LONDON (dpa-AFX) - International energy services group Hunting Plc (HTG.L) reported that its final quarter of the year has reflected slightly lower revenue compared to the previous two quarters, as an improving US onshore market is offset by lower international activity, primarily in its North Sea market, while other offshore projects have been delayed due to COVID-19 related issues.
The company continues to report a strong cash and bank of about $94 million as at November 30, 2020, as working capital improvements continue to generate cash.
Inventory levels at November 30, 2020 were about $304 million, reflecting a continued focus to reduce stock. Further, the company expects capital investment for the full year to be around $17 million.
Jim Johnson, Chief Executive of Hunting, said, 'As the Group approaches the year-end, market indicators including the WTI oil price, the onshore rig count and the number of active frac crews in the US, have all shown modest increases throughout the quarter which will support activity levels going into the New Year.'
With this market backdrop, coupled with a significantly lower cost base, where about $81 million in annualised savings have been recorded in the year to date, the company expects an improving performance for the year ahead.
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