SEACOR Marine Announces Second Quarter 2019 Results

August 7, 2019 at 4:54 PM EDT

HOUSTON, Aug. 07, 2019 (GLOBE NEWSWIRE) -- SEACOR Marine Holdings Inc. (NYSE:SMHI) (the “Company” or “SEACOR Marine”), a leading provider of marine and support transportation services to offshore oil and natural gas and wind farm facilities worldwide, today announced results for its second quarter ended June 30, 2019.

Second quarter highlights include:

A 6% increase in total operating revenues as compared with the second quarter of 2018, primarily due to a 10% increase in utilization. The improved utilization reflects a 7% increase in on hire days despite an 8% decrease in the number of available days as a result of asset sales during the last twelve months, compared with the second quarter of 2018 Operating loss decreased by $4.5 million to $16.5 million compared with $21.0 million in the second quarter of 2018.
Consolidated direct vessel profit (“DVP”)⁽¹⁾for the second quarter of 2019 increased by $6.1 million, or 41%, to $20.8 million from $14.7 million in the second quarter of 2018. Primary drivers of the increase were current quarter increases in revenues, along with a decrease in labor costs compared to the second quarter of 2018 due to a $1.2 million foreign pension adjustment in 2018, $1.0 million reduction in drydockings and a $1.7 million reduction in other major repairs.
Wind energy support revenues for the second quarter of 2019 increased by $3.3 million to $9.8 million from $6.5 million in the second quarter of 2018, a 52% increase, and DVP for this activity increased by $2.0 million to $4.7 million from $2.7 million in the second quarter of 2018, a 76% increase. This growth included both organic improvement in utilization and average dayrates for our crew transfer vessel (“CTV”) fleet and the commencement of a multi-year contract in Europe for one liftboat.
Start-up expenses incurred by both our Brazilian focused joint venture and our Chinese new construction platform supply vessel (“PSV”) joint venture, resulted in $5.6 million in losses from 50% or less owned companies. These joint ventures incurred drydocking and/or mobilization expenses for a total of eight vessels, all of which are expected to begin work and contribute positively to the Company’s results in the third quarter.

Following the end of the quarter, the Company initiated cost reduction initiatives aimed at better aligning its operating expenses with its view of current and prospective market conditions. Cost reduction measures include a reduction of workforce, reorganization of the management structure, and closure and/or consolidation of certain facilities in the U.S. Gulf of Mexico, Middle East, and Europe. The Company expects that upon completion of these initiatives, it will realize annualized recurring administrative and general savings of at least $8.0 million, representing approximately 17% of the Company’s total administrative and general expense over the last twelve months. The Company anticipates that the initiatives will impact all of its reportable segments and expects the bulk of the initiatives to be completed by the second quarter of 2020. These initiatives will result in a one-time restructuring charge in the third quarter of 2019.

Chief Executive Officer John Gellert commented on SEACOR Marine's second quarter results:

“Our fleet continued to experience an upward trend in utilization and dayrates, reflecting consistent improvement for assets since the offshore cycle trough in the first quarter of 2017. Activity levels in the U.S. Gulf of Mexico remain tepid as customer demand is highly sensitive to oil and gas prices. Tendering activity, especially in international markets served by our asset portfolio, points to a continuing recovery. Unfortunately, the pace of the recovery is slower than we had hoped, leading us to implement our aggressive cost-cutting initiative.

“Our investments in wind energy support are paying off and continue to develop attractive growth opportunities. Notable highlights from the second quarter were the commencement of a 30-month contract in Europe for our largest and most capable liftboat, increased activity of our CTVs in Europe, and new tendering activity in the U.S. for Jones Act-compliant assets in anticipation of significant offshore windfarm installations off the East Coast.

“We are focused on returning to profit and generating cash, while remaining vigilant in positioning ourselves to take advantage of opportunities in any market conditions. We have proactively reassessed our cost structure and regional footprint and initiated efforts to optimize both. I am confident that these efforts, and our continued emphasis on core assets, regions and services with the highest potential for improved margins, allow us to chart our own path to profitability without depending on a full market recovery in oil and gas services.”

For the second quarter of 2019, net loss attributable to SEACOR Marine was $28.4 million ($1.21 per basic and diluted share), and operating loss was $16.5 million. Net loss attributable to SEACOR Marine for the second quarter of 2018 was $25.0 million ($1.19 per basic and diluted share) and operating loss was $21.0 million.

___________________

(1)

Direct vessel profit (defined as operating revenues less operating costs and expenses, “DVP”) is the Company’s measure of segment profitability when applied to reportable segments and a non-GAAP measure when applied to individual vessels, fleet categories or the combined fleet. DVP is a critical financial measure used by the Company to analyze and compare the operating performance of its individual vessels, fleet categories, regions and combined fleet, without regard to financing decisions (depreciation for owned vessels vs. leased-in expense for leased-in vessels). DVP is also useful when comparing the Company’s fleet performance against those of our competitors who may have differing fleet financing structures. DVP has material limitations as an analytical tool in that it does not reflect all of the costs associated with the ownership and operation of our fleet, and it should not be considered in isolation or used as a substitute for our results as reported under GAAP. See page 8 for reconciliation of DVP to GAAP Operating Income (Loss), its most comparable GAAP measure.

SEACOR Marine provides global marine and support transportation services to offshore oil and natural gas and windfarm facilities worldwide. SEACOR Marine and its joint ventures operate a diverse fleet of offshore support and specialty vessels that deliver cargo and personnel to offshore installations; handle anchors and mooring equipment required to tether rigs to the seabed; tow rigs and assist in placing them on location and moving them between regions; provide construction, well workover and decommissioning support; and carry and launch equipment used underwater in drilling and well installation, maintenance and repair. Additionally, SEACOR Marine’s vessels provide accommodations for technicians and specialists, safety support and emergency response services.

