Proactiveinvestors United Kingdom - Industrial Machinery RSS feed Proactiveinvestors United Kingdom - Industrial Machinery feed en Sat, 20 Jan 2018 11:35:03 +0000 Genera CMS Inspiration Healthcare dips as product upgrade lag weighs Wed, 28 Sep 2016 13:10:00 +0100 Two contracts in one day for Inspiration Thu, 09 Jun 2016 12:37:00 +0100 Inspiration Heathcare establishes European presence through Bio-Med deal Wed, 18 Nov 2015 09:49:00 +0000 Badger Daylighting shares surge on higher Q4 profit, revenue Badger Daylighting (TSE:BAD), a Canadian provider of non-destructive hydrovac excavation services, reported higher profit in the fourth quarter as revenue improved. Shares advanced.

Profit rose to C$17 million, or C$0.47 per diluted share, in the October-to-December quarter, from C$11.2 million, or C$0.30 per diluted share, in the year-earlier period.

Revenue increased 15 percent to C$108.4 million from C$94.2 million year on year.

Funds generated from operations increased 83 percent period-over-period to $34.6 million from $19.0 million in the comparable quarter of 2013.

Badger had 998 daylighting units at the end of 2014, reflecting the addition of 221 daylighting units to the fleet in 2014 and the retirement of 14 units.  Of the total, 410 units were operating in Canada and 588 in the United States at year-end. 

Badger had 356 units in Canada and 435 in the United States for a total of 791 units at December 31, 2013.  The new units were financed from cash generated from operations and existing credit facilities.

In 2014, Badger was faced with some challenges due to tough weather in the U.S. for the first quarter and reduced activity in some northern oil and gas producing areas. 

Badger's average revenue per truck per month during the fourth quarter was $30,435 versus $35,644 for the year-earlier period.

The company said it operates in a highly competitive environment for hydrovac services in Canada and the United States. In order to remain the leading provider of hydrovac services in these regions, Badger continually enhances its safety and operational procedures to ensure that they meet or exceed customer expectations.

Shares rose to 14.3 percent to C$25.37 at 3:06 p.m. in Toronto. The stock has lost 24.6 percent in the past year.

Tue, 17 Mar 2015 19:26:00 +0000
CanElson reports flat Q4 results, ups 2015 capital expenditures guidance CanElson Drilling (TSE:CDI), a provider of oilfield services, reported nearly flat results in the fourth quarter, and raised its 2015 capital expenditures guidance.

Net income rose 2 percent to C$10.8 million, or C$0.12 per diluted share, in the October-to-December quarter, from C$10.6 million, or C$0.12 per diluted share, a year earlier, the Calgary, Alberta-based company said in a statement today.

Services revenue grew 12 percent to C$90.6 million.

Analysts on average were looking for earnings of $0.11 per diluted share on revenue of $91.4 million.

The company said today that it raised its 2015 capital expenditures guidance by C$5 million to C$17.9 million, compared to the guidance it announced on January 19.

The increase relates to an additional top drive and drill pipe associated with modified contracts, as CanElson has migrated various contracts from deferred new builds to drilling rigs currently in the fleet. The remainder of the capital program is comprised of rig re-certification's and other maintenance capital expenditures.

In January, the company cut its quarterly dividend in half to C$0.03 per share and lowered its 2015 capital budget by 80 percent to C$12.9 million to weather the impact of sustained low commodity prices.

Crude slumped almost 50 percent last year as the U.S. pumped oil at the fastest rate in more than three decades while the Organization of Petroleum Exporting Countries resisted calls to cut supply. U.S. crude was trading at $49.21 a barrel today.

Shares closed at C$4.04 on February 27, up 0.3 percent on the day, down 46 percent in the past six months.

Mon, 02 Mar 2015 12:55:00 +0000
Badger Daylighting to "conservatively" manage spending amid rapid fall in oil prices Badger Daylighting, (TSE:BAD), which offers excavating services to utility and oilfield-services companies, said the rapid drop in oil prices has increased uncertainty around the oil and natural gas portion of its business, and as a result, it said it will conservatively manage capital spending this year.

The company believes that certain areas of its business, which are heavilty weighted towards the oil and natural gas sector, will see decreased demand, including northern Alberta, North Dakota, and some parts of the US Rocky Mountain region.

Badger said it will carefully manage operations in these areas by controlling costs and redeploying underused hydrovacs as required. It is still planning, however, to aggressively grow in several areas where the economy is strengthening including eastern Canada, the North East, Midwest, South East and Pacific regions of the US, it added.

Badger's key technology, the Badger Hydrovac, uses a pressurized water stream to liquefy the soil cover, which is then removed with a powerful vacuum system and deposited into a storage tank. 

Oil has dropped more than 10 percent this year following a decline of almost 50 percent last year, the most since the 2008 financial crisis as the U.S. pumped crude at the fastest rate in more than three decades and the Organization of Petroleum Exporting Countries resisted calls to reduce supply. The decline has caused many producers and oilfield service providers to cut capital budgets and spending.

Brent for March settlement fell 0.4 percent to $48.62 a barrel on the London-based ICE Futures Europe exchange. 

Shares of Badger rose 4.5 percent to C$23.00 as at 1:30pm ET in Toronto.

Mon, 26 Jan 2015 17:48:00 +0000
CanElson cuts dividend in half, 2015 capital budget by 80% Canelson Drilling (TSE:CDI), which operates land-based contract drilling rigs in Canada and the U.S., cut its quarterly dividend in half and lowered its 2015 capital budget by 80 percent. Shares hit a 52-week low.

Canelson reduced its quarterly dividend to C$0.03 per share, down from C$0.06 per share, the Calgary, Alberta-based company said in a statement today.

The company's capital program was cut to C$12.9 million from C$63.9 million, which now only covers critical maintenance items and minimal upgrade capital.

"Our modern fleet of drilling rigs and our continued financial discipline will allow CanElson to weather the impact of sustained low commodity prices," said Randy Hawkings, president and CEO of CanElson.

"We believe our strong financial position and focus on efficiency will allow us to continue our industry outperformance."

Shares fell 12 percent to C$3.48, before paring losses to C$3.75, down 5.1 percent, at 9:39 a.m. in Toronto. The stock has lost more than half of its value over the past six months.

