UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

Form 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO SECTION 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

 

For the month of November 2018

 

Commission File Number: 001-38091

 

NATIONAL ENERGY SERVICES REUNITED CORP.

(Translation of registrant’s name into English)

 

777 Post Oak Blvd., Suite 730

Houston, Texas 77056

(Address of principal executive office)

 

 

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

Form 20-F [ X ] Form 40-F [  ]

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): Yes [  ] No [ X ]

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): Yes [  ] No [ X ]

 

 

 

 

 

 

 

Information Contained in this Form 6-K Report

 

On November 8, 2018, National Energy Services Reunited Corp. (“NESR”) issued a press release announcing its financial condition and results of operations as of and for the quarter ended September 30, 2018. A copy of the press release is furnished as Exhibit 99.1 to this report on Form 6-K.

 

The information contained in this report and the exhibit hereto shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, and shall not be deemed incorporated by reference into any filings made by NESR under the Securities Act of 1933, as amended, or the Exchange Act, except as may be expressly set forth by specific reference in such filing.

 

Financial Statements and Exhibits

 

Exhibits.

 

Number   Description
     
99.1   Press Release dated November 8, 2018.

 

 

 

 

SIGNATURES

 

Pursuant to the requirements of Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

  NATIONAL ENERGY SERVICES REUNITED CORP.
     
Date: November 8, 2018 By: /s/ Melissa Cougle
  Name: Melissa Cougle
  Title: Chief Financial Officer

 

 

 

 

 

 

 

NATIONAL ENERGY SERVICES REUNITED CORP. REPORTS THIRD QUARTER 2018 RESULTS

 

HOUSTON, November 8, 2018 – National Energy Services Reunited Corp. (“NESR”) (NASDAQ: NESR) (NASDAQ: NESRW), a national, industry-leading provider of integrated energy services in the Middle East and North Africa (“MENA”) and Asia Pacific region, today reported results for the third quarter ended September 30, 2018.

 

Operating and Financial Highlights

 

  Revenue on a combined basis grew by over 10% from the prior quarter and by more than 20% compared to the prior year quarter with new contract start-ups and product offerings as well as increases in market share in NESR’s key markets.
  Net income of $16.2 million for the successor quarter period compared to a net loss for the preceding period of $4 million.
  Adjusted EBITDA on a combined basis for the third quarter was $46.5 million, a sequential growth in excess of 30% on the back of increased service intensity and startup of new contracts as well as realization of integration synergies.
  Signed an agreement with Dhahran Techno Valley Company (“DTVC”), a wholly owned subsidiary of King Fahd University of Petroleum, to create a global center for the development of scientific research in DTVC. This is in line with NESR’s vision to create an open source platform in the region to partner with innovative technology companies to create fit for purpose technologies for our customers in the region. 
  Acquired quality coiled tubing and pumping assets of North American service company to deploy in the MENA region.

 

“We are very pleased with our results for the third quarter,” said Sherif Foda, Chairman of the Board and CEO of NESR. “NESR is attractively positioned, with the ability to capitalize on its footprint across the MENA region. We remain encouraged by the outlook for our key markets, and we believe the services industry in the region will continue to grow further over the coming quarters. Additionally, as MENA activity increases in the fourth quarter, we have been deploying our resources strategically to take advantage of this trend.”

 

Mr. Foda continued, “I am very proud of the employees of both companies we acquired as our integration efforts continue to exceed expectations and are showing significant results. At NESR, we value agility, empowerment and fast decision making and this quarter’s operational and financial results are a testimony to the hard work of our personnel as well as the faith our customers have placed in our ability to deliver superior execution. Our ability to respond quickly and efficiently to our customers’ needs has already distinguished us and will continue to be a competitive advantage. We are very excited about the future and we have talented, motivated teams to execute at the highest levels of quality.”

 

Production Services Segment Results

 

Production Services contributed $88.7 million to consolidated revenue for the 2018 Successor third quarter period. Segment EBITDA totaled $33.2 million in the quarter. In addition to higher activity across all our product lines, this segment benefitted from the redeployment of idle assets where operations overlapped as well as from contract start-up costs recorded in the second quarter which did not recur in the third quarter.

 

See “Business Combination Accounting and Presentation of Results of Operations” section below for additional information on current reporting conventions.

