Sbm Offshore Stock Price, News & Analysis

SBM Offshore has announced a share repurchase program worth EUR150 million (approximately US$180 million) effective August 5, 2021. The aim is to reduce share capital and support management and employee share programs. The buyback is expected to be completed by year-end 2021 and follows authorization from the Annual General Meeting. Progress will be reported weekly, and the program can be suspended at the company's discretion. This move may enhance shareholder value by decreasing outstanding shares, potentially boosting earnings per share (EPS).

On August 5, 2021, SBM Offshore reported a record proforma backlog of US$29.5 billion, up by US$8 billion. The company maintained 2021 revenue guidance of US$2.6 billion and EBITDA guidance of US$900 million. A EUR150 million (c. US$180 million) share repurchase program was announced to enhance shareholder returns. Despite a 9% decline in revenue and a 19% drop in EBITDA year-over-year, profit attributable to shareholders rose 69% to US$64 million. The company's 99% fleet uptime reflects resilience amid ongoing pandemic challenges.

SBM Offshore has signed a Letter of Intent with Petrobras for a 22.5-year lease and operation of the FPSO Alexandre de Gusmão, to be deployed at the Mero field in Brazil's Santos Basin. The FPSO will have a production capacity of 180,000 barrels of oil per day and will treat 12 million standard cubic meters of gas per day. The project utilizes the company's Fast4Ward® program and is expected to complete by 2024. This marks SBM Offshore's second major award from Petrobras this year, reflecting its position in the offshore energy sector.

SBM Offshore has signed contracts with Petrobras for a 26.25-year lease and operation of the FPSO Almirante Tamandaré. Following a binding Letter of Intent announced on February 25, 2021, the FPSO will be deployed at the Búzios field in the Santos Basin, approximately 180 kilometers offshore Rio de Janeiro, Brazil. Construction is underway via the Fast4Ward® program, with delivery expected in H2 2024. SBM Offshore specializes in floating production solutions for the offshore energy sector, holding a market-leading position in leased production systems.

On June 25, 2021, SBM Offshore announced the successful completion of project financing for the FPSO Prosperity totaling US$1.05 billion. The financing was backed by a consortium of 11 international banks. The loan will be drawn during construction and will convert to non-recourse upon completion. The Prosperity FPSO will produce 220,000 barrels of oil per day, with gas treatment and water injection capacities of 400 million cubic feet and 250,000 barrels, respectively. This project is part of the Payara development in the Stabroek block, offshore Guyana.

SBM Offshore reported a year-to-date underlying directional revenue of US$536 million for Q1 2021, reflecting a 12% decline from US$607 million in Q1 2020, primarily due to a drop in the Turnkey segment.

Despite challenges from the pandemic, operating performance remained strong, with an increased cash dividend of US$165 million, marking a 10% year-on-year increase.

The company maintains its guidance for 2021 revenues of approximately US$2.6 billion and EBITDA of US$900 million. Financial health sees net debt rising to US$4.3 billion.

On April 7, 2021, SBM Offshore N.V. announced that all resolutions proposed at the Annual General Meeting were adopted. Key decisions included the reappointment of Douglas Wood as CFO and the appointment of Ingelise Arntsen to the Supervisory Board. Shareholders approved a cash dividend of $165 million, translating to $0.8854 per share, payable in Euros on May 6, 2021. Additionally, a Dividend Reinvestment Plan (DRIP) will be available for shareholders. The company's main focus is on offshore floating production solutions, employing approximately 4,570 people worldwide.

SBM Offshore has signed a Letter of Intent (LOI) with Petrobras for a 26.25-year lease and operation of the FPSO Almirante Tamandaré at the Búzios field, offshore Brazil. This FPSO will be the largest oil-producing unit in Brazil and among the largest globally, with a daily capacity of 225,000 barrels of oil and 12 million m3 of gas. The FPSO will utilize SBM Offshore’s Fast4Ward® program for its design and construction. Delivery is anticipated in the second half of 2024.

SBM Offshore has announced the agenda for its Annual General Meeting (AGM), scheduled for April 7, 2021, at 14:30 Central European Time, to be held virtually. The company is a leader in providing floating production solutions for the offshore energy sector. As of December 31, 2020, SBM Offshore employed approximately 4,570 people globally. For further details about the AGM and company operations, shareholders can visit the SBM Offshore website.