Transocean Ltd. reported net income attributable to controlling interest of $91 million, $0.23 per diluted share, for the three months ended March 31, 2017. First quarter 2017 results included net favorable items of $87 million, or $0.22 per diluted share as follows:
$77 million, $0.20 per diluted share, in discrete tax benefits;
$8 million, $0.02 per diluted share, related to favorable litigation matters; and
$2 million associated with gain on a rig disposal.
After consideration of these net favorable items, first quarter 2017 adjusted net income was $4 million, or $0.01 per diluted share. Contract drilling revenues for the three months ended March 31, 2017, decreased $55 million sequentially to $738 million due primarily to reduced activity and lower revenue efficiency. These decreases were partially offset by higher dayrates on the ultra-deepwater drillship Deepwater Invictus while working in the U.S. Gulf of Mexico, and a full quarter’s contribution from the company’s newbuild drillship Deepwater Conqueror.