Core Lab Reports First Quarter 2019 Results From Continuing Operations:

In South America, as robust activity continues for Core in development programs offshore Guyana, opportunities continue to emerge in Brazil. Core completed a fully integrated, multi-disciplinary study of Brazil's North Eastern Offshore Basin. This comprehensive, multi-client, interpretive study and dataset compilation incorporates stratigraphy, geochemistry, reservoir geology and seal rock analysis across the Jequitinhonha, Almada, Camamu and Sergipe-Alagoas Atlantic Margin basins. This study provides the participating companies access to a rock-based, subsurface dataset to evaluate new opportunities, including the deepwater Late Cretaceous turbidite plays in the Sergipe-Alagoas Basin.

In the first quarter 2019, Core Lab, under the direction of Talos Energy, was engaged in wellsite processing, core stabilization, and the initial stages of laboratory analyses on over 700 feet of conventional core from the Zama-2DEL ST01 delineation well, located in Block 7 of the Sureste Basin, GOM.  High-quality, whole core was recovered from shallow, oil-bearing sands for comprehensive laboratory evaluation.  Several proprietary core preservation and stabilization technologies developed by Core Laboratories for a wide range of sandstone reservoirs in the U.S. GOM have been successfully applied to these cores cut offshore Mexico.   These wellsite technologies are critical for preserving intrinsic rock properties, thus eliminating damage during handling and transportation to the laboratory.  Upon arrival at the laboratory, these cores were immediately scanned using Core's proprietary, non-invasive, Dual Energy Computed Tomography and high-resolution Spectral Gamma Ray detectors. These surface logging tools provided Talos Energy with lithology, as well as a wide range of critical physical parameters for pay assessment, well in advance of results derived from time-honored laboratory analyses.

The combined efforts of U.S.- and Mexico-based Talos Energy and Core Lab employees were leveraged in fast tracking results to evaluate this significant oil reservoir.  Core is pleased to have been part of this unprecedented wellsite achievement and looks forward to completing the detailed geoscience and engineering studies.

Production Enhancement

Production Enhancement operations, largely focused on complex completions in unconventional tight-oil reservoirs in the U.S. and conventional offshore development projects, posted first quarter 2019 revenue of $65,900,000; GAAP operating income was $9,900,000, while operating income, ex-items, was $12,400,000, yielding operating margins, ex-items, of 19%.  Production Enhancement's sequential operating margin improvement is directly correlated to Core's clients' adoption of high-end perforating system energetics.

Since Core's third quarter 2018 announcement of the Ballistic Delivery System (BDS)™ and the Select Fire Switch (SFS)^TM, Core's client adoption of both the advanced wellbore communication system and the associated downhole instrumentation has been positive. The Ballistic Delivery System (BDS)™ and the Select Fire Switch (SFS)^TM are key differentiators of Core's pre-assembled GoGun^TM Adaptive Perforating System.  In addition to these two technologies, the GoGun^TM Adaptive Perforating System provides an open architecture design.  This allows for optimal utilization of perforating energetics and, importantly, the onsite flexibility of altering completion designs for greater wellsite efficiency and improved Stimulated Reservoir Volume ("SRV"). Core has partnered with technologically sophisticated clients committed to using the system. The primary objective of any pre-assembled perforating system is to efficiently and reliably deliver the energetic shaped charges that are the backbone of any perforating event.  Consequently, Core Lab's unique, best-in-class, high-end energetics, such as the HERO^® PerFRAC, will differentiate the pre-assembled energetic system product from others offered in the market.

Core's proprietary diagnostic services continue to provide valuable data to operators in their efforts to optimize well spacing and the design of well completions in unconventional reservoirs.  During the first quarter of 2019, Core collaborated with an operating company in the Niobrara formation located in the DJ Basin.  The field program was designed to optimize completions across multiple zones, within a stacked pay zone environment. By utilizing Core's proprietary FLOWPROFILER™ technology, along with drill cuttings analyses expertise from Reservoir Description, Core provided data to pinpoint geologic variability that was inhibiting production along the lateral.  The diagnostic analysis indicated certain segments of the lateral possessed flow capacity, but had low hydrocarbon yield.  When the FLOWPROFILER™ data was plotted using nSIGHT™, Core's proprietary, 3D, interactive reservoir interpretation software, this signature repeated in other boreholes of the multi-well pad.  These results indicate that the low yield intervals were influenced by geology rather than completion factors.   This comprehensive evaluation by Core provided the operator with the knowledge and confidence to focus future completion designs on the most cost effective pay zones.

