Petrofac’s chief financial officer has hailed the slimmed down company’s “positive results in 2016” as a result of careful restructuring.
Alastair Cochran made the remark after the oil and service giant posted a 2016 year end net profit of $421million.
Mr Cochran said after a difficult 2015, the last 12 months had presented a “good year operationally”.
The firm has downsized since the price plunge that started in summer 2014, with the company headcount being reduced by 29 per cent to 13,500.
A number of other measures were also taken in response to lower oil prices include reducing capex spending by 62 per cent.
Net debt was also reduced by 10 per cent, taking it down to $617million.
A high level of activity in the engineering and construction sectors also kept the oilfield services company going, Mr Cochran said.
Integrated engineering services also ran at a profit as part of a move to transition back to a “capital light business”.
Cochran told investors at the year end meeting: “We delivered positive results in 2016. We’ve reduced net debt. We’ve focused on cash flow and reducing capital intensity and we are further committed to reducing our leverage over time.”
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