Crude slumped almost 50 percent last year as the U.S. pumped oil at the fastest rate in more than three decades while the Organization of Petroleum Exporting Countries resisted calls to cut supply.

Iraq’s oil production rose to a 35-year high in December and could break further records in the coming months, according to the International Energy Agency.

For the fourth quarter, Canelson said today that the number of operating days decreased compared to the year-earlier period, as reduced activity levels in Saskatchewan offset a marginal increase in fleet size.

It said 2014 full-year Canadian utilization of 59 percent remained significantly above industry utilization of 46 percent. In the United States, the number of operating days increased due to a higher average rig fleet size, with utilization remaining flat year-over-year.

Mon, 19 Jan 2015 13:58:00 +0000
Manitex International's stock does not reflect "transformational" 2015 Manitex International (NASDAQ:MNTX) reported weaker than expected third quarter results, but brokerage firm H.C. Wainwright reiterated its buy rating on the company, saying that despite the stock reflecting current weakness, investors are ignoring a transformational 2015 ahead.

Shares of Manitex, which provides engineering lifting solutions, were down 1.5 percent at US$11.73 on the Nasdaq as at 2:43pm ET. 

Yesterday, Manitex reported third quarter revenues and earnings per share of $66.2 million and 13 cents, respectively, compared to H.C. estimates of $67.9 million and 22 cents per share.

"Though revenues increased 15.1% y/y, this is the second quarter in a row that the company’s results fell short of our expectations," wrote analyst Amit Dayal.

"However, investors should note that management had highlighted a generally slow environment for capital equipment going into the quarter and we believe we are seeing some impact from that."

Gross margins for the quarter dropped to around 16.5 percent in the third quarter, the low end of its historical range, due to a higher mix of small tonnage cranes. Dayal said he believes that current inventory, however, consists of a higher number of higher tonnage cranes, which are generally higher margin products and should support near-term margin improvements.

Manitex is also expecting to close two deals by the end of 2014, which Dayal says are "transformational to the company, positioning it to almost double revenues and earnings in 2015."

In line with this, H.C. Wainwright updated its 2015 revenue and EPS projections for Manitex to $500 million and $1.29 per share, respectively, with the latter figure representing almost 90 percent year-over-year growth.

"We expect these deals to result in MNTX’s debt growing to $200M (of which $80M is a direct obligation) with $12M in annual interest obligations that is more than adequately covered by ~10% EBITDA margins," Dayal said.

The analyst also highlighted the company's backlog and new orders, saying investors should pay attention to the product replacement cycle as one of the catalysts that could revive growth in Manitex's end markets going into 2015. Its backlog remained at $102.1 million at the end of the third quarter.

H.C. Wainwright reiterated its buy rating and $20 price target on the company. 

"Manitex stock has pulled back significantly in the last two quarters driven, we think, by weaker-than-expected financial performance and investor cautiousness around companies with exposure to the energy infrastructure space. 

"We believe this overhang is preventing the company from getting any appreciation for the manner in which 2015 results are positioned and this may only be overcome through demonstrated execution," Dayal concluded.

Fri, 07 Nov 2014 18:53:00 +0000
EnWave climbs on signing license and manufacturing deals with NutraDried EnWave Corp. (CVE:ENW), a provider of industrial-scale dehydration technology for the snack and food industry, advanced in afternoon trading after signing a royalty-bearing commercial license and a manufacturing agreement with NutraDried Creations LLP.

The shares gained 6.1 percent to C$1.22 at 1:12 p.m. in Toronto after touching C$1.25, the highest intraday price since March 24.

NutraDried will focus on securing major private label distribution opportunities throughout the United States and Latin America for dehydrated cheese snacks and other new healthy snack products dehydrated using the EnWave's Radiant Energy Vacuum technology, Vancouver-based EnWave said in a statement today.

NutraDried is currently conducting market testing with several potential customers and expects entry into at least two major U.S. private label accounts over the next few months, EnWave said.

If the test marketing is successful, an annual order volume of over 1 million pounds of dried cheese snack products is forecast for the first phase of distribution during the next 12 months, according to the statement.

Under the deals, the dried cheese snack products will be produced for NutraDried at a shared facility in Ferndale, Washington State for the first 3 million pounds of annual distribution.\

A 100 kilowatt nutraREV® plant is expected to start-up at the facility during this spring.

"This could be a major commercial breakout for nutraDRIED® products via national, well-known distribution channels," EnWave Chief Executive Officer Dr. Tim Durance said in the statement.

Durance said he believes the deals represent a potential catalyst for near term revenue growth, helping to establish EnWave and its partners as new industry players in the U.S. healthy snack market.

EnWave shares have lost 13 percent this year, leaving the company with a market value of C$98 million.



Fri, 04 Apr 2014 19:06:00 +0100
CanElson slips as Q4 profit drops 24% CanElson Drilling Inc. (TSE:CDI), a drilling services provider, dropped in midday trading after reporting a 24 percent drop in fourth-quarter profit.

The shares slid 3 percent to C$6.82 at 1:56 p.m. in Toronto. The stock has gained 44 percent in the past 12 months.

Net income declined to C$10.5 million, or 12 Canadian cents a share, the three months ended Dec. 31, from C$13.9 million, or 18 Canadian cents a share, in the year-earlier period, the Calgary, Alberta-based company said in a statement today.

Revenue rose to C$81 million from C$65.3 million.

The company declared a fourth-quarter dividend of 6 Canadian cents a share, up from 5 Canadian cents a share.

"Despite the reduced drilling rig counts in North America during 2013," Chief Executive Officer Randy Hawkings said in the statement, "we continued to increase our market share in both Canada and the United States, reflecting our focus on operating efficiencies and our modern drilling fleet."

CanElson expanded the 2014 capital program to include two additional rig builds, an AC tele-double and a new innovative and proprietary AC triple.

CalElson said its 2014 capital expenditure program has now been expanded from the previously announced C$52.4 million to C$95.5 million, primarily as a result of adding new build drilling rigs and bringing forward C$20.1 million capital expenditures budgeted for 2013 into 2014.



