FORT WORTH, Texas, July 30, 2015 /PRNewswire/ -- Basic Energy
Services, Inc. (NYSE: BAS) ("Basic") today announced its financial
and operating results for the second quarter ended June 30, 2015.
SECOND QUARTER 2015 HIGHLIGHTS
Including the impact of a special item, second quarter 2015
revenue as reported declined 26% to $193.6
million from $261.7 million in
the first quarter of 2015 as all lines of services continued to
experience diminished activity levels and increased pricing
pressure mainly driven by the reduced rig count. The second quarter
of 2015 included an after-tax charge of $2.9
million, or $0.07 per basic
and diluted share, related to a credit given to a customer
resulting from the settlement of an audit, which impacted both
revenue and earnings. Excluding this special item, Basic reported
revenues of $198.1 million in the
second quarter of 2015, a decrease of 24% compared to revenue
realized in the first quarter of 2015 and a decrease of 45% from
revenue of $359.7 million generated
in the second quarter of 2014.
For the second quarter of 2015, Basic reported a net loss of
$48.3 million, or a loss of
$1.20 per basic and diluted share.
Excluding the special item described above, Basic reported a net
loss of $45.4 million, or a loss of
$1.13 per basic and diluted share.
This compares to a net loss of $32.6
million, or a loss of $0.81
per basic and diluted share, reported in the first quarter of
2015. In the second quarter of 2014, Basic reported net
income of $2.4 million, or
$0.06 per basic and diluted share.
The second quarter of 2014 included an after-tax charge of
$2.9 million ($4.6 million pre-tax), or $0.07 per diluted share, relating to Basic's
participation in a legal settlement.
Roe Patterson, Basic's President and Chief Executive Officer,
stated, "Our second quarter results reflect the continuing impact
of the decline in the U.S. drilling rig count, the reduced demand
for our services and the resulting pressure on margins. In
addition, our second quarter performance was impacted by severe
weather disruptions that impacted our operations and further
reduced our revenue. Our response to this challenging environment
has been to continue to right-size our operations within operating
cash flow in order to preserve liquidity and match customer
activity.
"Second quarter margins were most impacted in our completion and
remedial and drilling-oriented services due to the lower rig count
and the amount of excess equipment in most markets. Pricing
continues to be competitive in all lines of business, but has
started to stabilize as of the end of the second quarter. In fact,
we delivered better than expected decremental margins across
several of our business lines. The month of July is reflecting this
initial stabilization. Well servicing and fluid services
utilization appears to have reached steady levels, with the
potential for slight improvement as we experience longer daylight
hours and anticipate better weather through the summer months.
"As we allocate assets into markets where activity is strongest,
we continue to high-grade our marketed fleet and to stack excess
equipment. We have increased our stacked well servicing rig
count by an additional 18 on top of the 40 we stacked during the
first quarter. We remain on pace to meet, or even lower, our
reduced capital spending projection of approximately $73 million based on current activity levels.
"During the month of July, we continued to see signs of
flattening utilization levels. However, it is still unclear whether
the third quarter will reflect a potential floor for activity.
Nevertheless, we currently anticipate our third quarter revenue to
be slightly up sequentially, as some increased activity levels in
the well servicing and fluid services, and more stable pricing
combine to increase utilization.
"We continue to look for acquisition targets and excess
equipment that can be bought at significant discounts to
replacement costs. We have made some of these smaller purchases
already, and we expect the service space to consolidate further in
the second half of 2015. We will be actively participating in this
process."
Quantum Letter of Intent
"The opportunity to partner with Quantum represents a very
attractive opportunity for Basic to remain active in the
consolidation market by providing the frame work for larger deals
that could require funding beyond the reach of our current cash
position and available debt capacity, especially strategic joint
ventures. It also creates a long-term relationship with a
private capital provider which is scalable, and can be tailored on
a deal-by-deal basis. We're excited about the prospects of working
with a successful group like Quantum, and we believe this could
present a meaningful benefit to our company and our
shareholders."
