Precision Drilling Q3 revenue up more than 50% from year ago as drilling ramps up

Precision Drilling Corp. says it misplaced $38 million in its newest quarter as drilling ramped up and income rose greater than 50 per cent in contrast with a yr in the past.

The Calgary-based firm says the loss amounted to $2.86 per diluted share for the yr ended Sept. 30, in contrast with a lack of $28.5 million or $2.08 per diluted share in the identical quarter final yr.

Income totalled $253.8 million within the firm’s third quarter, up from $164.8 million a yr earlier.

Precision, which is the most important drilling rig contractor within the nation, says on common it had 51 energetic drilling rigs in Canada within the quarter, up from 18 in the identical quarter final yr.

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Within the U.S., the corporate had on common 41 energetic drilling rigs within the quarter, up from 21 a yr earlier, whereas its worldwide drilling enterprise averaged six rigs, the identical as a yr in the past.

In its outlook, Precision says that at present commodity costs it expects increased demand for its providers and improved fleet utilization as clients look to take care of and replenish manufacturing ranges.

“We imagine present business fundamentals are offering probably the most promising backdrop for our enterprise that we’ve got skilled in nearly a decade,” Precision CEO Kevin Neveu mentioned in a press release.

“Robust oil and pure gasoline costs, a considerably improved Canadian market construction and quickly declining drilled however uncompleted effectively inventories all level to increased drilling exercise in our core markets.”

“Though we’re possible within the early innings, our agency bookings and present buyer inquiries point out considerably stronger demand for our providers and improved fleet utilization as this rebound continues.”