Business
Trican Reports Second Quarter Results for 2019
Calgary, Alberta--(Newsfile Corp. - August 1, 2019) - Trican Well Service Ltd. (TSX: TCW) (" T...
About this update from Trican Well Service Ltd.
[{"type":"text","content":"Trican Reports Second Quarter Results for 2019Calgary, Alberta--(Newsfile Corp. - August 1, 2019) - Trican Well Service Ltd. (TSX: TCW) (\"Trican\" or the \"Company\") is pleased to announce its second 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 and six months ended June 30, 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.HIGHLIGHTS Consolidated revenue from continuing operations for Q2 2019 was $110.0 million, a 36% decrease compared to Q2 2018. Adjusted EBITDA1 for Q2 2019 was negative $14.3 million, which is net of $2.6 million in expenses for stainless steel fluid ends1 compared to negative $1.5 million for Q2 2018, which was net of $3.5 million in expenses for stainless steel fluid ends1. Proceeds from asset sales of $12.5 million resulted in a gain of $3.1 million. Net loss for Q2 2019 was $28.6 million (Q2 2018 - net loss of $34.6 million). Aggressive cost reduction measures taken in the second half of 2018 and first half of 2019 have resulted in more than $25 million of annualized cost savings and helped mitigate the effects of reduced industry activity and a more competitive pricing environment. For the three months ended June 30, 2019, the Company purchased and canceled 5,262,000 common shares at a weighted average price per share of $1.37 pursuant to its Normal Course Issuer Bid (\"NCIB\"). The adoption of IFRS 16 - Leases for the three months ended June 30, 2019 resulted in a $0.8 million decrease to rent expense (increase to adjusted EBITDA1), a $0.9 million increase to depreciation expense, and a $0.3 million increase to interest expense in Q2 2019. CONTINUING OPERATIONS - FINANCIAL REVIEW ($ millions, except per share amounts; total proppant pumped1 (thousands); internally sourced proppant pumped1 (thousands); total job count1; and HHP1) Three months ended Six months ended (thousands);(unaudited) June 30, 2019 June 30, 2018 March 31, 2019 June 30, 2019 June 30, 2018 Revenue $110.0 $172.0 $245.7 $355.7 $478.7 Gross profit / (loss) (37.6) (18.0) 8.2 (29.4) 20.9 Adjusted EBITDA1 (14.3) (1.5) 26.3 11.9 53.4 Net loss (28.6) (34.6) (6.6) (35.2...