Bill Montgomery, Managing
Director of Quantum, commented, "We are excited to work with such
an accomplished team led by Roe Patterson. The Basic team has a
long history of success in the oilfield services industry and we
plan on utilizing our combined resources to continue Basic's growth
strategy and success. This flexible structure and capital
availability could allow Basic to opportunistically make
acquisitions and grow its business in today's oilfield services
market. We believe that there will be compelling acquisition
opportunities over the near term that will provide attractive
risk-adjusted returns for our investors."
Energy Capital Solutions LLC acted as financial advisor to Basic
for this arrangement.
Adjusted EBITDA decreased to $6.1
million, or 3.1% of revenues, for the second quarter of 2015
from $27.3 million, or 10% of
revenues, in the first quarter of 2015. In the second quarter
of 2014, Basic generated Adjusted EBITDA of $78.5 million, or 22% of revenues, excluding
special items. Adjusted EBITDA is defined as net income
before interest, taxes, depreciation and amortization, loss on
legal settlements, loss on customer audit settlements, and the net
gain or loss from the disposal of assets. EBITDA and Adjusted
EBITDA, which are not measures determined in accordance with
United States generally accepted
accounting principles ("GAAP"), are defined and reconciled in note
3 under the accompanying financial tables.
2015 FIRST SIX MONTHS HIGHLIGHTS
Including the revenue adjustment described above for the second
quarter 2015, revenues decreased 35% to $455.3 million for the first six months of 2015.
This compares to revenue of $696.4
million during the comparable period of 2014.
Adjusted EBITDA for the first six months of 2015 decreased 77%
to $33.4 million, or 7% of revenue,
compared to $143.9 million, or 21% of
revenue, for the first six months of 2014. Adjusted EBITDA
excludes the special items discussed above for both 2015 and 2014.
Adjusted EBITDA is reconciled in note 3 under the accompanying
financial tables.
For the first half of 2015, Basic reported a net loss of
$80.9 million, or a loss of
$2.00 per basic and diluted share.
Excluding the special item in the second quarter of 2015 mentioned
above, Basic generated an adjusted net loss of $78.1 million, or a loss of $1.93 per basic and diluted share. For the first
half of 2014, Basic reported net income of $536,000, or $0.01
per basic and diluted share. Excluding the special item in
last year's second quarter mentioned above, Basic generated
adjusted net income of $3.5 million,
or $0.08 per basic and diluted
share.
Business Segment Results
Completion and Remedial Services
Excluding the special item mentioned earlier, completion and
remedial services revenue dropped by 35% to $73.6 million in the second quarter of 2015 from
$112.8 million in the prior
quarter. The sequential decline in revenue resulted primarily
from diminished activity and increased pricing pressure in our
pumping and coil tubing services, driven by the reduction in
completion activity resulting from a continued reduction in
commodity prices. Severe weather also had a significant effect on
revenues. In the second quarter of 2014, this segment
generated $164.4 million in
revenue.
At June 30, 2015, Basic had
approximately 442,000 hydraulic horsepower ("HHP"), down slightly
compared to the end of the previous quarter but up 26% from 351,000
HHP as of June 30, 2014. Weighted
average HHP for the second quarter of 2015 was 442,000 compared to
443,000 in the first quarter of 2015.
Segment profit in the second quarter of 2015, excluding a
special item, decreased 50% to $15.9
million compared to $31.5
million in the prior quarter. Segment margin for the
second quarter 2015 decreased 600 basis points to 22% compared to
the previous quarter, due to decremental margins on the lower
revenue base and pricing concessions given to customers throughout
the first six months of the year. During the second quarter
of 2014, segment profit was $61.7
million, or 38% of revenue.
Fluid Services
Fluid services revenue in the second quarter of 2015 decreased
14% to $63.7 million compared to
$73.8 million in the prior
quarter. This decrease in revenue was due to lower rates for
our trucking services, a reduction in our truck count, and lower
levels of disposal utilization and frac tank rentals. During
the second quarter of 2014, this segment generated $90.3 million in revenue.
