TGS reports interim financial results for Q3 2026.
Financial highlights:
- Revenues of USD 397 million driven by high contract activity, compared to USD 388 million in Q3 2025
- EBITDA of USD 222 million, including USD 41 million in gain from sale of the well data business, compared to USD 242 million in Q3 2025
- EBIT of USD 86 million, including USD 41 million in gain from sale of the well data business, compared to USD 94 million in Q3 2025
- Cost impacted by operational challenges
- Robust order inflow¹ of USD 357 million resulting in a total order backlog¹ of USD 679 million, a Y/Y increase of 52%
- Dividend of USD 0.155 per share to be paid in Q4 2026
'The third quarter saw strong contract activity across both the 3D streamer vessel fleet and the Ocean Bottom Node (OBN) operations, resulting in the highest contract revenues since the fourth quarter of 2024. Although a higher activity level led to year-over-year growth in revenue, margins were negatively impacted by a combination of higher costs, driven by operational challenges, and low contract pricing. Going forward we are pleased to see a stronger pipeline of streamer contract opportunities, with clients competing for available capacity on several occasions. This development gives us confidence that contract pricing will improve from 2027. In OBN, tendering activity continues to increase, reinforcing our expectation of higher activity levels next year.
Our order intake continues to be strong, supported by a healthy mix of new contract awards and multi-client projects during the quarter, bringing total backlog to USD 679 million, up 52% from Q3 last year. The streamer fleet is fully booked for the fourth quarter, and visibility has improved significantly compared with the same period last year, enabling us to optimize asset allocation. Given the increased volume of contract work in the pipeline, we have decided to defer certain multi-client projects. As a result, we now expect multi-client investments in 2026 to be approximately USD 510 million, compared with our previous guidance of approximately USD 550 million.
Sustained high oil prices have strengthened our customers’ cash flows, while a marked increase in acreage awards has created a growing inventory of areas yet to be evaluated and explored. Together, these developments are driving demand for high-quality seismic data and reinforce our confidence in the opportunities ahead,' says Kristian Johansen, CEO of TGS.
Source: TGS
