CGG Announces its Q22023 Results
Revenue at $289m, up 20% y-o-y
Ebitda at $104m, a 36% marginrelated to business mix
Net Income at $39m
PARIS, France – July 27, 2023 – CGG (ISIN: FR0013081864), a global technology and high-performance computing (HPC) leader, announced today its second quarter 2023 non-audited results.
Commenting on these results, Sophie Zurquiyah, CGG CEO, said:
“ CGG delivered good performance in Q2. Our Geoscience business is back to pre-covid levels, driven by technology differentiation and the increasing adoption of advanced acquisition technologies, such as nodes, where clients strongly prefer our leading imaging capabilities. Earth Data remains in line with our full year objectives while Sensing and Monitoring confirmed its expected rebound, with high quarterly revenue.
Increased SMO activity in Q2 drove working capital higher, which is expected to translate into significant positive cash-flow in H2.
The market remains active, with clients strengthening their offshore activity worldwide. This together with our $510m backlog, which is at the highest level since early 2020, gives us confidence in delivering our 2023 targets.”
Q2 2023 key figures: Good performance
- IFRS figures: revenue at $339m, EBITDAs at $154m, OPINC at $82m
- Segment revenue at $289m, up 20% year-on-year.
- Geoscience at $80m, up 14% year-on-year driven by increased activity worldwide and technology differentiation.
- Earth Data at $62m, down (5)% year-on-year when adjusted from transfer fees and US land library divestment. After-sales low at $20m due to late sales of ~$20m recognized early July. Prefunding revenue at $42m.
- Sensing and Monitoring at $146m, significantly up 222% year-on-year, a very high quarter thanks to OBN equipment deliveries.
- Segment EBITDAs at $104m and a 36% margin, down (17)% from a very high second quarter 2022, sustained by exceptional transfer fees and a different business mix.
- Segment operating income at $77m, up 17% and a 27% margin
- Group net income at $39m, x 2.4 year-on-year
Q2 2023 Cash Flow & Balance Sheet
- Net cash flow at $(79)m including $(45)m negative change in working capital mainly related to SMO.
- Cash liquidity of $315m as of June 30, 2023, including $95m undrawn RCF.
- Net debt before IFRS 16 at $969m as of June 30, 2023.
Backlog
- At the end of June 2023, the Group’s backlog stands at $510m, up 54% year-on-year.
|
Key Figures - Second Quarter 2023
Key Figures IFRS - Quarter
In million $ | 2022
Q2 | 2023
Q2 | Variances % |
| Operating revenues | 228 | 339 | 49% |
| Operating income / (loss) | 59 | 82 | 39% |
| Equity from investment | (0) | (0) | - |
| Net cost of financial debt | (25) | (26) | (5)% |
| Other financial income / (loss) | (4) | 0 | - |
| Income taxes | (14) | (19) | (35)% |
| Net income / (loss) from continuing operations | 16 | 37 | 130% |
| Net income / (loss) from discontinued operations | 0 | 2 | - |
| Group net income / (loss) | 16 | 39 | 141% |
| Operating cash flow | 76 | 57 | (25)% |
| Net cash flow | (56) | (79) | (42)% |
| Net debt | 909 | 1,063 | 17% |
| Net debt before lease liabilities | 812 | 969 | 19% |
| Capital employed | 1,933 | 2,140 | 11% |
Key Segment Figures - Second Quarter 2023
Key Segment Figures - Quarter
In million $ | 2022
Q2 | 2023
Q2 | Variances % |
| Segment revenue | 240 | 289 | 20% |
| Segment EBITDAs | 126 | 104 | (17)% |
| EBITDAs margin | 52% | 36% | (16) bps |
| Segment operating income / (loss) | 66 | 77 | 17% |
| OPINC margin | 27% | 27% | (1) bps |
| IFRS 15 adjustment | (7) | 5 | 165% |
| IFRS operating income / (loss) | 59 | 82 | 39% |
| Operating cash flow | 76 | 57 | (25)% |