 

    Successor (NESR)     Predecessor (NPS)  
(in thousands)   2018     2018     2017  
    July 1 to September 30     June 7 to September 30     January 1 to June 6     July 1 to September 30     January 1 to September 30  
Revenue   $ 88,666     $ 117,268     $ 112,295     $ 59,164     $ 164,493  
Segment EBITDA   $ 33,180     $ 41,952     $ 36,836     $ 21,252     $ 58,463  

 

 

 

 

Drilling and Evaluation Services Segment Results

 

Drilling and Evaluation Services contributed $56.9 million to consolidated revenue for the 2018 Successor third quarter period. Segment EBITDA totaled $17.6 million in the quarter. The improved performance of this segment was most noticeably impacted by new drilling contract start-ups with improved pricing along with the continued growth and expansion of our evaluation service offerings.

 

    Successor (NESR)     Predecessor (NPS)  
(in thousands)   2018     2018     2017  
    July 1 to September 30     June 7 to September 30     January 1 to June 6     July 1 to September 30     January 1 to September 30  
Revenue   $ 56,914     $ 73,298     $ 24,732     $ 11,289     $ 29,288  
Segment EBITDA   $ 17,630     $ 18,905     $ 3,267     $ 1,618     $ 3,277  

 

Offsetting our segment results were certain Corporate costs which are not yet allocated to segment operations.

 

Net Income and Consolidated Adjusted EBITDA Results

 

The Company had Successor period net income for the third quarter totaling $16.2 million, which includes the impact of $2.4 million of transaction and integration costs related to the combination transaction completed in June 2018 and $3.6 million of purchase accounting related amortization costs incurred in the quarter. On a combined basis, the Company had Adjusted EBITDA of $111.8 million for the year to date period through September 30, 2018. Adjustments to EBITDA include transaction and integration costs of $25 million for the 2018 period.

 

Balance Sheet

 

Cash and cash equivalents were $67.6 million as of September 30, 2018 (Successor), compared to $27.5 million as of December 31, 2017 (Predecessor) and $36.9 million as of June 30, 2018. The Company had $355.3 million in debt as of September 30, 2018 including a $50 million convertible loan facility with an implied conversion price of 11.244 per share. During July, the Company completed a refinancing of its $50 million bridge loan facility to term out the debt. Additionally, in July the Company entered into a previously disclosed $50 million working capital facility and drew down $25 million under the facility. During August, the Company drew down the remaining $25 million to provide the company with financial flexibility and seize growth opportunities as and when they arise.

 

The Company purchased certain assets from a North American service company for $7 million in cash. Offsetting these asset additions were additional adjustments to the fixed asset values made as part of the Company’s finalization of purchase price accounting.

 

Improvements to working capital efficiency were initiated post-combination and the Company anticipates additional benefits from these actions to be reflected in the year-end balance sheet.

 

Predecessor/Successor Accounting Treatment

 

NESR continues to report in a Predecessor/Successor format whereby the National Petroleum Services (“NPS”) legacy entity is the Predecessor for periods prior to the completion of the business combination on June 7, 2018 and NESR, including NPS and Gulf Energy Services (“GES”), is the Successor for post-transaction periods.

 

Conference Call Information

 

NESR will host a conference call on Thursday, November 8, 2018, to discuss the third quarter 2018 financial results. The call will begin at 8:00 AM Central Time (9:00 AM Eastern Time) and 6:00 PM UAE time.

 

 

 

 

Investors, analysts and members of the media interested in listening to the call are encouraged to participate by dialing into the toll-free line at 1-877-407-0312 or the international line at 1-201-389-0899. A live, listen-only webcast will also be available in the investors section of www.nesr.com . A replay of the conference call will be available a few hours after the event in the investors section of the Company’s website.

 

About National Energy Services Reunited Corp.

 

Founded in 2017, NESR is one of the largest national oilfield services providers in the MENA and Asia Pacific regions. With over 3,200 employees, representing more than 40 nationalities in over 14 countries, the Company helps its customers unlock the full potential of their reservoirs by providing Production Services such as Cementing, Coiled Tubing, Filtration, Completions, Stimulation and Fracturing, and Nitrogen Services. The Company also helps its customers to access the reservoirs in a smarter and faster manner by providing Drilling and Evaluation services like Drilling Downhole Tools, Directional Drilling Fishing Tools, Testing Services, Wireline, Slickline, Fluids and Rig Services.

