Calfrac Well Services reports Q4 profit due to debt settlement gain
Calfrac Well Services Ltd. is reporting a fourth-quarter profit of $125.9 million. (File photo)
CALGARY -- Calfrac Well Services Ltd. reported a fourth-quarter profit of $125.9 million, boosted by a gain on the settlement of debt.
The oilfield services company says the profit for the quarter ended Dec. 31 amounted to $2.19 per diluted share.
The result included a $226.3-million gain on the settlement of debt and a $54.2-million deferred income tax expense.
Calfrac posted a net loss of $49.4 million or $17.07 per share diluted in the fourth quarter of 2019 when it had fewer shares outstanding.
Revenue totalled $180.7 million, down from $317.1 million a year earlier.
Calfrac underwent a recapitalization plan late last year that saw holders of its senior unsecured notes swap debt for shares, leaving existing shareholders with a reduced stake in the company.
This report by The Canadian Press was first published March 4, 2021