The weighted average number of fluid services trucks declined to
1,011 during the second quarter of 2015, compared to 1,046 during
the first quarter of 2015 and 1,015 during the second quarter of
2014. Truck hours of 574,000 during the second quarter of
2015 represented a decrease of 4% from the 595,000 generated in the
first quarter of 2015 and a decrease of 9% compared to 631,000 in
the same period in 2014.
The average revenue per fluid service truck decreased to
$63,000 from $70,600 in the first quarter of 2015 mainly due
to the decreases in overall pricing and non-trucking revenue
streams, such as hot oiling and disposal operations. In the
comparable quarter of 2014, average revenue per fluid truck was
$89,000.
Segment profit in the second quarter of 2015 was $15.3 million, compared to a profit of
$19.7 million in the prior quarter.
Segment profit margin decreased by 300 basis points to 24%, caused
by decremental margins on a lower revenue base and a reduced truck
count. Segment profit in the same period in 2014 was $25.3 million, or 28% of revenue.
Well Servicing
Well servicing revenues decreased 11% to $56.5 million during the second quarter of 2015
compared to $63.7 million in the
prior quarter. This decline was due to significantly lower
utilization and considerable pricing pressure resulting from a
highly competitive market environment and a general decline in our
customers' capital and operating budgets, exacerbated by severe
weather during the second quarter. Well servicing revenues were
$89.6 million in the second quarter
of 2014. Revenues from the Taylor manufacturing operations were
$2.2 million in the second quarter of
2015 compared to $1.8 million in the
prior quarter.
At June 30, 2015, the well
servicing rig count was 421, the same as the end of the prior
quarter and at June 30, 2014. Rig
hours were 154,700 in the second quarter of 2015, down from 163,900
in the previous quarter and down from 214,200 hours in the
comparable quarter of last year. Rig utilization was 51% in the
second quarter of 2015, down from 55% in the prior quarter and down
from 71% in the second quarter of 2014.
Excluding revenues associated with the Taylor manufacturing
operations, revenue per well servicing rig hour was $351 in the second quarter of 2015, compared to
$377 in the previous quarter and to
$410 reported in the second quarter
of 2014. This continual decline was due to pricing concessions
given to customers in all operating markets.
Segment profit in the second quarter of 2015 was $9.5 million, compared to $11.3 million in the prior quarter and
$24.9 million during the same period
in 2014. Segment profit margin decreased slightly to 17% in the
second quarter of 2015 from 18% in the previous quarter. Second
quarter profit margin was negatively impacted by decremental
margins on a lower revenue base and significant weather
conditions. In the second quarter of 2014, segment profit was
28% of revenue. Segment profit from the Taylor manufacturing
operations was $64,000 in the second
quarter of 2015 compared to $255,000
in the prior quarter and $241,000 in
the second quarter of 2014.
Contract Drilling
Contract drilling revenue decreased by 62% to $4.3 million during the second quarter of 2015
from $11.5 million in the prior
quarter. During the second quarter of 2014, this segment generated
$15.4 million in revenue. Basic
operated 12 drilling rigs during the second quarter of 2015, the
same number of rigs as in the previous quarter as well as the
second quarter of 2014. Revenue per drilling day in the
second quarter of 2015 was $15,500,
down from $17,000 in the previous
quarter and down from $16,300 in the
second quarter of 2014. The decrease in revenue per drilling
day was primarily due to an early termination payment of
$732,000 on the long-term contract of
one of our rigs that was realized in the first quarter of 2015.
Rig operating days during the second quarter of 2015 decreased
by 58% to 280 compared to 674 in the prior quarter, resulting in
rig utilization of 26% during the second quarter of 2015 compared
to 62% during the prior quarter. In the comparable period in
2014, rig operating days were 942, producing a utilization of
86%. Rig operating days declined due to significantly reduced
utilization as a result of declining capital and operating spending
by our customers.
