Business
H1 2018 Trading Update
H1 2018 Trading Update.
About this update from Hunting Plc
[{"type":"text","content":"\n \nRNS Number : 8104S Hunting PLC 28 June 2018 \n\n\n\n\n\nFor Immediate Release\n\n\n28 June 2018\n\n\n\n\n \n \n \nHunting PLC\n \n(\"Hunting\" or \"the Company\" or \"the Group\")\n \nH1 2018 Trading Update\n \nHunting PLC (LSE:HTG), the international energy services group, today issues a pre-close trading update, ahead of its Half Year Results to be issued on Thursday 30 August 2018.\n \nThe Group's performance during the period has continued to reflect strong activity levels within US onshore completions, improving sentiment in the US offshore market and localised regional improvements in the Asia Pacific and Middle East markets. Activity levels in Europe and Canada remain challenging as lower drilling activity continues to impact these markets.\n \nBased on these regional trends, Hunting Titan has delivered a performance ahead of management's expectations and the Group's US segment has returned to operating profitability, while Hunting's other segments have delivered an operating loss in the period.\n \nWithin Hunting Titan, the segment reports a strong increase in sales across all product lines, driven in part from higher completion activities and greater frac intensity. This increase is supported by the further commercialisation of Hunting Titan's proprietary perforating technologies including the H-1 System and EQUAfrac™ shaped charge, which offer greater reliability, reduced rig time and higher margins of safety. The Permian Basin remains the largest contributor to Titan's sales, however, other basins have also reported good increases in activity as the stable oil price environment supports new drilling activity in the onshore US market. The manufacture of perforating systems in the Group's facilities in Canada, Mexico and China has also increased in the period.\n \nIn the US, the Group's Premium Connections, Drilling Tools, Advanced Manufacturing and Speciality business units have reported improved sales compared to 2017, predominantly supported by US onshore drilling activity. Hunting Electronics has performed strongly during the period as clients increase investment in new capital equipment, in addition to the business supporting Hunting Titan in the manufacture of perforating switches. Of note has been the improved performance of the segment's Manufact...