Magseis Fairfield reports full year and fourth quarter 2021 results

February 15, 2022

(Oslo, 15 February 2022) Magseis Fairfield reported revenue of USD 72.2 million and a gross margin of 30% in the fourth quarter 2021. EBITDA was USD 12.4 million.

Full year 2021 revenue was USD 258.1 million with a gross margin of 28%. The backlog ended the year at USD 293 million, an increase of 48% year-on-year. USD 215 million is for delivery in 2022, of which approximately USD 190 million in the first half of 2022. New contracts are being secured at increasing margins. This positions the company for a good start to 2022. Based on awarded contracts and forecasted tender activity the company predicts 25% overall market growth in 2022.

Highlights for the fourth quarter:

  • Revenue of USD 72.2 million, gross profit of USD 21.6 million, and EBITDA of USD 12.4 million
  • Lower seasonal activity, Gulf of Mexico project impacted by weather and environmental conditions
  • Completed data processing on Cornerstone MC project phase 1. No late sales in Q4
  • Successfully started the project in India
  • Four new contract wins and order backlog of USD 293 million at end December, secured at increasing margins
  • Approximately USD 190 million of year-end backlog for delivery in H1 2022, USD 25 million for H2 2022
  • Additional two new contract wins since year-end
  • Operating profit of USD -12.9 million and net profit after tax of USD -15.1 million
  • Cash holding of USD 29.7 million

“At a macro level we see continued tightness in the market with oil and gas inventories and OPEC+ spare capacity declining. Energy demand is expected to continue to grow in a post-covid new normal. We forecast that the OBN market will see double-digit growth from 2022 onwards.” says CEO Carel Hooijkaas in Magseis Fairfield.

The renewables strategy is being executed as planned. The company is part of the Greensand consortium in Denmark. Engineering and project acquisition is scheduled for 2022. The company sees further opportunities in USA, Europe, and Asia.

Please note that alternative performance measures used in this release are described in note 15 in the report for the fourth quarter.

Fourth quarter conference call information:

An earnings conference call followed by Q&A will be hosted by CEO Carel Hooijkaas and CFO Stig Hognestad at 10:00 CET.

You may follow the fourth quarter results via webcast with supporting slides, available at this link: http://q4er.magseisfairfield.com

You may also use an audio dial-in for the conference call where you will be able to ask questions. Please dial in using the following link: http://q4erqna.magseisfairfield.com (alternative is to dial +47 23 50 05 05) | Confirmation code: 6736994

Please note that if you follow the webcast via the above URL and use the audio dial-in to listen, you will experience a 30 second standard buffering delay. If you follow the webcast for both audio and video, there will be no buffering delay and the audio has superior quality. Please join the event 5-10 minutes prior to scheduled start time. When prompted, provide the confirmation code: 6736994.

The fourth quarter report and presentation are enclosed and will be available at magseisfairfield.com. Also, the webcast will be made available at Magseis Fairfield’s website after completion of the conference call.

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For further information, please contact:

Stig Hognestad, CFO
Tel: +47 902 59 040
Email: stig.hognestad@magseisfairfield.com

Carel Hooijkaas, CEO
Tel: +47 480 49 277
Email: carel.hooijkaas@magseisfairfield.com

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Magseis Fairfield is the global leading provider of ocean bottom seismic (OBS) technology and data acquisition projects. The company has a flexible business model with full scale node operations, as well as lease and sale models. The Marine Autonomous Seismic System "MASS" nodes and the range of Z-nodes combined with handling systems and source technology enables market leading deployment speed and highly cost-efficient acquisition of data with exceptional quality.

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

Q4 2021 Presentation

Q4 2021 Report

Q4 2021 Webcast