Segment profit in the second quarter of 2015 was $848,000, a 79% decrease compared to profit of
$4.0 million in the prior quarter and
a decrease from $4.8 million in the
second quarter of 2014. Segment margin for the second quarter
of 2015 was 20% of revenues compared to 34% from the prior quarter,
due to decremental margins on lower revenues. Last year in
the comparable period, segment margin was 32%.
G&A Expense
General and administrative ("G&A") expense in the second
quarter of 2015 was $35.7 million, or
18% of revenue, a reduction of 9% from $39.2
million, or 15% of revenue, in the prior quarter. The lower
G&A expense was primarily due to cost savings initiatives that
began in the first quarter of 2015, reduced personnel costs and
lower incentive compensation expense. G&A expense in the
second quarter of 2014 was $43.0
million, or 12% of revenue.
Tax Benefit
Basic's tax benefit for the second quarter of 2015 was
$27.2 million, compared to a tax
benefit of $17.9 million in the first
quarter of 2015. Excluding the special item, the tax benefit for
the second quarter was $25.6
million. The tax benefit in the second quarter of 2015
had an effective rate of 36%, compared to the prior quarter's
effective tax adjusted benefit rate of 35%. The tax expense of
$2.2 million in the second quarter of
2014 translated into an effective tax rate of 47%.
Cash and Total Liquidity
On June 30, 2015, Basic had cash
and cash equivalents of approximately $91.8
million, down from $105.0
million at March 31, 2015 and
$99.0 million on June 30, 2014. At June 30,
2015, total liquidity was approximately $208 million, which included $116 million of availability under Basic's
$250 million revolving credit
facility.
In the second quarter, Basic paid off the outstanding amount of
$16 million under its revolving
credit facility.
Capital Expenditures
Total capital expenditures during the first six months of 2015,
including capital leases of $9.3
million, were approximately $44.1
million, comprised of $14.9
million for expansion projects, $24.8
million for sustaining and replacement projects and
$4.4 million for other
projects. Expansion capital spending included $6.7 million for the completion and remedial
segment, $6.4 million for the well
servicing segment, and $1.8 million
for the fluid services segment. Other capital expenditures
were mainly for facilities and IT infrastructure.
Conference Call
Basic will host a conference call to discuss its second quarter
2015 results on Friday, July 31,
2015, at 9:00 a.m. Eastern
Time (8:00 a.m.
Central). To access the call, please dial (412) 902-0003 and
ask for the "Basic Energy Services" call at least 10 minutes prior
to the start time. The conference call will also be broadcast
live via the Internet and can be accessed through the investor
relations section of Basic's corporate website,
www.basicenergyservices.com.
A telephonic replay of the conference call will be available
until August 14, 2015 and may be
accessed by calling (201) 612-7415 and using pass code
13612438#. A webcast archive will be available at
www.basicenergyservices.com shortly after the call and will be
accessible for approximately 30 days.
About Basic Energy Services
Basic Energy Services provides well site services essential to
maintaining production from the oil and gas wells within its
operating area. The company employs more than 4,400 employees
in more than 100 service points throughout the major oil and gas
producing regions in Texas,
New Mexico, Oklahoma, Arkansas, Kansas, Louisiana, Wyoming, North
Dakota, Colorado,
Utah, Montana, West
Virginia, Ohio,
California, Kentucky and Pennsylvania. Additional information on Basic
Energy Services is available on the Company's website at
http://www.basicenergyservices.com.
About Quantum Energy Partners
Quantum Energy Partners is a leading provider of private equity
capital to the global energy industry, having managed together with
its affiliates, more than $10 billion
in equity commitments since inception. For more information on
Quantum, please visit www.quantumep.com.
