ION Geophysical Corporation

ION Geophysical — Q2 2017 Earnings Presentation

12 slides from ION Geophysical's earnings presentation, Aug 3, 2017

  1. Slide 1: ION Earnings Call – Q2 2017 Earnings Call Presentation

    ION Earnings Call – Q2 2017 Earnings Call Presentation August 3, 2017

  2. Slide 2: Corporate Participants and Contact Information

    Corporate Participants and Contact Information CONTACT INFORMATION If you have technical problems during the call, please contact DENNARD–LASCAR Associates at 713 529 6600. If you would like to view a replay of today's call, it will be available via webcast in the Investor Relations section of the C

  3. Slide 3: Forward-Looking Statements

    Forward-Looking Statements The information included herein contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results may vary fundamentally from those described in these forward-looking s

  4. Slide 4: ION Q2-17 Financial Highlights

    Revenues $M 4 • Revenues of $46M • Up 27% compared to Q2-16 • Up >50% excluding OBS Services • Up 41% sequentially to Q1-17 • 2H-17 expected to outperform 1H considering license round activity and customer purchasing patterns • Adjusted EBITDA of $14M versus $(3)M in Q2-16 • Fourth consecutive quart

  5. Slide 5: ION Q2-17 Highlights: E&P Technology & Services

    ION Q2-17 Highlights 5 E&P Technology & Services  Significant increase in new venture and data library revenues  Continue seeing strong demand for our 3D multi-client reimaging programs  New venture activity picking up, launched two programs in Q2 and expect to launch three programs in Q3  Imagi

  6. Slide 6: ION Q2-17 Highlights: E&P Operations Optimization and OBS Services

    ION Q2-17 Highlights 6 E&P Operations Optimization  Devices revenues increased due to new sales to non-traditional customers and from new offerings  Completed 50th deployment of Marlin, adding significant value to clients  Evaluating Marlin for adjacent markets, such as offshore wind and port man

  7. Slide 7: ION Financial Overview

    (1.85) (.88) $(2.00) $(1.50) $(1.00) $(0.50) $- Adjusted EPS Q2-16 7 ION Financial Overview Q2-17 Summary $- $10 $20 $30 $40 $50 Q2-16 Q2-17 36 46 27% OBS Services E&P Ops E&P T&S Revenue $M • Revenues up 27% vs Q2-16 • E&P Technology & Services up 82% • E&P Operations Optimization up 9% • No OBS Se

  8. Slide 8: ION Financial Overview: Cash Flow

    Q2-16 Q2-17 1H-16 1H-17 Net income (loss) (25.3)$ (10.0)$ (60.3)$ (33.0)$ Non-cash adjustments 16.2 18.5 29.8 36.2 Working capital (5.8) (6.9) 18.2 0.5 Cash from operations (14.8) 1.7 (12.3) 3.6 Multi-client investment (2.3) (5.1) (8.6) (8.5) PP&E capital expenditures (0.1) (0.9) (0.3) (0.9) Net cas

  9. Slide 9: R&D Programs Key to Positioning ION for Recovery

    R&D Programs Key to Positioning ION for Recovery 9 VSO 1st Generation VSO 2nd Generation VSO 3rd Generation Next Gen OBS System 2016 2004 2007 2006 2018 EQUIPMENT SUPPLIER SOLUTION PROVIDER TO E&P COMPANIES VSO 4th Generation 4Sea Next Generation Nodal System SailWing Innovative foil diverter

  10. Slide 10: Summary

    Summary  Over the last 18 months, we have targeted opportunities less dependent on cycle recovery and we are starting to see these efforts pay off – Selecting specific geographic areas – Focusing on production optimization offerings – Commercializing unique and differentiated technologies We are a

  11. Slide 11: Q&A

    11 Q&A

  12. Slide 12: Charged to innovate. Driven to solve.

    10M +>Charged to innovate. Driven to solve.

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