Weatherford International plc (ticker: WFT) reported a net loss of $1.94 billion, or a loss of ($1.95) per share for the fourth quarter of 2017. Non-GAAP net loss for the fourth quarter of 2017, excluding charges and credits, was $329 million, or ($0.33) diluted loss per share.
Revenue in the fourth quarter of 2017 was $1.49 billion, which increased 2% from revenue of $1.46 billion for the third quarter of 2017 and was 6% higher than the $1.41 billion of revenue reported for the fourth quarter of 2016.
Net cash provided by operating activities was $96 million for the fourth quarter of 2017, as compared to net cash used of $243 million during the third quarter of 2017, the company said in a press release.
Operating loss for the fourth quarter of 2017 was $1.74 billion. Excluding charges and credits, segment operating loss for the fourth quarter of 2017 was $84 million, compared to a loss of $8 million for the third quarter of 2017.
CapEx – 2018 to mimic 2017’s levels
Fourth quarter capital expenditures of $78 million increased by $13 million or 20% sequentially, and increased $10 million or 15% from the same quarter in the prior year. Full year 2017 capital expenditures were $225 million, primarily representing investments in well construction and drilling and evaluation, Weatherford said.
Excluding land drilling rigs, Weatherford expects capital expenditures in 2018 to remain broadly in line with 2017.
Revenue down 1% from 2016, $1 billion improvement plan underway
President and CEO Mark A. McCollum said, “During the fourth quarter, we took assertive steps to improve our operational structure and our balance sheet. We completed an organizational realignment that enhances synergies between our product and service offerings and brings decision making closer to the field level. We successfully achieved our initial cost savings targets and monetized our U.S. pressure pumping and pump-down perforating assets.”
Full year 2017 revenue was $5.70 billion, a slight decrease of $50 million, or 1%, from 2016. Full year operating loss for 2017 was $2.13 billion, compared to a loss of $2.25 billion for 2016. Excluding charges and credits, full year adjusted segment operating loss for 2017 was $258 million compared to a loss of $567 million for 2016.
McCollum added, “In 2017, we set the stage for the future of Weatherford. We initiated an organizational transformation plan that will create an estimated $1 billion in profit improvements over the next 18 to 24 months.”
