Q1 2026 TGS ASA Earnings Call Transcript
Key Points
- TGS ASA (TGSGY) reported strong Q1 2026 revenues of $321 million, driven by high multi-client activity and a utilization rate of 91%.
- The company achieved a Q1 EBITDA of $200 million, corresponding to a 62% margin, which is an improvement from the previous year.
- TGS ASA (TGSGY) has successfully reduced its net debt to $424 million, indicating strong financial management.
- The order backlog reached $779 million, the highest since 2019, reflecting strong demand for TGS ASA (TGSGY)'s services.
- The company maintained a quarterly dividend of USD 0.155 per share, demonstrating confidence in its financial stability and future prospects.
- The sales to investment ratio for multi-client projects decreased from 2.2 to 1.7, partly due to a delay in pre-funding of a project in the South Atlantic area.
- Despite strong revenues, the net cash flow was only $29 million, suggesting potential cash flow management challenges.
- The company faces a relatively weak vessel market, which may impact future contract allocations and profitability.
- There is a noted delay in client funding for certain projects, which could affect future revenue recognition.
- Higher oil prices could increase fuel costs for streamer vessels, potentially impacting gross operating expenses.
Good morning, and welcome to the presentation of TGS presentation of Q1 2026 results. My name is Bard Stenberg, Vice President, Investor Relations and Business Intelligence in TGS. Todayâs presentation will be given by CEO, Kristian Johansen; and CFO Sven Borre Larsen.
Before we start, I would like to draw your attention to the forward-looking statements showing on the screen and available in todayâs presentation and earnings release. After managementâs concluding remarks, we will open up for questions from the audience on the webcast.
With that, I give the word to you, Kristian.
Thanks, Bard. Before we kick off with the highlights of Q1, please allow me to provide a quick backdrop to recent market developments impacting our business going forward. Just a few months ago, the market expected 2026 to be defined by oversupply and continued capital discipline. Today, the picture has changed dramatically. The conflict in the
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