Certain statements discussed in this release as well as in other reports, materials and oral statements that the Company releases from time to time to the public constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Generally, words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “believe,” “plan,” “target,” “forecast” and similar expressions are intended to identify forward-looking statements. Such forward-looking statements concern management’s expectations, strategic objectives, business prospects, anticipated economic performance and financial condition and other similar matters. Forward-looking statements are inherently uncertain and subject to a variety of assumptions, risks and uncertainties that could cause actual results to differ materially from those anticipated or expected by the management of the Company. These statements are not guarantees of future performance and actual events or results may differ significantly from these statements. Actual events or results are subject to significant known and unknown risks, uncertainties and other important factors, many of which are beyond the Company’s control. It should be understood that it is not possible to predict or identify all such factors. Consequently, the preceding should not be considered to be a complete discussion of all potential risks or uncertainties. Given these risk factors, investors and analysts should not place undue reliance on forward-looking statements. Forward-looking statements speak only as of the date of the document in which they are made. The Company disclaims any obligation or undertaking to provide any updates or revisions to any forward-looking statement to reflect any change in the Company’s expectations or any change in events, conditions or circumstances on which the forward-looking statement is based, except as required by law. It is advisable, however, to consult any further disclosures the Company makes on related subjects in its filings with the Securities and Exchange Commission, including Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K (if any). These statements constitute the Company’s cautionary statements under the Private Securities Litigation Reform Act of 1995.

Please visit SEACOR Marine’s website at www.seacormarine.com for additional information.
For all other requests, contact Connie Morinello at (346) 980-1700 or InvestorRelations@seacormarine.com

SEACOR MARINE HOLDINGS INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF LOSS
(in thousands, except share data)

	Three Months Ended June 30,						Six Months Ended June 30,
	2019			2018			2019			2018
Operating Revenues	$	64,345		$	60,701		$	120,594		$	112,422
Costs and Expenses:
Operating		43,525			46,001			87,802			84,349
Administrative and general		11,639			15,041			23,639			27,415
Lease expense		4,317			3,310			8,465			6,568
Depreciation and amortization		17,494			18,406			34,687			37,918
		76,975			82,758			154,593			156,250
(Losses) Gains on Asset Dispositions and Impairments, Net		(3,848	)		1,055			(3,489	)		(1,588	)
Operating Loss		(16,478	)		(21,002	)		(37,488	)		(45,416	)
Other Income (Expense):
Interest income		222			352			579			568
Interest expense		(7,691	)		(6,489	)		(15,426	)		(12,622	)
SEACOR Holdings guarantee fees		(32	)		(7	)		(61	)		(19	)
Derivative losses, net		(1,398	)		(2,668	)		(2,323	)		(14,184	)
Foreign currency gains, net		(929	)		(818	)		(294	)		(679	)
		(9,828	)		(9,630	)		(17,525	)		(26,936	)
Loss Before Income Tax Benefit and Equity in Earnings of 50% or Less Owned Companies		(26,306	)		(30,632	)		(55,013	)		(72,352	)
Income Tax Benefit		(3,048	)		(4,724	)		(6,879	)		(14,548	)
Loss Before Equity in Earnings of 50% or Less Owned Companies		(23,258	)		(25,908	)		(48,134	)		(57,804	)
Equity in Losses of 50% or Less Owned Companies		(7,006	)		(721	)		(10,403	)		(513	)
Net Loss		(30,264	)		(26,629	)		(58,537	)		(58,317	)
Net Loss attributable to Noncontrolling Interests in Subsidiaries		(1,875	)		(1,605	)		(4,599	)		(4,460	)
Net Loss attributable to SEACOR Marine Holdings Inc.	$	(28,389	)	$	(25,024	)		(53,938	)	$	(53,857	)

Basic and Diluted Loss Per Common Share and Warrants of SEACOR Marine Holdings Inc.	$	(1.21	)	$	(1.19	)	$	(2.32	)	$	(2.79	)
Weighted Average Common Shares and Warrants Outstanding:
Basic and Diluted		23,382,272			21,035,214			23,237,012		$	19,312,923

SEACOR MARINE HOLDINGS INC.
UNAUDITED CONSOLIDATED RESULTS OF OPERATIONS
(in thousands, except share data)

	Three Months Ended June 30,										Six Months Ended June 30,
	2019					2018					2019					2018
Time Charter Statistics:
Average Rates Per Day Worked (excluding crew transfer)	$	9,913				$	9,742				$	9,686				$	9,425
Average Rates Per Day	$	7,122				$	7,324				$	7,237				$	7,174
Fleet Utilization (excluding crew transfer)		64	%				58	%				63	%				54	%
Fleet Utilization		72	%				62	%				66	%				58	%
Fleet Available Days (excluding crew transfer)		8,038					9,071					16,153					18,342
Fleet Available Days		11,537					12,528					23,072					25,129
Operating Revenues:
Time charter	$	58,773		91	%	$	56,826		94	%	$	110,900		92	%	$	103,968		93	%
Bareboat charter		1,389		2	%		1,156		2	%		2,532		2	%		2,299		2	%
Other marine services		4,183		7	%		2,719		4	%		7,162		6	%		6,155		5	%
	$	64,345		100	%		60,701		100	%	$	120,594		100	%		112,422		100	%
Costs and Expenses:
Operating:
Personnel		23,961		37	%		24,733		41	%		46,717		39	%		46,409		41	%
Repairs and maintenance		8,676		14	%		9,070		15	%		17,682		15	%		16,143		14	%
Drydocking		2,074		3	%		3,112		5	%		4,953		4	%		5,369		5	%
Insurance and loss reserves		1,892		3	%		1,934		3	%		3,366		3	%		3,124		3	%
Fuel, lubes and supplies		3,892		6	%		4,122		7	%		7,645		6	%		7,667		7	%
Other		3,030		5	%		3,009		5	%		7,439		6	%		5,616		5	%
		43,525		68	%		45,980		76	%		87,802		73	%		84,328		75	%
Administrative and general		11,639		18	%		15,041		25	%		23,639		19	%		27,415		24	%
Depreciation and amortization		17,494		27	%		18,406		30	%		34,687		29	%		37,918		34	%
Lease expense - operating		4,317		7	%		3,331		6	%		8,465		7	%		6,589		6	%
		76,975		120	%		82,758		137	%		154,593		128	%		156,250		139	%
Gains (Losses) on Asset Dispositions and Impairments, Net		(3,848	)	(6	)%		1,055		2	%		(3,489	)	(3	)%		(1,588	)	(1	)%
Operating Loss		(16,478	)	(26	)%		(21,002	)	(35	)%		(37,488	)	(31	)%		(45,416	)	(40	)%