Mon, 03 Mar 2014 18:24:00 +0000
CanElson acquires Highkelly for $42 mln, boosts rig fleet CanElson Drilling, Inc. (TSE:CDI), a provider of oilfield services, acquired Highkelly Drilling Ltd., a private Canadian drilling company, for $41.5 million, including debt. Shares gained in morning trading.

CanElson will pay $34.5 million for all of the issued and outstanding shares of Highkelly. This consists of $17.8 million in cash and the issuance of 2.6 million CanElson shares at $6.37 per share, Calgary-based CanElson said in a statement today. 

CanElson has also assumed net debt of approximately $6.9 million, for a total purchase price of approximately $41.5 million, including positive working capital of approximately $0.5 million, according to the statement.

Highkelly owns and operates two new AC electric triple drilling rigs in the Montney liquids rich natural gas resource play of northeast British Columbia. Highkelly commenced drilling operations in late 2012.

With the acquisition, CanElson's total rig fleet has increased to 50 rigs from 48, and the number of triple rigs has increased from two to four.

"This strategic acquisition accelerates CanElson's entry into the triple rig market," CanElson's Chief Executive Officer Randy Hawkings said in the statement. "[It] provides us with new state of the art efficient rigs, high quality experienced personnel and an immediate foothold with an active LNG customer in one of the most prolific liquids rich natural gas drilling regions in North America."

Shares of CanElson rose 2.1 percent to C$6.29 at 9:54 a.m. in Toronto, extending this year's gains to 29 percent.

CanElson has agreed to construct a third new AC electric triple rig to be manufactured by an affiliate of Highkelly in Shanghai, China for delivery in the third quarter of next year.  

Separately, CanElson has renewed its syndicated credit facilities with extended terms and the potential for increased borrowing.

Founded in 2008, CanElson operates contract drilling rigs in Canada, the U.S. and Mexico for oil and natural gas exploration and development companies.

Fri, 06 Dec 2013 14:23:00 +0000
Geodrill falls on Q3 revenue drop Geodrill Limited (TSE:GEO) shares fell sharply on Monday amid a steep drop in revenue in the third quarter after the company curtailed its drilling activity.

The rig operator said revenue slumped 60% to US$4 million in the three-month period ending Sept. 30 from US$10.1 million in the same quarter a year ago. Its loss margin widened to 15% from 10% as its loss narrowed to US$613 million or eight cents a share from US$990 million or 12 cents a share.

The company drilled 33,352 metres in the quarter, versus 84,997m in the same prior-year period.

“Our third quarter financial results were significantly impacted by the challenges facing the drilling industry globally coupled by a wet season in West Africa," said president and chief executive Dave Harper.

Shares fell more than 7% to an intraday low of 75 cents. They have fallen more than 30% this year.

Mon, 11 Nov 2013 16:21:00 +0000
IWG sees acquisitions on the horizon in airline water treatment space Air travel passengers have long complained about air circulation on a plane – a vessel often feared to be an aquarium rife with viruses and bacteria -- but, rest assured Vancouver-headquartered IWG Technologies (CVE:IWG) ensures travelers on board a business or head-of-state jet can at least feel safe about the quality of water they drink. Through its market-dominant position in North America, IWG's subsidiary International Water-Guard Industries supplies water treatment systems that purify drinking water on these business aircraft. 

Mon, 30 Sep 2013 13:41:00 +0100
EnWave rises on commercial license deal with California spice company EnWave (CVE:ENW) shares advanced on Wednesday after the company said it signed a royalty-bearing commercial license with Napa Mountain Spice Company, which is focused on the production of organic bay leaves in Northern California. 

Financial details of the deal were not disclosed. 

EnWave's stock picked up more than 6.4 per cent to $1.65 this afternoon - stretching year-to-date gains to over 17.8 per cent. 

Under the license, Napa has been given the exclusive right to use the company's Radiant Energy Vacuum (REV) technology for the dehydration of bay leaves in the U.S., and has agreed to pay a royalty on the wholesale revenue generated from the sale of its bay leaf products. 

Napa also signed a purchase order agreement to obtain a nutraREV unit for commercial production.

EnWave said in its release Wednesday that it is confident that the longstanding relationships that Napa Mountain has in the global spice market will allow it to showcase product improvements made through the REV technology. 

Key product enhancements include an enhanced flavor profile, brighter natural color and the increased preservation of nutritional properties, according to the Vancouver, British Columbia-based company's statement. 

"REV™ technology could offer significant processing advantages for a plethora of products in the spice market," said chairman and CO-CEO of EnWave, Dr. Tim Durance. "Napa Mountain is dedicated to producing the highest-quality bay leaves available on the market and REV™ technology will enable them to do so."

The industrial technology company is developing commercial applications for its proprietary REV dehydration technology, which has six platforms. In June of this year, Hormel Foods (NYSE:HRL) signed a royalty-bearing commercial license to use the technology for a number of products. 

Wed, 25 Sep 2013 19:21:00 +0100
Geodrill soars after cost cutting tamed revenue drop Geodrill (TSE:GEO) shares are getting a boost after cost cutting allowed the company to steer around a slowdown in Western African oil and gas activity.

The stock soared 12 per cent to an intraday of 75 cents on Monday. 

The rig operator, which operates in Ghana, Burkina Faso, and Guinea, managed to salvage its bottom line despite a 30 per cent plunge in revenue.

Net income rose two per cent to US$2.83 million or seven cents a share, compared to US$2.78 million or six cents a share in the same prior-year period. 

Geodrill's revenue fell to US$14.6 million from US$20.9 million in last year's second quarter after clients reduced the number of rigs on their properties and battled their own decline in sales.

The company's gross margin jumped to 55 per cent from 46 per cent a year ago. 

Geodrill shares have taken a hit this year, losing about 30 per cent of their value. 

Mon, 12 Aug 2013 17:54:00 +0100
CanElson Q2 revenue climbs on strong U.S. business CanElson Drilling Inc. (TSE:CD) (CVE:CDI), a provider of oilfield services focused on North America, reported an 11 percent jump in services revenue in the second quarter as strong U.S. demand offset weak Canadian operations, and it announced a quarterly dividend. Shares gained.

Services revenue in the three months ended June 30 rose to C$37.5 million from C$33.8 million a year earlier, the Calgary, Alberta-based company said on Thursday.

