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URL:  http://boards.fool.com/rig-q4-2012-30576429.aspx

Subject:  RIG Q4 2012 Date:  3/6/2013  9:50 AM
Author:  TMFGebinr Number:  885 of 1275

Transocean reported Q4 2012 results a couple of days ago and they were generally good (http://finance.yahoo.com/news/transocean-ltd-reports-fourth-...). It came in a bit light on revenue, but beat on EPS estimates, bringing in $0.91 per share.

Icahn (who's the biggest shareholder at 5.6% of shares outstanding) convinced the board to reinstate the company's dividend, which it will (assuming a successful shareholder vote at the upcoming meeting). According to reports, it's not as high as Icahn wanted, but at $2.24 for the full year, that's 4.2% yield at last night's closing price.

For the year, rig utilization was generally up across the different classifications. Overall, utilization was at 78%, with UDW (ultradeep water) at 94%, DW at 61% and harsh environment at 87% (for overall high-spec floaters at 83%). However, for the quarter, it was a bit worse, with harsh environment down at 72%, dragging the high-spec floater utilization down a point to 82%. These are all the high revenue generators, so I'd really like to see these numbers climb. Overall fleet utilization was 79%, down a point YoY.

Management said that there will be a bit of hit to revenue efficiency this quarter thanks to having to replace some OEM bolts on several blowout preventers (this is an industry-wide issue, Atwood Oceanics said the same thing).

Good things happening:
     • Sold 38 shallow water jackups, as part of getting out of that type of low-spec drilling