Boart Longyear Ltd (ASX:BLY), the world’s largest drilling services provider has announced that its net profit for the period ending June 30 was $US32.7 million. This comes after a $US5.4 million loss in the corresponding period last year.
The company which has its operational headquarters in the US did not pay a dividend in the previous period but has announced an interim dividend of US2.1 cents a share. The company which is listed in Australia has also estimated that its full year revenue will be 40% higher than last year.
The robust demand for the products and services provided by the company and improved operating trends has been given as the reason for the upgraded earnings guidance. They expect the earnings before interest, tax, depreciation and amortisation to be as high as $US205 million, 85% up from last year.
2009 had been a slow year for miners and as such also affected the company performance. As per Chief Executive of Boart Longyear, Craig Kipp the company’s growth seems to have stabilized and it is seeing modest improvements in margins, pricing and utilisation.