The board declared on Wednesday a first-quarter dividend of 6 Canadian cents a share payable on Aug. 30 to shareholders of record on Aug. 21, according to the statement.

The shares advanced 3.8 percent to C$6.30 at 2:23 p.m. in Toronto on Thursday after hitting a record high of C$6.40 earlier in the session. The stock has rallied 55 percent over the past twelve months, giving the company a market value of C$518 million.

"During the quarter the benefits of the geographic diversity of our operations became abundantly clear," Chief Executive Officer Randy Hawkings said in the statement.

He added that Canada experienced a slow start-up after breakup due to wet weather and subdued customer intentions, and that the U.S. division, on the other hand, experienced 79 percent utilization and provided 80 percent of the company's total service revenue for the quarter. 

Revenue from the U.S. segment climbed 35 percent to C$30.1 million. 

"We expect to broaden this geographical spread to provide future growth opportunities," said Hawkings, who has been at the helm since Jan. 2011.

Net income in the second quarter dropped 51 percent to C$1.9 million, or 2 Canadian cents a share.

CanElson, founded in 2008, operates in the western Canadian Sedimentary Basin, the Permian Basin of west Texas, and the Ebano-Panuco-Cacalilao fields of Mexico. 

Thu, 01 Aug 2013 19:54:00 +0100
CanElson Drilling purchases three rigs for $15 mln expanding Canadian fleet by almost 15% Shares in CanElson Drilling Inc. (TSE:CDI) were up Monday on the news that the Calgary-based provider of oilfield services is to purchase Calmena Energy Services Inc.’s (TSE: CEZ) remaining Canadian contract drilling assets for $15 million, thus expanding its Canadian fleet by almost 15 per cent.

The terms of the deal include the acquisition of an AC electric tele-double pad drilling rig, two single rigs, and spare equipment in addition to land and building located in Leduc, Alberta. All three rigs being bought from Calmena are fully crewed and currently contracted, with two of the three operating in Alberta.

"With the addition of the rigs including retaining the dedicated and experienced field personnel, the acquisition expands the company's service offering to provide additional pad drilling services and horizontal oil drilling with new customers," said president and CEO Randy Hawkings.

CanElson currently operates drilling rigs in Canada’s western sedimentary basin, the Permian basin of west Texas, the Ebano-Panuco-Cacalilao field in Mexico, and North Dakota. The company also assembles new drilling rigs in Alberta, operates contract oil and gas service rigs in Mexico, and operates a containerized natural gas transportation and related services business.

The transaction is set to close on July 24, with an effective date of July 19.

In its operational update for the second quarter of the year, released the same day the oil and gas contract driller announced the $15 million transaction, CanElson revealed a fall of 35 per cent in the number of operating days recorded in the Canadian arm of the business for the three months ending June 30.

The number of operating days for the quarter in the Canadian territory came in at 272, well down from the year-ago figure of 419 due to an extended spring break up period attributable to higher than normal precipitation levels and heavy snow pack.

Operating days for the same quarter recorded a 40 per cent increase in the company’s American territories, with 1,157 days being recorded, compared to the 825 posted for the year ago period. The increase in operating days was attributable to both some of the rig fleet being able to operate through North Dakota’s spring break up and also to an increase in fleet size.

The size of the company’s fleet on the American side went from 11.9 in the same quarter a year ago to 16.2 in the quarter just ended, an increase of 36 per cent. On the Canadian side, with 22 rigs in operation, the fleet size was up by one from a year ago.

Shares in CanElson gained  4 cents on the Toronto Stock Exchange in the hours after the announcements to trade at $5.73 per share at 12:21pm EST.

Mon, 22 Jul 2013 17:26:00 +0100
EnWave shares spike after signing of commercial license with Hormel Foods Shares in EnWave Corporation (CVE:ENW) spiked more than 10 per cent on the TSX Venture Exchange Tuesday after the Vancouver-based industrial technology company announced the signing of a royalty-bearing commercial license with Hormel Foods Corporation (NYSE:HRL), enabling the production and sale of products dehydrated with EnWave’s Radiant Energy Vacuum (REV) dehydration technology.

Under the terms of the license, EnWave, currently focused on developing commercial applications for its proprietary REV technology -- which it says has the potential to be faster and cheaper than freeze drying, with better end product quality than air drying or spray drying, has agreed to long-term royalty rates, broader global market rights and the use of the company’s nutraDRIED trademark on the retail packaging.

The company is leasing a large pilot-scale nutraREV production unit to multinational manufacturer and marketer Hormel Foods, which is expected to be fully operational in the summer of 2013. The two companies have agreed on general commercial equipment designs and financial terms with plans to place a commercial-scale equipment order by the first half of 2014. No other details of the agreement were disclosed. 

The nutraREV technology is one of six REV platforms EnWave has under development.

Commercial-scale nutraREV is used in the food industry for the drying of fruits, vegetables, meat, herbs and seafood ”quickly and at low-cost, while maintaining high levels of nutrition, taste, texture and colour”, according to the company statement. Also under development is powderREV for bulk dehydration of food cultures, probiotics and fine biochemicals such as enzymes; quantaREV, for continuous, high-volume low-temperature drying of pastes, gels, liquids, or particulates; and bioREV and freezeREV for the stabilization and dehydration of biopharmaceuticals such as vaccines and antibodies. 

"The planned product launch by Hormel Foods represents another important market segment opportunity for our RE technology," said chairman and co-CEO of EnWave, Dr. Tim Durance, in a company statement released with the announcement.

"We believe that the marketing and distribution scale of Hormel Foods will enable these new products to have a very good chance for long-term commercial success on a global basis."

Shares in EnWave reached a high of $1.77 per share in intraday trading, a gain of 17 cents from the previous close for an increase of 10 oer cent.

Tue, 02 Jul 2013 20:13:00 +0100
Geodrill Q2 earnings fall 12.5% on wet season and overdue rig maintenance West African contract driller Geodrill (TSE:GEO) Tuesday reported a decline in profits of 12.5 per cent and lowered its rig fleet expansion plans for the rest of 2012.

Geodrill said it earned $2.78 million or seven cents per share in the three months that ended June 30, down 12.5 per cent compared to $3.24 million, or eight cents per share in the year-ago quarter.

