
Stock Repurchases - During the fourth quarter, the Company purchased 1,047,664 shares of its common stock at an average price of $86.68 per share. As of December 31, 2012, 19,887,933 shares of SEACOR's common stock remained outstanding. On February 26, 2013, SEACOR's Board of Directors increased the Company's authority to repurchase SEACOR common stock from $30.5 million up to $100.0 million. The repurchase of common stock may be conducted from time to time through open market purchases, privately negotiated transactions or otherwise depending upon market conditions.
2.50% Convertible Senior Notes - On December 11, 2012, the Company sold $350.0 million aggregate principal amount of 2.50% convertible senior notes due December 15, 2027. These convertible notes are senior unsecured obligations of the Company and bear interest at a rate of 2.50% per annum, payable semiannually in arrears on June 15 and December 15 of each year, beginning on June 15, 2013.
7.75% Era Group Senior Notes - On December 7, 2012, Era Group Inc. issued $200.0 million aggregate principal amount of its 7.75% Senior Notes due December 15, 2022 for net proceeds of $193.3 million. These notes are senior unsecured obligations of Era Group Inc. and bear interest at a rate of 7.75% per annum, payable semiannually in arrears on June 15 and December 15 of each year, beginning on June 15, 2013.
Special Cash Dividend - On December 24, 2012, the Company paid a Special Cash Dividend of $100.4 million, or $5.00 per common share, to shareholders of record on December 17, 2012.
Equipment Acquisitions - During the year ended December 31, 2012, capital expenditures for continuing operations were $352.3 million. Equipment deliveries during that period included six offshore support vessels, including one wind farm utility vessel, three inland river dry cargo barges, five liquid tank barges, two inland river towboats and eighteen helicopters.
Capital Commitments - Excluding Era Group Inc., the Company's unfunded capital commitments as of December 31, 2012 were $212.0 million and consisted of: 16 offshore support vessels for $122.6 million; an interest in a jack-up drilling rig for $30.3 million; eight inland river tank barges for $18.4 million; five inland river towboats for $15.3 million; four harbor tugs for $13.1 million; and other equipment and improvements for $11.0 million. In addition, the Company notified the lessee of its intent to purchase one harbor tug currently operating under a capital lease for $1.3 million. Of these commitments, $176.6 million is payable during 2013 with the balance payable through 2015. Era Group Inc.'s unfunded capital commitments were $134.8 million and consisted primarily of eleven helicopters for $134.4 million, of which $128.3 million may be terminated without further liability other than the payment of liquidated damages of $3.3 million. Of Era Group Inc.'s commitments, $13.8 million is payable in 2013 with the balance payable through 2016. Subsequent to December 31, 2012, the Company, excluding Aviation Services, committed to purchase additional equipment for $1.3 million, Aviation Services committed to purchase two additional helicopters for $16.6 million, and one of the Company's Offshore Marine Services joint ventures secured financing for a jack-up drilling rig thereby reducing the Company's unfunded capital commitments by $30.3 million.
As of December 31, 2012, the Company held balances of cash, cash equivalents, restricted cash, marketable securities, construction reserve funds and Title XI reserve funds totaling $505.3 million, of which $11.5 million was held by Era Group Inc.
SEACOR is a global provider of equipment and services primarily supporting the offshore oil and gas and marine transportation industries. SEACOR offers customers a diversified suite of services including offshore marine, inland river and shipping. SEACOR is focused on providing highly responsive local service combined with the highest safety standards, innovative technology, modern, efficient equipment and dedicated professional employees. SEACOR is publicly traded on the New York Stock Exchange (NYSE) under the symbol CKH.
