OSLO, Norway (8 July 2022) - Based on preliminary reporting from operating units, TGS management expects net revenues for Q2 2022 to be approximately USD 230 million, compared to USD 72 million in Q2 2021. Net POC revenues* are expected to be approximately USD 136 million, compared to USD 54 million in Q2 2021.
Kristian Johansen, CEO at TGS, commented: "Q2 2022 was another solid quarter with late sales of close to USD 100 million, driven by a further improvement of activity in frontier areas and transfer fees. With a quarter-end cash balance of approximately USD 255 million in addition to an undrawn revolving credit facility of USD 100 million, we have a solid financial position that can comfortably fund the recently announced M&A transactions."
TGS will release its Q2 2022 results at approximately 07:00 CEST on 21 July 2022. CEO Kristian Johansen and CFO Sven Børre Larsen will present the results during a live webcast at CEST 09:00.
Access and registration for online attendees are available by copying and pasting this link into your browser: https://channel.royalcast.com/landingpage/hegnarmedia/20220721_3/
The slides from the presentation will also be available in PDF format on both the TGS and Oslo Stock Exchange websites.
*For the purpose of Segment reporting, multiclient revenues committed prior to completion of projects are recognized on a percentage of completion ("POC") basis. This differs from IFRS reporting where revenues committed prior to completion are recognized when the customers receive access to the finished data.
Adjustments between preliminary IFRS and Segment revenue numbers for Q2 2022:
Preliminary IFRS reported revenue: USD 230 million
- Revenue recognized from performance obligations met during Q2 for completed projects: USD 127 million
+ Revenue recognized under POC during Q2: USD 33 million
= Preliminary net segment reported revenue: USD 136
For further information contact:
Sven Børre Larsen
CFO
Tel: +47 90 94 36 73
E-mail: investor@tgs.com
About TGS
TGS provides scientific data and intelligence to companies active in the energy sector. In addition to a global, extensive and diverse energy data library, TGS offers specialized services such as advanced processing and analytics alongside cloud-based data applications and solutions.
Forward Looking Statement
All statements in this press release other than statements of historical fact are forward-looking statements, which are subject to a number of risks, uncertainties and assumptions that are difficult to predict, and are based upon assumptions as to future events that may not prove accurate. These factors include TGS' reliance on a cyclical industry and principal customers, TGS' ability to continue to expand markets for licensing of data, and TGS' ability to acquire and process data product at costs commensurate with profitability, as well as volatile market conditions, which have been exacerbated by the COVID-19 pandemic and the severe drop in oil prices. Actual results may differ materially from those expected or projected in the forward-looking statements. TGS undertakes no responsibility or obligation to update or alter forward-looking statements for any reason.
