The company generated US$6.5mln of revenue in the six months ended 30 September, versus US$4.2mln in the same period a year before. Adjusted underlying earnings (EBITDA) amounted to US$1.5mln, up from US$600,000 in the first half of 2018.
“Enteq has delivered progressive growth, both in revenue and adjusted EBITDA, for the third successive first half reporting period, with a particularly strong performance from international sales,” said Martin Perry, Enteq chief executive.
“Investment continues to be made into both new technology and strategic opportunities with the recent exclusive technology agreement with Shell significantly broadening the potential for Enteq. Despite a recent drop in the number of active rigs drilling in North America, Enteq is optimistic for growth as new technology and markets are introduced,” Perry added.
“The board is confident in meeting its full-year expectations,” he concluded.
In its outlook, the company said: “Despite a recent drop in the number of active rigs drilling in North America, Enteq is optimistic for growth as new technology and markets are introduced.”
The company ended the first half with US$10.7mln of cash and other balances, and it noted that a continuing strong balance sheet enables further investment opportunities.
Proactive analyst Ed Stacey said the results reflected “the company’s strategic initiative to increase international revenues”, which he expected to continue to grow going forward.
He added that Enteq’s new technology investments were expected to “contribute strongly to revenue growth in the period 2020-2022”.
In late-afternoon trading on Thursday, Enteq’s shares were 3% lower at 29.5p.
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