 

Business Combination Accounting and Presentation of Results of Operations

 

As a result of the Business Combination, NESR was determined to be the accounting acquirer and NPS was determined to be the predecessor for SEC reporting purposes. Pursuant to Accounting Standard Codification (“ASC”) 805, Business Combinations (“ASC 805”), a preliminary assessment was made as of the acquisition-date fair value of the purchase consideration paid by NESR to effect the Business Combination was allocated to the assets acquired and the liabilities assumed based on their estimated fair values. As a result of the application of the acquisition method of accounting resulting from the Business Combination, the financial statements and certain footnote presentations separate our presentations into two distinct sets of reporting periods, the periods before the consummation of the transaction (“Predecessor Periods”) and the period after that date (“Successor Period”), to indicate the application of the different basis of accounting between the periods presented. The Predecessor Periods reflect the historical financial information of NPS prior to the Business Combination, while the Successor Period reflects our consolidated financial information, including the results of NPS and GES, after the Business Combination. The Successor Periods are from June 7, 2018 to September 30, 2018 and for the three months ended September 30, 2018. The Predecessor Periods are from January 1, 2017 to September 30, 2017, for the three months ended September 30, 2017 and from January 1, 2018 to June 6, 2018.

 

Note

 

This communication includes certain statements that may constitute “forward-looking statements” for purposes of the federal securities laws.  Forward-looking statements include, but are not limited to, statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions.  The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would” and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking.  Forward-looking statements may include, among others, statements about the benefits and synergies of the recently completed business combination transaction.  These forward-looking statements are based on information available as of the date of this communication, and current expectations, forecasts and assumptions, and involve a number of judgments, risks and uncertainties.  Accordingly, forward-looking statements should not be relied upon as representing NESR’s views as of any subsequent date, and NESR does not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.  You should not place undue reliance on these forward-looking statements.  As a result of a number of known and unknown risks and uncertainties, NESR’s actual results or performance may be materially different from those expressed or implied by these forward-looking statements.  Some factors that could cause actual results to differ include NESR’s ability to recognize the anticipated benefits of the transaction, which may be affected by, among other things, competition and the ability of NESR to grow and manage growth profitably following the transaction; changes in applicable laws or regulations; the possibility that NESR may be adversely affected by other economic, business, and/or competitive factors; and other risks and uncertainties indicated in NESR’s public filings with the Securities and Exchange Commission.

 

 

 

 

NATIONAL ENERGY SERVICES REUNITED CORP. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands, except share data)

(Unaudited)

 

    Successor (NESR)     Predecessor (NPS)  
    September 30, 2018     December 31, 2017  
             
Assets                
Current assets                
Cash and cash equivalents     67,560       27,545  
Accounts receivable, net     76,758       58,174  
Unbilled revenue     96,895       24,167  
Inventories     65,765       32,313  
Other current assets     47,142       19,656  
Total current assets     354,120       161,855  
Non-current assets                
Property, plant and equipment, net     304,727       264,269  
Intangible assets     140,894       10  
Goodwill     532,441       182,053  
Other assets     8,836       11,385  
Total assets   $ 1,341,018     $ 619,572  
                 
Liabilities and equity                
Liabilities                
Accounts payable     54,345       25,132  
Accrued expenses     55,795       23,324  
Current portion of loans and borrowings     16,368       -  
Short-term borrowings     71,940       8,773  
Other current liabilities     37,933       5,228  
Total current liabilities     236,381       62,457  
                 
Loans and borrowings     266,964       147,024  
Other liabilities     26,126       20,662  
Total liabilities     529,471       230,143  
                 
Commitments     -       -  
Equity                
Successor preferred shares, no par value; unlimited shares authorized; none issued and outstanding Predecessor common stock, par value $1; 370,000,000 shares authorized; 342,250,000 shares issued and outstanding at December 31, 2017     -       342,250  
Successor common stock, no par value; unlimited shares authorized; 85,562,769 shares issued and outstanding at September 30, 2018     801,546       -  
Predecessor convertible redeemable shares     -       27,750  
Additional paid in capital     331       3,345  
Retained earnings     8,745       18,480  
Accumulated other comprehensive (loss)     -       (436 )
Total shareholders’ equity     810,622       391,389  
Non-controlling interests     925       (1,960 )
Total equity     811,547       389,429  
Total liabilities and equity   $ 1,341,018     $ 619,572  

