NYSE$NPKI

Newpark Resources Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Newpark Resources reported third quarter 2020 results with a net loss, but generated cash from operating activities and reduced debt.

Newpark Resources reported a net loss of $23.9 million for Q3 2020, but generated $15 million in cash from operating activities and reduced debt by $34 million. Revenues were $96.4 million, impacted by weather-related disruptions and COVID-19. The company is focused on free cash flow generation and debt reduction.

  • Generated $15 million cash from operating activities and reduced debt by $34 million.
  • Fluids Systems revenues declined due to weather disruptions in the Gulf of Mexico and COVID-19 impacts internationally.
  • U.S. land revenues in Fluids Systems increased 8% sequentially.
  • Mats and Integrated Services revenues improved 5% sequentially despite COVID-19 delays.

Headline financials

Total Revenue

$96.4M

Previous: $203M-52.4%
EPS (adj)

-$0.23

Previous: -$0.02-1050.0%
Capital Expenditures

-$14.6M

Previous: -$35.8M+59.2%
Free Cash Flow

-$38.5M

Previous: -$37.2M-3.3%
Net Income

-$23.9M

Previous: -$1.44M-1556.5%
Operating Income

-$25.7M

Previous: $6.29M-508.6%
Gross Profit

-$2.88M

Previous: $33.3M-108.6%
Cash & Equivalents

$24M

Previous: $53.7M-55.2%
Total Assets

$723M

Previous: $913M-20.8%
Stock-Based Comp

$1.79M

Previous: $2.5M-28.3%

Revenue & EPS history

Newpark Resources · Revenue · Quarterly

$96.4M

Q3 2020-52.4%vs Q3 2019
Beat estimate in 9 of 16 quarters(56%)
ActualEstimate

Forward guidance

Newpark Resources expects more constructive conditions in the fourth quarter, with operating results benefitting from a rebound in the Gulf of Mexico, continued momentum in North American land markets, improvement in international markets, and fourth quarter seasonal strength in product sales within Mats and Integrated Services.

Tailwinds

  • Anticipated rebound in the Gulf of Mexico.
  • Continued momentum in North American land markets resulting from the recent increase in rig counts.
  • Improvement in the international markets.
  • Fourth quarter seasonal strength in product sales within Mats and Integrated Services.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

+0.1%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+6.9%

Avg return

30 days after

45%

29 / 65 earnings

Positive

+25.5%

Q1 2025

Best reaction

-20.4%

Q2 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-4.8%-3.9%-11.3%
Q4 2025+4.3%-4.3%+2.2%
Q3 2025-5.1%-3.5%-8.4%
Q1 2025+25.5%+31.1%+33.9%
Q4 2024-5.1%-14.2%-7.6%
Q3 2024-4.3%-2.4%+1.3%
Q2 2024+9.6%+1.9%+7.4%
Q1 2024+2.5%+6.3%+22.4%
Q4 2023-1.3%+1.9%+17.4%
Q3 2023+3.4%+2.3%-1.0%
Q2 2023-4.5%-4.7%+8.3%
Q1 2023+2.0%-2.0%-8.2%
Q4 2022-3.2%-5.4%-15.0%
Q3 2022-6.3%+1.1%+8.7%
Q2 2022-15.9%-23.4%-17.4%
Q1 2022+11.0%+6.9%+26.6%
Q4 2021-4.9%-5.9%+7.5%
Q3 2021+2.1%+2.6%-15.8%
Q2 2021-20.4%-23.2%-18.6%
Q1 2021+6.1%+11.8%+31.4%
Q4 2020+0.7%+9.9%+27.1%
Q3 2020+0.8%+3.7%+103.7%
Q2 2020+0.0%+4.8%+1.6%
Q1 2020+10.2%+35.6%+110.2%
Q4 2019-16.9%-22.8%-45.1%
Q3 2019-18.3%-6.7%-20.2%
Q2 2019+14.1%+5.4%-1.0%
Q1 2019-17.6%-14.8%-15.3%
Q4 2018+9.3%+10.5%-5.8%
Q3 2018-0.6%+0.5%-3.0%
Q2 2018+12.6%+16.3%+13.7%
Q1 2018+6.2%+8.3%+9.8%
Q4 2017-3.7%-2.4%+7.3%
Q3 2017-4.9%+2.7%-4.9%
Q2 2017+6.8%+15.0%+2.7%
Q1 2017-4.4%-3.1%-3.8%
Q4 2016+5.8%+7.1%-12.3%
Q3 2016-4.4%-13.1%+13.9%
Q2 2016+7.5%+6.1%+27.6%
Q1 2016-12.5%
Q4 2015-9.7%
Q3 2015+3.5%
Q2 2015-5.9%
Q1 2015-5.5%
Q4 2014+9.8%
Q3 2014+5.8%
Q2 2014+14.4%
Q1 2014+4.7%
Q4 2013+3.4%
Q3 2013-1.2%
Q2 2013-4.9%
Q4 2012+17.6%
Q1 2013-3.3%
Q3 2012+2.6%
Q2 2012+7.8%
Q1 2011-1.0%
Q1 2012+1.0%
Q4 2011-1.6%
Q1 2010-1.6%
Q4 2009-1.6%
Q4 2010-1.6%
Q3 2011-4.4%
Q3 2010-4.4%
Q2 2011-0.3%
Q2 2010-0.3%

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