CGG Provides Q4 & Full Year 2022 Financial Update

Rhea-AI Summary

CGG anticipates Q4 2022 segment revenue at approximately $321 million, an 8% year-on-year increase, supported by strong sales in Earth Data and equipment deliveries. Full year 2022 revenue is projected at $931 million, up 3%. Q4 net cash flow is expected around $61 million, bolstering cash liquidity to $298 million. However, Geoscience segment revenue is forecasted to decline 22% year-on-year. CGG will release its full year results on March 2, 2023.

Positive

• Q4 2022 segment revenue expected at $321 million, up 8% year-on-year.
• Full year 2022 segment revenue projected at $931 million, up 3%.
• Q4 2022 positive net cash flow anticipated at $61 million.

Negative

• Geoscience segment revenue expected to decline 22% year-on-year.

Q4 2022 segment revenue expected at around 321 million,sustained by solid Earth Data sales at around $147 million

FY 2022 segment revenue expected at around $931 million and FY 2022 segment EBITDAs expected to be above latest guidance

Q4 2022 positive Net Cash Flow expected at around $61 million

PARIS, France – January 10, 2023

Fourth quarter 2022 segment revenue update

CGG anticipates Q4 2022 segment revenue at around $321 million, up 48% sequentially and up 8% proforma year-on-year, driven by strong aftersales, especially in the US Gulf of Mexico and Scandinavia, and higher deliveries of equipment in December 2022.

• Geoscience segment revenue is expected to be around $69 million, stable sequentially and down 22% proforma year-on-year with Q4 2021 driven by significant Geovation software sales.
  
  
• Earth Data segment sales are expected to be around $147 million, up 137% sequentially and up 29% year-on-year. In particular, after-sales are expected to be around $81 million, up 48% year-on-year.
  
  
• Sensing & Monitoring segment sales are expected to be around $104 million, up 21% sequentially and up 11% year-on-year due to higher-than-expected deliveries of equipment in December 2022.
  
  

Full year 2022 segment revenue update

CGG anticipates full year 2022 segment revenue at around $931 million, up 3% proforma year-on-year, and full year 2022 segment EBITDAs is expected to be above CGG’s guidance updated on November 2, 2022.

Q4 2022 & Full Year 2022 Net Cash Flow and Net Debt at the end of 2022

CGG anticipates Q4 2022 positive Net Cash Flow around $61 million, including the sale of US land seismic library, and full year 2022 Net Cash Flow around $(4) million.

Group’s cash liquidity at the end of December 2022 is expected to be around $298 million, excluding $100 million undrawn RCF.

CGG anticipates year-end 2022 Net Debt (before IFRS 16) to be around $859 million, and Net Debt (after IFRS 16) to be around $951 million.

Full Year 2022 results and conference call

CGG will announce its fourth quarter 2022 and full year 2022 audited results on March 2, 2023 after market close, and after they have been approved by the Board of Directors.

Forward-looking statements/estimated financial information

This press release includes forward-looking statements and estimated financial information. The Company provides this information based on a preliminary review of its financial results as of the date of this press release, and in particular of its revenues. The Company has not completed its financial reporting and related consolidation, review and control procedures, including the review of all sales against the established revenue recognition/cut-off criteria. This financial information constitutes therefore estimates. These estimates have not been reviewed by the Company’s auditors. The information provided in this release is therefore subject to change and the final Q4 2022 and Full Year 2022 financial statements, once they are approved by the Company, reviewed by the auditors and released, may deviate materially from the information herein. Reference is made to the definition of Segment revenues in the Company`s annual and quarterly reports.

About CGG

CGG (www.cgg.com) is a global technology and HPC leader that provides data, products, services and solutions in Earth science, data science, sensing and monitoring. Our unique portfolio supports our clients in efficiently and responsibly solving complex digital, energy transition, natural resource, environmental, and infrastructure challenges for a more sustainable future. CGG employs around 3,300 people worldwide and is listed on the Euronext Paris SA (ISIN: 0013181864).

Contacts

Group Communications & Investor Relations Christophe Barnini Tel: + 33 1 64 47 38 11 E-Mail: christophe.barnini@cgg.com

 

Attachment

• CGG Provides Q4 & Full Year 2022 Financial Update

FAQ

What is the anticipated Q4 2022 revenue for CGG?

CGG expects its Q4 2022 segment revenue to be around $321 million.

How much is CGG's full year 2022 revenue projected to be?

The projected full year 2022 revenue for CGG is approximately $931 million.

What is CGG's expected net cash flow for Q4 2022?

CGG anticipates a positive net cash flow of about $61 million for Q4 2022.

When will CGG announce its full year 2022 results?

CGG will announce its full year 2022 results on March 2, 2023.

How much is CGG's expected revenue for the Geoscience segment?

The Geoscience segment revenue for Q4 2022 is expected to be around $69 million.