High Artic chairman happy with 31st positive earnings

HIGH Arctic’s chairman Michael Binnion says the company is proud of delivering its 31st consecutive quarter of positive earnings before interest, taxes, depreciation and amortisation results.
Binnion announced High Arctic’s second quarter results.
He said the Canadian company, which had a strategic position in PNG as one of the world’s great emerging markets, was as strong as ever.
“Plus, we are now well positioned for a turnaround in the Canadian market,” he said.
“We will continue our search for opportunistic acquisitions during the downturn to diversify our revenue base. Our board renewal and management succession plan remains a top priority.
“We won’t settle for less than the excellence in top tier performance that got us here.”
Revenue during the quarter increased 17 per cent to CAD$51.1 million (K124.78 million) from CAD$43.5 million (K106.22 million) in the second quarter of last year.
This increase in revenue was driven by the growth in High Arctic’s production services segment through the Tervita Acquisition completed on August 31 last year.
It offset lower quarter-over-quarter revenue contribution from the Corporation’s Drilling Services segment which benefited from higher activity levels in the second quarter of 2016 versus the second quarter of 2017.
During the quarter, the use of High Arctic’s registered Concord Well servicing rigs was 49 per cent versus industry utilisation of 24 per cent.
There was also an increased contribution from High Arctic’s production services segment.
Consistent with prior quarters, High Arctic declared CAD$2.7 million (K6.57 million) – (CAD$0.05 (K0.12) per share) – in dividends during the quarter representing 30 per cent of funds provided from operations in the quarter.