| Segment net cash flow | (56) | (79) | (42)% |
Key figures bridge: Segment to IFRS - Second Quarter 2023
P&L items
In million $ | Segment figures | IFRS 15 adjustment | IFRS figures |
| Total revenue | 289 | 50 | 339 |
| OPINC | 77 | 5 | 82 |
| | | | |
Cash Flow Statement items
In million $ | Segment figures | IFRS 15 adjustment | IFRS figures |
| EBITDAs | 104 | 50 | 154 |
| Change in working capital & provisions | (45) | (50) | (96) |
| Cash provided by operations | 57 | 0 | 57 |
| | | | |
Earth Data Data Library NBV
In million $ | Segment figures | IFRS 15 adjustment | IFRS figures |
| Opening balance sheet , Apr 1st 23 | 291 | 133 | 424 |
| Closing balance sheet , June 30th 23 | 364 | 95 | 459 |
Second Quarter2023 Segment Financial Results
Digital, Data and Energy Transition (DDE)
Data, Digital & Energy Transition (DDE)
In million $ | 2022
Q2 | 2023
Q2 | Variances % |
| Segment revenue | 195 | 142 | (27)% |
| Geoscience | 70 | 80 | 14% |
| Earth Data | 124 | 62 | (50)% |
| Prefunding | 36 | 42 | 17% |
| After-Sales | 88 | 20 | (77)% |
| DDE proforma | 194 | 142 | (27)% |
| Segment EBITDAs | 135 | 75 | (44)% |
| EBITDAs Margin | 69% | 53% | (17) bps |
| Segment operating income | 83 | 57 | (31)% |
| OPINC Margin | 42% | 40% | (2) bps |
| Capital employed (in billion $) | 1.4 | 1.5 | 5% |
| Other Key Metrics | | | |
| Earth Data cash capex ($m) | (75) | (64) | 14% |
| Earth Data cash prefunding rate (%) | 48% | 66% | 18 bps |
Digital, Data and Energy Transition (DDE) segment revenue was $142 million, down (27)% year-on-year.
- Geoscience (GEO) revenue was $80 million, up 14% year-on-year.
Geoscience activity remains solid across all regions sustained by increasing demand worldwide for OBN imaging and higher resolution images. The level of commercial activity continues to be strong and backlog is up 19% year-on-year at $235m.
- Earth Data (EDA)revenue was $62 million and down (5)% year-on-year when adjusted from the transfer fees and US land library divestment.
Earth Data cash capex was $(64) million this quarter, down (14)% year-on-year with one marine streamer program offshore Norway and the end of a survey offshore Brazil in partnership. Prefunding revenue was solid at $42 million, up 17% and prefunding rate was at 66%. After-sales were low at $20 million this quarter as ~$20 million late sales were recognized early July
The segment library Net Book Value was $364 million ($459 million after IFRS 15 adjustments) at the end of June 2023.
DDE segment EBITDAs was $75 million, down (44)% year-on-year, and a 53% margin compared to a particularly strong quarter last year sustained by very large transfer fees.
DDE segment operating income was $57 million, down (31)% year-on-year, and a 40% margin.
DDE capital employed increased to $1.5 billion at the end of June 2023.
Sensing and Monitoring (SMO)
Sensing and Monitoring (SMO)
In million $ | 2022
Q2 | 2023
Q2 | Variances % |
| Segment revenue | 45 | 146 | 222% |
| Land | 13 | 46 | 269% |
| Marine | 22 | 84 | 277% |
| Downhole gauges | 5 | 5 | 7% |
| Non Oil & Gas | 6 | 11 | 84% |
| Segment EBITDAs | (7) | 36 | 593% |
| EBITDAs margin | -16% | 24% | 40 bps |
| Segment operating income / (loss) | (15) | 28 | 288% |
| OPINC Margin | -32% | 19% | 51 bps |
| Capital employed (in billion $) | 0.6 | 0.7 | 17% |
Sensing and Monitoring(SMO) segment revenue was $146 million, up 222% year-on-year.
- High level of land equipment sales at $46 million mainly for North Africa and Middle-East.
- Marine equipment at $84 million mainly due to major sales of GPR ocean bottom nodes to several customers
- Downhole sales were $5 million, stable year-on-year.