 

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

 

 

 

 

NATIONAL ENERGY SERVICES REUNITED CORP. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

(Unaudited)

(In thousands, except share data)

 

    Successor (NESR)     Predecessor (NPS)  
    2018     2018     2017  
    Period from
July 1
to September 30
    Period from
June 7
to September 30
    Period from
January 1
to June 6
    Period From
July 1
to September 30
    Period From
January 1
to September 30
 
                               
Revenues   $ 145,580     $ 190,566     $ 137,027     $ 70,453     $ 193,781  
Cost of products and services     (102,349 )     (139,404 )     (104,242 )     (50,551 )     (142,722 )
Gross profit     43,231       51,162       32,785       19,902       51,059  
Selling, general and administrative expense     (13,759 )     (22,779 )     (19,969 )     (7,514 )     (22,851 )
Amortization     (3,577 )     (5,116 )     (10 )     (158 )     (304 )
Operating income     25,895       23,267       12,806       12,230       27,904  
Interest expense, net     (6,199 )     (8,099 )     (4,090 )     (712 )     (3,985 )
Other income (expense), net     450       (18 )     362       (1,151 )     (1,339 )
Income before income taxes     20,146       15,150       9,078       10,367       22,580  
Income taxes     (3,989 )     (2,960 )     (2,342 )     313       (1,641 )
Net income     16,157       12,190       6,736       10,680       20,939  
Net income (loss) attributable to non-controlling interests     47       (172 )     (881 )     (558 )     (1,770 )
Net income attributable to shareholders   $ 16,110     $ 12,362     $ 7,617     $ 11,238     $ 22,709  
                                         
Weighted average shares outstanding                                        
Basic     85,562,769       85,562,769       348,524,566       342,250,000       342,250,000  
Diluted     85,912,715       85,840,312       370,000,000       370,000,000       370,000,000  
                                         
Net earnings per share                                        
Basic     0.19       0.14       0.02       0.03       0.07  
Diluted     0.19       0.14       0.02       0.03       0.06  

 

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

 

 

 

 

NATIONAL ENERGY SERVICES REUNITED CORP. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(Unaudited)

(In thousands)

 

    Successor (NESR)     Predecessor (NPS)  
    2018     2018     2017  
    Period from
July 1
to September 30
    Period from
June 7
to September 30
    Period from
January 1
to June 6
    Period from
July 1
to September 30
    Period from
January 1
to September 30
 
                               
Net income   $ 16,157     $ 12,190     $ 6,736     $ 10,680     $ 20,939  
                                         
Foreign currency translation adjustments     -       -       (16 )     364       338  
Other comprehensive earnings     16,157       12,190       6,720       11,044       21,277  
                                         
Total comprehensive earnings   $ 16,157     $ 12,190     $ 6,720     $ 11,044     $ 21,277  

 

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

 

 

 

 

NATIONAL ENERGY SERVICES REUNITED CORP. AND SUBSIDIARIES

Condensed Consolidated Statements Shareholders’ equity

(In thousands, except share data)

(Unaudited)

 

Predecessor (NPS)   Shares
Outstanding
    Common
Stock
    Redeemable
Convertible
Shares
Outstanding
    Redeemable
Convertible
Shares
    Additional
Paid In
Capital
    Accumulated
Other
Comprehensive
Income (Loss)
    Retained
Earnings
(Accumulated
Deficit)
    Total
Company
Stockholders’
Equity
    Noncontrolling
Interests
    Total
Stockholders’
Equity
 
                                                             
Balance at January 1, 2018     342,250,000     $ 342,250       27,750,000     $ 27,750     $ 3,345     $ (436 )   $ 18,480     $ 391,389     $ (1,960 )   $ 389,429  
                                                                                 
