SOURCE: Seadrill Limited

February 27, 2008 10:47 ET

SDRL - Seadrill reports fourth quarter and preliminary 2007 results

HAMILTON, BERMUDA--(Marketwire - February 27, 2008) -



Highlights

--  Seadrill reports net income of US$222.5 million and earnings per
    share of US$0.56 for the fourth quarter of 2007
--  Seadrill mainly on track for newbuild program deliveries
--  Seadrill takes successful delivery of jack-up rig West Triton
--  Seadrill secures new three-year contract for jack-up rig West Janus
--  Seadrill successfully issue US$1 billion convertible bond
--  Seadrill orders new self-erecting tender rig T12 for US$121 million,
    with option for one additional unit
--  Seadrill resolves to distribute dividend of US$0.25 per share
    

Preliminary results 2007

Seadrill today reports preliminary consolidated revenues for 2007 of US$1,676.4 million as compared to revenues of US$1,154.6 million in the 2006 accounts. The increase in revenues mainly reflects start-up of new shallow water units as well as higher average dayrates for the Company fleet. Operating profit for the full year amounted to US$488.9 million as compared to US$226.1 million in the 2006 accounts. Included in the operating profit in 2007 were gains from sale of two FPSO units amounting to approximately US$130 million. Net financial items were US$102.1 million. Net income was US$465.5 million as compared to US$214.1 million in the 2006 accounts.

Fourth quarter 2007 results

Consolidated revenues for the fourth quarter 2007 amounted to US$446.1 million as compared to US$377.1 million for the preceding quarter. The increase in revenues mainly reflects higher activity in all three divisions. Operating profit for the fourth quarter was US$110.3 million as compared to US$96.2 million in the third quarter.

Operating profit from the Mobile units amounted to US$71.5 million as compared to an operating profit of US$58.8 million in the third quarter. The increase was mainly due to a full quarter in operations for the new jack-up West Atlas as well as West Larissa resuming operations. The improvement was partly offset by 45 days out of operations for the deepwater drillship West Navigator.

Operating profit from the Tender rigs amounted to US$26.6 million as compared to US$25.6 million in the third quarter. Operating profit from Well services amounted to US$12.2 million as compared to US$11.9 million in the third quarter.

Net financial items for the fourth quarter resulted in a net expense of US$4.2 million as compared to an expense of US$54.3 million in the third quarter.

Income before income taxes amounted to US$106.1 million.

Income taxes were US$71.6 million in income. The tax income is in the main related to restatement of deferred tax liabilities.

Net income for the quarter amounted to US$222.5 million.


For further information, please see the fourth quarter and preliminary results 2007 report attached. (http://hugin.info/135817/R/1195866/242761.pdf)



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Contact Information

  • Analyst contact
    Jim Daatland
    VP Investor Relations
    Seadrill Management AS
    +47 51 30 99 19

    Media contact
    Trond Brandsrud
    Chief Financial Officer
    Seadrill Management AS
    +47 51 30 99 19