- Beyond the Core revenues were high at $11 million, up 84% year-on-year.
SMO segment EBITDAs was $36 million and a 24% margin.
SMO segment operating income was $28 million.
SMO capital employed increased to $0.7 billion at the end of June 2023.
Second Quarter 2023 Financial Results
Consolidated Income Statements
In million $ | 2022
Q2 | 2023
Q2 | Variances % |
| Exchange rate euro/dollar | 1.08 | 1.08 | 1% |
| Segment revenue | 240 | 289 | 20% |
| DDE | 195 | 142 | (27)% |
| Sensing & Monitoring | 45 | 146 | 222% |
| Segment Gross Margin | 93 | 112 | 20% |
| Segment EBITDAs | 126 | 104 | (17)% |
| DDE | 135 | 75 | (44)% |
| Sensing & Monitoring | (7) | 36 | 593% |
| Corporate | (1) | (4) | (551)% |
| Elim & Other | (1) | (2) | (127)% |
| Segment operating income | 66 | 77 | 17% |
| DDE | 83 | 57 | (31)% |
| Sensing & Monitoring | (15) | 28 | 288% |
| Corporate | (1) | (6) | (341)% |
| Elim & Other | (1) | (2) | (122)% |
| IFRS 15 adjustment | (7) | 5 | 165% |
| IFRS operating income | 59 | 82 | 39% |
| Equity from investments | (0) | (0) | (288)% |
| Net cost of financial debt | (25) | (26) | (5)% |
| Other financial income (loss) | (4) | 0 | 110% |
| Income taxes | (14) | (19) | (35)% |
| Net income / (loss) from continuing operations | 16 | 37 | 130% |
| Net income / (loss) from discontinued operations | 0 | 2 | - |
| IFRS net income / (loss) | 16 | 39 | 141% |
| Shareholder's net income / (loss) | 16 | 36 | 128% |
| Basic Earnings per share in $ | 0.02 | 0.05 | 119% |
| Basic Earnings per share in € | 0.02 | 0.05 | 136% |
Segment revenue was $289 million, up 20% pro-forma. The respective contributions from the Group’s businesses were 27% from GEO, 22% from EDA (49% for the DDE segment) and 51% from the SMO segment.
Segment EBITDAs was $104 million, down (17)% year-on-year, a 36% margin, due to business mix and ~$20 million delayed multi-client sales from end of June to early July.
Segment operating income was $77 million, up 17% year-on-year and a 27% margin. $37 million favorable EDA Net Book Value adjustements were recorded this quarter. IFRS 15 adjustment was $5 million and IFRS operating income was $82 million.
Cost of financial debt was $(26) million. Taxes were at $(19) million.
Net income from continuing operations was $37 million. Group net income was multiplied by 2.4 x year on year at $39 million / €(36) million.
Second Quarter 2023Cash Flow
Cash Flow items
In million $ | 2022
Q2 | 2023
Q2 | Variances % |
| Segment Operating Cash Flow | 76 | 57 | (25)% |
| CAPEX | (85) | (78) | (8)% |
| Industrial | (4) | (11) | 141% |
| R&D | (5) | (4) | (33)% |
| Earth Data (Cash) | (75) | (64) | (14)% |
| Marine Offshore | (75) | (64) | (14)% |
| Land Onshore | (0) | 0 | - |
| Proceeds from disposals of assets | 18 | (0) | (100)% |
| Segment Free Cash Flow | 9 | (20) | (317)% |
| Lease repayments | (12) | (13) | (13)% |
| Asset financing | 0 | 6 | - |
| Paid Cost of debt | (47) | (47) | - |
| Free cash flow from discontinued operations | (6) | (5) | 22% |
| Net Cash flow | (56) | (79) | (42)% |
| Financing cash flow | 2 | (1) | (185)% |
| Forex and other | (17) | (1) | 94% |
| Net increase/(decrease) in cash | (71) | (81) | (14)% |
| Supplementary information | | | |
| Change in working capital and provisions, included in Segment Operating Cash Flow | (42) | (45) | (9)% |
| | | | |
Total capex was $(78) million:
- Industrial capex was $(11) million
- R&D capex was $(4) million
- Earth Data cash capex was $(64) million
Segment free cash flow was $(20)million, including $(45)million negativechange in working capital, mainly from SMO ahead of a strong H2 activity.
