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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) April 30, 1998
PATTERSON ENERGY, INC.
(Exact name of registrant as specified in its charter)
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<S> <C> <C>
DELAWARE 0-22664 75-2504748
(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
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4510 LAMESA HIGHWAY, SNYDER, TEXAS 79549
(Address of principal executive offices) (Zip Code)
(915) 573-1104
(Registrant's telephone number, including area code)
No Change
(Former name or former address, if changed since last report.)
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ITEM 5. OTHER EVENTS.
On April 30, 1998 the Registrant issued the following press release:
PATTERSON ENERGY, INC. REPORTS FIRST QUARTER RESULTS FROM OPERATIONS
SNYDER, TEXAS, APRIL 30, 1998---PATTERSON ENERGY, INC. (NASDAQ:PTEN) today
reported net income for the first quarter ended March 31, 1998 of $4.6 million,
or $0.14 per diluted share, on operating revenues of $60.8 million compared to
net income of $1.6 million, or $0.06 per diluted share, on operating revenues of
$30.6 million for the same period in 1997. Earnings before interest, taxes,
depreciation and amortization (EBITDA) increased 126 % to $14.7 million for the
three months ended March 31, 1998 compared to $ 6.5 million in the three months
ended March 31, 1997. The improved results from operations reflect the Company's
continued growth through acquisition of its contract drilling segment. Average
rig utilization for the fiscal quarter ended March 31, 1998 was 71% as compared
to 86% for the same period in 1997.
Since March 31, 1997, the Company has acquired 53 drilling rigs, including 15
during the first quarter of 1998, increasing its contract drilling fleet to 114
drilling rigs. Drilling revenues for the quarter ended March 31, 1998, rose 97%
to $54.3 million, compared to $27.6 million for the same period in 1997. Direct
drilling costs at March 31, 1998 were 73% of related drilling revenues compared
to 81% in 1997.
Although the Company's financial results for the quarter ended March 31, 1998
significantly exceeded the results for the same three-month period in 1997,
reduced commodity prices currently being experienced in the oil and natural gas
industry, particularly for oil, have caused weakness in the demand for
land-based drilling rigs. Cloyce Talbott, Chairman and Chief Executive Officer
of the Company, noted that the weakness began in December 1997 and the situation
is not expected to improve without an improvement in the commodity prices.
Patterson Energy, Inc., a Snyder, Texas based energy company, is one of the
leading providers of domestic land based drilling services to major independent
oil and natural gas companies. Patterson currently owns 114 drilling rigs (108
of which are currently operable) and focuses its operations in Texas and
southeast New Mexico.
For further information, contact:
Patterson Energy, Inc.
Cloyce A. Talbott, Chairman and Chief Executive Officer
James C. Brown, Vice President-Finance and Chief Financial Officer
(915) 573-1104
Shimmerlik Corporate Communications, Inc.
Warren M. Shimmerlik
New York, NY
(212) 247-5200
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PATTERSON ENERGY, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
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<CAPTION>
Three months ended
March 31,
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1998 1997
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Revenues
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Drilling $ 54,297 $ 27,564
Other 6,454 3,077
Total Revenues 60,751 30,641
Operating income 7,861 2,640
Net income $ 4,533 $ 1,640
Net income per share:
Basic $ 0.14 $ 0.06
Diluted $ 0.14 $ 0.06
Average shares outstanding:
Primary 31,566 26,416
Diluted 31,832 26,416
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CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
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<CAPTION>
March 31, 1998 March 31, 1997
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<S> <C> <C>
Current assets $ 74,988 $ 67,432
Property & equipment 133,444 55,733
Total assets 253,625 124,297
Current liabilities 34,034 17,193
Notes payable, less current maturities 54,537 --
Total stockholders' equity 161,619 105,884
Total liabilities and stockholders' equity $ 253,625 $ 124,297
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
PATTERSON ENERGY, INC.
Date: April 30, 1998 By: /s/ James C. Brown
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James C. Brown
Vice-President-Finance
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