US oil and gas slowdown impacts mancamp provider

Mancamp manufacturer Civeo Corporation says it’s U.S. operations had a drop in revenue in 2019 as the oil and gas industry experienced a slowdown in exploration and production.

The Canadian-based company has operations at El Reno and recently reported its U.S. operations generated revenues of $10 million in the fourth quarter of 2019 compared to $15.5 million in 2018. Civeo blamed the decrease on “subdued customer drilling and completion activity.”

Civeo’s total operations including those in Canada and Australia suffered a net loss of more than $32 million or $0.19 per share but its fourth quarter revenues were nearly $149 million, an increase of 30% year-over-year.

In the fourth quarter of 2018, Civeo generated $114.5 million in revenues and reported a net loss of $13.8 million or $0.08 a share.

For the year, the company said it had revenues of nearly $528 million and a net loss of $60.3 million or $0.36 a share. Adjusted EBITDA for the full year 2019 was $108.4 million. In 2018, the company had revenues of $466.7 million and a net loss of $131.8 million or $0.84 per share.

The company attributed the increased revenues in 2019 due to higher billed rooms in its Australian segment and operations in Canada.

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Source: Civeo release