This release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements concerning management's expectations, strategic objectives, business prospects, anticipated economic performance and financial condition and other similar matters involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of results to differ materially from any future results, performance or achievements discussed or implied by such forward-looking statements. Such risks, uncertainties and other important factors include, among others: decreased demand and loss of revenues as a result of U.S. government implemented moratoriums directing operators to cease certain drilling activities 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 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 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 in 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 attraction and retention of qualified personnel by the Company, and various other matters and factors, many of which are beyond the Company's control. In addition, these statements constitute the Company's cautionary statements under the Private Securities Litigation Reform Act of 1995. It is not possible to predict or identify all such factors. Consequently, the foregoing should not be considered a complete discussion of all potential risks or uncertainties. The words "estimate," "project," "intend," "believe," "plan" and similar expressions are intended to identify forward-looking statements. 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. The forward-looking statements in this release should be evaluated together with the many uncertainties that affect the Company's businesses, particularly those mentioned under "Forward-Looking Statements" in Item 7 on the Company's Form 10-K and SEACOR's periodic reporting on Form 10-Q and Form 8-K (if any), which are incorporated by reference.
SEACOR HOLDINGS INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) (in thousands, except share data, unaudited) Three Months Ended Year Ended ------------------------ ------------------------ December 31, December 31, ------------------------ ------------------------ 2012 2011 2012 2011 ----------- ----------- ----------- ----------- Operating Revenues $ 433,262 $ 344,642 $ 1,581,200 $ 1,290,618 ----------- ----------- ----------- ----------- Costs and Expenses: Operating 312,782 237,766 1,144,649 908,246 Administrative and general 63,516 50,693 201,525 163,652 Depreciation and amortization 45,869 35,388 174,169 149,485 ----------- ----------- ----------- ----------- 422,167 323,847 1,520,343 1,221,383 ----------- ----------- ----------- ----------- Gains on Asset Dispositions and Impairments, Net 7,961 5,469 27,599 34,011 ----------- ----------- ----------- ----------- Operating Income 19,056 26,264 88,456 103,246 ----------- ----------- ----------- ----------- Other Income (Expense): Interest income 3,580 1,126 18,270 13,617 Interest expense (11,573) (9,966) (48,539) (41,135) Debt extinguishment losses, net -- -- (160) (99) Marketable security gains (losses), net (333) (4,803) 12,891 (7,893) Derivative losses, net (376) (1,302) (3,302) (31,381) Foreign currency gains (losses), net 53 (2,308) 2,351 1,056 Other, net (309) 1,300 7,178 1,027 ----------- ----------- ----------- ----------- (8,958) (15,953) (11,311) (64,808) ----------- ----------- ----------- ----------- Income from Continuing Operations Before Income Tax Expense and Equity In Earnings (Losses) of 50% or Less Owned Companies 10,098 10,311 77,145 38,438 Income Tax Expense 6,030 2,555 32,179 14,613 ----------- ----------- ----------- ----------- Income from Continuing Operations Before Equity in Earnings (Losses) of 50% or Less Owned Companies 4,068 7,756 44,966 