Revenue grew 26 per cent to $ $20.86 million from $ 16.56 million a year earlier, thanks to new drilling contracts and the deployment of six additional rigs.

The company said the additional rigs resulted in an 18 per cent increase in the number of meters to 287,129, compared to 242,627 metres drilled in the same quarter of 2011.

“For the second quarter, we continued to grow our revenue and rig fleet however our financial performance was impacted in the month of June by the early onset of the wet season and for overdue rig maintenance,” said president and CEO David Harper.

“For the remainder of the year we believe the current economic environment will continue to impact demand for drilling services in the short to medium-term where we expect to see a slowdown in activity in 2012.”

Geodrill said the total number of drill rigs in operation increased by 28 in the second quarter, a 27 per cent increase from 22 drill rigs in the year-ago quarter.

However, the Ghana and Burkina Faso-located company said that subsequent to the quarter-end, it has seen a slowdown in demand for drilling services.

“Funding for junior mining companies has decreased, and as such many junior projects have been delayed,” said Geodrill in a recent release.

As a result of the current slowdown, the company said it has taken immediate steps to reduce costs, reducing its contract workforce and reviewing certain capital expenditures throughout the course of the year.

Geodrill said it believes senior and intermediate mining companies will continue with
exploration and development programs “although at this time, the level of exploration to be undertaken by these customers remains uncertain”.

With new contracts secured to date with senior miners, the company said it will continue to grow revenue but at a slower rate, and accordingly has reduced its rig fleet expansion to 39 rigs for 2012.

“The company remains in a solid financial position and expect operations to generate positive cash flow in fiscal 2012,” said Harper.

Geodrill currently operates in Ghana, Burkina Faso and Niger. The company provides exploration and development drilling services to major, intermediate and junior mining companies with exploration and development operations in West Africa.

Looking ahead, the company said it is planning re-entry into Cote d'Ivoire on the Ivory Coast through a new iron-ore contract and anticipates the deployment of three rigs in the third quarter of 2012.

Shares were trading flat at $1.76 Tuesday afternoon.

Tue, 07 Aug 2012 18:28:00 +0100
Ritchie Bros. Q2 profit climbs 17%, increases dividend Ritchie Bros. Auctioneers' (NYSE:RBA) said Thursday that second-quarter profit and revenue improved, prompting the company to increase its dividend 9 per cent.

For the quarter that ended June 30, the world’s largest industrial auctioneer reported profit of $31.3 million, or 29 cents per diluted share, up from $26.8 million, or 25 cents per diluted share in the second quarter of last year.

Excluding items, adjusted net earnings were $32.5 million, or 30 cents per share, compared to $26.8 million, or 25 cents
per share in the year-earlier period.

Auction revenues rose 11 per cent to $127.2 million in the quarter, from $114.5 million in the second quarter of 2011.

For the six months ended June 30, gross auction proceeds totalled $2.06 billion. This was attributed to strong demand and good pricing for late model equipment at auctions.

“We are pleased to have achieved gross auction proceeds of over $2 billion and adjusted earnings growth of 25% for the first half of this year, both of which are testaments to the hard work and dedication of our employee team in the face of a challenging used equipment supply environment," said Ritchie’s CEO, Peter Blake.

Ritchie Bros. increased its quarterly cash dividend by 9 per cent in the quarter, bringing it to a total of 12.25 cents per share, up from 11.25 cents per share.

The dividend was increased as a result of the company’s improved financial results in the second quarter. The dividend is payable on September 07, to shareholders of record as of August 17. 

In other news, Ritchie Bros. purchased the online marketplace and solutions provider for surplus and salvage assets, AssetNation, in May. The company took a related charge of $40 million in the quarter.

"As we move into the third quarter we are seeing increased deliveries of new equipment, reducing original equipment manufacturers backlogs and making new equipment more readily available for end users,” concluded Mr. Blake.

“This is resulting in a more balanced used equipment supply and demand environment, which should stimulate the supply of used equipment for our auctions.”

The company stated that it is confident it can execute and achieve its fiscal 2012 plan.

Ritchie Bros. sells equipment to on-site and online bidders, offering services that allow builders across the globe to easily exchange equipment.

The company has more than 110 locations in over 25 countries worldwide, including 44 auction sites.

Shares fell almost 7 per cent to $19.21 Thursday morning.

Thu, 02 Aug 2012 16:41:00 +0100
CanElson Q1 profit up on higher sales and margins Drilling rig maker CanElson (TSE:CDI) said first quarter profit more than doubled on Tuesday amid higher revenue growth as margins widened.

Earnings more than doubled to $16.41 million, or 21 cents per share, on $65.6 million in revenue for the latest period ended March 31.

This compared with a year-ago profit of $6.74 million, or 11 cents per share, on $40.9 million in revenue. Analysts expected per share earnings of 18 cents, on $63.3 million in sales.

In Canada, the rig utilization rate fell to 73 percent from 82 percent in the same comparable year in 2011.

Meanwhile, rig utilization dropped to 83 percent down from 94 percent in the United States, as low natural gas prices have reduced drilling activity.

Gross margins widened to 41.6 percent from 31.3 percent.

The board also declared a dividend of five cents, which will be paid to common shareholders on June 12 on record as of May 22.

In the latest quarter, the company filed a patent pending to fuel mobile equipment with flare gas. Back in March, CanElson agreed to acquire privately-held CanGas, a natural gas transport company, for about $10 million in an all-stock deal.

The oilfield service provider’s capital budget is expected to be about $71 million, of which $59 million is slated to be incurred
in the last nine months of this year. Additionally, it also added three “purpose built” ultra heavy duty tele-scoping double drill rigs to its 2012 capital program as it seeks to continue organic growth.

CanElson had 37 rigs, of which 21 drill rigs were operating in the Western Canadian Sedimentary Basin, eight rigs in Texas and another four drill rigs in North Dakota, and also had two drill and service rigs in Mexico.

Tue, 08 May 2012 14:46:00 +0100
A.O. Smith Q1 sales and earnings increase, raises FY 2012 guidance A.O. Smith Corp. (NYSE:AOS) Friday reported that its first quarter sales and earnings increased on contributions from acquired
business and growth in China.

Smith’s shares rose 5.62 percent on the back of Friday’s news to $46.99.

