27th Oct 2020 09:56
(Alliance News) - Energy services group Hunting PLC on Tuesday said it was "broadly break-even" at the earnings before interest, tax, depreciation and amortisation level for the third quarter of 2020, crediting "decisive actions to resize" the company amid a slump in activity due to Covid-19.
"Third quarter results reflect the low levels of activity caused by the impact of Covid-19 on global energy demand. Clients have continued to curtail drilling and completion activity in the period. However, we believe that in certain sub-sectors of the market, including areas of the US onshore market, activity levels have now stabilised," Chief Executive Officer Jim Johnson said.
"Monthly revenue has increased within the Hunting Titan and Asia Pacific segments during the quarter, however, this has been offset by declines in revenue within the US and EMEA segments."
On a year-to-date basis, the company reported group Ebitda of USD28 million, and its cash position stood at USD69 million at September 30.
On its outlook, CEO Johnson said: "Client activity should improve during 2021, but a sustained recovery in the market will be a function of the decline in Covid 19 driving positive global economic activity. The effects of the pandemic continue to depress demand and weigh heavily on oil price sentiment."
Shares in Hunting were down 1.0% at 139.60 pence each in London on Tuesday morning.
By Tapan Panchal; [email protected]
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