Noble Corporation plc (NE - Free Report) reported third-quarter 2019 loss from continuing operations of 46 cents per share, narrower than the Zacks Consensus Estimate of loss of 53 cents. However, the figure was wider than the year-ago loss of 43 cents per share.
Total revenues in the quarter decreased to $275.5 million from $279.4 million in the prior-year period. However, quarterly revenues beat the Zacks Consensus Estimate of $261 million.
The company’s better-than-expected results were supported by a year-over-year increase in total rig fleet utilization, partially offset by a decline in average dayrate.
Operating Highlights
Net loss from continuing operations was $444.9 million, wider than third-quarter 2018 loss of $81.6 million.
Total average rig utilization increased to 76% from the year-ago level of 69%. However, overall average dayrate declined to $154,827 from $174,665 in the year-ago quarter. Nonetheless, overall operating days rose to 1,676 from 1,530 in the year-ago period.
The average dayrate for the company's jackups was $130,339 compared with $122,350 in the prior-year quarter. However, average capacity utilization dropped to 89% from the year-ago level of 93%.
The average dayrate for its floaters was $189,773 compared with $281,796 in the prior-year quarter. However, average capacity utilization rose to 63% from the year-ago level of 45%.
Costs & Expenses
Total contract drilling service costs increased to $175.9 million in the quarter from $163 million in the year-ago period. General and administrative costs rose to $17.6 million from $14.7 million in third-quarter 2018.
Backlog
As of Sep 30, 2019, the offshore drilling contractor’s total revenue backlog was reported at roughly $2 billion.
Financials
Capital expenditure in the reported quarter totaled $57 million.
At the end of the third quarter, the company had cash balance of $135.9 million and long-term debt of $3,577.9 million, with a debt-to-capitalization ratio of 51.5%.
Zacks Rank & Stocks to Consider
Noble Corp currently carries a Zacks Rank #3 (Hold). Some better-ranked players in the energy space are CNX Resources Corporation (CNX - Free Report) , Contango Oil & Gas Company and Noble Midstream Partners LP . All the stocks currently carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CNX Resources beat the Zacks Consensus Estimate in two of the prior four quarters, the average positive earnings surprise being 34.8%.
Contango Oil & Gas is likely to witness bottom-line growth of 87% in 2019.
Noble Midstream has witnessed upward revisions in its 2019 earnings over the past 30 days.
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Noble Corporation plc (NE - Free Report) reported third-quarter 2019 loss from continuing operations of 46 cents per share, narrower than the Zacks Consensus Estimate of loss of 53 cents. However, the figure was wider than the year-ago loss of 43 cents per share.
Total revenues in the quarter decreased to $275.5 million from $279.4 million in the prior-year period. However, quarterly revenues beat the Zacks Consensus Estimate of $261 million.
The company’s better-than-expected results were supported by a year-over-year increase in total rig fleet utilization, partially offset by a decline in average dayrate.
Operating Highlights
Net loss from continuing operations was $444.9 million, wider than third-quarter 2018 loss of $81.6 million.
Total average rig utilization increased to 76% from the year-ago level of 69%. However, overall average dayrate declined to $154,827 from $174,665 in the year-ago quarter. Nonetheless, overall operating days rose to 1,676 from 1,530 in the year-ago period.
The average dayrate for the company's jackups was $130,339 compared with $122,350 in the prior-year quarter. However, average capacity utilization dropped to 89% from the year-ago level of 93%.
The average dayrate for its floaters was $189,773 compared with $281,796 in the prior-year quarter. However, average capacity utilization rose to 63% from the year-ago level of 45%.
Costs & Expenses
Total contract drilling service costs increased to $175.9 million in the quarter from $163 million in the year-ago period. General and administrative costs rose to $17.6 million from $14.7 million in third-quarter 2018.
Backlog
As of Sep 30, 2019, the offshore drilling contractor’s total revenue backlog was reported at roughly $2 billion.
Financials
Capital expenditure in the reported quarter totaled $57 million.
At the end of the third quarter, the company had cash balance of $135.9 million and long-term debt of $3,577.9 million, with a debt-to-capitalization ratio of 51.5%.
Zacks Rank & Stocks to Consider
Noble Corp currently carries a Zacks Rank #3 (Hold). Some better-ranked players in the energy space are CNX Resources Corporation (CNX - Free Report) , Contango Oil & Gas Company and Noble Midstream Partners LP . All the stocks currently carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CNX Resources beat the Zacks Consensus Estimate in two of the prior four quarters, the average positive earnings surprise being 34.8%.
Contango Oil & Gas is likely to witness bottom-line growth of 87% in 2019.
Noble Midstream has witnessed upward revisions in its 2019 earnings over the past 30 days.
Just Released: Zacks’ 7 Best Stocks for Today
Experts extracted 7 stocks from the list of 220 Zacks Rank #1 Strong Buys that has beaten the market more than 2X over with a stunning average gain of +24.5% per year.
These 7 were selected because of their superior potential for immediate breakout.
See these time-sensitive tickers now >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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