================================================================================
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
------------------------
FORM 10-Q/A
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
FOR THE PERIOD ENDED JUNE 30, 1999
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
COMMISSION FILE NUMBER: 0-23653
------------------------
HORIZON OFFSHORE, INC.
(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)
DELAWARE 76-0487309
(STATE OR OTHER JURISDICTION OF (I.R.S. EMPLOYER
INCORPORATION OR ORGANIZATION) IDENTIFICATION NO.)
2500 CITYWEST BOULEVARD, SUITE 2200
HOUSTON, TEXAS 77042
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES)
(ZIP CODE)
(713) 361-2600
(REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15 (d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. YES [X] NO [ ]
The number of shares of the registrant's Common Stock outstanding as of
August 12, 1999 was 18,800,980.
================================================================================
<PAGE>
PART I -- FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
HORIZON OFFSHORE, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS, EXCEPT SHARE AND PER SHARE DATA)
JUNE 30, DECEMBER 31,
1999 1998
----------- ------------
(UNAUDITED)
ASSETS
CURRENT ASSETS:
Cash and cash equivalents.......... $ 7,641 $ 9,649
Accounts receivable --
Contract receivables.......... 16,651 25,549
Costs in excess of billings... 14,183 9,546
Related parties............... 136 82
Income taxes receivable............ 481 481
Other current assets............... 618 642
----------- ------------
Total current assets.......... 39,710 45,949
PROPERTY AND EQUIPMENT, net............. 158,822 145,680
OTHER ASSETS............................ 6,085 2,040
----------- ------------
$ 204,617 $193,669
=========== ============
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable................... $ 3,206 $ 7,654
Accrued liabilities................ 3,582 5,086
Accrued job costs.................. 10,162 10,334
Billings in excess of costs........ 1,578 2,608
Current maturities of long-term
debt.............................. 9,694 7,606
----------- ------------
Total current liabilities..... 28,222 33,288
LONG-TERM DEBT, net of current
maturities............................ 74,722 62,268
DUE TO RELATED PARTIES.................. 32 20
DEFERRED INCOME TAXES................... 4,500 3,633
----------- ------------
Total liabilities............. 107,476 99,209
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY:
Preferred stock, $1 par value,
5,000,000 shares authorized,
none issued and outstanding...... -- --
Common stock, $1 par value,
35,000,000 shares authorized,
19,826,480 shares issued at June
30, 1999 and December 31, 1998... 9,119 9,119
Additional paid-in capital......... 87,891 87,767
Retained earnings.................. 6,857 5,156
Treasury stock, 1,025,500 shares at
June 30, 1999 and 1,155,000 shares
at December 31, 1998.............. (6,726) (7,582)
----------- ------------
Total stockholders' equity.... 97,141 94,460
----------- ------------
$ 204,617 $193,669
=========== ============
The accompanying notes are an integral part of these consolidated financial
statements.
2
<PAGE>
HORIZON OFFSHORE, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
(IN THOUSANDS, EXCEPT SHARE AND PER SHARE DATA)
<TABLE>
<CAPTION>
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30, JUNE 30,
------------------------------ ------------------------------
1999 1998 1999 1998
-------------- -------------- -------------- --------------
<S> <C> <C> <C> <C>
CONTRACT REVENUES.................... $ 23,437 $ 34,311 $ 35,793 $ 52,922
COST OF CONTRACT REVENUES............ 16,603 25,520 26,693 38,747
-------------- -------------- -------------- --------------
Gross profit.................... 6,834 8,791 9,100 14,175
SELLING, GENERAL AND ADMINISTRATIVE
EXPENSES........................... 2,129 1,803 4,470 3,742
-------------- -------------- -------------- --------------
Operating income................ 4,705 6,988 4,630 10,433
OTHER INCOME (EXPENSE):
Interest expense................ (1,508) (380) (2,467) (1,214)
Interest income and other....... 302 70 405 103
-------------- -------------- -------------- --------------
NET INCOME BEFORE INCOME TAXES....... 3,499 6,678 2,568 9,322
PROVISION FOR INCOME TAX............. 1,194 1,879 867 1,879
-------------- -------------- -------------- --------------
NET INCOME........................... $ 2,305 $ 4,799 $ 1,701 $ 7,443
============== ============== ============== ==============
NET INCOME PER SHARE -- BASIC AND
DILUTED............................ $ 0.12 $ 0.24 $ 0.09 $ 0.44
============== ============== ============== ==============
SHARES USED IN COMPUTING NET INCOME
PER SHARE --
BASIC AND DILUTED.................. 18,870,580 19,608,607 18,768,758 16,935,596
</TABLE>
The accompanying notes are an integral part of these consolidated financial
statements.
