BAAR, SWITZERLAND, April 24, 2018 - Weatherford International plc (NYSE: WFT) reported a net loss of $245 million, or a loss of $0.25 per share for the first quarter of 2018.
First Quarter 2018 Highlights
Segment operating income improved by 145% year-over-year
Successfully extended 2019 and 2020 debt maturities through closing a private offering of $600 million in senior notes
Estimated recurring benefit of $108 million in annualized cost savings and $41 million in one-time benefits as part of the transformation effort
Won OTC Asia Spotlight on New Technology Awards for the HeatWave ExtremeSM service and the WFX0™ openhole gravel-pack system
Launched two of the planned divestitures processes and made further progress on our Land Drilling Rigs divestiture
Non-GAAP net loss for the first quarter of 2018, excluding unusual charges and credits, was $188 million, or $0.19, diluted loss per share. This compares to a $329 million non-GAAP net loss for the fourth quarter of 2017, or $0.33 diluted loss per share, and a $318 million non-GAAP net loss for the first quarter of the prior year, or $0.32 diluted loss per share.
Revenue in the first quarter of 2018 was $1.42 billion, which decreased 4% from revenue of $1.49 billion for the fourth quarter of 2017 and was 3% higher than the $1.39 billion of revenue reported for the first quarter of 2017. The sequential revenue decrease was due to non-repeating year-end product sales as well as seasonal declines in the North Sea and Russia. The year-over-year increase was primarily due to activity increases in the U.S., Argentina and Mexico in the Western Hemisphere and Kuwait, Iraq, Russia and Saudi Arabia in the Eastern Hemisphere, partially offset by a decrease in Venezuela as a result of a change in accounting for revenue to cash basis and depressed offshore markets in the North Sea, West Africa and Asia.
Operating loss for the first quarter of 2018 was $39 million. Excluding unusual charges and credits, segment operating income in the first quarter of 2018 was $40 million, up $123 million or 148% sequentially, and up $129 million, or 145%, year-over-year. The sequential improvement was primarily due to improved product margins benefiting from a favorable sales mix, lower personnel and other support costs, the timing of revenue and cost recognition related to deliveries in Kuwait and lower depreciation expenses resulting from asset impairments recorded in the prior quarter.
The following information was filed by Weatherford International Plc (WFT) on Tuesday, April 24, 2018 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.
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Ticker: WFT CIK: 1603923 Form Type:10-Q Quarterly Report Accession Number: 0001603923-18-000087 Submitted to the SEC: Wed May 02 2018 4:26:17 PM EST Accepted by the SEC: Wed May 02 2018 Period: Saturday, March 31, 2018 Industry: Oil And Gas Field Machinery And Equipment