CGG Announces its 2019 Fourth Quarter Results

Strong Q4 2019: 18% segment operating income margin and $26m net income

Strong Operational Performance & High Cash Generation in 2019

2020: Reinforcing our leadership position 

Well on-track for our 2021 financial targets 

PARIS, France – November 6, 2019 – CGG (ISIN: FR0013181864 – NYSE: CGG), world leader in Geoscience, announced today its 2019 third quarter unaudited results.

Commenting on these results, Sophie Zurquiyah, CGG CEO, said:“During 2019, while delivering a strong financial performance, we achieved several key milestones on our strategic path to becoming a People, Data, Technology company. For 2020, we plan to grow our investments to further increase our technology differentiation and build the foundation for our future sustainable growth, however we will adapt our plans to market conditions. Moving forward, we expect to continue generating significant cash. I am confident that with our new technology-driven business model, we are on track to achieving our 2021 strategic and financial targets."

Q4 2019: Results in line with expectations

  • IFRS figures: revenue at $426m, OPINC at $74m, net income at $26m
  • Segment revenue at $396m, down 9% year-on-year
    • Geoscience: stable activity supported by high-end projects
    • Multi-client: solid level of after-sales despite a very high Q3 2019 
    • Equipment: 15% year-on-year growth driven by robust sales on land equipment deliveries
  • Segment EBITDAs at $206m, down 12% year-on-year , a high 52% margin driven by solid profitability of all businesses
  • Segment operating income at $72m, including $(33)m impairment of the multi-client library, a high 18% operating income margin
  • Net Income from new profile at $63m
  • Net Cash Flow of $6m

Full Year 2019: Strong Revenue and EBITDA growth year-on- year

  • IFRS figures: revenue at $1,356m, OPINC at $244m, net loss at $(61)m
  • Segment revenue at $1,400m, up 14% year-on-year 
  • Segment EBITDAs at $721m, up 30% year-on-year, a 51% margin
  • Segment operating income at $247m, up 74% year-on-year, a 18% margin
  • Net Income from new profile at $126m

High Cash Generation with Strong Financial Position at year-end 2019

  • FY 2019 new profile segment Free Cash Flow of $434m, before cost of debt and including a positive change in working capital and provisions of $58m
  • FY 2019 Net Cash Flow of $186m after multi-client cash capex at $(186)m with cash prefunding rate of 118% and Industrial and R&D capex at $(75)m
  • Net debt of $584m before IFRS 16 at the end of December, cash liquidity of $610m
  • Leverage ratio Net Debt/ EBITDAs at 0.9x (before IFRS 16)

2020 Guidance: Increased Investment to Reinforce Leadership Position

  • Mid-single digit Segment Revenue growth compared to 2019, excluding one-off transfer fees of $50m, assuming limited impact of the Coronavirus (COVID-19). We continue to monitor the situation and potential impact on our business as our clients might re-evaluate their plans in the context of oil price volatility 
  • EBITDAs margin stable at around 50% compared to 2019, excluding positive impact  of one-off transfer fees
  • OPINC margin stable at around 15% compared to 2019, excluding positive impact of one-off transfer fees and including higher multi-client amortization of around $350m
  • Investments of $365-400m, a $100-125m$ increase year-on-year
    • Multi-client cash capex at $275-300m with cash prefunding rate above 75%, sustained by a solid pipeline of well-prefunded multi-clients programs
    • Industrial and R&D capex at $90-100m 
  • Solid cash generation, with segment Free Cash Flow in the range of $175-200m, including $100-125m increase in investments and negative change in working capital of c. $(80)m reflecting return to usual seasonality profile with strong Q4 multi-client and equipment sales
  • Positive Net Cash Flow including $(70)m Plan 2021 cash costs and cash costs of debt

Post closing events:

  • Marine acquisition exit: on January 8 2020, CGG announced that it has completed exit from marine acquisition business by closing its strategic partnership transaction for marine seismic acquisition with Shearwater GeoServices Holding AS (Shearwater). 
  • Land acquisition wind down: on February 18 2020, CGG announced that it has fully withdrawn from the land seismic data acquisition business after completing its last land seismic acquisition contract in Tunisia.
  • Multi-Physics acquisition: Memorandum of Understanding signed early February.


Q4 2019 Conference Call

  • An English language analysts conference call is scheduled the same day at 8:00 am (Paris time) – 7:00 am (London time)
  • To follow the conference call, please access the audio webcast:

From your computer at:

From your mobile phone or tablet:

QR code Q3

A replay of the conference call will be made available the day after for a period of 12 months via the webcast on CGG website at: or via the QR code attached above.

For analysts, please dial 5 to 10 minutes prior to the scheduled start time the following numbers:

France call-in +33(0) 1 76 70 07 94
UK call-in +44(0) 844 571 8892
US call-in +1 631-510-7495
Access Code 1566959


Download Full Press Release (PDF, 240KB, 21 pages)

Download Presentation (PDF)

About CGG

CGG ( is a global geoscience technology leader. Employing around 4,600 people worldwide, CGG provides a comprehensive range of data, products, services and equipment that supports the discovery and responsible management of the Earth’s natural resources. CGG is listed on the Euronext Paris SA (ISIN: 0013181864).


Group Communications & Investor Relations
Investors - Board & Committees

Board & Committees

The operating procedure of the Board is governed by the Internal Rules and Regulations of the Board of Directors.

Investors - Socially Responsible Investing

Socially Responsible Investing

CGG is committed to Sustainable Development and Corporate Social Responsibility through a balanced approach to economic development, social progress and responsible environmental management.

Investors - Shareholder Information

Shareholder Information

Our aim is to build a rebalanced geoscience group that is firmly anchored in its unique and high-tech positions in Equipment, Imaging-Reservoir and high-end Data Acquisition.

CGG Worldwide


Investor Contacts


Contacts for further information regarding investors.