Heckmann Corporation (NYSE: HEK) today announced the following financial results for the second quarter ended June 30, 2012: 1
- Revenues more than doubled to $90.8 million, compared with $39.2 million for the same period in the previous year.
- Net income from continuing operations, which included a deferred tax benefit, improved to $10.7 million, or $0.07 per share, compared with $0.3 million, or breakeven per share, for the second quarter of 2011.
- Adjusted EBITDA 2 increased 105% to $19.3 million, compared with $9.4 million for the second quarter of 2011.
- Revenues for the second quarter of 2012 increased 10% sequentially, compared with pro-forma revenues of $82.4 million for the first quarter of 2012, and adjusted EBITDA increased by 19% sequentially, compared with pro-forma adjusted EBITDA of $16.2 million for the first quarter of 2012. 3
“In the second quarter, we significantly improved our business, generating top- and bottom-line growth across our environmental service offerings, and simultaneously improved our gross margin from 13% to 17% and our EBITDA margin from 19% to 21%,” said Mr. Richard J. Heckmann, Chairman and Chief Executive Officer of Heckmann Corporation. “While the natural gas industry continues to be challenging, our water business remains healthy. In the second quarter, well completion activities were delayed in several key areas temporarily slowing our trucking, piping and disposal revenue growth opportunities. However, we expect completion activities in the affected areas to improve in the second half of 2012.
“While the Haynesville rig count over the last 18 months has declined from over 120 to under 40, our pipeline volume has grown incrementally, with average barrels per day increasing by 20% sequentially in the second quarter to approximately 50,000 barrels per day, and we saw days with a record of nearly 60,000 barrels/day in the second quarter. These encouraging volumes, along with increased natural gas pricing, indicate that the gas market may be stabilizing. In addition, we have recently completed the acquisition of a saltwater disposal well in the Marcellus/Utica Shale area and construction of a disposal well to serve the Tuscaloosa Marine Shale area, both of which should be operational in the third quarter. With our expansion into additional basins, we believe our sequential growth will continue throughout the year.