AMSTERDAM, Sept. 5, 2017 /PRNewswire/ -- Core
Laboratories N.V. (NYSE: "CLB US" and Euronext Amsterdam: "CLB NA")
("Core", "Core Lab", or the "Company") reported on the impact to
Core Lab of Hurricane Harvey which caused significant damage to
parts of the U.S. Gulf Coast as a result of its high winds and
unprecedented flooding. The impact consists of two
components. First, Core Lab was affected by closures of its primary
locations along the U.S. Gulf Coast due to flooding in the area,
though its U.S. Gulf Coast locations were not materially damaged
and have now reopened and are beginning to conduct business again.
The second component is the impact on Core Lab's clients which
operate in the U.S. Gulf Coast and Gulf
of Mexico regions. Those clients experienced similar
flooding and business disruption issues which have curtailed their
ability to submit work to Core Lab. Their ability to recover and
resume normal operations will vary on an individual basis.
The Company's impacted locations, which represent approximately
10% to 12% of the Company's total revenues, were closed and
operations were halted as a result of Hurricane Harvey. During that
time, the Company's revenue from those affected locations was
adversely affected; however, since it was not possible to change
the Company's cost structure during the Hurricane, significant
decremental margins were incurred.
Based on an early assessment of the financial impact of
Hurricane Harvey on Core Lab, the Company now projects third
quarter 2017 revenue of approximately $161,000,000 and EPS of $0.44. These estimates are subject to change as
more information becomes available. Core will provide an update on
its third quarter 2017 earnings conference call to be held on
24 October 2017.
Core Laboratories N.V. (www.corelab.com) is a leading provider
of proprietary and patented reservoir description and production
enhancement services used to optimize petroleum reservoir
performance. The Company has over 70 offices in more than 50
countries and is located in every major oil-producing province in
the world. This release includes forward-looking statements
regarding the future revenue, profitability, business strategies
and developments of the Company made in reliance upon the safe
harbor provisions of Federal securities law. The Company's outlook
is subject to various important cautionary factors, including risks
and uncertainties related to the oil and natural gas industry,
business conditions, international markets, international political
climates and other factors as more fully described in the Company's
2016 Form 10-K filed on 10 February
2017 and in other securities filings. These important
factors could cause the Company's actual results to differ
materially from those described in these forward-looking
statements. Such statements are based on current expectations of
the Company's performance and are subject to a variety of factors,
some of which are not under the control of the Company. Because the
information herein is based solely on data currently available, and
because it is subject to change as a result of changes in
conditions over which the Company has no control or influence, such
forward-looking statements should not be viewed as assurance
regarding the Company's future performance. The Company undertakes
no obligation to publicly update any forward looking statement to
reflect events or circumstances that may arise after the date of
this press release, except as required by law.
Visit the Company's website at www.corelab.com. Connect
with Core Lab on Facebook, LinkedIn and YouTube.
View original content with
multimedia:http://www.prnewswire.com/news-releases/core-lab-reports-on-impact-of-hurricane-harvey-updates-third-quarter-2017-guidance-300514184.html
SOURCE Core Laboratories N.V.