Tulsa World: Helmerich & Payne ends fiscal year with huge profit

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Helmerich & Payne ends fiscal year with huge profit

By ROD WALTON World Staff Writer
Published: 11/19/2009 8:58 AM
Last Modified: 11/19/2009 9:07 AM

Helmerich & Payne Incs fiscal year ended Sept. 30 with $353.5 million in profits, the Tulsa contract oil and gas driller reported Thursday.

The 12-month net income was down more than $100 million from fiscal 2008s record year of $461.7 million, but operating revenues decreased less than 10 percent despite recent low commodity prices, falling rig utilizations and a deep financial impasse in Venezuela.

We are encouraged by signs of improvement in the U.S. land rig market, company CEO Hans Helmerich said in a statement. The companys FlexRigs are "clearly well suited for the more prolific" shale plays and other horizontal and directional work that greatly benefits from our newer drilling technology.

Helmerich & Paynes fourth-quarter net income totaled $51.5 million, falling more than half from $126.5 million in profits generated in fiscal 2008s final three months. The average rig revenue per day dropped to $25,895 from $28,325 last year.

The company is proactively continuing efforts to get paid for work in Venezuela, according to the earnings release. Helmerich & Payne has idled all 11 rigs operating in the South American nation, but did collect about $32 million in the last quarter. Venezuela still owes about $73 million, the report reads.

Helmerich & Payne executives will discuss their quarterly and fiscal year results in a conference call with analysts and media at 10 a.m.

By ROD WALTON World Staff Writer

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Reader comments for this story have been moved to the most updated version of the story, now under the headline "Price bump aids local drilling rig company," which was published on 11/20/2009. So far, 2 comments have been made.