Transocean Misses Earnings Mark

Transocean (RIG 86.10, +0.19) reported third quarter earnings that missed the consensus estimate as decreased offshore drilling activity took a toll on results.

Transocean reported third quarter earnings of $2.65 per share, excluding nonrecurring items, $0.02 worse than the First Call consensus of $2.67.

Revenues fell 11.6% year-over-year to $2.82 billion; the consensus expected $2.85 billion.  The company said the decrease was primarily due to a $164 million reduction in revenue resulting from the stacking of rigs and decreased activity, partially offset by a $108 million increase in revenue due to the commencement of operations of two newbuild drillships and improvements in dayrates and revenue efficiency.