For the three months ended March 31, the company posted net earnings of $47.5 million or $1.02 per share, compared to $24.2 million or 52 cents per share in the first quarter of 2011.

Smith noted that first quarter earnings included an after-tax gain of $16.7 million, or 36 cents per share, related to the sale of shares of Regal Beloit Corporation, an electric motor business.

Excluding one-time items, Smith earned 66 cents per share, beating analysts’ estimates of 61 cents per share, according to Thomson Reuters.

First quarter sales were $468.6 million, compared with sales of $417.4 million for the same period last year.

The company said the higher sales were the result of first quarter contributions from Lochinvar which was acquired in August 2011, and an 18 percent increase in sales of A. O. Smith branded product in China.

"Two highlights in the quarter came from our higher growth businesses," said chairman and CEO Paul W. Jones.

"Lochinvar grew over 10 percent, and our sales of A. O. Smith branded products in China continued to grow at a double digit rate."

Sales in heater maker Smith’s North America segment, which includes the U.S. and Canada water heater and boiler businesses, increased 10 percent to $353.3 million from first quarter 2011 sales of $321.7 million. 

Sales of $49.3 million from Lochinvar were partially offset by lower sales of U.S. residential and commercial water heaters compared with the first quarter last year, due to the pre-buy in advance of an April 2011 price increase, said the company.

Smith noted that commercial gas water heater sales for southern California were also lower following a pre-buy in the fourth quarter 2011 driven by a change in air quality standards in that region at the beginning of this year.   

In the company’s other business segment, which consists of the China, India and Europe water heating businesses and the water treatment business in Asia, first quarter sales rose to $124.2 million, versus first quarter 2011 sales of $105.2 million. 

Smith said that higher sales of its branded products in China, driven in part by a pre-buy ahead of an April 2012 price increase,
were the primary reason for the sales increase.

During the first quarter, the company broke ground for a new 457,000 square foot water heater plant in Nanjing, China.

The new plant, which is scheduled to go into production during mid-2013, will accommodate increased water heater demand as well as growth for new products recently introduced in the China market such as heat pump, solar, and combi boiler.

Looking ahead, the company said that it still has a long way to go to fully recover from the recession.

"As we've stated before, we expect little to no benefit from new construction this year as our water heater business tends to lag behind new construction by six to nine months," said Jones.

"However, our North American replacement water heater business remains on solid ground. 

"Sales at Lochinvar continue to grow as expected. We project growth in 2012 to be in excess of 10 percent over their historical performance, and we look forward to a full year's contributions from this newest member of our team."

Smith said it is raising its estimate for 2012 earnings to a range of $2.75 to $2.90 per share.

"This range does not include the potential impact from any future acquisitions or the first quarter gain related to the RBC shares, said Jones.

"Our previously announced disciplined acquisition strategy continues to progress.

"We have the human capital, well-established processes, and the financial resources to manage additional acquisitions that will
create value for our shareholders. 

"We continue to seek water heating, boiler and water treatment companies in fast-growing geographies, as well as companies with new technologies or adjacencies to our core business."

Fri, 20 Apr 2012 14:53:00 +0100
Badger Q4 profit up 54% on higher revenues Badger Daylighting (TSE:BAD) said Friday its fourth quarter earnings rose 54 percent, as the company's revenues also increased.

Badger provides excavation services for the utility and petroleum industries. Its main technology is the Badger Hydrovac, a truck-mounted hydrovac unit designed for excavation, trenching, daylighting and other services in a variety of ground conditions.

For the three months that ended December 31, the company posted net income of $8.7 million, or $0.80 per share, up 54 percent from $5.7 million, or $0.52 per share, a year ago.

Revenues for the quarter also rose over 37 percent to $56.5 million, from $41.2 million a year ago.

The company said its revenues in Canada increased 26 percent, mainly due to increased demand for hydrovac services, which was related to higher oil prices, increased plant work, and a general increase in activity in eastern Canada, the company said.

In the U.S., revenues rose 55 percent to $25.4 million, mainly due to more work in the U.S. West, driven by increased activity in new locations, as well as new activity in the oil and natural gas industry.

The company said average revenue per truck rose 13.5 percent to $35,600, largely on higher utilization, Badger said.

Badger also added 29 hydrovac units to its fleet during the quarter, and removed three from service.

Looking forward, the company said it will add several new locations in areas of future potential, mainly in the U.S., an investment which it expects will begin to repay by late 2012.

For the full year fiscal 2011, the company posted a 31 percent rise in net income to $25.8 million, or $2.38 per share. Revenues rose 39 percent to $194.2 million.

The company also announced on Wednesday that its board of directors has approved a $0.085 per share monthly dividend for the month of March. The dividend will be paid on April 16 to shareholders on record as of March 30.

In Toronto, shares of the Calgary, Alberta-based company rose 2.54 percent to $25.45, as of 12:18 pm EDT.

Fri, 16 Mar 2012 16:55:00 +0000
CanElson Q4 profit more than triples, revenue jumps 163% CanElson Drilling (TSE:CDI) said Monday its fourth quarter profit more than tripled on higher sales, as the company's board approved an initial dividend.

For the three months that ended December 31, the drill rig maker and operator posted net income attributable to shareholders of $11.3 million, or $0.15 per share, more than triple than the $3.3 million, or $0.07 per share, it earned a year ago.

Total revenues for the quarter, all of which were derived from its services segment, more than doubled to $64.1 million, from $24.4 million in the same period last year.

Analysts polled by Bloomberg Businessweek had anticipated $0.15 per share in profit, on $57.3 million in sales.
Revenues from the company's domestic services unit spiked 180 percent during the quarter, to $40.1 million.

Foreign services revenues rose 137 percent to $24.0 million.

On a per day basis, domestic revenues increased 12 percent to $27.95, offset by a 15 percent decline in foreign revenues of $31.04 per day, the company said.

The company had a utilization rate of 77 percent in Canada, compared to an industry utilization rate of 61 percent. In the U.S., utilization was 84 percent.

Gross profit margins for the fourth quarter rose to 45 percent, from 31 percent a year ago.

During the latest quarter, CanElson delivered one "purpose-built" small footprint ultra-heavy-duty telescoping double drilling rig. The rig is designed to drill deep horizontal wells, with depths of up to 5,500 metres.