SEACOR MARINE HOLDINGS INC.
UNAUDITED CONSOLIDATED STATEMENTS OF LOSS
(in thousands, except statistics and per share data)

	Three Months Ended
	Jun. 30, 2019			Mar. 31, 2019			Dec. 31, 2018			Sep. 30, 2018			Jun. 30, 2018
Time Charter Statistics:
Average Rates Per Day Worked (excluding crew transfer)	$	9,913		$	9,451		$	9,852		$	10,186		$	9,742
Average Rates Per Day	$	7,122		$	7,371		$	7,447		$	7,323		$	7,324
Fleet Utilization (excluding crew transfer)		64	%		62	%		61	%		60	%		58	%
Fleet Utilization		72	%		61	%		63	%		68	%		62	%
Fleet Available Days (excluding crew transfer)		8,038			8,116			8,312			9,119			9,071
Fleet Available Days		11,537			11,536			11,808			12,617			12,528
Operating Revenues:
Time charter	$	58,773		$	52,127		$	55,382		$	62,902		$	56,826
Bareboat charter		1,389			1,143			1,168			1,168			1,156
Other marine services		4,183			2,979			14,382			6,185			2,719
	$	64,345		$	56,249		$	70,932			70,255		$	60,701
Costs and Expenses:
Operating:
Personnel		23,961			22,756			23,598			25,021			24,733
Repairs and maintenance		8,676			9,006			7,928			9,208			9,070
Drydocking		2,074			2,879			1,396			4,822			3,112
Insurance and loss reserves		1,892			1,474			2,093			1,857			1,934
Fuel, lubes and supplies		3,892			3,753			4,618			4,690			4,122
Other		3,030			4,409			2,532			3,000			3,009
		43,525			44,277			42,165			48,598			45,980
Direct Vessel Profit		20,820			11,972			28,767			21,657			14,721
Other Costs and Expenses:
Lease expense		4,317			4,148			3,430			3,292			3,331
Administrative and general		11,639			12,000			11,795			11,767			15,041
Depreciation and amortization		17,494			17,193			16,986			17,342			18,406
		33,450			33,341			32,211			32,401			36,778
Gains (Losses) on Asset Dispositions and Impairments, Net		(3,848	)		359			(7,745	)		586			1,055
Operating Loss		(16,478	)		(21,010	)		(11,189	)		(10,158	)		(21,002	)
Other Income (Expense):
Interest income		222			357			357			309			352
Interest expense		(7,691	)		(7,735	)		(7,486	)		(7,761	)		(6,489	)
SEACOR Holdings guarantee fees		(32	)		(29	)		(5	)		(5	)		(7	)
Debt extinguishment loss		—			—			—			(638	)		—
Derivative losses, net		(1,398	)		(925	)		12,651			4,387			(2,668	)
Foreign currency gains, net		(929	)		635			(466	)		(302	)		(818	)
Other, net		—			—			(4	)	678				—
		(9,828	)		(7,697	)		5,047			(3,332	)		(9,630	)
Loss Before Income Tax Benefit and Equity in Earnings of 50% or Less Owned Companies		(26,306	)		(28,707	)		(6,142	)		(13,490	)		(30,632	)
Income Tax (Benefit) Expense		(3,048	)		(3,831	)		(48	)		1,249			(4,724	)
Loss Before Equity in Earnings of 50% or Less Owned Companies		(23,258	)		(24,876	)		(6,094	)		(14,739	)		(25,908	)
Equity in (Losses) Earnings of 50% or Less Owned Companies, Net of Tax		(7,006	)		(3,397	)		(1,875	)		(1,027	)		(721	)
Net Loss		(30,264	)		(28,273	)		(7,969	)		(15,766	)		(26,629	)
Net Loss attributable to Noncontrolling Interests in Subsidiaries		(1,875	)		(2,724	)		(175	)		191			(1,605	)
Net Loss attributable to SEACOR Marine Holdings Inc.	$	(28,389	)	$	(25,549	)	$	(7,794	)	$	(15,957	)	$	(25,024	)

Basic and Diluted Loss Per Common Share and Warrants of SEACOR Marine Holdings Inc.	$	(1.21	)	$	(1.11	)	$	(0.35	)	$	(0.71	)	$	(1.19	)
Weighted Average Common Shares and Warrants Outstanding:
Basic and Diluted		23,382			23,090			22,514			22,513			21,035
Common Shares and Warrants Outstanding at Period End		23,618			23,222			22,711			22,709			22,709

SEACOR MARINE HOLDINGS INC.
UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY REGION
(in thousands, except share data)

	United States (primarily Gulf of Mexico)			Africa (primarily West Africa)			Middle East and Asia			Latin America			Europe (primarily North Sea)			Total
For the Three Months Ended June 30, 2019
Time Charter Statistics:
Average Rates Per Day	$	14,058		$	9,365		$	8,182		$	8,074		$	4,686		$	7,122
Fleet Utilization		34	%		81	%		79	%		63	%		86	%		72	%
Fleet Available Days		2,669			1,365			2,026			400			5,077			11,537
Operating Revenues:
Time charter	$	12,628		$	10,400		$	13,175		$	2,046		$	20,524		$	58,773
Bareboat charter		233			—			—			1,156			—			1,389
Other marine services		1,320			753			349			273			1,488			4,183
		14,181			11,153			13,524			3,475			22,012			64,345
Direct Costs and Expenses:
Operating:
Personnel		5,203			3,428			4,292			976			10,062			23,961
Repairs and maintenance		2,515			952			2,629			481			2,099			8,676
Drydocking		1,801			(48	)		275			(32	)		78			2,074
Insurance and loss reserves		841			239			381			66			365			1,892
Fuel, lubes and supplies		1,107			939			725			314			807			3,892
Other		113			773			793			560			791			3,030
		11,580			6,283			9,095			2,365			14,202			43,525
Direct Vessel Profit	$	2,601		$	4,870		$	4,429		$	1,110		$	7,810			20,820
Other Costs and Expenses:
Lease expense	$	2,942		$	787		$	42		$	—		$	546			4,317
Administrative and general																	11,639
Depreciation and amortization		5,341			2,759			4,274			1,659			3,461			17,494
																	33,450
Loss on Asset Dispositions and Impairments																	(3,848	)
Operating Loss																$	(16,478	)

