Trading Statement

RNS Number : 9209E

Enteq Upstream PLC

16 April 2014

 

Enteq Upstream plc

("Enteq")

Trading Statement

Enteq Upstream plc ("Enteq") the oilfield services technology and equipment supplier, today gives a year-end trading update.

The Board expects to report adjusted EBITDA of approximately $1.9m on revenues of approximately $24m for the financial year ended 31^st March 2014.  This is in line with market expectations and represents some 25% revenue growth over the previous year's pro-forma figure.

Revenues in the year were predominantly generated in North America where the drilling equipment markets have stabilised. In line with our strategy we continue the internationalisation of the business and during the year have established sales channels into Russia, China and The Middle East.  Incremental sales are being generated by the integration of the product lines into a combined Measurement While Drilling system.

Enteq continues to invest in enhancing the drilling product line and technology. The year-end cash balance, at around $19m, will support this.

Enteq final results for the year ended 31^st March 2014 will be released in June 2014 which, based on more conservative estimates of growth in North America, will include a non-cash impairment of goodwill and intangible asset values.

Martin Perry, CEO, commented "Enteq has met financial expectations for the year ended March 2014 and maintains a strong cash balance.

In a more stable North American market and through investment in internal product development, international business expansion and strategic new technologies we expect to maintain margins with similar levels of revenue growth and incremental cash generation."

For further information, please contact:

Enteq Upstream plc	[phone]
Martin Perry, Chief Executive Officer
David Steel, Finance Director
Investec Bank plc (NOMAD and Broker)	[phone]
Chris Treneman, Patrick Robb, David Anderson

Vigo Communications

Patrick D'Ancona, Peter Reilly                                 [phone]

 

END

 

 

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