HOUSTON, July 17, 2013 /PRNewswire/ -- Superior Energy
Services, Inc. (NYSE: SPN) today announced that second quarter 2013
earnings per diluted share are expected to be in the range of
$0.42 and $0.44, which is below the range of expectations
established by research analysts following the Company. The Company
will provide an update to annual guidance in its second quarter
earnings press release.
The second quarter was negatively affected primarily by downtime
associated with the repositioning of pressure pumping equipment
from north Texas to supplement
existing operations in other basins, flooding in North Dakota which curtailed demand for
completions and production-related activity and lower coiled tubing
activity in Mexico due to activity
delays in the northern part of the country.
David Dunlap, CEO of Superior,
commented, "Most of the issues that impacted us in the second
quarter were transitory. The decision to reposition pressure
pumping horsepower fits with our strategy of managing to margins
rather than market share. As a result, instead of competing in a
region where potential pricing and utilization were less than
optimal, we were able to secure work in other areas. Our pressure
pumping profit margins were unchanged as compared with the first
quarter due to increased service intensity.
"The weather-related issues in North
Dakota are over and activity in that area has improved. In
Mexico, we have managed costs to
the point where we anticipate margins to improve in the third
quarter.
"Partially offsetting these issues were increased activity for
our Drilling Products and Services Segment internationally and in
the Gulf of Mexico, and certain
services in the Production Services Segment in Latin America.
"As a result of the flexibility in our capital expenditures
program, we still anticipate achieving one of our 2013 priorities
of strong free cash flow generation."
Second Quarter Earnings Conference Call
Superior also announced today that it will release its 2013
second quarter results on Monday, July
29, after the market closes. In conjunction with the
release, the Company has scheduled a conference call, which will be
broadcast live over the Internet, on Tuesday, July 30 at 11:00
a.m. Eastern time. Investors may participate either by phone
or audio webcast.
By
Phone:
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Dial 480-629-9692 at
least 10 minutes before the call. A replay will be available
through August 13 by dialing 303-590-3030 and using the access code
4627650#.
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By
Webcast:
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Connect to the
webcast via the Investor Relations section of Superior Energy's
website at www.superiorenergy.com. Please log in at least 10
minutes in advance to register and download any necessary
software. A replay will be available shortly after the
call.
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About Superior Energy Services
Superior Energy Services, Inc. serves the drilling, completion
and production-related needs of oil and gas companies worldwide
through its brand name drilling products and its integrated
completion and well intervention services and tools, supported by
an engineering staff who plan and design solutions for
customers.
This press release contains certain forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995 which involve known and unknown risks,
uncertainties and other factors. Among the factors that could
cause actual results to differ materially are volatility of the oil
and gas industry, including the level of exploration, production
and development activity; risks associated with the uncertainty of
macroeconomic and business conditions worldwide, as well as the
global credit markets; risks associated with the Company's rapid
growth; changes in competitive factors; and other material factors
that are described from time to time in the Company's filings with
the Securities and Exchange Commission. Actual events,
circumstances, effects and results may be materially different from
the results, performance or achievements expressed or implied by
the forward-looking statements. Consequently, the
forward-looking statements contained herein should not be regarded
as representations by the Company or any other person that the
projected outcomes can or will be achieved. Any
forward-looking statement made in this press release is based only
on information currently available to the Company and speaks only
as of the date on which it is made. The Company undertakes no
obligation to publicly update any forward-looking statement,
whether written or oral, that may be made from time to time,
whether as a result of new information, future developments or
otherwise.
FOR FURTHER INFORMATION CONTACT:
David Dunlap, President and CEO
(713) 654-2200;
Robert Taylor, CFO or Greg Rosenstein, EVP, (504) 587-7374
SOURCE Superior Energy Services, Inc.