	United States (primarily Gulf of Mexico)			Africa (primarily West Africa)			Middle East and Asia			Latin America			Europe (primarily North Sea)			Total
For the Six Months Ended June 30, 2019
Time Charter Statistics:
Average Rates Per Day	$	12,472		$	9,414		$	8,280		$	10,974		$	4,743		$	7,237
Fleet Utilization		31	%		84	%		76	%		67	%		77	%		66	%
Fleet Available Days		5,367			2,678			4,087			941			10,000			23,073
Operating Revenues:
Time charter	$	20,633		$	21,173		$	25,674		$	6,968		$	36,452		$	110,900
Bareboat charter		233			—			—			2,299			—			2,532
Other marine services		2,452			116			577			908			3,109			7,162
		23,318			21,289			26,251			10,175			39,561			120,594
Direct Costs and Expenses:
Operating:
Personnel		9,706			7,295			8,546			2,532			18,638			46,717
Repairs and maintenance		5,293			2,136			4,822			816			4,615			17,682
Drydocking		3,795			290			434			47			387			4,953
Insurance and loss reserves		1,433			452			708			201			572			3,366
Fuel, lubes and supplies		1,790			1,693			1,434			742			1,986			7,645
Other		203			2,879			1,893			1,081			1,383			7,439
		22,220			14,745			17,837			5,419			27,581			87,802
Direct Vessel Profit	$	1,098		$	6,544		$	8,414		$	4,756		$	11,980			32,792
Other Costs and Expenses:
Lease expense	$	5,853		$	1,572		$	88		$	1		$	951			8,465
Administrative and general																	23,639
Depreciation and amortization		10,839			5,115			8,523			3,595			6,615			34,687
																	66,791
Loss on Asset Dispositions and Impairments																	(3,489	)
Operating Loss																$	(37,488	)
As of June 30, 2019
Property and Equipment:
Historical cost	$	364,501		$	220,855		$	288,677		$	108,068		$	240,719		$	1,222,820
Accumulated depreciation		(189,602	)		(62,061	)		(74,815	)		(49,393	)		(149,685	)		(525,556	)
	$	174,899		$	158,794		$	213,862		$	58,675		$	91,034		$	697,264
Total Assets ⁽¹⁾	$	312,465		$	171,084		$	252,926		$	123,513		$	133,437		$	993,425

(1) Total assets by region does not include corporate assets, which are $83,271 as of June 30, 2019

SEACOR MARINE HOLDINGS INC.
UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY REGION
(in thousands, except statistics)

	Three Months Ended
	Jun. 30, 2019			Mar. 31, 2019			Dec. 31, 2018			Sep. 30, 2018			Jun. 30, 2018
*United States, primarily Gulf of Mexico*
Time Charter Statistics:
Average rates per day worked	$	14,058		$	10,588		$	12,656		$	12,476		$	10,503
Fleet utilization		34	%		28	%		29	%		30	%		23	%
Fleet available days		2,669			2,698			2,983			3,433			3,710
Out-of-service days for repairs, maintenance and drydockings	325			232			143			147			292
Out-of-service days for cold-stacked status		1,322			1,579			1,761			2,101			2,435
Operating Revenues:
Time charter	$	12,628		$	8,005		$	10,968		$	12,800		$	9,052
Bareboat charter		233			—			—			—			—
Other marine services		1,320			1,132			8,709			2,722			1,676
		14,181			9,137			19,677			15,522			10,728
Direct Costs and Expenses:
Operating:
Personnel		5,203			4,503			5,227			4,853			4,636
Repairs and maintenance		2,515			2,778			1,128			1,801			1,529
Drydocking		1,801			1,994			147			375			910
Insurance and loss reserves		841			592			974			612			902
Fuel, lubes and supplies		1,107			683			1,055			1,120			900
Other		113			90			185			154			29
		11,580			10,640			8,716			8,915			8,906
Direct Vessel Profit (Loss)	$	2,601		$	(1,503	)	$	10,961		$	6,607		$	1,822
Other Costs and Expenses:
Lease expense	$	2,942		$	2,911		$	2,053		$	2,078		$	2,065
Depreciation and amortization		5,341			5,498			5,550			5,227			5,915

*Africa, primarily West Africa*
Time Charter Statistics:
Average rates per day worked	$	9,365		$	9,461		$	9,411		$	9,315		$	9,509
Fleet utilization		81	%		87	%		87	%		82	%		88	%
Fleet available days		1,365			1,313			1,310			1,475			1,331
Out-of-service days for repairs, maintenance and drydockings	54			58				—		92			46
Operating Revenues:
Time charter	$	10,400		$	10,773		$	10,730		$	11,201		$	11,122
Other marine services		753			(637	)		4,247			1,777			350
		11,153			10,136			14,977			12,978			11,472
Direct Costs and Expenses:
Operating:
Personnel		3,428			3,867			3,665			4,486			4,314
Repairs and maintenance		952			1,184			873			2,438			1,663
Drydocking		(48	)		338			(28	)		1,201			910
Insurance and loss reserves		239			213			307			323			248
Fuel, lubes and supplies		939			754			1,176			1,081			900
Other		773			2,106			772			1,103			1,402
		6,283			8,462			6,765			10,632			9,437
Direct Vessel Profit	$	4,870		$	1,674		$	8,212		$	2,346		$	2,035
Other Costs and Expenses:
Lease expense	$	787		$	785		$	1,059		$	1,061		$	1,092
Depreciation and amortization		2,759			2,356			2,341			2,381			2,924