Shortly after the end of the fourth quarter, the company delivered another tele-double rig to the Permian Basin of west Texas, under a term committed contract. CanElson also said it is currently constructing another tele-double rig for deployment to this region, expected for April 2012.

The majority of CanElson's rig fleet continues to be tele-double drills, reflecting management's view that these rigs are the most efficient, it said.

"We continue our combination of effective capital deployment and efficient operations of good people and rigs, which in turn has given us a robust financial position, thereby allowing us to pay a dividend while simultaneously continuing our disciplined but aggressive growth plans," said president and CEO, Randy Hawkings.

For the full year fiscal 2011, the company posted earnings of $31.3 million, or $0.45 per share, up more than six-fold from 2010. Revenues doubled to $189.1 million.

CanElson manufactures and operates drill rigs in the oil and gas industry. It is currently operating 21 rigs in the western Canadian sedimentary basin (WCSB), where most of its operations are focused in Alberta, Saskatchewan, and Manitoba, seven rigs in the Permian Basin of west Texas, four rigs  in the Williston Basin of North Dakota, and two drill rigs and two service rigs in the Misantla-Tampico Basin of Mexico.

In Mexico, the company's operations are conducted through a 50 percent-owned joint venture company - Diavaz CanElson de Mexico, S.A. de C.V. - which is currently focused in the Ebano-Panuco-Cacalilao fields of the Misantla-Tampico Basin.

Mon, 12 Mar 2012 14:18:00 +0000
Ritchie Bros. Q4 profit doubles on higher auction revenue Ritchie Bros. Auctioneers' (NYSE:RBA) said Tuesday that fourth-quarter profit almost doubled as auction revenue jumped 28 percent.

For the quarter to December 31, net profit for the company which auctions industrial equipment was $26.8 million, or 25 cents per share, up from $13.5 million, or 13 cents per share, a year ago.

Analysts polled by Thomson Reuters estimated earnings of $0.25 per share

Auction revenues rose to $113.4 million from $88.3 million a year ago. Analysts estimated revenues of $119.15 million.

Ritchie Bros. chief executive Peter Blake said: "2011 was a successful year for Ritchie Bros. in the face of a challenging used equipment supply environment, and we achieved the targets that we set for the year.

"2011 was characterized by the ongoing tight supply of good quality late model used equipment, which resulted in a strong pricing environment and intense competition for this equipment. Our consignors reacted to this competition by increasing their preference for guarantee and purchase deals, contributing to an increase in our at risk business to 36 percent of gross auction proceeds for 2011."

Gross auction proceeds were $1.04 billion this year and $798.6 million a year ago.

Looking ahead, Blake continued: "We have begun 2012 with a number of very successful auctions, and the strong pricing and competitive environments we saw in 2011 have so far continued into 2012.

"We remain confident in our ability to grow our business in 2012 and believe we are well positioned to capitalize on improving used equipment transaction velocity, which is driven in part by recent increases in the production of new equipment."

Tue, 28 Feb 2012 11:47:00 +0000
Parker Drilling widens Q4 loss on impairment charge Parker Drilling (NYSE:PKD) said Thursday it widened its fourth quarter loss as it was hit with a massive impairment charge.

For the three months that ended December 31, the drilling contractor posted a net loss of $90.2 million, or $0.77 per share, compared to a loss of $13.4 million, or $0.12 loss per share, a year earlier.

The company was hit with a $170 million impairment charge after it failed to deliver two high-spec land rigs for drilling in Alaska. Adjusted for this and other one-time items, earnings rose to $20.2 million, or $0.17 per share.

Total revenues for the period hiked 4.5 percent to $181.1 million, from $173.3 million in the same period last year.

Analysts polled by Bloomberg Businessweek had anticipated 17-cents per share in profits, on $183 million in sales.

"We produced solid growth in revenues and achieved a 37 percent increase in operating gross margin and a 39 percent increase in adjusted EBITDA this quarter," said president and CEO, David Mannon.

"Our efforts to introduce new drilling technology to the Alaskan North Slope have taken more time and a larger investment than we had anticipated. As reported earlier and reflected in both our fourth quarter and full year results, we recorded an impairment charge related to the two new-design rigs developed for this purpose."

Revenues from the company's rental tools business increased 29.5 percent to $63.9 million, as the demand for drill pipe and related products increased during the quarter.

The 19.3 percent increase in sales from Parker's U.S. barge drilling segment, to $22.9 million, was driven by a 32 percent rise in the average dayrate for the barge rig fleet, to $27,700, despite a moderate reduction in overall fleet utilization.

The international drilling segment posted $89.2 million in revenues, up 22 percent, on a higher average dayrate, and an increase in project-related revenues from operations and maintenance contracts.

International rig count fell, though average rig fleet utilization rose 300 basis points, to 51 percent.

Meanwhile, the completion of the Liberty project in early 2011 resulted in a 45.2 percent drop in technical services revenues, to $5.08 million.

Gross profit margins during the fourth quarter rose to 40.9 percent, from 31.3 percent a year earlier.

For the full year fiscal 2011, the company reported a net loss of $50.5 million, or $0.43 loss per share, compared to a $14.5 million loss, or $0.13 loss per share, a year ago. Revenues rose four percent to $686.6 million.

Looking forward, Parker said it expects to benefit from the industry's increased activity in global oil and gas resources.

Mannon concluded: "Our business outlook remains driven by the growing needs for the services, operational efficiency and safety we deliver to our customers.

"Though there are concerns about the impact of low domestic natural gas prices on U.S. drilling, the shift to oil and liquids-rich directed drilling continues to require a growing amount of drill pipe and related equipment.

"The industry's increased spending to develop oil and gas resources worldwide is expected to lead to more drilling activity and an expanded reach into challenging environments that require fit-for-purpose drilling solutions. We believe these trends will benefit Parker's U.S. and international operations."

In New York, shares of the Houston, Texas-based company fell 8.42 percent to $6.53, as of 2:33 pm EDT.

Thu, 23 Feb 2012 19:22:00 +0000
A.O. Smith Q4 sales up 24% but profits flat Water heater and electric motor maker A.O. Smith (NYSE:AOS) posted better-than-expected fourth quarter sales spurred by acquisitions and organic growth, despite reporting flat profits, the company said Friday.

