TGS reports interim financial results for Q1 2026.
Financial highlights:
- Revenues of USD 321 million driven by high multi-client activity, but with delayed funding commitment for one large project
- Robust cash flow – net debt reduced further to USD 425 million
- High streamer vessel utilization of 91% and solid multi-client activity level
- Order inflow of USD 392 million resulting in a total order backlog of USD 779 million, the highest since 2019
- Solid balance sheet allows for stable dividend payment of USD 0.155 per share to be paid in Q2 2026
- 2026 guidance maintained:
- Multi-client investment in the range of USD 500-575 million
- Capex at approximately the same level as in 2025
- Gross operating cost of approximately USD 950 million
- Significant increase in vessel utilization driven by high multi-client activity - OBN activity expected to be in-line with 2025
'The first quarter of 2026 was characterized by high multi-client investment activity, reflecting our confidence in the long-term value creation potential in the multi-client business model. We invested USD 178 million during the quarter and allocated the majority of our asset capacity to multi-client projects. While multi-client sales came in below our expectations due to delays in finalizing pre-funding commitments for a survey in Brazil, we continue to see solid client engagement and expect these discussions to conclude prior to completion of acquisition.
We delivered a strong order intake of USD 392 million during the quarter, increasing our backlog to USD 779 million at quarter end. This provides improved visibility into future revenues and underlines the resilience of our integrated business model. Our net cash flow of USD 29 million reflects a continued strong focus on cost discipline and capital efficiency while maintaining a high level of strategic investment.
The long-term outlook for oil and gas exploration continues to improve. High oil prices, increased geopolitical uncertainty and a strengthened focus on reserve replacement are driving renewed interest in exploration activity. With a high-quality data library, strong balance sheet and disciplined capital allocation, we are well positioned to capture opportunities and create long-term value for our shareholders,' says Kristian Johansen, CEO of TGS.
Management presentation
CEO Kristian Johansen and CFO Sven Børre Larsen will present the results at 09:00 a.m. CEST. The presentation will be webcasted live.
Access and registration for webcast attendees are available by copying and pasting the link below into your browser, or use the link on the front page of www.tgs.com:
https://qcnl.tv/p/pn1GEWpA8P1HxeStvx42kQ
Source: TGS