SEACOR MARINE HOLDINGS INC.
UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY REGION (continued)
(in thousands, except statistics)

	Three Months Ended
	Jun. 30, 2019			Mar. 31, 2019			Dec. 31, 2018			Sep. 30, 2018			Jun. 30, 2018
*Middle East and Asia*
Time Charter Statistics:
Average rates per day worked	$	8,182		$	8,386		$	8,856		$	8,156		$	8,226
Fleet utilization		79	%		72	%		70	%		76	%		82	%
Fleet available days		2,026			2,061			2,009			2,024			2,005
Out-of-service days for repairs, maintenance and drydockings	73			95			178			76			4
Out-of-service days for cold-stacked status	115			90				92			92			91
Operating Revenues:
Time charter	$	13,175		$	12,499		$	12,517		$	12,590		$	13,591
Other marine services		349			228			118			(83	)		(792	)
		13,524			12,727			12,635			12,507			12,799
Direct Costs and Expenses:
Operating:
Personnel		4,292			4,254			4,354			4,361			4,069
Repairs and maintenance		2,629			2,193			3,077			2,091			3,576
Drydocking		275			159			949			352			72
Insurance and loss reserves		381			327			389			385			361
Fuel, lubes and supplies		725			709			1,179			892			922
Other		793			1,100			984			952			836
		9,095			8,742			10,932			9,033			9,836
Direct Vessel Profit	$	4,429		$	3,985		$	1,703		$	3,474		$	2,963
Other Costs and Expenses:
Lease expense	$	42		$	46		$	49		$	57		$	59
Depreciation and amortization		4,274			4,249			4,154			4,207			4,311

*Latin America*
Time Charter Statistics:
Average rates per day worked	$	8,074		$	12,900		$	11,866		$	17,604		$	19,127
Fleet utilization		63	%		71	%		72	%		80	%		57	%
Fleet available days		400			541			460			531			416
Out-of-service days for repairs, maintenance and drydockings	3			5				—			—			—
Out-of-service days for cold-stacked status	91			90			92			92			91
Operating Revenues:
Time charter	$	2,046		$	4,922		$	3,934		$	7,479		$	4,556
Bareboat charter		1,156			1,143			1,168			1,168			1,156
Other marine services		273			635			183			416			845
		3,475			6,700			5,285			9,063			6,557
Direct Costs and Expenses:
Operating:
Personnel		976			1,556			1,142			1,662			1,219
Repairs and maintenance		481			335			362			312			32
Drydocking		(32	)		79			14			103			11
Insurance and loss reserves		66			135			96			163			169
Fuel, lubes and supplies		314			428			384			427			349
Other		560			521			232			350			488
		2,365			3,054			2,230			3,017			2,268
Direct Vessel Profit	$	1,110		$	3,646		$	3,055		$	6,046		$	4,289
Other Costs and Expenses:
Lease expense	$	—		$	1		$	1		$	1		$	2
Depreciation and amortization		1,659			1,936			1,888			2,521			2,280

SEACOR MARINE HOLDINGS INC.
UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY REGION (continued)
(in thousands, except statistics)

	Three Months Ended
	Jun. 30, 2019			Mar. 31, 2019			Dec. 31, 2018			Sep. 30, 2018			Jun. 30, 2018
*Europe, primarily North Sea*
Time Charter Statistics:
Average rates per day worked		4,686			4,819			4,676			4,287			4,823
Fleet utilization		86	%		67	%		73	%		85	%		76	%
Fleet available days		5,077			4,923			5,046			5,154			5,065
Out-of-service days for repairs, maintenance and drydockings	174			124			136			240			77
Out-of-service days for cold-stacked status	91			90				92			61			—
Operating Revenues:
Time charter	$	20,524		$	15,928		$	17,233		$	18,832		$	18,505
Other marine services		1,488			1,621			1,125			1,353			640
		22,012			17,549			18,358			20,185			19,145
Direct Costs and Expenses:
Operating:
Personnel		10,062			8,576			9,210			9,659			10,495
Repairs and maintenance		2,099			2,516			2,488			2,566			2,270
Drydocking		78			309			314			2,791			1,209
Insurance and loss reserves		365			207			327			374			254
Fuel, lubes and supplies		807			1,179			824			1,170			1,051
Other		791			592			359			441			254
		14,202			13,379			13,522			17,001			15,533
Direct Vessel Profit	$	7,810		$	4,170		$	4,836		$	3,184		$	3,612
Other Costs and Expenses:
Lease expense	$	546		$	405		$	267		$	95		$	113
Depreciation and amortization		3,461			3,154			3,053			3,006			2,976

SEACOR MARINE HOLDINGS INC.
UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY VESSEL CLASS
(in thousands, except statistics)

	Three Months Ended
	Jun. 30, 2019			Mar. 31, 2019			Dec. 31, 2018			Sep. 30, 2018			Jun. 30, 2018
*Anchor handling towing supply*
Time Charter Statistics:
Average rates per day worked	$	7,597		$	8,502		$	8,506		$	9,269		$	13,381
Fleet utilization		49	%		38	%		26	%		28	%		23	%
Fleet available days		910			900			1,012			1,012			866
Out-of-service days for repairs, maintenance and drydockings	31			34			12			100			23
Out-of-service days for cold-stacked status	437			521				644			602			608
Operating Revenues:
Time charter	$	3,360		$	2,875		$	2,248		$	2,592		$	2,712
Other marine services		869			(658	)		2,426			1,244			(91	)
		4,229			2,217			4,674			3,836			2,621
Direct Costs and Expenses:
Operating:
Personnel		2,001			1,390			1,279			1,667			1,593
Repairs and maintenance		632			630			386			1,625			1,281
Drydocking		96			75			(70	)		1,168			945
Insurance and loss reserves		266			122			219			282			265
Fuel, lubes and supplies		262			62			467			582			586
Other		411			592			568			530			689
		3,668			2,871			2,849			5,854			5,359
Direct Vessel Profit (Loss)	$	561		$	(654	)	$	1,825		$	(2,018	)	$	(2,738	)
Other Costs and Expenses:
Lease expense	$	1,527		$	1,539		$	1,847		$	1,851		$	1,855
Depreciation and amortization		575			575			679			689			532

