CGG Eyes Lower 2020 Revenue Growth

Milla Nissi
Friday, March 6, 2020

French oil services group CGG expects its segment revenue growth to slow down in 2020, it said on Friday, assuming a limited effect from the coronavirus.

"We continue to monitor the situation and potential impact on our business as our clients might re-evaluate their plans in the context of oil price volatility," the company said in a statement.

The price of crude oil fell to multi-year lows in February on concerns that the coronavirus outbreak will limit economic growth as the number of infections has climbed above 98,000 globally, which could impact investments made by oil and gas companies, CGG's primary customers.

The company, which provides geophysical services and equipment, said it expected mid-single-digit segment revenue growth this year, compared to a 2019 increase of 14% year-on-year to $1.4 billion.

The company's segment operating result swung to a profit of $247 million in 2019, beating its own guidance of $200 million from September. ($1 = 0.8909 euros) 

(Reporting by Milla Nissi in Gdansk; Editing by Christian Schmollinger)

Categories: Geoscience Subsea Europe Seismic

Related Stories

Seaway7 Secures Inter-Array Cabling Job at Hornsea 3 Offshore Wind Farm

Belgian Energy Island Gets $700M EU Funding Boost

Altera Infrastructure, Harbour Energy Get $240M EU Grant for Offshore CCS Project

Current News

ASL to Work on Metocean Data for Offshore Wind Project in Atlantic Canada

RWE Gets Clearance for 100MW Electrolyzer for OW-to-Hydrogen Production

DOF Group Completes Acquisition of Maersk Supply Service

Tyra II Facilities to Operate at Full Technical Capacity Sooner Than Expected

Subscribe for OE Digital E‑News