After $(13) million lease repayments, $6 million asset financing, $(47) million cash cost of debt and $(5) million cash costs related to discontinued operations, Net Cash flow was $(79)million.
First Half 2023 Financial Results
Consolidated Income Statements
In million $ | YTD June 2022 | YTD June 2023 | Variances % |
| Exchange rate euro/dollar | 1.10 | 1.08 | (2)% |
| Segment revenue | 393 | 498 | 27% |
| DDE | 314 | 286 | (9)% |
| SMO | 79 | 212 | 168% |
| Elim & Other | 0 | (0) | - |
| Segment Gross Margin | 116 | 158 | 36% |
| Segment EBITDAs | 164 | 170 | 3% |
| DDE | 192 | 146 | (24)% |
| SMO | (19) | 35 | 283% |
| Corporate | (6) | (9) | (53)% |
| Elim & Other | (2) | (2) | - |
| Segment operating income | 61 | 90 | 48% |
| DDE | 105 | 82 | (22)% |
| SMO | (34) | 21 | 160% |
| Corporate | (7) | (10) | (35)% |
| Elim & Other | (3) | (3) | - |
| IFRS 15 adjustment | 9 | (2) | (120)% |
| IFRS operating income | 70 | 88 | 27% |
| Equity from investments | (0) | (0) | - |
| Net cost of financial debt | (50) | (50) | - |
| Other financial income (loss) | 3 | 3 | - |
| Income taxes | (23) | (21) | 10% |
| NRC (Tax & OFI) | 0 | 0 | - |
| Net income / (loss) from continuing operations | (0) | 21 | - |
| Net income / (loss) from discontinued operations | (2) | 2 | 199% |
| IFRS net income / (loss) | (2) | 23 | - |
| Shareholder's net income / (loss) | (2) | 20 | - |
| Basic Earnings per share in $ | (0.00) | 0.03 | - |
| Basic Earnings per share in € | (0.00) | 0.03 | - |
Segment revenue was $498 million, up 27% compared to H1 2022. The respective contributions from the Group’s businesses were 32% from Geoscience, 25% from Earth Data (57% for the DDE segment) and 43% from Sensing & Monitoring.
DDE segment revenue was $286 million, down (9)% year-on-year.
Geoscience revenue was $159 million, up 9% year-on-year.
Earth Data sales reached $127 million, down (24)% year-on-year. Prefunding revenue was $77 million, up 55% year-on-year. Earth Data cash capex was $(92) million, down (15)% year-on-year and cash prefunding rate at the end of June was 84%.
After-sales were $50 million, down (58)% or down (2)% when adjusted from transfer fees in H1 2022.
SMO segment revenue was $212 million, up 168% year-on-year.
Segment EBITDAs was $170 million, up 3% year-on-year, a low 34% margin, due to business mix. DDE EBITDA margin was 51% and Sensing & Monitoring EBITDA margin was 17%.
Segment operating income was $90 million, up 48% and a 18% margin.
IFRS 15 adjustment at operating income level was $(2) million and IFRS operating income, after IFRS 15 adjustment, was $88 million.
Cost of financial debt was $(50) million. The total amount of interest paid during H1 was $(45) million.
Other financial items were $3 million.
Taxes were at $(21) million.
Net income from continuing operations was $21 million.
H1 2023Group net income attributable to CGG’sshareholders was $23 million / €21 million.