23,825 Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax (12,507) (579) (11,292) 9,990 ----------- ----------- ----------- ----------- Income (Loss) from Continuing Operations (8,439) 7,177 33,674 33,815 Income from Discontinued Operations, Net of Tax 5,722 10,075 26,785 8,335 ----------- ----------- ----------- ----------- Net Income (Loss) (2,717) 17,252 60,459 42,150 Net Income (Loss) attributable to Noncontrolling Interests in Subsidiaries (93) 212 (756) 1,094 ----------- ----------- ----------- ----------- Net Income (Loss) attributable to SEACOR Holdings Inc. $ (2,624) $ 17,040 $ 61,215 $ 41,056 =========== =========== =========== =========== Net Income (Loss) attributable to SEACOR Holdings Inc.: Continuing operations $ (8,346) $ 6,965 $ 34,430 $ 32,721 Discontinued operations 5,722 10,075 26,785 8,335 ----------- ----------- ----------- ----------- $ (2,624) $ 17,040 $ 61,215 $ 41,056 =========== =========== =========== =========== Basic Earnings (Loss) Per Common Share of SEACOR Holdings Inc.: Continuing operations $ (0.41) $ 0.33 $ 1.69 $ 1.55 Discontinued operations 0.28 0.48 1.31 0.39 ----------- ----------- ----------- ----------- $ (0.13) $ 0.81 $ 3.00 $ 1.94 =========== =========== =========== =========== Diluted Earnings (Loss) Per Common Share of SEACOR Holdings Inc.: Continuing operations $ (0.41) $ 0.33 $ 1.66 $ 1.52 Discontinued operations 0.28 0.47 1.29 0.39 ----------- ----------- ----------- ----------- $ (0.13) $ 0.80 $ 2.95 $ 1.91 =========== =========== =========== =========== Weighted Average Common Shares Outstanding: Basic 20,172,582 21,004,776 20,426,770 21,119,461 Diluted 20,172,582 21,353,631 20,775,896 21,466,843 Special Cash Dividend Declared and Paid Per Common Share of SEACOR Holdings Inc. $ 5.00 $ -- $ 5.00 $ -- SEACOR HOLDINGS INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) (in thousands, except per share data, unaudited) Three Months Ended ------------------------------------------------ Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31, 2012 2012 2012 2012 2011 -------- -------- -------- -------- -------- Operating Revenues $433,262 $416,842 $372,208 $358,888 $344,642 -------- -------- -------- -------- -------- Costs and Expenses: Operating 312,782 300,238 283,547 248,082 237,766 Administrative and general 63,516 49,847 43,494 44,668 50,693 Depreciation and amortization 45,869 45,284 43,684 39,332 35,388 -------- -------- -------- -------- -------- 422,167 395,369 370,725 332,082 323,847 -------- -------- -------- -------- -------- Gains on Asset Dispositions and Impairments, Net 7,961 9,677 4,419 5,542 5,469 -------- -------- -------- -------- -------- Operating Income 19,056 31,150 5,902 32,348 26,264 -------- -------- -------- -------- -------- Other Income (Expense): Interest income 3,580 4,074 7,641 2,975 1,126 Interest expense (11,573) (12,619) (12,392) (11,955) (9,966) Debt extinguishment losses, net -- -- -- (160) -- Marketable security gains (losses), net (333) (1,730) 11,596 3,358 (4,803) Derivative gains (losses), net (376) (2,218) 2,374 (3,082) (1,302) Foreign currency gains (losses), net 53 756 (1,036) 2,578 (2,308) Other, net (309) 7,098 443 (54) 1,300 -------- -------- -------- -------- -------- (8,958) (4,639) 8,626 (6,340) (15,953) -------- -------- -------- -------- -------- Income from Continuing Operations Before Income Tax Expense and Equity In Earnings (Losses) of 50% or Less Owned Companies 10,098 26,511 14,528 26,008 10,311 Income Tax Expense 6,030 10,669 5,111 10,369 2,555 -------- -------- -------- -------- -------- Income from Continuing Operations Before Equity in Earnings (Losses) of 50% or Less Owned Companies 4,068 15,842 9,417 15,639 7,756 Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax (12,507) (1,078) 1,051 1,242 (579) -------- -------- -------- -------- -------- Income (Loss) from Continuing Operations (8,439) 14,764 10,468 16,881 7,177 Income from Discontinued Operations, Net of Tax 5,722 740 831 19,492 10,075 -------- -------- -------- -------- -------- Net Income (Loss) (2,717) 15,504 11,299 36,373 17,252 Net Income (Loss) attributable to Noncontrolling Interests in Subsidiaries (93) (598) 50 (115) 212 -------- -------- -------- -------- -------- Net Income (Loss) attributable to SEACOR Holdings Inc. $ (2,624) $ 16,102 $ 11,249 $ 36,488 $ 17,040 ======== ======== ======== ======== ======== Net Income (Loss) attributable to SEACOR Holdings Inc.: Continuing operations $ (8,346) $ 15,362 $ 10,418 $ 16,996 $ 6,965 Discontinued operations 5,722 740 831 19,492 10,075 -------- -------- -------- -------- -------- $ (2,624) $ 16,102 $ 11,249 $ 36,488 $ 17,040 ======== ======== ======== ======== ======== Basic Earnings (Loss) Per Common Share of SEACOR Holdings Inc.: Continuing operations $ (0.41) $ 0.75 $ 0.51 $ 0.83 $ 0.33 Discontinued operations 0.28 0.04 0.04 0.95 0.48 -------- -------- -------- -------- -------- $ (0.13) $ 0.79 $ 0.55 $ 1.78 $ 0.81 ======== ======== ======== ======== ======== Diluted Earnings (Loss) Per Common Share of SEACOR Holdings Inc.: Continuing operations $ (0.41) $ 0.74 $ 0.50 $ 0.81 $ 0.33 Discontinued operations 0.28 0.04 0.04 0.94 0.47 -------- -------- -------- -------- -------- $ (0.13) $ 0.78 $ 0.54 $ 1.75 $ 0.80 ======== ======== ======== ======== ======== Weighted Average Common Shares of Outstanding: Basic 20,173 20,433 20,585 20,520 21,005 Diluted 20,173 20,740 20,871 20,893 21,354 Common Shares Outstanding at Period End 19,888 20,851 20,948 21,114 20,933 Special Cash Dividend Declared and Paid Per Common Share of SEACOR Holdings Inc. $ 5.00 $ -- $ -- $ -- $ -- SEACOR HOLDINGS INC. SEGMENT INFORMATION (in thousands, unaudited) Three Months Ended ------------------------------------------------ Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31, 2012 2012 2012 2012 2011 -------- -------- -------- -------- -------- Offshore Marine Services Operating Revenues $141,133 $134,322 $123,276 $121,086 $109,781 -------- -------- -------- -------- -------- Costs and Expenses: Operating 91,414 88,842 94,084 75,340 69,484 Administrative and general 19,456 14,795 13,146 11,856 13,666 Depreciation and amortization 16,750 16,051 15,859 12,882 11,954 -------- -------- -------- -------- -------- 127,620 119,688 123,089 100,078 95,104 -------- -------- -------- -------- -------- Gains on Asset Dispositions 5,822 6,585 624 1,845 1,449 -------- -------- -------- -------- -------- Operating Income 19,335 21,219 811 22,853 16,126 -------- -------- -------- -------- -------- Other Income (Expense): Derivative losses, net (243) -- -- -- -- Foreign currency gains (losses), net (409) 717 (354) 1,123 (1,290) Other, net (9) -- 11 -- 272 Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax 1,146 1,238 1,001 1,829 (500) -------- -------- -------- -------- -------- Segment Profit $ 19,820 $ 23,174 $ 1,469 $ 25,805 $ 14,608 ======== ======== ======== ======== ======== OIBDA(1) $ 36,085 $ 37,270 $ 16,670 $ 35,735 $ 28,080 ======== ======== ======== ======== ======== Aviation Services Operating Revenues $ 70,895 $ 77,989 $ 62,985 $ 61,052 $ 61,696 -------- -------- -------- -------- -------- Costs and Expenses: Operating 42,282 46,235 39,002 39,676 41,084 Administrative and general 7,575 10,338 7,195 9,677 11,803 Depreciation and amortization 11,471 10,937 10,464 9,630 9,210 -------- -------- -------- -------- -------- 61,328 67,510 56,661 58,983 62,097 -------- -------- -------- -------- -------- Gains on Asset Dispositions 157 613 1,077 1,765 