Core continues to see increasing utilization and increasing market share for the SPECTRASTIM^TM and SPECTRASCAN^® technologies in the Canadian market, as operators evaluated the various options for their completion designs. The results of these studies continue to highlight the advantages of plug and perf completions, versus sliding sleeve methods, for maximizing SRV.

Free Cash Flow, Dividends and Share Repurchases

During the first quarter of 2019, Core continued to generate FCF, with cash from operations of $25,200,000 and capital expenditures of $5,200,000, yielding FCF of $20,000,000. This free cash was returned to Core's shareholders via the Company's regular quarterly dividend.  The first quarter of 2019 also marks the 70^th consecutive quarter that the Company generated positive FCF.  Core continues its commitment to investment for growth and generating FCF that is returned to shareholders via the Company's regular quarterly dividend and future opportunistic share repurchases. 

On 15 January 2019, the Board announced a quarterly cash dividend of $0.55 per share of common stock, which was paid on 15 February 2019 to shareholders of record on 25 January 2019. Dutch withholding tax was deducted from the dividend at a rate of 15%.

On 16 April 2019, the Board announced a quarterly cash dividend of $0.55 per share of common stock, payable in the second quarter of 2019. The quarterly cash dividend will be payable on 21 May 2019 to shareholders of record on 26 April 2019. Dutch withholding tax will be deducted from the dividend at a rate of 15%.

Return On Invested Capital

Core Lab's ROIC of 20.1% is the highest of the peer group compiled and reported by Bloomberg.  The Company's Board has established an internal performance metric of achieving a leading relative ROIC performance compared with the oilfield service companies listed as Core's Comp Group by Bloomberg. The Company and its Board believe that ROIC is a leading long-term performance metric used by shareholders to determine the relative investment value of publicly traded companies. Further, the Company and its Board believe that shareholders will benefit if Core consistently performs at high levels of ROIC relative to its Comp Group. 

According to the latest Comp Group financial information from Bloomberg, Core's ROIC is the highest of any comparably-sized oilfield service company (greater than $2 billion market capitalization). Comp Group companies listed by Bloomberg include:  Halliburton, Schlumberger, National Oilwell Varco, RPC, TGS-Nopec Geophysical, and John Wood Group, among others.  Core Lab is one of only four of the 16 companies listed in the Comp Group posting ROIC that exceeded their Weighted Average Cost of Capital ("WACC").  Core's ratio of ROIC to WACC is the highest of any company in the Comp Group.

Second Quarter 2019 Revenue and EPS Guidance

During the first quarter of 2019, the worldwide crude-oil market shifted into a supply correction, which increased crude oil prices more than 30%, sequentially.  Additionally, global crude-oil inventories exited the first quarter of 2019 at approximately 39 days of consumption, consistent with a multi-year trend of declining global crude-oil inventories relative to demand.  The International Energy Agency's most recent estimated worldwide demand projections for 2019 remain strong, with demand anticipated to increase by 1,400,000 barrels of oil per day.

The recent rebound in crude oil prices is underpinned by the rebalancing of crude oil supply and demand, and continues to support a broad-based, international oilfield recovery.  The emergence of this trend is reflected in the actions taken by operators who have announced Final Investment Decisions ("FIDs") since 2017. These projects are in the beginning phase of development, as indicated by the increase in rigs and other heavy oilfield equipment now coming under contract, particularly in the Middle East, Asia Pacific, the North Sea and Russia regions.  Additionally, the international rig count continues to improve since bottoming in the fourth quarter of 2016 and showing sluggish behavior during 2017 and 2018.  The Company believes that 2019 international growth is expected to reach mid to high single-digit levels.

As has been the case in past industry recoveries of worldwide operating activities, Core's company-wide revenue growth and margin expansion is not immediately correlated to increasing rig counts, but to subsequent completion and stimulation events and large-scale reservoir rock and reservoir fluid characterization projects. Wells need to be drilled, rocks and reservoir fluid sampled, and wells completed before Core realizes a revenue opportunity.

The average second quarter 2019 U.S. rig count is projected to be down, but U.S. completion activity is expected to be flat, sequentially. Capital conservatism by operators may limit activity growth in the second quarter of 2019.

Therefore, Core expects consolidated second quarter 2019 revenue of approximately $172,000,000 to $175,000,000 and operating income of approximately $28,500,000 to $30,000,000, yielding operating margins of 17%, with incremental margins, ex-items, exceeding 50%. Using a comparable sequential effective tax rate of 15%, EPS for the second quarter of 2019 is expected to be approximately $0.47 to $0.50.  The Company's second quarter 2019 guidance is based on projections for the underlying operations and excludes gains and losses in foreign exchange.