Cash Flow
Cash Flow items
In million $ | YTD June 2022 | YTD June 2023 | Variances % |
| Segment Operating Cash Flow | 206 | 112 | (46)% |
| CAPEX | (127) | (131) | 3% |
| Industrial | (9) | (30) | 234% |
| R&D | (11) | (9) | (14)% |
| Earth Data (Cash) | (108) | (92) | (15)% |
| Marine Offshore | (107) | (92) | (14)% |
| Land Onshore | (1) | 0 | (100)% |
| Proceeds from disposals of assets | 17 | (0) | (101)% |
| Segment Free Cash Flow | 95 | (19) | (120)% |
| Lease repayments | (25) | (25) | - |
| Asset financing | 0 | 20 | - |
| Paid Cost of debt | (47) | (45) | 5% |
| Free cash flow from discontinued operations | (10) | (10) | 7% |
| Net Cash flow | 13 | (78) | (708)% |
| Financing cash flow | 2 | (0) | - |
| Forex and other | (17) | (0) | 99% |
| Net increase/(decrease) in cash | (2) | (78) | - |
| Supplementary information | | | |
| Change in working capital and provisions, included in Segment Operating Cash Flow | 48 | (49) | (202)% |
Segment operating cash flow was $112 million down (46)%, including $(49) million negative change in working capital & provisions.
Capex was $(131) million, up 3% year-on-year:
Industrial capex was $(30) million,
Research & development capex was $(9) million, down (14)% year-on-year,
Earth Data cash capex was $(92) million, down (15)% year-on-year.
Segment free cash flow was $(19) million.
After the payment of interest expenses of $(45) million, lease repayments of $(25) million, asset financing of $20 million and $(10) millon of cash flow from discontinued operations, Groupnet cash flow was $(78) million, compared to $13 million for the First half of 2022.
Balance Sheet
Group’s liquidity amounted to $220 million at the end of June, 2023. Cash liquidityincluding $95million undrawn RCF amounted to $315million.
Groupgross debtbefore IFRS16 was $1,189 million and net debt was $969million at the end of June, 2023.
Groupgross debtafter IFRS16 was $1,283 million and net debt was $1,063 million at the end of June, 2023.
Segment leverage ratio of Net debt to adjusted Segment EBITDAs was 2.6x at the end of June 2023.
Q22023 Conference call
- The press release and the presentation are available on our website www.cgg.com
- An English language analysts conference call is scheduled the same day at 6.30 pm (CET)
Participants should register for the call here to receive a dial-in number and code or participate in the live webcast from here.
A replay of the conference call will be made available the day after for a period of 12 months in audio format on the Company's website www.cgg.com.
About CGG
CGG (www.cgg.com) is a global technology and HPC leader that provides data, products, services and solutions in Earth science, data science, sensing and monitoring. Our unique portfolio supports our clients in efficiently and responsibly solving complex digital, energy transition, natural resource, environmental, and infrastructure challenges for a more sustainable future. CGG employs around 3,400 people worldwide and is listed on the Euronext Paris SA (ISIN: 0013081864).
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CONSOLIDATED FINANCIAL STATEMENTS
June30, 2023
Unaudited Interim Consolidated statements of operations
| | Six months ended June 30, |
| (In millions of US$, except per share data) | | 2023 | 2022 |
| Operating revenues | | 517.1 | 403.6 |
| Other income from ordinary activities | | 0.2 | 0.4 |
| Total income from ordinary activities | | 517.3 | 404.0 |
| Cost of operations | | (361.0) | (279.1) |
| Gross profit | | 156.3 | 124.9 |
| Research and development expenses - net | | (13.9) | (7.7) |
| Marketing and selling expenses | | (17.7) | (14.2) |
| General and administrative expenses | | (34.3) | (34.9) |
| Other revenues (expenses) - net | | (2.2) | 1.5 |
| Operating income (loss) | | 88.2 | 69.6 |
| Cost of financial debt - gross | | (53.0) | (51.0) |
| Income provided by cash and cash equivalents | | 3.3 | 0.7 |
| Cost of financial debt, net | | (49.7) | (50.3) |
| Other financial income (loss) | | 3.3 | 3.2 |
| Income (loss) before incomes taxes and share of income (loss) from companies accounted for under the equity method | | 41.8 | 22.5 |
| Income taxes | | (20.5) | (22.9) |
| Net income (loss) before share of income (loss) from companies accounted for under the equity method | | 21.3 | (0.4) |
| Net income (loss) from companies accounted for under the equity method | | (0.2) | - |
| Net income (loss) from continuing operations | | 21.1 | (0.4) |
| Net income (loss) from discontinued operations | | 1.9 | (2.0) |
| Consolidated net income (loss) | | 23.0 | (2.4) |
| Attributable to : | | | |
| Owners of CGG S.A | $ | 20.3 | (1.8) |
| Non-controlling interests | $ | 2.7 | (0.6) |
| Net income (loss) per share (a) | | | |
| Basic | $ | 0.03 | - |
| Diluted | $ | 0.03 | - |
| Net income (loss) from continuing operations per share (a) | | | |
| Basic | $ | 0.03 | - |
| Diluted | $ | 0.03 | - |
| Net income (loss) from discontinued operations per share (a) | | | |
| Basic | $ | - | - |
| Diluted | $ | - | - |
(a) Earning per share is presented as nil being less than US$0.01.
