Prosafe SE: Fourth quarter 2019 report – Reflecting low North Sea activity and efforts to reposition the company

Reported EBITDA  for the fourth quarter was negative by USD 6.4 million (a positive of USD 29 million, reflecting low activity and ongoing efforts to reposition the company. Cash flow from operations was USD 7.3 million (USD 25.6 million). Prosafe had liquidity of USD 198.1 million at year end. The discussions with lenders to agree sufficient financial flexibility for the longer term are ongoing and constructive.

Recent highlights
(Figures in brackets refer to the corresponding period of 2018)

• Total liquidity of USD 198.1 million per Q4 2019, compared to a minimum cash covenant of USD 65 million.
• The company remains in a constructive process with its lenders to seek a long term financial solution to ensure sufficient financial flexibility.
• On 30 January 2020 the UK Competition Authorities (CMA) announced their provisional findings which conclude that blocking the merger may be the only way to mitigate their concerns. Prosafe are awaiting the outcome of the appeal proceedings in Norway.
• Fleet utilisation of 23 per cent (63 per cent) for the quarter. Fleet utilisation of 50.9 per cent for the year (47.3 per cent).
• Firm order book of USD 146 million per Q4 2019 (USD 209 million).
• Reported EBITDA was negative by USD 6.4 million (USD 29 million positive) in the quarter. Underlying EBITDA in the quarter adjusted for one-off effects was negative by USD 0.4 million.
• Cash flow from operations at USD 7.3 million (USD 25.6 million).
• As of December 2019, the book equity was marginal at USD 2.4 million. 

Jesper K. Andresen, Prosafe’s CEO says, "The financial results for the fourth quarter of 2019 reflect low North Sea market activity and costs related to merger clearance, lender process and further right-sizing of the organisation. We continue our efforts to protect values and create a more robust business.”

A complete version of the Q4 2019 earnings release can be downloaded from www.prosafe.com and www.newsweb.no

Prosafe is a leading owner and operator of semi-submersible accommodation vessels. The company is listed on the Oslo Stock Exchange with ticker code PRS. For more information, please refer to www.prosafe.com

6 February 2020
Prosafe SE

For further information, please contact:

Jesper K. Andresen, CEO
Phone: +47 907 65 155

Stig Harry Christiansen, Deputy CEO and CFO
Phone: +47 478 07 813

This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act

Attachments

• Q4 2019 report
• Q4 2019 presentation