NEW YORK (TheStreet) -- Shares of Seadrill (SDRL) - Get Seadrill Ltd. Report are higher by 3.85% to $6.75 in pre-market trading on Thursday morning, after the offshore drilling contractor reported its 2015 second-quarter financial results.
Seadrill said earnings for the most recent quarter were 77 cents per diluted share. Analysts surveyed by Thomson Reuters had forecast for earnings of 63 cents per share.
Revenue for the period was $1.14 billion, just missing the $1.17 billion analysts were looking for.
Additionally, Seadrill announced that it will be delaying the delivery of 10 offshore oil rigs and drillships for up to two years, as it is expecting the challenging market conditions to last through next year,MarketWatchreports.
Oil prices have been on the decline for over a year due to a worldwide supply glut and over production.
The company is also planning to reduce or hold off spending in order to save $500 million this year, MarketWatch added.
Separately, TheStreet Ratings team rates SEADRILL LTD as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate SEADRILL LTD (SDRL) a HOLD. The primary factors that have impacted our rating are mixed – some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow."
You can view the full analysis from the report here: SDRL Ratings Report