Unaudited Interim Consolidated statements of financial position
| (In millions of US$) | | June 30, 2023 | December 31, 2022 |
| ASSETS | | | |
| Cash and cash equivalents | | 220.0 | 298.0 |
| Trade accounts and notes receivable, net | | 311.6 | 308.3 |
| Inventories and work-in-progress, net | | 271.4 | 257.2 |
| Income tax assets | | 45.8 | 53.4 |
| Other current financial assets, net | | - | 0.1 |
| Other current assets, net | | 134.1 | 99.9 |
| Total current assets | | 982.9 | 1,016.9 |
| Deferred tax assets | | 17.9 | 24.2 |
| Other non-current assets, net | | 11.9 | 8.2 |
| Investments and other financial assets, net | | 17.3 | 18.4 |
| Investments in companies under the equity method | | 10.4 | 10.8 |
| Property, plant and equipment, net | | 185.0 | 167.3 |
| Intangible assets, net | | 591.4 | 554.2 |
| Goodwill, net | | 1,094.5 | 1,089.4 |
| Total non-current assets | | 1,928.4 | 1,872.5 |
| TOTAL ASSETS | | 2,911.3 | 2,889.4 |
| LIABILITIES AND EQUITY | | | |
| Financial debt – current portion | | 72.6 | 60.4 |
| Trade accounts and notes payables | | 111.5 | 92.0 |
| Accrued payroll costs | | 72.0 | 85.6 |
| Income taxes payable | | 25.0 | 27.2 |
| Advance billings to customers | | 28.5 | 29.4 |
| Provisions — current portion | | 16.1 | 17.6 |
| Other current financial liabilities | | 20.7 | 20.0 |
| Other current liabilities | | 198.1 | 222.1 |
| Total current liabilities | | 544.5 | 554.3 |
| Deferred tax liabilities | | 26.6 | 18.7 |
| Provisions — non-current portion | | 30.2 | 28.6 |
| Financial debt – non-current portion | | 1,210.1 | 1,188.8 |
| Other non-current financial liabilities | | 11.3 | 21.8 |
| Other non-current liabilities | | 11.1 | 18.4 |
| Total non-current liabilities | | 1,289.3 | 1,276.3 |
| Common stock: 1,098,322,743 shares authorized and 713,676,258 shares with a €0.01 nominal value outstanding at June 30, 2023 | | 8.7 | 8.7 |
| Additional paid-in capital | | 118.7 | 118.6 |
| Retained earnings | | 988.5 | 967.9 |
| Other Reserves | | 85.1 | 50.0 |
| Treasury shares | | (20.1) | (20.1) |
| Cumulative income and expense recognized directly in equity | | (2.6) | (3.4) |
| Cumulative translation adjustment | | (140.5) | (102.4) |
| Equity attributable to owners of CGG S.A. | | 1,037.8 | 1,019.3 |
| Non-controlling interests | | 39.7 | 39.5 |
| Total equity | | 1,077.5 | 1,058.8 |
| TOTAL LIABILITIES AND EQUITY | | 2,911.3 | 2,889.4 |
Unaudited Interim Consolidated statements of cash flow
| | | Six months ended June 30, |
| (In millions of US$) | | 2023 | 2022 |
| OPERATING ACTIVITIES | | | |
| Consolidated net income (loss) | | 23.0 | (2.4) |
| Less: Net income (loss) from discontinued operations | | (1.9) | 2.0 |
| Net income (loss) from continuing operations | | 21.1 | (0.4) |
| Depreciation, amortization and impairment | | 42.2 | 43.9 |
| Earth Data surveys impairment and amortization (a) | | 65.3 | 68.1 |
| Depreciation and amortization capitalized in Earth Data surveys (a) | | (7.8) | (7.9) |
| Variance on provisions | | (0.9) | 3.1 |
| Share-based compensation expenses | | 0.9 | 1.3 |
| Net (gain) loss on disposal of fixed and financial assets | | 0.1 | (4.8) |
