Subsea7 posted a surge in second quarter profits on the back of higher revenues and the sale of NKT Flexibles to National Oilwell Varco.

Net income for the June quarter totaled $411 million for the three months to 30 June, up from $126 million during the same period a year ago.

Helping boost profits was a $220 million gain recognised on the sale of Subsea7’s share of NKT Flexibles earlier in the year.

The company also benefited from net foreign exchange gains of $44 million, compared to a net foreign exchange loss of $13 million a year earlier.

Revenues for the period increased to nearly $1.5 billion, up from $1.3 billion generated during the second quarter of 2011, which Subsea7 attributed to high activity levels in the North and Norwegian Seas, the Asia Pacific and the Middle East, partially offsetting lower activity levels in West Africa.

As of 30 June the company’s backlog stood at $8.3 billion, of which $2.6 billion it said was expected to be executed during the remainder of the year and another $3.7 billion expected to be carried out in 2013.

Looking ahead Subsea7 chief executive Jean Cahuzac gave a positive outlook for the remainder of the year.

“Our positive views on the market have not changed as we have not seen an impact from oil price volatility or macro-economic uncertainties on our clients’ plans, albeit we remain vigilant,” he said.

“We still expect the present high level of bidding activity to translate into market awards later this year, in particular in the North Sea, Africa and Brazil.”

Subsea7 noted that market award of some large subsea, umbilical, riser and flowline contracts had been delayed by a few months and as a result offshore execution of those projects was now expected to take place in 2014.