Not looking too good, is it?? On a GAAP basis, revenues for the first quarter of 2020 were $1.2 billion, a decline of 2% sequentially and 10% year-on-year. Reported operating loss was $822 million in the first quarter of 2020 compared to a combined operating loss of $315 million in the fourth quarter of 2019 and a loss of $301 million in the first quarter of 2019. The Company’s first quarter 2020 net loss was $966 million, compared to a combined net income of $5.3 billion in the fourth quarter of 2019 and a net loss of $481 million in the first quarter of 2019. The combined fourth quarter 2019 period included a net reorganization gain of $5.7 billion. First quarter of 2020 cash flows from operations were $30 million and capital expenditures were $38 million. Weatherford had cash and cash equivalents of $670 million and over $235 million of availability under its senior secured asset-based revolving credit agreement (the “ABL Facility”) as of March 31, 2020.
9 replies (most recent on top)
Not that many people left anyway......
Needs a shakeup? Needs less managers? Who are you kidding?! The company is as dead as a dodo, it’s not if it finally dies, it’s when it finally dies. Get ready, 2020 is the end. If you’re offered a package to leave, grab it and run because if the company dissolves your RIF money goes with it.
Need a complete shake up at this rate!
It is very hard to find managers that understand the dynamics of the oilfield. Wft had a nasty habit of appointing unqualified people to manager slots. Lots of missed work. Lots of missed revenue. I mean A BUNCh of missed revenue
With the comments below, WFT may not make it out of 2020 as a company. Start working on that resume...
" In this backdrop, given the material decline in our business as a result of the historic oversupply of hydrocarbons worldwide, we expect that a breach of our covenants under our ABL Revolving Credit Agreement is forthcoming. A breach of the financial covenants under our ABL Credit Agreement would constitute an event of default under our ABL Credit Agreement and if not cured or waived, would potentially constitute an event of default under our LC Credit Agreement and our unsecured Exit Notes. An event of default under these agreements could result in the obligations under these agreements being accelerated or cash collateralized. Either such result would constrain liquidity to the point where we would not be able to service the interest on our debt or pay other obligations and thus, raises substantial doubt on the Company’s ability to continue as a going concern within the next 12 months."
When you have the same old inept and low quality management running the place after running the company into the ground last year then you can’t expect much else. They can shuffle themselves around in organizational strategic changes on charts, and give themselves new titles but at the end of the day it’s still the same old names and same old bunch of losers who are out of their league. The only solution they ever seem to come up with is to lay off more operational guys, sell more assets and hope for the best. Bunch of losers, anyway the end is near my friends, see ya around the patch.
So, we’ve basically got enough cash to maybe get us through Q2? Although, when we factor in Covid not really impacting until March in Q1 perhaps the end of Q2 is a stretch? How could we have lost nearly a billion in our first quarter after restructuring? Sends a terrible message to every stakeholder.
Get rid of some lsyers of management
Oil-field service company Weatherford International is back in the red just a few months after emerging from bankruptcy.
Weatherford lost $966 million in the first three months of 2020, doubling the $481 million it lost in the first quarter of 2019.