Wall street didn't seemed too impressed either today
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The End is Near!
http://www.oceaneering.com/22181/oceaneering-announces-rod-larson-succeed-kevin-mcevoy-ceo/
It does not make sense to expand a product line at the expense of the tried and true. Understand the end result but not the timing or waste. Management style is confusing..600 million on non performing additions with no timeline of redemption. 230 million on survey with NO BUILDINGS and dismantled, no real leaders or experience left. The last hit was confusing as it left some porch sitters but razed worker bees. Makes more sense to hire knowledgable, experienced survey personnel in house. Other product lines probably the same. If and when the work returns, the staff will be woefully inadequate and inexperienced. Scary times for all.
"One year ago, on our fourth quarter and year-end 2015 earnings call, I talked to you about what a tough year 2015 was and with such limited visibility we could not predict how weak 2016 might actually be. Well, one year later, with 2016 in our rearview mirror, we can hardly wait to welcome back those tough times we experienced in 2015"
"We really did not foresee the extent of this precipitous drop caused by a major reduction of activity levels and pricing across all of our oilfield operating segments. Regardless, we are very pleased that during the year, we were able to adjust our cost structure to remain profitable between all of our operating segments and continue to generate a substantial amount of free cash flow. Today, we still have limited visibility and activity levels continue to indicate a downward trajectory, with customer offshore spending levels still being curtailed or even lower. Consequently, we are forecasting a further decline in our profitability or operating margins for 2017"
So to maintain "Profitability" reductions in force were required-though OII continued to "Acquire" Product Lines to the Tune of approx 600million.
More "reductions" to follow.