Hunting PLC AGM and Q1 2017 Trading Update (2421C)
12 April 2017 - 4:00PM
UK Regulatory
TIDMHTG
RNS Number : 2421C
Hunting PLC
12 April 2017
For Immediate Release 12 April 2017
Hunting PLC
("Hunting" or "the Company" or "the Group")
AGM
and
Q1 2017 Trading Update
Hunting PLC (LSE:HTG), the international energy services group,
which will today be holding its Annual General Meeting commencing
at 10.30a.m., issues a Q1 2017 trading update.
Revenues in the first three months of the year have been ahead
of management's expectations, given the continued strong activity
levels reported in the US shale regions leading to the Group
reporting a positive underlying EBITDA in the period of
approximately $5.5 million.
Of note, Hunting's Perforating Systems business remains very
busy and continues to increase production to meet demand from
customers operating in the US shale plays. Other businesses
reporting positive EBITDA during the quarter include Hunting's
Premium Connections, Trenchless and Specialty businesses. As noted
in the Group's Full Year Results, Hunting's European OCTG
businesses have also benefited from orders from the US and Middle
East, leading to improved activity levels in the period.
While US onshore activity continues to demonstrate strong
momentum, even at current WTI crude oil prices, management note
that the US offshore and international operations continue to show
weakness, given the lower forecast capital expenditures of the
industry and the lower oil price environment.
Cash generation continues to be closely monitored, with working
capital controls still in place across many of the Group's
businesses. Net debt has increased to approximately $9.0 million
since the year end, principally as a result of monthly revenue
increases and the resultant trade receivables build up. Group-wide
capital expenditures continue to be tightly controlled with spend
in the quarter approximately $1.5 million.
While sentiment throughout the industry remains fragile, Hunting
is well positioned to respond to the stabilising trading
environment, utilising its global footprint of high efficiency
manufacturing plants, led by an experienced management team.
Management will continue the policy of regular trading updates in
order to provide the market with guidance on the likely financial
outturn for the calendar year 2017.
For further information please contact:
Hunting PLC Tel: +44 (0) 20 7321 0123
Dennis Proctor, Chief Executive
Peter Rose, Finance Director
Tarryn Riley, Investor Relations
Buchanan Tel: +44 (0) 20 7466 5000
Richard Darby
Chris Judd
Madeleine Seacombe
Notes to Editors:
About Hunting PLC
Hunting PLC is an international energy services provider to the
world's leading upstream oil and gas companies. Established in
1874, it is a premium listed public company traded on the London
Stock Exchange. The Company maintains a corporate office in Houston
and is headquartered in London. As well as the United Kingdom, the
Company has operations in Canada, China, Indonesia, Kenya, Mexico,
Netherlands, Norway, Saudi Arabia, Singapore, South Africa, United
Arab Emirates and the United States of America.
Hunting PLC's Legal Entity Identifier is
2138008S5FL78ITZRN66.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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