Business
Trican Reports First Quarter Results for 2019
Calgary, Alberta--(Newsfile Corp. - May 9, 2019) - Trican Well Service Ltd. (TSX: TCW) (" Tric...
About this update from Trican Well Service Ltd.
[{"type":"text","content":"Trican Reports First Quarter Results for 2019Calgary, Alberta--(Newsfile Corp. - May 9, 2019) - Trican Well Service Ltd. (TSX: TCW) (\"Trican\" or the \"Company\") is pleased to announce its first quarter results for 2019. The following news release should be read in conjunction with Management's Discussion and Analysis, the unaudited interim consolidated financial statements and related notes of Trican for the three months ended March 31, 2019, as well as the Annual Information Form for the year ended December 31, 2018. All of the above documents are available on SEDAR at www.sedar.com.HIGHLIGHTSAggressive cost reduction measures taken in the second half of 2018 have resulted in more than $20 million of annualized cost savings and helped mitigate the effects of reduced industry activity and more competitive pricing environment. For the three months ended March 31, 2019, the Company purchased and canceled 7,041,600 common shares at a weighted average price per share of $1.36 pursuant to its Normal Course Issuer Bid (\"NCIB\").Adjusted EBITDA1 for Q1 2019 was $26.3 million, compared to $54.9 million for Q1 2018. Adjusted EBITDA1 for Q1 2019 would have been $29.2 million had the Company continued to depreciate $1.9 million for Stainless Steel Fluid Ends1, not incurred $1.7 million for severance due to restructuring efforts, nor received a benefit of $0.7 million from adjustments related to the adoption of IFRS 16 - Leases.Consolidated revenue from continuing operations for Q1 2019 was $245.7 million, a 20% decrease compared to Q1 2018.Net loss from continuing operations for Q1 2019 was $6.2 million (Q1 2018 - net loss of $28.4 million). Adopted IFRS 16 - Leases which added $15.9 million in right-of-use assets and lease liabilities (includes current portion). The adoption of IFRS 16 - Leases for the period ended March 31, 2019 resulted in a $0.7 million decrease to rent expense (increase to adjusted EBITDA1), a $0.9 million increase to depreciation expense, and a $0.3 million increase to interest expense in Q1 2019. FINANCIAL REVIEW  ($ millions, except per share amounts; total proppant pumped1 (thousands); internally sourced proppant pumped1 (thousands); total job count1; and HHP1)Three months ended(thousands);(unaudited)March 31, 2019March 31, 2018December 31, 2018Revenue$245.7$306.7$168.1Gross profit / (loss)8.238.9(26...