Net income (loss)                                                     7,617       7,617       (881 )     6,736  
Foreign currency translation adjustment                                             (16 )             (16 )             (16 )
Conversion of redeemable shares     6,274,566       6,275       (6,274,566 )     (6,275 )                             -               -  
Dividends paid                                                     (48,210 )     (48,210 )             (48,210 )
Amount of Provision for Zakat                                                     (767 )     (767 )             (767 )
Balance at June 6, 2018     348,524,566     $ 348,525       21,475,434     $ 21,475     $ 3,345     $ (452 )   $ (22,880 )   $ 350,013     $ (2,841 )   $ 347,172  

 

Successor (NESR)   Ordinary Shares     Redeemable
Convertible
Shares
Outstanding
    Additional Paid in Capital     Accumulated
Other
Comprehensive
Income (Loss)
    Retained
Earnings
(Accumulated
Deficit)
    Total
Shareholders’
Equity
    Noncontrolling
Interests
    Total
Equity
 
    Shares     Amount                                            
Balances at June 7, 2018     11,730,425     $ 56,602       -                     $ (4,611 )   $ 51,991             $ 51,991  
Reclassification of shares previously subject to redemption     16,921,700       165,188                                       165,188               165,188  
Redeemed shares     (1,916,511 )     (19,379 )                                     (19,379 )             (19,379 )
Shares issued to acquire NPS     25,077,277       255,537                                       255,537               255,537  
Shares issued to acquire GES     28,346,229       288,848                                       288,848               288,848  
Shares issued to related party for loan fee and transaction costs     266,809       2,719                                       2,719               2,719  
Shares issued in secondary offering     4,829,375       48,294                                       48,294               48,294  
Shares issued for IPO underwriting fees     307,465       3,737                                       3,737               3,737  
Shares issued through Restricted Stock Units                             331                       331               331  
Business combination non-controlling interest                                                             (951 )     (951 )
Non - controlling interest                                                     -       3,042       3,042  
Acquisition of noncontrolling interest during the period                                             994       994       (994 )     -  
Net income (loss) through September 30, 2018                                             12,362       12,362       (172 )     12,190  
Balances at September 30, 2018     85,562,769     $ 801,546       -     $ 331       -     $ 8,745     $ 810,622     $ 925     $ 811,547  

 

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

 

 

 

 

NATIONAL ENERGY SERVICES REUNITED CORP. AND SUBSIDIARIES

Condensed Consolidated Statements of Cash Flows

(In thousands)

(Unaudited)

 

    Successor (NESR)     Predecessor (NPS)  
    Period from
June 7 to
September 30, 2018
    Period from
January 1 to
June 6, 2018
    Period from
January 1 to
September 30, 2017
 
                   
Cash Flows from Operating Activities:                        
Net income   $ 12,190     $ 6,736     $ 20,939  
Adjustments to reconcile net income to net cash provided by operating activities:     -       -          
Depreciation and amortization     24,155       17,284       28,389  
Shares issued for transaction costs     2,175                  
(Loss) on disposal of assets, net     (684 )     -       (216 )
Accrued interest     8,001       3,350       2,139  
Deferred tax (asset)     948                  
Bad Debt Expense     629       2,402       949  
Other operating activities, net     603       1,442       506  
Changes in operating assets and liabilities:                        
Decrease (increase) in accounts receivable     10,178       (15 )     (10,757 )
(Increase) in inventories     (2,297 )     (2,080 )     (5,911 )
(Increase) in prepaid expenses     (2,943 )     (759 )     (2,153 )
(Increase) in other current assets     (21,866 )     (16,257 )     (1,588 )
Decrease (increase) in other long term assets     312       (544 )     -  
Increase (decrease) accounts payable and accrued liabilities     (14,629 )     7,335       12,556  
Increase in other current liabilities     (2,341 )     1,932       3,264  
Net cash provided by operating activities     14,431       20,826       48,117  
                         
Cash Flows from Investing Activities:                        
Proceeds from the Company’s Trust Account     231,782       -       -  
Capital expenditures     (16,169 )     (9,861 )     (36,030 )
Acquisition of business, net of cash acquired     (285,081 )     (1,098 )     (625 )
Proceeds from disposal of assets     4,432               288  
Other investing activities     330       -       -  
Net cash used in investing activities     (64,706 )     (10,959 )     (36,367 )
                         