1,912 -------- -------- -------- -------- -------- Operating Income 9,724 11,092 7,401 3,834 1,511 -------- -------- -------- -------- -------- Other Income (Expense): Derivative gains (losses), net 2 (188) (180) (124) (18) Foreign currency gains (losses), net 87 (272) (12) 917 (80) Other, net -- -- -- 30 9 Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax (84) 219 756 (6,419) (979) -------- -------- -------- -------- -------- Segment Profit (Loss) $ 9,729 $ 10,851 $ 7,965 $ (1,762) $ 443 ======== ======== ======== ======== ======== OIBDA(1) $ 21,195 $ 22,029 $ 17,865 $ 13,464 $ 10,721 ======== ======== ======== ======== ======== SEACOR HOLDINGS INC. SEGMENT INFORMATION (continued) (in thousands, unaudited) Three Months Ended ------------------------------------------------ Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31, 2012 2012 2012 2012 2011 -------- -------- -------- -------- -------- Inland River Services Operating Revenues $ 66,476 $ 53,293 $ 53,302 $ 53,490 $ 51,871 -------- -------- -------- -------- -------- Costs and Expenses: Operating 47,630 38,320 37,463 35,183 31,702 Administrative and general 4,689 3,480 3,773 3,982 3,270 Depreciation and amortization 6,684 7,335 7,244 7,007 5,617 -------- -------- -------- -------- -------- 59,003 49,135 48,480 46,172 40,589 -------- -------- -------- -------- -------- Gains on Asset Dispositions 1,378 3,503 858 1,927 986 -------- -------- -------- -------- -------- Operating Income 8,851 7,661 5,680 9,245 12,268 -------- -------- -------- -------- -------- Other Income (Expense): Derivative losses, net -- -- -- -- -- Foreign currency gains (losses), net 144 33 (71) (22) -- Other, net (1) -- -- -- -- Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax (1,772) (2,227) 439 250 955 -------- -------- -------- -------- -------- Segment Profit $ 7,222 $ 5,467 $ 6,048 $ 9,473 $ 13,223 ======== ======== ======== ======== ======== OIBDA(1) $ 15,535 $ 14,996 $ 12,924 $ 16,252 $ 17,885 ======== ======== ======== ======== ======== Shipping Services Operating Revenues $ 46,322 $ 45,157 $ 42,824 $ 45,733 $ 43,979 -------- -------- -------- -------- -------- Costs and Expenses: Operating 28,250 28,089 28,214 27,572 25,601 Administrative and general 5,614 6,567 5,505 4,867 6,057 Depreciation and amortization 7,880 7,776 7,362 7,617 7,499 -------- -------- -------- -------- -------- 41,744 42,432 41,081 40,056 39,157 -------- -------- -------- -------- -------- Gains on Asset Dispositions 1,123 145 1,860 -- 1,126 -------- -------- -------- -------- -------- Operating Income 5,701 2,870 3,603 5,677 5,948 -------- -------- -------- -------- -------- Other Income (Expense): Derivative gains (losses), net -- -- -- -- -- Foreign currency gains (losses), net (11) 8 (4) 13 (17) Other, net 20 7,145 257 30 122 Equity in Losses of 50% or Less Owned Companies, Net of Tax (2,606) (551) (774) (217) (74) -------- -------- -------- -------- -------- Segment Profit $ 3,104 $ 9,472 $ 3,082 $ 5,503 $ 5,979 ======== ======== ======== ======== ======== OIBDA(1) $ 13,581 $ 10,646 $ 10,965 $ 13,294 $ 13,447 ======== ======== ======== ======== ======== SEACOR HOLDINGS INC. SEGMENT INFORMATION (continued) (in thousands, unaudited) Three Months Ended ------------------------------------------------ Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31, 2012 2012 2012 2012 2011 -------- -------- -------- -------- -------- Alcohol Manufacturing Operating Revenues $ 42,280 $ 47,813 $ 58,938 $ 39,619 $ -- -------- -------- -------- -------- -------- Costs and Expenses: Operating 43,364 45,472 57,201 37,405 -- Administrative and general 516 545 434 425 227 Depreciation and amortization 1,549 1,578 1,578 1,052 -- -------- -------- -------- -------- -------- 