*Fast support*
Time Charter Statistics:
Average rates per day worked	$	7,624		$	7,609		$	7,749		$	7,148		$	6,963
Fleet utilization		71	%		68	%		67	%		59	%		62	%
Fleet available days		3,275			3,295			3,187			3,709			3,820
Out-of-service days for repairs, maintenance and drydockings	134			72				151			131			53
Out-of-service days for cold-stacked status	545			622			659				1,037			1,191
Operating Revenues:
Time charter	$	17,709		$	17,083		$	16,453		$	15,678		$	16,488
Bareboat charter		233			—			—			—			—
Other marine services		(179	)		(251	)		(952	)		(834	)		(505	)
		17,763			16,832			15,501			14,844			15,983
Direct Costs and Expenses:
Operating:
Personnel		5,796			5,511			5,328			5,826			5,258
Repairs and maintenance		2,682			2,337			2,595			2,641			3,406
Drydocking		136			350			1			432			115
Insurance and loss reserves		385			326			534			407			314
Fuel, lubes and supplies		1,602			1,102			1,368			1,016			1,015
Other		1,713			2,464			1,062			1,718			1,466
		12,314			12,090			10,888			12,040			11,574
Direct Vessel Profit	$	5,449		$	4,742		$	4,613		$	2,804		$	4,409
Other Costs and Expenses:
Lease expense	$	352		$	352		$	341		$	342		$	342
Depreciation and amortization		5,929			5,944			5,525			5,780			6,585

SEACOR MARINE HOLDINGS INC.
UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY VESSEL CLASS (continued)
(in thousands, except statistics)

	Three Months Ended
	Jun. 30, 2019			Mar. 31, 2019			Dec. 31, 2018			Sep. 30, 2018			Jun. 30, 2018
*Supply*
Time Charter Statistics:
Average rates per day worked	$	6,906		$	7,001		$	7,050		$	7,410		$	7,174
Fleet utilization		53	%		62	%		81	%		82	%		69	%
Fleet available days		486			501			460			565			637
Out-of-service days for repairs, maintenance and drydockings	118			60			27				—			—
Out-of-service days for cold-stacked status		—			—			—			—			19
Operating Revenues:
Time charter	$	1,787		$	2,182		$	2,631		$	3,442		$	3,149
Bareboat charter		1,156			1,143			1,168			1,168			1,156
Other marine services		799			781			619			1,066			39
		3,742			4,106			4,418			5,676			4,344
Direct Costs and Expenses:
Operating:
Personnel		1,617			1,678			1,487			1,976			1,999
Repairs and maintenance		1,085			619			403			549			259
Drydocking		82			162			1,023			1,624			585
Insurance and loss reserves		78			105			130			145			134
Fuel, lubes and supplies		98			399			445			391			317
Other		842			1,144			762			254			1,048
		3,802			4,107			4,250			4,939			4,342
Direct Vessel (Loss) Profit	$	(60	)	$	(1	)	$	168		$	737		$	2
Other Costs and Expenses:
Lease expense	$	433		$	318		$	178		$	34		$	—
Depreciation and amortization		1,223			1,036			966			1,173			1,394

*Emergency Response and Rescue*
Time Charter Statistics:
Average rates per day worked	$	8,562		$	8,499		$	8,504		$	8,692		$	9,157
Fleet utilization		87	%		82	%		82	%		77	%		80	%
Fleet available days		1,547			1,620			1,734			1,809			1,746
Out-of-service days for repairs, maintenance and drydockings	15			71				89			117			46
Operating Revenues:
Time charter	$	11,503		$	11,308		$	12,024		$	12,036		$	12,791
Other marine services		30			31			11			50			39
		11,533			11,339			12,035			12,086			12,830
Direct Costs and Expenses:
Operating:
Personnel		6,047			6,133			6,774			5,855			8,148
Repairs and maintenance		1,069			1,422			1,601			1,627			1,464
Drydocking		77			309			273			1,156			624
Insurance and loss reserves		129			60			216			234			143
Fuel, lubes and supplies		690			947			657			975			843
Other		143			240			209			351			144
		8,155			9,111			9,730			10,198			11,366
Direct Vessel Profit	$	3,378		$	2,228		$	2,305		$	1,888		$	1,464
Other Costs and Expenses:
Depreciation and amortization	$	1,082		$	1,096		$	1,085		$	945		$	681

SEACOR MARINE HOLDINGS INC.
UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY VESSEL CLASS (continued)
(in thousands, except statistics)

	Three Months Ended
	Jun. 30, 2019			Mar. 31, 2019			Dec. 31, 2018			Sep. 30, 2018			Jun. 30, 2018
*Specialty*
Time Charter Statistics:
Fleet available days		91			90			92			92			91
Out-of-service days for cold-stacked status		91			90			92			92			91
Operating Revenues:
Other marine services	$	—		$	—		$	337		$	—		$	—

Direct Costs and Expenses:
Operating:
Personnel		23			65			64			64			79
Repairs and maintenance		3			4			12			31			13
Drydocking		—			—			—			—			—
Insurance and loss reserves		20			8			9			41			25
Fuel, lubes and supplies		(24	)		31			33			65			(29	)
Other		77			95			70			67			93
		99			203			188			268			181
Direct Vessel (Loss) Profit	$	(99	)	$	(203	)	$	149		$	(268	)	$	(181	)
Other Costs and Expenses:
Depreciation and amortization		127			128			282			282			283

