Basic Energy Services Inc. (BAS, Financial) filed Quarterly Report for the period ended 2009-03-31.
Basic Energy Services provides a range of services to America?s oil and gas producers. Its operations span the heartland of domestic onshore production from Texas Oklahoma Louisiana and New Mexico to the Rocky Mountain states . Its services support the entire life cycle of a well - from drilling to production and finally - abandonment. They are committed to providing a safe and rewarding workplace giving its customers the value they expect and doing our part to support a strong and viable oil and gas industry. Basic Energy Services Inc. has a market cap of $514.4 million; its shares were traded at around $12.79 with a P/E ratio of 6.3 and P/S ratio of 0.6.
The decrease in revenue per fluid service truck to $80 in the first quarter of 2009 from $111 in the fourth quarter of 2008 and the decrease in segment profit percentage to 31.4% in the first quarter of 2009 from 38.1% in the fourth quarter of 2008 were caused by lower customer demand and significant rate decreases in all of our market areas.
The decrease in completion and remedial revenue to $37.3 million in the first quarter of 2009 from $70.7 million in the fourth quarter of 2008 was caused by the decline in oil and gas prices in the last part of 2008 and the first quarter of 2009, which resulted in
Self-Insured Risk Accruals. We are self-insured up to retention limits with regard to workers compensation and medical and dental coverage of our employees. We generally maintain no physical property damage coverage on our workover rig fleet, with the exception of certain of our 24-hour workover rigs and newly manufactured rigs. We have deductibles per occurrence for workers compensation and medical and dental coverage of $375,000 and $180,000 respectively. We have lower deductibles per occurrence for automobile liability and general liability. We maintain accruals in our consolidated balance sheets related to self-insurance retentions by using third-party actuarial data and historical claims history.
Read the The complete ReportBAS is in the portfolios of John Keeley of Keeley Fund Management.
Basic Energy Services provides a range of services to America?s oil and gas producers. Its operations span the heartland of domestic onshore production from Texas Oklahoma Louisiana and New Mexico to the Rocky Mountain states . Its services support the entire life cycle of a well - from drilling to production and finally - abandonment. They are committed to providing a safe and rewarding workplace giving its customers the value they expect and doing our part to support a strong and viable oil and gas industry. Basic Energy Services Inc. has a market cap of $514.4 million; its shares were traded at around $12.79 with a P/E ratio of 6.3 and P/S ratio of 0.6.
Highlight of Business Operations:
The decrease in oil and gas prices over the last part of 2008, along with prices remaining depressed through the first quarter of 2009, caused a decrease in rig utilization to 44.7% in the first quarter of 2009 compared to 61.6% in the fourth quarter of 2008, as our customers decreased their capital and maintenance expenditures for our services. This decrease in customer demand caused increased price competition with our competitors, which in turn resulted in the decrease in revenue per rig hour to $369 in the first quarter of 2009 from $418 in the fourth quarter of 2008. Our rates declined faster than our costs, resulting in the decrease in segment profit percentage to 24.4% in the first quarter of 2009 from 33.8% in the fourth quarter of 2008.The decrease in revenue per fluid service truck to $80 in the first quarter of 2009 from $111 in the fourth quarter of 2008 and the decrease in segment profit percentage to 31.4% in the first quarter of 2009 from 38.1% in the fourth quarter of 2008 were caused by lower customer demand and significant rate decreases in all of our market areas.
The decrease in completion and remedial revenue to $37.3 million in the first quarter of 2009 from $70.7 million in the fourth quarter of 2008 was caused by the decline in oil and gas prices in the last part of 2008 and the first quarter of 2009, which resulted in
Self-Insured Risk Accruals. We are self-insured up to retention limits with regard to workers compensation and medical and dental coverage of our employees. We generally maintain no physical property damage coverage on our workover rig fleet, with the exception of certain of our 24-hour workover rigs and newly manufactured rigs. We have deductibles per occurrence for workers compensation and medical and dental coverage of $375,000 and $180,000 respectively. We have lower deductibles per occurrence for automobile liability and general liability. We maintain accruals in our consolidated balance sheets related to self-insurance retentions by using third-party actuarial data and historical claims history.
Read the The complete ReportBAS is in the portfolios of John Keeley of Keeley Fund Management.