Safe Harbor Statement
This release includes forward-looking statements and
projections, made in reliance on the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Basic has
made every reasonable effort to ensure that the information and
assumptions on which these statements and projections are based are
current, reasonable, and complete. However, a variety of
factors could cause actual results to differ materially from the
projections, anticipated results or other expectations expressed in
this release, including (i) changes in demand for our services and
any related material impact on our pricing and utilizations rates,
(ii) Basic's ability to execute, manage and integrate acquisitions
successfully and (iii) changes in our expenses, including labor or
fuel costs and financing costs. Additional important risk
factors that could cause actual results to differ materially from
expectations are disclosed in Item 1A of Basic's Form 10-K for the
year ended December 31, 2014 and
subsequent Form 10-Qs filed with the SEC. While Basic makes
these statements and projections in good faith, neither Basic nor
its management can guarantee that anticipated future results will
be achieved. Basic assumes no obligation to publicly update
or revise any forward-looking statements made herein or any other
forward-looking statements made by Basic, whether as a result of
new information, future events, or otherwise.
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Contacts:
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Alan
Krenek,
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Chief Financial
Officer
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Basic Energy
Services, Inc.
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817-334-4100
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Jack Lascar/Stephanie
Smith
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Dennard ▪ Lascar
Associates
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713-529-6600
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-Tables to Follow-
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Basic Energy
Services, Inc.
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Consolidated
Statements of Operations and Other Financial Data
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(in thousands,
except per share amounts)
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Three months ended
June 30,
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Six months ended
June 30,
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2015
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2014
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2015
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2014
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Income Statement
Data:
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(Unaudited)
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(Unaudited)
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Revenues:
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Completion and remedial
services
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$
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69,056
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$
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164,366
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$
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181,831
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$
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301,851
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Fluid
services
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63,704
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90,314
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137,506
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183,149
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Well
servicing
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56,500
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89,629
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120,168
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182,541
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Contract
drilling
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4,336
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15,353
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15,812
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28,877
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Total
revenues
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193,596
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359,662
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455,317
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696,418
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Expenses:
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Completion and remedial
services
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57,670
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102,617
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138,921
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189,097
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Fluid
services
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48,381
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65,055
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102,512
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131,837
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Well
servicing
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47,035
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64,748
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99,437
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134,508
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Contract
drilling
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3,488
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10,510
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11,014
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19,675
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General and
administrative (1)
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35,673
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42,953
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74,877
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82,512
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Depreciation and
amortization
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60,231
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51,785
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121,160
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103,490
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(Gain) loss on disposal
of assets
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(57)
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916
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(9)
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237
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Total
expenses
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252,421
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338,584
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547,912
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661,356
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Operating income
(loss)
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(58,825)
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21,078
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(92,595)
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35,062
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Other income
(expense):
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Interest
expense
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(16,841)
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(16,566)
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(33,704)
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(33,425)
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Interest
income
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4
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13
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10
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26
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Other income
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215
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107
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335
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473
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Income (loss) before
income taxes
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(75,447)
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4,632
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(125,954)
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2,136
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Income tax benefit
(expense)
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27,152
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(2,188)
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45,035
