EX-99.1 3 h12979exv99w1.txt PRESS RELEASE EXHIBIT 99.1 (CAL DIVE INTERNATIONAL LOGO) PRESS RELEASE www.caldive.com ================================================================================ Cal Dive International, Inc. o 400 N. Sam Houston Parkway E., Suite 400 o Houston, TX 77060-3500 o 281-618-0400 o fax: 281-618-0505 FOR IMMEDIATE RELEASE 04-004 CONTACT: JIM NELSON DATE: FEBRUARY 24, 2004 TITLE: VICE CHAIRMAN ================================================================================ CAL DIVE REPORTS RECORD EARNINGS FOR 2003 HOUSTON, TX - Cal Dive International, Inc. (Nasdaq: CDIS) reported fourth quarter net income applicable to common shares of $8.9 million or 23 cents per diluted share. This compares to a net loss of $790,000 or 2 cents per share a year ago when reserves recorded for litigation and a contract dispute reduced net income by $6.5 million or 18 cents per share. Fourth quarter revenues of $101.7 million increased by 10% over the prior year period due to improved oil and gas commodity prices and increased production. Twelve month revenues of $396 million increased by $94 million or 31% as oil and gas revenues more than doubled from $63 million in 2002 to $137 million and new deepwater contracting assets were in service for the full year. Net income of $32.8 million exceeded the prior Cal Dive record of $28.9 million set in 2001. Diluted earnings per share of 87 cents were 149% higher than the prior year. Owen Kratz, Chairman and Chief Executive Officer, stated, "Fourth quarter activity at Gunnison spotlighted the symmetry of our production partnering concept. A number of CDI vessels and robotic vehicles effectively assisted in commissioning and establishing first production from this deepwater field. For the future, significant ongoing benefits will accrue to Cal Dive shareholders as a result of our ownership position in this reservoir." Mr. Kratz continued, "It is a tribute to our business model that Cal Dive achieved record earnings in the trough of the current marine contracting cycle. I am proud that our people achieved a number of key goals in such a difficult environment. 40% of 2003 contracting revenues were generated globally in basins outside of the Gulf of Mexico. Deepwater construction fleet margins of 17% surpassed their 15% target. And finally, we were able to achieve 78% utilization of our two intervention vessels, the Q4000 and Seawell." Cal Dive International, Inc., headquartered in Houston, Texas, is an energy service company specializing in well operations and subsea construction. CDI operates a fleet of technically advanced marine construction vessels and robotics worldwide and conducts salvage operations in the Gulf of Mexico. Energy Resource Technology, Inc., a wholly owned subsidiary, acquires and operates mature and non-core offshore oil and gas properties. [MORE] Certain statements in this press release are "forward looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are neither statements of historical fact nor guarantees of future performance or events. Forward-looking statements involve risks and assumptions that could cause actual results to vary materially from those predicted. Among other things, these include unexpected delays and operational issues associated with turnkey projects, the price of crude oil and natural gas, weather conditions in offshore markets, changes in site conditions and capital expenditures by customers. For a more complete discussion of these risk factors, see our Annual Report on Form 10-K/A for the year ended December 31, 2002, filed with the Securities and Exchange Commission. The company strongly encourages readers to note that some or all of the assumptions upon which such forward-looking statements are based are beyond the company's ability to control or estimate precisely and may in some cases be subject to rapid and material change. The company disclaims any intention or obligation to update publicly or revise such statements, whether as a result of new information, or otherwise. The company's 2003 results are subject to completion of an audit and the filing of its 2003 Annual Report on form 10-K. [TABLES FOLLOW] CAL DIVE INTERNATIONAL, INC. COMPARATIVE CONSOLIDATED STATEMENTS OF OPERATIONS