Revenue grew 29 percent to $475 million from $370 million thanks to higher water heater sales in North America and its acquisition of water boiler maker Lochinvar. 

For the fourth quarter ended December 31, A.O. Smith posted net income of $32.1 million, or 69 cents per share, compared to a year-ago profit of $32.2 million, or 69 cents per share.

Excluding discontinued operations, the company earned $31.5 million, or 68 cents per share, up from $20.5 million, or 44 cents per share.

The results topped Bloomberg analyst predictions for earnings of 64 cents apiece, on revenue of $460 million.

A.O. Smith's chief executive Paul W. Jones, said: "Our acquisition of Lochinvar is achieving all that we expected, our growth in China continued at the high end of our expectations, and we are delighted with the acceptance of our products and growth in India. 

"As a result, we were able to overcome global economic headwinds to achieve record earnings from continuing operations for the fifth time in the last six years."

Sales of A.O. Smith branded products in China grew over 30 percent from the previous year. While higher residential volumes and the pre-buy of commercial water heaters in the U.S. also aided to the sales increase.

The company expects to post a 2012 profit of $2.65 to $2.85 per share, with Lochinvar contributing between 40 cents and 50 cents per share. Analysts polled by FactSet expect profits of $2.82 a share.

A. O. Smith, headquartered in Milwaukee employs approximately 10,500 people at operations in the US, Canada, Mexico, India, China, and the Netherlands.

Shares rose 4.21 percent to $43.31 apiece Friday afternoon on the Nasdaq.

Fri, 27 Jan 2012 18:16:00 +0000
Parker Drilling to be hit with $171 mln impairment charge in Q4 Parker Drilling (NYSE:PKD) reported Tuesday that it will be hit with a $171 million impairment charge in the fourth quarter due to cost overruns for its two Arctic Alaska drilling units.

The charge comes after safety, technical and operational reviews were conducted on the prototype drilling rigs. Work will be extended to modify the rigs so they can meet their design and functional requirements, Parker said.

The completion of the two rigs has been delayed.

"The unique design for these new, technologically advanced rigs posed engineering, construction and commissioning challenges that have resulted in un-anticipated design modifications, delays and cost increases," chief executive, David Mannon said in a statement.

"The actions we are taking are important to meeting the operational and safety objectives we desire."

Parker, a provider of contract drilling, said the cost to finish its two rigs is estimated to be $385 million, and includes capitalized interest of about $49 million.

The Houston, Texas-based company expects to be hit with a pre-tax non-cash charge of $171 million in the fourth quarter. It expects profits, on a per share basis, to be reduced by 95 cents.

Parker’s stock declined 50 cents, or 7.23 percent, to trade at $6.42 per share Tuesday afternoon in New York.

New York-listed Parker Drilling offers contract drilling solutions, rental tools and project management services to the energy industry, with an international fleet of 25 land rigs and two offshore barge rigs, and a U.S. fleet of 13 barge rigs in the U.S. Gulf of Mexico.

Tue, 17 Jan 2012 17:14:00 +0000
LeCroy posts preliminary Q2 results in line with estimates, shares up 6.5% LeCroy Corp. (NASDAQ:LCRY), a supplier of oscilloscopes, reported preliminary second quarter revenue in line with market expectations, the company said Monday.  

Revenues are seen rising 13.5 percent to $51.1 million for the three months ended December 31, 2011. Meanwhile, on an adjusted basis, the company expects net income to be about 30 cents a share.

Analysts, on average, are looking for profits of 30 cents per share, on sales of $51 million, according to Bloomberg.

Shares of LeCroy rose by 62 cents, or 6.54 percent, climbing to $10.10 each today on the Nasdaq, as investors praised the news.

LeCroy’s chief executive, Tom Reslewic, said: “Our top-line results for the quarter continued to be strong and were in line with our expectations.”

“Despite significant uncertainty in the global economic outlook and tumultuous financial markets in Europe, We expect the second quarter to be our eleventh consecutive quarter of sequential sales growth.”

The company also booked record orders in the second quarter, but a decline in the euros value slightly crimped its margins.

For the quarter, the company foresees its operating margin to be roughly 14 percent on an adjusted basis, while cash from operations of $4 million is expected. LeCroy also noted in Monday’s statement that it slashed its debt by $7 million.

In addition to its preliminary earnings, the company said its board of directors have authorized a share buyback program for up to five million of its own stock.

It plans to release its financial results during the week of January 23, 2012, where it will also give a guidance range for its third quarter.

LeCroy’s products measure, analyze and verify complex electronic signals. Its protocol test solutions are used by design engineers in the computer, semiconductor and consumer electronics, data storage and aerospace markets, among others.

Mon, 09 Jan 2012 15:38:00 +0000
EnWave signs research agreement with Merck EnWave Corp. (CVE:ENW) has signed a research evaluation agreement with Merck, the company said Monday.

Under the deal's terms, Merck will perform a field test to suss-out the feasibility of EnWave’s radiant energy vacuum technology (REV), using the company’s new multi-vial pilot-scale equipment.

EnWave has also granted Merck an exclusive research license to use its technology and licensed patents for the extent of the evaluation, as well as an option for an exclusive commercial worldwide license to its portfolio.

In a statement, chief executive, Tim Durance, said: “This represents further progress toward our goal of establishing REV as a viable commercial technology in the pharmaceutical setting.”

The company is introducing REV as a new dehydration standard within the food and biological material sectors, as it is potentially faster than freeze drying, with better end product quality than air drying or spray drying.

EnWave’s dehydration technology for pharmaceuticals and biomaterials includes freezeREV, powerREV and bioREV, each employing a blend of microwave energy within a low pressure vacuum environment to achieve controlled dehydration of live or active biological materials.

The company has grown from one employee to over 20 workers in the past five years. It has three sites including a biotech lab, a pilot plant and one engineering facility.

EnWave, based in Vancouver, develops commercial applications for its REV dehydration technology. It has partnerships with Nestle, Kellogg’s (NYSE:K) and Hormel (NYSE:HRNL), among others.

Shares were up 4.12 percent to reach $1.77 each on Toronto’s junior venture exchange Monday afternoon.

Mon, 12 Dec 2011 17:59:00 +0000