Precision Drilling Corp. reports net earnings of $18-million, or 6 cents per diluted share, for the three months ended June 30, 2012.
That compares to net earnings of $16-million, or 6 cents per diluted share, in the second quarter of 2011.
Revenue for the second quarter of 2012 was $382-million compared to $345-million during the comparable period in 2011.
Analysts polled by Thomson Reuters were on average expecting Precision to report earnings of 3 cents per share and revenues of $377-million.
The Calgary-based company says its second quarter revenue was lower than the first quarter due to the seasonality of oilfield service activity in Canada known as “spring break-up.” Spring break-up was extended this year due to significant rainfall in western Canada.
Precision is Canada’s largest oilfield services company, with a presence in the United States and Latin America.
With producers chasing unconventional oil and gas reservoirs throughout North America, demand has been high for the powerful, high-tech drilling rigs Precision has in its fleet.
It said in December it plans to boost its capital budget by 54 per cent to $1.14-billion in 2012, including carry-over costs from last year.
The figure includes $738-million for expansion capital, $232-million for sustaining and infrastructure expenditures and $173-million for upgrades and long-lead-time item expenditures.
About $964-million is targeted for the company’s contract drilling segment and $179-million for the completion and production services segment.