Jack Ma: Story of Alibaba E-Commerce and Online Retail by GineersNow GineersNow Engineering Magazine Issue No. 013, Jac | Page 46

McDermott Releases Its
Financial and Operational
Results For The Year 2016
Fourth Quarter Order Intake Maintains
Leading Position in Middle East with 2016
Book-to-Bill of 1.0x
$4.3B in Backlog and Schedule
Responsiveness and Flexibility Drive Higher
Guidance
Profitable Full-Year 2016 Result of Strong
Execution and Focus on Cost Management
Proven Success of One McDermott Way
Strategic Investment in Amazon
Dubai, UAE – March 01 2017, McDermott
International, Inc. (NYSE:MDR) (“McDermott,” the
“Company,” “we” or “us”) today announced financial
and operational results for the fourth quarter and
full-year ended December 31, 2016.
FULL-YEAR 2016 OPERATING RESULTS
Net income attributable to McDermott stockholders,
in accordance with GAAP, for the full-year of 2016
was $34.1 million, or $0.12 per fully diluted share,
compared to a net loss of $18.0 million, or $0.08
per fully diluted share, for the full-year of 2015. For
the full-year 2016, adjusted net income was $89.4
million, or $0.31 per fully diluted share, excluding
restructuring charges of $11.3 million, impairment
charges of $55.0 million, a gain of $5.0 million on
the exit from our joint venture with THHE and a gain
of $5.4 million non-cash MTM pension adjustment,
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E-Commerce, Online Distribution and Management • March 2017
compared to adjusted net income of $71.2 million,
or $0.25 per adjusted fully diluted share, excluding
restructuring charges of $40.8 million, impairment
charges of $6.8 million, a legal settlement of $16.7
million and non-cash MTM pension loss of $26.0
million during the full-year of 2015. Our income
tax provision for the full-year of 2016 included
approximately $13.0 million of tax adjustments
recorded during the fourth quarter of 2016 as
a result of a change in valuation allowances
associated with deferred tax assets recognized due
to improving results in Saudi Arabia and Mexico.
Additionally, we now operate under a tax holiday
in Malaysia which further reduced income taxes in
2016 and will also benefit future years.
The Company reported revenues of $2,636.0
million for the full-year of 2016, a decrease of
$434.3 million, compared to $3,070.3 million of
2015 revenues. The decrease was primarily due
to lower activity on our INPEX Ichthys project and
completion of the 2015 campaign of the Brunei
Shell Pipeline Replacement project. Revenue for
the full-year of 2016 was primarily driven by the
INPEX Ichthys, Saudi Aramco LTA II and Marjan
power system replacement, and the RasGas Flow
Assurance and Looping projects.
Our operating income for the full-year of 2016
was $142.3 million, or an operating margin of
5.4%, compared to $112.7 million, or an operating
margin of 3.7%, for the comparable 2015 period.
Our adjusted operating income for the full-year of