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(1,600)
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Net income
(loss)
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$
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(48,295)
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$
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2,444
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$
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(80,919)
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$
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536
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Earnings (loss) per
share of common stock:
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Basic
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$
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(1.20)
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$
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0.06
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$
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(2.00)
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$
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0.01
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Diluted
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$
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(1.20)
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$
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0.06
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$
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(2.00)
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$
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0.01
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Other Financial
Data:
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EBITDA (3)
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$
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1,621
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$
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72,970
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$
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28,900
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$
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139,025
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Adjusted EBITDA
(3)
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6,064
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78,499
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33,391
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143,875
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Capital
expenditures:
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Acquisitions, net
of cash acquired
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-
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-
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-
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-
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Property and
equipment
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8,962
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74,278
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34,823
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107,384
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As
of
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June 30,
2015
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June 30,
2014
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(Unaudited)
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Balance Sheet
Data:
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Cash and cash
equivalents
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$
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91,822
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$
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98,994
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Net property and
equipment
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925,738
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923,232
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Total
assets
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1,402,074
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1,558,856
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Total long-term
debt
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850,887
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838,803
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Total stockholders'
equity
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262,256
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350,438
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Three months ended
June 30,
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Six months ended
June 30,
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2015
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2014
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2015
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2014
|
Segment
Data:
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(Unaudited)
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(Unaudited)
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Completion and
Remedial Services
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Segment Profits as a
percent of revenue
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21.6%
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37.6%
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25.4%
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37.3%
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Fluid
Services
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Weighted average
number of fluid service trucks
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1,011
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1,015
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1,029
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1,011
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Truck hours
(000's)
|
|
573.7
|
|
|
630.9
|
|
|
1,168.8
|
|
|
1,238.1
|
Revenue per fluid
services truck (000's)
|
$
|
63
|
|
$
|
89
|
|
$
|
134
|
|
$
|
181
|
Segment profits per
fluid services truck (000's)
|
$
|
15
|
|
$
|
25
|
|
$
|
34
|
|
$
|
51
|
Segment profits as a
percent of revenue
|
|
24.1%
|
|
|
28.0%
|
|
|
25.4%
|
|
|
28.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
Well Servicing
(2)
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of rigs
|
|
421
|
|
|
421
|
|
|
421
|
|
|
421
|
Rig hours
(000's)
|
|
154.7
|
|
|
214.2
|
|
|
318.6
|
|
|
423.8
|
Rig utilization
rate
|
|
51%
|
|
|
71%
|
|
|
53%
|
|
|
71%
|
Revenue per rig hour,
excluding manufacturing
|
$
|
351
|
|
$
|
410
|
|
$
|
364
|
|
$
|
408
|
Well servicing rig
profit per rig hour
|
$
|
61
|
|
$
|
116
|
|
$
|
65
|
|
$
|
111
|
Segment profits as a
percent of revenue
|
|
16.8%
|
|
|
27.8%
|
|
|
17.3%
|
|
|
25.9%
|
|
|
|
|
|
|
|
|
|
|
|
|
Contract
Drilling
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of rigs
|
|
12
|
|
|
12
|
|
|
12
|
|
|
12
|
Rig operating
days
|
|
280
|
|
|
942
|
|
|
954
|
|
|
1,763
|
Revenue per
day
|
$
|
15,500
|
|
$
|
16,300
|
|
$
|
16,600
|
|
$
|
16,400
|
Drilling rig profit
per day
|
$
|
3,000
|
|
$
|
5,100
|
|
$
|
5,000
|
|
$
|
5,200
|
Segment profits as a
percent of revenue
|
|
19.6%
|
|
|
31.5%
|
|
|
30.3%
|
|
|
31.8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Includes
approximately $4,516,000 and $3,911,000 of non-cash compensation
expense for the three months ended June 30, 2015 and 2014,
respectively, and $9,047,000 and $7,480,000 for the six months
ended June 30, 2015 and 2014, respectively.
|
|
|
(2)
|
Excludes Basic's
barge rig operations that were sold on March 31, 2014.
|
|
|
(3)
|
This earnings release
contains references to the non-GAAP financial measure of earnings
(net income) before interest, taxes, depreciation and amortization,
or "EBITDA." This earnings release also contains references to the
non-GAAP financial measure of earnings (net income) before
interest, taxes, depreciation, amortization, loss on legal
settlements, loss on custom audit settlements, and the gain or loss
on disposal of assets or "Adjusted EBITDA." EBITDA and Adjusted
EBITDA should not be considered in isolation or as a substitute for
operating income, net income or loss, cash flows provided by
operating, investing and financing activities, or other income or
cash flow statement data prepared in accordance with GAAP. However,
Basic believes EBITDA and Adjusted EBITDA are useful supplemental
financial measures used by its management and directors and by
external users of its financial statements, such as investors, to
assess:
|
|
|
•
|
The financial
performance of its assets without regard to financing methods,
capital structure or historical cost basis;
|
•
|
The ability of its
assets to generate cash sufficient to pay interest on its
indebtedness; and
|
•
|
Its operating
performance and return on invested capital as compared to those of
other companies in the well servicing industry, without regard to
financing methods and capital structure.
