Going up: Profits climb at Trinidad.
Trinidad profit climbs
Canada's Trinidad Drilling reported higher quarterly profit, helped by acquisitions, expansion of rigs and higher utilisation rates.
For the fourth quarter, net earnings were C$21.8 million (US$17.4 million), or 23 cents a share, compared with C$17.9 million, or 21 cents a share, a year earlier.
Revenue rose 40% to C$205.3 million.
Analysts on average were expecting earnings of 22 cents a share, before items, on revenue of C$207.18 million, according to Reuters estimates.
Trinidad like others in the industry is bearing the brunt of lower commodity prices that have reduced demand for rigs.
In response to the slowdown, the company expanded into new markets such as Mexico and moved under-utilised equipment into more profitable areas.
The company said its quarterly drilling utilisation rate of 61% in Canada continued to surpass industry utilisation rate of 43%.
"We believe that 2009 will be a challenging year for most companies and know that Trinidad is not immune to these outside influences. However, we have prepared the company for these challenges," boss Lyle Whitmarsh said in a statement.
Last week, Trinidad halved its capital-spending forecast for this year.