*Liftboats*
Time Charter Statistics:
Average rates per day worked	$	20,993		$	17,750		$	18,497		$	18,993		$	19,225
Fleet utilization		47	%		46	%		49	%		60	%		43	%
Fleet available days		1,729			1,710			1,827			1,932			1,911
Out-of-service days for repairs, maintenance and drydockings	292			224				132			86			266
Out-of-service days for cold-stacked status		455			526		550				554			708
Operating Revenues:
Time charter	$	16,932		$	13,877		$	16,631		$	22,171		$	15,788
Other marine services		1,481			2,080			1,926			2,922			1,569
		18,413			15,957			18,557			25,093			17,357
Direct Costs and Expenses:
Operating:
Personnel		5,360			5,097			5,546			5,621			4,671
Repairs and maintenance		2,189			2,828			1,971			1,827			1,553
Drydocking		1,683			1,983			167			433			842
Insurance and loss reserves		921			884			872			630			889
Fuel, lubes and supplies		1,076			1,005			1,485			1,482			1,153
Other		251			444			667			620			336
		11,480			12,241			10,708			10,613			9,444
Direct Vessel Profit	$	6,933		$	3,716		$	7,849		$	14,480		$	7,913
Other Costs and Expenses:
Lease expense	$	1,497		$	1,498		$	638		$	641		$	644
Depreciation and amortization		6,055			6,053			6,098			6,188			6,333

SEACOR MARINE HOLDINGS INC.
UNAUDITED DIRECT VESSEL PROFIT (“DVP”) BY VESSEL CLASS (continued)
(in thousands, except statistics)

	Three Months Ended
	Jun. 30, 2019			Mar. 31, 2019			Dec. 31, 2018			Sep. 30, 2018			Jun. 30, 2018
*Crew transfer*
Time Charter Statistics:
Average rates per day worked	$	2,431		$	2,325		$	2,283		$	2,253		$	2,330
Fleet utilization		88	%		60	%		68	%		89	%		73	%
Fleet available days		3,499			3,420			3,496			3,498			3,457
Out-of-service days for repairs, maintenance and drydockings	39			53			47			123			31
Out-of-service days for cold-stacked status		91			90			92			61			—
Operating Revenues:
Time charter	$	7,482		$	4,802		$	5,395		$	6,983		$	5,898
Other marine services		499			322			460			657			563
		7,981			5,124			5,855			7,640			6,461
Direct Costs and Expenses:
Operating:
Personnel		2,665			2,309			2,274			2,471			2,295
Repairs and maintenance		933			1,096			814			806			987
Drydocking		—			—			2			9			1
Insurance and loss reserves		93			104			94			130			93
Fuel, lubes and supplies		167			189			145			163			219
Other		113			113			165			104			173
		3,971			3,811			3,494			3,683			3,768
Direct Vessel Profit	$	4,010		$	1,313		$	2,361		$	3,957		$	2,693
Other Costs and Expenses:
Lease expense	$	—		$	—		$	—		$	(22	)	$	22
Depreciation and amortization		1,920			2,031			679			689			532

*Other Activity*
Operating Revenues:
Other marine services	$	684		$	674		$	9,555		$	1,080		$	1,105
		684			674			9,555			1,080			1,105
Direct Costs and Expenses:
Operating:
Personnel		452			573			846			1,541			690
Repairs and maintenance		83			70			146			102			107
Insurance and loss reserves		—			(135	)		19			(12	)		71
Fuel, lubes and supplies		21			18			18			16			18
Other		(520	)		(683	)		(971	)		(644	)		(940	)
		36			(157	)		58			1,003			(54	)
Direct Vessel Profit	$	648		$	831		$	9,497		$	77		$	1,159
Other Costs and Expenses:
Lease expense	$	508		$	224		$	425		$	446		$	468
Depreciation and amortization		583			330			196			192			218

SEACOR MARINE HOLDINGS INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (NON-GAAP PRESENTATION)
(in thousands)

	Three Months Ended
	Jun. 30, 2019			Mar. 31, 2019			Dec. 31, 2018			Sep. 30, 2018			Jun. 30, 2018
Cash Flows from Operating Activities:
DVP		20,820			11,972			28,767		$	21,657		$	14,721
Operating, leased-in equipment (excluding amortization of deferred gains)		(4,625	)		(5,157	)		(5,439	)		(5,301	)		(5,341	)
Administrative and general (excluding provisions for bad debts and amortization of share awards)		(10,594	)		(11,860	)		(11,869	)		(10,985	)		(13,585	)
SEACOR Holdings management and guarantee fees		(32	)		(29	)		(5	)		(5	)		(7	)
Dividends received from 50% or less owned companies		—			400			400			—			1,324
Other, net (excluding non-cash losses)		—			—			(3	)		249			—
		5,569			(4,674	)		11,851			5,615			(2,888	)
Changes in operating assets and liabilities before interest and income taxes		3,090			5,372			(10,638	)		(16,587	)		(14,575	)
Director share awards		894			—			—			—			893
Restricted stock vested		-			(282	)		(5	)		(32	)		(51	)
Cash settlements on derivative transactions, net		275			(75	)		1,420			102			(21	)
Interest paid, excluding capitalized interest ⁽¹⁾		(7,691	)		(4,664	)		(5,929	)		(5,498	)		(5,875	)
Interest received		222			357			357			309			352
Income taxes refunded, net		56			1,999			40			(344	)		(12	)
Net cash provided by (used in) operating activities		2,415			(1,967	)		(2,904	)		(16,435	)		(22,177	)
Cash Flows from Investing Activities:
Purchases of property and equipment		(19,654	)		(20,813	)		(14,217	)		(21,601	)		(5,983	)
Capitalized interest paid		(347	)		(370	)		—			(614	)		(1,008	)
Proceeds from disposition of property and equipment		9,268			552			17,476			1,858			3,244
Net change in construction reserve fund		7,997			(48	)		7,535			2,556			7,209
Net investing activities in property and equipment		(2,736	)		(20,679	)		10,794			(17,801	)		3,462
Investments in and advances to 50% or less owned companies		(718	)		(1,951	)		(3,672	)		1,770			(5,610	)
Net investing activities in third party notes receivable		—			—			17			—			—
Sale of subsidiary to joint venture		—			—			—			8,017			—
Net cash (used in) provided by investing activities		(3,454	)		(22,630	)		7,139			(8,014	)		(2,148	)
Cash Flows from Financing Activities:
Payments on long-term debt		(3,738	)		(4,361	)		(11,352	)		(2,851	)		(6,395	)
Proceeds from issuance of long-term debt, net of issue costs		—			—			(336	)		43,882			—
Purchase of subsidiary shares from noncontrolling interests		—			(3,392	)		—			—			—
Proceeds from exercise of stock options and Warrants		3			108			20			—			813
Issuance of stock		—			—			—			—			54,012
Net cash (used in) provided by financing activities		(3,735	)		(7,645	)		(11,668	)		41,031			48,430
Effects of Exchange Rate Changes on Cash and Cash Equivalents		(309	)		1,484			(233	)		(253	)		(970	)
Net Change in Cash, Cash Equivalents and Restricted Cash		(5,083	)		(30,758	)		(7,666	)		16,329			23,135
Cash, Restricted Cash and Cash Equivalents, Beginning of Period		66,095			96,853			104,519			88,190			65,055
Cash, Restricted Cash and Cash Equivalents, End of Period	$	61,012		$	66,095		$	96,853		$	104,519		$	88,190