45,429 47,595 59,213 38,882 227 -------- -------- -------- -------- -------- Gains (Losses) on Asset Dispositions and Impairments, Net -- -- -- -- -- -------- -------- -------- -------- -------- Operating Income (Loss) (3,149) 218 (275) 737 (227) -------- -------- -------- -------- -------- Other Income (Expense): Derivative gains (losses), net 900 (1,035) (236) (485) -- Equity in Earnings of 50% or Less Owned Companies, Net of Tax -- -- -- 6,154 1,452 -------- -------- -------- -------- -------- Segment Profit (Loss) $ (2,249) $ (817) $ (511) $ 6,406 $ 1,225 ======== ======== ======== ======== ======== OIBDA(1) $ (1,600) $ 1,796 $ 1,303 $ 1,789 $ (227) ======== ======== ======== ======== ======== Other Operating Revenues $ 68,394 $ 58,336 $ 30,893 $ 38,108 $ 77,378 -------- -------- -------- -------- -------- Costs and Expenses: Operating 62,027 53,287 27,566 33,077 69,926 Administrative and general 7,492 5,635 5,899 4,798 5,064 Depreciation and amortization 721 753 711 689 659 -------- -------- -------- -------- -------- 70,240 59,675 34,176 38,564 75,649 -------- -------- -------- -------- -------- Gains (Losses) on Asset Dispositions and Impairments, Net (363) (1,169) -- 5 (4) -------- -------- -------- -------- -------- Operating Income (Loss) (2,209) (2,508) (3,283) (451) 1,725 -------- -------- -------- -------- -------- Other Income (Expense): Derivative gains (losses), net 649 (838) 2,516 (1,417) 211 Foreign currency gains (losses), net 12 (25) (84) 99 252 Other, net -- -- -- -- 948 Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax (9,191) 243 (371) (355) (1,433) -------- -------- -------- -------- -------- Segment Profit (Loss) $(10,739) $ (3,128) $ (1,222) $ (2,124) $ 1,703 ======== ======== ======== ======== ======== OIBDA(1) $ (1,488) $ (1,755) $ (2,572) $ 238 $ 2,384 ======== ======== ======== ======== ======== SEACOR HOLDINGS INC. SEGMENT INFORMATION (continued) (in thousands, unaudited) Three Months Ended ------------------------------------------------ Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31, 2012 2012 2012 2012 2011 -------- -------- -------- -------- -------- Corporate and Eliminations Operating Revenues $ (2,238) $ (68) $ (10) $ (200) $ (63) -------- -------- -------- -------- -------- Costs and Expenses: Operating (2,185) (7) 17 (171) (31) Administrative and general 18,174 8,487 7,542 9,063 10,606 Depreciation and amortization 814 854 466 455 449 -------- -------- -------- -------- -------- 16,803 9,334 8,025 9,347 11,024 -------- -------- -------- -------- -------- Losses on Asset Impairments (156) -- -- -- -- -------- -------- -------- -------- -------- Operating Loss $(19,197) $ (9,402) $ (8,035) $ (9,547) $(11,087) ======== ======== ======== ======== ======== Other Income (Expense): Derivative gains (losses), net $ (1,684) $ (157) $ 274 $ (1,056) $ (1,495) Foreign currency gains (losses), net 230 295 (511) 448 (1,173) Other, net (319) (47) 175 (114) (51) (1) Non-GAAP Financial Measure. The Company, from time to time, discloses and discusses OIBDA as a non-GAAP financial measure in its public releases and other filings with the Securities and Exchange Commission. The Company defines OIBDA as operating income 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. 