Aveda Transportation and Energy Services Announces 2016 Results and Provides Operational Update for the First Quarter of 2017
Aveda Transportation and Energy Services Inc. ("Aveda" or the "Company") (TSX VENTURE: AVE), a leading provider of oilfield hauling services and equipment rentals to the energy industry, is pleased to announce its results for the three months and year ended December 31, 2016.
2017 First Quarter Business Highlights
2016 Fourth Quarter Business Highlights
Year Ended December 31, 2016 Business Highlights
"Aveda has posted an astounding increase in Adjusted EBITDA of almost $14 million in the second half of 2016, compared to the same period of 2015. Revenue over that same period has increased by almost $11.0 million thanks to the strong marketing efforts of our sales team, operational management team and senior leadership team," said Ronnie Witherspoon, President and Chief Executive Officer of Aveda. "I am extremely proud of the results we've posted in such a short time together and look forward to continued success in 2017."
The Company's consolidated financial statements and Management's Discussion and Analysis are available on the Company's website at www.avedaenergy.com and the SEDAR website at www.sedar.com.
Investor Relations Update
The Company has posted an updated corporate presentation to its website. The updated corporate presentation can be found at http://www.avedaenergy.com/investor-hub/presentations/default.aspx.
Aveda will also be a presenter at the Richmond Club in Toronto on April 20, 2017. In addition to the live audience, a video is taken of each presenter and synchronized with the company's PowerPoint slides so that people on the Internet can see exactly what the live audience sees. Internet web statistics show that each video is seen 300-500 times over the first thirty days of the video being posted on the Richmond Club website.
Aveda's CEO and CFO also expect to be making presentations to retail and institutional investors in May 2017 after the Company has released its Q1 2017 results.
Aveda earns revenue primarily by providing specialized transportation services to companies engaged in the exploration, development and production of petroleum resources. As a result, demand for Aveda's transportation services is generally linked to the economic conditions of the energy industry and the level of drilling activity in the US and the WCSB.
Although 2016 was challenging, the Company has been steadily improving its performance and most recently was able to generate positive Adjusted EBITDA in the third and fourth quarters of 2016. Relative to the first half of 2016, both oil and natural gas prices have rebounded and rig counts in both Canada and the United States have risen in the third and fourth quarters of 2016. Activity levels, particularly in the United States are starting to increase. The Company has continued to see this positive trend continue in 2017.
The Company restructured its senior leadership team in the first half of 2016 with individuals that have extensive relationships in the oil and gas sector. Through these relationships, the Company is being invited to participate in an increased amount of bid activity. In the second quarter of 2016, the Company had temporarily shuttered its operations in the northeastern United States. The Company's revenue results since the new management team took over are as follows:
Based on the information above, Aveda expects to see improvements in Adjusted EBITDA and net income results in 2017.
About Aveda Transportation and Energy Services
Aveda provides specialized transportation services and equipment required for the exploration, development and production of petroleum resources in the Western Canadian Sedimentary Basin and in the United States of America principally in and around the states of Texas, Oklahoma and North Dakota. Transportation services include both the equipment necessary to move the load as well as a trained, professional driver capable of securing, moving and manipulating the load at its origin and destination. Aveda's rental operations include the rental of well-sites, tanks, mats, pickers, light towers and other equipment necessary for oilfield operations.
Aveda was incorporated in 1994 as a private company to serve the oil and gas industry. In the spring of 2006 the Company went public on the TSX Venture Exchange. Aveda has major operations in Calgary, AB, Leduc, AB, Edson, AB, Pleasanton, TX, Midland, TX, Pecos, TX, Marshall, TX, Williston, ND, Casper, WY and Oklahoma City, OK. Aveda is publicly traded on the TSX Venture Exchange under the symbol AVE. For more information on Aveda please visit www.avedaenergy.com.
The Toronto Stock Exchange has neither approved nor disapproved the information contained herein.