SEACOR MARINE HOLDINGS INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)

	June 30, 2019			March 31, 2019			December 31, 2018			September 30, 2018			June 30, 2018
ASSETS
Current Assets:
Cash and cash equivalents	$	58,772		$	63,855		$	95,195		$	102,864		$	86,239
Restricted cash		2,240			2,240			1,657			1,655			1,951
Receivables:
Trade, net of allowance for doubtful accounts		69,117			67,900			64,125			75,349			57,658
Other		10,410			9,078			12,082			16,552			16,039
Inventories		2,995			4,139			3,443			3,646			3,666
Prepaid expenses and other		4,123			4,597			2,530			2,692			4,090
Total current assets		147,657			151,809			179,032			202,758			169,643
Property and Equipment:
Historical cost		1,222,820			1,294,945			1,242,733			1,279,000			1,287,855
Accumulated depreciation		(525,556	)		(579,441	)		(561,272	)		(568,752	)		(564,477	)
		697,264			715,504			681,461			710,248			723,378
Construction in progress		68,228			63,301			88,918			82,953			82,274
Net property and equipment		765,492			778,805			770,379			793,201			805,652
Right-of-Use Asset - Operating Leases		27,390			30,503			—			—			—
Investments, at Equity, and Advances to 50% or Less Owned Companies		112,418			119,520			121,773			120,340			115,424
Construction Reserve Funds		20,112			28,109			28,061			35,596			38,152
Other Assets		3,627			3,603			3,690			3,582			3,667
	$	1,076,696		$	1,112,349		$	1,102,935		$	1,155,477		$	1,132,538
LIABILITIES AND EQUITY
Current Liabilities:
Current portion of operating lease liabilities	$	16,552		$	17,918			—			—			—
Current portion of long-term debt		20,651			17,426			16,812			17,426			22,858
Accounts payable and accrued expenses		33,909			27,263			19,370			20,480			23,774
Due to SEACOR Holdings		74			535			452			463			746
Other current liabilities		48,593			47,567			46,983			63,772			56,469
Total current liabilities		119,779			110,709			83,617			102,141			103,847
Long-Term Operating Lease Liabilities		16,775			19,851			—			—			—
Long-Term Debt		379,075			384,344			387,854			397,738			348,912
Conversion Option Liability on Convertible Senior Notes		7,599			6,201			5,276			17,928			21,886
Deferred Income Taxes		37,063			41,831			44,682			46,120			49,789
Deferred Gains and Other Liabilities		5,165			7,290			26,571			26,662			27,289
Total liabilities		565,456			570,226			548,000			590,589			551,723
Equity:
SEACOR Marine Holdings Inc. stockholders’ equity:
Common stock		218			211			204			204			204
Additional paid-in capital		424,549			422,830			415,372			414,460			413,754
Retained earnings		83,312			111,701			126,834			134,628			150,585
Shares held in treasury		(374	)		(373	)		(91	)		(86	)		(54	)
Accumulated other comprehensive loss, net of tax		(19,156	)		(16,812	)		(16,788	)		(13,945	)		(13,129	)
		488,549			517,557			525,531			535,261			551,360
Noncontrolling interests in subsidiaries		22,691			24,566			29,404			29,627			29,455
Total equity		511,240			542,123			554,935			564,888			580,815
	$	1,076,696		$	1,112,349		$	1,102,935		$	1,155,477		$	1,132,538

SEACOR MARINE HOLDINGS INC.
UNAUDITED FLEET COUNTS

	June 30, 2019 ⁽¹⁾		March 31, 2019		December 31, 2018		September 30, 2018		June 30, 2018
AHTS		9		11		12		13		13
FSV		40		42		41		47		49
Supply		41		42		39		29		29
ERRV		18		18		19		20		21
Specialty		6		7		7		4		4
Liftboats		19		19		19		21		21
CTV		44		43		42		42		42
	177		182		179		176		179

______________________

(1)	Excludes five owned and one leased-in offshore support vessels that have been retired and removed from service.

SEACOR MARINE HOLDINGS INC.
UNAUDITED EXPECTED FLEET DELIVERIES

	2019				2020
	Q3		Q4		Q1		Q2		Q3		Q4		Deferred		Total
Fast support		—		—		—		1		—		—		2		3
Crew transfer		—		1		1		—		—		—		—		2
Platform supply		1		—	2			1		—		1		—		5

Source: SEACOR Marine Holdings Inc.

Press Release Details

SEACOR Marine Announces Second Quarter 2019 Results