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Archer Limited: Trading update Q4 2018 and Financial Outlook 2019

Hamilton, Bermuda (January 23, 2019)

Archer hosted a trading update for Q4 2018 and preliminary financial outlook for 2019.

Trading update Q4 2018 – Best operational results since 2015

Based on preliminary unaudited reporting from operating units, Archer Limited expects to report the following key financial numbers for Q4 2018:

  • Revenue of approximately $233 million
  • EBITDA before exceptional items of approximately $27 million
  • EBITDA of approximately $24 million
  • Net interest bearing debt reduced to approximately $586 million
  • Robust liquidity of approximately $139 million

Q4 2018 and preliminary 2018 results will be reported on February 27, 2019.

Financial outlook 2019

Recent oil price volatility creates uncertainty regarding operators 2019 budgets, but Archer expects continued growth in 2019 on the back of strong backlog:

  • Revenue set to increase moderately 4-6% over 2018
  • EBITDA margin about 10-12%
  • Capex 3-4% of revenue
  • Robust liquidity and strong operational cash flow generation

More information can be found in the attached presentation to be shared with the analysts, which can also be downloaded from https://www.archerwell.com/investor-relations/presentations/

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.