| Share of (income) loss in companies recognized under equity method | | 0.2 | - |
| Other non-cash items | | (2.3) | (3.2) |
| Net cash-flow including net cost of financial debt and income tax | | 118.8 | 100.1 |
| Less : Cost of financial debt | | 49.7 | 50.3 |
| Less : Income tax expense (gain) | | 20.5 | 22.9 |
| Net cash-flow excluding net cost of financial debt and income tax | | 189.0 | 173.3 |
| Income tax paid | | (9.7) | (1.7) |
| Net cash-flow before changes in working capital | | 179.3 | 171.6 |
| Changes in working capital | | (67.0) | 34.1 |
| - change in trade accounts and notes receivable | | (34.9) | 113.7 |
| - change in inventories and work-in-progress | | (12.2) | (56.6) |
| - change in other current assets | | (13.6) | (4.9) |
| - change in trade accounts and notes payable | | 21.4 | 14.9 |
| - change in other current liabilities | | (27.7) | (33.0) |
| - Impact of changes in exchange rate on financial items | | 0.0 | |
| Net cash-flow from operating activities | | 112.3 | 205.7 |
| INVESTING ACTIVITIES | | | |
| Total capital expenditures (tangible and intangible assets) net of variation of fixed assets suppliers, excluding Earth Data surveys) | | (38.7) | (19.4) |
| Investment in Earth Data surveys | | (92.0) | (107.7) |
| Proceeds from disposals of tangible and intangible assets (a) | | - | 33.6 |
| Proceeds from divestment of activities and sale of financial assets | | - | 0.5 |
| Acquisition of investments, net of cash and cash equivalents acquired (b) | | (0.1) | (17.4) |
| Variation in loans granted | | - | - |
| Variation in subsidies for capital expenditures | | - | (0.1) |
| Variation in other non-current financial assets | | 0.5 | (3.2) |
| Net cash-flow used in investing activities | | (130.3) | (113.7) |
(a) Sale and leaseback of CGG headquarters in 2022
(b) Includes the acquisition of Geocomp Corporation in 2022
| | | Six months ended June 30, |
| (In millions of US$) | | 2023 | 2022 |
| FINANCING ACTIVITIES | | | |
| Repayment of long-term debt | | (0.8) | - |
| Total issuance of long-term debt | | 21.2 | - |
| Lease repayments | | (25.3) | (25.0) |
| Change in short-term loans | | - | - |
| Financial expenses paid | | (44.6) | (47.0) |
| Loan granted | | - | 1.7 |
| Net proceeds from capital increase: | | - | 0.4 |
| — from Owner of CGG | | - | 0.4 |
| — from non-controlling interests of integrated companies | | - | - |
| Dividends paid and share capital reimbursements: | | | |
| — to owners of CGG | | - | - |
| — to non-controlling interests of integrated companies | | (0.8) | (0.9) |
| Acquisition/disposal from treasury shares | | - | - |
| Net cash-flow provided by (used in) financing activities | | (50.3) | (70.8) |
| Effects of exchange rates on cash | | (0.1) | (13.1) |
| Impact of changes in consolidation scope | | - | - |
| Net cash flows incurred by discontinued operations | | (9.6) | (10.4) |
| Net increase (decrease) in cash and cash equivalents | | (78.0) | (2.3) |
| Cash and cash equivalents at beginning of year | | 298.0 | 319.2 |
| Cash and cash equivalents at end of period | | 220.0 | 316.9 |
Attachment
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