Three Months Ended Dec. 31, Twelve Months Ended Dec. 31, ----------------------------- ----------------------------- (000's omitted, except per share data) 2003 2002 2003 2002 --------------------------------------------------------------- ------------- ------------- ------------- ------------- Net Revenues: Marine Contracting $ 65,882 $ 67,784 $ 258,990 $ 239,916 Oil and Gas Production 35,793 24,673 137,279 62,789 ------------- ------------- ------------- ------------- Total Revenues 101,675 92,457 396,269 302,705 Cost of Sales: Marine Contracting 56,687 63,030 233,005 212,868 Oil and Gas Production 20,303 15,511 71,181 36,045 ------------- ------------- ------------- ------------- Gross Profit 24,685 13,916 92,083 53,792 Selling and Administrative 9,721 13,914 35,922 32,783 ------------- ------------- ------------- ------------- Income from Operations 14,964 2 56,161 21,009 Interest Expense (Income), net & Other 457 1,218 3,490 1,968 ------------- ------------- ------------- ------------- Income (Loss) Before Income Taxes 14,507 (1,216) 52,671 19,041 Income Tax Provision (Benefit) 5,254 (426) 18,993 6,664 ------------- ------------- ------------- ------------- Income (Loss) Before Change in Accounting Principle 9,253 (790) 33,678 12,377 Cumulative Effect of Change in Accounting Principle, net 0 0 530 0 ------------- ------------- ------------- ------------- Net Income (Loss) 9,253 (790) 34,208 12,377 Preferred Stock Dividends and Accretion 369 0 1,437 0 ------------- ------------- ------------- ------------- Net Income (Loss) Applicable to Common Shareholders $ 8,884 ($ 790) $ 32,771 $ 12,377 ============= ============= ============= ============= Other Financial Data: Income from Operations $ 14,964 $ 2 $ 56,161 $ 21,009 Depreciation and Amortization: Marine Contracting 8,531 8,083 32,902 27,220 Oil and Gas Production 12,441 8,329 37,891 17,535 ------------- ------------- ------------- ------------- EBITDA (1) $ 35,936 $ 16,414 $ 126,954 $ 65,764 ============= ============= ============= ============= Weighted Avg. Shares Outstanding: Basic 37,836 37,347 37,740 35,504 Diluted 37,933 37,347 37,844 35,749 ============= ============= ============= ============= Net Income (Loss) per Common Share Basic: Net Income (Loss) Before Change in Accounting Principle $ 0.23 ($ 0.02) $ 0.86 $ 0.35 Cumulative Effect Of Change in Accounting Principle $ 0.00 $ 0.00 $ 0.01 $ 0.00 ------------- ------------- ------------- ------------- Net Income (Loss) Applicable to Common Shareholders $ 0.23 ($ 0.02) $ 0.87 $ 0.35 ============= ============= ============= ============= Diluted: Net Income (Loss) Before Change in Accounting Principle $ 0.23 ($ 0.02) $ 0.86 $ 0.35 Cumulative Effect Of Change in Accounting Principle $ 0.00 $ 0.00 $ 0.01 $ 0.00 ------------- ------------- ------------- ------------- Net Income (Loss) Applicable to Common Shareholders $ 0.23 ($ 0.02) $ 0.87 $ 0.35 ============= ============= ============= =============
(1) The Company calculates EBITDA as earnings before net interest expense, taxes, depreciation and amortization. EBITDA is a supplemental financial measurement used by CDI and investors in the marine construction industry in the evaluation of its business due to the measurement being similar to performance of operations. COMPARATIVE CONSOLIDATED BALANCE SHEETS ASSETS
(000'S omitted) Dec. 31, 2003 Dec. 31, 2002 ---------------------------------------- --------------- --------------- Current Assets: Cash and equivalents $ 8,811 $ 2,506 Accounts receivable 96,607 75,418 Other current assets 25,232 38,195 --------------- --------------- Total Current Assets 130,650 116,119 Net Property & Equipment: Marine Contracting 420,834 418,056 Oil and Gas 197,969 178,295 Production Facilties - Deepwater Gateway 34,517 32,688 Goodwill 81,877 79,758 Other assets, net 16,995 15,094 --------------- --------------- Total Assets $ 882,842 $ 840,010 =============== ===============
LIABILITIES & SHAREHOLDERS' EQUITY
Dec. 31, 2003 Dec. 31, 2002 --------------- --------------- Current Liabilities: Accounts payable $ 58,703 $ 62,798 Accrued liabilities 25,899 34,790 Current mat of L-T debt 16,199 4,201 --------------- --------------- Total Current Liabilities 100,801 101,789 Long-term debt 206,632 223,576 Deferred income taxes 89,274 75,208 Decommissioning liabilities 78,414 92,420 Other non-current liabilities 2,042 9,500 Convertible preferred stock 24,538 0 Shareholders' equity 381,141 337,517 --------------- --------------- Total Liabilities & Equity $ 882,842 $ 840,010 =============== ===============