Tetra Technologies, Inc. (TTI), an oil and gas services and production company, Monday reported an increase in profit for the third quarter, helped by higher offshore services revenue. Quarterly earnings topped analysts' estimates. TTI shares are currently up more than 17%.
The Woodlands, Texas-based company's net income for the quarter rose to $22.66 million or $0.30 per share from $11.66 million or $0.15 per share in the previous year. Results for the quarter include special charge resulting from repair related expenses incurred by Maritech of $0.30 per share for the quarter.
Consolidated results per share from continuing operations for the third quarter were $0.30, compared to $0.16 in the third quarter of 2008.
On average, eight analysts polled by Thomson Reuters expected the company to report earnings of $0.22 per share for the quarter. Analysts' estimates typically exclude one time charges and gains.
Total revenues for the quarter rose to $253.97 million from $249.10 million a year ago. Analysts expected a revenue of $225.86 million for the quarter.
Revenue from Fluids Division declined to $50.89 million from $65.40 million last year. Revenue from Offshore Division was $163.23 million, up from $127.81 million a year ago. Revenue from Production Enhancement division declined to $40.03 million from $56.10 million in the previous year.
General and administrative expenses declined to $24.23 million from $25.64 million last year.
Depreciation, depletion and amortization charges declined to $37.44 million from $50.39 million a year ago.
For the nine-month period, net income declined to $43 million or $0.57 per share from $47.76 million or $0.63 per share in the same period of the previous year. Total revenues for the period declined to $667.17 million from $778.64 million last year.
Looking ahead, President and Chief Executive Officer Stuart Brightman said, "As we go forward, we are encouraged by the trends experienced during the third quarter in the GOM and Brazil. We delivered fluids to Brazil under our previously announced Petrobras contract during the third quarter, and we expect those deliveries to continue in the fourth quarter."
TTI is currently trading at $11.33, up 1.70 or 17.65%, on a volume of 831K shares on the NYSE.
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