Tetra Technologies Inc. has a market cap of $1.09 billion; its shares were traded at around $14.26 with a P/E ratio of 24.6 and P/S ratio of 1.3.
Highlight of Business Operations:Consolidated general and administrative expenses increased during the first quarter of 2011 compared to the prior year period due to approximately $1.8 million of increased employee related costs, approximately $1.0 million of increased professional fee expenses, and $2.2 million of increased bad debt expense, primarily due to the reversal of $1.3 million of bad debt expense during the prior year period. Increased office expenses, tax expenses, and general expenses were largely offset by decreased insurance expense.
Consolidated other income increased during the first quarter of 2011 compared to the prior year period, primarily due to approximately $0.6 million of increased earnings from unconsolidated joint ventures, approximately $0.8 million of increased gains on sales of assets, $0.6 million of decreased minority interest expense, and approximately $0.3 million of increased hedge ineffectiveness gains in the current period. These increases were partially offset by approximately $0.9 million of decreased foreign currency gains.
Our provision (benefit) for income taxes during the first quarter of 2011 decreased to a $1.5 million benefit compared to a $3.0 million provision during the prior year period, due to our net loss for the period.
The increase in Fluids Division revenues during the first quarter of 2011 compared to the prior year period was primarily due to $8.2 million of increased product sales revenues. This increase was due to $6.6 million of increased clear brine fluids (CBFs) product sales revenues, particularly internationally. Also contributing to the increased revenues was $1.6 million of increased revenue from manufactured products, primarily from sales of increased production volumes of calcium chloride associated with our El Dorado, Arkansas, calcium chloride plant. Increased onshore domestic activity levels resulted in approximately $2.8 million of increased service revenues.
Revenues from our Offshore Services segment increased slightly during the first quarter of 2011 compared to the prior year quarter. Increased decommissioning and diving services revenues were largely offset by decreased cutting services activity and a soft pricing environment. During 2010, the BOEMRE issued NTL 2010-G05, the “Idle Iron Guidance” regulations, which require that wells must be permanently plugged within three years of becoming uneconomic and that platforms and other infrastructure must be removed within five years of becoming uneconomic to operate. We anticipate that these new regulations will increase, perhaps significantly, the future demand for well abandonment and decommissioning services to be performed by our Offshore Services segment. We continue to capitalize on the remaining demand for well abandonment and decommissioning services for the remaining offshore properties that were damaged or destroyed by hurricanes in recent years. Still, we anticipate that levels of Offshore Services segment activity in 2011 will again be lower than the record activity levels we experienced during most of 2009. Approximately $5.6 million of Offshore Services revenues were from work performed for Maritech during the first quarter of 2011, compared to $5.1 million of such work in the prior year period. These intercompany revenues are eliminated in consolidation.
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