CGG Posts Loss In FY13 On Impairment And Write-off In Acquisition Division

(RTTNews) - CGG (CGG) reported a full-year 2013 net loss to owners of company of $698.8 million, compared to profit of $75.2 million, prior year. Net loss per share was $3.95, compared to profit of $0.46 per share, a year ago.

Group net income was $101 million after NRFI and before the impairment and write-off, compared to $92 million in 2012. After impairment and write-off, Group net loss was $691 million for fiscal 2013.

After minority interests and after NRFI and before impairment & write-off, net income attributable to the owners of CGG was $94 million. Earnings per share was positive at $0.53, up 15% year-on-year.

Group EBIT was $423.2 million up 5%, and representing a margin of 11.2%. After NRFI, Group EBIT was $406 million, and after impairment & write-off, Group EBIT was negative at $394.3 million.

Operating revenues increased to $3.77 billion, from $3.41 billion, prior year.

CGG CEO, Jean-Georges Malcor said: "The down-sizing of our Acquisition division, combined with the Acquisition market outlook, result in a $800 million impairment in our 2013 accounts. The restructuring costs across the 2014-2016 period are expected to remain below $100 million. In 2014, we expect Acquisition market conditions to remain stable with however a low Q1, as already indicated. Our priorities are to deliver our plan and stay focused on tight cash management, cost reductions, and operational and commercial efficiency. In 2016, in unchanged market conditions, we confirm our objectives of revenues above $4 billion and improved Ebit margin by 400bps compared to 2013."