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's executive officers and other shore-based employees; (iii) to compare to the OIBDA of other companies when evaluating potential acquisitions; and (iv) to assess the Company's ability to service existing fixed charges and incur additional indebtedness. SEACOR HOLDINGS INC. CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, unaudited) Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31, 2012 2012 2012 2012 2011 ----------- ---------- ---------- ---------- ---------- ASSETS Current Assets: Cash and cash equivalents $ 259,709 $ 207,300 $ 298,972 $ 277,810 $ 460,604 Restricted cash 28,285 191,782 18,347 25,958 21,281 Marketable securities 21,668 22,134 32,821 68,586 66,898 Receivables: Trade, net of allowance for doubtful accounts 282,424 283,738 251,588 262,244 274,122 Other 49,772 67,855 65,334 41,206 50,786 Inventories 52,437 48,946 53,744 57,841 37,462 Deferred income taxes 7,172 11,300 11,300 11,300 11,300 Prepaid expenses and other 14,522 15,699 13,726 82,355 9,087 Discontinued operations 2,635 63,032 53,536 11,259 109,007 ----------- ---------- ---------- ---------- ---------- Total current assets 718,624 911,786 799,368 838,559 1,040,547 ----------- ---------- ---------- ---------- ---------- Property and Equipment 3,378,955 3,379,812 3,304,449 3,314,684 3,018,015 Accumulated depreciation (1,006,274) (976,601) (934,089) (905,360) (867,907) ----------- ---------- ---------- ---------- ---------- Net property and equipment 2,372,681 2,403,211 2,370,360 2,409,324 2,150,108 ----------- ---------- ---------- ---------- ---------- Investments, at Equity, and Advances to 50% or Less Owned Companies 307,231 266,589 323,874 220,772 249,753 Construction Reserve Funds & Title XI Reserve Funds 195,629 179,932 192,420 259,926 259,974 Goodwill 18,330 57,054 57,054 57,054 57,054 Intangible Assets, Net 15,305 19,931 21,116 22,132 21,528 Other Assets 72,994 78,715 81,545 99,105 102,340 Discontinued Operations -- 18 80 81 46,830 ----------- ---------- ---------- ---------- ---------- $ 3,700,794 $3,917,236 $3,845,817 $3,906,953 $3,928,134 =========== ========== ========== ========== ========== LIABILITIES AND EQUITY Current Liabilities: Current portion of long-term debt $ 24,707 $ 196,326 $ 24,546 $ 22,078 $ 41,091 Current portion of capital lease obligations 2,900 4,442 4,719 2,289 2,368 Accounts payable and accrued expenses 124,291 121,539 113,905 119,323 153,747 Other current liabilities 113,254 142,943 157,905 175,199 150,304 Discontinued operations 489 31,412 19,503 25,096 54,016 ----------- ---------- ---------- ---------- ---------- Total current liabilities 265,641 496,662 320,578 343,985 401,526 ----------- ---------- ---------- ---------- ---------- Long-Term Debt 932,257 813,322 940,910 976,872 995,450 Capital Lease Obligations 59 87 117 2,848 3,068 Deferred Income Taxes 629,553 600,904 582,089 576,279 567,088 Deferred Gains and Other Liabilities 128,206 120,887 132,036 135,482 143,265 Discontinued Operations 2,403 1,890 903 129 9,674 ----------- ---------- ---------- ---------- ---------- Total liabilities 1,958,119 2,033,752 1,976,633 2,035,595 2,120,071 ----------- ---------- ---------- ---------- ---------- Equity: SEACOR Holdings Inc. stockholders' equity: Preferred stock -- -- -- -- -- Common stock 367 366 366 366 364 Additional paid-in capital 1,330,324 1,277,751 1,271,617 1,265,708 1,256,209 Retained earnings 1,473,509 1,576,518 1,560,416 1,549,167 1,512,679 Shares held in treasury, at cost (1,088,560) (997,541) (987,485) (970,023) (971,687) Accumulated other comprehensive loss, net of tax (1,986) (3,604) (5,831) (5,369) (7,958) ----------- ---------- ---------- ---------- ---------- 1,713,654 1,853,490 1,839,083 1,839,849 1,789,607 Noncontrolling interests in subsidiaries 29,021 29,994 30,101 31,509 18,456 ----------- ---------- ---------- ---------- ---------- Total equity 1,742,675 1,883,484 1,869,184 1,871,358 1,808,063 ----------- ---------- ---------- ---------- ---------- $ 3,700,794 $3,917,236 $3,845,817 $3,906,953 $3,928,134 =========== ========== ========== ========== ========== SEACOR HOLDINGS INC. FLEET COUNTS (unaudited) Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31, 