Ensign Energy Services Swings to Q1 Loss YoY
Ensign Energy Services (ESI.TO) reported Thursday a year-over-year swing to net loss in the first quarter, amid moderate spending from oil and natural gas producers.The company posted a net loss of C$11.1 million, or a loss of $0.06 per share, for the three months ended March 31, reversing the net income of $3.7 million, or $0.02 per share, in the year-ago period.Analysts estimated a loss of $0.04 per share, according to consensus estimates compiled by FactSet.Revenue fell 4% to $418.0 million while adjusted EBITDA dropped 7% to $94.8 million."To date, oil and natural gas producers continue to moderate their capital spend, remain committed to cash flow generation and maintaining current production levels," Ensign said."Furthermore, the impact of uncertainty around the global economy and tariff policies adopted by the U.S. administration and the implications from such policies continue to impact operating activity," Ensign added.Ensign expects the Middle East war to directly impact the industry, while noting thatthe oilfield services sector maintains a generally constructive outlook despite a year-over-year activity decline in Canada.