Earnings Call Scheduled

The Company has scheduled a conference call to discuss Core's first quarter 2019 earnings announcement. The call will begin at 7:30 a.m. CDT / 2:30 p.m. CEST on Thursday, 25 April 2019. To listen to the call, please go to Core's website at www.corelab.com.

Core Laboratories N.V. (www.corelab.com) is a leading provider of proprietary and patented reservoir description and production enhancement services and products used to optimize petroleum reservoir performance.  The Company has over 70 offices in more than 50 countries and is located in every major oil-producing province in the world. This release, as well as other statements we make, includes forward-looking statements regarding the future revenue, profitability, business strategies and developments of the Company made in reliance upon the safe harbor provisions of Federal securities law. The Company's outlook is subject to various important cautionary factors, including risks and uncertainties related to the oil and natural gas industry, business conditions, international markets, international political climates and other factors as more fully described in the Company's most recent Forms 10-K, 10-Q and 8-K filed with or furnished to the Securities and Exchange Commission.  These important factors could cause the Company's actual results to differ materially from those described in these forward-looking statements. Such statements are based on current expectations of the Company's performance and are subject to a variety of factors, some of which are not under the control of the Company. Because the information herein is based solely on data currently available, and because it is subject to change as a result of changes in conditions over which the Company has no control or influence, such forward-looking statements should not be viewed as assurance regarding the Company's future performance. The Company undertakes no obligation to publicly update or revise any forward looking statement to reflect events or circumstances that may arise after the date of this press release, except as required by law.

Visit the Company's website at www.corelab.com. Connect with Core Lab on Facebook, LinkedIn and YouTube.

CORE LABORATORIES N.V. & SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(amounts in thousands, except per share data)
(Unaudited)
		Three Months Ended												% Variance
		March 31, 2019				December 31, 2018				March 31, 2018				vs. Q4-18				vs. Q1-18
REVENUE		$	169,194			$	173,207			$	170,018			(2.3)%				(0.5)%
OPERATING EXPENSES:
Costs of services and sales			127,383				125,694				119,318			1.3%				6.8%
General and administrative expenses			17,437				24,721				12,709			(29.5)%				37.2%
Depreciation and amortization			5,587				5,721				5,818			(2.3)%				(4.0)%
Other (income) expense, net			2,373				(907)				(143)			NM				NM
Total operating expenses			152,780				155,229				137,702			(1.6)%				10.9%
OPERATING INCOME			16,414				17,978				32,316			(8.7)%				(49.2)%
Interest expense			3,726				3,634				3,120			2.5%				19.4%
Income from continuing operations before income tax expense			12,688				14,344 Werbung Mehr Nachrichten zur Core Laboratories Aktie kostenlos abonnieren E-Mail-Adresse Bitte überprüfe deine die E-Mail-Adresse. Benachrichtigungen von ARIVA.DE (Mit der Bestellung akzeptierst du die Datenschutzhinweise) -1 Vielen Dank, dass du dich für unseren Newsletter angemeldet hast. Du erhältst in Kürze eine E-Mail mit einem Aktivierungslink. Hinweis: ARIVA.DE veröffentlicht in dieser Rubrik Analysen, Kolumnen und Nachrichten aus verschiedenen Quellen. Die ARIVA.DE AG ist nicht verantwortlich für Inhalte, die erkennbar von Dritten in den „News“-Bereich dieser Webseite eingestellt worden sind, und macht sich diese nicht zu Eigen. Diese Inhalte sind insbesondere durch eine entsprechende „von“-Kennzeichnung unterhalb der Artikelüberschrift und/oder durch den Link „Um den vollständigen Artikel zu lesen, klicken Sie bitte hier.“ erkennbar; verantwortlich für diese Inhalte ist allein der genannte Dritte. Andere Nutzer interessierten sich auch für folgende News 25.04.24 - PR Newswire BlackRock Energy and Resources Income Trust Plc - Portfolio Update 25.04.24 - PR Newswire Samson Rock Capital LLP - Form 8.3 - Accrol Group Holdings plc 25.04.24 - PR Newswire Samson Rock Capital LLP - Form 8.3 - Network International Holdings Plc SolarBank    Wie die Revolution der sauberen Energie eine solide Investitionsmöglichkeit bieten könnte weiterlesen» Anzeige wo-site-teaser-box-16755_site-teaser-box_2024-04-25_09%253A00%253A00_2024-04-26_09%253A00%253A59