3
<PAGE>
HORIZON OFFSHORE, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
(IN THOUSANDS)
SIX MONTHS ENDED
JUNE 30,
----------------------
1999 1998
---------- ----------
CASH FLOW FROM OPERATING ACTIVITIES:
Net income ........................ $ 1,701 $ 7,443
Adjustments to reconcile net income
to net cash provided by
operating activities --
Depreciation and amortization... 3,361 1,515
Deferred income taxes........... 867 1,102
Changes in operating assets and
liabilities --
Accounts receivable........... 8,844 (9,491)
Costs in excess of billings... (4,637) (17,256)
Billings in excess of costs... (1,030) 408
Other current assets.......... 24 (458)
Accounts payable.............. (4,448) (305)
Accrued liabilities........... (1,504) 9,398
Accrued job costs............. (172) 12,534
Accrued interest.............. -- (673)
Due to related parties........ 12 --
Income taxes payable.......... -- 511
---------- ----------
Net cash provided by
operating activities.... 3,018 4,728
CASH FLOW FROM INVESTING ACTIVITIES:
Purchases and additions to
equipment....................... (15,240) (55,768)
Drydock costs...................... (4,060) (601)
Purchase of other assets........... (250) 96
---------- ----------
Net cash used in investing
activities.............. (19,550) (56,273)
CASH FLOW FROM FINANCING ACTIVITIES:
Borrowings under notes payable and
long-term debt.................. 18,800 13,954
Loan fees.......................... -- (792)
Principal payments on long-term
debt............................ (4,258) (24,232)
Issuance of common stock........... -- 950
Initial public offering proceeds,
net............................. -- 68,814
Purchase of treasury stock......... (18) --
---------- ----------
Net cash provided by
financing activities.... 14,524 58,694
---------- ----------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS................... (2,008) 7,149
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD................ 9,649 2,846
---------- ----------
CASH AND CASH EQUIVALENTS AT END OF
PERIOD............................. $ 7,641 $ 9,995
========== ==========
SUPPLEMENTAL DISCLOSURES:
Cash paid for interest............. $ 2,967 $ 1,914
Cash paid for income taxes......... $ -- $ 265
Non-cash investing and financing
activities:
Purchase and additions to
equipment with the issuance of
notes payable.................. $ -- $ 24,097
Purchase and additions to
equipment with the issuance of
treasury stock................. $ 998 $ --
The accompanying notes are an integral part of these consolidated financial
statements.
4
<PAGE>
SIGNATURE
PURSUANT TO THE REQUIREMENTS OF THE SECURITIES EXCHANGE ACT OF 1934, THE
REGISTRANT HAS DULY CAUSED THIS REPORT TO BE SIGNED ON ITS BEHALF BY THE
UNDERSIGNED THEREUNTO DULY AUTHORIZED.
HORIZON OFFSHORE, INC.
By: /s/DAVID W. SHARP
DAVID W. SHARP
EXECUTIVE VICE PRESIDENT AND
CHIEF FINANCIAL OFFICER
Date: August 25, 1999
5
