Patterson-UTI Energy Reports Bigger Loss than Expected

Posted by Michelle Howard
Thursday, February 8, 2018
Oil and gas driller Patterson-UTI Energy Inc, dealing with the fallout of a drilling accident that killed five workers last month, reported a bigger-than-expected quarterly loss on Thursday as expenses more than doubled.

The accident at an oil well in Oklahoma in January has turned the spotlight on the Houston-based company's safety record and on safety in the shale industry in general as President Donald Trump seeks to boost U.S. oil output.

The accident is still being investigated and Patterson CEO Andy Hendricks did not give any update on Thursday.

"There is nothing more important to us than the safety of our employees and others we partner with in the field," he said in a statement.

In the fourth quarter ended Dec. 31, Patterson earned $8,010 per day on average from its 161 active rigs. Analysts at Jefferies had estimated earnings of $7,279 for the period.

The company reported a net profit of $195.4 million, compared to a loss of $78.1 million a year earlier, benefiting from a nearly $227 million gain from new U.S. tax laws.

Excluding one-time items, Patterson reported a loss of 10 cents per share, bigger than analysts' average estimate of an 8-cent loss, according to Thomson Reuters I/B/E/S.

Expenses jumped to $809 million from $360.1 million.

Patterson's shares fell 2.2 percent to $21.37 on Thursday morning.

Revenue climbed to $787.3 million from $246.9 million a year ago, helped by higher drilling activity. Analysts had expected revenue of $764.5 million.

Reporting by Ahmed Farhatha in Bengaluru
Categories: Energy Finance People & Company News

Related Stories

FPSO for Azule Energy’s Angola Offshore Field Starts Taking Shape in China

Oil Eases After Topping $100, Still Set for Weekly Rise

QatarEnergy Prolongs LNG Force Majeure, Charters Out Tankers

Chevron Enlists Velesto’s Jack-Up Rig for Drilling Job off Malaysia

ABL Gets Papua New Guinea FSO Job

Oil Rises on Dual Shipping Threat in Hormuz and Red Sea

Velesto Frees Up Drilling Rig After Early Contract Termination off Indonesia

Oil Rises 2% as Middle East Hostilities Escalate

Oil Surges to Four-Week High as US-Iran Trade Blows

Floating Nuclear: A New Offshore Energy Frontier

Current News

ADNOC, SLB Roll Out AI Platform Across More Than 120 Drilling Rigs

Oil Rises as Uncertainty Clouds US-Iran Peace Talks

India’s ONGC to Allocate Half of New Oil Storage to Strategic Reserves

Subsea7 Lands ‘Sizeable’ Contract for Work Offshore Brunei

FPSO for Azule Energy’s Angola Offshore Field Starts Taking Shape in China

Borr Drilling's Mexican JV Expands Fleet with Five Jack-Ups

Keppel Launches $2.9B Program to Monetize Legacy Offshore Drilling Rigs

Saipem Cuts Earnings Outlook as Middle East Costs Rise

Serica Energy Agrees $194M Pharos Energy Acquisition

Oil Eases After Topping $100, Still Set for Weekly Rise

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com