|
|
|
EBITDA and Adjusted
EBITDA each have limitations as an analytical tool and should not
be considered an alternative to net income, operating income, cash
flow from operating activities or any other measure of financial
performance or liquidity presented in accordance with GAAP. EBITDA
and Adjusted EBITDA exclude some, but not all, items that affect
net income and operating income, and these measures may vary among
other companies. Limitations to using EBITDA as an analytical tool
include:
|
|
•
|
EBITDA does not
reflect its current or future requirements for capital expenditures
or capital commitments;
|
•
|
EBITDA does not
reflect changes in, or cash requirements necessary, to service
interest or principal payments on, its debt;
|
•
|
EBITDA does not
reflect income taxes;
|
•
|
Although depreciation
and amortization are non-cash charges, the assets being depreciated
and amortized will often have to be replaced in the future, and
EBITDA does not reflect any cash requirements for such
replacements; and
|
•
|
Other companies in
its industry may calculate EBITDA differently than Basic does,
limiting its usefulness as a comparative measure.
|
|
In addition to each
of the limitations with respect to EBITDA noted above, the
limitations to using Adjusted EBITDA as an analytical tool
include:
|
|
•
|
Adjusted EBITDA does
not reflect Basic's gain or loss on disposal of assets;
|
•
|
Adjusted EBITDA does
not reflect Basic's loss on legal settlements;
|
•
|
Adjusted EBITDA does
not reflect Basic's loss on customer audit settlements;
and
|
•
|
Other companies in
our industry may calculate Adjusted EBITDA differently than Basic
does, limiting its usefulness as a comparative measure.
|
|
|
The following table presents a reconciliation of net income to
EBITDA, which is the most comparable GAAP performance measure, for
each of the periods indicated:
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
June 30,
|
|
Six months ended
June 30,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
Reconciliation of
Net Income (Loss) to EBITDA:
|
(Unaudited)
|
|
(Unaudited)
|
Net income /
(loss)
|
$
|
(48,295)
|
|
$
|
2,444
|
|
$
|
(80,919)
|
|
$
|
536
|
Income
taxes
|
|
(27,152)
|
|
|
2,188
|
|
|
(45,035)
|
|
|
1,600
|
Net
interest expense
|
|
16,837
|
|
|
16,553
|
|
|
33,694
|
|
|
33,399
|
Depreciation and amortization
|
|
60,231
|
|
|
51,785
|
|
|
121,160
|
|
|
103,490
|
EBITDA
|
$
|
1,621
|
|
$
|
72,970
|
|
$
|
28,900
|
|
$
|
139,025
|
|
The following table presents a reconciliation of net income to
"Adjusted EBITDA," which means our EBITDA excluding the gain or
loss on disposal of assets, loss on legal settlements, and loss on
customer audit settlements:
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
June 30,
|
|
Six months ended
June 30,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
Reconciliation of
Net Income (Loss) to Adjusted EBITDA:
|
(Unaudited)
|
|
(Unaudited)
|
Net income /
(loss)
|
$
|
(48,295)
|
|
$
|
2,444
|
|
$
|
(80,919)
|
|
$
|
536
|
Income
taxes
|
|
(27,152)
|
|
|
2,188
|
|
|
(45,035)
|
|
|
1,600
|
Net
interest expense
|
|
16,837
|
|
|
16,553
|
|
|
33,694
|
|
|
33,399
|
Depreciation and amortization
|
|
60,231
|
|
|
51,785
|
|
|
121,160
|
|
|
103,490
|
(Gain) loss on disposal
of assets
|
|
(57)
|
|
|
916
|
|
|
(9)
|
|
|
237
|
Loss on legal
settlements
|
|
-
|
|
|
4,613
|
|
|
-
|
|
|
4,613
|
Loss on customer audit
settlement
|
|
4,500
|
|
|
-
|
|
|
4,500
|
|
|
-
|
Adjusted
EBITDA
|
$
|
6,064
|
|
$
|
78,499
|
|
$
|
33,391
|
|
$
|
143,875
|
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/basic-energy-services-reports-second-quarter-2015-results-300121684.html
SOURCE Basic Energy Services, Inc.