2012 2012 2012 2012 2011 --------- --------- --------- --------- --------- Offshore Marine Services Anchor handling towing supply 19 19 19 19 19 Crew 47 48 48 48 49 Mini-supply 9 9 9 9 8 Standby safety 25 25 25 26 26 Supply 26 25 28 28 30 Towing supply 3 3 3 5 5 Liftboats 20 20 20 20 2 Specialty 10 9 9 9 9 Wind farm utility 30 30 30 30 29 --------- --------- --------- --------- --------- 189 188 191 194 177 ========= ========= ========= ========= ========= Aviation Services Light helicopters - single engine 59 59 59 58 58 Light helicopters - twin engine 37 41 44 46 45 Medium helicopters 69 69 68 66 65 Heavy helicopters 10 10 9 8 7 --------- --------- --------- --------- --------- 175 179 180 178 175 ========= ========= ========= ========= ========= Inland River Services Inland river dry-cargo barges 1,444 1,444 1,453 1,479 1,496 Inland river liquid tank barges 81 80 78 77 77 Inland river deck barges 20 20 20 20 20 Inland river towboats 31 31 31 30 31 Dry-cargo vessel 1 1 1 1 1 --------- --------- --------- --------- --------- 1,577 1,576 1,583 1,607 1,625 ========= ========= ========= ========= ========= Shipping Services U.S.-flag product tankers 8 8 8 8 7 U.S.-flag container vessel 1 1 1 1 1 U.S.-flag articulated tug- barge 1 1 1 -- -- U.S.-flag deck barges 5 5 5 -- -- U.S.-flag RORO barges 2 2 2 -- -- Azimuth drive harbor tugs 15 15 15 16 15 Conventional drive harbor tugs 11 12 12 13 13 Ocean liquid tank barges 5 5 5 5 5 Foreign-flag RORO vessels 7 7 8 8 8 --------- --------- --------- --------- --------- 55 56 57 51 49 ========= ========= ========= ========= ========= SEACOR HOLDINGS INC. OFFSHORE MARINE SERVICES TIME CHARTER OPERATING DATA (unaudited) Three Months Ended ------------------------------------------------ Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31, 2012 2012 2012 2012 2011 -------- -------- -------- -------- -------- Rates Per Day Worked: Anchor handling towing supply $ 25,059 $ 22,794 $ 24,541 $ 30,928 $ 27,187 Crew 7,231 7,267 7,134 7,803 7,166 Mini-supply 7,664 7,735 7,424 7,409 7,948 Standby safety 10,001 9,806 9,679 9,230 9,254 Supply 16,599 16,567 14,354 16,662 15,755 Towing supply 9,573 8,265 9,269 9,301 8,497 Specialty 20,635 26,195 14,557 12,964 17,845 Liftboats 20,673 19,830 17,454 -- -- Overall Average Rates Per Day Worked (excluding wind farm utility) 13,306 12,718 12,068 13,174 12,187 Wind farm utility 2,653 2,882 2,802 2,431 -- Overall Average Rates Per Day Worked 11,160 10,552 10,019 10,839 12,187 Utilization: Anchor handling towing supply 63% 57% 63% 77% 70% Crew 91% 94% 84% 79% 78% Mini-supply 85% 88% 98% 98% 96% Standby safety 87% 89% 87% 86% 90% Supply 87% 77% 75% 84% 82% Towing supply 94% 54% 51% 48% 44% Specialty 57% 59% 45% 62% 70% Liftboats 80% 82% 70% -- -- Overall Fleet Utilization (excluding wind farm utility) 83% 82% 77% 81% 80% Wind farm utility 88% 96% 93% 86% -- Overall Fleet Utilization 84% 85% 80% 82% 80% Available Days: Anchor handling towing supply 1,632 1,564 1,547 1,547 1,564 Crew 3,220 3,233 3,276 3,363 3,418 Mini-supply 644 644 637 637 644 Standby safety 2,208 2,208 2,195 2,275 2,355 Supply 1,656 1,631 1,649 1,705 1,798 Towing supply 184 184 360 364 368 Specialty 329 276 273 273 276 Liftboats 1,656 1,656 1,656 -- -- -------- -------- -------- -------- -------- Overall Fleet Available Days (excluding wind farm utility) 11,529 11,396 11,593 10,164 10,423 -------- -------- -------- -------- -------- Wind farm utility 2,760 2,760 2,730 2,647 -- -------- -------- -------- -------- -------- Overall Fleet Available Days 14,289 14,156 14,323 12,811 10,423 ======== ======== ======== ======== ========
For additional information, contact Molly Hottinger (954) 627-5278 www.seacorholdings.com
Source: SEACOR Holdings Inc.