COSL (601808): Drilling plate elasticity highlights the continuous development of technical services

COSL (601808): Drilling plate elasticity highlights the continuous development of technical services

The 2019 interim report performance exceeded expectations in the first half of 2019, achieving operating income of 135.

6.3 billion, net profit attributable to mother 9.

7.3 billion, a year of losses.

Q1 / Q2 are 0 respectively.


4.2 billion, exceeding our and market expectations.

Both the technical service and equipment sectors performed well.

According to the total operating profit data of the sub-sectors disclosed by the company, segmentation services, technical services, geophysical prospecting, and ships were changed to +7 respectively.

600 million (turnaround), +700 million (122%), +2.

100 million (turnaround), +0.

5 billion (53%).

Drilling segment: The utilization rate elasticity has been reflected. It is worth looking forward to the company’s drilling platform utilization rate to continue to increase in 2020, and the daily revenue will turn positive for the first time.

The company’s drilling platform utilization rate reaches 80%, + 13pct per year; the average daily fee reaches 8.

$ 70,000 / day, ten years + 10%.

Utilization rate and daily fee are very flexible for company performance.

According to our calculations, the usage rate is + 10pct, and the company’s gross profit margin is about +6.

8%; daily fee + 10%, company gross margin is about +9.


The company expanded its production capacity by adding new leasing platforms. As of the reporting period, there were 52 operating platforms, which was +6 compared with the same period last year.

We believe that during the period when the supply and demand in the international market is loose (especially the jack-up platform) and the lease price is low, operating with a chartered ship rather than its own model will help reduce costs.

The international offshore drilling market is also picking up. The utilization rate of jack-up and semi-submersible type continues to rise. The daily fee is 上海夜网论坛 at the bottom of history. It is expected that the daily fee will increase in 2020.

Technical services sector: revenue, growth in profit growth, and overseas orders for generous technical services to achieve operating income.

6.6 billion, previously + 93%; total operating profit was 12.

800 million, previously + 122%.

The company’s global market share of cementing / cable logging / drilling fluids in 2018 were 4/6/7, all reaching the advanced level in the industry.

Since 2019, successive Indonesian cementing and workover contracts, Myanmar offshore cementing contracts, Indonesian conventional well cementing production increase service contracts, Indonesia cable logging service contracts, Indonesia wire operation service contracts, Myanmar offshore project cable logging and jettingHoles, casing service projects 深圳桑拿网 for local customers in Canada, and Mexican wireline logging service contracts.

Geophysical prospecting and ship segment: The geophysical prospecting has also improved and realized operating income9.

9.9 billion, previously + 105%; total operating profit was 0.

4.1 billion, previously turned losses.

Due to the conversion of the work area across international seas, the 2D acquisition workload slightly decreases each year; the 3D acquisition workload is +11 per second.

9%; submarine cable business increased rental equipment due to increasing customer demand, with an operating volume of +146.


Ships realized operating income of 15.

1.3 billion, + 18% a year; total operating profit 1.

3.4 billion, previously + 53%.

The calendar day utilization rate of the Group’s ship service business increases by 5 per year.

5 up to 94.
8%, affected by the increase in market demand, the number of chartered vessels increased, and the operation volume increased by +45.

Earnings forecast and forecast: Due to the better-than-expected 19Q2 performance, the performance forecast was raised to 2.5 / 38/47 billion yuan (previously 11).



600 million), EPS is 0.



99 yuan / share, the current sustainable corresponding PE is 20/13/10 times.

Upgrade from “overweight” to “buy”.

Risk reminder: Oil prices fall sharply, which will hurt the risk of oil companies ‘capital expenditure confidence; the risk that the company will gradually decrease and other equipment sectors