Cash Flows from Financing Activities:                        
Redemption of ordinary shares     (19,380 )     -       -  
Proceeds from issuance of shares     48,294       -       -  
Proceeds from borrowings     100,000       47,063       -  
Payment of deferred underwriting fees     (5,333 )     (164 )     (2,885 )
Proceeds from lines of credit and other debt     -       -       749  
Dividend paid     -       (48,210 )     (5,000 )
Other financing activities, net     (5,792 )     (4,429 )     (1,734 )
Net cash provided by (used in) financing activities     117,789       (5,740 )     (8,870 )
                         
Effect of exchange rate changes on cash     -       (16 )     (40 )
Net increase in cash     67,514       4,111       2,840  
Cash, beginning of period     46       27,545       25,534  
Cash, end of period   $ 67,560     $ 31,656     $ 28,374  
                         
Supplemental disclosure of cash flow information                        
Interest paid     3,724       3,636       4,222  
Taxes paid     3,129       345       358  

 

 

 

 

NATIONAL ENERGY SERVICES REUNITED CORP. AND SUBSIDIARIES

RECONCILIATION OF ADJUSTED EBITDA TO NET INCOME

(Unaudited)

(In thousands)

 

The Company uses and presents certain key non-GAAP financial measures to evaluate its business and trends, measure performance, prepare financial projections and make strategic decisions. Included in this earnings release are discussions of earnings before interest, income tax and depreciation and amortization adjusted for certain non-recurring and non-core expenses (“Adjusted EBITDA”), as well a reconciliation of this non-GAAP measure to net income in accordance with U.S. GAAP.

 

The Company believes that the presentation of Adjusted EBITDA provides useful information to investors in assessing its financial performance and results of operations as the Company’s board of directors, management and investors use Adjusted EBITDA to compare the Company’s operating performance on a consistent basis across periods by removing the effects of changes in capital structure (such as varying levels of interest expense), asset base (such as depreciation and amortization and impairment), items that do not impact the ongoing operations (Business Combination transaction expenses and related integration costs) and items outside the control of its management team. Adjusted EBITDA should not be considered as an alternative to net income, the most directly comparable GAAP financial measure. Non-GAAP financial measures have important limitations as analytical tools because they exclude some but not all items that affect the most directly comparable GAAP financial measure. You should not consider non-GAAP measures in isolation or as a substitute for an analysis of the Company’s results as reported under U.S. GAAP.

 

    Successor (NESR)  
    July 1, 2018 to September 30, 2018  
       
Net Income (loss)     16,157  
Add:        
Income Taxes     3,989  
Interest Expense, net     6,199  
Depreciation and Amortization     17,694  
Transaction and Integration Costs     2,434  
Total Adjusted EBITDA     46,473  

 

 

 

 

    Successor (NESR)     Predecessor (NPS), NESR and GES     Combined  
    June 7, 2018 to
September 30, 2018
   

January 1 To
June 6, 2018

    YTD January 1
To September 30, 2018
 
Net Income (loss)     12,191       4,544       16,735  
Add:                        
Income Taxes     2,960       3,705       6,665  
Interest Expense, net     8,100       5,097       13,197  
Depreciation and Amortization     24,154       26,085       50,238  
Transaction and Integration Costs     9,736       15,227       24,963  
Total Adjusted EBITDA     57,140       54,658       111,798  

 

    Successor (NESR)     Predecessor (NPS), NESR and GES     Combined  
   

June 7, 2018 to

June 30, 2018

   

April 1 To

June 6, 2018

   

April 1 To

June 30, 2018

 
                   
Net Income (loss)     (3,965 )     (1,500 )     (5,465 )
Add:                        
Income Taxes     (1,029 )     1,804       775  
Interest Expense, net     1,900       1,370       3,270  
Depreciation and Amortization     6,460       10,338       16,798  
Transaction and Integration Costs     7,832       11,047       18,879  
Total Adjusted EBITDA     11,198       23,059       34,257  

 

For inquiries regarding NESR, please contact:

 

Dhiraj Dudeja

NESR Corp.

832-925-3777

info@nesr.com

 

or

 

Joseph Caminiti or Steve Calk

Alpha IR Group

312-445-2870

NESR@alpha-ir.com