Business
CE Franklin Ltd. reports earnings of $0.25 per share in the third quarter of 2006
CE Franklin Ltd. reports earnings of $0.25 per share in the third quarter of 2006.
About this update from Craftport Cannabis Corp
[{"type":"text","content":"\n\n\n\n\nCALGARY, Oct. 31 /CNW/ - CE FRANKLIN LTD. (TSX.CFT, AMEX.CFK) announced a\n14% increase in earnings per share for the third quarter ended September 30,\n2006.\nCE Franklin reported net income of $4.7 million or $0.25 per share\n(diluted) for the third quarter ended September 30, 2006 as compared to net\nincome of $4.2 million or $0.22 per share (diluted) for the quarter ended\nSeptember 30, 2005.\n\n>\n\nSales increased 7.7% to $131.2 million for the quarter ended\nSeptember 30, 2006 as compared to $121.8 million for the quarter ended\nSeptember 30, 2005. Key statistics CE Franklin uses to measure industry\nactivity levels include well completions and rig counts. Well completions\n(excluding dry and service wells) were down 23.6% to 4,030 wells for the three\nmonths ended September 30, 2006 compared to 5,273 for the three months ended\nSeptember 30, 2005. Average rig count for the quarter ended September 30, 2006\ndecreased by 4.1% to 516 rigs compared to 538 rigs for the quarter ended\nSeptember 30, 2005.\nThe 7.7% increase in sales has softened compared to the increases in\nsales seen in the first six months of 2006. This is due to the reduction in\nindustry activity, as evidenced by the well completions and rig count data\nabove.\nEBITDA(1) for the quarter ended September 30, 2006 increased 1% to\n$8.4 million from $8.3 million for the quarter ended September 30, 2005. The\n$9.4 million increase in sales resulted in an incremental flow through to\nEBITDA of 0.9% and 5.4% to net income, as amortization charges were reduced\nyear over year.\n\"The Company reported the 16th quarter in a row of year over year\nimprovement despite the decrease in market activity,\" said Michael West,\nChairman, President and CEO. \"The Company remains committed to its long term\nstrategies.\"\n\nOutlook\n-------\n\nAlthough industry activity levels are difficult to forecast with\ncertainty, many industry watchers are now anticipating a softening in activity\nlevels in the fourth quarter of 2006 and into 2007. The decline in gas prices\nmay result in further reduction in activity levels for Canadian exploration\nand production entities, as gas drilling in 2006 comprises approximately 70%\nof all wells drilled.\n\nConference Call and Webcast Information\n---------------------------------------\n\nA conference call to review the quarter end...