Bank of America Securities: Raise target price of China Oilfield Services (02883.HK) to 8.2 Hong Kong dollars. Third quarter performance exceeds expectations.

According to the Securities Times APP, Bank of America Securities released a research report stating that CNOOC Oilfield Services (02883.HK) recorded a net profit of 3.21 billion RMB in the first three quarters, a year-on-year increase of 31%. The net profit for the third quarter was 1.246 billion RMB, a year-on-year increase of 46% and a quarterly increase of 16%, performing better than expected. The third quarter revenue was 11.5 billion RMB, a year-on-year increase of 4% and a quarterly decrease of 8%, in line with expectations. The slowdown in revenue growth was mainly due to the slowing pace of oilfield service expansion. Meanwhile, drilling services contributed significantly, benefiting from the execution of high day rates in the North Sea contracts and increased utilization of drilling platforms. Bank of America Securities has raised its target price for CNOOC Oilfield Services from 8 Hong Kong dollars to 8.2 Hong Kong dollars, with a neutral rating.