Well one of my oil service stocks (DPSI)dropped another $1.50 to set a new 52 week low of $11.25 on a paltry 50K shares - This stock has no liquidity and as I searched for a reason I found this release which I believe went out after the close - Will tom bring relief??????
SAN ANTONIO, Texas, May 28 /PRNewswire/ -- Dawson Production Services,
Inc. (NASDAQ:DPSI) today announced preliminary results for the fiscal fourth
quarter ended March 31, 1998.
Revenues for the fourth quarter of fiscal 1998 should range from
$54 million to $56 million, compared to revenues of $36.4 million recorded for
the fiscal 1997 fourth quarter. 1998 fourth quarter operating cash flow,
defined as earnings before interest, taxes, depreciation and amortization, or
EBITDA, should range from $10.5 million to $10.9 million, compared to EBITDA
of $6.6 million recorded for the 1997 fourth quarter. 1998 fourth quarter net
income should range between $1.4 million to $1.6 million, compared to net
income of $1.4 million reported for the 1997 fourth quarter. 1998 fourth
quarter earnings per share should range from $0.12 to $0.14, compared to
earnings per share $0.15 recorded for the 1997 fourth quarter.
"Based on preliminary results, we had a solid quarter across the majority
of our operating regions," stated Michael E. Little, Chairman, President and
Chief Executive Officer. "Two issues impacted our financial performance
during the fourth quarter as portions of our California and Gulf Coast regions
suffered utilization declines due to delays created by abnormal rainfall
during the quarter. Also, oil and gas producers' concerns about the drop in
oil prices during the quarter resulted in the inability to implement expected
price increases for our services.
"Looking forward, we remain focused on enhancing profits through cost
reductions and full utilization of our assets. We have taken the initiative
to accelerate additional cost savings in the fourth quarter that will improve
our margins in the coming quarters," said Mr. Little. "We have managed these
recent extraordinary events well and are poised for continued earnings growth
in our core businesses."
Dawson Production Services is scheduled to report actual fourth quarter
results on June 17, 1998.
Dawson Production Services, Inc. is a San Antonio, Texas-based diversified
energy services company providing workover rig services, liquid services, and
production services to oil and gas operators. Workover rig services are
comprised of the completion, maintenance, workover, and plugging and
abandonment of oil and gas wells. Liquid services are comprised of vacuum
truck services, frac tank rentals and salt water injection services that
provide an integrated mix of liquid services to well site customers.
Production services are comprised of production testing services, slickline
wireline services, fishing and rental tool services and pipe testing that
perform the deliverability tests required upon the initial completion of
wells. The Company operates from 37 locations concentrated primarily in the
Texas and Louisiana Gulf Coasts, the Permian Basin areas of West Texas and New
Mexico, and California.
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