RigNet, Inc. provides digital technology solutions to the oil and gas industry. The company operates through three segments: Eastern Hemisphere, Western Hemisphere, and Telecoms Systems Integration. It offers remote communications services through a controlled and managed Internet protocol/multiprotocol label switching (IP/MPLS) global network, enabling drilling contractors, oil companies, and oilfield service companies to communicate. The company also offers a communications package of voice, data, video, networking, and real-time data management to offshore and land-based remote locations. It primarily provides voice-over-Internet-protocol, data, and high-speed Internet access, as well as ...
1880 South Dairy Ashford
Houston, TX 77077
Founded in 2000
RigNet, Inc. Announces Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended September 30, 2015; Reports Impairment of Goodwill and Intangibles for the Third Quarter Ended September 30, 2015
Nov 9 15
RigNet, Inc. announced unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2015. For the quarter, the company reported revenue of $66,318,000 against $87,819,000 a year ago. Operating loss was $8,226,000 against operating income of $11,701,000 a year ago. Loss before income taxes was $9,090,000 against income before income taxes of $10,681,000 a year ago. Net loss attributable to company common stockholders was $10,944,000 or $0.62 per diluted share against net income attributable to company common stockholders of $5,857,000 or $0.33 per diluted share a year ago. Adjusted EBITDA was $14,498,000 against $20,180,000 a year ago. Capital expenditures were $6,071,000 against $9,956,000 a year ago. Adjusted EBITDA decreased $5.7 million or 28.2% over the same quarter last year and a decrease of $4.0 million or 21.7% quarter-on-quarter. The decrease is compared to the prior year quarter and quarter-on-quarter resulted from decreased revenue as discussed previously, partially offset by benefits from cost containment actions, including resource reallocation and restructuring plans announced earlier the year 2015, and separate global cost initiatives, savings initiatives focused on all third-party spend categories. Unlevered free cash flow, defined as adjusted EBITDA less capital expenditures, decreased to $8.4 million in the third quarter compared to $10.2 million in the prior year quarter and $10.4 million in the prior quarter. Excluding $12.6 million related to the impairment charge related to goodwill and intangibles in North America land operations and the $1.3 million restructuring charge, both previously discussed herein, consolidated net income attributable to common stockholders would have been $3 million or $0.17 per diluted share compared to $5.9 million or $0.33 per diluted share in the prior year quarter. Cash earnings were $12,207,000 or $0.69 per share against $14,841,000 or $0.83 per share a year ago.
For the nine months, the company reported revenue of $219,074,000 against $243,518,000 a year ago. Operating income was $3,329,000 against $26,856,000 a year ago. Income before income taxes was $1,037,000 against $25,390,000 a year ago. Net loss attributable to company common stockholders was $5,934,000 or $0.34 per diluted share against net income attributable to company common stockholders of $13,719,000 or $0.77 per diluted share a year ago. Adjusted EBITDA was $50,118,000 against $55,194,000 a year ago. Net cash provided by operating activities was $27,045,000 against $29,415,000 a year ago. Capital expenditures were $22,227,000 against $31,181,000 a year ago. Cash earnings were $41,859,000 or $2.39 per share against $42,156,000 or $2.35 per share a year ago.
For the quarter ended September 30, 2015, the company reported impairment of goodwill and intangibles of $12,592,000.
RigNet Mulls Acquisitions
Nov 9 15
RigNet, Inc. (NasdaqGS:RNET) is seeking acquisitions. RigNet, said, “We may also use a portion of our available cash to finance growth through the acquisition of, or investment in, businesses, products, services or technologies complementary to our current business.”